The Sun.
London, England, 1857-12-12 00:00:00

to support credit than any private bank. He did not
mean that the total amount of bullion lodged should be
retained in the cellars. A certain quantity should be
kept, and the remainder exchanged for stock or Exche-
queerbills' appointed The
by the wrhoo;eral an tl hold
e dt h e
his currencyoffi ne
during should
b
good behaviour, so that in time of pressure Government
° fficerC
might have no influence to induce hire to depart from the
strict rule. Hemight be asked whether this system would
prevent the recurrence of periods of distress / He should
say that no law of currency could guarantee againet a re-
currence of commercial distress. The present crisis
was not brought about by any law, but it had arisen
from the frightful spirit of speculation which hal taken
possession of the commercial world, and the monatrous
abuse of the system of credit in this country, an abuse
which recent legislation had tended 0 aggravate. For
his part, ho believed that in the long run it would be
found that the interference of the government in support
of commercial credit did more harm than good. Granting
that extraordinary emergencies required extraordinary
remedies, yet it was clear that the only mode in which
government aid and assistance ought to be given to
individuals was by lending them the support of the go-
vernment credit. Neither parliament nor the govern-
ment could create any additional property in the coun
try ; all they could do was to transfer it from one hand
to the other ; and if that were so assistance to the c nil-
mercial world had much better be given directly than
indirec ly, by authorising the Bank to !oak, excessive
issue of paper. Let the government be authorised to
issue stock or Exchequer Bills. He believed that during
the recent difficulties stock always sold high. Those who
held stock could always got money. It was only those
who had bills to be discounted who could net 'get it.
This showed there was no deficiency of money in the
country. Let them, if they would, authorise some meats
of this kind to meet extraordinary emergencies, and not
meet them by tampering with the standard of value.
This issue of paper was nothing but the old resource of
barbarous retire, the debasement of the coinage. They
might as well issue base coin as i, sue paper money be-
yond the regulated amount. He would only trouble their
lordship on one other point, which, however, was one
of great importance. He had many years ago arrived at
the conviction that the prohibition of small notes in this
country was most injudicious, and no reform of the cur-
rency would be complete which did not provide for the
circulation of one-pound notes in England as well as in
Scotland and Ireland. He had taken great pains to
make himself master of the reasons assigned, but they
always appeared to bins inconclusive, and he saw no
reason why, if they used the cheaper medium of paper
in large exchanges, they should not use it in small
ones also ; he never heard an argument against one-
pound notes which was not equally applicable to five
and ten. By allowing pound notes, they would ren-
der unnecessary a large number of sovereigns, and only ren-
der their currency more secure. If he had time he could
show it would increase the security of the whole paper
currency, and would manifestly be attended with very
great advantage; it would get rid of the absurd anomaly
of allowing these notes in Scotland and Ireland, but for-
bidding them here. The law even went the absurd length
of prohibiting them in the border counties, but it was
violated every day with impunity, and in Northumber-
land no one ever attempted to stop them; he believed
even a few notes of the Western Bank had got into that
county. If one-pound notes were wrong get rid of them
altogether, but if they were right let them circulate
everywhere. Another advantage which would arise was,
that it seculd afford them immense facilities for the with-
drawal of the present privil !ge from the Bank of England
and other banks of izsue. In doing so they ought to treat
them with justice and liberality, and see they were no
losers. The issue of one-pound notes would eeable them
to do this. They might be advanced to those barks in
proportion as their own were withdrawn, and thus they
would at length obtain the inestimeble advantage of
having one national currency. The remarks of hie noble
hind below him (Lord Monteagle) chewed that if they
had hal a rational currency they would not have been
exposed to the inconvenience arising from the recent de.
mend forged I in Scotland and Ireland. The issue of one-
pound notes would, moreover, afford the country sen-
sible mild at a time when it was much required. The
present disasters had been brought about by great im-
prudence of some, but still they pressed heavily not only
on them, but on the whole community. Tee effects were
visible on all sides—a number of men. were thrown out
of work, and a general check given to industry and pre-
dilation for which there was other else no real reason-
At this moment of pressure the issue of 1/. notes worn I
afford great relief; it would displace some 30 or 40 mil.
lions of sovereigns, and add to the national capital a
large portion of that sum, aed thereby relieve the pres-
sure. He considered these were reasons why this subject
should bo taken up by her Majesty's Government; and,
without wait cg to inquire, they should introduce some
measure when Parliament suet. He would not then
enter more fully into the question ; but before he
concluded, ho would urgently prese.on the Government
the necessity of taking the subject into coneideration
during the recess, and beieg prepared when Parliament
re-a4sembleil to bring forward some measure on their own
responsibility. He was glad to hear it was intended to
have an inquiry into the 4.1261N93 of the recent distress ; it
was much waited, and might lead to useful results, but
the state of the currency did not need inquiry ; they
might go ou inquiring fur ten years and not get to the
end of what people had to say. (blear, hear.) They could
not expec. any further inf ,rmation. They had all the
facts before them, and all the moans of forming an opinion.
Under these eh eamstances it was the duty of the Go-
vernment net to throw cn a Parliamentary committee
the reepeneibility of devising mee:ures, but to take the,
matter into their own hands and propose, on the part of
the Crowe, such an alteration of the le Aas he believed
w.:uld be for the public advantage. He did not wish
them to do this at once, or without duo deliberation.
He hoped that they would take time to consider, and
that the result of that consideration would be satisfac-
tory to the country at large.
No one else rising,
The LORD CHANCELLOR put the question, and
the third reading of the bill was agreed to neut. con.
The bill then passed.
Their lordships adjourned at a quarter after 7 o'clock.

HOUSE OF COMMONS.—(YESTERDAY.)
The SPEAKER took the chair at 4 o'clock.
NEW MEMBERS.
Mr. DKEDES took the oath and his scat for West Kent,
and Mr. BAGSFIAW, jun., far Harwich.
MAIN DRAINAGE OF THE MEITOPOLIS.
Mr. LAURIE ailed the Fret Commissioner of
Works, whether any, and if so, what steps had been
taken for the purpose of carrying out so much of the
Act 18 and 19 Vic., c. 120, as relates to tho main drain-
age of the metropolis.
Str B. HALL at great length minutely entered into.
the ht ,to of this question, from the passing of the act in
1855, up to tho present the partinlars of which
have atready been made male through the press by
reporting the proceedings before the Metropolitan Board
of Works, and the conference bAwecn that board and
the right hon. baronet. He said that what ha con
tended for wan, that the Metropolitan Board of Works
were bound to cl,anse the Thames from the pollution
that pa3setl through it in the metropolitan area, but the
Metropolitan Board of Works contended that they wire
only called on to carry out that which was generated in
the metropolitan area generally, and not anything gene-
rated outside