The Sun.
London, England, 1819-05-25 00:00:00

rll+l the other "
Hont and his adherents,
,"'et t t)( 'se" I,"l.tieg down the fabric which had
It raised bY inumotal Pitt, and which had
s e,l the tra,,e, the mannfactures, and the very
• sl-'rtiCC t)c. the Sate. He appeared this night,
was erfuscious, iu an extraordinary character.
fie Cato.(' to opoose a dear relative ; but he had a
duty to pe,iorm, and he respected those who per 7
t(oeted what they conceived ,o be theirs.—(Hear.
i;t at , !tear !)---The Gentlemen who had opposed
lint ;,t the tueetioe had rather been indignant at
roottion of Mr-. Pitt. Bat seine allowance
slotahl be made for partialities. He had always
con,ideren Mr Pitt as t;e first man in the world.
lIt• tem( othtier!, dial when that relation whom
he this night Opposed, was only a child in his
arms, he had thooaht that a man who should dis-
cs, ,ree his iiitty tri the coawry as Mr. Pitt had
thee, would he most to be admired and imitated.
lie had then declared, that it his son should live,
he should present hint to his country. He had
no,,e so, and never repeottd his resolution.—
( Near, hear, hear 1)---Though he might differ in •
opinion with him, he still respected the man who
was governed by a sense of ditty. And as he
considered that the heed and the heart of that re-
lative were in the right place, he felt confident
that if he had deviated a little trom propriety, he
would soon be restored. He should say no more
upon the subject, but reserve himself for another
opportunity. He then moved that the petition be
brought up,
Sir J SEBUIG'HT contended, that the Hon. Ba-
ronet could not have read the evidence carefully,
when he had said that none of the 1.,-,nolon mer-
chants had been consulted. It did not follow,
however, that because a man night be a manu-
facturer or a trader, he should he the best judge
on the subject. As to Hunt and IVooler, he was
no follower of theirs ; but he looked at measures,
an:l not men, and he under Stood that on that rte.-
casion-t keir conduct did them great honour. They
ha l maiotaintd that greater power had been en-
trosted to the Book of England than ought to
have been committed to any body of men. As
long as Hunt and Wooler entertained such prin-
ciples, he should act with tliem —(Laughter.)—
He concurred entirely with the Hon. Baronet in
all that he had said respecting his relation. The
ivitole country felt the merits of that distinguished
iodividua!, and if there was an opportunity in
which he hail stood forward, and merited the gra-
ti:nde of the nation, it was the present. He
should also take this occasion of expressing his
respect for the judgment which his Majesty's Mi-
nisters had displayed, as well as their magnani-
mity, and he trusted that they would have the
cordial support of the House.
Mr. GiteNFELL could not suffer the idea to go
to the House, that the petition expressed in any
manner the sense of that body which the Hon.
r Baronet had represented as its author. It was not,
signed by one-fourth of those who constituted
the merchants and bankers of the Cilt of Lon-
don. Had the lion. Baronet read the evi-
dence on which the Report was founded, when he
said that Co In 11-1 reld I men had not beets consult.
? If he had read it, could be have forgotten
such names as Mr. Baring and others. fully able
,to attortl the best information on the•sobject ?

ir. filatte.vaTT contendei, that after the most
careful examination of the testimonies adduced,
be could nut find one witness whose evidence was
not in pert et contradiction to that of another.
The petition was then brought up, read, laid
on the table, ane ordered to be printed.

..CASI-1 PAYMENTS.
On the motion of Mr. Et., the House re-
solved itself into a Committee of the whole House,
on the Report of the Bank Committee.
Mr. Pset. ruse.—He could not conceive it pos-
sible that an individual should be placed in a'situ-
ation which rendered an appeal to the indulgence
of the House wore necessary than that in which
he now stood. He was about to 'perform a duty
which devolved upon hint as Chairman of a Com-
mittee. He had to call the attention of the House
to a subject, which in his conscience he consider-
ed most important, and which was interwoven
with the highest and the lowest transactions of
the country. This subject, at no remote distance,
had occupied the attention of Parliament. It in-
volved principles of an abstruse nature, and de-'
tails uninviting and tedious. It had exhausted
the abilities in that House, and whatever could
be said upon it had already been said in the best
manner. He would ntl.ot supply any novelty to it
by a reference to party feelings. if he did so,
be should be an unworthy Chairman of a Com-
mittee from which such feelings had been entire-
ly dismissed. He had never seen a Committee
rise more seperior to party, and more completely
devote its attention to the public good.—(Hear,
bear, hear !)—He had to submit to the House
a set of Resolutions, adopted almost unani-
mously, for the Right Honourable Gentleman op-
posite (we understood Mr. Tierney) had'alone re-
corded his dissent. Yet though almost unani-
mous, many of those who felt lisposed to concur
in the 'measure, might in some particulars be op-
posed to the principle on which it was founded.—
Tttis relieved bins from much embarrassment.—
His ,prech would be only that of an humble in-
dividull expressing his own.opinion, and respon-
sible for whatever errors he might commit. He
would fairly declare, that since be bad entered
the Committee his own opinion had experienced
a change.—(ilear, hear had entered it
with the intention of entirely obliterating from
his mind any former vote which be might have
gikcn. lie openly avowed that his sentiments
\VC Ile had voted against the Reso-
lutions proposed by Mr. Horner in 1811 and if
they were proposed again he might vote against
the pretclica; measure, but he was bound as an
Itonest 111)_ to declare that with some slight -qua-
lifications he perfectly concurred in their princi-
ply. He brought without shame and repentance
!his (dbtoe the grave of one from whom he
diflerfA, but whose abilities be ad-
roi;-:!d, and whose tharocter lie respected.—(Hear,
;test lie should now come to the subject of his
ri,otion. lie hod isoptd, that alter expressing the
opinion that cast., payments should he resumed,
rotiHot; koold remain but the mode and the time
rt resumiug them. 13ut• he could not conceal
- ;tom himself that sentiments seemed to be enter-
taioto, which, if adtnitted, would lead to indefi-
ohe resiricsiows.—ijleat, heat l)—Judging from

publications, by wbirb, he feared, the public
mind was influenced, if the House gave way to
influence. it must be prepared to legislate
for indefinite res,rictions. This was the reason
why be thought it necessary at the very outset
to make tip one's mind' either to have a metallic
currency or a piper system. He therefore called
upon the 1-louse, in his second resolution, to de-
chre shether it would or wonlil not have a•me-
citculating. medium. \V is it possible that
the system corried mt for the last 20 years could
%—(Hear, hear!)-Could the coun-
try rein in without a metallic standard of value,
to vrhirh all her barters and transactions should

he teleried 1 He 'eppe3led to the country itself
before the year 1797. and ro all writers oti
ticed economy. They all recognised that a me-
tallic stanched ought to 1w the basis of a paper
currency. All the witoe:ses were agreed on that
_ _

point, with Ole exception of one man, a very re-
sprerible eia er, who declared himself for an
indefinite restriction. He was asked, whether he
nnhl have no standard of value ? He replied

that he would have the pound But on being
asked what a round was, he could not describe
it, but said that every Gentleman knew what it
wa3—(Latightet)—that it had existed 800 years
ago, 300 years before gold had been introduced
into this kingdom. lie (Mr. I'.) turned front the
doctrine of 'Smith to Locke, and after hollowing

the latter through all his researches into eternity
and the heavenly bodies, he found him compelled
to ackno►vledge, that a certain quantity of gold
bullion was the 'only standard of value. This
dot:trifle had been adopted by all countries, and
even by England previous to J 79.7. What had
been our system since that period It would not
decrease our difficulties to shrink' fron► looking
them in the face.—(Hear, hear !)—Evi:ry foreign
Jew would detect the fallacy. By the present
system, our circulating med.stin was entrusted to
the Bank of En,,land., and to six or seven bun-

tired country bankers, whose issues were regu-
lated by those of the Bcik. On .what did the
Bank ground its issues ? Either on the purchase
of gold, the discount of good bills, or in Go-
vernment securities. But what had their issues
been founded on, during the last few years ?
Not on the purchase of gold, but ou Govetn-
ment securities. In 1811 those issues had
amounted to 35,000,0001.. In 1818, the issues
on Government securities were 20 000 0001. and
the whole issues of the Bank 25,000,0001. What
were those Government securities on which the
advances were made ? They were not drawn
on existing taxes pledged for that purpose.—
They were Exchequer Bills, representing taxes
which were not yet voted. What difference,
therefore,, could he seen between issues matte
by the Bank on Government securities, and
issues made direct by the Government itself ?
If the latter plan were adopted, an inte-
rest of three and a half per cent, on the
whole would be saved to the country. What
did the public creditor receive', if be applied
for the payment of his debt ? Bank notes.
What remedy could he procure if he did not re-
ceive them ? Had he any other than to decline
taking his money till the Cash Payments should be
resumed ? It would be said that the Bank was
safe, and that no fear need be entertained of its
solvency. This he fully admitted, but was that
any argument against excessive issues On her part
If it was, then were those of law well founded.
But he contended that the best security would be
for the pound to be at par with gold--(Hear,
hear, bear !)—lt was impossible to look at the
history of the country for the last three years, and
not to desire to put an end to the present system.
In 1814 and 1815 there had been a considerable
increase in the circulating Medium. Every thing
then appeared to prosper, and our imports and ex-
ports to augment. In 1816 and 1817 the natural
results of the system were telt. Languor pervaded
the country, property was accumulated to a great
amount, but there was no demand, the Country
Banks having reduced their circulation. In 1817
and 1818 the country began to recover. The cir-
culating medium was once more increased. Pre-
vious to 1814, the issues of the Bank did not ex-
ceed 23 millions. In 1815, they'were brought to
between 25 and 26. In 1816 they were limited
to 26; but in 1817 they were pushed to 29 mil.
lions, besides a larger issue of gold. Speculation
revived ; prices having suddenly risen, all were
eager to take advantage of the change. Country
Bankers lent their capital, and the same scenes
were acted over again. Prices sunk a second
time; corn fell so low as 30 or 40 per cent. and
he feared misery would ensue, he would not say
to the same extent, but from the same cause. If
he looked at the evidence, , evidence which must
satisfy even his Hon. Friend-=but he was sorry
to find that his Hon. Friend (Mr. Marryatt, who
was supposed to be asleep) did not seem to take
as much interest in the evidence as its importance
required—(Laughter !)—if he' looked at the evi-
dence of Mr. Gladstaue, and read that in 1817 the
importations of corn and other articles from Le-
land at Liverpool, amounted to I,2oo,ooo—that
in 1818 they reached I,9oo,ooo—that in 1817,
315,000 bales of cotton were imported into that
town, and in the ensuing year 421,000, it would
Appear that there was a great increase in trade.—
But the consequence was that prices fell, :hat
the demand ceased, and that there was in the port
of Liverpool an accumulation of goods to the
amount of three millions beyond the quantity re-
ceived in 1817. These vacillations of trade might
be of little importance to the State, hut how
deeply did it not derange all the relations of so-
ciety ? Au one time there was an excessive de-
mand for labour; at another there was none. He
wished to speak boldly : he would not conceal
the impression which his Mittid had received.—
(Hear!)—It was impossible to hear the statements
contained in the petition from Carlisle without
perceiving there was something unsound in the
system.—(Hear, hear !)—Our prosperity' might
appear great from the Custom-house return ; but
the state of the poor, the distresses of the indus-
trious, anti the stnount of the pools' rates, would
show whether the present system was perfece,Tor
not. —(1-lear, hear!)—lt had within itself no cowl-.
teracting principle. It adnduistered excitement
to excitation, anti where it round a disposi-
tion to speculate, it increased it. Then all
demand ceased,,r and lanit spread itself through-
, ()twilit: country. Bankers were obliged to eon-

tract their issues to the size of the times.—
They even made demands on those that were sol-
vent, in order to provide for their own safety, and
all was distress and desolation. If these were the
consequences of the Restrictions, should we not
look our difficulties in the face.—(Hear, hear,
hear !)—Let not the House nor the Conetry
judge of the future by the past. Hitherto we
had always kept a bright point in view, the re-
sumption of Cash Payments,. It had operated as
a check on the issues of the Bank. But if once
we said they never should he renewed, we should
leave the Bank not only to its own discretion in
the amount of its issues, but to be guided by the
necessity of fulfilling the obligation which it had
contracted with its own Proprietors, of consider-
ing their individual interest. He should there-
fore call on the House to declare that it was deter.
mined to put an end to the Restrictions. This
was the reason why it was incumbent on the
Committee to propose some steps to show that it
was really intended Cash Payments should be re-
sumed. The Committee bad several alternatives.
It might have selected one of four courses. It
might have contented itself with a declaration,
that Cash Payments could not yet be renewed,
but must at some future period be resumed. But
if the Committee had only clone that, would
any man have believed that it was in earnest ?
What had happened during the' last few days
had served to convince him that Parliament
" must screw its courage to the sticking place."
Until the late discussion in another place, the
impression produced on the public mind was,
that the subject would not be pressed far-
ther titan the Reports of the Committees. Should
this House not take some steps of a more decisive
nature, the same opinion would again prevail.—
On five occasions, the House had already declar-
ed that Cash Payments should be resumed. That
opinion had been expressed by a Right Hon.
Frieml of his in 1811, though since that period
the restriction had been five times renewed. An-
other alternative was for the Legislature to tix
some Other period for the Resumption of Cash
Payments, at which the Batik should he compell-
ed to return to the ancient practice. home,
ever, would put it, to the HpuSe if it would he
well that they should take such a course--if it
would be wise for one body to adopt a certain sys-
tem, and compel another body, through whom the
plan was to he carried into effect, to act-on it,
even though the principle of the measure was not
good, according to their view of the subject—
was one in which they-could not concur. The
Bank did not consider that they had it in their
power at any time to regulate the price of gold
by the issues of their notes. In a resolution
which had been come to by the Court of Direc-
tors, it was declared, " That this Court cannot
refrain from adverting to an opinion that had
got abroad, that- at any time the Bank has only
to restrain its issues to diminish the price of gold,
and after giving the subject the most attentive con-
sideration, they have been unable to discover that
this opinion rests on any solid foundation." He
blarned not the Bank for entertaining this opinion,
and as lie bad already stated to them, it appeared
unjust to look to them to act on a principle which
they could not approve. A third alternative might
have been found in positively limiting the amount
to which their notes should he issued. This, how-
ever, he thought would at all times be found most
unwise. It was impossible to say what amount of
notes would be required at any given period by
the circumstances of the country ; it a run, as it
was called, on the Bank, would sometimes cause
a very different issue, of notes to be called for at
one time, from that which was wanted at another
—if there were a demand on the Bank, such as
was known in 1797, when the market price of
gold did not exceed the mint price, the Bank might
issue notes to any amount, with perfect safety;
but if, on the contrary, there should be a drain on
it, from the unfavourable state of the exchanges
and the high price of gold, then the evil could be
corrected in no way but by diminishing the num-
ber of their notes in circulation. Since then, at
various periods, their situation was likely to be so
very different, it was impossible to say what num-
ber of notes ought to be issued at any given time.
That question must be decided- by circumstances,
as nothing could be inferred frorn the mere nomi-
nal amount of their issues at any time. A fourth
alternative presented itself, which had been adopt-
ed by the Committee. That plait would be foetid
embodied in the resolutions which lie should
this, night have the honour to move. This was
founded on the principle, that the Bank should
be obliged, from regard for their own interests,
to regulate their issues by the price of gold, and,
in feel-, act on the same principles which governed
their conduct before the passing of the Bank Re-
striction Act in 1797. The Committee had found
the Bank in this situation, possessing treasure,
less in amount perhaps than would be wanted if
they, were to resume cash payments, while the
maker price, fur the last three months, wits con-
siderably above the Mint price, being 4/. Is per
ounce. It was found also that the Batik had ad-
vanced to the public considerable sums of money,
which they were desirous should be repaid. Un•
de'r these circumstances, it was thought .advisable
that the period of resuming Cash Payments
should be postponed to a day more distant than
had. ever been contemplated before the late Com-
mittee sat. They proposed, therefore, to allow
the Bank nearly four years, before they should
be required to resume Cash Payments, but doing
this, they thought it necessary to adopt measures
that should convince the Public that it was in-
tended really to return to payments in specie,
when the period now fixed upon should expire. It
was unnecessary for him to go at length into the
details of time plan suggested by the Committee
for effecting the object in view, as every one who
heard hint must be acquainted with it. It was
known that it was proposed that the Bank should
commence paying their notes in bullion to be
issued at that which was lately the market price
of gold, from the ISt of February, 1820—that
there should be one interanediate stage between
that and a return to the Mint price, and that they
should he provided to pay in gold bars, to be
issued at 31. 17s. 10d. per oz. ~by the Ist of May,
1821. It was true that they required the Bank
to provide gold ro pay their notes in two years
from the present time ; but then it was. under
certain modifications which tirade it probable that

the demand upon them would. be mach less than
that which they would have to nice! if t'tcy were
required to pay in coin. As part of tlps plans
and as preliminary to the resumption of cash
payments, it was proposed that a ronsidterab4
portion of the advances made to the pnblir by the
Bank should be rcpattl. No ieConSiderable alarm
.existed on this subject, which in his opinion had
been much misunderstood. It was supposed that
the Committee recominended the immediate
repayment of 10,000,0001. to the kink, tend
that so much must be forthwith withdrawn
from the currency of the country, and this it
was concluded, and very jast ly enmity-kali
would produce much entharrassm:nt and mere
cantile distress ; but this formed no part of the
plan of the Committee. 'they ouly wished that
provision should he made for the gradual relay'
meta of the sum which hail been mentioned, and
nothing appeared in their Report that implied at'
opinion on their part that the whole of lb,
10,000,0001. must necessarily be repaid before
the period at which the &ask should be requited
to recommence cash-payments. The early red,
payment of this sum the Committee had thought
it right to recommend, because it was earnestly
desired by the Batik, and if demanded, thrl
thought it but right that Parliament should pro'
vide for its repayment before they called upon
them to act on the plan suggested in the Re..
port.. Though it was not in t '••w Of the ‘oh"
ject necessary that the whole of the 10.000,001.
should be repaid before the return to cash p
ments, he was of opinitn On ot r ounds it wall
desirable that a cont•itler4ide stun should b,
paid. It was impo-sible to ts,vert to a paper
which bad been lab, ou the tattle of ;he House
that day without, ter lift;; an earnest desire to zee
the relations now existing between the Gre,ero'
men' and the Bank materi:ally chani.;f
hear I)—Tt!at Horse ought to have tut power
of limiting the duties of the .Bauk to Cie consiik"
ra•ion of those subjects which i.at•i
el:tinted their care. Id the paper !Jest-wed that
Clay, wltch contained RepoA of the pr,,cettlingf
at the Bank On iiic ...!LttL weich had been hod
before the Chatiedot of the Exchequer, he fouls&
the following pae,,ge,iph
Under these impressions, the Directors of the Pal/S
think it ri4lit to ok,vrve to his Majesty's Nlini,ters, ti rem
ing engaged to pay tot demand tt,eir notes in statutaitH.
at the Mint price of :it. 17s. lqd per owlets, they
be the last persons 'mho should object to any measure eater
culated to effect that e d ; but as it ,s incumbent un them I.
consider the effect of any tit, ..sores to be adopted. as opera!'
ing nit the getreill issue 1,1 their aot,s, which +:l iirl"
vate Banks are regllated, and of snitch the whore c,trrcoqf
exclusive of the :totes of primate banktrs, is codiposed, flat
feel themselves obliged iii the new situation in which
have been placed by (tie lt. stlictron Act of 17-97, to ',m,411
'lliad not le,s thew duties to :the establisha,eat user
they preside, than their dunes to the community at !3,-!C°
whose interests, in a pecuniary aid commerAil rela:, tl:4`,
have, in a great degree, been confided to their Uisca
—On reading this he preferred no comp out
against the Bank. • He did nft advert to f'
throw any imputations on the pl. cc ins 0; 40C
Establisliment, but he felt that the ..s:-.eitott
which it contained was a melancholy truth ; ha
,e ,
wisnu the House to relieve 'them (10,1, rl,t7 ,'utsr
which hail been thus thrown upon the
was iulpossible for him, recollecting the e4c,l'he
stances under which it was established sinteoli
after the Revolution of 1688, not to fed a ;0 o'r
interest in the prosperity of the batik of 17.irW.-
land. From his knowledge of the 13,e,k
he felt great individual interest in the success et
their establishment, but they could not be stir"
prised it doing every justice to their motives, there
conduct, like that of every other pubtic hody,-
came the subject of inquiry In reacting drag
paper to which he had adverted, it Aas bee "4
he telt that it stated the troth,. that a str.)ag
impression on his wind was made as to the 11e'
cessity of relieving them front the ditty of attend"
lug to the concerns of the votottry at large."'"
It was the duty of Parliament, tutd not o' th°
Bank, to take care ,of the pectoti icy snd coo°.
mercial concerts of the nation geiieially_ 1•°
it not he thought that he bi.ini,4l k wuell
he said this, but be certainly brought 11.11 it oil.
the duty of the Legislature to enleasout,
great exertion, to resume. that duty which its
thus been delegated to the Batik. On this groutyb
lie most earnestly recommended an caily leper
meta of the advances made by the Batik, thout4li
be did not consider the repayment of the wil
10,000,0001. necessary before the res,quptiou
cash payments, unle,s it should be insisted 0111
by the bank. He now wished the House to 104
at the practical cousequences that would flow 11°ns
the adoption of the plan recommended by t
ba
Committee, in order to ascertain if the 4100►
which had gone abroad were well or ill-forindeds
Suppose the repayment of the 10,000,0001. trees
,
to be effected in the course of two years, in par
merits of from four to 500,0001. per mouth. A'
Bank would•commence paying their notes in
lion in February 1820, in gold bats, to be takr4
at the rate of 4/. is. per ounce, and front the 14
of October following, at 31. 19s. 6d. per ounce it
hot while doing this, and receiving, the sums 10,
had mentioned in repayment of the advances
had made, should a contraction of the curresel
to that amount necessarily follow, could not th°
Bank 4 on receiving a payment of half a tuilnossA
expend it iu bullion, or lay out halt of it in t. 1315.
purchase of gold, and the other half in '4ll'.
counting bills' as usual ? There was no necesoti,"
as it appeared to him, for them to diminish the:
issues by one single shilling. He was not 01'4
tail that they might not even be incresse,
tinder the proposed system. He would that'll*
plore the House not to be led away by clatuod!:
he implored them seriously to consider the well! •
of the case for themselves, and to look into 0'
and see if the resolutions which he was about ttic
propose, might not be carried into effect, 11°
.‘
only without contracting the currency, but ,
manner perfectly consistent with its increase'
They were told that the object of the Contralti
was to tie down-the Bank issues to the price 0..
gold, and to compel them to diminish the cur
:Tiny down to the present price of gold: o°i
this argument, if it were good for any thing,
would apply for ever to a- resumption of casb
payments. If the evils ant:cipated would flow 00.01
the Bank undertaking to pay their notes 01
gold, issued at 41. Is. or 31. 19s. 6d. per octal
it followed that time saute reasoning would AP:
ply a fortiori to the resumption of cash paY
menu' at any one period on the old piao-"
that is, at 31. 17s, 1071 A. To the tears e

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