The Sun.
London, England, 1826-02-18 00:00:00

commending an issue of Exchequer Bills, and at the same time
condemning the Bank for purchasing those which had been
issued.: Without purchasers, of what avail, were Exchequer
Bills ? The Hon. Member for Cfoveutry would impeach the
Bank Directors for the re.issue of one-pound notes, though
they had the sanction of the Legislature. He could not con-
ceive any thing illegal in restaging the re-issue after a vo-
luntary cessation.
'Mr. ELLICE explained. lie merely said the Bank Direc-
tors ought to arraigned—but he did not say impeachrd.
Mr. HUSKISSON said, that circumstances justified them.
When they had coin sufficient to answer their purposes, they
were anxious to avoid the issue of notes, as a saving of expence.
They would withdraw their small notes us soon as was con-
sistent with circumstances ; but as the country bankers were
suddenly withdrawing their paper, it would be necessary to
substitute some other circulation. As there was danger that
country bank notes might be withdrawn more rapidly than
sovereigns could be supplied for them, the proposed amend-
ment was only facilitating the operation of the Bill.
Sir J. NSTROWESLEY thought that Ministers had been
acting upon theory, but the wants of the people would compel
them to abandon the principle of their Bill, and to administer
practical relief. Their case was rather hard between the
wants of the people on the one hand, and a little club of
the Opposition behind him, who would be sure to be down upon
them, for abandoning the principle of their Bill. He did got
like acting upon principle.—(A laugh.)--He mean that he did
not like acting upon mere theory. He could conceive that at a
future day the story of this Island might be thus told—lt was
once called Lilliput, and governed by dwarfs; subsequently it
was inhabited by giants, and called Brobtlignag ; but at last
it was the Island of [Apure, and ruled by philosophers, who
made it the insignificant spot to which it was reduced by their
counsels. The Chancellor of the Exchequer was now aban-
doning the principles of a metallic currency, and retaining for
circulation notes which, of all others, were the easiest tube
forged. For his own part, he would never wish to see one
pound notes in circulation, but they were necessary to mane.
facturers, and country notes were preferable for use to those of
the Bank of England, because the former could not easly be
forged; but, the latter could. He objected to the circulation of
sovereigns, inasmuch as they were very liable to being Sweated,
down and counterfeited.
Mr. HUDSON OUR NEY approved of the amendment,
ns the only means of carrying the measure without mischief.
He had known .a country banker, who, within a few days, had
paid sovereigns three times over for 13,0001. of his own notes,
having twice re-issued them, and on receiving them back the
third time, he threw them all into his own fire.
Mr. (MIN'S said, that country bankers withdrew their
notes only because the issue of stamps was stopped. He would
not oppose the measure.
31r. CA LCRAFF was for allowingg, country bankers a con-
current power with the Bank of England till the 10th of Oc-
tober.

Mr. TIERNEY assured his Hon. Friend that *rough the
whole of the discussion on the important subject which then
occupied the House, he had felt much anxiety, and although
he had not spoken he had listened with attention. It was not a
party question, and he supported his Majesty's Ministers
upon their first proposition:- He could not help saying there
had been a departure froth the orinal' subject. There had
been a wavering at a time when firmness was most wanted.
The original propOsition, was to. widen the metallic currency,
which he considered a most desirable object to be attained.—
The measure then proposed was a -deviation from that plan.
The Bank were to have nine months to make a hoard of 14
notes. It had been said bank notes and gold coin of the same
value would not circulate together. That was not a new doc-
trine. It had been proved a hundred years ago that bad Cur-
rencv would drive out the good ; and itishakzere true, what
was to become of bank notes wi • circulation
The Right Honourable ,sage
sent by Burke to Pitt—Tell Pitt if fie he
will not have a guinea in the country. tat
dicta must not the gold give way to the notes to b) nu:ailed
up by the Bank ? - He did not see how they could keep up
war prices and have. a metallic currency. The fact was, the
panic had been brought on by the acts of the Government.
When the country was in a state of opening prospe-
rity, Government pushed their measures to extremes. Why
was the rate of interest reduced ? Why.did the Bank advance
money on securities ? Who was to be accommodated ? The
country Gentlemen were to be enabled to keep up their rents.
When the rate of interest was reduced, men were forced into
speculations. By running up every thing, and running down
ever thing, the country had been plunged into an abyss of dis-
tress and ruin. The crisis had been brought on, it was said, -by
overtrading.' What was overtrading but unsuccessful advert-.
cure. With respect to the relief to be. afforded in the money
market, he could not conceive the object could he answered.—
By the arrangement with the Bunk, they would afford relief
to the wrong trutn., , Ile preferred the measure resorted to
on a former occasion, namely, the issue of Exchequer Bills fUt
the relief of distress. lie could not well believe that a gentle-
man in the country had burnt thirteen thousand pounds. He
could reasonably suppose that a person mightbe nut of humour
'ith Banking and wish. to give it up, but that he should
relieve any disappoinitnent he might sustain by burning 30,0001.
in notes, was most extraordinary.—Lilere an Honourable
Member reminded Mr. Tierney that it was 13,0001.]-.-He was
told of the distress of the country: Was distress to be cured
by burning 13,0001. ? Things, it was said, would come round;
be had no doubt things would come round, and that the Gen.
tleman who put the notes in the fire would rake up the ashes
and find the Money again. • Ile believed the country bankers
had indulged in an usurious system, and be now hoped to see
it 'done away: He thought the best arrangement in commerce
was that in which the Government .had nothing to to, but if
,they would interfere, let them do that which would lead to a
wholesome state of things. • .
The CHANCELLOR of the EXCHEQUER did not rise
for the purpose of extending the debate, but he felt anxious to
say one or two words on that, which had been said by the Right
Hon. Gentleman,' urthe Government In -its tlejtlings with the
Bank. The meaSure of the dead weight. originated with Go-
vernment. They were responsible for the Bank issues in 102.1,
but with respect to the Bunk lending money on stock, so far
from that measure having been adopted by the Bank at, the
suggestion of the Government, he could assure the Right Hon.
Gentleman that the GovernMent never knew the Bank had
adopted that course Until they received information from them
on the subject. The Government was not responsible for the
acts of the Bank: They had not that controul over the Blink
which many supposed. He thought Gentlemen' should not
charge the Bank with nets which were-exclusively the acts of
Government, and also that they ought to, abstain from. making
the Government responsible for acts of the Bank.
Mr. ELLICE said - he should not divide the House on the
question.' •
The Bill was then read a second time without a division, and
committed for Monday.
WEST INDIA COLONIES.
Mr. GORDON begged to know from the Hon. Member op.,
polite, whether it was the intention of Government to act upon
the Report Of the Commissioners of Inquiry into the Criminal
and Civil Courts of some of the West India Colonies ?
Mr. W. HORTON said he was not able to give an imtne
diate answer to the question, as Government was' waiting for a
fresh report, as matter for further consideration ; but -he could
say, that Governmeht intended to, take some steps on that al-
ready obtained.
The Other Orders of the Day were then disposed of, and the
House adjourned at HALE•PAST ONE till Monday. .