Star.
London, England, 1818-04-10 00:00:00

continued for at least another year. The plan whick
he proposed would do away, at least, one of the argu-
ments against the continuation of the Restriction Act
_namely, that it created an excessive issue of small
paper. The loss which would be sustained by the
existence of a great number of them in circulation
at the time when the limitation would Le renewed,
was sufficient to keep down the issue cf small paper
for the next two years. The plan was, therefore, a
security against it. He was fully impressed with
the conviction that the measure was necessary, under
the circumstances of the country.—(Hear, her:o—
care should be taken to prevent the public
from being imposed upon by inadequate or fictitious
securities, and no exertion should be spared to render
the measure as effectual as possible. As soon as the
preparatory arrangements were made, the country
bankers might begin to deposit their securities. He
knew that some of them would be anxious to issue
stock notes as soon as possible. The Right Hon. Gen-
tleman concluded with moving two Resolutions:

Test, That it was the opinion of the Committfie art leave
should be given to bring in a Bill authorizing the continuance of
the Bank Restriction Act for a time to be limited.
" Second, That leave be given to bring in a Bill to authorize
Bankers in I"'land sod Irt.h.nd to issue Promissory Notes, on
the security of Stock in the l'ublic Funds or other Government
Securities."

Mr. TIERNEY said, that he did not mean to
follow the Right Hon. Gentleman through the de-
tailed statement which he had just made. He should,
however, beg of the Committee to take one thing
into their most serious consideration, namely, that
the Legislature was now called upon to adopt all at
once a new system, and that in a time of peace, with-
out any one reason having been advanced to support
it, without any previous examination of it by a Com-
mittee—(hear, hear). Upon the second Bill he shduld
not at present offer any opinion. Of its general
hearing he could not yet form an idea ; and even
if he had, he should not upon such a subject trust
entirely to his own opinion—(hear, hear). He did
not know whether the Bill was meant to sweep
away the whole of the country paper circulation,
and place it in the hands of the Bank of England.—
He could not say whether it was destined to dimi,
nish the profits of the Country Bankers, and increase
those of the National Bank ; but he certainly did
think it a little hard that a Bill should be brought
into Parliament now, which was not to h*ve effect
for two years to come—(Hear, hear, hear).—
Was it intended by this manoeuvre to create a kin
of a prejudice against the Country Bankers, at the
same time that it held out the means of enabling every
man to put himself upon his guard against them ?
And was it right that these men should be held up
before the public for two years?—(Hear, hear, hear.)
Ile did not profess to understand the whole of the
plan which the Right Hon. Gentleman had but par-
tially explained ; but it was pretty clear to his view
that not one man in the country would be found
foolish enough to deposit stock which should be
double the amount of the paper he meant to issue.—
The plan required of a banker who was about to issue
1001. in small notes, to lay down previously 2001.
that was to purchase the issue of 1001. with 2001.
(hear, hear, hear.) How could it be expected that any
man would issue small paper under such circum-
stances as these ? But then the Right Hon. Gentle-
man said, he might lodge in Exchequer Bills an
amount equal to that which he wished to issue. What
was this then after all but giving effect to that sys-
tem which the Right Honourable Gentleman made
the constant employment of his thoughts, namely,
the increase of the paper circulation by composing
part of it of Exchequer Bills ?—(/ear, hear, hear.)—
He would ask also, whether, under this arrangement,
the issue of small notes would be in the least af-
fected. Who would take a 51. note, when he could
have five separate pound notes, which would be ade-
quately secured, while the 51. note was mines such
security ?--(lscar, hear)—Was this the well digested
measure which the Chancellor of the Exchequer had
in contemplation for some months? Would he pre-
tend that he had not a much inure extensive plan if
he had not been corrected by others ? Of the Deben-
tures, however, which were not issued, he should say
nothing—dernortuis nil nisi bomare. The subject should
be submitted to a Committee, where all parties might
be heard, and where the matter might be fully in-
quired into upon their various information--kheer).—
He looked, he confessed, with a good deal of jealousy
at the introduction of a Bill into the House two full
years before it was to have any effect. There must
have been some reason for this proceeding, which it
was not in his power to fathom, unless it was, that
the Right Honourable Gentleman wished the House
to pledge itself now to the principle. But there was
no ree.,on why the Bill should be brought in now,
110: was there any thing necessarily requiring the
House now to adopt the princple, and he hoped that'
neither would be even entertained without e most
serious consideration. As to the plan, if nobody,
else should move for a Committee to examine it, he
should take that duty upon himself. He was rather
surprised to hear the Right lion. Gentleman de-
clare his intention of renewing the Restriction Act,
as if he had supposed it was quite new to the House.
There were not nine persons out of ten in the house
who did not foresee that intention from the com-
mencement of the Session, or at least from the mo-
ment that the Right Honourable Gentleman acknow-
ledged that be had some doubts upon the subject.
As soon as those doubts got into the mind of the
Right Honourable Gentleman, they got out of the
mind of every person in the country—(hear, hear.)
The restriction had been asked for one year and " no
longer." But he felt confident that it would be con-
tinued every future year, until the House would take
steps to compel the Bank to resume cash payments.
The Right Honourable Gentleman had indeed said,
that he was sincerely sorry that it was not advisable
to terminate the restriction ; and by way of illustration,
he said the Bank was as sincerely sorry for it as himself.
This, he (Mr. Tierney) fully believed. The Bank had
no sorrow at all upon the subject (hear, hear), conse-
quently, neither had the Chancellor of the Exche-
quer. It was the interest of the Bank that the Re-
striction should be continued—it was profitable to
them, and the Bank Directors were the Chancellor
of the Exchequer's masters; he could not go on with-
out them. " I," said Mr. Tierney, " told the Right
Hon. Gentleman so two years ago; and I may use
the words of the Poet—. •
I thought AO then, and now I know it!"
—!Lanchter). Without the Bank advances and deal-
ings viith ;lie Right lion. Gentleman, half of his bob-