Star.
London, England, 1829-06-05 00:00:00

recommend the Petition and its argumeots to the atm.
lion of Government.
Mr. Secretary PEEL said that, if the Hon. Gentle-
man could propose any plan to remedy what he called
the calamities of the country, he should have proposed
it earlier, instead of complaining, as of late, of existing
grievances. It appeared to him, thatotter the derange-
ment of the currency in 1797. and the imposition of the
bank testriction, any attempt to restore a healthful state
of the currency must inevitably be accompanied by
great distress. With respect to the changes which had
been made at the time they were effected, they had at-
rived at a point when they were forced to consider the
subject. and were left no alternative but to leave matters
as they were, or to adopt measures calculated to pro-
duce stability. Two measures were open for adoption
in 1819, and he could not conceive any other course
than the selection of one of them. These were either
to depreciate the standard, or to make the currency of
the country payable in gold. An equitable adjustment
bad been proposed, but it never appeared to him pos.
sible to compass such an adjustment. and he had never
heard of any scheme by which it could be carried into
effect. It was proposed that a plan should be devised,
by which those who bad lent money in a proper cur-
rency should, in return, receive payment in gold with
a deduction. But the first objection to this scheme
was, that the bank restriction was only continued from
year to year, being considered as altogether tempos ary,
and that the money was advanced under a positive as-
surance that the metallic currency would be testes, ed,and
the debt repaid in gold. Then, with regard to the trans-
fer, he apprehended that all those who purchased into
the funds after that transfer, would have the greatest
right to complain, if it had been attempted to pay off
the debt in 1801 in currency subject to deduction. A
man who bought 1001. stock in the funds at 961. would
have had a fair right to complain, if they visited on
him the deduction which might equitably, though not
legally, be claimed from the original party. who had
perhaps advanced but 601. Under these circumstances
he could never see how it was possible to produce a
satisfactory scheme of an equitable adjustment. The
question at present to be considered was, whether or
nit it was expedient to unsettle the currency ? He con-
ceived that there was a great difference of opinion ex-
tant as to the standard of depreciation. It was the
opinion of the late Mr. Ricardo, enforced by able argu-
ments, that the little demand for gold in the English
market proved that the nominal difference between the
market Ara mint price of gold was not the standard.
In so far he conceived that Mr.lticardo was right. With
respect to the subject generally, he must say, that the
more he considered it, he was the more impressed with
the conviction that the interests of the country required
adherence to the plan which had been adopted, and he
hoped he should never see the time when they would
be obliged to return to bank restriction. He would
ask the Gentlemen of Birmingham if the currency were
increased in its amount by an issue of paper, what
would they propose to do with the exchanges? Would
they or would they not propose to leave the Bank to
pay its notes in gold? He was ready to admit that Geis
vernmeett might for a time give a factitious stimulus to
the trade of the country. The principle was fully ex-
plained in the Essays of Mr. Hume. An increase in
the amount of the circulating medium would produce
a gradual increase in the price of every commodity.
but after the artificial impetus had been given, the
period of excitement would pass away, languor alone
would remain, and it would be found that they bad
only postponed the evil day. If they looked at the
state s f rl►e exchanges now, and the state of them three
months back, they would perceive that the increase
of paper currency was :smiling else than encouraging
the departure of gold from the country—(Hear, bear).
It was certain that unless it stele proposed to teliese the
ll.nk Irian the obligation or paying in gold by another
restriction, the desiied ch..nge would leave it subject to
a'l demands, and would end in exhausting its treasure.
The Bank had a right to that relief if the plan recom-
mended by the Gentlemen of Birmingham were fol
lowed. He would not admit the piemises ot the Hon.
Gentleman. He would deny that the restoration of the
standard had produced the existing distress. He did
not believe in those doctrines. The Hon. Gentleman
said that the cause could not be traced to over produc-
tion. Now, in that doctrine he could not agree; for if
there had been over production there would have been
a depreciation of the article. He denied those premises
altogether. It they looked at the exports, if they looked
at the imports, if they looked at the consumption of ex
cisable article., curing the period that has elapsed since
1819, the House would find that an increase in all time
points had t kin place, which would appear the more
important, b-cau e in many cases the aniciunt of taxa-
tion had been reduced. Now, if the Mir. Gentleman
contended that there had been an increased consump-
tion, and admitted, as he must, an increased receipt of
excise duty. how was he to reconcile these f sets? He
had bad himself an impres►ion that the increased elasti-
city of trai:e in Manchester, as respected silk in parti-
cular, had had an effect upon that ea Spitalfields and
Macclesfield. and he had thetelore taken measures to
ascertain the present sta.* of trade in Manchester as
compared with former periods. Now, if there be th 4
universal degradation which the Honourable Gen-
tleman had asserted, Manchester must have home
its proportion. But what were the facts? From
the statement which he held in his hand with tefe-
fence "to the state r f the cotton trade ar the several
periods of 1820. 1823, 1826, and 1828, the re-
sults woulJ prove satisfactory to the House on the
question. Now, to begin with► 1820, the year following
that in which the alteration e.f the currency had bee..
deter mined on, and in which, of course. the effect of
such alteration would have been begun to have been
telt, he found that these were fifty-four manufac ones
in Manchester, and which were assessed for the r oor
rates at a value of 16,8061. In 1823 there were fifty-
six manufactories, whose annual rate of assessment was
18,2931. In 1826 the fifty fur manufactories of 1820
had increased to seventy two, and the annual assessed
value to 20,0341.; and in IS2S (last year), the yea►
before the annihilation of the small note system, and
notwithstanding other causes of depressed trade, he
found that the factories amounted in number to se.
vent y-three. and their annual assessed value to 25.2401.
—(Hear. beat, hear). Al the same he felt it only
tail to say, that several of those factories were at the
present moment untenanted; but making allowance for
these, when he found that iii the year 1828 twelve more
factories were employed than in 1823, and that conse-
quently a greater proportion of capital was engaged
io that trade during the last year than at the former
period, how were those facts teconcileable with the
assertion of the Huneurable Gentleman that distress had
become general? Th-►e were the facts as applied to
Manchester itself, and they were bi roe out by that which
respected its suburbs, Charlton tow and Salford, where
an increase in the number of t ictories had taken place,
and the increased annual assessment of which was up-
wards of I.IOQI. 111 Salford, in 1820, bete bad been
but seven factories, the annual assessor•yt of which had'
been only 1,6151. In 1823 there were twelve factories