Star.
London, England, 1818-03-05 00:00:00

TIIE BANK.

Lord ARCHIBALD HAMILTON said, that it
being now understood that the Restrictions on Cash
Payments were to be continued for some time fur-
ther, it was desirable that the House should know
what progress had been made, or what the effect was
of the steps which had been taken, towards the re-
suming of cash payments ? To a motion of the same
kind last year, the objection urged was, that as the
Bank was preparing to resume their payments, it
would be improper to enter into premature discus-
sions upon the steps they were taking with that view.
Now it was extremely probable that payments were
not to be resumed at the time fixed, and therefore
the same reason could not be urged against his Mo-
tion. When he said that the resumption of payment
was improbable, he did not conceive any transaction
with foreign countries an adequate reason. A great
deal of money had been floating in this country of
late. Some account of its management became ab-
solutely necessary. He trusted the House, consider-
ing the immense importance of the subject, would
not be satisfied with such information as the Bank
Directors chose to communicate, but would feel
themselves called on to take some steps in order to
know how a matter of such vital interest to the
country was conducted. The notices in question
must have had some effect. Was it a beneficial effect,
or what effect had they ? He wished some answer
should be given to this question, and hoped, at least,
that some explanation would be given before this
motion was refused. He concluded by moving for
" A Copy of any Notice issued by the Bank in 1817,
respecting the Payment of their Notes, the Amount
of Payment to which they became liable in conse-
quence of such Notice, and the Amount which they
actually paid."
The CHANCELLOR of the EXCHEQUER said,
the Noble Lord might easily have anticipated the
objections to his motion, if he recollected the discus-
sion that took place last year. Any interference on
the part of the House with the proceedings of the
Bank, was of all things most likely to derange their
measures, to render them dilatory, and to retard the
very object proposed by such interference. All
chances of the resumption of cash payments depend-
ed upon their proceeding in the most imperceptible
manner possible. The payments made by the Bank
were considerable; and in making those payments
they had anticipated by several months the period
fixed by Parliament. What circumstances might
prevent the resumption of payments was not the
question. He should only say, that the Gentlemen
of the Bank were most willing to resume payment,
and that any general discussion, or general disclosure,
on the subject would only retard that object. The
happiest manner of resuming payments was to do it
imperceptibly, and without publicity or discussion.

Tf they were allowed to pursue their measures with-
out interference or interruption, they would carry into
effect the intention of Parliament as early as possible.
Mr. GRENFELL, seeing not less than four Di-
rectors in the House, could not sufficiently admire
the readiness and alacrity with which the Right Ho-
nourable Gentleman stood forward the advocate and
champion of the Bank. The conduct of the Right
Hon. Gentleman in this respect was always remark-
able, but particularly so on the present occasion.—
When he had on former occasions animadverted on
the allowance of halfa million to the Bank for acting
the part of bankers to the public—when he had ani-
madverted on allowing them 300,0001. for managing
the debt which would have been managed for half
that sum, the Chancellor always replied—" You
know nothing of it; the Bank is of great benefit to
Ministers, and to the country, of which you know
nothing, and of which I will take care you shall
know nothing." On the Bth of July last he had made
a motion similar in substance to the Noble Lord's.
The Right Hon. Gentleman then said, the object of
the motion was to gratify idle curiosity, because the
Bank had virtually resumed cash payments. It was
not now pretended that it had virtually resumed cash
,payments, nor was there much prospect of a resump-
tion at the period fixed by Parliament ; therefore the
ground of the present motion was different. The
Chancellor of the Exchequer had stated no inconve-
nience to the Bank from the motion, and it materially
bore on the subject of the resumption of payments on
the sth of July next.—The House then divided—
;Ayes 11—Noes 34—Majority against the motion 23.

RESUMPTION OP 'EASII rA A V RENTS.

Mr. TWRNEY said, that he rose for the purpose
of movilig for the production of certain- Papers con-
nected with the issues of the hank of England, to
which ht understood no objection was intended. His
motion went to the further continuation of the weekly
accounts of issues of the Bank, from the 3d of Fe-
bruary, to the 3d of the present month. It was not
his wish to enter into many observations at present,
willing rather to take the subject into consideration
as a whole question, than in detached parts. It was,
however, necessary, to advert to some circumstances,
in order to put the House in possession of what his
object was in moving for the production of the Ac-
counts of the Weekly Issues, and of the course which,
'dependent on the information these Accounts gave,
it might become his duty to take, respecting'the en.
gagements of the Bank with the country, as to its
:resumption of Cash Payments. And, in the first
place, he begged to deny that he had ever expressed
any doubt as to the fact of the Bank having accu-
mulated a large amount of specie, greater, he be-
lieved, than at any former period in the history of
their concerns, .in their vaults. But what availed
that accumulation with reference to the return of
Payments in Cash, if there was such a progressive
increase in the amount of the outstanding notes, as
tended to counteract the specie accumulated?—
He was most anxious in these inquiries to deal very
amicably with the Bank Directors. Many, many of
them he knew were truly solicitous to fulfil their en.
gagements with the public, and amongst those he
knew that the very worthy Gentleman (Mr. Harman)
who filled the chair, stood pre-eminently forsvard. It
was, indeed, to be expected of him, who was a tho-
rough bred English Merchant, and who therefore
knew the value of a wholesome state of the circula-
sitat to the commercial world. The papers presented
bid thrown so much light, or rathe; he would say
darkness, on the subject, that he could not well see
his way. At the end of the last Session the Right
Hon. the Chancellor of the Exchequer had declared,
.hat there was no doubt of the resumption of cash
payments by the Bank, at the expiration of the time
specified by law. He had since gone further, by
stating that the Bank had virtually commenced such
payments. Now all must agree, that whenever that
resumption should take place, it must be attended
with a considerable diminution of their issues. Ile
was fully aware that such an inconvenience, as incon-
venience it must be, was a subject with many of great
and natural alarm. And therefore he was anxi-
ous on that point not to be misunderstood as at
all wishing, in the event of the Bank paying its
notes in cash on the sth of July next, that even a'
measure so desirable on many grounds, should be
brought about by any sudden stoppage of its issues.
His desire was to see the Bank gradually withdraw
its outstanding notes. The House must see that the
inconvenience will be felt, more or lest, according to
the preparation of the Bank to narrow its issues.
Nose what inference did the conduct of the Bank,
since the last meeting of Parliament, afford on this
head ? The Session had scarcely terminated, when
the Bank changed its previous course, and issued a
very large amount of notes. There were on the table
of the House the Accounts of issues for the eighteen
months from July, 1816, to December, 1817 ; and
from these it appeared, that the issues in the first six
months of that period amounted to '26,000,0001. and
upwards ; in the second to 27,000,000/. and upwards;
and in the last, (that was to December, 1817,) to
29,000,0001. and upwards. Thus it was evident that
if the Bank, in place of preparing for the resumption
of their payments in cash at the time specified by
law, had determined to multiply impediments to
such a result, they could not have more dexterously
managed to effect the latter object than by the con-
duct they were pursuing. What course, he would
ask, was more calculated to augment all the inconve-
niences which would naturally attend the resumption ?
Was it meant to create such a state of circumstances
by the excess of issues, as would have• the effect of
frightening the country from the return to cash pay-
ments, by the apprehension of the convulsion which
such an amount of circulation would produce? It
was unintelligible to him how these large issues arose,
for the House must recollect, that the accommoda-
tion to the Government formed no part of it. Would
the Right Honourable the Chancellor of the Exche-
quer say, that if the Bank had abstained from these
issues, he would have been enabled to make those
flattering statements of our financial interests in which
he sometimes indulged.? Could he have disposed of
his Exchequer Bills ? The advances of the Bank to
the Government, he took at 10,000,0001. that left
19,000,0001. unaccounted for. The average of the
discounts he calcUlated at '2,000,000/. at the most.
Under these circumstances, without acting hostilely
to the Bank, did it not become every man who looked
to a wholesome state of the circulation, to watch its
proceedings narrowly, in order to ascertain what were
the preparations making to enable it to fulfil its

engagements with the public—(hear, hear, hear)?—
. If these preparations tended to multiply difficulties
rather than to facilitate the return to paymentY I.
cash, then he must say, there was a juggle going on
disgraceful to the Bank, and discreditable to the Go-
vernment—{hear, hear.)—ln that case the Bank had
turned its back upon its duties, either to amass
property for itself, or to shew its subserviency to the
Treasury—(hear, hear.) He would give them a month
longer, if in the accounts he now moved for, and in
those for which in April he intended to move, he
should see progressive reduction, then he would feel
the Bank were in earnest in their preparations.--

r
Should a contrary appearance present itself, it would
become his duty to take the consideration of the
House on the Resolutions he should submit for that
purpose. His sole object, as he before stated, was
to restore the circulation to a healthy state. That was
also the bounden duty of the Bank towards the
public ; and it was of importance that they should
conduct their concerns to that end—{dear, hear.)—
Ile could not see, now that we were at peace and no
panic whatsoever existing, that in the event of the
restriction being taken off, should induce men to ex-
change their Bank Paper for Gold. But at all events
no one could deny, that whilst the present fluctuating
state of circulation continued, the private property of
every man in the kingdom was placed in the greatest
jeopardy, and that some great calamity must, sooner
or later, be the inevitable result. It was impossible
but that an inconvertible paper currency without
limit, must end in ruin. It might be the case that
some of the Directors of the Bank would explain the
motives-for these increased issues of their paper.—
Should they afford no such explanation, but shelter
themselves under the majorities of the Chancellor of
the Exchequer, he, for one, and he believed the whole
kingdom, would entertain their suspicions of such
conduct. The Right lion. Gentleman concluded
with moving for the total weekly account of issues
from the 3d of February to the 3d of March, distin-
guishing the Bank Notes from the Bank Post Bills.
The CHANCELLOR of the EXCHEQUER did
not mean to oppose the motion, and only rose to say
that he was to be understood as assenting only, with-
some limitation, to the proposition, that in order to
prepare for the resumption of cash payments, the
Bank should withdraw a great proportion of the paper
in circulation.

Mr. MANNING said, with respect to the increase
within the last year in the issues of the Bank, it had
no connect;on with the adjournment of Parliament.
About the month of July the payment of the divi-
dends of the S per Cents. must 6f necessity have occa-
sioned an increase in the issues of the Bank.

Mr. GRENFELL said, that the increase of the

amount of the issues of the Bank, which his Right
Honourable Friend (Mr. Tierney) had referred to,
WAS not confined to the month of July, but was on
the average of the whole last six months. He com-
plained that the uncertainty which now prevailed re-
lative to the resumption of cash payments, was pro-
ductive of much evil in the City, and occasioned the
fluctuations and speculations in the Funds. The de-
lay of the Chancellor of the Exchequer in the decla-
ration of his financial plans had also the effect of in-
creasing these fluctuations, and gave individuals to
whom any hints relative to those plans were commu-
nicated an opportunity of engaging in these specula-
tions. He,,, therefore, hoped the Right Honourable
,Gentleman would put an end to this by an explicit
declaration to the House of what was intended with
respect to the Restriction Act, and the plans of finance
for the year. Such a declaration would have the effect
of rescuing the daily victims of the present very un-
necesary and unjustifiable uncertainty.
The CHANCELLOR of the EXCHEQUER said,
he must utterly deny that any thing had been said by
him, in this House or elsewhere, or could have been
said by any person in his confidence, to occasion the
fluctuations in the Funds, or to enable any such spe-
culations as the Honourable Gentleman (Mr. Gren-
fell), alluded to. He positively denied the truth of
the imputation which seemed to be conveyed by the
Honourable Gentleman, and must repel it with the
contempt which it deserved—(hear). He would leave
the Honourable Gentleman himself to decide whe-
ther any premature or partial statement by him on
either of the two subjects mentioned would not have
the effect of promoting those speculations which ought
so much to be discouraged?
Mr. TIERNEY said, that if he fonnd that the
Bank did not before the end of March withdraw some
part of the immense amount of paper in circulation,
so as to prepare for the resumption of cash payments,
he would move a resolution for the purpose of adopt-
ing some precautionary measure against.such a pro-
ceeding on the part of the Bank, as would bring the
personal property of the country into great danger.
Mr. GRENFELL said nothing was farther from
his intention than to impute any improper or corrupt
motive to the Right Honourable Gentleman the Chan-
cellor of the Exchequer, who, of all who had ever
filled that high station, was, he verily believed, the
last man wllo would be capable of such an act. (Hear).
The motion was then agreed to. The other orders
of the day were disposed of, and the House adjourned.

The new satirical Novel, announced under the title
of THE &MYNA, already begins to excite much curio-
sity. —Our Readers may form some idea of the Work
from the motto, which is_taken from the Preface to
Glenan:on, and is as follows : " With re•
gard to the characters, the painter well knows, that
when he is sketching the personages of history, or the
creatures of his imagination, the lineaments with
which he is most familiar will sometimes almost in.
voluntarily rise beneath the touch of his pencil."
Yesterday Morning, at Eleven o'Clock, the Lottery
began, immediately after which, 6,963 Was
drawn, and being the first-drawn Blank, was entitled
to Four Pipes of Port Wine. The Ticket was shared
by T. Blau, in Two Quarters, Two Eighths, and
Four Sixteenths.—ln the course of the day the fol-
lowing Capital Prizes were drawn, the whole of which
were also sold and shared by T. Buns, viz.
_