The Statesman.
London, England, 1822-02-27 00:00:00

THE STA'

spaded that:the ,niiiwisi►x of expense 'had bden
*ern lit a desire to submit to imonyenience. The next
measarc to which the Oevernment bad directealtheir at-
tentreni, iraitbe securing of a Sliskiog Fund of at least

.firemillione The next was the reduction of taxation,
itiCampribed without a violation of
publiciaitba and without endangering the public safety.
The saving by a reduction of, the interest of a portion of
the nifional debt, was to be applied to the reduction of
a tax upon an reticle most in consumption; and
further reductions might confidently be expected
hereafter. In particular we might look for a
diminution of that which at present ha might
call a dead expense to the country. He alluded M
the half-pay and allowances. This expense, 'bevy
as it was, we were bound by every principle
of law and justice to defray; for it was paid printd-
pally to those who had fought oar battles in the litel
larder's§ contest. It amounted to nearly five
a sum
.greater than the whole expense of our army and
navy, at no very early period. From this charge we
might of course look for a gradual reduction. It was
in the nature of a life annuity; and though the reduc-
tion might be slow, it was certain. He would here
request the attention of their Lordships to the Resolu-
tion passed by Parliament in the year 1819,
expressive of its determination to maintain a Sinking
Fund of five millions, to be applied against the whole
capital of the national debt. A Fund thus solemnly
guaranteed, it was the bounden duty of Parliament to
uphold; but whether it would suffer the accumulations
of this Fund to increase, for the advancement of its
first object,•or would reface taxation by the amount
of those accumulations, was a question which he ad-1
mitted might be open for the consideration of Perlis-
latent, and which might be materially intinenced by
the pressure of temporary circumstances. He now
came to the proposed loan of four millions, for the
relief of that distress which was se very properly a
material subject for their Lordships' consideration.—
Brat before he stated his views on this important topic,l
he would shortly notice the circumstance connected
with the Bullion Cammittee of 1819. In 1919 it was,
proposed by the Chancellor of the Exchequer and
himself to pry the Bank tire or six millions, prepara-
tory to their being called upon to resume Cash Pay-
ments. It was however well known that when the
Bullion Counnittee had made its report, the Bank
urged the necessity of a larger repayment, and de-
sired that the sum previously named by Ministers
should be extended to 'ten millions The. Bank was
considered to have demanded more than was y,
tint at the same time it was judged right to comply
with their request, by making a repayment to that
amount. He was however reconciled to it by what
had occurred in the Committee. By referring to the
evidence it would be seen that when the question was
asked, " What course would be taken if their Manes of
gold should prove unequal to the demand the an-
swer given was, " That they must lower the rate of
their discounts." This had reconciled him to the
demand thus made. Now, though he was ready to
give the Bank every credit for the purity of their
motives, Ind believed them to let on the, brat judg-
ment they conld obtain in most cases, it pan a moat
extraordinary eircanistaece, that at den monseir
when, the market rate of interest for stoney was
not mom tbra 4 per Cent, the Bank did not discount
at less than 5. This was the Mote remarkable when
another fact which was known to every one was Mk.'
en into consideration, namely, that the exchanger
having been for • long time favourable. to this
county.. bad brought an immense. geentitrof trea-
sure 10 Sits Sank, which was now,is their peeping.
Though. the Hank continued to dibioant at 5 per
cent, they bad consented to advance 4 million pounds
on Exchequer pills at three per cent. interest with a
view of relieving the Agricultural Distress, This
sum it was considered, by being advanced in loans
granted to the Parochial Authorities, or by being
employed through the medians of the Commissioners
of Public Works, er by being used in both ways,
would tend to relieve the landed interest, and greatly
facilitate the accomplishment of the object in view.—
The principle on which this suet of four million
pounds was to be advanced, had already been recog-
sized when • similar 'unsure was resorted to for the
relief of the manufacturing interest, and he now avowed
that he had the best authority fur stating, that it
would in all probability afford great relief. When Le
said this be hoped no man would take up the idea
that he meant to say, the measure IM had recoils-
meoded, ally more than any other, 'redid work won-
ders and remove the evil complained of immediately;
bet what he meant to hold oat was this, that in the
judgment of his Majesty's Ministers, it would afford
a considerable palliation from the esteasion of the
circulation. No difficulty could be anticipated as
likely to grow out of it, affecting the currency, for
the conditions on which the advance was to be mad,,,
gave the Bank the power, in the event of the exchange
becoming unfavourable, to claim the repayment of
each million at three months notice. This expedi-
ent had from the first appeared to Win well caten-
ated to meet the evil which most loudly tatted for
redress: and nothing that be had heard at sit tended to
alter that opinion. Under peculiar circumstances i
might have been unnecessary. If, for instance, the
measure of lowering the Bank disrouots bad been
adopted, such an advance might not have been requir-
ed ; but as the Bank continued to discount at Five per
Cent., it appeared to him in all respects applicable to
the present situation of the country. There was One
other subject on which he must touch. Their Lord-
ships wereaware that a Committee of the Commons
had sat in the I.tst Session
,uf Parliaineut, me the Corn
Laws. Their Report was on their Lordships' table.
That Committee had been revived in the present See.
sloe, to consider whether any alteration in the Corn
Laws had become necessary. He doubted whether
any immediate relief could be afforded by altering the
Corn Laws, but at the same time some modifications
might be made without departing from the general
spirit which would prove in many respects beneficial.
The existing law was found defective in this—that it
.pve the corn grower a perfect monopoly, till the
prier of wheat rose to eighty shillings, and then in-
stead of admitting a gradual *applj of foreign corn,
'it allowed of its being throin:ln teasels hate our
markets. This change was tea great, pawing at pace
from an absolute monopoly—fium an absolute prohi-
bition, to the moat unrestrained importation. Thei
sudden transition from one system to 'Lordlier, diaini
trieally opposite in is character, was tojurions, end
was ttartefuse desirable to ascertain whaithrgehitt molt
in.t be altered with advantage, Hs Sue,OllPM
,t ILO '.1•1