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in Exchequer Bills, these latter being a received no answer" ;' and indeed, none species of promissory note bearing interest ; could it receive.--I beg the reader to and these the Bank buys and keeps remark the expressions about the PAPERby them, and, of course, receives the inte- “ MILI.." Seven years, seved long years, rest for them; and, observe, they pay for have I been abused like a thief for making them in their own notes, which bear no use of such like expressions.I must, interest. This is a curious operation, and once more, beg the reader to go through worth illustrating a little.---The govern- Mr. MauryaTT's Speech. It is not long; ment issues notes called Exchequer Bills, and it opens a 'new and very interesting in payment of debts that it owes, or' in scene. order to get money for the purpose of
WM. COBBETT. paying debts.---Now, to speak in round State Prison, Newgate, Friday, numbers, suppose
government wants a April 26, 1811. thousand pounds, and has not so much in the Exchequer. “ Why,' say you,
MR. MARRYATT'S SPEECH “paper is easily printed, and as people
are willing to take paper for labour and In the House of Commons, 25th April, goods, the best way is for the govern,
1811, on the subject of Ercheguer Bills “ ment to make a hundred ten pound
bought by the Bank. “ notes at once; and thus pay in its own Mr. MarryATT requested the attention “ home-made coin. Why not do this?" of the House for a few minutes, on a sub
Indeed, it does seem absurd, that the ject which to him appeared of considergoverninent should go to the Bank to get able importance; it was the excessive paper to pay with, when it could make it purchase of Exchequer Bills by the Bank as well at home. But, there is something of England. From official communicas in appearances; there is something in tions, it had appeared, that the quantity settled opinion; and I have heard a man of Bank paper in circulation before 'the in the country say, that he thought the Bank restriction, was on the average fourNational Debt, or Funds, would fall; but, teen millions; that at the time of the rethat the Bank of England would stand. striction, eleven milions; and that at tlie Aye, it is that of England put to the end present about twenty-four inillions. The of it; and long habit, which is second na. excessive nature of this latter issue was ture. -Besides, it would not look well found in the increased price of provisions, for the government to issue its own money; and every article of common use. Some to print it off and publish it from White of the evils which were imputed to this hall; for, it would easily occur then, to circulation, were, it was true, referred to every one, that there could not possibly the unguarded system of granting licences, 'be any want of money so long as there which had been lately pursued; and if were paper and ink.--Hence it is that Parliament could pass an act for closing the other way is chosen ; and this brings up the doors of the room where the Lords us back to our supposition of the thousand of Trade sat to grant those extravagant pounds wanted by the government.-It licences, and another to close up that issues, not bank notes. Oh, no! not for the where the Bank Directors met to manufacworld! It does not grind its own money. ture their notes," parliament could not It issues an Exchequer Bill for a thousand pass two Acts more highly beneficial to pounds. That is to say, it makes a pro- the community. The fact of the excesmissory note, bearing interest ; the Bank sive issue of Bank.notes was not to be takes the said note, and gives the govern denied, it was plain and palpable; but ment a hundred of its notes for it at ten then there came an answer promptly on pounds each, or ten notes at a hundred the other side. The Bank, it would be pounds each, no matter which; and these said, made no attempt at forcing their the government pays away for goods or paper into circulation, and the people services, or no matter what. So, you only got it as they asked for it. But the see, the government gives promissory matter of mischief lay in another direcnotes that bear an interest in exchange for tion. The Bank formerly drove a most promissory notes that bear no interest.- lourishing Discount trade. It was notoAfter this, the reader will enter with due rious that the trade was cut short at once; preparation upon Mr. MARRYATT's Speech, and it was equally notorious that it was cut which I shall insert immediately after this short merely by their most regular and Summary. The Speech, as will be seen, best customers having found their way into
the Gazette: When this prosperous traffic i culation, and were made to pay even a was at'an end, the Bank looked about for lower interest than now, they might pass another. They came into the market, as Bank-notes do; they would be received bought up Exchequer Bills, and paid with more willingly than Bank.notes, and their own paper. They'thus pushed out an would saturally help to check their exorimmense quantity of paperwhich cost them bitant issue. A profit would be derived nothing; but which the public neither from them, and divided between the pub. wished for, nor wanted. Let the flouse lie and the directors; not buried in the consider the effects of this principle once exclusive coffers of the Bank. It was established. The whole transaction went true, that those issues and purchases fura, against the original objects of a National nished ihe Chancellor of the Exchequer Bank. The Bank' was established for the with an occasional opportunity of display assistance of commerce, to discount bills, on the rising wealth of the country. But to buy up bullion, and other purposes of the ground was false and hollow. The the same kid. There was present to the whole statement arose from misconcepminds of the founders of the Bank; all the tion. The whole system was fallacious; danger which might arise from too elose and the nation, like children: looking a connection between the Bank and the through a magnifying glass in a rareeGovernment, and they adopted every pre show, were only more deceived as they caution in their power against the evil. were more delighted. A Right Hon. Ba. But in 1793, a Bill was brought in by Mr. ronet (Sir J. Sinclair), in a late publica. Pitt, to allow the Bank to issue nioney tion, had actually ventured to stale, ibat a. upon Treasury acceptances. Even then Minister wanting to borrow, should en the principle was so far respected, that deavour, to increase the circulating men. the issue was limited to 600,0001. Some dium of the country. To mention this modifications of the law had since taken singular opinion was enough for ito place, and it was possible the Banit But there was a circumstance springmight be sheltered by the letter, but ing from this unjustifiable intercourse they had certainly violated the spirit of the Bank with Government, which of the law, even as it stood at this mo- ought to awake the House. It was rement. The House should look at the corded in the report of the Lords' Secret hardships sustained by individuals in Committee on ibe Bank Restriction, that this trade. What was to be the chance in 1797, the Governor aud Deputy Goverof private men, in a competition with the nor of the Bank, on the occasion of some Bank of England ? In the first instance, transaction with the Government, actually this mighty purchaseř swelled the price demanded of Mr. Pitt an obligation, that of the article by his perpetual presence in he would not subsidise, or enter into any the market. In the second place, he money négociation with any foreign Goa swelled the price, without suffering any vernment, Power, or Polentate, without thing by his own extravagancies. The acquainting the Governor and Deputy individual brought actual property; the Governor of the Bank forth with. The proprice of his land, his inheritance, his goods, inise was extorted from Mr. Pilt; and thus and most lay those down for the Exche- | were the most important secrets of the quer Bill. The Bank was not pressed by State, and the whole course of our foreign this inconvenience. It parted with no- policy, put at the mercy of those two men. thing. It was liberal of nothing that was Let this be not forgotten by the House. worth keeping. It simply went to its paper- Mr. Pitt was forced to submit to the de. mill. The mill was set in motion, the pur- mand; and did the House ever expect to chase was made without dificulty, and spe a firmer Minister than Mr. Pitt? But the price of every thing we eat, or drink, the Bank had still more power at this moor wear, was instantly increased. But ment. Then, they had but their share in why did it not strike the Minister that the the circulation of the country; now, they Exchequer Bills might be subservient to had the whole circulation by their papera more useful purposes than the profits of mill. The Bank were now purchasers of the Bank, and the increase of a paper cir- Exchequer Bills to the amount of sevenculation already enormous ? The coun- teen millions. This might be shewn to try would be better inclined to receive be highly injurious to the general interests Exchequer Bilts paying interest, than of the Empire. But where was the purBank-notes paying none. If the Exche- chase to stop? Was it to be said that an quer Bills were put into a form fit for cir- enquiry into these things was an enquiry
into the circumstances of private property? | rities was an injury to the country. The Certainly not. From the moment of the Bank made no profit by these transactions. Bank restriction, the Bank ceased to be a It had only complied with the regulations private undertaking. It became a public adopted by the wisdom of Parliament, instrument, strongly affecting public inte without travelling into the vague state rests; and it was as justifiable to call such ments, of ils having raised the price of the an agent to account; as any of his Majesty's necessaries of life by its issue of paper ; Ministers. The charge now brought all which he (Mr. Manning) must most against the Bank was plain and intelligible. positively deny, (hear! hear! from the It was that of converting the means which Chancellor of the Exchequer): he most were confided to it for public profits, inform the Hon. Member, (Mr. Marryatt) into its own aggrandisement, and that that every paper wbich could be required charge was only
to be met by a fair, open, for his satisfaction was already on the table, and candid refutation. The papers might in the Appendix to the Bollion Report, be refused; but if the Bank was guiltless, and in the accounts which the cashier of the they would not be refused. It would be Bank had lately presented to the House. impossible to attribute refusal to any other As to other transactions, not connected motive than the consciousness of guilt, and with matters of a public nature, it was not the fear of exposure. Mr. Marryatt then to be expected that any gratification moved, " That there be laid before the would be given to mere curiosity. House, an account of the Exchequer Bills held by the Bank of England on the first MR. MARRYATT complained that the day of January, April, June, and October, only account which was material should in each year, froni 1797, up to the latest be still refused. He desired to know, period to which the account could be com- not the amount of the Bank dealing pleted."
with Government, but the actual amount.
of the purchase of Exchequer Bills by the Mr. Manning observed, that the charge Bank, on its private account in the maragainst the Bank rested merely on the ket. But the Bank was now putting itself authority of the Hon. Member who had forward as the supporter of the public sejust spoken. There was no document on curities. Why was it to stop at seventhe subject before the House, and the teen millions Why not boy up the House was certainly not bound to take whole thirty millions of Exchequer Bills notice of a mere unauthenticated state that were out? Why not buy up all ment, Some Acts of Parliament had other securities? It would cost the Bank been stated as limiting the purchase of nothing but another application to the Exchequer Bills to 600,000l. It was true paper-mill. The Bank might then, with that there had been a regulation for that the whole mass of public securities in its purpose, but it was merely temporary, hands, proceed to model its proceedings as and died with the time. (The Hori. Mem- might best suit its convenience. One of ber then quoted a variety of acts, in which its operations might be the reduction of purchases to the amount of millions were the interest; and the five per Cents, might authorised by Parliament.) There had become four, and four three, and so on. been, in the passing of those various Acts, These might be the first fruits of the neir opportunity enough to resist the exten- power which the Bank bad now taken to sion of the purchase, if it were really ille- itself, and only a beginning of what might gal. When the Bank was charged with be effected by collusion with the Ministet. the extravagant traffic in Exchequer Bills, of the day. The papers necessary for deit ought to be known, that it never pur- monstrating those chargés might be techased at a premium. It was only when fused; but as a public man, he could not money was greatly wanting in the market give confidence to those wbo demanded and the most serious inconveniencies that he should give it blindly, with a premight result froní withholding their pur- cipice at his feet. He could not give his chase, that the Directors of the Bank ap: entire acquiescence to those who told bin peared in the market. The Bank bad to shut his eyes, and walk on. been charged with raising the price of the government securities. This was a curi- After a few words from Sir J. Newport; ous charge, and he (Mr. Manning) must the question was put, and negatired with go to school again, if he was to learn, that out a division. keeping up the value of government secu
DEPRECIATION OF MONEY.
will easily explain the mischievous con
sequences of a paper circulating medium, Sir ;-The information you lately gave which can never possess the determinate to your readers respecting the state of the value of the precious metals; and also coinage in France, is conclusive evidence, teach us to justly appreciate the system of if indeed any proof be wanting beyond the “ Great man now no more," and the what we daily experience, that it is not character of the greedy knaves and Imposbullion which has advanced in price, but tors who build their fortunes on the ruin our paper currency, which is alarmingly of their country.
Civis. depreciated below its nominal value. 'I 21st April, 1811. am the better pleased with your statement because it clearly exposes the fallacious
OFFICIAL PAPERS. pretence that has been so idly urged, of the competition being merely between the Spain.-BATTLE OF BARROSA.-Dispules at gold and silver currency and not between Cadiz, relative to the conduct of the Spo. the real money generally and paper. It niards in that Battle.--Cadiz, 29 March appears that the six-livres-piece, being 1911.-Concluded from page 1024.) about of the same intrinsic value as our
Letter of D. JUAN DE LA Cruz MONTGEON, crown, is, in reality passing in France at
to D. JUAN Jacinto Lopez, in consethe rate of only 1s. 10d. while Spanish Dollars worth 4s. 6d. are passing with us
quence of the Letter of the English Of
ficer, inserted in the Conciso, No. 41. at 5s, 6d. and, as you, in common with every other person of any discernment, This letter, which is of very considera foresee, cannot be kept in circulation even ble length, begins with complaining of at that price. Can any thing be more ob- the want of precision in the details of the vidus, when even our wretched silver cur- English Officer, either with regard to rency
of counterfeit shillings and six- dates or the positions of the sections, corps, pences, which perhaps contain scarcely, or divisions of the army. To remedy this half the standard quantity of silver, has defect the writer sends to his friend a absolutely almost entirely disappeared ? It ground-plan of the whole, to illustrate the this will not convince the " thinking nation" contents of his letter. He then proceeds that Bank. nytes are at a discount, I am to analyse the letter of the English Officer afraid that a complete vacuum in our in the following manner :-" He says. pockets can alone cure the defect in his letter, I know not what took place another quarter.----Perhaps there never on the heights, after our troops left them,' was a question that resolved itself into a &c. To this I reply, that Brigadier Bemore narrow compass than the subject we gines and myself remained upon them have now under discussion. If John Locke with the division under his command, were alive at this day, how would he laugh, which consisted of the company of musor rather how indignant would he feel, at keteers of Getares, a batialion of the his degenerate countrymen for their Queen, the regiments of Seguenza, Canwretched credulity and ignorance? What tabria, Ciudad Real, a battalion of the would be his surprise at finding the press Walloons, another English battalion, 4 leem with a parcel of elaborate pamphlets; pieces of artillery, and all the baggage part to prove, and part to controvert a with the ammunition of the first and se. plain maiier of fact: a truism as palpable cond division, with orders from the Gene. as that two and two make four ?--Forral in Chief to begin our retreat towards my own part, Mr. Cobbett, I shall despair the bridge, as soon as we saw the troops of the success of your arguments, how- repassing by it. We were in position at ever forcible, unless you can bestow com- this place when the enemy were descried mon understanding enough upon the mancurring to seize upon it, 'without
thinking people” to make them perceive knowing whether the English or Spaniards that an ounce of gold or of silver in bullion, would come to our assistance: if not secannot be of more value than an equal weight cure of victory, we were at least in a si. thereof in coin. They must, according to tuation to perish in our ranks, in order to the very nature of things, be alike, allowing secure the retreat of our dear allies, which for tbat additional part of the value of coin also was carried into effect; it being seen which is constituied by the price of also how much our position threatened labour. When the foregoing elemen- the enemy, the latter marched the whole tary proposition is clearly understood, it of his columns to attack the troops upon
it, and not the English, whom they could account to join the English line of battle,