1812. An Act passed "for the further prevention of the counterfeiting of silver tokens issued by the Governor and Company of the Bank of England, called dollars, and of silver pieces issued and circulated by the said Governor and Company, called tokens, and for the further prevention of frauds practised by the imitation of the notes or bills of the said Governor and Company" (52 Geo. III. c. 138).

Lord Stanhope's Act continued, by 52 Geo. III. c. 5, until three months after the commencement of the next session of parliament.

1814. Lord Stanhope's Act revived and continued, by 54 Geo. III. c. 52, during the continuance of the Bank Restriction Act.

1815. The following stamp duties were imposed upon notes of country bankers (55 Geo. III. c. 184):

s.

s.

s.

d.

Not exceeding

1

1

........

.............

0

5

Exceeding ....

1

1

and not exceeding

2

2

0

10

,, .......

2

2

,,

,,

5

5

1

3

,, .......

5

5

,,

,,

10

0

1

9

,, .......

10

0

,,

,,

20

0

2

0

,, .......

20

0

,,

,,

30

0

3

0

,, .......

30

0

,,

,,

50

0

5

0

,, .......

50

0

,,

,,

100

0

8

6

1815. Peace being restored, the Bank Restriction Act would have expired six months afterwards, but it was continued by a new Act until the 5th July, 1816.

1816. The Bank Restriction Act continued from July, 1816, to July, 1818.

The bank was authorized to increase its capital from 11,642,400 to 14,553,000, being an addition of twenty-five per cent. to the stock of the several proprietors. This addition was made out of the surplus profits without any further call (56 Geo. III. c. 96). In consideration of obtaining this privilege, the bank agreed to lend the government the sum of 3,000,000 at three per cent.

1817. April 17. The bank gave notice that on and after the second day of May then next ensuing, it would pay cash for all notes of 1 and 2 value dated prior to the first day of January, 1816, or exchange them for new notes of the same value, at the option of the holders.

Sept. 18. The bank gave notice that on and after the first day of October then next ensuing, it would be ready to pay cash for their notes, of every description, dated prior to the first day of January, 1817.

1818. The Bank Restriction Act continued from the 5th July, 1818, to 5th July, 1819,

The bank had always followed the practice of detaining the forged notes offered for payment. But two persons who had forged notes returned to them by the bank, paid the amount and kept the notes. They were charged with having forged notes in their possession, and tried on this charge, but the juries acquitted them. In consequence of this decision the bank has since returned all forged notes to the parties presenting them, after having stamped them in several places with the word "forged."

1819. A bill passed through parliament in the course of two nights to restrain the bank from paying away any more gold under its notice of September, 1817, or any previous notice. A committee of the House of Commons had reported that the bank had paid away above five millions in gold; the greater part of which had been taken to the continent, and there re-coined into foreign money.

From an account submitted to parliament of the total amount of outstanding demands on the Bank of England, and the funds for discharging the same, it appears that there was a surplus in favour of the bank of =5,202,320, independently of its capital of =14,553,000.

Mr. Peel's Bill passed. This Bill (59 Geo. III. c. 49) contains the following provisions: -

1. The Bank Restriction Act was continued, absolutely, from the 5th of July, 1819, to February 1, 1820.

2. Between February 1 and October 1, 1820, the bank was required to pay its notes in gold bullion of standard fineness at the rate of 4 1s. per ounce, but not to be liable to a demand for a less quantity than sixty ounces at one time.

3. Between October 1, 1820, and May 1, 1821, the bank was required to pay its notes in gold bullion upon the same plan, at the rate of =3 19s. 6d. per ounce.

4. Between May 1, 1821, and May 1, 1823, the bank was to pay in gold bullion upon the same plan, at the rate of 3 17s. 10 1/2d. per ounce, which was the mint price of gold.

5. From May 1, 1823, the bank was to pay its notes in the gold coin of the realm.

6. But between February 1 and October 1, 1820, the bank might make payments at a less rate than 4 1s., and not less than 3 19s. 6d. per ounce; and between October 1, 1820, and May 1,1821, the bank might pay at any rate less than 3 19s. 6d., and not less than 3 17s. 10 1/2d., on giving three days' notice in the Gazette. Such payments to be made in ingots or bars of gold, of the weight of sixty ounces. The bank was also permitted to pay in gold coin on or after May 1, 1822.

7. All the laws which restrained the exportation of gold and silver coin were repealed, and the coin was allowed to be exported or melted without incurring any penalty.

The bill did not give satisfaction to the bank directors. They wished to be allowed to pay their not,es in gold bullion at the market price of the day.

The 59 Geo. III. c. 76, was passed to prohibit the bank making advances to government without the authority of parliament. But the bank was allowed to purchase exchequer bills, or to advance money on them, but the amount of such bills was to be laid annually before parliament.

1820. An Act passed for the further prevention of forging and counterfeiting of bank notes (1 Geo. TV. c. 92). It also enacted, that the names of persons authorized by the bank directors to sign the notes, might be impressed by machine instead of being subscribed in the handwriting of such persons.

1821. The bank commenced paying off its notes under 5 in gold. The directors had procured an Act of Parliament, 1 & 2 Geo. IV. c. 26, permitting them to do so from the first day of May, 1821. The gold coins issued by the bank were not guineas, but sovereigns of the value of twenty shillings, which were now first coined. The gold coined at the mint this year amounted to 9,520,758, and the silver to 433,686.

1822. In this year an Act was passed permitting the country bankers to continue the issuing of notes under 5 until the expiration of the bank charter in 1833. As the law previously stood, their notes were prohibited on the resumption of cash payments by the bank. The directors made the following reference to this subject, in a memorandum they delivered to the parliamentary committee of 1832: -