Proprietors not to be disqualified: -
"12. Provided also, and be it enacted, that no proprietor shall be disqualified from attending and voting at any general court of the said governor and company, to be held between the said 5th day of October, 1834, and the 25th day of April, 1835, in consequence of the share of such proprietor of and in the capital stock of the said governor and company having been reduced by such repayment as aforesaid below the sum of £500 of and in the said capital stock: provided such proprietor had in his own name the full sum of £500 of and in the said capital stock on the said 5th day of October, 1834; nor shall any proprietor be required, between the said 5th day of October, 1834, and the 25th day of April, 1835, to take the oath of qualification in the said charter."
Bank to deduct the annual sum of £120,000 from sum allowed for management of national debt: -
"13. And be it further enacted, that from and after the said 1st day of August, 1834, the said governor and company, in consideration of the privileges of exclusive banking given by this Act, shall, during the continuance of such privileges, but no longer, deduct from the sums now payable to the said governor and company, for the charges of management of the public unredeemed debt, the annual sum of £120,000, anything in any Act or Acts of Parliament or agreement to the contrary notwithstanding: provided always that such deduction shall in no respect prejudice or affect the right of the said governor and company to be paid for the management of the public debt, at the rate and according to the terms provided in an Act passed in the 48th year of his late Majesty King George HI., intituled ' An Act to authorize the advancing for the public service, upon certain conditions, a proportion of the balance remaining in the Bank of England, for payment of unclaimed dividends, annuities, and lottery prizes, and for regulating the allowances to be made for the management of the national debt.' "
Provisions of Act 39 and 40 Geo. III. to remain in force, except as altered by this Act: -
"14. And be it further enacted, that all the powers, authorities, franchises, privileges, and advantages given or recognized by the said recited Act of the 39th and 40th years aforesaid, as belonging to or enjoyed by the Governor and Company of the Bank of England, or by any subsequent Act or Acts of Parliament, shall be and the same are hereby declared to be in full force and continued by this Act, except as far as the same are altered by this Act, subject, nevertheless, to such redemption upon the terms and conditions following; (that is to say), that at any time, upon twelve months' notice, to be given after the 1st day of August, 1855, and upon repayment by Parliament to the said governor and company, or their successors, of the sum of £11,015,100, being the debt which will remain due from the public to the said governor and company after the payment of the one-fourth of the debt of £14,686,800 as hereinbefore provided, without any deduction, discount, or abatement whatsoever, and upon payment to the said governor and company and their successors of all arrears of the sum of £100,000 per annum, in the said Act of the 39th and 40th years aforesaid mentioned, together with the interest or annuities payable upon the said debt or in respect thereof, and also upon repayment of all the principal and interest which shall be owing unto the said governor and company and their successors, upon all such tallies, exchequer orders, exchequer bills, or parliamentary funds which the said governor and company or their successors shall have remaining in their hands, or be entitled to at the time of such notice to be given as last aforesaid, then and in such case, and not till then (unless under the proviso hereinbefore contained), the said exclusive privileges of banking granted by this Act shall cease and determine at the expiration of such notice of twelve months."
Act may be amended this session: -
"15. And be it further enacted, that this Act may be altered, amended, or repealed by any Act to be passed in this session of Parliament."
It will be seen by a reference to the 5th Section of this Act that the bank charter was renewed for certain for a further period of ten years (until the 1st day of August, 1844), but with the further proviso that if the then existing government did not see fit to give notice that the charter should expire within a twelvemonth from that date, the charter should in that case continue until the expiration of twelve months' notice to be given after the 1st day of August, 1855.
It will also be seen by the 13th Section that, "in consideration of the privileges of exclusive banking given by this Act," the bank was to deduct the annual sum of £120,000 from the allowance made to it by the government for the management of the public debt as fixed by Act 48 Geo. III. c. 4, passed in 1808.
1844. "Bank Act" passed. This Act is discussed at length elsewhere, and we need only refer to it here to say that by the 8th Section the above-mentioned deduction of £120,000 was repealed, and in its place, and " in consideration of the privileges of exclusive banking and the exemption from stamp duties given to them by this Act," a deduction of £180,000 from the allowance to the bank was substituted. But as this sum included £60,000 as composition for stamp duty on notes, the bank's allowance remained the same as it was left by Act 3 and 4 Will. IV. c. 98, viz. - £340 per million on six hundred millions of debt, and .£300 per million on the excess of that sum.
The 27th Section of this Act continued the bank charter with all its powers and authorities, franchises, privileges, and advantages, until the expiration of twelve months' notice to be given after the first day of August, 1855, and upon repayment by Parliament of the public debt of £ll,015,100 to the bank. It is under this enactment that the Bank of England possesses all its privileges at the present time, the public debt being still outstanding, and the requisite twelve months' notice not having been given.