The following work consequently contains an
abstract of the Evidence, which will be found to
be properly classed and subdivided into the
different general heads, which the evidence of
each individual contains, beginning with the
Directors and those persons whose testimony
chiefly relates to the Bank of England, and
ending with the examination of the Country
Banks and those whose evidence chiefly refers
to Country Banking.

It will be obvious, on comparison, that the
evidence, generally speaking, is rendered infi-
nitely more clear and intelligible by being thus
abstracted and digested. But for the use of
those who may wish to refer to the original, the
number of the Question in the Report is given,
at which each paragraph commences, so that the
work will answer the purpose of an Index to the
original Report as well as a digest of it.

But the Appendix, as before stated, is much
the most valuable part of the Report. The Tables,
however, were so ill stated, and so confusedly

A 2

given, that its value is in a great degree lost.
We have therefore recomposed the chief part of
them, and have also classed them in such a
manner, as, we venture to hope, will render them
easy of reference, and restore them to the value
which they ought to possess.

To the Digest we have also prefixed observa-
tions upon the Evidence, which we hope may also
be found to add something to the general interest
of the work; and upon the whole we trust that
the proceedings of the Committee will be much
more easily understood and more correctly ap-
preciated in this publication, than they could
have been in the original Report by the greatest
labour and attention.

pages 1 to 5

The Instructions of the House of Commons to the
Committee, and the defective Manner in which they
were acted upon
Imperfect nature of the Inquiries into the System on
which the Country Banks conduct their Issues

Nature and Importance of the Bank of England Cir-

culation

p. 5 to 11

p. 11 to 23

p. 23 to 31

p. 31 to 35

Peculiarly irresponsible nature of the Trust reposed in

the Bank

Principles on which the Bank conduct their Issues. p. 35 to 47

Erroneous Conduct of the Bank in their Transactions

Erroneous Conduct of the Bank in Political Panics,
&c.

Erroneous Conduct of the Bank in anticipation of a

Bad Harvest

p. 47 to 55

p. 55 to 62

p. 62 to 69

Conduct of the Bank during the Panic, no exception to

their general System of Management

p. 80 to 82

Conclusions drawn from the Conduct of the Bank,

upon their own Principles

p. 82 to 84

The Principles totally wrong by which the Issues of

the Bank are governed.

p. 84 to 100

Error of the Committee in refusing Information on the

Subject referred to them

p. 100 to 112

Error of the Committee further illustrated by a Refer-

ence to Mr. Scrope's Essay, written for the Quar-

terly, and Mr. M'Culloch's article in the Edinburgh

Review, on the subject of the Bank Charter. p. 112 to 118

Want of Knowledge of General Principles exhibited in

the Article in the Edinburgh Review

p. 118 to 121

page 1

ib.

5

6

ib.

REPORT of the Committee

Evidence.

Mr. HORSLEY PALMER, Governor of the Bank of England.

1. Explanation of Accounts (q. 1)

2. Silver Coin (q. 18)

..

3. Explanation of Accounts (q. 25)

4. Branch Banks, Issues, &c. (q. 60)

5. Principle by which the Bank of England is guided in the

Regulation of its Issues (q. 72)

6. Bank of England Notes a legal tender by Country Bankers.

Securities held by the Bank ought to be marketable, &c.

(q. 97)

7. Bank of England the only body that regulates its Issues by the

Exchanges (q. 120)

10. Policy and Functions of the Bank (q. 166)

11. Control and Management of the Bank (q. 199)

12. Bank occasionally exports Silver, Bullion, &c. (212)

13. Directors-Confidence reposed in them, &c. (q. 227)

14. Circulation equalized (q. 255)

2

CONTENTS.

ib.

15. Management (q. 263)

16. Small Note Circulation the cause of irregular demands upon

the Bank for Bullion, &c. (q. 209)

17. Political Panic (q. 283)

18. Amount of Sovereigns which the Bank can pay in a Day

(q. 305)

19. Deposits (q. 318)

20. Issues and their Effects (q. 361)

21. Foreign Panic equally affects our Currency (q. 397)

23. Branch Banks; the facilities they present, and their advan-

tages, &c.

24. The Bank more adapted to Public than Private Business, and

ought not to interfere with the Private Banker (q. 477)

..

..

25. Mode of Dealing, &c. of the Branches (q. 495)

26. Bank of England as at present superior either to a Govern-

ment Bank or to a Competition of Public Banks (q. 545) ..

27. The Panic of 1825, its Origin and Severity (q. 596)

28. Bank of England Notes a Legal Tender by Country Bankers

suggested (q. 622)

29. The charge of the Circulation might be safely left to the dis-

cretion of the Directors under the review of the Government

(q. 658)

30. The state of the Foreign Exchanges will never produce Panic.

Their effect upon the Circulation and Prices (q. 673)

31. Responsibility of Management of the Monetary System in the

Directors (q. 712)

32. Publicity of Accounts (q. 723)

53. All excess of Issues eventually prejudicial (q. 883)

34. Conduct of the Bank both before and subsequent to the return

to cash payments defended; and all errors attributed to the

Government (q. 69)

WILLIAM WARD, Esq., Directer of the Bank of England.

1. Conduct of the Bank previous to the Panic of 1825 (q. 882)..

2. On the Export of Bullion (q. 1928)

24

26

3. Conduct of the Bank previous to the Panic of 1825 (q. 1958)

4. Conduct of the Government in reducing the 4 per cents., and

in endeavouring to relieve the Distress of 1822 (q. 2013) ..

5. State of things previous to the Panic of 1825 (q. 2020)

6. Difficulties of Government in 1825 (q. 2052)

7. The Bank employed Mr. Rothschild to purchase Gold in 1826

(q. 2068)

..

8. Principles on which the Bank ought to act with regard to its

Issues, and the Exceptions to it (q. 2073)

9. The present Rule of the Bank for regulating its Issues finally

established in 1827 (q. 2074)

29

10. Conduct which the Bank would pursue in anticipation of a

bad Harvest (q. 2093)

ib.

b 2