Brought over, £81,368,926 To these were to be added those items to be borne by England, which come under the head of SEPARATE CHARGES. 2,000,000 270,000 Debentures and Loyalty Loan 90,000 Vote of Credit Bills 1814, and Reduction of Exchequer Bills. 6,000,000 £89,728,926 And there remained to be borne by England ... £79,968,112 which he had enumerated would prove sufficient. After a clear statement of the terms on which the loans had' been contracted, which were obviously prudent, and advantageous; and an explanation of the grounds on which he took the surplus of the consolidated fund at three millions, the Chancellor of the Exchequer proceeded to state the amount of the charges on the country by the loans, and the way in which it was proposed to meet them. The total amount of the capital created by the exchequer bills funded, and 9,760,814 the loan in the five per cents. amounted to 21,208,000l. 5 per cent. stock; the interest of this to 1,060,000l. ; the sinking fund to 331,000, with the usual charge for management. The loan obtained that day created a capital of 49,680,000l., the interest of which would be 1,517,000l. ; the sinking fund would amount to 758,700l., to which would be added the charge for management. The total amount of the capital created in the present year by funding, was 70,888,0007. The interest on this was 2,577,000l. ; the sinking fund 1,090,000l.; the total annual charge to the country 3,689,000l. The rate per cent. at which the whole of the sum raised in the present year had been obtained was, to the subscribers. (including the sinking fund), 5l. 14s. 24d. The total charge to the country was, every thing included, 8l. 3s. 53d. He shewed, by a comparison of the expences of this loan with those of former years, that, notwithstanding the immense addition to our debt, the increased expence of these loans was very trifling. This, he said, might be considered to result from an astonishing increase of public credit since the period to which he had referred, or to the improved situation of the country And which ever way it was viewed, the effect was equally gratifying. To provide for the annual charge of 3,689,000l., the The vote of credit intended to be proposed this year, and included in the above statement, was to the amount of six millions, and would be made good in the usual way, by a vote of exchequer bills to the same extent. Anxious, however, that there should not be too great a pressure on these securities, he should propose a reduction of three millions from those voted last year, besides the repayment of five millions issued on the last vote of credit by these means the sum paid off would be equal to that which it might be necessary to issue in the course of the year. He then proceeded to state the ways and means, for meeting the supplies which had been voted. He took the annual duties at 3,000,000l.; the surplus of the consolidated fund he also took at 3,000,000l.-He took the war taxes at 22,000,000l.; the lottery at 250,000l.; old naval stores at 508,000l.: the vote of credit, he had stated at 6,000,000l.; the exchequer bills funded, and the loan in the five per cents. would give 18,185,000l.: the second loan 27,000,000l. The amount of these sums fell a little short of the supplies; but upon the whole he expected that the ways and means House had already supplied by taxes of customs and excise on tobacco, and on excise licences, about 600,000l., and there were now under the consideration of the House additions to the stamps and postage to the amount of about 1,200,000l. more, making in the whole a provision by new taxes of about 1,800,000l. Thus it would be seen about half the necessary supplies were provided by taxes now agreed to, or in progress through the House. For the remainder, he proposed to take a sum of from 1,800,000l. to 1,900,000l. out of the sums in the hands of the commissioners for liquidating the national debt, as he was authorised to do by the act of 1813. The sum in their hands was at present about 70,000,000l., and he proposed to cancel so much of that as would suffice to meet the remainder of the charge created by the loan. After a variety of general observations on the state of the country and its foreign relations, he concluded by moving the first resolution necessary for carrying the foregoing views into effect. Mr Tierney paid the Chancellor of the Exchequer some well merited compliments on the clearness and fairness of his statements with regard to the existing ways and means, on which, upon the whole, he said, that he agreed with him. With regard to the supplies, however, he stated his apprehension, that these, instead of remain ing at their present amount, immense as it was, would go on continually increasing." -"Let the committee," he said, "look at the progress of our expenditure, creeping up as it had been for the last six or seven years. In 1808, it had been 45 millions; in 1809, 50 millions; in 1810, 48 millions; in 1811, 52 millions; in 1812, 55 millions; in 1813, 57 millions; in 1814, 63 millions; and now, in 1815, 72 millions. Willing as he was to admit that the right honourable gentle man fulfilled the duties of his high office with exemplary attention, he must contend, that he was mistaken when he conceived it possible to carry on the war without an increasing, instead of a diminishing expenditure. It was in the nature of such an expenditure to be rapidly increasing. Circumstances were perpetually starting up to produce this effect. This was a frightful prospect for the country." He then adverted to the deviation from the system of Mr Pitt, of raising so much of the supplies within the year as should materially reduce the amount of the loan; and of affording, by the operation of the sinking fund, the means of obtaining the loan on better terms than the country could otherwise have enjoyed. But by comparing the amount of the loan, and the amount of the taxation during the last eight years, he shewed that, while, previous to 1812, the taxes each year amounted to a great deal more than the loan, since that period the reverse had been the case; so much so, that in the present year the loan exceeded the taxes by 17 millions and a half. As to the sinking fund, it, by the present financial system, instead of increasing, was daily becoming less. He contended that, in place of proceeding in this manner, it would be better for the country to look its expenditure in the face, and either to reduce its amount, or to meet it at once by taxation. He concluded by an attack upon the policy of the govern ment, in having entered into the present war with France.-The Chancellor of the Exchequer replied to the different observations of Mr Tierney. In answer to that gentleman's censure of the financial arrangements, he referred to the measures of Mr Pitt at different periods, and particularly in 1805, to shew, that that statesman did not, in great and extraordinary emergencies, attempt to raise the whole of the expenses by taxation, but by an increase on the amount of the loans; and he justified his own proceedings by the authority of that great man's precedent. He likewise entered into a variety of calculations, showing the effect of the system introduced in 1813, respecting the sinking fund, and proving that the progress of the redemption of the national debt would be perfectly satisfactory, notwithstanding the relief afforded to the public burthens. The different resolutions proposed by the Chancellor of the Exchequer were then put, and agreed to. On 16th June, the Irish budget was laid before the House, by Mr Vesey Fitzgerald, the Chancellor of the Irish Exchequer. The substance of his statement was as follows: The sup. plies consisted of the estimated quota of contribution of the year 1815, stated at 10,574,2157., and of the interest and sinking fund on the debt, 6,098,1497., making the total supplies 16,672,364/. The ways and means were, 6,100,000 Surplus of the consolidated fund L.688,807 tary services 2-17ths of old naval stores, 1517ths having been taken credit for by England Loan raised in England for the service of Ireland, 9,000,000l. British Making a total 125,000 100,000 amount of which he estimated at 760,000l. British money. The resolu tions moved by him were all agreed to. The last financial measure before the House of Commons this session was the vote of credit, which it has been seen the Chancellor of the Exchequer meant to propose as part of the ways and means for the year. On 28th June, he moved, "That a sum not exceeding six millions be granted to his majesty in Great Britain, and 28,000l. for Ireland, to enable his majesty to take such measures as the exigency of affairs may require, and that such sum of six millions be raised by exchequer bills in Great Britain, to be charged on the first aids to be granted in the next session of parliament." Mr Whitbread said, " he should not oppose the motion, conceiving, that, under the present circumstances, it was material that the crown should be provided with powers capable of meeting any exigency that might arise during the recess. He hoped, that before the re-assembling of parliament, the blessings of peace would be restored to the country. Whatever difference of opinion might exist with respect to the original justice of the war (and no change whatever had taken place in his opinions on that subject,) there could be but one sentiment on the splendour of our recent successes; 90,305 which, however, he trusted would not induce his majesty's government to go in pursuit of objects utterly foreign to our true policy. It was impossible to foresee what events might speedily occur. If the noble duke, who, with his glorious army, had achieved a triumph so memorable, should reach the metropolis of France, he trusted that his protecting arm would avert the horrors which might otherwise be produced by that event. A vigorous ef fort had been made by his majesty's government to crush the resistance of 9,750,000 ways and means of 16,854,112 He stated the whole of the above in Irish currency, and the committee would observe that there was an excess of ways and means above the supply of 171,000l. The charge for the loan he stated at 727,350.; to cover this charge, he stated certain proposed additions to the taxes, the the enemy. He congratulated them on their efforts having produced a result far exceeding the most sanguine expectations. He hoped that they would not now make a turn, and engage in the pursuit of objects, which, in his opinion, would be calculated to protract the existing warfare. There was one part of Europe in which he trusted no part of his vote of credit would be applied-he alluded to Spain. A great suspicion existed among those Spaniards who had escaped from the yoke which it was attempted to impose in that country on all that was liberal and enlightened, that ministers had assisted the government of Spain in their nefarious designs. He hoped and believed that this suspicion was unfounded, for he could conceive no appropriation of the public money so highly reprehensible." The resolution was then cordially agreed to. CHAP. II. Bank of England-Renewal of Restrictions on Cash-payments. Proceedings as to the Profits of the Bank on its Transactions with Government.-Bill for putting an end to the exclusive Privilege of the South-Sea Company.- Bill to make Freehold Estates liable for simple Contract Debts.-Bill to Amend the Laws respecting Insolvent Debtors.—Abolition of Gaol Fees.-Bill for Abolition of the Pillory.-Act for extending Jury Trial in Civil Causes to Scotland. THE affairs of the Bank of England, and the relations between government and that great establishment, gave rise to several important proceedings in parliament this session. The restrictions on payments in cash were to expire on the 5th of April; and it became necessary to consider whether or not these restrictions were to be renewed. On the 2d of March Lord Archibald Hamilton, in the House of Commons, moved for a committee to enquire into the affairs of the Bank of England, and into the effects produced on the currency and commercial relations of the kingdom by the different restriction acts. His lordship took a view of the great increase in the issues of paper since the restrictions commenced; and argued that, in consequence of these issues, not only did the proprie tors of the bank derive exorbitant profits at the expence of the public, but the value of our currency was excessively depreciated; and, among other evils attending this depreciation, he contended, that it was in part, at least, a cause of the late high prices of corn. * The Chancellor of the Exchequer said, that as the noble lord's arguments were founded on the supposition, that the bank restrictions would be continued to an indefinite period, he thought it hardly necessary to enter into a refutation of them, as it was expected that the restrictions would cease on the 5th of July 1816. He entered, however, into an examination of those arguments, in the course of which he maintained, that no measure could be more calculated to defeat the resumption of cash-payments than the very enquiries which were wished to be made; for, if once the information which these enquiries would give were published, it would place the bank at the mercy of every speculator in bullion in the country; and he concluded by stating the grounds on which he conceived it more than probable that cash-payments would be resumed in July, 1816.-" If," he said, "the peace with America had been ratified at the same time with that at Parisif the foreign expences had been concluded-if the arrears which were due * For some observations on the Bullion Question, and its relation to the question as to the price of corn, see p. 60 of this volume. |