§ SIR JOHN HAYmoved that the House go into Committee, in order that the Chairman might be directed to move the House, that leave be given to bring in a Bill to authorize the Governor and Company of the Bank of England to issue their notes in Scotland, and to make such notes a legal tender there.
§ MR. KINNAIRDsaid, that the mere mention of this Bill had caused much dis- 603 cussion in Scotland. The people were at a loss to know what it meant, and he hoped the hon. Baronet would state what was the purport of the Bill.
§ SIR JOHN HAYsaid, the object of the Bill was simply to make the Bank of England note pass current north of the Tweed, which was not the case now. It would be very convenient to all parties if they could make it a legal tender in Scotland.
§ THE CHANCELLOR OF THE EXCHEQUERsaid, he thought it would be only courteous to the hon. Baronet, seeing that it was admitted that there were points in the banking system of Scotland which deserved the consideration of the House, to go into Committee, and give him an opportunity of submitting his plan. Further than that he could not go; because what the hon. Baronet treated as a very simple matter appeared to him to be very far from simple, and he could hardly imagine any single proposal connected with the currency that could raise a greater number of difficult questions. The hon. Baronet wished to make Bank of England notes to pass current north of the Tweed. But there was nothing to prevent Englishmen from taking Bank of England notes into Scotland or Scotchmen from receiving them. He understood that at present in Scotland paper was not a legal tender, and therefore this was a proposal to introduce it for the first time, and in favour of a note manufactured in England. They were not in a state to legislate on the Scotch bank issue this Session. There were great difficulties surrounding the proposal. It would require careful weighing, and if adopted it would have to be adopted with the general goodwill and consent of the people of Scotland, and, probably, in conjunction with many other subsidiary arrangements. He did not object to the introduction of the Bill, but he was not prepared to say he could give it his support on the second reading.
§ Considered in Committee.
§ (In the Committee.)
§
Resolved,
That the Chairman be directed to move the House, That leave be given to bring in a Bill to authorise the Governor and Company of the Bank of England to issue their Notes in Scotland, and to make such Notes a legal tender there.
§ Resolution reported in Committee.
§ Bill ordered to be brought in by Sir JOHN HAT, Mr. BAXTER, Mr. DUNLOP, and Mr. CAEGILL.
§ Bill presented, and read 1o. [Bill 115.]