§ The Chancellor of the Exchequer draws the attention of the Board to paragraph 8 of the Final Report of the Committee on Currency and Foreign Exchanges after the War, which recommends the imposition of a maximum limit on the issue of currency notes under the Currency and Bank Notes Act, 1914. The Chancellor proposes to the Board that steps shall be taken to give effect to the recommendation that the 45 actual maximum fiduciary circulation of currency notes in any year shall be the fixed maximum for the following year.
The maximum fiduciary circulation during the expired portion of the current calendar year has been £320,608,298 10s., and the Chancellor accordingly proposes that directions shall now be given to the Bank of England restricting them from issuing currency notes during the twelve months commencing the 1st January, 1920, in excess of a total of£320,600,000, except against gold or Bank of England notes, and from issuing in the calendar year commencing 1st January in any year henceforward notes in excess of the actual maximum fiduciary circulation of the preceding twelve months.
§ My Lords concur.
Let copies of this Minute be transmitted to the Bank of England and Ireland, the Bankers' Clearing House Committee, and the Comptroller and Auditor-General; and let copies be presented to both Houses of Parliament.