SECOND READING. (Hansard, 10 December 1857)

§ THE EARL OF DERBY

said, he was not present upon the occasion when the presumed understanding was come to, but he had no desire to interfere with it. It was very important that the Bill should not be allowed to pass without being discussed, but at the same time he had no wish at all to impede a measure which he believed was but an act of justice to the Bank Directors and the Government. He, however, would avail himself of the present opportunity of calling the attention of the Government to a part of the Bill of which, as he conceived, some explanation was necessary; he referred to that part of the Bill which required that the rate of discount should be kept up during the whole period of the suspension of the Act of 1844 to a minimum of 10 per cent. He could understand that at the period when the suspension took place it might have been quite proper and necessary to make that requisition; but it was different when they were passing an Act, not merely of indemnity, but for continuing the suspension of the Act of 1844 for twenty-eight days after the meeting of Parliament in February. The continuance of so high a rate of interest after the absolute necessity for it had passed away was most undesirable, as tending to prevent the restoration of public confidence and to inflict great and perhaps undeserved suffering upon the smaller class of traders. He was not prepared to move any amendment upon the point, but he thought the Government would act wisely in leaving a discretionary power to the Bank of England, instead 448 of prescribing an absolute restriction for two months longer. If the Government should press the provision to which he had referred, he hoped at least they would be prepared to give some explanations of the reasons which induced them to take that course.