The complete uncertainty as to the degree of responsibility acknowledged by the bank of england is

Any foreign state hereafter which wants cash will be likely to come here for it; so long as the Bank of France should continue not to pay in specie, a foreign state which wants it must of necessity come to London for it. On one vital point the Bank’s management has been excellent. We were enabled by it to sustain the great drain of silver from Europe to India to pay for Indian cotton in the years between 18621865. But now large joint stock banks of deposit are among the most conspicuous banks in Lombard Street. The account of which we have been speaking is the yearly account of the English Government–what we may call the Budget account, that of revenue and expenditure. e. A large sum is just then paid from the Government balance to the bankers’ balances, and if you permitted the Bank to lend it while it was still in the hands of the Government, but forbad them to lend it when it came into the hands of the bankers, a great tilt upwards in the value of money would be the consequence, for a most important amount of it would suddenly have become ineffective.

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