IN the Year 1704, I was desired by the Ministry to give my Thoughts of such an Undertaking, which I then did, and printed some Considerations relating thereto, adapted for that Time, which I have added in the Appendix, pag. 158.
NOR can this be any Prejudice to the Linnens of North-Britain, being of quite different Sorts; which should also for many Reasons be Encouraged, by such Means and Methods, as on due Consideration may be thought proper.
THE Fifth is, the carrying on the Fishery, which deserves all the Encouragement the Legislature can give it; and I think the readiest way to do it, is, by incorporating such Societies, as are witting to set upon it with joint Stocks, but not exclusive to any others, which will promote Industry, and shut out Stock-jobbing, the Bane of so many good Undertakings.
THE sixth, and indeed the Foundation of all the rest, is, the establishing a substantial Credit, large enough to answer all the Occasions of the Nation, both public and private, which is the Wheel whereon all the rest must turn, and whereby, not only the Trade of the Kingdom, but also the Occasions of the Government may be supplied, and the public Debts gradually sunk, by a good Management; and This, I humbly Conceive, cannot be settled any other way, but on a parliamentary Foundation, any Thing less will be too narrow.
IN the Year 1696, I made some Essay towards such a Credit, which I then presented to both Houses of Parliament, and have now incerted it in the Appendix, pag. 174. But the Bank of England having about that time furnished his Majesty with a considerable Sum of Money, then very much wanted, for the present payment of the Army, which the Ministry could not otherwise have raised, tho’ they approved of the Projection, were unwilling to disoblige at that Juncture, by setting up any thing like theirs, and so that Matter slept then, as it had ever done, if I had not observed that the famous Mr. Laws had drawn a Scheme from it, for the Service of France, as near as the Constitution of that Kingdom will admit; not that I think it can be lasting, the Foundation being laid on Sand; Yet it hath served the present Occasion, to pay off the Debts of that Nation, by an incredible Stock-job, which must in all probability, end in Confusion and Discontent.
NOTHING can support a National Credit, but a steady Government, where the arbitrary Will of a Prince cannot withdraw, or lessen the Security at his Pleasure; and had such a one been then establish’d here, in all probability, we bad been several Millions less in Debt, and not felt that heavy load of Taxes, which hath opprest our Lands, and injur’d our Trade; nor do I think those Debts can be discharged by any other way, private Men now carrying off those Profits, which should sink them by degrees.
THE Advantages of a National Bank, and the good Effects it will have, in this Free Government, towards the Lessening our national Incumbrances, will plainly appear, when it is considered, that one hundred Pounds borrowed, will circulate two, besides it self, and thereby reduce the Interest, to one third Part of what is paid to the Lender; but if it circulates three, then to a Quarter, and it may be, to much less, according as a Bank hath Credit, and is found Useful.
BY this Rule, if the Public pays Four per Cent. for Interest, it may by Circulation be reduced to one, and there is no doubt, but that a Well-constituted Bank, will be soon fill’d with Money at that Rate; the great Ground of Buying and Selling Stock being, the vast Sums of Money which lie dead on Mens Hands, who hope thereby to make some Profit, but would be glad to dispose of it, on a substantial Security, at a moderate Interest; besides the Advantage it will be to Widows and Orphans, whose Money would be safely lodged, and bring them in a certain Income, for their Maintenance; and here will be no room left for Stock-jobbing, which hath now got such a Footing, even into our public Affairs, that the Parliament doth not give a Land-Tax or a Lottery, where the Subscriptions to it are not Ingrost, by those who have not Money, in order to make an Advantage, by selling them to such as have, besides the vast Charge in the management of Lotteries.
AND as to Trade, the Bank of England hath been very serviceable to this great Metropolis, by making a little Money serve the Uses of a great deal, but the Benefit thereof hath extended no farther; and why other Cities, and indeed the whole Kingdom, should not have the same Advantage, (which it will, if a National Bank be established, and Chambers settled where desired) I cannot conceive.
AND here I must refer to the Appendix, for the better Illustrating the Benefit thereof, and the manner of its Institution, as then intended, which must now admit of several Alterations.