Note 3 — 1826.

[On the 10th of February the Chancellor of the Exchequer moved in Committee ‘That all promissory notes payable on demand issued by licensed Bankers in England or by the Bank of England for less than 5ℓ. shall not be issued or circulated beyond the 5th of April next.’ Mr. Huskisson made an able speech in support of the proposal, showing that the inflation produced by the small note paper currency had greatly contributed to cause and aggravate the panic (‘Huskisson’s Speeches,’ vol. ii. p. 444). Mr. Baring, afterwards Lord Ashburton, opposed the restriction of small notes, but with small success. The period allowed for the contraction of their circulation was, however, extended to the 10th of October.]