HAVING lately preſented your Honours with An Eſſay on Coin and Credit, the chief Deſign whereof was to ſhew the Neceſſity of Setling a well-grounded Credit in this Nation, for Support of the Government and carrying on its Trade; I do now with all Humility lay before you Propoſals to anſwer that end, which I have not clogg'd with Compulſion to the Subject, ſuppoſing nothing of this Nature can be good, where a Common Conſent, grounded on Intereſt, doth not make it valuable.

BANKS, as I humbly conceive, ought chiefly to be Calculated for the Uſe of Trade, and modeled ſo as may beſt content the Traders. What gives them Satisfaction will anſwer all other Occaſions of the Kingdom. Money paſſes through the Hands of the Nobility and Gentry, only as Water doth through Conduit-Pipes into the Ciſtern, but Centers in the Hands of Traders, where it Circulates, and may be ſaid to be uſed; and among theſe, Eaſe, Profit, and Security, are Arguments ſtrong ennough to keep a Bank always full; Beſides, when the Streights of the Government are taken off, greater Sums will come into Trade, which are now drawn out in order to make Advantages above what the Profits of Trade will bring in.

The Heads whereon I propoſe to build this National Credit, are theſe which follow:

That a Bank be Erected on the Credit of the Parliament, the Profit or Loſs thereof to redound to the Nation, whoſe chief Chamber ſhall be ſetled in London, but leſſer Chambers in other Places of this Kingdom, at ſuch Diſtances as may beſt Anſwer the Occaſions of the Country; which Chambers to account with that of London, and that to Commiſſioners appointed by Parliament.

That this Bank ſhall take in what running Caſh ſhall be offered, and ſhall give their Notes for it; and ſhall alſo allow Intereſt after the Rate of _____ 3½ per Cent. per Annum after the firſt _____ 14 days till thoſe Notes be paid, and ſhall alſo pay it again to the Proprietors, or any part thereof, when demanded.

That if any Man puts in his Money for a time certain, not leſs then _____ 6 Months, he ſhall receive Intereſt from the time of paying it in, to the time he is repaid.

That this Bank ſhall let out any Sum again on reaſonable Security, either Real, Perſonal, or Goods, receiving Intereſt after the Rate of _____ 4½ per Cent. per Annum, till the Borrower ſhall think fit to pay it in, which he ſhall do by ſuch Parts as will beſt ſuit his Occaſions, and be diſcharged from the Intereſt of what he ſo pays, and only pay after the Rate aforeſaid for ſo much as doth remain in his hands.

That if any one deſires to take up Money on ſuch Security for a time certain, not leſs then ſix Months, he ſhall have it after the Rate of _____ 4 per Cent. Intereſt per Annum.

That Lombards be Erected to attend this Bank for the benefit of Traders, under Regulations which may encourage Trade.

That for the benefit of Returns, the Notes given in any one Chamber of this Bank ſhall be demandable in any other, together with the Intereſt due till payment, the Receiver allowing for ſuch Returns after the Rate of _____ 5s. for each Hundred pounds in the Chamber where he receives his Money.

That to prevent Counterfeits, all Notes given out at any Chamber, ſhall be made payable to A. B. or Order, and Aſſigned from one to another, each Aſſigner to be Warrantee for the Note, both to the Bank, and alſo to every later Aſſignee.

That theſe Notes ſhall be taken by the King in all Payments, which will make them currant among the Subjects.

That this Bank do ſupply the King with all Loans at _____ 4l. per Cent. Intereſt per Ann. from the time of borrowing, to the time the Money is paid in again, and that it hath the Taxes, or Funds ſettled by Act of Parliament, for its Security.

That all Debts Contracted to this Bank, ſhall be of the ſame Nature with Debts Contracted to the King, and be firſt paid out of the Eſtates of the Debtors; and that Extents ſhall lye accordingly.

That an Account be kept of Profit and Loſs in each Chamber, together with the Charges of the Officers, &c. And that it be return'd up every Three Months, as alſo Account Currant, to the Grand Chamber in London, where the whole ſhall be Examined by the Commiſſioners, and they be liable to the inſpection of the Parliament; by which means it will appear whither the Nation gets or looſes by it. And Note, That if the Nation doth looſe One hundred thouſand Pounds per Ann. by the Charge of its Management, yet 'twill get many Millions in the increaſe of its Trade, though there is no doubt but this Bank will very much more than ſupport its Charge.

That Regiſters for Lands be erected in all Counties, &c. where deſired, by Act of Parliament.

That Bills be paſt on the Bank by ſuch as are appointed to buy for the Publick Uſe of the Nation, payable at the time of their Agreement; by which means every one will endeavour to Furniſh the Government Cheapeſt, when their payments ſhall be punctual, the King will ſave a great deal of Moneys paid now for Procuration, Exceſſive Intereſt, &c. and the Fleet and Army will be well paid.

That the Commiſſioners do once every Year at leaſt make up the Accounts depending between the Publick and the Bank, allowing _____ 4l. per Cent. Intereſt as before; and make application to the Parliament for its Reimburſement.

That Bills and Bonds be made Aſſignable by Law, and the Property be thereby tranſferr'd to the Aſſigne.

That Truſtees may put the Money belonging to Orphans into this Bank, which ſhall be a diſcharge to them for ſo much of their Truſt, the Intereſt to be duly iſſued out for the maintenance of the ſaid Orphans; and that all Plate and Bullion belonging to the ſaid Orphans be by the Truſtees Coined up at the next Mint, and the Money put into the Bank for the uſe of the ſaid Orphans.

That the Money in this Bank be freed from Taxes.

Concerning which Credit I ſhall briefly ſpeak to theſe Four Things.

I. As to the Firſt, It hath the Legiſlative Power of the Kingdom of England for its Foundation, a Security ſtrong enough, and nothing elſe can be ſo, to build this Great Superſtructure upon, the well Moddeling whereof, will keep it from being ſubject to the Deſigns of Private Perſons; This will laſt ſo long as the Peoples Liberties laſt, for no Change can weaken it, ſo long as the People of England have a hand in making their own Laws, whoſe Common Intereſt will be ſo rivited and made up with the Security of this Bank, that they will in a ſhort time become one thing, ſo that nothing leſs than a Conqueſt will be able to ſhake it; This we cannot fear from any Nation beſides the French, nor from them neither till Holland is firſt ſubdued, therefore as thoſe States muſt firſt truckel, ſo far will our Bank be more ſecure than theirs; France cannot Erect a Bank on any ſort of Security, becauſe the Will of that Prince being his Law, alters according to his preſent Occaſions; Nor can Spain do it; where, not only the Government, but alſo the Profits thereof, are divided amongſt its Miniſters; As for Sweden, Denmark and Portugal, the Princes of Italy and Germany, few believe their Circumſtances to be ſuch as to render them capable of Erecting a Bank which may draw the Eyes of Europe to look towards it; England only can do it, for as an eaſie Government is its own Security, ſo that Security encourages Trade, and theſe two, accompanied with the Profits offered to a running Caſh, will make all Europe deſire to ſettle their Moneys here.

Seeing then that nothing but the ſame Power which firſt Conſtituted this Bank can deſtroy it, (a Power with whom we intruſt our Lives, Liberties, and Eſtates) I cannot ſee the leaſt room left for diſtruſt; for what advantage can any future Parliament expect by a deſign of ſeizing this Bank, when the Treaſure thereof may be drawn out whilſt they are framing the Law; and the Conſequence will be the ruining their own Eſtates, for which they can promiſe nothing to themſelves, ſave the being poſſeſt of Empty Papers:

What farther Hazard the Nation can run, muſt proceed from the Neglect of the Managers, or the Fraud of under Officers, which, Care in the Firſt, and Security for the Laſt, will prevent.

II. The next thing is to ſhew the Advantages which England will reap by ſetling the Credit here propoſed; whereof ſome do immediately attend it, others are Conſequential.

Thoſe which immediately attend it are,

1ſt, The Rate of Intereſt will hereby be brought lower, to the advance of our Lands, and Encouragement of our Trade, by Methods altogether as profitable to the Uſurer, who will be willing to let his Money Cheaper, when it ſhall never lye dead without his Conſent, his Security be unqueſtionable, and freed from the Charges of Litigious Suits, which ſo frequently accompany doubtful Mortgages.

2dly, Both Gentlemen and Traders will hereby be ſupplied with Money to ſerve their Occaſions on ſuch reaſonable Security as they are able to give, when that Security ſhall be ſtrengthened by having the Preheminence above all other Obligations; They may alſo have liberty to pay it in by ſuch Proportions as they can beſt ſpare it, when it ſhall be equally the Intereſt of the Bank to receive it ſo, which will never want new opportunities to let it out again.

3dly, This Credit will give us an Eſteem in Foreign Parts, Draw their Moneys hither, and conſequently their Trade, and thereby their People, all which will be an Advantage to England.

4ly, It will ſupply the Government with Money to carry on the War on moderate Intereſt, and make its Credit good; whereby the Publick Revenues will reach farther to ſerve its Occaſions, and the Miniſters of State be freed from many anxious Thoughts which now make them uneaſie.

5ly, It will make Returns from place to place in England both cheap and certain, which will help our Inland Trade, and prevent Robberies, now too much encouraged by travelling with Money; It will alſo be profitable to our Foreign Trade, by bringing Exchanges low in our favour.

6ly, The Frauds put on the Country by Counterfeit Notes will be prevented; for though the method of Indentures and Stained Paper now uſed by the Bank of England may be a Security to it ſelf, yet it is not ſo to any one elſe, ſeeing Art is able to Counterfeit every thing, at leaſt ſo like, as not to be eaſily diſcovered; Now what Satisfaction will it be to thoſe who have received their Notes inſtead of Money, to be told by the Managers that they are Counterfeit, when they know not where, nor from whom to get Reparation; whereas being Aſſigned from Man to Man, they are taken on the Credit of the Aſſignor, who runs no other riſque thereby, ſave his Warrant that they are truly what he pays them for.

7ly, This Bank will be free from Stock-Jobbing, the Bane of all good Deſigns, which will find no room here, becauſe it cannot be divided into private and perticular Intereſts.

The Conſequential Advantages will be theſe,

1ſt, By this means the Taxes for carrying on the War the enſuing Year, together with the Twenty five hundred and ſixty four thouſand Pounds which fell ſhort on the Salt Fund, may be raiſed, by Methods wherein the Kings Revenue and the Peoples Profits ſhall go hand in hand, without Anticipations.

2ly, The Funds now ſetled on our Manufactures, which diſcourage our Trade, and ruin our Poor, may be ſunk and taken off; ſuch are thoſe on the Glaſs-makers, Tobacco-pipe-makers, Diſtillers, and others, many whereof have yielded little to the Government above the Charge of Collecting, and the beſt of them have done great miſchief to our Trade; Now ſeeing theſe are only ſo many ſeveral Modus's of raiſing Money, thoſe methods muſt doubtleſs do beſt, which leaſt injure our Trade.

3ly, The Debt due to the Tranſport-Ships may be paid off, and thoſe People, to whoſe early Loyalty the Reduction of Ireland is very much owing, be contented.

4ly, The Mints may be kept imployed, and the Kingdom thereby filled with Coin.

5ly, Our Wooll may be kept at home, which I humbly conceive can never be done till a good Credit be ſettled, any thing leſs will not be large enough to cover the Sore intended to be Cured.

6ly, The Plantation Trade may be better ſecured, eſpecially that of Tobacco, and Methods may be propoſed to render it more profitable, both to the King, and alſo to the Subject.

7ly, The Bank of Englands Notes may be brought to Par, and Tallyes of all ſorts in a ſhort time be paid off at their full Valew, which I humbly conceive will be difficult to be done any other way; the ſetling a Credit on either, or grafting them both together, ſeem improbable Methods to anſwer thoſe ends.

I humbly hope to make Propoſals in this preſent Seſſions for putting theſe into Practiſe, if a good Credit be timely ſetled.

Beſides theſe, many other Advantages will accrue to the Nation, many of which I have ſet forth in my before recited Eſſay on Coin and Credit. Pag. 27, 28, 29.

III. The Third thing is to make ſome Compariſon between the Credit here propoſed, and the preſent Bank of England; which I Humbly conceive is ſo ſhaken in its Reputation, as hath rendred it uncapable to be made the Foundation of a National Credit; and whilſt we labour to recover it, we may run the hazard of deſtroying our Trade, diſturbing the Government, and keeping our ſelves under a lingring War, whilſt we encourage the French King to try his utmoſt Efforts, hoping that our Difficulties at home will force us to accept of a diſhonourable Peace.

'Tis certain nothing can be the ſupport of a National Credit, which is not better, or at leaſt ſo good as Money; and this is not to be found in the Bank of England, whoſe Notes whilſt they are One per Cent. worſe then Specie will always keep their Coffers empty, becauſe no Man will put into it a Hundred Pounds in Money, when he can have a Note of the ſame Value for Ninety Nine; and the Conſequence will be this, that the Lender, or rather the Jobber, will never reſt till he is repaid, that ſo he may be making advantage by a New Purchaſe; And if this will be the effect of a Credit worſe only by One per Cent. than Money, what will it be when 'tis ſunk to Sixteen? Whereas on the other ſide, when a Credit is better than Money, the Coffers will ever be full, becauſe all Men will endeavour to put in their Money, and be impatient till 'tis done; And thus it will be, when the Lender thinks himſelf ſecure, and makes more profit by having his Money in the Bank then in his Cheſt, who will therefore receive out no more at a time then his neceſſities ſhall require, and for the ſame Reaſon, thoſe to whom he pays it, will endeavour to return it thither again ſo ſoon as they can.

IV. As to the Fourth thing Propoſed, The neceſſity the Nation lies under to have its Credit ſetled this preſent Seſſions. it will appear, if we conſider how London now ſtands in Competition with all England beſides as to the Specie of Money, and how it will ſtand before another Seſſions; 'Tis generally agreed, that about One Moiety of the Money of England is already Center'd in that great City, and the reſt is not enough to pay the Debts owing to it, together with His Majeſties Revenues, Bonds already entered into, and Taxes now to be given, for Six Months longer, beſides the Foreign Bills, which are generally made payable there, all which muſt be returned in Specie; for though by an Act of this preſent Seſſions: Intituled, An Act for the farther remedying the ill State of the Coin of this Kingdom, it is among other things Provided, That all Money that ſhall be brought in upon Account of Taxes, or Revenues, or Loans, at Five Shillings and Eight Pence per Ounce, ſhall be carryed to the next adjacent Mint, in order to be Recoined, yet this will no way be Serviceable to the Country, unleſs a Credit be ſettled, it muſt otherwiſe be ſent up to London after Coined for want of Returns, the Debts due to the Country being paid there in Bank, which is Sixteen per Cent. worſe than Money, and thoſe due from the Country demanded in Specie, ſo that the Money of England is every Week brought up thither; and then, if it be next conſidered what Methods are left to the Country to draw it back again, viz. by Proviſions and ſome few other things, 'twill be reaſonable to believe, that ſeeing the ſupply made from that City to the Country is greater then what is made from the Country thither, all the Caſh of England will Center there in a ſhort time, to the Ruining of the other Trading Cities, and diſabling of the Country to pay future Taxes; And this will make the dependance on London ſtill greater, till by its own Bloatineſs it muſt at laſt burſt, when the Eſtates of the Traders ſhall conſiſt only in Debts due from the Country, which muſt ſtill lye out, for want of a Specie to pay them in; ſo that all the advantage London will receive is, that it will be laſt Ruined.

Now if a good Credit be ſettled out of Hand, and the Mints continued in the Country, the Money that is now there may be ſtill kept there, and Methods found out to increaſe it, and the Trade of England carryed on with an equal Circulation in all places; this will keep up the Rents of the Lands of England, which muſt otherwiſe fall in their Values, ſuitable to the diſtance they ſtand in from that great Metropolis.

If it be Objected, That the Management of this Credit will be very coſtly to the Nation; I humbly conceive, that the Profits thereof will not only ſupport its Charge, but alſo bring in a great Overplus, which may be uſefully imployed to the Nations advantage; yet were this Objection true, nothing can be termed good Husbandry which ſpoils our Trade, the ſtopping whereof but for one Month will be many Millions loſt to the Kingdom; therefore, whatever Charge is neceſſary to keep it on foot, 'twill be the Nations Intereſt to be at, eſpecially ſuch a Bank as this is, whoſe Profits or Loſſes are Compatible with the Intereſt of the Subject, for, if the Bank looſes 'tis becauſe the Subject gets, and if the Bank gets, the Nation hath the Profits, whilſt at the ſame time the Government is ſupported, and our Trade carried on.

If by rectifying this, or any better Propoſal from a more thinking Head, the Credit of the Nation may be ſettled in this preſent Seſſions, I have reaped the end I aimed at, the Good and Welfare of my Native Country; which I Humbly ſubmit to your Honours great Wiſdom, and ſhall be ready to explain any thing that may ſeem doubtful, when I am thereto Commanded.