forgotten. The Ministry resolved
that it should be enlarged by new subscriptions; that provision should
be made for paying the principal of the tallies subscribed in the Bank;
that 8 per cent. should be allowed on all such tallies, to meet which a
duty on salt was imposed; that the charter should be prolonged to
August, 1710; that before the beginning of the new subscriptions the old
capital should be made up to each member 100 per cent.; and what might
exceed that value should be divided among the new members; that the Bank
might circulate additional notes to the amount subscribed, provided they
were payable on demand, and in default they were to be paid by the
Exchequer out of the first money due to the Bank; that no other bank
should be allowed by Act of Parliament during the continuance of the
Bank of England; that it should be exempt from all tax or imposition;
and that no contract made for any Bank stock to be bought or sold should
be valid unless registered in the Bank books, and transferred within
fourteen days. It was also enacted that not above two-thirds of the
directors should be re-elected in the succeeding year. These vigorous
measures were thoroughly successful.

The charter was at the same time extended to 1710, and not even then to
be withdrawn, unless Government paid the full debt. Forgery of the
Company's seal, notes, or bills was made felony without benefit of
clergy. Sir Gilbert Heathcote, one of the Bank Directors, gained L60,000
by this scheme. The Bank is said to have offered the King at this time
the loan of a million without interest for twenty-one years, if the
Government would extend the charter for that time. Bank stock, given to
the proprietors in exchange for tallies at 50 per cent. discount, rose
to 112. The Bank had lowered the interest of money. As early as 1697 it
had proposed to have branch Banks in every city and market town of
England.

[Illustration: OLD PATCH. (_See page 459._)]

In 1700-1704, the conquests of Louis XIV. alarmed England, and shook the
credit of the Bank. In the latter year the Bank Directors were once more
obliged to issue sealed bills bearing interest for a large sum, in order
to keep up their credit. In 1707 the fears of an invasion threatened by
the Pretender brought down stocks 14 or 15 per cent. The goldsmiths then
gathered up Bank bills, and tried to press the Directors. Hoare and
Child both joined in the attack, and the latter pretended to refuse the
bil