Bank of England - Revision history

Elijah B4 at 23:59, 7 November 2024

2024-11-07T23:59:56Z

← Previous revision		Revision as of 23:59, 7 November 2024
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	\| currency = [[Pound sterling]]		\| currency = [[Pound sterling]]
	\| currency_iso = GBP		\| currency_iso = GBP
	\| borrowing_rate = 5%<ref>{{Cite web\|url=https://www.bankofengland.co.uk/monetary-policy/the-interest-rate-bank-rate \|title=Interest rates and Bank Rate \|website=www.bankofengland.co.uk\|date=14 December 2023 }}</ref>		\| borrowing_rate = 4.75%<ref>{{Cite web\|url=https://www.bankofengland.co.uk/monetary-policy/the-interest-rate-bank-rate \|title=Interest rates and Bank Rate \|website=www.bankofengland.co.uk\|date=14 December 2023 }}</ref>
	\| website = {{URL\|https://www.bankofengland.co.uk}}		\| website = {{URL\|https://www.bankofengland.co.uk}}
	\| footnotes =		\| footnotes =

Citation bot: Removed parameters. | Use this bot. Report bugs. | Suggested by Whoop whoop pull up | #UCB_webform 182/3309

2024-09-26T04:56:13Z

Removed parameters. | Use this bot. Report bugs. | Suggested by Whoop whoop pull up | #UCB_webform 182/3309

← Previous revision		Revision as of 04:56, 26 September 2024
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	The [[royal charter]] of the Bank of England was granted on 27 July 1694, three months after the passing of the Act.{{citation needed\|date=July 2024}}		The [[royal charter]] of the Bank of England was granted on 27 July 1694, three months after the passing of the Act.{{citation needed\|date=July 2024}}

	In the end the £1.2 million was raised in 12 days; 1,268 people subscribed. Their holdings were known as Bank Stock (Bank Stock continued to be held in private ownership until 1946 when the Bank of England was nationalised).<ref>{{cite web \|title=Index to Original Subscribers to Bank Stock 1694 \|url=https://www.bankofengland.co.uk/archive/index-to-original-subscribers-to-bank-stock-1694 \|website=Bank of England Archive \|access-date=5 January 2024}}</ref> The majority of the original subscribers were of 'the [[mercantile]] middle classes of London' (though [[tradesmen]] and [[artisans]] also subscribed).<ref name="Kynaston2017" /> Most (more than two-thirds) contributed less than £1,000. As a proportion of the total amount raised, 25% came from '[[esquire]]s', 21% from merchants and 15% from titled [[aristocrats]]. Twelve per cent of the original subscribers were women.<ref name="Kynaston2017" /> [[William and Mary of England\|King William and Queen Mary]] (jointly) invested £10,000, the maximum permitted sum, as did a handful of others (including Sir [[John Houblon]]).<ref>{{cite web \|title=Index to the Book of the Subscriptions 1694 \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/original-bank-subscribers/1694.pdf \|website~~=Bank of England \|publisher~~=Bank of England \|access-date=27 January 2024}}</ref>		In the end the £1.2 million was raised in 12 days; 1,268 people subscribed. Their holdings were known as Bank Stock (Bank Stock continued to be held in private ownership until 1946 when the Bank of England was nationalised).<ref>{{cite web \|title=Index to Original Subscribers to Bank Stock 1694 \|url=https://www.bankofengland.co.uk/archive/index-to-original-subscribers-to-bank-stock-1694 \|website=Bank of England Archive \|access-date=5 January 2024}}</ref> The majority of the original subscribers were of 'the [[mercantile]] middle classes of London' (though [[tradesmen]] and [[artisans]] also subscribed).<ref name="Kynaston2017" /> Most (more than two-thirds) contributed less than £1,000. As a proportion of the total amount raised, 25% came from '[[esquire]]s', 21% from merchants and 15% from titled [[aristocrats]]. Twelve per cent of the original subscribers were women.<ref name="Kynaston2017" /> [[William and Mary of England\|King William and Queen Mary]] (jointly) invested £10,000, the maximum permitted sum, as did a handful of others (including Sir [[John Houblon]]).<ref>{{cite web \|title=Index to the Book of the Subscriptions 1694 \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/original-bank-subscribers/1694.pdf \|website=Bank of England \|access-date=27 January 2024}}</ref>

	Investment in the navy duly took place. As a side effect, the huge industrial effort needed (including establishing [[ironworks]] to make more nails and advances{{Clarify\|date=February 2016}} in agriculture feeding the quadrupled strength of the navy) started to transform the economy. This helped the new [[Kingdom of Great Britain]] – [[Acts of Union 1707\|England and Scotland were formally united in 1707]] – to become powerful. The power of the navy made Britain the dominant world power in the late 18th and early 19th centuries.<ref>{{Cite AV media \|url=https://www.youtube.com/watch?v=-jqDMmWhPHA \|title=Empire of the Seas \|publisher=BBC \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20191220124600/https://www.youtube.com/watch?v=-jqDMmWhPHA&gl=US&hl=en&has_verified=1&bpctr=9999999999 \|archive-date=20 December 2019 \|url-status=live}}</ref>		Investment in the navy duly took place. As a side effect, the huge industrial effort needed (including establishing [[ironworks]] to make more nails and advances{{Clarify\|date=February 2016}} in agriculture feeding the quadrupled strength of the navy) started to transform the economy. This helped the new [[Kingdom of Great Britain]] – [[Acts of Union 1707\|England and Scotland were formally united in 1707]] – to become powerful. The power of the navy made Britain the dominant world power in the late 18th and early 19th centuries.<ref>{{Cite AV media \|url=https://www.youtube.com/watch?v=-jqDMmWhPHA \|title=Empire of the Seas \|publisher=BBC \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20191220124600/https://www.youtube.com/watch?v=-jqDMmWhPHA&gl=US&hl=en&has_verified=1&bpctr=9999999999 \|archive-date=20 December 2019 \|url-status=live}}</ref>

Rsjaffe: clean up, typo(s) fixed: Executive Directors → executive directors, Department → department, ously- → ously , newly- → newly (2), 1690-1691 → 1690–1691

2024-09-17T02:57:58Z

clean up, typo(s) fixed: Executive Directors → executive directors, Department → department, ously- → ously , newly- → newly (2), 1690-1691 → 1690–1691

Show changes

Ultra 348 at 13:11, 15 September 2024

2024-09-15T13:11:41Z

← Previous revision		Revision as of 13:11, 15 September 2024
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	===Financial stability===		===Financial stability===
	Maintaining financial stability involves protecting the UK's savers, investors and borrowers against threats to the financial system as a whole.<ref name="BoEStability">{{cite web \|title=Financial stability \|url=https://www.bankofengland.co.uk/financial-stability \|website=Bank of England \|date=20 December 2023 \|access-date=8 January 2024}}</ref> Threats are detected by the bank's surveillance and [[market intelligence]] functions, and dealt with through financial and other operations (both at home and abroad). The majority of these safeguards were put in place in ~~the wake of~~ the [[~~2008 global~~ financial crisis]]:		Maintaining financial stability involves protecting the UK's savers, investors and borrowers against threats to the financial system as a whole.<ref name="BoEStability">{{cite web \|title=Financial stability \|url=https://www.bankofengland.co.uk/financial-stability \|website=Bank of England \|date=20 December 2023 \|access-date=8 January 2024}}</ref> Threats are detected by the bank's surveillance and [[market intelligence]] functions, and dealt with through financial and other operations (both at home and abroad). The majority of these safeguards were put in place in after the [[2007–2008 financial crisis]]:

	====Regulation====		====Regulation====
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	[[File:Die Gartenlaube (1866) b 245.jpg\|thumb\|left\|The Pay Hall (where notes were exchanged for coins, and vice-versa) pictured in 1866.]]		[[File:Die Gartenlaube (1866) b 245.jpg\|thumb\|left\|The Pay Hall (where notes were exchanged for coins, and vice-versa) pictured in 1866.]]
	The '[[panic of 1825]]' highlighted risks inherent in the bank's three-way split loyalties: to its stockholders, to the Government (and thereby to the public), and to its commercial banking customers. In 1825–26 the bank was able to avert a liquidity crisis when [[Nathan Mayer Rothschild]] succeeded in supplying it with gold;<ref>{{Cite news \|last=Wilson \|first=Harry \|date=4 February 2011 \|title=Rothschild: history of a London banking dynasty \|work=The Telegraph \|url=https://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8302288/Rothschild-history-of-a-London-banking-dynasty.html \|url-status=live \|url-access=subscription \|archive-url=https://ghostarchive.org/archive/20220111/https://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8302288/Rothschild-history-of-a-London-banking-dynasty.html \|archive-date=11 January 2022}}{{Cbignore}}</ref> nevertheless ~~in the wake of~~ the crisis many country and provincial banks failed prompting numerous commercial bankruptcies.<ref name="BoEBranches" /> The passing of the [[Country Bankers Act 1826]] allowed the bank to open provincial branches for the better distribution of its banknotes (at the time small country banks, some of which were significantly [[undercapitalised]], issued their own notes); by the end of the following year eight Bank of England branches had been set up around the country.<ref name="Hennessy1992" />		The '[[panic of 1825]]' highlighted risks inherent in the bank's three-way split loyalties: to its stockholders, to the Government (and thereby to the public), and to its commercial banking customers. In 1825–26 the bank was able to avert a liquidity crisis when [[Nathan Mayer Rothschild]] succeeded in supplying it with gold;<ref>{{Cite news \|last=Wilson \|first=Harry \|date=4 February 2011 \|title=Rothschild: history of a London banking dynasty \|work=The Telegraph \|url=https://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8302288/Rothschild-history-of-a-London-banking-dynasty.html \|url-status=live \|url-access=subscription \|archive-url=https://ghostarchive.org/archive/20220111/https://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8302288/Rothschild-history-of-a-London-banking-dynasty.html \|archive-date=11 January 2022}}{{Cbignore}}</ref> nevertheless, after the crisis, many country and provincial banks failed prompting numerous commercial bankruptcies.<ref name="BoEBranches" /> The passing of the [[Country Bankers Act 1826]] allowed the bank to open provincial branches for the better distribution of its banknotes (at the time small country banks, some of which were significantly [[undercapitalised]], issued their own notes); by the end of the following year eight Bank of England branches had been set up around the country.<ref name="Hennessy1992" />

	[[File:Bank of England 1876.JPG\|thumb\|right\|Bank Stock of the Bank of England, issued 25 January 1876]]		[[File:Bank of England 1876.JPG\|thumb\|right\|Bank Stock of the Bank of England, issued 25 January 1876]]
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	Independent central banks that adopt an inflation target are known as [[Milton Friedman\|Friedmanite]] central banks. This change in Labour's politics was described by [[Robert Skidelsky\|Skidelsky]] in ''The Return of the Master''<ref>{{Cite book \|url=https://books.google.com/books?isbn=1610390032 \|title=The Return of the Master \|date=2009 \|publisher=Public Affairs \|isbn=978-1610390033 \|access-date=19 August 2016}}</ref> as a mistake and as an adoption of the [[Rational expectations\|rational expectations hypothesis]] as promulgated by [[Alan Walters]].<ref>{{Cite journal \|last=Walters \|first=A. A. \|date=June 1971 \|title=Consistent expectations, distributed lags and the quantity theory \|journal=[[The Economic Journal]] \|volume=81 \|issue=322 \|pages=273–281 \|doi=10.2307/2230071 \|jstor=2230071}}</ref> Inflation targets combined with central bank independence have been characterised as a "starve the beast" strategy creating a lack of money in the public sector.{{Citation needed\|date=December 2022}}		Independent central banks that adopt an inflation target are known as [[Milton Friedman\|Friedmanite]] central banks. This change in Labour's politics was described by [[Robert Skidelsky\|Skidelsky]] in ''The Return of the Master''<ref>{{Cite book \|url=https://books.google.com/books?isbn=1610390032 \|title=The Return of the Master \|date=2009 \|publisher=Public Affairs \|isbn=978-1610390033 \|access-date=19 August 2016}}</ref> as a mistake and as an adoption of the [[Rational expectations\|rational expectations hypothesis]] as promulgated by [[Alan Walters]].<ref>{{Cite journal \|last=Walters \|first=A. A. \|date=June 1971 \|title=Consistent expectations, distributed lags and the quantity theory \|journal=[[The Economic Journal]] \|volume=81 \|issue=322 \|pages=273–281 \|doi=10.2307/2230071 \|jstor=2230071}}</ref> Inflation targets combined with central bank independence have been characterised as a "starve the beast" strategy creating a lack of money in the public sector.{{Citation needed\|date=December 2022}}

	in June 1998 responsibility for the regulation and supervision of the banking and insurance industries was transferred from the bank to the [[Financial Services Authority]]. A [[memorandum of understanding]] described the terms under which the bank, the Treasury, and the FSA would work toward the common aim of increased financial stability.<ref>{{Cite web \|title=Memorandum of Understanding between the HM Treasury, the Bank of England and the Financial Services Authority \|url=http://www.bankofengland.co.uk/financialstability/mou.pdf \|url-status=dead \|archive-url=https://web.archive.org/web/20101203101708/http://www.bankofengland.co.uk/financialstability/mou.pdf \|archive-date=3 December 2010 \|access-date=10 May 2010 \|df=dmy}}</ref> (Ten years later, however, ~~in the wake of~~ the [[~~2008~~ financial crisis]], new banking legislation transferred the responsibility for regulation and supervision of the banking and insurance industries back to the Bank of England).		in June 1998 responsibility for the regulation and supervision of the banking and insurance industries was transferred from the bank to the [[Financial Services Authority]]. A [[memorandum of understanding]] described the terms under which the bank, the Treasury, and the FSA would work toward the common aim of increased financial stability.<ref>{{Cite web \|title=Memorandum of Understanding between the HM Treasury, the Bank of England and the Financial Services Authority \|url=http://www.bankofengland.co.uk/financialstability/mou.pdf \|url-status=dead \|archive-url=https://web.archive.org/web/20101203101708/http://www.bankofengland.co.uk/financialstability/mou.pdf \|archive-date=3 December 2010 \|access-date=10 May 2010 \|df=dmy}}</ref> (Ten years later, however, after the [[2007–2008 financial crisis]], new banking legislation transferred the responsibility for regulation and supervision of the banking and insurance industries back to the Bank of England).

	===21st century===		===21st century===

Mauls: /* John Soane's rebuilding */ Act added

2024-09-12T09:24:48Z

John Soane's rebuilding: Act added

@@ Line 149: / Line 149: @@
 ====John Soane's rebuilding====
 [[File:Bank of England - Soane's dividend office edited.jpg|thumb|right|The Dividend Office as rebuilt by John Soane.]]
-Sir Robert Taylor died in 1788 and in his place the bank appointed [[John Soane]] as Architect and Surveyor (he would remain in post until 1827). Under his direction, the bank was further expanded and partially rebuilt, bit by bit but to a cohesive plan. A survey of the buildings, undertaken at the start of his tenure, identified some problems, which were promptly remedied by Soane: for example in 1795 he rebuilt the Rotunda and two of the adjacent Transfer Offices (the Bank Stock Office and the Four Per Cent Office), replacing Taylor's timber roofs, which were leaking, with more durable stonework.<ref name="Francis1848" /> At the same time Soane was tasked with purchasing properties to the north-east, so as to enable the bank to expand in that direction as far as Lothbury. Between 1794 and 1800 he designed a cohesive set of buildings within the new irregularly-shaped site: he reconfigured Bullion Court and provided a new entrance route for vehicles from the north, which was named Lothbury Court;<ref>{{cite web |last1=Roberts |first1=Brian |title=Sir John Soane & The Bank of England |website=Heritage Group |publisher=Chartered Institution of Building Services Engineers |url=http://www.hevac-heritage.org/built_environment/biographies/surnames_S-W/soane/S1-SOANE.pdf |access-date=3 January 2024}}</ref> to the west of this he built a new Chief Cashier's office, and rooms for the Secretary and Chief Accountant; to the east he constructed a new Library block and added a fifth Transfer Office (the [[Consols]] Transfer Office) to the north of the other four.<ref name="ProjectSoane">{{cite web |title=The Bank of England |url=https://projectsoane.wordpress.com/home/all-about-the-bank/the-bank-of-england/ |website=Project Soane |date=14 July 2017 |access-date=3 January 2024}}</ref>
+Sir Robert Taylor died in 1788 and in his place the bank appointed [[John Soane]] as Architect and Surveyor (he would remain in post until 1827). Under his direction, the bank was further expanded and partially rebuilt, bit by bit but to a cohesive plan. A survey of the buildings, undertaken at the start of his tenure, identified some problems, which were promptly remedied by Soane: for example in 1795 he rebuilt the Rotunda and two of the adjacent Transfer Offices (the Bank Stock Office and the Four Per Cent Office), replacing Taylor's timber roofs, which were leaking, with more durable stonework.<ref name="Francis1848" /> At the same time Soane was tasked with purchasing properties to the north-east, with compulsory purchase powers granted by the '''{{visible anchor|Bank of England Site Act 1793}}''' ([[33 Geo. 3]]. c. 15), so as to enable the bank to expand in that direction as far as Lothbury. Between 1794 and 1800 he designed a cohesive set of buildings within the new irregularly-shaped site: he reconfigured Bullion Court and provided a new entrance route for vehicles from the north, which was named Lothbury Court;<ref>{{cite web |last1=Roberts |first1=Brian |title=Sir John Soane & The Bank of England |website=Heritage Group |publisher=Chartered Institution of Building Services Engineers |url=http://www.hevac-heritage.org/built_environment/biographies/surnames_S-W/soane/S1-SOANE.pdf |access-date=3 January 2024}}</ref> to the west of this he built a new Chief Cashier's office, and rooms for the Secretary and Chief Accountant; to the east he constructed a new Library block and added a fifth Transfer Office (the [[Consols]] Transfer Office) to the north of the other four.<ref name="ProjectSoane">{{cite web |title=The Bank of England |url=https://projectsoane.wordpress.com/home/all-about-the-bank/the-bank-of-england/ |website=Project Soane |date=14 July 2017 |access-date=3 January 2024}}</ref>
 ====The Brokers' Exchange in the Bank====

Mauls: /* The Bank Picquet */ Caps

2024-09-12T09:22:09Z

The Bank Picquet: Caps

← Previous revision		Revision as of 09:22, 12 September 2024
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	====The Bank Picquet====		====The Bank Picquet====
	The church's demolition had been prompted by the 1780 [[Gordon Riots]], during which rioters reportedly climbed on the church to throw projectiles at the buildings of the bank. During the riots, in June 1780, the Lord Mayor of London petitioned the Secretary of State to send a military guard to protect the bank and the Mansion House.<ref>{{cite book \|title=The Bank Picquet: its function and history \|date=1963 \|publisher=Bank of England \|location=London \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/publications/bank-picquet.pdf \|access-date=4 January 2024}}</ref> Thenceforward a nightly guard (the '[[Bank Picquet]]') was provided by soldiers of the [[Household Brigade]] (a practice which continued until 1973). To house the guard Taylor built a ~~Barracks~~ (accessed from a separate entrance on Princes Street) in the north-west corner of the site.		The church's demolition had been prompted by the 1780 [[Gordon Riots]], during which rioters reportedly climbed on the church to throw projectiles at the buildings of the bank. During the riots, in June 1780, the Lord Mayor of London petitioned the Secretary of State to send a military guard to protect the bank and the Mansion House.<ref>{{cite book \|title=The Bank Picquet: its function and history \|date=1963 \|publisher=Bank of England \|location=London \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/publications/bank-picquet.pdf \|access-date=4 January 2024}}</ref> Thenceforward a nightly guard (the '[[Bank Picquet]]') was provided by soldiers of the [[Household Brigade]] (a practice which continued until 1973). To house the guard Taylor built a barracks (accessed from a separate entrance on Princes Street) in the north-west corner of the site.

	====John Soane's rebuilding====		====John Soane's rebuilding====

Davemck: Clean up duplicate template arguments using findargdups

2024-08-03T19:22:08Z

Clean up duplicate template arguments using findargdups

← Previous revision		Revision as of 19:22, 3 August 2024
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	The bank also offers 'liquidity support and other services to banks and other financial institutions'.<ref name="BoEAbout" /> [[Commercial banks]] customarily keep a sizeable proportion of their [[Bank reserves\|cash reserves]] on [[Deposit (finance)\|deposit]] at the Bank of England. These [[central bank reserves]] are used by the banks to settle payments with one another;<ref>{{cite web \|title=What do we know about the demand for Bank of England reserves? \|url=https://www.bankofengland.co.uk/bank-overground/2023/what-do-we-know-about-the-demand-for-bank-of-england-reserves#:~:text=Why%20do%20reserves%20matter%3F,get%20hold%20of%20cash%20first. \|website=Bank of England \|access-date=9 January 2024}}</ref> (for this reason the Bank of England is sometimes called 'the bankers' bank').<ref name="BoEHistFun" /> In exceptional circumstances, the Bank may act as the [[lender of last resort]] by extending credit when no other institution will.		The bank also offers 'liquidity support and other services to banks and other financial institutions'.<ref name="BoEAbout" /> [[Commercial banks]] customarily keep a sizeable proportion of their [[Bank reserves\|cash reserves]] on [[Deposit (finance)\|deposit]] at the Bank of England. These [[central bank reserves]] are used by the banks to settle payments with one another;<ref>{{cite web \|title=What do we know about the demand for Bank of England reserves? \|url=https://www.bankofengland.co.uk/bank-overground/2023/what-do-we-know-about-the-demand-for-bank-of-england-reserves#:~:text=Why%20do%20reserves%20matter%3F,get%20hold%20of%20cash%20first. \|website=Bank of England \|access-date=9 January 2024}}</ref> (for this reason the Bank of England is sometimes called 'the bankers' bank').<ref name="BoEHistFun" /> In exceptional circumstances, the Bank may act as the [[lender of last resort]] by extending credit when no other institution will.

	As a regulator and central bank, the Bank of England has not offered consumer banking services for many years, but it still does manage some public-facing services (such as exchanging superseded bank notes).<ref name="Exchanging for an individual at the Bank of England counter">{{Cite web \|title=Exchanging old banknotes \|url=https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|url-status=live \|archive-url=https://web.archive.org/web/20191104175115/https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|archive-date=4 November 2019 \|access-date=19 October 2019 \|publisher=Bank of England}}</ref> Until 2017, Bank staff were entitled to open current accounts directly with the Bank of England and were given the unique sort code of 10-00-00.<ref>{{cite web\|url~~=https://www.theguardian.com/business/2016/jul/17/bank-of-england-closing-personal-banking-service-employees \|title~~=https://www.theguardian.com/business/2016/jul/17/bank-of-england-closing-personal-banking-service-employees \|title=Bank of England to close personal banking service for employees \|date=2016-07-17 \|accessdate=2024-08-03 \|work=The Guardian}}</ref>		As a regulator and central bank, the Bank of England has not offered consumer banking services for many years, but it still does manage some public-facing services (such as exchanging superseded bank notes).<ref name="Exchanging for an individual at the Bank of England counter">{{Cite web \|title=Exchanging old banknotes \|url=https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|url-status=live \|archive-url=https://web.archive.org/web/20191104175115/https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|archive-date=4 November 2019 \|access-date=19 October 2019 \|publisher=Bank of England}}</ref> Until 2017, Bank staff were entitled to open current accounts directly with the Bank of England and were given the unique sort code of 10-00-00.<ref>{{cite web\|url=https://www.theguardian.com/business/2016/jul/17/bank-of-england-closing-personal-banking-service-employees \|title=Bank of England to close personal banking service for employees \|date=2016-07-17 \|accessdate=2024-08-03 \|work=The Guardian}}</ref>

	====Resolution====		====Resolution====

The C of E: /* Banking services */ + Bank staff current accounts with the bank

2024-08-03T10:36:40Z

Banking services: + Bank staff current accounts with the bank

← Previous revision		Revision as of 10:36, 3 August 2024
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	The bank also offers 'liquidity support and other services to banks and other financial institutions'.<ref name="BoEAbout" /> [[Commercial banks]] customarily keep a sizeable proportion of their [[Bank reserves\|cash reserves]] on [[Deposit (finance)\|deposit]] at the Bank of England. These [[central bank reserves]] are used by the banks to settle payments with one another;<ref>{{cite web \|title=What do we know about the demand for Bank of England reserves? \|url=https://www.bankofengland.co.uk/bank-overground/2023/what-do-we-know-about-the-demand-for-bank-of-england-reserves#:~:text=Why%20do%20reserves%20matter%3F,get%20hold%20of%20cash%20first. \|website=Bank of England \|access-date=9 January 2024}}</ref> (for this reason the Bank of England is sometimes called 'the bankers' bank').<ref name="BoEHistFun" /> In exceptional circumstances, the Bank may act as the [[lender of last resort]] by extending credit when no other institution will.		The bank also offers 'liquidity support and other services to banks and other financial institutions'.<ref name="BoEAbout" /> [[Commercial banks]] customarily keep a sizeable proportion of their [[Bank reserves\|cash reserves]] on [[Deposit (finance)\|deposit]] at the Bank of England. These [[central bank reserves]] are used by the banks to settle payments with one another;<ref>{{cite web \|title=What do we know about the demand for Bank of England reserves? \|url=https://www.bankofengland.co.uk/bank-overground/2023/what-do-we-know-about-the-demand-for-bank-of-england-reserves#:~:text=Why%20do%20reserves%20matter%3F,get%20hold%20of%20cash%20first. \|website=Bank of England \|access-date=9 January 2024}}</ref> (for this reason the Bank of England is sometimes called 'the bankers' bank').<ref name="BoEHistFun" /> In exceptional circumstances, the Bank may act as the [[lender of last resort]] by extending credit when no other institution will.

	As a regulator and central bank, the Bank of England has not offered consumer banking services for many years, but it still does manage some public-facing services (such as exchanging superseded bank notes).<ref name="Exchanging for an individual at the Bank of England counter">{{Cite web \|title=Exchanging old banknotes \|url=https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|url-status=live \|archive-url=https://web.archive.org/web/20191104175115/https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|archive-date=4 November 2019 \|access-date=19 October 2019 \|publisher=Bank of England}}</ref>		As a regulator and central bank, the Bank of England has not offered consumer banking services for many years, but it still does manage some public-facing services (such as exchanging superseded bank notes).<ref name="Exchanging for an individual at the Bank of England counter">{{Cite web \|title=Exchanging old banknotes \|url=https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|url-status=live \|archive-url=https://web.archive.org/web/20191104175115/https://www.bankofengland.co.uk/banknotes/exchanging-old-banknotes \|archive-date=4 November 2019 \|access-date=19 October 2019 \|publisher=Bank of England}}</ref> Until 2017, Bank staff were entitled to open current accounts directly with the Bank of England and were given the unique sort code of 10-00-00.<ref>{{cite web\|url=https://www.theguardian.com/business/2016/jul/17/bank-of-england-closing-personal-banking-service-employees \|title=https://www.theguardian.com/business/2016/jul/17/bank-of-england-closing-personal-banking-service-employees \|title=Bank of England to close personal banking service for employees \|date=2016-07-17 \|accessdate=2024-08-03 \|work=The Guardian}}</ref>

	====Resolution====		====Resolution====

KognitoShadows: Updated base rate to 5% after rate cut

2024-08-02T15:28:55Z

Updated base rate to 5% after rate cut

← Previous revision		Revision as of 15:28, 2 August 2024
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	\| currency = [[Pound sterling]]		\| currency = [[Pound sterling]]
	\| currency_iso = GBP		\| currency_iso = GBP
	\| borrowing_rate = 5~~.25~~%<ref>{{Cite web\|url=https://www.bankofengland.co.uk/monetary-policy/the-interest-rate-bank-rate \|title=Interest rates and Bank Rate \|website=www.bankofengland.co.uk\|date=14 December 2023 }}</ref>		\| borrowing_rate = 5%<ref>{{Cite web\|url=https://www.bankofengland.co.uk/monetary-policy/the-interest-rate-bank-rate \|title=Interest rates and Bank Rate \|website=www.bankofengland.co.uk\|date=14 December 2023 }}</ref>
	\| website = {{URL\|https://www.bankofengland.co.uk}}		\| website = {{URL\|https://www.bankofengland.co.uk}}
	\| footnotes =		\| footnotes =

DonBeroni: /* Founding */

2024-07-22T08:05:29Z

Founding

← Previous revision		Revision as of 08:05, 22 July 2024
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	[[File:Running Cash Note - Bank of England Museum - Joy of Museums.jpg\|thumb\|right\|Handwritten banknote dated 1697, signed 'for the Governor and Company of the Bank of England' by 2nd Cashier Robert Hedges.]]		[[File:Running Cash Note - Bank of England Museum - Joy of Museums.jpg\|thumb\|right\|Handwritten banknote dated 1697, signed 'for the Governor and Company of the Bank of England' by 2nd Cashier Robert Hedges.]]

	[[~~Kingdom~~ of ~~England\|England~~]]'s ~~crushing defeat by~~ [[~~Kingdom~~ ~~of France\|France~~]], ~~the~~ ~~dominant~~ ~~naval~~ ~~power,~~ in ~~naval engagements culminating~~ in the 1690 [[Battle of Beachy Head (1690)\|Battle of Beachy Head]], ~~became~~ ~~the~~ ~~catalyst~~ ~~for~~ ~~England~~ ~~to rebuild itself as a global power.~~ [[William III of England~~\|William III~~]]'s government ~~wanted~~ to ~~build~~ a ~~naval~~ ~~fleet~~ ~~that~~ ~~would~~ ~~rival~~ that of ~~France~~; however, ~~the~~ ability to ~~construct this~~ ~~fleet~~ was hampered both by a lack of available public funds and the low credit ~~of the English government in London~~. This lack of credit made it impossible for the English government to borrow the £1.5m that it wanted to ~~construct~~ the ~~fleet~~.<ref>{{Cite journal \|last=Nichols \|first=Glenn O. \|date=1971 \|title=English Government Borrowing, 1660–1688 \|journal=Journal of British Studies \|volume=10 \|issue=2 \|pages=83–104 \|doi=10.1086/385611 \|issn=0021-9371 \|jstor=175350 \|s2cid=145365370}}</ref>		During the [[Nine Years' War]], the [[Royal Navy]] was defeated by the [[French Navy]] in the 1690 [[Battle of Beachy Head (1690)\|Battle of Beachy Head]], causing consternation in the government of [[William III of England]]. The English government decided to rebuild the Royal Navy into a force that was capable of challenging the French on equal terms; however, their ability to do so was hampered both by a lack of available public funds and the government's low credit. This lack of credit made it impossible for the English government to borrow the £1.5m that it wanted to use to expand the Royal Navy.<ref>{{Cite journal \|last=Nichols \|first=Glenn O. \|date=1971 \|title=English Government Borrowing, 1660–1688 \|journal=Journal of British Studies \|volume=10 \|issue=2 \|pages=83–104 \|doi=10.1086/385611 \|issn=0021-9371 \|jstor=175350 \|s2cid=145365370}}</ref>

	====Concept====		====Concept====

	In 1691, [[William Paterson (banker)\|William Paterson]] had proposed establishing a national bank as a means of bolstering public finances.<ref>{{Cite book \|url=https://books.google.com/books?id=EkUTaZofJYEC&q=British+Parliamentary+reports+on+international+finance \|title=British Parliamentary Reports on International Finance: The Cunliffe Committee and the Macmillan Committee Reports \|date=1 January 1979 \|publisher=Arno Press \|isbn=9780405112126 \|quote=Its foundation in 1694 arose out the difficulties of the Government of the day in securing subscriptions to State loans. Its primary purpose was to raise and lend money to the State and in consideration of this service it received under its Charter and various Act of Parliament, certain privileges of issuing bank notes. The corporation commenced, with an assured life of twelve years after which the Government had the right to annul its Charter on giving one year's notice. Subsequent extensions of this period coincided generally with the grant of additional loans to the State. \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20210426203717/https://books.google.com/books?id=EkUTaZofJYEC&q=British+Parliamentary+reports+on+international+finance \|archive-date=26 April 2021 \|url-status=live}}</ref> As he later wrote in his pamphlet ''A Brief Account of the Intended Bank of England'' (1694): {{quotation\|"...it was proposed some years ago that a publick transferrable Fund of Interest should be established by Parliament, and made convenient for the Receipts and Payments in and about the Cities of London and Westminster; and to constitute a Society of Money'd Men for the government thereof, who should be induced by their Interest to exchange for Money the Assignments upon the Fund, at every demand".<ref name="PatersonGodfrey1694">{{cite book \|last1=Paterson \|first1=William \|last2=Godfrey \|first2=Michael \|title=A BRIEF ACCOUNT Of the Intended Bank of England \|date=1694 \|publisher=Randal Taylor \|location=London \|url=https://quod.lib.umich.edu/e/eebo/A56581.0001.001/1:2?rgn=div1;view=fulltext# \|access-date=11 January 2024}}</ref>}} While his scheme was not immediately acted upon, it did provide the basis for the bank's first Charter and the legislation which made its establishment possible.<ref name="BoEHistFun" />		In 1691, [[William Paterson (banker)\|William Paterson]] had proposed establishing a national bank as a means of bolstering public finances.<ref>{{Cite book \|url=https://books.google.com/books?id=EkUTaZofJYEC&q=British+Parliamentary+reports+on+international+finance \|title=British Parliamentary Reports on International Finance: The Cunliffe Committee and the Macmillan Committee Reports \|date=1 January 1979 \|publisher=Arno Press \|isbn=9780405112126 \|quote=Its foundation in 1694 arose out the difficulties of the Government of the day in securing subscriptions to State loans. Its primary purpose was to raise and lend money to the State and in consideration of this service it received under its Charter and various Act of Parliament, certain privileges of issuing bank notes. The corporation commenced, with an assured life of twelve years after which the Government had the right to annul its Charter on giving one year's notice. Subsequent extensions of this period coincided generally with the grant of additional loans to the State. \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20210426203717/https://books.google.com/books?id=EkUTaZofJYEC&q=British+Parliamentary+reports+on+international+finance \|archive-date=26 April 2021 \|url-status=live}}</ref> As he later wrote in his pamphlet ''A Brief Account of the Intended Bank of England'' (1694): {{quotation\|"...it was proposed some years ago that a publick transferrable Fund of Interest should be established by Parliament, and made convenient for the Receipts and Payments in and about the Cities of London and Westminster; and to constitute a Society of Money'd Men for the government thereof, who should be induced by their Interest to exchange for Money the Assignments upon the Fund, at every demand".<ref name="PatersonGodfrey1694">{{cite book \|last1=Paterson \|first1=William \|last2=Godfrey \|first2=Michael \|title=A BRIEF ACCOUNT Of the Intended Bank of England \|date=1694 \|publisher=Randal Taylor \|location=London \|url=https://quod.lib.umich.edu/e/eebo/A56581.0001.001/1:2?rgn=div1;view=fulltext# \|access-date=11 January 2024}}</ref>}} While his scheme was not immediately acted upon, it did provide the basis for the bank's first Charter and the legislation which made its establishment possible.<ref name="BoEHistFun" />

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	The Act of Parliament prohibited the bank from trading in goods or merchandise of any kind, though it was allowed to deal in gold and silver [[bullion]], and in [[bills of exchange]].<ref name="Allen1828" /> Before very long, the bank was maximising its profits by issuing [[banknotes]], taking [[deposits]] and lending on [[mortgages]].<ref name="Kynaston2017" />		The Act of Parliament prohibited the bank from trading in goods or merchandise of any kind, though it was allowed to deal in gold and silver [[bullion]], and in [[bills of exchange]].<ref name="Allen1828" /> Before very long, the bank was maximising its profits by issuing [[banknotes]], taking [[deposits]] and lending on [[mortgages]].<ref name="Kynaston2017" />

	In its early days the bank made significant losses, not least by accepting [[Coin clipping\|clipped coins]] in exchange for its banknotes.<ref name="Allen1828" /> The establishment of a Land Bank (by [[John Asgill]] and [[Nicholas Barbon]]) in 1695, and a currency shortage occasioned by the [[Great Recoinage of 1696]], both threatened the bank's position;<ref name="BoEHistFun" /> but Parliament intervened, passing [[Bank of England Act 1696\|another Act]] that year, which authorised the bank to increase its capital to over £2.2 million through the enlarging of its stock by new subscriptions.<ref>{{cite book \|editor1-last=Raithby \|editor1-first=John \|title=Statutes of the Realm: Volume 7, 1695-1701 \|date=1820 \|publisher=Great Britain Record Commission \|location=London \|pages=218-238 \|url=https://www.british-history.ac.uk/statutes-realm/vol7/pp218-238 \|access-date=29 January 2024}}</ref>		In its early days the bank made significant losses, not least by accepting [[Coin clipping\|clipped coins]] in exchange for its banknotes.<ref name="Allen1828" /> The establishment of a Land Bank (by [[John Asgill]] and [[Nicholas Barbon]]) in 1695, and a currency shortage occasioned by the [[Great Recoinage of 1696]], both threatened the bank's position;<ref name="BoEHistFun" /> but Parliament intervened, passing [[Bank of England Act 1696\|another Act]] that year, which authorised the bank to increase its capital to over £2.2 million through the enlarging of its stock by new subscriptions.<ref>{{cite book \|editor1-last=Raithby \|editor1-first=John \|title=Statutes of the Realm: Volume 7, 1695-1701 \|date=1820 \|publisher=Great Britain Record Commission \|location=London \|pages=218-238 \|url=https://www.british-history.ac.uk/statutes-realm/vol7/pp218-238 \|access-date=29 January 2024}}</ref>

	===18th century===		===18th century===

← Previous revision		Revision as of 04:56, 26 September 2024
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	The [[royal charter]] of the Bank of England was granted on 27 July 1694, three months after the passing of the Act.{{citation needed\|date=July 2024}}		The [[royal charter]] of the Bank of England was granted on 27 July 1694, three months after the passing of the Act.{{citation needed\|date=July 2024}}

	In the end the £1.2 million was raised in 12 days; 1,268 people subscribed. Their holdings were known as Bank Stock (Bank Stock continued to be held in private ownership until 1946 when the Bank of England was nationalised).<ref>{{cite web \|title=Index to Original Subscribers to Bank Stock 1694 \|url=https://www.bankofengland.co.uk/archive/index-to-original-subscribers-to-bank-stock-1694 \|website=Bank of England Archive \|access-date=5 January 2024}}</ref> The majority of the original subscribers were of 'the [[mercantile]] middle classes of London' (though [[tradesmen]] and [[artisans]] also subscribed).<ref name="Kynaston2017" /> Most (more than two-thirds) contributed less than £1,000. As a proportion of the total amount raised, 25% came from '[[esquire]]s', 21% from merchants and 15% from titled [[aristocrats]]. Twelve per cent of the original subscribers were women.<ref name="Kynaston2017" /> [[William and Mary of England\|King William and Queen Mary]] (jointly) invested £10,000, the maximum permitted sum, as did a handful of others (including Sir [[John Houblon]]).<ref>{{cite web \|title=Index to the Book of the Subscriptions 1694 \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/original-bank-subscribers/1694.pdf \|website~~=Bank of England \|publisher~~=Bank of England \|access-date=27 January 2024}}</ref>		In the end the £1.2 million was raised in 12 days; 1,268 people subscribed. Their holdings were known as Bank Stock (Bank Stock continued to be held in private ownership until 1946 when the Bank of England was nationalised).<ref>{{cite web \|title=Index to Original Subscribers to Bank Stock 1694 \|url=https://www.bankofengland.co.uk/archive/index-to-original-subscribers-to-bank-stock-1694 \|website=Bank of England Archive \|access-date=5 January 2024}}</ref> The majority of the original subscribers were of 'the [[mercantile]] middle classes of London' (though [[tradesmen]] and [[artisans]] also subscribed).<ref name="Kynaston2017" /> Most (more than two-thirds) contributed less than £1,000. As a proportion of the total amount raised, 25% came from '[[esquire]]s', 21% from merchants and 15% from titled [[aristocrats]]. Twelve per cent of the original subscribers were women.<ref name="Kynaston2017" /> [[William and Mary of England\|King William and Queen Mary]] (jointly) invested £10,000, the maximum permitted sum, as did a handful of others (including Sir [[John Houblon]]).<ref>{{cite web \|title=Index to the Book of the Subscriptions 1694 \|url=https://www.bankofengland.co.uk/-/media/boe/files/archive/original-bank-subscribers/1694.pdf \|website=Bank of England \|access-date=27 January 2024}}</ref>

	Investment in the navy duly took place. As a side effect, the huge industrial effort needed (including establishing [[ironworks]] to make more nails and advances{{Clarify\|date=February 2016}} in agriculture feeding the quadrupled strength of the navy) started to transform the economy. This helped the new [[Kingdom of Great Britain]] – [[Acts of Union 1707\|England and Scotland were formally united in 1707]] – to become powerful. The power of the navy made Britain the dominant world power in the late 18th and early 19th centuries.<ref>{{Cite AV media \|url=https://www.youtube.com/watch?v=-jqDMmWhPHA \|title=Empire of the Seas \|publisher=BBC \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20191220124600/https://www.youtube.com/watch?v=-jqDMmWhPHA&gl=US&hl=en&has_verified=1&bpctr=9999999999 \|archive-date=20 December 2019 \|url-status=live}}</ref>		Investment in the navy duly took place. As a side effect, the huge industrial effort needed (including establishing [[ironworks]] to make more nails and advances{{Clarify\|date=February 2016}} in agriculture feeding the quadrupled strength of the navy) started to transform the economy. This helped the new [[Kingdom of Great Britain]] – [[Acts of Union 1707\|England and Scotland were formally united in 1707]] – to become powerful. The power of the navy made Britain the dominant world power in the late 18th and early 19th centuries.<ref>{{Cite AV media \|url=https://www.youtube.com/watch?v=-jqDMmWhPHA \|title=Empire of the Seas \|publisher=BBC \|access-date=10 May 2010 \|archive-url=https://web.archive.org/web/20191220124600/https://www.youtube.com/watch?v=-jqDMmWhPHA&gl=US&hl=en&has_verified=1&bpctr=9999999999 \|archive-date=20 December 2019 \|url-status=live}}</ref>