66 throats. What," said he, " are we to do with the money? how are we to use the money?" On looking at the creation of the debt, let us take an item, which, though not a fair average, will yet avail for illustration of the style in which these burthens were thrown on the children of subsequent generations. In 1799 government contracted for seventeen millions, as a loan: Well; did they give a bond, engaging to pay interest for this sum, until they had redeemed the principal? Oh dear, no; that would have been unworthy the reckless carelessness of the statesman, or the crafty scheme of the loan-monger. Well, what did they do? Why, for every one hundred pounds loan they acknowledged two hundred pounds debt, for which double amount they engaged to pay interest at three per cent., and for 61 years an annuity also of 47. 11s. per cent. on the amount of interest; and this usurious interest is to be kept up until each hundred pounds borrowed is repaid by two hundred pounds, or that government can redeem it by buying it up at a lower rate. Thus this usurious interest must be kept up until the seventeen millions is repaid by thirty-four millions, or bought up at what they can get it for. It appears on calculation, that after reckoning 51. per cent. per annum for the sum of this loan actually in hand at the expiration of each year, that of the seventeen millions, no less than thirteen millions four hundred and eighty-seven thousand pounds odd has been paid off in excess of interest beyond the legal amount; and though there really remains honestly due little more than three millions and a half, we are still held responsible for the thirty-four millions as principal: and interest thereon half yearly until redeemed by purchase or payment—neither has there in this reckoning been any advantage taken of the period in which the Bank of England and private bankers have discounted at four per cent. and various other companies and individuals at from two to four per cent. This fact is, I apprehend, proved by the following data, and calculations thereon: in 1799, as already stated, seventeen millions were borrowed for the use of government, for which they acknowledged a debt of thirty four millions, and engaged to pay for the use of that loan of seventeen millions, the annual sum of one million and sixty-six thousand four hundred and ten pounds per annum. Now the greatest amount of interest which does not merge into usury, according to the laws of this country, is five per cent. and throughout the period from that day to this (sabbath and other holydays excepted) the Bank has always discounted at a rate no higher than five per cent. and for some years at much less. Starting then on these principles, and with this data, I state as an admitted fact, that the government of England Borrowed in 1799, the sum of That they engaged to pay annually for the use of it. £17,000,000 1,066,410 850,000 That five per cent. on £17,000,000, is And that consequently the public have annually redeemed of the principal, the sum of 216,410 besides interest on the total amount of the excess of payments for the time being, because they have to this day paid up the full interest, though they have never had the full amount |