rted his influence in favour of the Whig leaders, failed them on this
occasion. The Whig country gentlemen were delighted by the prospect of
being able to repair their stables, replenish their cellars, and give
portions to their daughters. It was impossible to contend against such a
combination of force. A bill was passed which authorised the government
to borrow two million five hundred and sixty-four thousand pounds at
seven per cent. A fund, arising chiefly from a new tax on salt, was set
apart for the payment of the interest. If, before the first of August,
the subscription for one half of this loan should have been filled,
and if one half of the sum subscribed should have been paid into the
Exchequer, the subscribers were to become a corporate body, under the
name of the National Land Bank. As this bank was expressly intended to
accommodate country gentlemen, it was strictly interdicted from lending
money on any private security other than a mortgage of land, and was
bound to lend on mortgage at least half a million annually. The interest
on this half million was not to exceed three and a half per cent., if
the payments were quarterly, or four per cent., if the payments were
half yearly. At that time the market rate of interest on the best
mortgages was full six per cent. The shrewd observers at the Dutch
Embassy therefore thought that capitalists would eschew all connection
with what must necessarily be a losing concern, and that the
subscription would never be half filled up; and it seems strange that
any sane person should have thought otherwise. [691]

It was vain however to reason against the general infatuation. The
Tories exultingly predicted that the Bank of Robert Harley would
completely eclipse the Bank of Charles Montague. The bill passed both
Houses. On the twenty-seventh of April it received the royal assent; and
the Parliament was immediately afterwards prorogued.

CHAPTER XXII

Military Operations in the Netherlands--Commercial Crisis in
England--Financial Crisis--Efforts to restore the Currency--Distress of
the People; their Temper and Conduct--Negotiations with France; the
Duke of Savoy deserts the Coalition--Search for Jacobite Conspirators
in England; Sir John Fenwick--Capture of Fenwick--Fenwick's
Confession--Return of William to England--Meeting of Parliament;
State of the Country; Speech of William at the Commencement of
the Session--Resolutions of the House of Commons--Return