Research On The Establishment Of The Right Of Monopoly Of The Bank Of England

The Bank of England,which is the present British Central Bank,was established in 1694.At the beginning of its establishment,the Bank of England was just a private bank that temporarily raised funds for the government,and were strongly opposed and attacked by the landlords and London's goldsmith bankers.However,taking the Financial Crisis of 1697 as an opportunity,the Bank of England became an important financial institution of the government,and then obtained the concession to monopolize the joint-stock banks in England.In 1708,the Bank of England further strengthened its monopoly,joint-stock banks or similar financial institutions with more than six members were forbidden.As a result,the Bank of England became the only joint-stock bank in England until the government abolished its monopoly in 1826,and it gradually played a indispensible role in the economic activities of the country.This paper mainly focus on how the Bank of England acquired the right of the monopoly of joint-stock banks and the influence of monopoly on banking in England.The first chapter of this paper describes the Bank of England faced challenges at the beginning of its establishment.At the time,the main problems faced by it were the competition from the National Land Bank and the shortage of coins caused by the Great Recoinage of 1696.The two chapter of this paper describes the Bank of England gradually established the monopoly of joint-stock banks in response to the financial crisis.In 1697,Bank of England successfully rescheduled its charter with outstanding performance during the crisis,eliminating the possibility of the Parliament agreed to found the second joint-stock bank.In 1708,the Bank of England further adopted the limitation of no more six-person on other similar financial institutions.The three chapter of this paper describes the legislative process of acquired monopoly right of joint bank of the Bank of England.The enactment of acts,for example,the Tonnage Act of 1694,the Bank Act of 1697 and the Bank Acy of 1708,providing the legal basis and safeguard for maintaining the monopoly status of the Bank of England.The four chapter of this paper describes the influence of Bank of England monopolies on banking in England and Reflection on Monopoly.