Bank of England Act 1716 facts for kids
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| Long title | An Act for redeeming several Funds of the Governor and Company of the Bank of England, pursuant to former Provisoes of Redemption; and for securing to them several new funds and allowances redeemable by parliament; and for obliging them to advance further sums not exceeding two millions five hundred thousand pounds, at five pounds per centum, as shall be found necessary to be employed in lessening the national debts and incumbrances; and for continuing certain provisions formerly made for the expences of his Majesty's civil government; and for payment of annuities formerly purchased at the rate of five pounds per centum; and for other Purposes in this Act mentioned. |
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| Citation | 3 Geo. 1. c. 8 |
| Dates | |
| Royal assent | 15 July 1717 |
| Other legislation | |
| Repealed by | Statute Law (Repeals) Act 1995 |
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Status: Repealed
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The Bank of England Act 1716 was an important law passed in Great Britain. It was one of many laws that helped shape the Bank of England. This Act helped manage the country's money and debts.
This law was part of a series of acts related to the Bank of England. These laws were passed between 1694 and 1892. They helped the Bank of England grow and become a central part of Britain's economy.
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What Was the Bank of England Act 1716?
The Bank of England Act 1716 was a special law. It was created by the Parliament of Great Britain. A "Parliament" is like a big meeting where lawmakers decide on new rules.
This Act helped the government deal with its money. It allowed the Bank of England to lend money to the government. This money was used to pay off national debts.
Why Was This Act Needed?
In the early 1700s, Great Britain had many debts. These debts came from wars and other government spending. The government needed a way to manage this money.
The Bank of England was a new and important bank. It was created to help the government with its finances. This Act gave the Bank more power to do that.
How Did the Act Help?
The Act allowed the Bank of England to "redeem" some old funds. This means they could pay off old debts. It also gave the Bank new ways to earn money.
The Bank also agreed to lend the government more money. This was a large sum, up to £2.5 million. This money was meant to help reduce the country's debts.
The Bank of England's Role
The Bank of England is a very old and important bank. It was founded in 1694. Its main job is to manage the country's money supply.
It also works to keep prices stable. The Bank acts as the government's bank. It also helps other banks in the country.
The Act's History and Repeal
Over time, parts of the Bank of England Act 1716 were changed. Other new laws replaced some of its rules. This is common for old laws.
How Laws Are Changed
Laws can be "repealed," which means they are officially cancelled. This happens when a law is no longer needed. Or, it might be replaced by a newer, better law.
Several laws slowly removed parts of the 1716 Act. These included the Statute Law Revision Act 1870 and the Bank of England Act 1946.
When the Act Was Fully Cancelled
The very last parts of the Bank of England Act 1716 were repealed. This happened on November 8, 1995. The law that did this was the Statute Law (Repeals) Act 1995.
So, even though it was important for a long time, the Act is no longer in effect today. Its ideas, however, helped shape how the Bank of England works.
