This engraftment is said to have been for the support of public credit. In 1696, tallies had been at forty, and fifty, and sixty per cent discount, and bank notes at twenty per cent. During the great recoinage of the silver, which was going on at this time, the bank had thought proper to discontinue the payment of its notes, which necessarily occasioned their discredit.

In pursuance of the 7th Anne, c. 7, the bank advanced and paid into the exchequer the sum of L400,000; making in all the sum of L1,600,000 which it had advanced upon its original annuity of L96,000 interest and L4000 for expense of management. In 1708, therefore, the credit of government was as good as that of private persons, since it could borrow at six per cent interest the common legal and market rate of those times.