1694, Britain established the first capitalist joint-stock commercial bank-the Bank of England. The Bank of England (called the Bank of England in Hong Kong) was established in 1694. The original task of the British Central Bank was to act as the bank of the British government, and this task is still valid today. The Bank of England Building is located in Threadneedle Street in London, so it is sometimes called "the old lady on Needle Street" or "the old lady".

Second,

Before the Bank of England was established, the British royal family tried to borrow money from the rich and aristocratic feudal lords in London. At that time, the Wangs had a national treasury mint where the rich would keep their gold and silver. One of the misdeeds of the royal family is that it refuses to pay the gold coins that people keep there, in fact, it misappropriates customers' deposits. During the "Nine Years War" between Britain and France, the minister in charge of the king's seal printed government bonds, sold them directly to businessmen, promised to pay interest, and allowed businessmen to pay taxes with this financial voucher. However, the term of these loans is very short, and businessmen are no longer willing to pay financial vouchers after the minister in charge of seals failed to fulfill his promise to pay interest several times. In this way, the king who has lost the right to raise taxes freely is at the end of his tether.

The original financial business in London has developed slowly since Queen Elizabeth I (1558- 1603), which has adapted to the demand of trade payment. By the end of17th century, businessmen plan to establish a bank similar to Dutch institutions. The government's predicament provides them with an excellent opportunity. They don't want to lend money to the royal family alone, but want to bank the function of direct lending by the government.

William Patterson, a scotsman, is a lender of the Bank of England. He came forward to organize negotiations with the government. But the real operator is Sir John Hubron, a senior business tycoon in London. The proposal of the Bank of England was quickly approved by Congress, and the king granted a royal charter, allowing banks to break through the legal provisions at that time, set up an unlimited number of joint-stock companies, and set up well-funded financing institutions on the premise of long-term loans to the government. A few days after obtaining the concession, the 65,438+0,208 shareholders of the City raised 654,380+0.2 million in just two weeks. The government agreed to an annual interest rate of 8% and paid the bank an annual management fee of 4,000 pounds. It only took half a year, and all the money was recovered by the government. Scholars describing the "Nine-Year War" wrote that the equipment of British soldiers at the front line envied the French.