JET. 48.] LORD GREY. 473 



the gloom in the City on Friday and Saturday ; and 

 from what I heard yesterday, this week is expected to 

 be worse. The alarm is begun among the country 

 banks, and many of them must go. This of Went- 

 worth is really a most afflicting thing, as it will make 

 some of the best people in the world extremely un- 

 happy I mean the Chaloners, and all that connection. 

 But the exchanges are improved, and gold is cheap, 

 so that the Bank must issue ; and I suppose, after a 

 little while, things will get right, with a good deal of 

 individual and local distress. I hope there is still 

 some chance of the Catholics not pressing the question 

 this session. Burdett has advised them, and is advis- 

 ing strongly, not to do it. Most of our friends in the 

 House of Commons are clear for this course, with one 

 or two important exceptions as Althorpe, Tierney. 

 Yours ever, H. BROUGHAM." 



FROM EAKL GEEY. 



"GOVERNMENT HOUSE, December 21, 1825. 

 " MY DEAR BROUGHAM, I have to thank you for 

 two letters, the last received this morning. I have 

 been less surprised than others perhaps less than I 

 ought to have been by all this confusion and distress 

 in our money concerns. Ellice has always told me 

 that it must happen sooner or later, and supported his 

 opinion by reasons which appeared to me so good that 

 they convinced me/* I can. have no doubt that the 

 original cause of all has been an over-issue of paper, 

 caused in part by the Bank, but much more by the 

 bill continuing to the country banks the power of 

 issuing 1 and 2 notes. It remains to be seen 



* Edward Ellice, Secretary to the Treasury in Lord Grey's Ministry. 



