ENGLISH COMMERCIAL.

Southland Times, Volume VII, Issue 523, 20 July 1866, Page 5

ENGLISH COMMERCIAL.

The English neW3 brought by the Tararua, commercially speaking, 13 of a very sombre complexion* . The following summary of. the month's failures'is under date 26th May. It is as follows : — " Ihe most serious commercial crisis that has oc-urred in Europe for many years began in London on the 10th inst. The commencement of it was the announcement that the large banking firm of Messrs Overend, Grurney and Co. had suspended payment, their liabilities being stated at about £lU,O 0.000. The stoppage of this firm -was caused by the Bank of Jingiand refusing to give them assistance. On the 3rd of May the Bank of England raised the rate of discount to 7 per cent., on the Bth to 8 per cent., on the 11th to 9 per cent., and on the 12th to 10 per cent. Messrs Overend, G-urney and Co.'s failure was followed the neit morning with thai, 01 the English Joint Stock Bank, and a run upon all the city banks, ■which were, however, generally well sustained. In the course of the afternoon of the 11th May a deputation from the joint stock banks waited upon the Hon. Mr .Gladstone, and iisked for the interva:ition of the Government in tiie unprecedented crisis. At a late hour in the evening the Chancellor of the Exchequer announced to Parliament that the Bank of England had given accommodation during the day to the amount of £4,000,000 sterling, and this had reduced their reserve-fund from £6,000,000 to £2,000,000, and that therefore the G-overnment had authorised the suspension of the Bank Charter Act, and a further issue of notes. Up to the present -ate, however, it is believed the bank has not availed itself of the privilege thut granted. The principal suspensions since the 10th inst., arc, Messrs Peto, Brassey and Betts, liabilities about £4,000,000, nearly all of which are secured. Ti.eir stoppage is considered to be of a temporary nature. The Imperial Mercantile Credit Association, liabilities large, and assets verj considerable. Messrs HaJlet and Ommaney. bankers, and army and navel agents, liabilities; £^50,000 ; assets considerable. The Europear Bank, and the New Zealand Banking Corpora tion. The business of the Bank of London hat been transferred to the Consolidated Bank, and when the arrangement* are completed it is exwrted that th» London B<*t;V vri)l hr -rror.rA "p