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278 to the amount of £5,623,000. Out of these bills, £2,800,000 matured between November 11 and December 4; £2,000,000 more between December 11 and December 31; consequently we were prepared merely by the maturing of our bills of exchange for any demand that might come upon us." This is not indeed a direct withdrawal of money on deposit, but its principal effect is identical. At the beginning of the time the London and Westminster Bank had lent £5,000,000 more to the bill brokers than they had at the end of it; and that £5,000,000 the bank had added to its reserve against a time of difficulty.

The intensity of the demand of the bill broker is aggravated therefore by our peculiar system of banking. Just at the moment when, by the nature of their business, they have to resort to the reserves of bankers for necessary support, the bankers remove from them large sums in order to strengthen those reserves. A great additional strain is thrown upon them just at the moment when they are least able to bear it; and it is thrown by those who under a natural system of banking would not aggravate the pressure on the bill brokers, but relieve it.

And the profits of bill broking are proportionably raised. The reserves of the bankers so deposited with the bill broker form a most profitable part of his business; they are on the whole