The Small Notes Bill,[3] as it is called, lowered the funds and increased the alarm among the monied men. Numerous were the complaints of the inefficacy of the measure for present relief, numerous the predictions of the ultimate impossibility of carrying it into effect. In the City, however, on Thursday afternoon things began to improve; there was more confidence and cheerfulness. On Friday evening the Chancellor of the Exchequer comes down to the House and surprises everyone by abandoning one part of his plan, and authorising the Bank to issue one pound notes till October. The immediate cause of this alteration was a communication which Hudson Gurney made to the Chancellor, that if he persisted in his Bill he should send up £500,000 which he had in Bank of England notes and change them for sovereigns, and that all country bankers would follow his example. From this he found that it would be impossible to persist in his original plan. The great evil now is a want of circulating medium, and as the immediate effect of the measure would be another run upon the Bank, and that probably all the gold drawn from it would disappear--for men now are anxious to hoard gold--this evil would be increased tenfold. The whole country is in distress from the absence of circulating medium for the common purposes of life; no country banker will issue notes, for they are instantly returned upon his hands and exchanged for gold. The circulation of country notes being generally confined within a very limited extent, the holders of them can easily present them for payment. The circulation of a quantity of Bank of England paper will relieve the immediate distress arising from this necessity, and the difficulty of exchanging them for gold will ensure the continuance of their circulation. When men find that they must take notes, and that gold is not to be had without so much pain and trouble, they will be contented to take the notes to which they have been accustomed, and will think the paper of their own bankers as good as that of the Bank of England, besides the advantage of being less exposed to the losses arising from forgery. This is the argument of the opponents of Robinson's Bill. It is generally thought that the Ministers have disgraced themselves by their precipitation and by the crudeness of their measures. Hitherto they have done nothing towards removing the present distress, or satisfying the minds of men, but the contrary. Robinson is obviously unequal to the present crisis. His mind is not sufficiently enlarged, nor does he seem to have any distinct ideas upon the subject; he is fighting in the dark.