History of the British national debt History of the British national debt The history of the British national debt can be traced back to the reign of William III, who engaged a syndicate of City traders and merchants to offer for sale an issue of government debt, which evolved into the Bank of England. In 1815, at the end of the Napoleonic Wars, British government debt reached a peak of £1 billion (that was more than 200% of GDP). At the beginning of the 20th century the national debt had been gradually reduced to around 30 percent of GDP. However, during World War I the British
Bank of England note issues of the United Kingdom to increase confidence in banknotes in circulation by limiting the rights of banks to issue notes. Eventually the Bank of England gained a monopoly of note issue in England and Wales. Attempts to restrict banknote issue by banks other than the Bank of England began in 1708 and 1709, when Acts of Parliament were passed which prohibited banking companies of more than six partners or shareholders. Notes under 1 guinea & 5 guineas were prohibited in the 1770s and thereafter almost all the provincial banks were established by the more substantial merchants, landed gentry etc of