Bank of England Museum (5): Gold Standard

Posted: June 7, 2016 in History, London, UK
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A shipment of Californian gold arriving at the Bank in 1849

A shipment of Californian gold arriving at the Bank in 1849

The Gold standard was established by the Bank of England in 1816. It set a standard weight of gold which was equivalent to one pound sterling. Other countries soon adopted the same standard and this enabled the direct comparison between currencies. Initially Banks were only allowed to issue a quantity of notes which was  equivalent to the amount of gold they held in their vaults,

Gold being weighed before being deposited

Gold being weighed before being deposited

 

Weighing gold 1965

Weighing gold 1965

 

Gold Vault 1960

Gold Vault 1960

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