Banking in the United Kingdom

One day the session of the international congress of economists held in England some years ago was devoted to Banking Sector. Here you can find some information about the UK Banking Sector.

The Bank of England has its own museum. It is located practically in the building of the Bank, in the city of London. The museum has a lot of exhibits showing the history of the Bank from its foundation in 1694 to its role today as the nation’s central bank. Visitors can also see a video on the history of the Bank.

Here is an example of the text of the video:

To understand the role and the importance of the Bank better we should learn first how it emerged.

During the seventeenth century banking in England was in the hands of goldsmiths who held deposits, made loans to the merchants and the Crown. But even the wealthiest goldsmiths could not carry on a deposit and landing business on the scale the Government required.

So in sixteen ninety four a joint stock company to raise money for the Government and finance wars was incorporated. In later got to be known under the title “Bank of England”.

Although privately owned and financed, the Bank of England developed essentially as a government bank, raising money to finance the needs of the British Government, managing its national debt, printing banknotes and minting coins.

In 1946 the Bank was nationalized and it operates today as the UK’s central bank executing monetary policy on behalf of the Government and supervising the markets in one of the world’s largest and most sophisticated centres.

Besides the Bank has always been a repository of gold…

v Retail Banks: They render numerous services for private customers and have extensive branch networks in the UK. They participate directly in the UK clearing system.

v Discount Houses: They are mostly engaged in discounting bills of exchange for the corporate sector.

v British Merchant Banks: These are wholesale banks handling big money for private and corporate customers. They are engaged in mergers, take-overs and acquisitions. They also provide consulting services.

v Other British Banks: Comprise all other UK registered banking institutions and certain banks in the Channel Islands and the Isle of Man. They are controlled by UK companies or individuals.

v American Banks: Comprise the branches and subsidiaries of US banks.

v Japanese Banks: Comprise the branches and subsidiaries of banks based in Japan.

v Overseas Banks: non-American or non-Japanese banks and Consortium banks. These are jointly owed by other financial institutions, one of which must be based overseas.

v Building Societies: In the past they mostly extended mortgage loans, but nowadays they also widely practice in deposits and they practically operate as banks.

Tasks to the topic:

1. Read texts and translate it.

2. What is money used for?

3. What kind of system was used instead of / before money?

4. Write down some material things valuable for you.

5. What kind of materials used for preparing coins?

Date: 2016-01-05; view: 1008