For a long period it was in wholesome dread of public opinion, and the necessity of retaining public confidence made it cautious.

But the English Government removed that necessity.

In 1797, Mr.Pitt feared that he might not be able to obtain sufficient species for foreign payments, in consequence of the low state of the Bank reserve, and he therefore required the Bank not to pay in cash.
He removed the preservative apprehension which is the best security of all Banks.
For this reason the period under which the Bank of England did not pay gold for its notes--the period from 1797 to 1819--is always called the period of the Bank restriction.

As the Bank during that period did not perform, and was not compelled by law to perform, its contract of paying its notes in cash, it might apparently have been well called the period of Bank license.

But the word 'restriction' was quite right, and was the only proper word as a description of, the policy of 1797.