文档介绍：*Banker to the Government The Bank maintains accounts on behalf of the government. The main account is the Exchequer Account. Government receipts from taxation, borrowing, etc are paid into this account. Expenditure on the economy: welfare, health, education, etc, is paid out of this account. The accounts of government departments are also held at the Bank.
Banker to Banks High Street banks keep hold of their cash reserves at the Bank of England. These funds are used to settle clearing balances. Payments from the private sector to the government are made by cheques drawn on the accounts of the UK clearing banks at the Bank of England.
Clearing banks keep part of their cash reserves at the Bank of England for convenience but banks are also legally required to keep a percentage of their deposits at the Bank of England. This percentage changes from time to time.
The Bank maintains a current account for banks for:
Operational balances, which are held for the settlement of clearing differences and
Non Operational balances that are held to fulfill cash ratio deposit requirements
Special deposits are required to be held with the Bank from time to time.
Note Issue
In England and Wales the Bank is the sole bank for note issue.
In Scotland and Northern Ireland banks issue their own notes under strict regulation.
In other words the note issue is based purely on faith that note