The law that allows private banks to print money.

The request was partially successful.

Dear Scottish Government,

Q1. Can you tell me the law that allows private banks (three separate banks in scotland) to create and issue private banknotes within scotland?

Q2. Do these banks needs a license in order to print and loan money to the scottish government? if so then who provides the license and who is the regulator?

Q3. What is the limit on the amount that can be printed?

Q4. How much is within circulation?

Q5. Have we exceeded the limit yet?

Yours faithfully,

tommy wright

Scottish Government

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FOISA Acknowledgment of request
 
Thank you for your request dated 21 February 2018 under the Freedom of
Information (Scotland) Act 2002 (FOISA) for
 
Q1. Can you tell me the law that allows private banks (three separate
banks in scotland) to create and issue private banknotes within scotland?
Q2. Do these banks needs a license in order to print and loan money to the
scottish government? if so then who provides the license and who is the
regulator?
Q3. What is the limit on the amount that can be printed?
Q4. How much is within circulation?
Q5. Have we exceeded the limit yet?
 
We received your request on 21 February 2018 and will respond in
accordance with FOISA by 21 March 2018.
If you have any queries, please contact me quoting case number
FoI/18/00572.
 
Yours sincerely
Francis Taylor
Francis Taylor | Policy Advisor | Financial Services and Fintech Policy
|Innovation, Investment and Industries Division | Directorate for Economic
Development | Tel: AQ: 0131 244 1200 | email: [1][email address]
 
 
 
 
 
 

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References

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1. mailto:[email address]

Scottish Government

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Dear Mr Wright,
 
Please find attached the response to your recent Freedom of Information
request.
 
Yours sincerely
 
Francis Taylor
 

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Dear Scottish Government,

l have read the information within the link that you have provided.

Basically there is no law that allow banks to print money and the regulators are the banks themselves.

l'm very surprised that politicians don't have any powers or get involved regarding something so crucially important.

So if a bank can do what it is doing, then l'm pretty sure l or anybody else can print money, and then be my own regulator.

If politicians don't get involved with such an issue, would a politician get involved if l started my own bank and Edinburgh's own local currency?

Yours faithfully,

tommy