some respects well concerted, for the invasion of England by a French
force, with the object of the restoration of James. A noble fleet of
about 80 ships of the line was to convey this force to the shores of
England, and in the French dockyards immense preparations were made.
James had persuaded himself that, even if the English fleet should fall
in with him, it would not oppose him. Indeed, he was too ready to
believe anything written to him by his English correspondents.

No mightier armament had ever appeared in the English Channel than the
fleet of allied British and Dutch ships, under the command of Admiral
Russell. On May 19 it encountered the French fleet under the Count of
Tourville, and a running fight took place which lasted during five
fearful days, ending in the complete destruction of the French force off
La Hogue. The news of this great victory was received in England with
boundless joy. One of its happiest effects was the effectual calming of
the public mind.


_Creation of the Bank of England_


In this reign, in 1694, was established the Bank of England. It was the
result of a great change that had developed in a few years, for old men
in William's reign could remember the days when there was not a single
banking house in London. Goldsmiths had strong vaults in which masses of
bullion could lie secure from fire and robbers, and at their shops in
Lombard Street all payments in coin were made. William Paterson, an
ingenious speculator, submitted to the government a plan for a national
bank, which after long debate passed both Houses of Parliament.