Which 1844 British law gave the Bank of England tighter control over banknote issue?

The Bank Charter Act of 1844 gave the Bank of England tighter control over British banknote issue.

The act was passed under Prime Minister Sir Robert Peel after intense nineteenth-century debates about money, credit, and the causes of financial crises. It separated the Bank of England's note-issuing department from its banking department and tied most new note issue to gold reserves.

The legislation also limited the ability of English and Welsh banks to issue additional notes. Existing issuers could continue within prescribed limits, but new note issue generally required backing by deposited government securities or gold. These rules strengthened the Bank of England's position in the national currency system.

The act is sometimes called the Peel Act. It did not create the Bank of England, which had existed since 1694, and it did not establish a modern independent central bank. Its main historical importance was monetary regulation and the consolidation of note-issuing authority.