Which British law temporarily restricted the Bank of England from redeeming banknotes for gold in 1797?

The Bank Restriction Act restricted the Bank of England from redeeming its banknotes for gold in 1797.

The British government passed the measure during the French Revolutionary Wars after concerns about wartime spending, withdrawals, and the Bank of England’s reserves. The restriction began on 26 February 1797 and prevented the bank from paying gold to ordinary customers on demand.

The measure was intended to stop a run on the bank and preserve credit. Banknotes remained in circulation, but convertibility into gold was suspended. The restriction was repeatedly extended and continued until 1821, with a short interruption after the Napoleonic Wars.

It is often called the Restriction Period. The act did not permanently abolish the gold standard; rather, it suspended convertibility during a crisis. The later resumption of gold payments formed part of Britain’s return to prewar monetary arrangements.