In the early 19th century ‘filthy rags’ – or banknotes – became a common form of currency. A surge in forgery followed, accompanied by harsh prosecutions. In 1820 a satirical pamphlet called Satan's Bank Note appeared on the streets of London, showing five men being executed with the devil on the gallows. The anonymous work blamed the Bank of England and the government for the forgery epidemic, its author staying unnamed for fear of libel or sedition.

Ever since William Pitt’s government suspended the gold standard in 1797, the public was forced to accept paper instead of gold and silver. Critics such as Thomas Paine and later William Cobbett argued that only specie had intrinsic value, calling paper money a mere promise. Cobbett’s book *Paper against Gold* sold over 150,000 copies, linking the people’s poverty to the debt‑financed war effort.

By 1817 forged notes reached record highs, and the Bank’s determination to punish forgers led to public outcry after deadly trials at the Old Bailey, where many poor women were sentenced to death for ‘uttering’ fake notes. Cobbett warned that wartime paper debts would later have to be paid in specie, inflating the real burden on taxpayers.

The eventual return to convertibility, championed by Lord Liverpool’s government and enacted by Sir Robert Peel, required cutting the money supply to match the Bank’s gold reserves, aiming to restore sound finance after years of paper‑only circulation.