Curio

State Library of New South Wales
£1 note design City Bank of Sydney

£1 note design City Bank of Sydney

1893
Watercolour and gouache on card
Bequest of Sir William Dixson, 1952
DN / P 117 & DN / P 118

The City Bank commenced business on 9 February 1863, on the corner of King and George streets in Sydney. The financial strength of the bank was particularly evident during the Australian banking crisis of 1893, when it was one of only a handful of Australian banking institutions which did not suspend trading. With the bank’s notes backed by NSW government legislation, their issue was instrumental in overcoming stagnant trade and commerce.

In that same year, the bank changed its name to the City Bank of Sydney by an Act of Parliament (An Act to alter the title of ‘The City Bank’ to that of ‘The City Bank of Sydney’,16 March 1893). This change may have been the catalyst for new designs for the bank’s paper currency.

In 1911 the City Bank of Sydney was one of 16 banks to supply blank note forms to the Australian government. These notes were superscribed as redeemable in gold and issued as the first Commonwealth notes. The bank merged with the Australian Bank of Commerce Ltd (formerly known as the Australian Joint Stock Bank) in 1916, eventually to be absorbed by the Bank of NSW (now the Westpac Banking Corporation) in 1931.

Stories on paper

Sir William Dixson’s paper currency collection is remarkable for its diversity. It begins with early handwritten promissory notes and common IOUs, and continues with numerous currency notes in use in the early part of the 19th century, when currency of the realm was virtually non-existent.

The early issues, many by prominent merchants of the day, and normally extremely rare, are well represented in this collection. They include those by John Hutchinson (one of the founders of the Bank of NSW), Garnham Blaxcell (who was, with several others, contracted to build the Rum Hospital), and Thomas Lempriere (a Hobart-based merchant and one of the founders of the Bank of Van Diemen’s Land). The currency notes issued in the early years after 1810 in Launceston are thought to be unique.

The private bank issues of the late 19th century are extensive, and many are notable for their pristine condition. Sir William was chairman of directors of the City Bank of Sydney, which later merged with the Australian Bank of Commerce. It is highly probable that he was able to use the contacts he made to obtain fine specimens from various banks. He even acquired the stationery forms used in early banks, which are of great interest to researchers.