They believed that, in order to restrict circulation, issuers of new banknotes should be required to hold an equivalent value of gold as a reserve.
They argued for convertibility, meaning paper money should be 100% backed by gold, in order to avoid inevitable inflation.
[2] Henry Thorton and David Ricardo were two of the main figures which helped propel the Bullionist group.
[4] He, in turn, helped develop the Labor theory of Value which states "any commodity's natural value is determined by cost of production".
However, crucially, the Bank of England was only allowed to print new banknotes to the extent that they were backed by additional gold reserves.