[1] Some of the concepts were brought over from Amsterdam where goldsmiths would provide gold storage and issue chits that started to be used as a means of exchange.
Prior to that date banking in London was principally carried out by foreigners, generally Italians, Germans, and the Dutch.
[1] Whereas before the Civil War the London goldsmith bankers had largely been creditors, following the restoration in 1660 they became the biggest debtors in England.
As the system evolved, the goldsmith bankers developed a form of Fractional reserve banking, which whilst still restricted as individuals, enabled them as a group to create credit out of thin air.
[2] In the 1660s George Downing, the Secretary of the Treasury, implemented a project outlined by Sir William Killigrew to side-step the power of the Goldsmith bankers.