When and why were bank holidays introduced?

[Impret-Sir]

And what, if anything, do they have to do with banks?

[ewand]

British bank holidays have been recognized since 1871. The name Bank Holiday comes from the time when Banks were shut and so no trading could take place. Even though Banks are still closed on these days many shops now remain open.

Traditionally on a Bank Holiday many businesses are closed to enable the workers to have a holiday. This time is often spent with the family on mini breaks and outings. Anyone who works on Bank Holidays usually gets paid extra - "time-and-a-half" or even "double time," negotiated for them by the Trades Unions.

[Kingaroo]

I (an American) have always thought it odd that such holidays were named for banks. Here we call them federal holidays or government holidays. Does this say something about what organizations run the country?

[Impret-Sir]

Thanks for that answer ewand, I didnt really need the second paragraph, I know what a bank holiday is, I wanted to know when and why they started, as I put in my question!

[ewand]

Ok, Impret-Sir, but you put "and what, if anything do they have to do with banks?".

Though not directly asking what a bank holiday IS, the way you phrased your question could be taken as being unsure.  Also, there are a lot of non-UK readers and posters, so I decided to post a full answer, just to be sure.

[bedlam]

I was lead to believe that bank holidays originated when the banks first were introduced, and were a means of "stock-taking" in a pre-digital age, whereby the banks could sort out their affairs without having to deal with trade also