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THE

HISTORY OF ENGLAND.

CHAP. X.

GEORGE III. (CONTINUED.)—1767.

Ministers defeated in a question regarding the land-tax-Parliamentary investigation of the affairs of the East India company -Bills relating to them brought in and passed-Question of supplies and the right of taxing America revived-Revenue bill, imposing duties on glass, tea, &c.-Bill for suspending the legislative assembly of New York-His majesty prorogues the parliament-Death of the duke of York, and birth of prince Edward-Death of Charles Townshend-Changes in the ministry, which takes the name of the Grafton administrationState of parties-Lord Townshend appointed lord lieutenant of Ireland-Meeting of parliament-High price of provisions Measures regarding it-Adjournment-Expulsion of the Jesuits from Spain; also from Naples, Sicily, and Parma-Origin of the measure-Danger and evils of the sudden abolition of the order-Affairs of Corsica-Parliament reassembles--SuppliesEast India company's act renewed-Nullum tempus bill-Arts used regarding the approaching election Mayor and other members of the corporation of Oxford committed to NewgateParliament dissolved-Character of it-Proceedings in America in consequence of the revenue act.

AMONG the affairs that came before parliament this session, was one which seemed to forebode a dissolution of the ministry. The taxes laid on the necessaries of life in consequence of the late war, were so grievously felt by the laboring and manufacturing classes, that it had been thought right to continue the land-tax at four shillings in the pound, rather than add to

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XV.

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the distresses of the people by increasing those imposts which pressed more immediately on them: this was a new measure; for heretofore the practice had been, to take off, at the return of peace, any addition that had been made to the land-tax in time of war: but as this custom had been discontinued for some years, the augmented land-tax began to be considered as a settled portion of the national revenue: to the surprise therefore and disappointment of ministers, a resolution now passed the house, supported by a considerable majority, reducing the land-tax for the present year to three shillings in the pound. In the language of the day, it was said, that the country gentlemen had bribed themselves with a shilling in the pound of their own land-tax :' but as this was the first money-bill in which any minister had been disappointed since the revolution, it was viewed as a fatal symptom of weakness in the administration.

The great business of the session was that of the East India company. We have already seen that a committee was appointed in November for investigating the nature of its charters, treaties, and grants; and for calculating all the expenses, civil, naval, and military, which had been incurred on its account by government. In the course of this scrutiny, many important questions arose and were discussed: amongst others, the company's right to any territorial acquisition, as also to a monopoly of trade, was boldly questioned. Whilst it was argued on one side, that from the costly protection afforded to the company, government had an equitable claim to the revenues of all territory acquired by conquest; it was denied, on the other, that the crown had made any reservation of this kind in its charters, which had been fairly purchased by the company, and could not be violated with safety to the general rights of property and to public faith. The power of the house of commons also was questioned as an interpreter of the laws, or a decider of legal rights; and as the chancellor of the exchequer's opinion leaned towards a denial of such power, he strongly recommended an amicable agreement to be made with the company accordingly, a large party of proprietors, strenuous in supporting their claims, but equally disposed to prevent litigation, drew up proposals for an adjustment, which were agreed to by the directors; but when these were exhibited to the ministers, their want of union and cordiality created fresh embarrassments : none would undertake the management of the business; but they shifted the proposals from one to another, and would come to no determination, what to accept, or what to reject: wherefore, as a last resource,

a petition was presented to parliament, containing two sets of proposals for a temporary agreement, to last for three years.

The second of these appearing most reasonable to the house, a bill was founded on them, and a compromise effected, binding the company to pay to government the yearly sum of £400,000, for two years, by half-yearly payments; and to indemnify the nation, if any loss should be sustained, by reason of certain inland duties imposed, and some drawbacks granted at their request: but while the subject was under parliamentary discussion, a general court of proprietors had been held, at which the extraordinary step was taken of increasing the dividends to twelve and a half per cent., in consequence of anticipated advantages: as this was done against the express advice of ministers, who considered it a dangerous and delusive measure, calculated to create speculation in India stock and other securities, two bills were immediately brought into parliament; one for regulating the qualifications of voters in trading companies; the other for restraining the powers of the East India company in declaring dividends; which not only rescinded their last resolution, but tied them down from raising any dividend above ten per cent. before the next meeting of parliament: this bill met with considerable opposition; and the company, alarmed at such an encroachment on their privileges, petitioned the house to withdraw it; in which case they engaged to bind themselves not to raise their dividends above ten per cent. during the two years following. Their petition however and proposal were equally ineffectual: the bill was carried in spite of a powerful opposition; one of the secretaries of state and the chancellor of the exchequer being left in a minority in the house of commons, whilst a long argumentative protest was signed against it by nineteen of the peers.

Among the different expedients proposed by the chancellor of the exchequer this year for raising the supplies, which amounted to about £8,500,000, was one which tended to revive the question regarding the right of the British parliament to tax America. The unfixed and vacillating principles of Mr. Charles Townshend had led him to advocate the stamp-act in 1765, and to approve of its repeal in the following year. The very next session, when the repeal began to be in as bad odor as the act itself had been, and when a conformity with the general sentiment on this subject was sure to be relished in the

He was prevented from voting by illness.

highest quarters, he declared his opinion that a revenue_ought to be extracted from America. Instantly,' says Mr. Burke, 'he was tied down to his engagements; and the whole body of courtiers drove him onward.'2 The scheme proposed was to lay certain duties on glass, tea, paper, and painters' colors, imported from Great Britain into America ;-a very unfortunate one at this particular time, when the ill humor caused by previous interference with the colonies was far from being allayed. The bill met with very little opposition in the British legislature; but it was considered by the Americans as a deceptive measure, similar in its object to the stamp-act; and it tended to revive a question which ought to have been studiously consigned to oblivion.

This imprudent act was followed by one more justifiable with reference to the assembly of New York, which had refused to comply with the statute requiring a grant of additional rations to the troops stationed in that province. The refractory disposition shown on this occasion by the colonists made it evident that their intention was to deny the jurisdiction of England altogether; so that when the matter came before the house, it occasioned several warm debates, with proposals for the adoption of rigorous measures to subdue this rebellious spirit. The general opinion however appeared to be, that they should be brought to a sense of duty by firm but moderate proceedings; and a bill was passed, to suspend the legislative power of the assembly until it should comply with the terms of the requisition.

On the second of July his majesty prorogued parliament with a speech, in which he observed, that his particular acknowlegements were due to the commons for the liberal provision they had made for his family; alluding to three annuities of £8000 each, which had been settled on his brothers, the dukes of York, Glocester, and Cumberland, in addition to what they received from the civil list. It was remarkable, that on the second reading of this bill in the house of lords, a protest was entered against it, with the solitary signature of lord Temple. The duke of York, whose affable manners and generous disposition had endeared him to all ranks of people,

2I will not,' says Mr. Nicholls, use so strong an expression as to say that he was treacherous to this administration; but he certainly saw that the earl of Chatham's greatness was on the decline; and that he should most readily increase his own importance by acquiescing in the wishes of the king.'-Recollections, vol. i. page 27.

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