Sitting of 25 July 1822

FINANCE RESOLUTIONS.
Mr. Hume,in bringing forward his resolutions, assured the house, that if he had not been strongly impressed with the absolute necessity of calling their immediate attention

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to the subject, he should have abstained from addressing them at this late period of the session. He considered the subject of vital importance, and was anxious to avert the ruinous consequences which he foresaw would ensue, by persevering in the present system: and, he thought the House would not do its duty if it separated without inquiring how the finances of the country had been managed, or rather mismanaged for the last 29 years. He intreated their indulgence while, as shortly as possible, he entered into such details as were necessary to render his statements and opinions intelligible. In the resolutions he had stated the facts as correctly as he was able and the inferences from them as distinctly as possible.
The resolutions were in the hands of members and they could refer to the documents from which he had formed the opinions he was about to offer to the House. It was, doubtless, a bold measure on his part, to impugn a system begun by Mr. Pitt, pursued for 36 years, and approved by so many financiers in this and other countries.
But he (Mr. Hume) disputed the principles on which the sinking fund was established, and should prove, on the clearest evidence, that these principles were erroneous, and that the public mind, both at home and abroad, had been led astray on that subject. Much difficulty often arose in discussions by not agreeing upon the precise meaning of the terms to be used; he would, therefore, set out by stating that he meant, by a sinking fund a sum of money set aside to accumulate at compound interest for the purpose of forming a fund to pay off debts. As this definition would prevent any mistake, he would inquire what expectations were formed from the sinking fund at its establishment, and how far they had been realized. It was obvious, that Mr. Pitt when he established it, thought that it would ensure the salvation of the country by discharging the national debt.
In his address to the House on the 29th March 1786 he said, "This plan which I have now the honour to bring forward, for the purpose of paying off the national debt, has long been the wish and hope of all men, and, I am proud to flatter myself that my name may be inscribed upon that firm monument now to be raised to national faith and national prosperity."
He (Mr. Hume) differed wholly from Mr. Pitt both in the principle and possible
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results of that plan. It was his opinion that no government could have a sum of money at compound interest beneficially employed as a sinking fund within itself—he meant—by "within itself"—that no state, taking a portion of its surplus revenue and purchasing its own stock, or debt, could create any accumulation or aggregate sum with more beneficial effects towards the reduction of the debt than if the money, set aside for the sinking fund, had been employed from year to purchase a portion of the debt and immediately to cancel it. In pecuniary transactions between individuals no advantage could accrue to the one, but at the expense of the other; and, if the sinking fund accumulated at compound interest by receiving the dividends on the stock, it was evident that whatever the sinking fund had gained, the public must have lost. He would endeavour to illustrate this point by stating a case. If he had a debt of 1,000 l. bearing interest, say 5 per cent, and laid aside from his income 10 l.a year to accumulate at the same rate of compound interest to pay off that debt, it must be evident, that at the end of 5 or 10 years the reduction of the debt would only be as great as if he had paid off 10 l. in each year of the principal, the interest of which would then have ceased. He would most confidently state, that no sinking fund, whether applied from surplus revenue, or raised by loan, in this, or in any other country, had ever paid off so much debt, as might have been paid off, if the sum, set aside for the sinking fund, had been applied to pay off the principal of the debt yearly, and immediately to cancel the interest on the same. It was not in the power of figures, he contended, to show a gain of a single farthing, by any operation of a sinking fund. But, on the contrary, all the expenses attending its management must be an immediate loss. Besides which, he would show, that, by the operations of the sinking fund during the last 29 years, a great loss had been incurred by borrowing for the sinking fund on more disadvantageous terms than those on which the debt had been redeemed; but no person could know the real extent of that loss, or believe its magnitude, except by a laborious calculation of the interest and charges of loans and purchases in each year.
The rate of interest of money, like every thing else, depended on the demand and supply and if, instead of borrowing 600 millions in 29 years, the government had

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only borrowed 300 millions, it was fair to infer that they would have procured the smaller amount on better terms than they obtained the larger. There was another and a greater error in the financial transactions of the country; it ruinous system of borrowing annually for the public expenditure, instead of raising the supply for the year, within the year. The House would be Surprised to learn, by a reference to his 15th resolution, that during the whole 29 years (keeping out of view the charges for new debt, and sinking fund), the total expence of the civil list, the military and naval services, and every other charge of government, on precisely the same scale as had been carried on, would have been defrayed by raising an additional sum of only 5 or 6 millions by taxes in each year, instead of borrowing, as had been done, 25 millions in each year, on an average of these years. If the course to which he alluded, had been adopted, the interest of the national debt would now have been between 7 and 8 millions instead of about 32 millions, its present amount. The whole expense of the state for these 29 years might thus have been covered by 138 millions additional raised by taxes within these years, instead of saddling ourselves with a permanent charge on loans to the amount of 609 millions. It was to be regretted that wiser measures had not been pursued; and, although it was now impossible to recall the past, the knowledge of these facts might be of use to guard against similar errors in future. In drawing up the resolutions, he had had recourse to all the printed documents he could procure, and also to the manuscript papers in the Journal office: but, it was probably known to those members who attended to the finance accounts, that a paper was laid before parliament in 1815* stating that no correct accounts of the actual expenditure of the country from 1793 to 1797, had ever been made up. He had, therefore, in calculating the amount of 138 millions as the excess of expenditure beyond the income from taxes for the 29 years, from 1793, taken the first 5 years on estimate: But, since his resolutions were printed, he had received correct accounts from the Treasury, of the expenditure for those years. By which it appeared that he had allowed 15 mil-
*Parliamentary Paper, No. 412, of 1815.
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lions more for the expense of those dears than he ought to have done; and, that consequently 123 millions of additional taxes would have sufficed, instead of the 138 millions, to cover the expense from 1793 to 1822, if the system of borrowing had not been acted upon.
Having made these general observations he should now proceed to explain his views in submitting these resolutions to the House. These were, first to show the national debt as it stood in January 1793, and in January 1822: 2ndly, what it would have been if supplies had been raised, to the amount of between 5 and 6 millions a year, on the average of the 29 years: and 3rdly, what it would have been, if there had been no sinking fund operations carried on during that time.
He had, in the first resolution, stated the capital of the debt funded and unfunded, and unredeemed on the 5th of January 1793, at 239,350,148 l.; and, by the 35th resolution, at 836,312,767 l.on the 5th January 1822. This he did to make himself intelligible to those who were in the habit of considering only the capital of the debt. He did not himself consider the amount of the capital of the debt of much importance; but it was very necessary to distinguish between the amount of the capital of the debt, and the amount of annual charge payable for the same, because the chancellor of the exchequer had, in former years, stated to the House that he had reduced the debt 27 or 28 millions, although it was proved by the annual accounts, that the charge to the country for the debt, had regularly increased. There were many financial operations that might reduce the nominal amount of the capital, whilst at the same time, the annuity charge was increased, as took place in 1818, in converting the 27 millions of 3 into 3½per cents.
To render the subject more intelligible he had divided the 29 Years which his view embraced, into two periods—the first from 1793 to 1817, and the second from 1817 to 1822.—He had done so, because during the whole of the first period, there was an excess of expenditure over income, and during the latter, there was an excess of income over expenditure. The union of the Exchequers took place also on the 1st of January 1817, and the accounts of Ireland are only included in the latter period. Between 1793 and 1817, the debt, funded and unfounded, had

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been increased 618,163,857 l., as stated in the 2nd resolution; and of that sum, 584,874,557 l. was raised by loans, and by the funding of navy, victualling, transport and Exchequer bills; and 33,289,300 l. of the unfunded debt by the issue of Exchequer bills. For the funded debt thus contracted, there was paid into the Treasury in cash, as stated in the 3rd resolution, 579,791,388 l., leaving a difference between the sum funded and the receipt of cash, of no less than 5,083,169 l., which amount never reached the Treasury, and was a loss by discounts for prompt payment, and for management of the same at the Bank of England. Besides that loss by discount, it was to be observed, that from the very day on which the contract took place, and frequently for months before the instalments were actually paid, the stock created bore interest, which he would denominate anticipatory payments. Thus, if a loan were contracted for in March, the bargain was often so made, that the contractors should receive discount on prompt payment, and also the dividends on the whole amount from the preceding January. He had made out an account current of each loan, in which he had debited the interest on all dividends paid before the instalments were made, and had also credited the interest on the instalments; and these accounts annually made up with compound interest at the average rate of 5 per cent, which the loans bore, showed that the public had lost, by these transactions, 30 or 40 millions sterling. This was an account that had been overlooked in all former financial statements, and he had not introduced it in the resolutions before the House, because his account was not then quite finished. He ought not to omit another bonus to the contractor, and loss to the public, by the exemption of the first dividends of every loan from the income tax, during its existence. He had a statement of the financial transactions of each year, from 1793, in preparation, showing the total amount of charge of every kind on each loan, and stating the gain or loss, and the amount of interest, up to the period when the account of each was settled. These calculations would bear out the statement in his 24th resolution, that during a period of 29 years the public had sustained a loss by the operations of the sinking fund, of 38,146,262 l., of 3 per cent capital, arising from the different terms on
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which money was borrowed and redeemed. He did not produce the calculations contained in his resolutions merely on his own authority, he had availed himself of the assistance of persons who had devoted their time and labour gratuitously, in furthering the object he had in view. He was particularly indebted to a gentleman of the name of Marshall, who had devoted his time to the subject, with an assiduity worthy of its importance But, though that gentleman was an excellent arithmetician, every one of the calculations had been checked by other persons to make them as correct as possible.
The 4th resolution was one of considerable importance, to which he wished particularly to draw their attention, as it showed the total amount of money borrowed in the 24 years from 1793 to 1817; the total amount of debt contracted, and the several denominations of 3, 4, and 5 per cent stock and terminable annuities; the rates at which the same were borrowed and the permanent charge thereby incurred. There is much difference of opinion, as to the advantage of borrowing money; by funding in the 3, the 4, or 5 per cents; and an hon. member had, a few nights ago, pronounced his unqualified disapprobation of ever borrowing in any other than 5 per cent stock. But, as the benefit or loss is a question of account, he (Mr. Hume) had thought it right to show the actual charge, by borrowing and the relative value of each of these stocks; and, it would be seen, by the 5th resolution, that, if the conversion of the 4 and 5 per cent capitals and terminable annuities was made at the average relative money prices they bore to 3 per cents at the time they were funded, the total amount in 3 per cent capital, would have been only 975,784,592 l., instead of 1,001,348,166 l., the amount of 3 per cent capital calculated by the amount of annuities paid. By that statement there was a difference of 25,563,574 l.of 3 per cent capital less, contracted, than at the par price of 100 stock for every 3l. dividend; and that difference of capital was an equivalent for paying a higher rate of interest on the 4, and 5 per cents. To explain this, he would suppose the price of the 5 per cents, at the time they were funded, to be 90 l., the contractor would have received 100 l. of 5 per cents for his 90 l. sterling, yielding him 5l.a year of dividend; but,

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if he had purchased 3 per cents at 60 l., which was their relative price at the time, he would, for his 90 l. have received 150 l. stock, bearing an interest of only 4l. 10 s.; or 10 s. less for the 3 than for the 5 per cents, which ten shillings, if suffered to accumulate for thirty seven years, would amount to a sum sufficient to pay off the increased amount of capital created by funding in the 3 instead of the 5 per cents.—The conclusion was, that if they borrowed in 5 per cents, and continued to pay the dividend longer than 37 years, a loss was suffered after that time; but, if the 5 per cents were paid off before the end of that period, there was a gain in proportion to the number of years that remained unexpired of the 37. He noticed this to show that he was aware of the relative advantage of funding in each kind of stock; and, at the same time, to satisfy those who might have doubts on the subject, as well as to obviate any objection that might be urged against him for not having, in his conversion of the several capitals into 3 per cents for the purpose of comparison, met the subject fairly.
The 6th 7th and 8th resolutions showed, that during the 24 years, from 1793 to 1817, the commissioners of the sinking fund had received in money from the Treasury the sum of 388,585,038 l., which had been borrowed in that time. That in raising that sum, an annuity charge in perpetuity, at the rate of 5l. 3s. 7½d. interest per cent, had been incurred by the Treasury: and, if the commissioners had redeemed with that money an equivalent annuity, no loss would have been sustained, except for discount, anticipatory payments, and charge of management: but it appeared, that they had only redeemed stock yielding an annuity at the rate of 4l. 17 s. 2d. per cent, thereby incurring an annual loss of 602,830 l. of annuity charge, equal to 20,094,333 l. of 3 per cent capital.
As it was important to show the diminution of capital and annual charge of the public debt by operations independent of those of the sinking fund, he had, in the 9th resolution, brought into one view all the sums that had fallen in, and been applicable to, the reduction of the national debt, and which would have been equally effective for that purpose if there had been no sinking fund. The amount of these various items, together with the charges of management on the capitals can-
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celled, showed a diminution in the annual charge (in the 24 years) of 1,538,365 l.; but as 225,254 l. of life annuities were created by cancelling the 3,449,995 l. of 3 per cent capitals, under the act 48th Geo. 3rd, c. 142, the immediate diminution of annual charge for the year 1817, would have been only 1,313,111 l. if there had been no sinking fund, with the subsequent reduction of the difference of 215,254 l. of annuities, as the lives fell in.
The 10th resolution stated the total revenue of Great Britain, in the 24 years between 1793 and 1817, from taxes alone (including the small branches of hereditary revenues, but excluding loans), at 1,114,318,563 l. sterling.
The expenditure for the same period, as set forth in the 11th resolution, was 1,235,982,479 l. sterling, making the excess of expenditure over income, in that time, 121,663,916 l. as stated in the 12th resolution.—During these 24 years, there were remitted to and from Ireland large sums, as stated in the 13th resolution, leaving a balance on the remittances, of 16,685,124 l. to be added to the expenditure of Great Britain, and thereby increasing the excess of expenditure of Great Britain to 138,349,040 l., which, by the more correct subsequent account received from the Treasury, would be reduced to about 123 millions.
The 14th and 15th resolutions showed, that, if that excess of expenditure had been met by about 5 millions of additional taxes raised within each year, instead of by loans, the total amount of capital of debt unredeemed on the 5th of January, 1817, would have been only 207,706,535 l. at an annual charge, including management, of only 7,890,863 l. instead of being 817,415,237 l. of capital, and 30,628,234 l. of annual charge.—A revenue of 35 millions a year would then have sufficed to pay the interest of the debt, and to keep up all the establishments of the country, even on their present extravagant scale, instead of 58 millions which we were obliged to pay.—The union of the Irish and English Exchequers had imposed an additional charge on Great Britain, as stated in the 16th resolution; and it was necessary, before proceeding farther, to bring that into view. The total amount of the funded and unfunded debt of Ireland, on the 5th of January 1817, was 28,739,869 l. at the annual charge of 1,323,775 l.; which, added to the debt of Great Britain, made the

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whole debt funded and unfunded, of the United Kingdom, on the 6th January 1817, 846,155,106 l., and the annual charge 31,952,009 l.
Having thus separately explained the resolutions respecting the first 24 years, and traced the progress of the sinking fund and debt, from 1793 to 1817, he proceeded to the second period, from Jan. 1817 to January 1822. It appeared, by the 17th resolution, that during these 5 years there was raised by taxes, in the United Kingdom of Great Britain and Ireland, the sum of 296,454,538 l., and the whole expenditure, exclusive of the sinking fund, during the same period, was 288,925,669 l., leaving an excess of income over expenditure, in these 5 years, of 7,528,869 l. What he (Mr. Hume) must consider a most extraordinary part of the financial transactions was, that, although there had been a surplus of upwards of 7½millions; yet in that period, they had borrowed the enormous of 90,761,921 l., as appeared by 18th resolution. The purposes to which this money was applied were set forth in the 19th and 20th resolutions. The sum of 82,053,758 l., borrowed at an charge of 3,418,818 l., and paid to the commissioners of the sinking fund, had been applied to redeem an annual charge of only 3,388,857 l., occasioning thereby a loss of 3l. 4s. of 3 per cent capital on every 100 l. of money expended by them: or, in gross, a loss of interest in perpetuity of 7,998,618 l.per annum, equal to 2,665,376 l. of 3 per cent capital—a lamentable result of the sinking fund operations for 5 years!
Having shown the operations of the sinking fund in the first and second periods, he would now state the result of both, as explained fully in the 21st, 22nd, 23rd, and 24th resolutions.
In 29 years, from January 1793 to January 1822, the sum of 675,636,477 l. was funded at an annual charge of 33,813,799 l., being an average interest of 5l. 0s. 10 d. per cent. Of that sum, 270,638,796 l. in money, at an annual interest 13,651,477 l. was paid to the commissioners of the sinking fund, who applied it to redeem stock, yielding an annual dividend of only 12,507,090 l., being at the rate of 4l. 12 s. 5½per cent interest, thereby occasioning a loss of 14 l. of 3 per cent capital on every 100 l. of money expended by the commissioners, equal to 8s. 4½d. per cent interest per annum on the whole amount; or in gross, an aggregate loss of
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annual interest of 1,144,387 l., equal to a, capital or 38,146,262 l. of 3 per cent stock.—This loss, although great, was, as he should show, only a small part of the loss which the public had suffered by the erroneous system of finance which had been so long acted upon. It had been shown by the 9th resolution, that capitals equal to 31,643,613 l. of 3 per cents, paying an annual interest of 1,538,365 l. had been cancelled in 24 years from 1793; and, by the 25th resolution, that capitals equal to 3,583,197 l. of 3 per cents, paying an annual interest of 211,222 l. had, in the same manner, been cancelled in the five years, from 1817 to 1822. As the capital of the funded debt of the United Kingdom, in January 1817, was 796,200,191 l, at the annual interest of 29,870,852 l., it would have been reduced in January 1822, by the amount of capital cancelled in these 5 years, to 792,616,69.5l., at the annual interest of 29,659,630 l., instead of its standing at 795,312,767 l., at an annual interest of 30,015,786 l., as stated in the Annual Finance account for 1822, showing an additional charge to the country of 356,156 l. of perpetual annuity for increase of funded debt.
There was, by the 26th resolution, an apparent reduction of 17,283,184 l. in the unfunded debt of the United Kingdom, in the 5 years, from January 1817 to 1822; but, as in that time, there was an excess of 7,528,870 l. of revenue from taxes, over the expenditure, and 8,232,458 l. charged in the expenditure of the consolidated, fund, entered as paid, in the expenditure stated in the 17th resolution, but not paid, making together the sum of 15,761,328 l. The actual reduction of the capital of the unfunded debt was thus only 1,521,856 l. to meet the increase of the interest in the funded debt of 356,156 l., equal to 11,871,766 l. of 3 per cent capital, as shown in the 25th resolution.—The whole of that deficiency of the consolidated fund had taken place since January 1817; and the Exchequer bills issued each quarter to make it up, were not included in the amount of the unfunded debt, though equally a debt incurred in that time.
The 27th Resolution contained a conclusion fairly deducible from the facts stated in the foregoing ones, and affirmed that no reduction, whatever, of the debt had been effected by the operations of the sinking fund; but, on the contrary, a loss of six shillings and 4¾d. per cent in-

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terest on the whole amount, had been incurred by borrowing at 57 l. 18 s. money for every 100 l. of 3 per cents, whilst they redeemed at 61 l. 14 s. money for every 100 l. of 3 per cents.
The 28th and 29th Resolutions were very important, as they stated the results he was most desirous to establish.
The total amount required for the service of the country, beyond the amount of revenue by taxes, in 24 years, had been, shown to be only 138 or l23 millions, whilst 618 millions had actually been borrowed to pay that amount:—And, by the system that had been pursued, the sum of 479,814,817 l. had been incurred as a debt to pay that excess of expenditure, in the proportion of 291,229,779 l. for interest and charges, and 188,585,038 l. to the commissioners of the sinking fund. In the 29th resolution, the deduction he drew was, that the system of borrowing, either for excess of expenditure, or for the sinking fund, created a necessity for borrowing progressively increasing in proportion to the sum borrowed: and that the borrowing only the sum of 188,585,038 l. for the commissioners of the sinking fund, had entailed a burthen considerably exceeding the loss of the 20,094,333 l., as stated in the 8th resolution, to have been incurred by redeeming stock on worse terms than those on which it was created,—It was not easy in a speech to explain the manner in which these complex transactions had operated to increase the debt so enormously; but, the calculation of the loss on every loan, from year to year, would, he was confident, prove the foregoing statement to be much underrated.
If there had been no sinking fund, the sum requisite to have been borrowed, to pay the 138 millions of excess of expenditure with compound interest, would have been, as stated in the 30th Resolution; only 360 millions, instead of 584 millions, which had been required for both.
It had been shown, by the note to the 16th Resolution, that by borrowing 584 millions in 24 years, the annual charge for the debt was 29,870,852 l. on the 5th Jan. 1817; and, by the 31st resolution, it was shown, that, if there had been no money borrowed for the sinking fund in that time, there would have been 2,433,310 l. less of annual charge, because 300 millions would have sufficed for the excess of expenditure will all its interest—and the annual
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charge would then have been only 27,437,542 l. instead of 29,870,852 l.
It would be seen by the 32nd resolution, that the reduction of 2,433,310 l. of annual charge of interest in Jan. 1817, if only 360 millions had been borrowed, as stated in the preceding resolution, would have made the surplus revenue, in the 5 years from 1817, to 1822, to amount to 21, instead of 7½millions, and if that amount had been applied to the redemption of 28 millions of debt, would have still further reduced the interest of the debt in Jan. 1822 (if there had been no sinking fund), to 26,386,320 l. instead of being 30,015,786 l., and produced a saving of 3,629,466 l. of annual interest.—And, if only 340 millions had been borrowed, the saving would have been 4½ millions of perpetual yearly charge.
It was fair to conclude that, if the sum of 360 only, instead of 584 millions had been borrowed in these 24 years, the loans would have been procured at a lower rate, and, if at the rate of only ¼ per cent less, there would have been a saving of 1,800,000 l. of annual interest; and if, at¾per cent less, a saving of 5,133,310 l., as stated in the 33rd resolution. And, calculating on the principle laid dawn in the 32nd resolution, the actual saving to., the public would have been 6,749,466 l. of annual charge; and the annual charge t of 1822, would then have been 23 instead of 30 millions, equal to 225 millions of 3 per cent capital, as stated in the 34th Resolution.
Whether the rate of interest on smaller loans, would have been as low as he had estimated, could not now be ascertained; but, we might judge by experience in parallel cases; and, in support of his opinion, he would state one instance out of several that might be adduced.—The chancellor of the exchequer gave notice for a loan of 24 millions to be contracted for on the 5th or 6th of June, 1819, and preparations were accordingly made by the contractors; on the 4th of June, however, the chancellor intimated that he should only require a loan of 12 millions from the public, and that 12 millions would be taken from the sinking fund. This reduction of the amount of loan had an immediate effect on the funds, which, on the 4th of June, were at 65½ in expectation of the loan of 24 millions, and rose the next day to 71⅝ It was the reduction in the amount of the loan that had alone raised the price, and a loss

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of 8s. and 4d. per cent on the 24 millions, equal to 3,334,000 l. of 3 per cent capital, was thus prevented to the country. He (Mr. H.) considered that example decisive in support of his opinion. It was well known that the preparation by the contractors for taking every loan was in proportion to the amount of the proposed loan. If large, they sold out stock largely to be prepared for it, and the price of the stocks fell accordingly.—As the terms of the loan depended on the price of stock in the market on the morning of the day of contract, it was evident, that the more extensive the sales were to be proposed for the large loans, the lower the price would be, and the worse the terms to the public.
The change of plan on that occasion was owing to the exertions of his hon. friend near him (Mr. Grenfell), to whom, therefore, the country was mainly indebted for that saving. If so great a saving had been effected in one instance, the same principle ought to have regulated the whole of the loans, and the terms of each loan, would have been raised in proportion to the diminished quantity in the market. The amount of 36 millions had been, since that time, taken from the sinking fund for the public loans, according to the plan of his hon. friend; and the amount of 10 millions of 3 per cent capital, had, thereby, in his (Mr. H.'s) opinion, been saved to the country.
The 35th resolution was a summary of the whole, and clearly proved, that instead of having made any reduction since 1793, by the operation of the sinking fund, 603 millions of capital had been added to the debt, and upwards of 22 millions to the annual interest. A considerable portion of that debt was clearly proved to have been incurred by the sinking fund operations, and it was equally evident that it was founded in fallacy, and had been maintained by delusion.
The 36th resolution showed that, whether the loss to the public, by the sinking; fund was to the extent that he (Mr. H.) had stated, or not, the loss was sufficiently large to call for the immediate abolition of that fund.
The 37th and 38th resolutions show, in prospective, the comparative effects of a surplus fund of five millions annually for 10 years, whether employed as a sinking fund, or to cancel, from year to year, part of the debt. He had prepared these calcula-
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tions to point out the relative advantages and disadvantages plan, as the honourable member for Corfe Castle.(Mr. Bankes) had intimated his intention of pressing on the House the continuance of the ruinous plan of sinking fund to that amount. Mr. Pitt in 1786, said, that the want of care to prevent the sinking fund from being broken in upon, had been the bane of this country, and that hitherto it had been in vain to attempt to prevent in by acts of parliament. "The minister," he said, when it suited his convenience has uniformly gotten hold of this sum, which, ought to have been regarded as most sacred." Mr. Pitt then stated, that no minister could afterwards break in upon a system so beneficial to the credit and finances of the country. His words were, "A minister could not henceforth have the confidence to come to this House, and desire the repeal of so beneficial a law, which tended so directly to relieve the burthens of the people." How much Mr. Pitt was mistaken, the present chancellor could tell, as he and his predecessors had, notwithstanding the provisions made to prevent them, so effectually broken in upon it, that it ought, he thought, to be denominated a system for increasing, instead of reducing the public debt.
Having thus explained his several resolutions, he would now shortly notice some of the arguments advanced for and against the sinking fund. The right hon. gentleman talked of public faith; but, of all men in the country, he had the least right to talk of a breach of public faith having taken away 3 or 400 millions of capital from the sinking fund, and, in effect, made it a nominal fund, With the examples during the past century, of the manner in which sinking funds had been, laid hold of by the, ministers of the day; and the more recent glaring example off the breach of public faith, by the right hon. gentleman opposite; it was in vain to hope, that any future chancellor of the exchequer would keep better faith.
The only sound principle of it sinking fund was, a surplus; of revenue and the application of that surplus every year to the cancelling of debt, and the reductions of interest. The best securities for public, credit were, a wise direction of the resources of the country, and of the means of acquiring and preserving wealth; expenditure less than the income; a real and not a nominal sinking fund; a repre-

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sentative government, which prevented arbitrary power, and gave a confident assurance, that nothing so monstrous as an interference with the rights of the public creditor, would ever be entertained, and far lees attempted; a House of Commons which controlled the minister, and obliged him to reduce all unnecessary expenditure, so as to keep a full Treasury ready to answer all just demands upon it, these were the best supporters of public credit the stock-holder could have.
The advocates of the sinking fund assert, that it has given confidence to the public creditor, and that it would be a dangerous innovation, and an injury to the public to abolish it now. Those who make this assertion, must apply it only to an efficient sinking fund, from surplus revenue; but as it had been shown most clearly, that there was no real sinking fund for 24 years, it was evident, that little confidence could have been produced by a nominal or sham fund. The price of stocks, equally as every other article, depend upon the demand and supply. It was not the contractor who ultimately held the loans, he was only the wholesale dealer, it was the surplus capital of productive industry that was permanently invested in the stock, and a sham sinking fund could not, therefore, affect the holders of such capital.
Some assert that a sinking fund provides a regular customer for the stock, and keeps its price steady and high; but the loans to supply that sinking fund, create also that stock, and thus render the whole a superfluous transaction. He (Mr. H.) asserted, that every loan larger than the actual surplus capital of the country can permanently hold, tended rather to lower than to raise prices; and, by increasing purchases and speculation amongst contractors and jobbers, actually subjected the market to more and greater variations than would have occurred with smaller loans. It was asserted, that, if there had not been a sinking fund, the debt would have been greater than it now is; he (Mr. H.) hoped, the facts stated in the resolutions had sufficiently exposed that fallacy, by showing the enormous loss the sinking fund had occasioned. What then, he might be asked, would you allow the debt to remain as it is, which you must do, if you have no sinking fund? No: but he would reduce it by other and better means, which he proposed hereafter to submit to
1756
the House. It was alleged, that it would be unjust to the fundholder to take away the sinking fund. But all that the public creditors had a right to expect, was the punctual payment of their dividend; and, it was evident, that the system hitherto pursued, had been productive of constant loss to the public, and consequently rendered the Treasury less able to answer the demands of the fundholder upon it. Some stress had been laid on the advantage to the country, by reducing the interest of the 5 and 4, to 3 per cents, and that this could not be done without the sinking fund; but, if the statement of the immense losses, alleged by him to have been produced by that fund, were correct, he contended, that these results had been delayed, rather than promoted by the sinking fund.
Some considered the sinking fund as a means of taxation, and, under some circumstances it might be so; but, if the taxes required to support that fund were paid more from capital than from profits, as they were at the present time, by-several classes of the community, it became an engine of great mischief, and ought not to be continued.
It was the original intention, and at this time the professed object that the sinking fund, accumulate to a given sum, which should then be applied to pay off debts: but he would assert, that there was no security whatever, that the minister of the day would not, on any temporary exigency, lay his rapacious hands upon the accumulated fund, as all former chancellors had done, and as the present chancellor of the exchequer had so lately done, and leave the country as much in debt as ever, after years of privation by taxes, to raise this professedly inviolate fund.
If there were no other objection to the sinking fund but this one, he should consider it a sufficient one for its abolition.
He would observe, what was not perhaps generally known, that previous to the year 1817, the public were not called upon to pay, by taxation, any part of the interest of the debt contracted during the war; as it had been the practice of ministers, when a loan was raised in one year, to borrow, in the succeeding one, an additional sum to pay the interest of that loan: and, in that manner, they continued, year after year, borrowing to pay the interest of all preceding loans. The burthen of the debt was thereby not felt,

1757
until loans ceased in 1817; and then its pressure became so heavy, when we expected to have been relieved.
It had been long foreseen by every reflecting man, that the day of reckoning must arrive—it had come, and brought with it severe distress to many classes of the community, and to none more than to the agriculturists, many of whom he could not much compassionate as they had almost uniformly supported the misrule and extravagance which had so long been carried on, and in which they could see no evil whilst it made no inroads on their personal enjoyments. They were the life and fortune men to support ministers and their measures, regardless of the sufferings of the people, and of repeated warnings of the impending evils from this side of the House.
They began now, too late he feared, to
RESOLUTIONS relative to the National Debt, and the Operations of the Sinking Fund.
1. "That the National Debt of Great Britain, unredeemed on the 5th Jan. 1793, was 239,350,148 l.; consisting of 227,989,148 l.1 of funded, and of 11,361,000 l. of Exchequer Bills, 2 at an annual charge of 9,203,974 l.3

1 Parliamentary Paper, No. 35, of 1819; page 3—page 9.

2 Vide Vol. 12, Finance Reports, folio edition, page 1.

Interest in perpetuity on Funded Debt

7,831,837

6

2

Terminable Annuities (various) £704,740, terminable in 1860

1,373,751

2

6

Charges of Management

120,277

15

7

Making a Total of

£.9,325,866

4

3

Interest on Unfunded Exchequer Bills, Appendix 7, of No. 35

297,445

16

1

9,623,312

0

4

Deduct Redeemed and expired Annuities, as per col. 5, of Parliamentary Paper, No. 35, of 1819, page 3

419,338

0

0

Net Charge for the year 1793

£.9,203,974

0

4

The Funded and Unfunded Debt of Ireland, at that time, was £,2,252,677, at an Annual charge of £130,920 for interest, as appears by Parliamentary Paper, No. 35, of 1819, but that amount is not included in this Resolution.
2. "That from the 1st Feb. 1793 to the 5th Jan. 1817, including 600,000 l. for the service of Portugal, 6,220,000 l. for the service of Austria, and 69,250,000 l.* for the service of Ireland, and guaranteed by England (and exclusive of 2,500,000 l. for the service of the East India Company in 1812), there has been raised by Loans and the funding of Navy, Victualling, Transport, and Exchequer Bills in Great Britain, the sum of 584,874,557 l.;1 and that during the same period, there has been an increase in the issue of Exchequer Bills unfunded, and outstanding on the, 5th Jan. 1817, to the amount of 33,289,200 l.;2 making a total sum raised in the 24 years of no

*Vide page. 8, No. 145, of 1822

64,750,000

In 1811 raised for Ireland, but not charged

4,500,000

£69,250,000

1 Sum funded as per col. 1, of Parliamentary Paper 145, of 1822

584,874,557

Excess of Exchequer Bills

33,289,300

Total Sum raised

£618,163,857

2 Vide Parliamentary Paper, No. 55, of 1819, page 9:

Amount of Exchequer Bills, on 5th Jan. 1817

44,650,300

Amount of Exchequer Bills, on 5th Jan. 1793

11,361,000

Excess of Exchequer Bills, issued and Outstanding on the 5thJan. 1817

£.35,289,300

perceive, that in so doing, they had bartered permanent prosperity for temporary advantage, and had, in fact, been voting away their own estates.
He had to apologize to the House, for trespassing so long, upon their attention, but the ruinous consequences which had been produced by the erroneous system of finance so long carried on, had impressed his mind so strongly with the absolute necessity of an immediate change, that he could not, consistent with his sense of duty to the public, refrain from stating what he had done.
He was fearful he had not made himself perfectly intelligible on all the branches of this intricate subject, but, he could assure the House, he had not spared any labour, to do so.— The hon. gentleman concluded with moving the following
less than 618,163,857 l. funded and unfunded, independently of advances made by the Bank, and remaining unsettled on the 5th Jan. 1817.
3. "That there was paid into the Treasury, on account of the 584,874,557 l., as stated in the preceding resolution, the sum Of 484,359,480 l.,1 in money; that the Bills funded amounted to 86,183,176 l.; that the Loan of 4,600,000 l., raised for the service of Austria in 1795, is stated not to have been directed to be paid into the Exchequer; and that the Bank of England retained out of the subscriptions to the Loans of 14,500,000 l., and 1,620,000 l. in 1797, the sum of 4,646,731 l. 16 s 3d. making the total sum of money received and accounted for, on account of the 584,874,557 l. to amount to 579,791,388 l.,2 leaving a deficit of 5,083,169 l. retained for discount on prompt payment, and for expenses of receiving at the Bank.

1 Vide col. 2, of No. 145, Parliamentary Paper, of 1822.

Cash paid to the Treasury

487,646,178

From which deduct debentures, 1813

£.786,698

—Loan of E. I. C. 1812

2,500,000

Amount for Public.

434,359,480

Add Amount

Bills funded (vide col. 1)

86,183,176

Austrian Loan of 1795 not paid into the Exchequer

4,600,000

Retained by the Bank, 1797, part of Loans of £.1,620,000

4 648,732

579,791,383

Amount retained for Discount, &c.

5,083,169

£.584,874,557

*Vide page 144 of Vol. 13 of Com. Reports, folio edition.

*Vide col. 2, of No. 145, of 1822.

4. "That for the sum of 579,791,388 l., of money received and accounted for, as stated in the preceding resolution, from the 1st Feb. 1793 to the 5th Jan. 1817, there has been created Capital in Stocks of various denominations, to the amount of 879,289,943 l.,1 at an annual charge for interest in perpetuity to the amount of 29,289,668 l.; and of 230,000 l. of Annuities from May 1795 to May 1819; and of 654,695 l. Annuities from various dates, all terminable in 1860, making a total annual charge for Interest and Annuities of 30,174,363 l.2 (exclusive of about 160,000 l. per annum for management) which sum of 30,174,363 l., equal to 30,040,445 l.3 in perpetuity, converted into a 3 per cent Capital, is equal to 1,001,348,166 l., being at the rate of 172 l. 14 s. of 3 per cent Capital for every 100 l. of the 579,791,388 l. money received, or 100 l. 3 per cent Capital, for every 57 l. 18 s. in money.

1 Vide col. 3 of 145; viz.

£.708,750,353

of 3 per cents.

49,982,119

of 4 per cents.

120,557,471

of 4 per cents.

Various Capitals

£.879,289,943

Total

5. "That, if the conversion of the 4 and 5 per cent Capitals is made at the average relative prices they bore to 3 percents, at the time they were funded, the total amount in 3 per cent Capital will be 975,784,592 l. instead of 1,001,348,166 l.; as stated in the preceding resolution.
The 49;982,119 l. of 4 per cents, were funded at an average of 100 l. Capital for 82 l. money,
1760

1761

the relative current value of the 3 per cents being 67 l. which gives of 3 per cent.

£.61,172,133

The 120,557,471 l. of 5 per cents were funded at an average of 100 l.Capital for 90 l. money, the relative current value of the 3 per cents being 60 l., which gives of 3 per cents.

180,836,206

The amount of 3 per cents funded

708,750,353

The 884,695 l. of terminable Annuities, reduced into a perpetual Annuity of 750,777 l.,* equal to 3 per cent Capital

25,025,900

Total 3 per cent Capital

£.975,734,592

Making a difference of

.£.25,563,574

of 3 per cent Capital, which is an equivalent for paying a higher rate of interest on the 4 and 5 per cents, than in the 3 per cents; and there has been paid on the total amount of the 4 and 5 per cents funded, an annual sum increasing to 766,907 l. per annum on the 5th Jan. 1816, which in 14 years, at 5 per cent, is equivalent to the difference of Capital created in funding in the 4 and 5 per cents, instead of in the 3 per cents.
*In 1808, the 3 per cents £.67, the 4 per cents £.82.
*Vide 4th Resolution.
6. "That, during the 24 years from the 1st Feb. 1793 to the 5th Jan. 1817, in which the 579,791,388 l., as stated in the 3rd Resolution, was received and accounted for, there was paid to the Commissioners of the Sinking Fund in money, the sum of 188,522,340 l.,1 and the expense of the office of the said Commissioners during the same period, was 62,698 l.,2 making the amount paid to the said Commissioners, 188,585,038 l.,3 in money, by raising of which, an annual charge in perpetuity of 9,771,063 l.,4 was created, equal to 325,702,116 l.,5 of 3 per cent capital.

1 Vide col. 8, of No. 145, of 1822.

2 Vide Parliamentary Paper, No. 39, of 1821.

3 Cash paid to Commissioners

188,522,340

Expense of Office

62,698

Total Cash

£.188,585,038

£

£

£

£

4 If 579,791,388

30,040,445

188,585,038

9,171,063

5 If 579,791,388

1,001,348,166

188,535,038

325,102,116

7. "That, with the 188,585,038 l., as stated in the preceding Resolution, the said commissioners have purchased capitals of various denominations, to the amount of 302,911,955 l.,1 the annual dividends on which are 9,168,233 l.,2 which sum, converted into a 3 per cent capital, is equal to 305,607,766 l., being at the rate of 162 l. 1s. of 3 per cent capital for every 100 l. of the 188,585,038 l. money paid to the said Commissioners, or 100 l. of 3 per cent capital, for every 61 l. 14 s.3 in money.

Vide col. 9 of No. 145, of 1822.

Vide col. 11, of 1822.

3 Equal to £.4 11 2¾ per cent Interest

8. "That the amount of annual charge created in perpetuity, by raising the 188,585,038 l. money, was 9,771,063 l., whilst the annual charge redeemed by the Commissioners of the Sinking Fund with that amount, was only 9,168,233 l., being 602,830 l.1 of annual charge in perpetuity less redeemed than created, equal to 20,094,333 l.,2 of 3 per cent capital; showing that the debt was created between 1793 and 1817, at the rate of 172 l. 14 s. of 3 per cent capital for every 100 l. in cash; and that the amount redeemed in the same time, was at the rate of 162 l. 1s. of 3 per cent capital for every 100 l. cash, being a loss of 10 l. 13 s. of 3 per cent capital on every 100 l. of money expended by the Commissioners.

1 Charge in perpetuity incurred

9,771,063

Charge in perpetuity redeemed

9,163,233

Less redeemed thin created

£.602,830

2 Money £.100: 3 per cent Stock £.10.13::Money. £.188,565,038: 3 per cent Stock £.20,094,333

9. "That, independent of the operations of the Commissioners of the Sinking Fund, the following Reductions of the National Debt and Annual Charge have taken place between the 5th Jan. 1793, and the 5th Jan. 1817; viz. that 25,290,994 l.1 of 3 per cent capitals have been

1 Vide Annual Finance Account, 5th Jan. 1815, page 224 and 5.

Up to that date the Stock for land tax redeemed stood in the names of the Commissioners, but from that time it has been cancelled annually; viz.

1st Feb. 1815

£.24,960,313

10

7

at Interest 1.758,809

8

1

1762

1763
Cancelled, by the proceeds, of the sale of land tax, the annual dividends on which amount to 758,729 l. 16 s. 6d.; and that 2,363,420 l.2 of 5 per cent capital was paid off with money charged in the Finance Accounts in the Public Expenditure, under the head of Miscellaneous Services, the dividends on which amounted to 118,171 l.; and that 3,449,955 l.3 of 3 per cent capitals were cancelled under the Act of 48 Geo. 3, c. 142 (by conversion into 225,254 l. Life Annuities), the dividend on which amounted to 103,498 l. 13 s.; and that 539,244 l.4 of various capitals remained unclaimed for 10 years and upwards, prior to the 5th Jan. 1817, the dividend on which amounted to 17,235 l. and that 523,493 l. 19 s. 5d.5 of Life and other terminable Annuities created prior to the 5th Jan. 1793 had fallen in, expired or remained unclaimed for 3 years and upwards, at the 5th 1817, making, with the charges of management (on the capitals cancelled). of 17,237 l.; a total diminution in the annual charge under these several heads of 1,538,365 l.;6 but, as 225,254 l. of Life. Annuities were created by the extinction of the 3,449,995 l. of 3.per cent Capitals under the Act of the 48 Geo. 3, c. 142, the actual diminution of annual charge for the year 1817 would have been 1 313 111 l.,7 if there had been no Sinking Fund.

1st Feb. 1816, 3 per cents.

194,743

8

8

Do.

5,842

6

0

1st Feb. 1817, 3 per cents.

135,937

4

11

Do.

4,078

2

0

Totals

£.25,290,994

4

2

Do.

£.758,729

16

1

5 per cents, of 1797, paid off

2,363,420

0

0

Do.

£.118,171

0

0

2 Vide Parliamentary Papers, No. 162, of 1822.

3 3 per cents Capitals, cancelled for Annuities, by 48 Geo. 3 o. 142

3,449,955

0

0

Do.

103,498

13

0

Vide Finance Accounts, 1817.

4 Unclaimed Dividends on 5th Jan, 1817, Finance Accounts

539,244

0

0

Do.

17235

0

0

6 Annuities expired and unclaimed, up to 5th Jan. 1817

Do.

523,493

19

5

Charges of Management, at £562 10 per million on Capitals cancelled as below

Do.

17,237

0

0

6 Total Capitals cancelled

£.31,643,613

4

2

*£.1,538,365

9

0

Deduct Amount of Annuities, created by 43 Geo 3, up to 5th Jan. 1817

225,254

0

0

7 Total Diminution of Annual Charge on 5th Jan. 1817

£.1,313,111

9

0

Unclaimed Exchequer Annuities, page 225 of Finance Accounts, 5th Jan. 1817

28,838

7

0

Expired on 5th April, 1803, and to 5th Jan. 1808, page 229

494,655

12

5

Total

£.523,493

19

5

10. "That the total Revenue of Great Britain in the 24 years between the 5th Jan. 1793, and the 5th Jan. 1817, from taxes alone, including the small branches of Hereditary Revenue, and incidental resources, amounted to the sum of 1,114,318,563 l.1 sterling.
1 Vide Commons Reports of 1797, vol. 12, folio edition, for 1793, 4, 5, and 6.
Vide Vol. 13, page 2, for 1797.
Vide Accounts in the Journal Office, for 1798 and 9.
Vide Annual Finance Accounts for 1800 to 1817.
11. "That the total Expenditure of Great Britain, for the same period, viz. from the 5th Jan. 1793 to the 5th Jan. 1817, for interest on the debt as it stood on the 5th Jan. 1793 (but excluding all charge for Loans since 1793), and for expenses of Civil Government, for the Navy, Ordnance, Army (ordinary and extraordinary), Miscellaneous Services and Charges of Management, and including 58,164,716 l.1 for subsidies to Foreign Powers, amounted together to the sum of 1,240,480,963 l. But as the sum of 3,711,786 l.2 is charged in the Miscellaneous Expen-
1. Vide Parliamentary Paper, No. 412, of 1815, the specific Accounts for 1793 to 1786, therefore assumed equal to Taxes and Loans for that period.
For 1797, 8, and 9, as in 10th Resolution.
Vide Annual Finance Accounts, from 1800.

2 Vide Parliamentary Paper, No. 293, of 1822.

In this Sum is included;

Paid to the Bank for discount on Loans

3,335,512

Paid to the Bank for receiving Loans—Vide Parliamentary Paper, No. 298, of 1818.

397,006

£.3,732,598

Principal of Debentures paid off by 53 Geo. 3, c. 41 and 53, in 1815 and 1816.

786,698

£.4,519,296

1764

1765
diture, although short credited by the Treasury in the receipt of the loans; and 736,698 l., the principal of debentures received in 1813, is not credited in the amount of income in the 10th Resolution, it makes the actual Expenditure only 1,235,982,479 l.
12. "That, as the Revenue of Great Britain, was 1,114,318,563 l.as stated in the 10th Resolution, and the expenditure 1,235,982,479 l., as stated in the 11th Resolution, the excess of Expenditure in that period was 121,663,916 l.1

1 Expenditure

1,235,982,479

–11th Resolution.

Revenue

1,114,318,563

–10th Resolution.

Excess of Expenditure

£.121,663,916

13. "That, in addition to the Expenditure of 1,235,982,479 l. for Great Britain, as per 11th Resolution, there was remitted from England to Ireland, between the 5th Jan. 1797 and the 5th Jan. 1817, the sum of 68,930,595 l., making the total Expenditure for Great Britain, 1,304,913,074;1 and that in addition to the Revenue of Great Britain, of 1,114,318,563 l., as stated in the 10th Resolution, there was received from Ireland the sum of 52,245,471 l., making (exclusive of Loans) the total income of Great Britain, 1,166,564,034 l., and by the addition of 16,685,124 l.,2 being the difference between the sums remitted to and from Ireland, makes a total excess of Expenditure over Income of 138,349,040 l.

1 Vide Annual Finance Accounts.

Expenditure

£.1,235,982,479

Remitted to Ireland for Loans and Allowances

68,930,595

= 1,304,913,074

Revenue of Great Britain

1,114,318,563

Received from Ireland

52,245,471

= 1,166,564,034

Excess of Expenditure

£.138,349,040

2 Remitted from England to Ireland.—Vide Annual Finance Accounts

68,930,595

Remitted from Ireland to England.

52,245,471

£.16,685,124

14. "That as the reduction of 1,313,111 l. of Annual Charge, as Stated in the 9th Resolution, was effected without any aid of the Sinking Fund, the same reduction might have taken place from the Annual Charge of 9,203,974 l.1 as it stood on the 5th Jan. 1793; and that, had the 138,349,040 l., the excess of expenditure in these 24 years, as stated in the 13th Resolution, been raised by taxes within these years, instead of by loans, the total amount of Capital of Debt unredeemed on the 5th Jan. 1817, would have been only 207,706,535 l.2 and the Annual Charge, including Management, only 7,890,863 l., instead of being 817,415,237 l.3 of Capital, and 30,628,234 l. of Annual Charge, as it stood on the 5th Jan 1817.

1 Annual Charge, 5th Jan. 1793

9,203,974

—Vide 1st Resolution.

Reduction as per 9th Resolution, up to 51h Jan. 1317

1,313,111

Charge as it would have been in 1817, if no Loans had been raised

£.7,890,863

2 Capital, Funded and Unfunded, 1793.

239,350,148

Capitals cancelled up to 1817

31,643,613

—Vide 9th Resolution.

Capital as it would bare been

£.207,706,535

3 Vide Finance Accounts, pp. 224 and 5, ending 5th Jan. 1817:

£28,812,307—Vide note to 25th Resolut.

Capitals various

772,764,937

at an Annual charge of

26,650,959

4

5

Terminable Annuities of various denominations

1,657,904

6

10

Life do. 48 Geo. 3, c. 142

225,254

13

0

Charges of Management of the Bank

278,189

2

3

Unfunded Debt

44,650,300

charge

1,815,926

17

8

Total Capital

£.817,415,237

at an Annual charge of

£.30,628,234

4

2

15. "That it appears by the preceding Resolutions, that, in consequence of not raising the Supplies within the year, by taxes, to the amount of 138,349,040 l. in the 24 years, being an
1766

1767
average of 5,764,543 l. per annum; a debt of 609,708,702 l.1 of Capital has been incurred, at an increased Annual Charge of 22,737,37 l,2 thereby occasioning taxation to the extent of upwards of 58 millions, per annum, whilst from the 5th Jan. 1817, about 33 millions only would have sufficed.

1 Capital of Debt as it stood on 5th Jan. 1817, Funded and Unfunded

817,415,237

at charge of

30,628,254

4

9

Capital of Debt as it would have been, as per 14th Resolution

207,706,535

at charge of

7,890,363

0

0

£.609,708,702

charge

2£.22,737,371

4

3

Increase of Charge by Loans, since 1793, to pay the actual excess of Expenditure of 138 millions.

16. "That, by the union of the Exchequer of Ireland with that of Great Britain, on the 5th Jan. 1817, a farther Annual Charge of 1,323,775 l. 15 s. 4d. was added to the annual charge of Great Britain, then amounting to 30,628,234 l.1 (as stated in the 14th Resolution), by the incorporation of 28,739,869 l.2 of capital funded and unfunded, created in Ireland, making the total amount of Debt, funded and unfunded, of the United Kingdom, on the 6th Jan. 1817, to amount to 846,155,106 l.,3 and the Annual Charge to 31,952,009 l.

1 Charge on the Debt of Great Britain

30,628,234

as per 14th Resolution.

Charge on the Debt of Great Ireland

1,323,775

Total Charge of United Kingdom on 5th Jan. 1817

£.31,952,009

Sterling.

Proportion of Charge on Unfunded

2,031,157

Proportion of Charge on Funded

£.29,870,852

2 Vide Parliamentary Paper, No. 35, of 1819:

Funded Debt, unredeemed, Ireland, in British Currency, on 5th Jan. 1817

23,435,254

5

3

at an Annual charge of

1,058,545

Unfunded

5,304,615

0

0

at a charge of

265,230

Funded and Unfunded

£.28,739,869

5

3

at an Annual charge of

£.1,323,775

* By Irish Finance Accounts on 5th Jan. 1817, page 94.

The Total Capital of Irish Debt is stated at

34,017,870

15

5

Redeemed

8,812,662

12

7

Unredeemed Capital in Irish Currency

£.25,235,208

2

10

Equivalent in British Currency

23,293,992

0

0

3 Capital of Great Britain, on 5th Jan. 1817, Funded and Unfunded

817,415,237.

–14th Resolution

Capital of Ireland, Funded and Unfunded

28,739,869

-

Total of the United Kingdom

£.846,135,106

*Vide Annual Finance Accounts, 1817 to 1821, both inclusive.

17. "That, from the 5th Jan. 1817 to the 5th Jan. 1822, there was raised, by taxes, in the United Kingdom of Great Britain and Ireland, the sum of 296,454,538 l.; 1 and the Expenditure (Sinking Fund included), during the same period, for Civil list, pensions, and other charges on the Consolidated fund, and for expenses of the Navy, Ordnance, Army (Ordinary and Extraordinary) Miscellaneous services, and charges of Collection, and for interest and management of Debt, as stated in the preceding resolution, amounted (including 2,155,468 l.2 paid for Russian loan and to Holland), to 288,925,669 l.,3 leaving an Excess of income over expenditure, in the 5 years, of 7,528,869 l. 14 s.

1 Total Gross Income of the United Kingdom (Drawbacks excepted).

3 Expenditure of the United Kingdom.

1817

£.57,650,589

?.58,544,049

1818

59,657,941

57,872,428

1819

58,680,252

57,392,544

1820

59,759,680

57,476,755

1821

60,686,076

57,639,893

Income

£.296,454,538

Expenditure £.288,925,669

Expenditure

288,925,669

7,528,869

Excess of Income in 5 years.

2 Vide Parliamentary Paper, No. 295, of 1820.

18. "That, notwithstanding the Excess of Income of 7,528,869 l. as, stated in the preceding resolution, a further funding of 90,761,920 l.,1 has taken place, for which an additional Capital of debt has been created between the 5th Jan. 1817 and the 5th,Jan. 1822, of 116,600,235 l.,2 at an annual Interest in perpetuity of 3,773,354 l.,3 and that the said Capital of 116,600,235 l.; has been created by 19,999,920 l., raised by Loans in money, by 34,262,000 l. Exchequer Bills issued, and afterwards funded; and by 36,500,000 l. borrowed from the Commissioners of the Sinking Fund; and that for the 19,999,920 l. raised by Loans, the sum of 19,814,944 l.4 was paid into the Treasury, leaving a deficit of 184,976 l., retained by the Bank for discount on prompt payment, and for receiving the same; and that there is also charged 14,109 l., under the head of Miscellaneous Services, in the Finance Accounts of 1819, as paid to the Bank of England for transferring 27 millions of 3 per cents to 3½ per cents; making the nett amount of Money received and accounted for to be only 90,562,835 l.,1 creating an annual charge for interest in perpetuity of 3,773,354 l., which sum converted into a 3 per cent Capital, is equal to 125,778,466 l. or 138 l. 17 s. of 3 per cent Capital for every 100 l. of money, or 100 l. of 3 per cent Capital for every
72 l. of money.

1 Vide col. 1, of 145, of 1822.

By Loans in money

19,999,920

By Exchequer Bills

34,262,000

By Commissioners of Sinking Fund

36,500,000

£.90,761,920

Deficit retained by the Bank

£.184,976

For Transfer

14,109

199,085

Nett Amount of Cash

£.90,562,835

2 Vide col. 3, of Parliamentary Paper, No. 145, of 1822.

Vide col. 5, of Parliamentary Paper, No. 145, of 1822.

1818, for transfer of 27 Millions, 3 per cents to

3½ per cents

£.2,999,920

Cash £.2,971,819

19

4

1819 Capital

12,000,000

11,862,340

7

6

1820

5,000,000

4,980,783

15

1

£.19,999,920

Received

£.19,814,944

1

11

Short credit

184,976

0

0

Nett

£.19,999

19. "That, during the period of 5 years, from 5th Jan. 1822, in which 3,773,354 l. New Annuities, were created for 90,562,835 l. money, there has been paid to the Commissioners of the Sinking Fund, the sum of 82,021,555 l.;1 and the expense of their office, during the same period, was 32,203 l. 2s. 2d.2 making the total amount of 82,053,758 l.; with which the said Commissioners have purchased 110,489,252 l.3 of various stock, the dividends on which amount to 3,338,857 l.;4 which sum, converted into a 3 per cent capital, is equal to 111,295,232 l. or 135 l. 13 s. of 3 per cent capital for every 100 l. of money, or 100 l. of per gent capital for every 73 l. 14 s. 6d. of money paid to the said Commissioners.

1 Vide col. No. 8, of 145, of 1822.

Paid to the Commissioners of Sinking Fund

82,021,555

Expense of Office

32,203

Total of money paid to them

£.82,053,758

2 In 1817

4,853

17

11

1818

6,399

12

10

1819

7,240

4

8

1820

7,108

6

9¾

1821

6,601

0

0

£.32,203.

2

2¾

—Vide No. 39, of 1821

62,698.

0

0

From 1793 to 1816

Expense of

£.94,901.

2

2¾

in 29 years

3 Vide col. 9, No. 145.

4 Vide col. 11, No, 145.

20. "That, in borrowing the sum of 82,053,758 l. paid to the Commissioners of the Sinking Fund, there were created, and added to the debt, capitals equal to 113,960,608 l.1 of 3 per cent, at an annual charge in perpetuity of 3,418,818 l.,2 whilst the Commissioners redeemed, during the same period, with that sum, dividends or Annuities in perpetuity, to the amount of only 3,338,857 l.,3 equal to 111,295,232 l. of 3 per cent capital; occasioning thus, by the operations of the Sinking Fund, a loss of 79,961 l.4 of perpetual Annuity, equal to 2,665,376 l. of 3 per cent capital, showing that the debt created, between the 5th Jan. 1817 and the 5th Jan. 1822, was at the rate of 138 l. 17 s. of 3 per cent capital for every 100 l. of money; and that the amount redeemed in the same period was at the rate of 135 l. 13 s. of 3 per cent capital for every 100 l. of money, being a loss of 3l. 4s. of 3 per cent capital on every 100 l. of money expended by the Commissioners.

Money.

3 per cents.

Money.

3 per cents.

1

If £.90,562,835

£.125,778,466

£.82,053,758

£.113,960,608

But £.82,053,758

has redeemed only

111,295,232

Occasioning a Loss of 3 per cents Capital and a Dividend of £.79,961.

£.2,665,376

Money.

Dividend.

Money.

Dividend.

2

If £.90,562,835

£.3,773,354

£.82,053,758

£.3,418,818

3

Vide col. 11.

Dividend on borrowing

3,418,818

4

Dividend on redeeming

3,338,857

Difference in Dividend

£.79,961

21. "That the total sum funded in Great Britain in the 29 years from the 5th Jan. 1793 to the 5th Jan. 1822, amounted to 675,636,477;1 that the total sum received in money, and accounted for, was 670,354,223 l.,2 at an annual aggregate charge of 33,813,799 l.;3 viz. of 33,063,022 l., for interest in perpetuity; for 884,696 l. of terminable Annuities, Converted into 750,777 l. of perpetual Annuities; the 230,000 l. on the same terms as perpetual annuities were created in 1795; and 654,696 l. at 18.86 years purchase, and the whole into a 3 per cent capital, equal to 1,127,126,633 l., being at the rate of 168 l. 1s. of 3 per cent capital for every 100 l. of money received; or 100 l. of 3 per cent capital for every 59 l. 10 s. of money, equal to 5l.0s. 10 d. per cent interest.

1

Vide col. 1, No. 145, of 1822.

2

Vide col. 2, No. 145, of 1822.

3

Col. 5

£.33,063,022

perpetuity.

Col. 6

133,400

of perpetuity. for £.230,000 of 25 years

Col. 6

617,377 5

of Perpetuity. for £.654,695 terminable in 1860

£.33,813,799

Equal to 3 per cent Capital or £,1,127,126,633.

22. "That the total sum paid to the Commissioners of the Sinking Fund, during the said period of 29 years, from the 5th Jan. 1793 to the 5th Jan. 1822, amounted to 270,543,895 l.,1 and the expenses of their office during the same period were 94,901 l.,2 making a total charge in money paid to the said Commissioners, of 270,638,796 l.,3 by raising of which an annual charge in perpetuity of 13,651,477 l., was created, equal to 455,049,262 l.,5 of 3 per cent capital.

1 Vide col. 8, of No. 14.5. Cash paid

270,543,895

2 Vide No. 39, of 1822. Expenses of Office

94,901

Total Sum paid to Commissioners S. F.

£.270,638,7963

Money received.

3 per cents.

Money paid to Commis.

3 per cents.

If

£.670,334,222

£.1,127,126,633

£.270,638,796 3

£.455,049,262 4

£.670,354,222

Dividend, £.33,813,799

£.270,638,796

Dividend, £.13,651,477

23. "That, with the 270,638,796 l., as stated in the preceding resolution, the said Commissioners have purchased Capital, of various denominations, to the amount of 413,402,207 l.,1 the Annual Dividends on which are 12,507,090 l.;2 which sum, converted into a 3 per cent Capital,
Vide col. 9, of No. 145, 1822.*
Vide col. 11, of No. 145, 1822.
* Of this Amount the following Sums, hare been cancelled by Act of 53 Geo. 3, c. 95, and subsequent Acts.

53 Geo. 3, o.95

1813

153.576,500

1814

38,944,561

1772

1773
is, equal to 416,903,000 l., being at the rate of 154 l. 1s. of 3 per cents purchased with every 100 l. of money paid to the said Commissioners, or 100 l. of 3 per cent Capital for every 64 l. 18 s. of money equal to 4l. 12 s. 5½d. per cent interest.

1815

51,271,467

1820

47,930,611

1821

21,729,166

Total

£.313,452,305

3 per cents.

1814

7,796,400

4 per cents.

1813

142,600

5 per cents.

Total

£.321,391,305

The Dividends on which amount to £.9,722,565; the remainder stand in the names of the Commissioners.
24. "That the amount of annual charge created in perpetuity, borrowing the 270,638,796 l., was 13,651,477 l., whilst the annual charge redeemed by the Commissioners of the Sinking Fund with that amount, was 12,507,090 l., being 1,144,387 l.1 of annual charge in perpetuity, less redeemed than created, equal to 38,146,262 l of 3 per cent Capital; showing that the proportion of the debt raised for the Sinking Fund between 1793 and 1822, was created at the rate of 168 l. 1s. of 3 per cent Capital for every 100 l. money received; and that the amount redeemed in the same time, was at the rate of 154 l. 1s. of 3 per cent Capital for every 100 l. money paid, being a loss of 14 l. of 3 per cent Capital, on every 100 l. money expended by the Commissioners, equal to 0l. 8s. 4½d. per cent per annum.

In borrowing.

Created 3 per cent Capital.

At an Annual charge of

1 £.270,638,796

£.455,049,262

£.13,651,477

But had redeemed only

416,903,000

12,507,090

Less redeemed than created

£.38,146,262

£.1,144,387

25. "That, independent of the operations of the Commissioners of the Sinking Fund, a reduction took place, between the 5th Jan. 1817 and 5th Jan. 1822, of 3,583,497 l.1 of Capital, and 211,222 l. of Annual Charge, thereby reducing the Funded Debt of 796,200,101 l. as it stood on the 5th Jan. 1817, to 792,616,695 l.,2 at an annual charge of 29,659,630 l.; instead of its being 795,312,767 l.,3 at an annual charge of 30,015,786 l.2 as it really stood on the 5th Jan, 1822, being 356,156 l. increase of perpetual charge per annum, more in,1822 than it would have been if the Sinking Fund had been abolished on the 5th Jan. 1817.

1 Cancelled, and expired in 5 years.

Capitals.

Annuities.

£.230,000 Annuities expired in 1819

£.230,000

0

0

For Land Tax, cancelled

£.528,094

16

8

15,842

16

9

3 per cent, per 48, Geo. 3, c. cancelled

2,916,560

0

0

100,143

3

7

Unclaimed Capital

138,842

0

0

4,445

4

0

Exchequer Annuities expired

15,789

1

1

Exchequer unclaimed for 3 years

30,710

9

6

Totals

£.3,583,496

16

8

£.396,930

14

11

Deduct increase of Charge, payable for Annuities, by 48 Geo. 3, c. 142

185,711

0

0

Actual reduction from the Debt, as it stood on 5th January, 1817

£.211,221

14

11

Capital.

Interest.

2Funded in 1817, in Great Britain, as per 14th Resolution

£.772,764,937

£.28,812,307

6

6

Funded in 1817, in Ireland, as per 16th Resolution

23,435,254

1,058,545

0

0

United Kingdom

£.796,200,191

£.29,870,852

6

6

Decreased as above

3,583,496

211,222

0

0

Funded Debt, as it would bare been on the 5th Jan. 1822.

£.792,616,695

£.29,659,630

0

0

3 Vide Finance Accounts, 5th Jan. 1822, pages 178–9.

Interest in perpetuity

£.27,875,841

19

1

Terminable Annuities

1,451,205

13

4

Annuities by 48 Geo. 3

410,964

19

6

Charges of Management

277,773

0

4

Total Charge of Funded Debt of the United Kingdom, as it really stood on 5th January, 1822

£.30,015,785

12

3

26. "That the Unfunded Debt of the United Kingdom, in Exchequer and Treasury Bills, on the 5th Jan. 1817, was 49,954,915 l.,1 and on the 5th Jan. 1822, it was 32,671,731 l., showing an apparent reduction of 17,283,184 l.;—But, as the excess of Income, in these 5 years, amounted to 7,528,870 l.,2 and the deficiency of the Consolidated Fund was, on the 5th Jan. 1822, 8,232,458 l.3 amounting together to 15,761,328 l.4, it leaves only a reduction of 1,521,856 l.5 to meet the increase in the annual charge of the Funded Debt, of 356,153 l., equal to 11,871,766 l. in 3 per cent Capital.

1 Vide Annual Finance Account:

Unfunded Debt Great Brtiain, 5th January, 1817

£.44,650,300

Unfunded Debt Great Irish

5,304,615

Total

£.49,954,915

Unfunded Debt Great Britain and Ireland, on 5th Jan. 1822 (vide page 181, Finance Accounts.)

32,671,731

Apparent Decrease of Unfunded Debt, as per Finance Accounts

£.17,283,184

2 Vide 17th Resolution.

3 Vide Parliamentary Paper 23, of 1821; and Finance Account, 5th Jan. 1822:

Deficiency of the Consolidated Fund on 5th Jan. 1822

?.8,842,830

Deficiency of the Consolidated fund on 5th Jan. 1817

609,872

Deficiency in the 5 years

£.8,232,458

4 Excess of Income, as per Resolution, No. 17

£.7,528,870

Deficiency of Consolidated Fund as above

8,232,458

5 Apparent decrease of Unfunded Debt, as note 1 above

£.17,283,184

Accounted for, as per note 4 above

15,761,328

Decrease of Unfunded Debt

£.1,521,856

Against Increase of £.356,153 of Annual charge of Funded, equal to 3 per cent Capital

11,871,766

27. "That on taking a retrospective view of the Operations of the Sinking Fund, from the 5th Jan. 1793 to the 5th Jan. 1817, it is conclusive, that no Reduction of the debt was effected thereby; because, as the expenditure in each year exceeded the income derived from taxes, the money applied by the Commissioners of the Sinking Fund must have been first borrowed; and, as has been shown by the 4th Resolution, that 100 l. of 3 per cent capital was created for every 57 l. 18 s. of money borrowed, whilst the Commissioners, on an average of that period, paid 61 l. 14 s. money for every 100 l. of 3 per cent capital redeemed, as will be seen by the 7th Resolution; by which it appears, that the Public paid 5l. 3s. 7½d. per cent for all the money borrowed in that period, whilst the Commissioners of the Sinking Fund have been receiving only 4l.17 s. 2¾d. making a loss of 6s. 4¾d. per cent on the whole amount expended by them during that period; exclusive of large bonuses, by payments of dividends, and by exemptions from the income tax thereon, before all the instalments on the several loans were paid up.
28 "That as the expenditure for the service of Great Britain, during the 24 years from 5th Jan. 1793 to the 5th Jan. 1815, (including the charge on the debt as it stood on the 5th Jan. 1793) exceeded the income derived from taxes by the sum of only 138,349,040 l. as stated in the: 13th Resolution: and, as 618,163,8571 was raised during that period, by loans and by issue of exchequer bills, it is conclusive that, by the system of borrowing that has been pursued, the; sum, of 479,814,817 l. has been incurred as a debt during that period, in paying the stun of 138,349,040 l.2, in the proportion of 291,229,7793 for interest, annuities and charges, and 188,585,038–4 paid to the Commissioners of the Sinking Fund.

1 Funded

584,214,557

—Vide 3rd Resolution.

Increase of Unfunded

33,289,300

—Vide 2nd Resolution.

£.618,163,857

—Vide Note to 2nd Resolution.

3 For Interest, Annuities, and Charges

291,229,779

4 To Commissioners of Sinking Fund

188,585,038

Amount raised

479,814,817

2 To cover Excess of Expenditure

138,349,040

Total Sum raised

£.618,163,857

29 "That the system of borrowing, during the said 24 years, created a necessity for borrow-
1776

1777
ing, progressively increasing in proportion to the sum borrowed; and consequently, by having first borrowed the sum of 188,585,038 l. for the Commisssioners of the Sinking Fund, it has entailed a burthen in perpetuity, considerably exceeding the 602,830 l. of annual charge incurred by purchasing Stock on worse terms, than those at which it was created during that period; as stated in the 8th Resolution.
30. "That the deduction in the preceding Resolution will be confirmed by ascertaining year by year, what sum would have sufficed to have met all the demands of the state in each year, on precisely the same scale of expense with which it has been supported, had not the system of the nominal Sinking Fund been maintained; by which mode of proof it will be seen that about. 360 millions would have sufficed to have been funded, instead of 584,874 557 l.; as stated in the 2nd Resolution.
31. "That as the 584,874,557 l. funded from the 5th Jan. 1793 to the 5th Jan. 1817, created an annual charge of 30,174,360 l.1, whilst the 188,584,038 l. paid to the Commissioners of the Sinking Fund redeemed only 9,168,233 l.2 of annual charge, the sum of 21,006,130 l.3 is left as the annual increase of charge on 396,289,519 l.4 applied as stated in the margin; whilst the sum of 360 Millions would have sufficed to have been funded, as stated in the preceding Resolution; and supposing that amount to have been funded at the same rate as the 584,874,557 l., instead of 21,006,130 l., it would have created an annual charge of only 18,572,673 l., being 2,433,310 l.5 per annum less, and leaving the annual charge on the funded Debt for the year 1817, at only 27,437,542 l., instead of 29,870,852 l.

1 Vide Resolution 4

£.30,174,363

2 Vide Resolution 7

9,168,233

3£.21,006,130

4 Total Funded

£.584,874,557

Deduct

188,585,038

paid to Commissioners of Sinking Fund.—Vide 6th Resolution.

£.396,289,519

Balance of Amount Funded.

Add

33,289,300

Bills Unfunded.—Vide note to–2nd Resolution.

£.429,578,819

applied as follows:

Viz.

£.291,229,779

for Interest and Charge on new Debt.

133,349,040

for excess of Expenditure.—Vide 13th Resolution.

£.429,578,819

Total Increase, on Account of the excess of Expenditure of£.138,349,040 in the 24 years.

5 £.21,006,130

by

£.396,289;519

18,572,820

by

360,000,000

£.2,433,310

£.36,289,519

32. "That, taking the charge for the Funded Debt as it stood on the 5th Jim. 1817 at 29,870,852 l.1, the revenue of the United Kingdom, derived from taxes, from the 5th Jan. 1817 to the 5th of Jan. 1822, actually exceeded every expense of the State (the charge for the Sinking Fund excepted), by the sum of 7,528,870 l.2; but had the annual charge for the Funded Debt been only 27,437,542 l., as stated in the preceding Resolution, the excess of Revenue would have considerably exceeded 7,528,870 l.; and had that excess been applied to the purchase of stock, at the prices which have prevailed during these five years, and the Stock been cancelled as it was purchased, the total excess of Revenue in the five years would have amounted to about 21 Millions of money, redeeming about 28 Millions of 3 per cent Capital, and thereby diminishing the charge by about 840,000 l. per annum, and have left the charge for 1822, at only 26,386,320 l., instead of 30,015,786 l. as stated in the 25th Resolution: making an excess of annual charge, of no less than 3,629,466 l., in perpetuity, more than it would have been if there had been no Sinking Fund.

1 Vide note to 16th Resolution.

2 Vide 17th Resolutihn.

33 "That, as the price of all commodities is uniformly governed by the demand, if 360 Millions only had been borrowed instead of 584 Millions, it is fair to conclude, that the rate of interest at which the lesser amount might have been obtained, would have been considerably lower; and taking it only at the rate of one half per cent lower, it would have made a difference if 1,800,000 l., per annum, which, added to the 2,433,310 l., as stated iii the 31st Resolution, amounts to 4,233,310 l. per annum; and if taken at three quarters per cent lower, it would have made a difference of 5,133,310 l. equal to 171,110,333 of 3 per cent capital, and consequently have left the annual charge for 1817, at only 24,737,542 l., instead of 29,870,852 l.
34 "That, if the annual charge of the Funded Debt is taken at 24,737,542 l.,1 on the 5 Jan.1817, as stated in the preceding Resolution, the excess of revenue would have been still greater than stated in the 32nd Resolution; and had that excess been applied to the purchase of Stock, at the prices which have prevailed during these 5 years, the total excess of Revenue would have amounted to about 33 Millions of money, redeeming about 42 Millions of 3 per cent capital, and thereby diminishing the charge by about 1,260,000 l.2 per annum, and leaving the total charge for 1822 at 23,266,320 l.,3 instead of 30,015,786 l.4 as stated in the 25th Resolution, making an excess of annual charge in 1822 to the amount of 6,749,466 l., equal to 224,982,200 l. of 3 per cent capital.

From

1£.24,737,542

Deduct

£.1,260,000

As per note, 1st, Resolution 25

211,222

1,471,222

Leaving Charge for 1822

3£.23,266,320

Instead of

4 30,015,786

35. "That, as the total amount of Debt unredeemed, Funded and Unfunded, on the 5th Jan. 1793, was only 239,350,148 l., at an annual charge of 9,203,977 l., as stated in the 1st Resolution, from which reductions have taken place between that date and the 5th Jan. 1822, to the amount of 35,227,109 l. of Capital, and 1,524,333 l. of annual charge, as stated in the 9th and 25th Resolutions; Whereby the Debt on the 5th Jan. 1822, had the 138,349,040 l. as stated in the 15th Resolution; been raised by Taxes between the 5th Jan. 1793, and the 5th Jan. 1817, would have been only 204,129,039 l., at an annual charge of 7,679,641 l., as far as regards Great Britain; and adding the 28,739,869 l. amount of Capital, and 1,323,775 l. of annual charge thereon incurred by Ireland, previous to the union of the two Exchequers, on the 5th Jan. 1822, and brought into the general account on that date, as stated in the 16th Resolution, the total amount of Debt for the United Kingdom on the 5th Jan. 1817, would have been 232,862,908 l., at an annual charge of 9,003,416 l., instead of its being 795,312,767 l. of funded debt, at an annual charge of 30,015,786 l., as stated in the 25th Resolution, and of unfunded to the amount of about 41 Millions, as stated in the 26th Resolution, at an annual charge of about 1,300,000 l.; making the aggregate of Debt, on 5th Jan. 1822, 336,312,767 l., and the aggregate annual charge 31,315,786 l., being an increase of capital of 603,449,859 l., and 22,312,370 l. of annual charge; whereby it is conclusive that notwithstanding 270,543,895 l. is stated to have been applied towards the Reduction of the National Debt, between the 5th Jan. 1793, and the 5th Jan. 1822, not only has no reduction been effected therein, but on the contrary, it has actually been increased to the amount above stated, of 603,449,859 l., at an annual charge of 22,312,370 l.; hereby demonstrating that the Sinking Fund system was founded in fallacy, and has been maintained by delusion.
36. "That, whether the Financial System of the Country be regarded, in reference to the increased burthen of 1,144,387 l. per annum, occasioned by the Commissioners of the Sinking Fund, in merely purchasing Stock on worse terms than at which it was created, as stated in the 24th Resolution; or in reference to that of 6,749,466 l., occasioned by the extension and complication of the accounts, in consequence of the existence of the Sinking Fund system, as stated in the 34th Resolution; or in reference to the increased burthen of 22,312,370 l. per annum, which has been inflicted on the Public since 1816, and to continue in perpetuity by not having raised about 138 Millions of additional taxes, in the 24 years, from the 5th Jan. 1793 to the 5th Jan. 1817, and which occasioned taxation in 1821, to upwards of 60 Millions, whilst about 33 Millions only would have sufficed, as previously shewn in the 15th Resolution; either case sufficiently shews that the Financial System of the Country is founded on erroneous principles, portending consequences as ruinous and fatal, as the Sinking Fund system is demonstrated to be fallacious and delusive.
37. "That, on taking a prospective view of the result of a Sinking Fund; if five Millions per annum are applied for 10 years, in the purchase of Stock, at the rate of 81 l. money for every 100 l. of 3 per cent capital, cancelling the stock as it is purchased, it will afford an annual remission of taxation to the amount of 185,185 l. and it will redeem in ten years, 61,728,320 l. of 3 per cent capital (as stated in Parliamentary Paper No. 151 of 1822), the dividends on which will be 1,851,851 l., affording an aggregate remission of taxation annually to that amount, at the expiration of 10 years, effected at the aggregate expense of 41,666,666 l. of taxes;—but, if 5 Millions per annum are employed as a Sinking Fund for 10 years, in the purchase of Stock at the rate of 81 l. money for every, 100 l. of 3 per cent capital, with the dividends accruing thereon, the aggregate sums will purchase in that time 73,101,437 l. of 3 per cents (its stated in the Parliamentary Paper before referred to), the dividends on which will be 2,193,043 l., affording at the expiration of that time a remission of taxation to that amount, but no relief whatever in the interval of the 10 years, effected at the aggregate expense of 50,000,000 l.of taxes.
38. "That by the preceding Resolution, it is seen, that under the operation of a Sinking Fund of 5 Millions per annum, at Compound Interest, no relief whatever from taxation will be afforded to the Country for 10 years; and without any guarantee that the exaction of so great an
1780

1781
amount of taxes may not, under the present difficulties of the Country, occasion an increase of distress and pauperism, more than equivalent to any advantages that can arise from the remission of 2,193,043 l. of taxes per annum, at the expiration of that period:—whilst the immediate remission of taxes, to the amount of 5 Millions per annum, will afford an important and essential relief from those burthens which at present press so heavily on the industry of the Country."
The Chancellor of the Exchequerput it to the candour of the hon. member, whether it would not be better, at this late period of the session, to postpone his resolutions? Whether the principles on which those resolutions were founded were right or not, it was impossible, at the present period, that they could receive a fair or adequate discussion. He would neither admit nor deny the accuracy of the hon. gentleman's calculations; and it was the less necessary to enter into any detailed examination of the resolutions, as the hon. member had himself stated, that they were only preparatory to some future plan, which it was his intention to submit next session. The hon. member's resolutions might all be embraced in three general principles. He attempted to show; first, that immense sums of money had been charged on the public, in consequence of not raising the sums necessary to defray the annual expenses within the year; secondly, that the application of a sinking fund during war had created an unnecessary increase of debt, and of the annual charge; and, thirdly, that as the national debt had been increased, instead of diminished, by the operation of a sinking fund, the system of a sinking fund ought not to be continued. With regard to the first of these points, no man would dispute, that had it been possible to raise the whole supplies of each year within the year, there never would have been any debt. The propriety of raising as much as possible never had been questioned; and resolutions to that effect had been moved on the 27th of July, 1812. If, however, the whole surplus charge of each year had been added to the debt, there would have been, previous to the peace of Amiens, an increase of 40 millions; and, taking the subsequent period of the war, an increase of 210 millions. Every gentleman must be aware that it would not have been possible to raise the whole supplies of each year by war taxes; and if there had been from the commencement of the war as great a taxation as after the peace of Amiens, the probability was, that the burthen upon the country would have been greater. It was but justice to Mr. Addington to say, that vigorous measures
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consequent to the peace of Amiens had been made during his administration. With regard to the second point, he could not agree with the hon. gentleman in the opinion which he had stated after Dr. Hamilton, that the operation of the sinking fund during war tended to increase the annual charge to the public; for the coming of the commissioners into the market whenever new stock was to be created, tended to keep up the price, and thus produced an advantage to the country. In the loan of 1819, a reduction from 24 millions to 12 had been effected, but the sum raised had been deficient; and as the greater part of that loan went to the purchase of the unfunded debt, of course the greater part of it was almost immediately returned to the market. With regard to the third and most important point, the conducting of the finance, he would make a few observations. In the first place, the hon. gentleman, in taking the actual amount of the funded debt, had attempted to show that no reduction had taken place in consequence of the operation of the sinking fund; but he had at the same time lost sight of the effect which it had had in, reducing the unfunded debt. In 1816 or 1817 the annual charge on the unfunded debt was about three millions, and now it had been reduced to one million This difference was the saving effected by the sinking fund, just as completely as thou h it had been an immediate reduction of the funded debt of the country to the same difference of annual charge. Even Dr. Hamilton admitted, that when there was an actual surplus of revenue, that could be advantageously applied to the reduction of the funded debt. At present, there was, he trusted, a surplus of 5,000,000 l. and if, according to the proposal of the hon. gentleman, 5,000,000 l. of taxes were to be given up, the public would be deprived of the means of reducing the debt. The hon. gentleman had stated, indeed, that he had a plan of his own by which the reduction of the debt was to be effected; but, until the hon. gentleman made his proposal to the House, he would abide by that which had been sanctioned by the decision of parliament, by experience, and by common sense. He con-

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cluded by moving, "That the debate be adjourned till this day three months."
Mr. Grenfellcomplimented his hon. friend upon the able manner in which he had brought forward the subject, but differed with him as to the propriety of taking away the sinking fund. With every respect for his opinion, he believed the present system for the reduction of debt was the best that could be adopted; but there was no part of his hon. friend's statement in which he more entirely agreed, than that which related to the injurious operation of the sinking fund in time of war.
The debate on the said Resolutions was then adjourned till this day three months.

SLAVERY AT THE CAPE OF GOOD HOPE.
Mr. Wilberforcerose and said:*
Sir;—It will probably be remembered, that some time ago I moved an address to the Crown, earnestly entreating his majesty to renew those strenuous endeavours which his ministers had been already exerting, to prevail on several of the great powers of Europe, who had solemnly stipulated that they would co-operate with us in abolishing the Slave trade, to fulfil the sacred engagements they had contracted. My present motion may not unnaturally be deemed to be a sort of supplement to the former, or at least to arise out of it; for it is the object of my present address, to beseech his majesty s ministers to take effectual measures, without delay, for preventing, in a great colony which we have recently begun to establish, the extension of slavery, in circumstances also in which a trade in slaves would be the infallible and no distant consequence. It can scarcely be necessary for me to suggest how strongly we are urged to forbear from every the very smallest approximation to the criminal smallest practices, with the continuance of which we are reproaching our neighbours. And being convinced, that unless we immediately interpose to prevent it, we shall soon see a new slave colony formed, by means equally fraudulent and cruel as those which prevail on the opposite side of Africa, it becomes us not to lose an hour in taking adequate, precautions against the occurrence of such an evil.
* From the original edition printed for J. Hatched and Son.
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It is well known, that, two or three years ago, many families migrated to the Cape of Good Hope at the public expense, to whose number fresh additions are continually making. They have chiefly, settled in the two great provinces of Utenhague and Albany, at a very considerable distance from Cape Town, and where the number of old settlers possessing slaves is very small. I well remember, when we first began our operations against the Slave trade, our warmest opponents were accustomed to say, that were we to begin anew, no one doubtless would think of commencing that traffic, but, on the contrary, every one would reprobate, in the strongest terms, the very idea of instituting such a system of atrocities. The same remark may justly be applied, to the state of slavery. No man, who has any sense of the value of liberty, would think of establishing a condition of society so utterly at war with the rights and happiness of our fellow creatures. But it is one of the very chief evils of slavery, that it reduces its victims to such a state, that they cannot always be suddenly, emancipated, without some risk of danger to themselves, and to the peace of the community of which they form a part. I grant, Sir, that it is but too true, that, especially where the slaves greatly outnumber the freemen,—and I may add, where the distinction between the races is of so marked a character as in the case of the White and Black population of our trans-atlantic colonies,—a sudden emancipation of the slaves would not only be injurious to their masters, but might probably be also ruinous to them, selves. Yet I must remark, that the objections against sudden manumission ought not to be too implicitly admitted; for we have lately had instances which would lead us to a directly opposite conclusion. During our last unhappy war with the United States, the British commander in the southern colonies of America invited the slaves to join the British standard. Many accordingly deserted their plantations; and as it would have been cruelty and injustice to send them back to their old masters, it became a question, how to dispose of them. It was proposed to settle several hundreds of them (seven or eight hundred, I think) in the island of Trinidad—of course, as free labourers. But the planters opposed the idea most strongly, predicting nothing but failure to the plan; for it was contended that no free

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Negro would ever work, and that, of course, they would support themselves by plunder. Sir Ralph Woodford, however, the governor of Trinidad, with an energy, as well as a benevolence and an ability, which did him great honour, was not to be overborne by prejudice. Accordingly, he planted them in part of the islands where the experiment would be most safely made; and I am assured that the result has proved highly favourable to his discernment; and that these men are now earning their subsistence, with so much industry and good conduct, as to have put to silence all the calumnies that were at first urged against the measure. I may also adduce the instance of many of the soldiers of the disbanded regiments of Blacks, both at Sierra Leone and other places, who have become industrious and commendable labourers for their own support. Yet, for the safe and general emancipation of the slave population of our West India islands, a previous moral preparation seems requisite: and I say this the rather, because I hesitate not frankly to avow, that this is the only excuse for our suffering the slavery of the West Indies to continue. Not I only, but all the chief advocates of the abolition of the Slave trade,—Mr. Pitt, Mr. Fox, lord Grenville, lord Grey, and every other,—scrupled not to declare, from the very first, that their object was, by ameliorating regulations, and more especially by stopping that influx of uninstructed savages, which furnished an excuse for continuing a harsh system of management, and prevented masters from looking to their actual stock of slaves for keeping up their number, to be surely though slowly advancing towards the period when these unhappy beings might exchange their degraded state of slavery for that of a free and industrious peasantry. To that most interesting object, doubtless, I still look forward; though I confess, that perhaps of late we all have been chargeable with not having paid due attention to the subject. But if, because in those great countries, which are the seats of the new British settlements, there are now a few proprietors with slaves who were settled there before this emigration took place, we were to render slavery the lex loci, the pervading system of the whole region, we should be justly chargeable with setting on foot a state of slavery; for the few slaves now there bear no assignable proportion to what will hereafter
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become the population of this extensive district. It becomes us now, therefore, while the evil, is in the bud, to prevent its swelling and gaining strength and maturity, and diffusing its baneful seeds throughout the whole land. Rather let government endeavour to make terms with the few present proprietors, and, by grants of land, or in some way or other, prevail on them to remove form the district; or else they must be placed under some special regulations, suited to the peculiarity of their circumstances, and calculated to prevent their little stock of slaves from extending itself, and the possession of slaves by the few old settlers affording at once temptation and opportunity for the acquisition of slaves the new.
It is due to his majesty's government to state, that they have indeed adopted two expedients for guarding against the extension of slavery; the first, by making it a condition of the new grants of land, that no slaves were to be employed; the second, that of establishing a registration of the slaves. Both these expedients, however, are utterly inadequate to the prevention of the evil. Experience shows, in other countries where governments lands have been granted, and where forfeiture has been the penalty of the non-ob-servance of certain conditions, that these conditions have soon fallen into disuse, but that the penalty has never been exacted. Such has been the case almost universally in the instance of the ceded islands the West Indies. But the fact is so notorious that it will be at once admitted. Besides this, it must also be remembered, that the condition attached to these grants at the Cape of Good Hope only applies to predial, and not to domestic slavery; whereas domestic slavery is in some particulars of a still more malignant and pernicious character. I grant, that the slave employed in the cultivation of land are apt to be reduced to a lower state of degradation, and, especially in the West Indies, to be treated too much on the same principles as the inferior animals. But, though the domestic slaves occupy a higher level where they are the property of men of rank and education, yet, were the secrets of that prison-house to be opened to the view, O what scenes would be displayed of the dreadful effects of the exercise of uncontrolled power, in low, uneducated minds! And remember, that it is domestic slavery which chiefly avenges the injuries sustained by its immediate

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victims on their masters and mistresses, by producing all that depravation of moral character which never fails to be generated where the institution of slavery prevails. It may be justly specified as the most signal display of its depraving properties—thus constituting a striking instance of the truth of the remark, that the corruption of the best things sometimes renders them the worst—that slavery can even substitute a spirit of brutal harshness and cruelty, in the place of the natural softness of the female character. Never I taken a close survey of the effects of slavery in any community, in which several humiliating instances have not appeared of this destruction of the most delightful attribute of the fairest portion of our species. But against domestic slavery this condition in the grants is professedly inoperative. Nor is the expedient of a registry likely to be of much more avail. When we consider the great extent of these countries; how far they are from the seat and how little they will be under eye, of government; how in every community, an esprit de corps naturally forms itself, and each man is disposed to connive at his neighbour's infractions of the laws, even if he should be acquainted with them; there would be little hope of a registry being enforced in these distant provinces—though I gratefully acknowledge its benefits near Cape Town, in neighbourhood of which by far the greater proportion of slaves is to be found. But, still more, we must remember that the grand principle on which we depend for the efficacy of the registry in the case of the West Indies, does not at all apply to the colony of the Cape. The West India planters' estates are cultivated commonly with borrowed capital; and the mortgagee finds it necessary for his security from time to examine the registry of slaves; a counterpart of which is, or ought to be, kept in this country, and all variations from time to time communicated. The mortgagee knows that if the slaves are not duly registered his security is proportionably weakened, and therefore he sees to its enforcement. Thus it may be said to contain within it a self-executing principle. But the Cape cultivation is not carried on by borrowed capital, and therefore the same security fur a due observance of the registry regulations is not supplied. In short, both these measures are ineffectual, and utterly inadequate to the prevention of the evil to be opposed.
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And would we consider what an evil slavery is, we could not but feel it our duty to provide effectual preventives against its establishing itself in a new British colony. As I have stated in the address, the condition of slavery would infallibly be soon productive of they slave trade. Both on the land and the sea boundaries, the opportunities of making and importing slaves exist in abundant measure. To the north of the colony, throughout the long line of its somewhat indefinite boundary, there is scattered a set of wretched and defenceless savages, who could make no resistance; and beyond them, recent travellers have found that there are nations in a higher state of civilization, but too likely to learn the lesson of preying upon the weakness of their neighbours, and of establishing a traffic in their persons. I grant, Sir, that probably there may not as yet have been any illicit introduction of slaves into the new settlements. Indeed, I never meant to affirm that there bad been any. But the truth is, that hitherto there has been no temptation to import slaves; but the temptation will soon exist, and then the facility with which the crime may be committed will assuredly lead to its perpetration. Again: on the marine boundary of the new settlements, there would be an easy access into the colony for slaves from Madagascar and the Eastern Coast of Africa, and the various other markets whence slaves have been till lately so abundantly supplied. I grant, indeed, that we have heard with pleasure of some of the chieftains of that part of the world having resolved to discontinue it. Rhadama, the principal sovereign of Madagascar, induced by the benevolent influence of governor Farquhar, has solemnly stipulated never again to suffer slaves to be carried from his dominions. But we know that the French are in the neighbourhood; and I am grieved to say, that, wherever they are found, they almost naturally apply themselves to the prosecution of this hateful traffic. But I will not press this topic farther. Every account which I have received confirms me in the persuasion, that, were the state of slavery to be established in those countries, a great slave trade would soon be infallibly produced: and surely the legislature of this country would be deeply criminal, if, through our negligence, such a system should be suffered to spring up. We, whom Providence has blessed with a

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greater degree of true liberty (liberty regulated and protected by law) than any country ever before enjoyed since the foundation of the world—what a would it be to make to the Author of all our mercies, to be employing all our superior wealth and power in marring his fair creation with such a blot as this! We are now justly distinguished for operations and exertions of an opposite nature. We are engaged in diffusing the light of divine truth throughout the earth, by our Bible societies, and by our missionaries, whom we send to enlighten and to civilize, in the most distant countries, the victims of ignorance and depravity. What a contradiction would it be, if, while we are professing ourselves the servants, and diffusing the principles, of the Prince of Peace and Love, we were to be establishing a system utterly and irreconcilably at war with the rights and happiness of our fellow creatures—in short, a system which may be justly termed one grand violation of every law, divine and human! Such a course would be inconsistent also with the examples, which, I rejoice to say, the representatives and officers of our sovereign have of late afforded, of the instinctive love of liberty which animates the hearts of Britons. In Ceylon, the judicious and active benevolence of the chief judge, sir Alexander Johnston, aided in its operation by governor Brownrigg, laid the foundation for the entire extinction of slavery at no distant period, by prevailing on the proprietors to agree, that all the children who should be born after a certain specified day should be freemen, being apprenticed only for a short time to the masters of their parents, in order to make good the expenses of their nurture and education. In St. Helena also, through the generous efforts of sir Hudson Lowe, and with the kind concurrence of the East India Company, a similar measure was establislied. And in a third instance likewise, the same blessed reformation was effected by the ever wakeful benevolence of sir Stamford Raffles—a man of whom I will only say, that, let the field on which he has to display his superior powers be ever so extensive, he will always show himself equal to the occasion that has called them forth.
Let not our conduct in our new settlements at the Cape exhibit so shameful a contrast to the generous principles on which we have acted in these other instances. How should we make good the
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worst suspicions and jealousies of those who have imputed to us, that our zeal for the abolition of the slave trade has been prompted by self-interest, and not by a love of justice and humanity! Justly, indeed, in that case, might those other nations retort upon us, on whom we have been so strongly and repeatedly enforcing the obligations which bound them, by good faith no less than by every moral principle, to abolish the slave trade: and what lasting reproach would stain our characters, were we thus to show, that, while pressing other nations to perform their duty, we had been so scandalously negligent of our own!
Let me earnestly conjure the House to estimate this motion at its just importance. The countries which we are now beginning to settle are of vast extent; but, still more, by imperceptible boundaries they communicate with the almost interminable regions of the African continent. And my object is, to secure, throughout that vast extent, the prevalence of true British liberty, instead of that deadly and destructive evil which would poison the whole body of the soil, and render the prodigious area one wide scene of injustice, cruelty, and misery.
It would be no small aggravation of our guilt, were we to suffer slavery to establish itself, that the natives of that part of Africa, the Hottentots especially, who would but too naturally become its victims., have of late been resuced from those foul and groundless calumnies under which they so long laboured. I do not only allude to the character given of them by Mr. Long, before the Abolitionists became the advocates of the African race. Then indeed it was unreservedly stated, that they held a sort of middle rank between the brute creation and the human species, and only a little above the ouranoutang. But let any one only read the catalogue of their wrongs, as stated in the able and interesting work of Mr. Barrow—the account of the shameful injustice and cruelty with which they were treated, and of their natural qualities, so opposite in all respects to those which had been imputed to them. Mr. Barrow states them to be "the most helpless, and, in their present condition, perhaps the most wretched of the human race;—duped out of their possessions, their country, and finally out of their, liberty," After speaking of the low opinion universally formed of them, he represents them to be "na-

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turally a mild, harmless, honest, faithful people; kind and affectionate to each other, and not incapable of strong attachments." In particular, he speaks of "their gratitude for any laving, that is done them;" and adds, "I never found that any little act of kindness or attention was thrown away upon a Hottentot: on the contrary, I have frequently had occasion to remark the joy that sparkled on his countenance, whenever an opportunity occurred to enable him to discharge his debt of gratitude."—Again, the prejudices of the colonists against these degraded beings manifested themselves when general sir James Craig proposed to form them into a corps. It was foretold that their drunkenness, their indolence, their filthiness, and various other bad qualities, insured the failure of his attempt. But, on the contrary, sir James observes, never were people more contented, or more grateful for the treatment they now receive. We have "upwards of three hundred who have been with us nine months, and it is with the opportunity of knowing them well, that I venture to pronounce them an intelligent race of men; all who bear arms exercise well, and understand immediately and perfectly whatever they are taught to perform. What is still more striking, of all the qualities that can be ascribed to a Hottentot, it will little be expected that I should expatiate on his cleanliness, and yet it is certain that at this moment our Hottentot parade would not suffer in a comparison with that of some of our regular regiments." He goes on to specify other instances, to prove their various natural and acquired good qualities. A part of my address recommends this hitherto degraded race of men to his majesty's special protection; and it is the more necessary to interpose vigorously in their behalf, because they have been of late subjected to a species of ill treatment which we should scarcely have anticipated from Christian masters. If I had not received the intelligence from a source of information, on the authenticity of which I can implicitly rely, I should scarcely have credited, what however is an undoubted fact, that it has of late become a practice to train up these poor creatures in the Mohammedan faith; Mohammedan priests being employed as overseers for the purpose. It is alleged that the Mohammedan religion is to be preferred, for slaves and Hottentots, to Christianity, because it
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gives a security against their drunkenness, and also it tends to prevent the female slave from being inseparably bound to her husband, as she would be by the Christian rule of wedlock. I trust, that, both in respect to the Hottentots, and to the slaves generally, at the Cape, particular inquiry will be made whether or not the regulations enacted under the old government for their protection and education have been duly observed. I have great reason to believe that several valuable regulations of this kind have fallen into disuse, and that the revival of them is enforced upon us by every consideration of justice and humanity.
But surely, Sir, it cannot be necessary for me to enlarge upon the innumerable mischiefs of slavery, in a British House of Commons. I may appeal rather to that instinctive love of freedom which burns in every British bosom. It was a remark of one of our greatest painters, sir Joshua Reynolds, that every artist of true genius had in' his mind an ideal form of excellence, which all the exertions of his pencil could never fully equal, and that he should have but a low opinion of the genius of him who could do justice to his own conceptions. In like manner, I may state that I should deem that man's sense of the worth of liberty to be shamefully defective, which was not far superior to any eulogium which I could pronounce on it. I will only, therefore, call upon the House on this occasion, to adopt a line of conduct conducive at once to their country's honour and the interests of mankind.
I now beg leave to move. "That an humble address be presented to his majesty, representing to his majesty, that this House has learned with great satisfaction that his majesty's government, with a just abhorrence of slavery, and a provident dread of the evils which would result from its extension, has made it a condition in the grants of land which it has recently allotted within the new settlements of the colony of the Cape of Good Hope, that no Slave labour should be employed in their cultivation; also, that his majesty has established a registry of the Slave population:
"That, nevertheless, from the great extent of the colony—from its contiguity to countries whence Slaves may at no distant period be easily procured—from the remoteness of many of the farms that are scattered over its surface, and from the

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thinness of the population, the due execution of all laws enacted for the government of those countries, particularly those for preventing the illicit extension of slavery, must be rendered extremely difficult, more especially when self-interest shall tempt powerfully to the violation of them:
"That the regulation, so justly introduced into the colonial grants, applies only to predial slavery; whereas domestic slavery, while it is in itself at least as great an evil, would prove a strong temptation to the needy and indolent to procure drudges for their own use, and would operate with a still more pernicious influence on the feelings and habits of the new settlers:
"That, as to the expediency of a registry, the House cannot but fear, that a Slave registration for so extensive a colony, comprising thousands of square miles, where the plantations are very thinly scattered, and divided from each other by wide tracts of a desert and unpeopled country, cannot be so constituted and regulated, as materially to check, much less effectually to prevent, the fraudulent introduction of Slaves, where facilities exist for, such introduction:
"That it cannot be necessary for a British House of Commons, in addressing a British sovereign, to enlarge on the evils of slavery. It is universally acknowledged to be an institution essentially odious in its nature, baneful in its moral and political effects, and more especially repugnant to the spirit and principles of our happy constitution:
"That the continuance of the state where it already exists is reconcileable with those principles only on the ground of necessity; and therefore to continue it in any country where its present extent should be extremely small, and where the local circumstances should be such as to admit of its safe and convenient abrogation, would scarcely be less reproachful than the original establishment of that state in a place where it bad been previously unknown:
"That, in forming new settlements on the African continent, such conduct would be pre-eminently indefensible and mischievous; because the distinction sbetween the European and coloured races of, men must tend to extinguish sympathy, while the existence of the abject and ignominious state of slavery would powerfully generate or maintain, in the minds both of the white colonists and the coloured
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natives of neighbouring districts, feelings towards each other the reverse of those which we are bound, no less by sound policy than by every religious and moral consideration, to promote. Thus the growth of mutual good-will and civilization must be materially obstructed, to the prevention of that secure and harmonious intercourse by which important commercial benefits might be obtained on the one side, and the inestimable advantages of civil, moral, and religious improvements on the other. Instead of such happy effects of African colonization, dangerous animosities, natural injuries, and inveterate border wars, might be expected as the natural consequences of an institution which would degrade, the native race, and render them despicable in the eyes of the new settlers, while it would afford to the needy and worthless means and temptations to inflict upon them the most cruel wrongs:
"That the House also sees much reason to apprehend, that the time may come when the acts for abolishing the slave trade may be widely and fatally contravened in the new settlements now forming in Africa, if slavery shall be permitted there as a state recognized by law:
"That, under such circumstances, no effectual means can be devised for preventing abuses injurious to the best interests of the settlers themselves, pernicious to the natives of Africa, and derogatory to the honour of this country, but the extending, as far as possible, by a fundamental law, to the new African settlements, the same just and liberal, principles of colonization, with such exceptions only as the slaves actually in the colony may render necessary, which have been so honourably and beneficially established at Sierra Leone:
"That we cannot but feel that many of the above considerations derive peculiar force from the efforts which this country has for some time been using to induce other nations to join with us in enforcing the abolition of the slave trade: that we should expose ourselves to just merited reproach, if it could be truly alleged, that, while we had been using those endeavours, we had been violating our own principles by permitting the state of slavery to establish itself in regions where it had previously little or no existence, and more especially where a slave trade would almost inevitably follow:
That we cannot but contemplate with

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pleasure the honourable and successful to efforts, which, under the paternal influence of his majesty's government aided by the liberal spirit of the masters, have been made in various British settlements for meliorating the condition of the slaves, and for ultimately putting an end to the state of slavery and that we cannot but hope that his majesty's government will studiously avail itself of any opportunities it may possess of acting in the spirit of these benignant precedents:
"That we also beg leave humbly, but earnestly, to recommend the state of the Hottentots to his majesty's benevolent care—a race of men long misrepresented and vilified, who, however, have since abundantly proved that any efforts used for their moral improvement would not be employed in vain:
"That we consider that the communication of Christian instruction to the slaves and Hottentots, is a paramount act of duty; and the more necessary, because efforts have been made, not without success, to propagate among them the tenets and practices of Mohammedanism: that no doubt can be entertained of the happy result of those Christian endeavours: nor can we forbear to indulge the gratifying hope, that by the gradual diffusion of the blessings of civilization and of moral and religious knowledge through- out the coloured population, those degraded classes of our fellow-creatures may by degrees be raised from their present depressed condition, and be rendered not only useful members of the colonial community, but valuable subjects of the British empire."
Mr. Wilmotsaid, that the hon. gentleman had assumed in his argument, that the colony at the Cape, and especially the newly settled part of it, might become a great mart for slaves. Now he thought that such an. apprehension was wholly unfounded; and he firmly believed, that the condition annexed to all new grants of land, that it should not be cultivated by slaves, had in no one instance been violated. The slave population of the districts in which the new settlements had been formed, at present amounted to 546 males and 464 females. The House, however, would recollect, that the districts in question were not to be considered as a new colony, but were part of an old and long-settled colony, throughout which the same laws and institutions prevailed: it would be found difficult, therefore,
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to establish distinctions which would be available in practice, or to depart at once from the laws and usages which had previously existed. He certainly should be very ready, at the same time, to encourage the manumission of the slaves, by holding out some equivalent to the master; but he thought it would be most impolitic, even in offering a fair equivalent, to make manumission compulsory on the owners of slaves, How ever much he deplored the evils of slavery, he thought that any thing like a sudden and general manumission would be ruinous, not only to the master, but to the parties it was intended to benefit. He was disposed, however, to consider predial slavery as far more, injurious than domestic slavery. The evil was not of our creation, and he was persuaded that the remedy for it, to be safe, must be gradual. With respect to the clandestine importation of slaves from the interior, he believed there was no just ground for supposing it would occur; and as for importations, there seemed to be no probability of their taking place. The natural difficulties of the coast were such as seemed to present insuperable impediments, and to form a rational security against any such attempt. There was a high surf which beat upon the shore, and there were no navigable rivers; so that, independently of the vigilant measures adopted by the government to prevent the Slave-trade, it seemed scarcely possible to smuggle slaves on shore. With respect to the Hottentots and other natives, their freedom was completely recognized by the laws. In the propriety of giving moral and religious instruction to the slaves, he fully concurred. The subject had not been overlooked by government. It was its wish to afford every facility to the improvement not only of the bodily comforts, but of the moral attainments, of the Hottentots and slaves in this colony. In short, ministers were determined to do all in their power to promote the objects which the address had in view; and it would be an instruction to the commissioners about to be sent out, to inquire into the state of the slave population, as well as to ascertain whether or not any clandestine importation of slaves had taken place.
Mr. W. Smithsaid, we had a clear right, and it was no less clearly our bounden duty, to prohibit the very existence of slavery, whether predial or do-

1797
mestic, within the territory allotted to the new settlers. And even supposing some few grants to have been previously made, the difficulties in the way of such a prohibition did not appear to him to be hard to be overcome. Was it not possible, for instance, to divide the new settlements from the old by a geographical limit, on the eastern side of which liberty should be completely the lex loci? And if a few insulated farms should be found existing within this space, as exceptions to the general rule, could no arrangements be made with the owners, which should equitably satisfy any claims they might have acquired? All claims which were set up against the inalicnable rights of human nature were in his eyes less than nothing. And such was the pretended claim of property in the persons of our fellow-creatures. One man, might, indeed, acquire some claims on the labour of another; but, farther than was necessary for the reasonable enforcement of these, he could possess no right in his person. The unqualified power over the negro slaves formerly contended for, necessarily vanished as soon as it was allowed that negroes were men. Would it now be alleged, that one man could possess a right to murder or to mutilate another? The very contrary was proved by the laws which had been passed on the subject. The power, then, which the master possessed, whatever it was, was a power to be restrained and regulated by law. Societies, so numerous that they were almost identified with the country itself, had for some years been laudably employed in spreading, to the utmost limits of the globe, the knowledge and benefits of our holy religion. Now, it had been a frequent objection in the mouths of its adversaries, that, whatever might be the purity of its doctrine, no corresponding practical good had resulted from its diffusion. But, among the many answers which had been given to this objection, none perhaps was more satisfactory that the undeniable fact, that through the influence of the Christian spirit, in the absence of any positive precept on the subject, personal and domestic slavery had been banished from among the civilized nations of Christendom, excepting, proh pudor! as respected the unhappy Africans in their colonial possessions. Now could we endure to be reproached with the glaring inconsistency, that while zealously pursuing we
1798
the laudable Objects just alluded to, we should at the same moment be founding, in our own dominions, new slave colonies? On the whole, he hoped that not only would the pest of slavery be now prevented from entering to pollute new regions, but that measures would be adopted, in every British possession, for diffusing such Christian light, and such habits of morality and good order, as would prepare the way for the safe communication, erelong, of liberty, to all who were now unhappily in bondage.
Mr. Moneysaid, that the extension of slavery into the new settlements, dependent on the Cape of Good Hope, appeared to him to so wrong in principle, that he most cordially concurred in. the Address. He was decidedly of opinion, that neither the adoption nor the continuance of what was evil in principle, and cruel in operation, could be justified by any view to private or public advantage. In the present case, however, to permit slavery to exist was not only wrong in itself, but impolitic and dangerous. The hon. gentleman saw difficulty in preventing slavery in the new settlements, because it had been allowed by the Dutch laws at die Cape of Good Elope. It was true, that when we took possession of the Cape in 1806, the rights and privileges previously enjoyed by the Dutch had been secured to them; and among those privileges, was that of holding their fellow-creatures in slavery. But, surely it by no means followed, that after the cession of this Dutch colony in full sovereignty to his majesty, we were bound to follow the laws and customs of the Dutch. Those who maintained this proposition, might with equal propriety contend that the abominable practice of extorting evidence by torture, which formed a part of the Dutch criminal law, ought to have been continued; and yet it was one of the first acts of the British government to annihilate that monstrous proceeding. But even if it were admitted, that the articles of capitulation deprived us of the right to prohibit the old Dutch inhabitants from still treating their slaves as property, and selling them to each—other, it could not be expected that, in forming new establishments, we she should furnish them with new customers for their human merchandize. Surely we might make it an inviolable condition, with those whom we permitted to migrate thither, nay whom we assisted with the public money to

1799
settle there, that they should not outrage British feelings and Christian, principles by becoming the propagators of slavery; that they should not convert an infant establishment, reared under the auspices of a free and Christian government, into a mart for the sale of human beings. If, however, his majesty did not speedily and effectually interpose, such would be the inevitable consequence. The attacks of the Cafires of the interior on our distant settlements had already been formidable. If these should be renewed, would not the slaves, if slavery were allowed; consider it their interest to join the assailants? His acquaintance with the Cape, led him to dread the extension of slavery in any way which would bring more of our fellowcreatures under the merciless lash of the Dutch Boors, to whose service, death was often preferred, even by the slaves of Cape Town. He rejoiced also to learn, that a commission was about to be appointed to inquire into the administration of justice at the Cape. During a considerable stay there, he had been led to entertain a great abhorrence of the manner in which justice was administered under the Dutch colonial law, where the functions of judges were performed by persons having a common feeling and interest opposed to the slaves. There was now at the Cape a Dutchman who caused the death of one of his slaves by hanging him at his door. He was brought to trial. His defence was, that he had only intended to punish him, and not to take away his life; and he was acquitted!—In 1819, a female slave belonging to a Dutch gentleman at the Cape, had been treated with harshness; and at last her mistress threatened that she would take her children from her, and sell them to the Boors in the interior. The dread of that worst of all evils so worked upon her mind, that, to save them from this fate, that she took them, four in number, down to the sea, where she succeeded in drowning three of them, and was in the act of destroying herself and the remaining child when she was discovered; and the alarm being given, she was rescued from her watery grave in a state of insensibility. She was carried to the jail, where medicines were applied to restore her, and a court of criminal justice was immediately summoned to try her. Scarcely able to stand, she was brought before this tribunal. When asked, what she had to say for herself, she stared
1800
wildly, and made no answer; and in this state of apparent unconsciousness to every thing around her, she was convicted to be strangled at a stake. The following morning this sentence was carried into execution; a party of the military attending under the command of a British officer. Many more cases might be adduced, to show the necessity, of reforming the criminal law at the Cape, and of giving to all classes of the inhabitants, bond as well as free, the benefits of a better and plum system.
Dr. Phillimorecordially approved of the motion. At the same time that he felt the difficulty and delicacy of interfering with the rights, or alleged rights, of the ancient Dutch colonists, he entirely agreed that, with respect to the districts newly settled, liberty ought to be the general law, the lex loci, and slavery the exception. Whatever tenderness might be due to the old settlers, he would not concede to the new the shadow of a right to establish a property in the persons of their fellow creatures.
Mr. F. Buxtonsaid, that if he concurred, with the hon. secretary, in thinking that there existed no more than a bare possibility that slavery might be introduced into our new settlements at the Cape, that bare possibility would be an unanswerable argument in favour of the motion. But could we flatter ourselves that there existed no more than a bare possibility? This much was certain; within our dominions there, the value of a slave was 160 l.; without our dominions, and at no great distance, there were populous and savage nations, often engaged in war, and often liable to famine. Couple but the two facts together, and the consequence seemed irresistible; namely, that an active Slave trade would soon arise. It appeared, by a trial which took place at the Cape, that four negroes who had served in the British navy were then slaves—a fact utterly unaccountable, if we denied the existence of Slave trading. If, in spite, of the unequivocal title to freedom which they possessed, these four men had been enslaved, were our apprehensions ground the less, that the ignorant natives in distant parts of the settlement would be fraudulently consigned to slavery? To one fact which proved the anxiety of the new British settlers to obtain slaves, he could himself speak. In conjunction with some other persons, he bad assisted a family that obtained land at the Cape an earnest

1801
application had since been received from them for a further advance of money, in order to enable them to become the purchasers of slaves.
With these facts before us, it was clear, that upon the conduct of our government, in the course of the next three or four years, depended the great question, whether our immense dominions in that part of Africa should or should not be cultivated by Slave labour; whether the surrounding nations should or should not be visited by the havoc and desolation which an active Slave trade would produce; whether our own colonists, sent out by the capital of the country, should or should not be exposed to that moral turpitude which slavery always produced; and, lastly, the question whether we should or should not stand before Europe detected and convicted of the grossest hypocrisy. Nothing could be conceived more derogatory to the character of the country, than the semblance of a just suspicion that we should permit a new Slave colony and Slave trade to arise in our own dominions. We, who had stood foremost in the glorious cause of its abolition—we, who had ventured even to chide the tardiness, the ill faith, the inhumanity of other nations—were we at length, outstripping even their perfidousness, to see slavery beginning in parts of our dominions where it did not exist at the period when we acquired them? Let the commissioners immediately determine the spot where slavery existed on our arrival, and beyond these let liberty be proclaimed the lex loci without delay. He should give the motion his most cordial support.
The Address was agreed to.

COMMISSION OF INQUIRY.
Mr. Wilmotrose to move that an humble address be presented to his majesty, "That he would be graciously pleased to issue a Commission under the great seal, to inquire into the state of the settlements of the Cape of Good Hope, the Mauritius, and Ceylon, and also into the administration of criminal justice in the Leeward Islands." The motion, he stated, divided itself into two distinct parts: first, as regarded the Cape of Good Hope, the Mauritius, and Ceylon; and, secondly, as regarded the Leeward Islands. With respect to tiles first, the commission which he proposed to send out was one of a very general nature; for the commissioners would be directed to
1802
inquire into the whole state of each colony—into its whole government; into the extent to which its different offices might be diminished, both in number and salaries; into the state of the laws; and also into the practical administration of justice. At the Cape of Good Hope, the commissioners would be instructed to inquire into the very subject on which the hon. member for Bramber, had so lately addressed the House. They would have to consider the actual state of the Slave population, and to ascertain the existence of the Slave trade, and the means of its complete prevention. The currency of the colony would also be submitted to their consideration. They would be desired to inquire into any abuses which might exist in the colonies, and into the nature of the remedies which it might be expedient to apply to them; and to suggest such improvements as might appear to them to be expedient and practicable. With respect to legal proceedings, instructions had already been sent out to take measures for introducing the English language exclusively into the judicial proceedings of the Cape of Good Hope; and with respect to the diminution of offices, the noble secretary of state for the colonial department had determined not to fill up the office of deputy colonial secretary at the Cape, which was now vacant until the commissioners had made their report on the subject. With regard to the Mauritius, the long continued dissentions in that colony, and the charges that had been preferred against the chief justice of the island, rendered such a measure necessary. Such a commission might, indeed, be less necessary in the island of Ceylon; but government had no hesitation to extend it to that island likewise, in order to satisfy the public regarding the manner in which its resources were managed. With regard to the sending out of legal commissioners to inquire into the state of the criminal administration of justice in the Leeward Islands, it would be in the recollection of members, that the noble lord opposite (Nugent) had brought in a bill at the commencement of the session to improve the administration of justice in those colonies. He (Mr. W.) had that time suggested to the noble lord, that, before such a bill was taken into consideration, it would be expedient to collect all the information that could be obtained in order to enable it to legislate wisely upon the subject. The noble lord con-

1803
curred in his suggestion, and agreed to withdraw his bill, on condition that no time should be lost in sending out commissioners for that purpose. He could assure the noble lord, that, if the present motion was agreed to, no time should be lost in forwarding them to the place of their destination.
Mr. Wilberforcesaid, he had no doubt, if the appointments were judiciously made, that great good would result frond the commission.
Lord Nugentsaid I wish, Sir, to express the sincere pleasure I feel in supporting my hon. friend's motion. The inquiry which is the object of it, is one of the highest importance to humanity and justice. It is at this time peculiarly called for, by abuses which have long been ripening in the Leeward islands, and which have now risen to a character and amount of which the House has but a faint idea. I have to thank my hon. friend for the early intimation, which he gave me, of his present motion. It relieves me for the present from a duty to which, in some measure I stood pledged. The main object which I should have had in view in calling the attention of the House to this subject, has been more than answered by the motion of this night. On the details, therefore, of the measure which I should have submitted, I shall not now enter. In truth, Sir, every question of West Indian jurisprudence is surrounded by very many and very great difficulties. Among these, is the difficulty of separating truth from falsehood, in the evidence obtained from the islands themselves. A general impression of misgovernment may often lead to much rills statement, and great grievances may provoke to great exaggeration. One of the greatest obstacles, in looking to an administration of public justice, such as we all should wish to see perfected in a British colony, unhappily lies in the existence of slavery: it lies in the obvious anomaly of the attempt to introduce the machinery of a free government into a society composed of master and slave. Whilst, however, it shall be unhappily necessary, that to a certain degree this dreadful curse of slavery should yet find countenance in colonies dependent upon England, it is peculiarly our duty to remove those minor obstacles which present themselves to the genera operation of British justice. And here we are met by an obstacle, difficult indeed to deal with; I mean, the smallness
1804
of the free white population, the only Persons possessing any share of political rights. Where men live together in very small societies, all public spirit soon becomes merged in a feeling of private conventional arrangement: a sort of corporate spirit soon prevails, fatal to the fair administration of the laws; and, above all, public opinion becomes a very weak and ineffectual check. In truth, public opinion in the lesser islands there is none. In consequence, numerous offices, some quite incompatible in principle and duties with each other, are frequently held by the same person. Magistrates have frequently to decide in matters of property, so strictly analogous to their own, that the principle of their own case is often involved in their decision on the case of another. The chief justices of these islands, without a single exception, instead of being rendered independent of suitors, are dependent for the greater part of their salaries upon annual votes of the assemblies; and these assemblies are entirely composed of resident planters, or managers of estates; between whom and their servants, or between whom and non-resident proprietors or merchants, every issue which, these judges have to try must generally lie. Under such a system, Sir, it is impossible to expect that magistrates, or courts, or judges; can be properly respected. Hence arise those outrages against law and against humanity which are perpetrated without disc guise and without check, and that habitual disregard and contempt with which the institutions of justice are treated in those islands.—Sir, if it be thus in criminal matters, in cases of property it is, if possible, even worse. Juries cannot be trusted where the cause lies between residents and absentees. Cases frequently occur, in which merchants and absentee proprietors are forced into the most ruinous compromises by the impossibility obtaining justice against resident planiers or managers. In truth, I have good reason to believe that, under the present system, a representative government and trial by jury, are instruments only of oppression and injustice. I believe that, on the whole, a power entirely arbitrary and irresponsible, vested in the hands of some one with fair dispositions and sufficient independence to do justice, would, in a majority of cases, give a better chance of substantial right. Accordingly, where a governor is resolved

1805
to do justice after his own way, without trucking to local influences, or conforming himself to the prevailing spirit of cabal and intrigue among the planters, he has only to withdraw himself from under their domination, and his power becomes totally arbitrary, uncontrouled, and practically, as far as relates to the authorities of the island, entirely irresponsible. And yet it is remarkable, that under such governors the fewest grievances are suffered, and the fewest subjects of complaint arise. But still, I ask, is this arbitrary system to be countenanced in a colony professedly under the protection of English law?—On the whole, I will venture to state, that the basis of a better system must be laid, first, in the consolidation of the courts of the different islands; and, secondly, in the disqualifying all persons having property, or acting as managers of property in the islands, from holding any offices connected with the administration of justice. Such step would give the fairest chance of justice being administered with equality and with mercy; it would provide for the respectability and independence of the colonial bench at a much smaller aggregate charge; and it would give a tenfold security to the now very precarious tenure of West Indian property.
Mr. Humeapproved of the motion, as tending to economy in the administration of the affairs of the colonies, which had been heretofore profuse and lavish. He was also anxious to have a similar commission for Trinidad, and should move, as an addition to the address, "That his majesty will be graciously pleased to direct that a commission be sent to the island of Trinidad, to inquire into, and report upon, the nature of the Spanish laws, both criminal and civil, as there administered; the extent of the taxes and other burthens imposed, upon the inhabitants; the powers, exercised by the governor; his proclamations respecting grants of land; and other matters that affect the welfare and prosperity of the colony:"
Mr. Marryatsaid:—Mr. Speaker; while I fully acquiesce in: the motion for issuing a commission, to enquire into the state of the settlements of the Cape of Good Hope, the Mauritius and Ceylon, from which I augur very great advantages, both to those colonies and the mother country, I am also extremely anxious that the same benefit should be extended to another of our colonies,
1806
Trinidad, as proposed by the hon. member for Montrose: and I trust that my local knowledge of that island, and the extensive and constant correspondence that I have long maintained with it will enable me to state such additional facts, as will satisfy the House of the expediency of agreeing to his amendment.
The first reasons I shall offer, are founded upon the enormous amount of the exactions imposed, upon the inhabitants of Trinidad. That island produces about the same quantity of sugar as the adjacent island of Grenada, and therefore the ability of the inhabitants to bear burthens may be supposed to be the same. But the exactions wrung from the industry of the former, are so out of proportion to those levied on the latter, as to call loudly for enquiry and redress. The amount of the taxes annually raised in Grenada are about 30,000 l. currency. Those raised in Trinidad, according to a pamphlet published here in 1817, by a very intelligent inhabitant and considerable landed proprietor of that island, are 106,000 l. currency. The amount of law expenses and fees of the courts of justice in Grenada, are estimated at 20,000 l. In Trinidad, according to the authority before quoted, they amount to 130,000 l. The annual expense of the registry of slaves in Grenada is 200 l. sterling. In Trinidad, the writer already referred to states it at 22,500 l. currency. In Greer nada, the expenses attending the apprehension and restitution of a runaway negro, seldom or ever exceed 4l.,and frequently do not amount to half that sum. In Trinidad, 44 runaway negroes were apprehended together about two years ago; and after a tedious legal process, during the continuance of which they remained in gaol, were ordered to be restored, on their proprietors paying their respective, proportions of the expences, which amounted to no less a sum than 5,272 l.;or nearly 120 l. each, which in many cases exceeded the value of the negroes, considering the deterioration they had suffered, both in healthy morals and habits of industry, during their long confinement in gaol. I speak of this case from actual knowledge, having been drawn upon to pay part of the money, on account of the proprietor of some of these slaves, who at the same time transmitted me the official account of the charges. They appeared to me so enormous, that I felt it my duty to

1807
send them to the colonial office, with a letter expressing my sentiments upon the subject; but, to my surprise, I received rather a smart rap on the knuckles, for presuming to question the excellence of any of the regulations devised by sir Ralph Woodford, for the benefit of the inhabitants of Trinidad.
Large sums are also raised in Trinidad for objects of embellishment, utterly inconsistent with the means of the inhabitants. The governor orders the streets to be new paved, and assesses the proprietors of houses 4l. 6s. 8d. per foot on their frontage, to defray the expence of the alteration. The usual front of a lot being 60 feet, each proprietor of a lot of this description has to pay about 250 l., for tearing up the pavement and laying it down again, with a kennel on each side instead of one in the middle. It is to be observed too, that this 4l. 6s. 8d. per foot, is the rate for one side of the street only; the owner of the house opposite, being obliged to pay the same amount; so that the whole expence of this alteration is a cruel tax upon the inhabitants of Port of Spain. Some of them have been actually obliged to mortgage, and others to sell their houses, to liquidate their assessments to the pavement; for unless they are paid by the day fixed in the Gazette, the marshal levies without further notice.—The governor orders new roads to be cut through estates one year, abandons them and orders others in a different direction to be made the year following, at a great expense to the unfortunate proprietors. In 1815, governor Woodford ordered a new road to be made through Marbella estate, upon which the able-bodied negroes belonging to that and several neighbouring plantations were employed nearly the whole of the month of March; and this appropriation of their labour, during the height of the season for making sugar, cost some of the proprietors a considerable portion of their Crops. The year following, in the month of August, when the labour of negroes upon the roads is in a great degree useless (from the rainy season having set in and made them beds of mud), but when their labour is essential for the purpose of weeding the canes on which the ensuing crop depends, sir Ralph Woodford ordered the negroes of the same estates to work upon a new road traced in a different line, that which was made the year before being abandoned.—The inequality
1808
of the burthens imposed on the inhabitants of Grenada and Trinidad is easily accounted for; Grenada enjoys a British constitution—her laws are framed by representatives chosen from among the people, and who can impose no taxes to which they do not themselves contribute, in common with their fellow subjects; but Trinidad is under an arbitrary government, and her laws are made by a single individual, who has no common interest with those over whom he rules.
Another subject that demands a commission of inquiry is, the nature and extent of the powers vested in the governor of Trinidad. These powers are defined in his majesty's proclamation of the 19th of June, 1813; which recites that "all the powers of the executive government, within the said island, shall be vested solely in our said governor, who is directed to administer justice and police, in conformity to the ancient laws and institutions, that subsisted within the said island previous to its surrender; (but with these saving clauses) as nearly as circumstances will admit, subject to such regulations, alterations and improvements, as may have been since made, and approved by us; subject also to such instructions as he may hereafter receive; or to such deviations, in consequence of sudden and unforeseen emergencies, as may render a departure from them manifestly expedient." In other words, his will is the law; as may be shown by the following exemplification of the powers he is authorised to exercise.—He may impose fines upon individuals, and imprison or banish them at his own will and pleasure. Fine and imprisonment have been circumstances of frequent occurrence, under the Spanish system of government continued in Trinidad; and the power of banishment is also asserted by sir R. Woodford, in his proclamation of the 19th August, 1815, prohibiting the inhabitants of Trinidad from supplying the independents of South America, with arms, ammunition, warlike stores or money. This proclamation declares, that all the inhabitants who contravene his orders, shall be banished and expelled from the colony, and their property be forfeited and confiscated to the use of his majesty. The denunciation against the Spanish independents, who had been permitted to reside in the colony, recapitulates all these powers: for it runs thus,—Those who shall be detected in

1809
the like offences, shall be forthwith imprisoned, their property be forfeited and confiscated, they shall be banished and expelled from the colony, and the securities entered into for their good behaviour be deemed and taken as forfeited to the government."—The governor sends for individuals, and examines them upon interrogatories, in answering which they are obliged to criminate themselves. He intercepts and opens letters addressed to individuals, demands a sight of those they may have received, and searches houses and breaks open locks, to obtain possession of papers, at his own will and pleasure. He imposes new taxes by his own sole authority. He has, indeed, a council, but the members are nominated by himself and removeable at his pleasure, and it is a council of advice not of controul; so that in fact their power is nominal.—The taxes have been greatly increased since the arrival of sir R. Woodford. Formerly the annual expences of the civil establishment were provided for; by a duty of 3½ per cent on imports and exports; and with this source of revenue only, general Picton left a balance of near 100,000 dollars in the Treasur when he gave up the government to his successor. The tax upon exports is now levied on the real, and hot as formerly on the official value; so that a hogshead of sugar which before paid about 1½ dollar, now pays an average of nearly three dollars. New taxes have also been laid on slaves, dwelling houses, wines and spirits.—The governor imposes new fees of office for himself and the other public functionaries. A docket of fees was published by governor Picton in 1798, and a new docket was published by sir R. Woodford in July 1816. The former neither took fees himself, nor allowed the judges to take any; but confined them to them to their salaries, and declared that "the administration of justice on their part ought to be gratuitous." The latter takes fees both as governor and as judge; and has taken the highest fees to himself, as being the highest in rank. His fee on merely writing his name to certify appeal papers, is no less than 50 l. currency! The whole number of fees enumerated in governor Picton's proclamation is 13; in sir Ralph Woodford's new docket, the enumeration of them fills twenty-three handsome sized pages! So great is the avidity for fees in Trinidad, that they have even been extorted from
1810
unfortunate persons, who, escaping from the Spanish sought an asylum in Trinidad from the fury of contending parties and the horrors of civil war, for permission to reside there during the pleasure of the governor.—According to the Spanish law, a will in the hand-writing of the testator (the mode in which wills are usually drawn in that country), may be opened and proved before any of the judges or alcades, as well as before the governor or chief judge; and the fees, according to the old table, were 104 bits, or 9½ dollars. As people die fast in that climate, this source of emolument is worth monopolizing, and sir Ralph issued an ordinance, that such wills should in future be opened and proved before himself alone; and the fees now charged upon them, are stated to amount, in some cases, to 50 and even to 100 dollars. A great portion of the inhabitants of Trinidad are Roman Catholics; and such of them as can afford it, have the host or great cross carried before their funeral processions. Sir Ralph has contrived to exact a fee from them even at the grave, (where it might have been thought they would have been suffered to rest in peace), by demanding eight dollars as the price of his permission to use that ceremony.—I have heard that sir Ralph's emoluments are fixed, and that he derives no benefit from any of these fees; but be the money appropriated how it may, it comes out of the pockets of the inhabitants of Trinided; and I contend that they ought not so be subjected to such numerous and heavy exactions, at the pleasure of any individual, or for any purpose whatever, The exercise of all these powers may be, and I believe is, in perfect conformity to Spanish laws; and therefore it is not of the individual but of the system, that I complains: for I am persuaded, that if an angel from heaven was sent down to administer the government of Trinidad in its present form, he would find it impossible to give satisfaction; and this is a sufficient reason why it ought not to be continued.
The most oppressive, because the most important act in the administration of the government of Trinidad by sir Ralph Woodford, has been his issuing proclamations, striking at the root of the titles of all the landed property in the island, calling upon the inhabitants to hold their estates in future by a new tenure, to pay at once to the Crown 160,000 l. fines, be-

1811
sides annual quit rents for ever, and not much less than 50,000 l. fees to himself and his associates in office. On the 5th Dec. 1815, a proclamation appeared, declaring "a great proportion of the titles to land in the colony to be defective or absolutely void, either as arising from the neglect of the parties themselves, or from an abuse or violation, of their respective grants, or for want of some specific declaration of the royal pleasure thereupon; but that his royal highness the prince regent, taking these circumstances into his consideration, as well as the advantages that the inhabitants now and hereafter will derive, from a secure tenure and unmolested possession of their lands, has been pleased to declare, that such grants only shall be considered valid, as were registered in strict conformity to the Spanish cedula of 1783; but that the titles to other lands should be confirmed, on the owners paying a fine of 100 l. currency each to the Crown, an annual quit rent of 5s. per quarrée, and being subject to have such portion of their grants resumed, as may not have been duly cultivated or as may be wanted for the public service." The landholders of Trinidad alarmed at these threatened exactions, appointed a committee, consisting of twelve gentlemen, seven of whom resided in the colony and five in London. The former undertook the task of preparing a memorial, in vindication of their rights; and the latter were requested to support it by representations to his majesty's ministers; and if these failed, by an appeal against one of the decrees of the governor.—Sir Ralph's impeachment of the titles to land held under Spanish grants, was founded on the 3rd article of the cedula of 1783, which prescribes that all grants should be registered in the Book Becero of Population; but a reference to the cedula shows, that it neither imposes the duty of registering them upon the grantees, nor makes the register itself essential to the validity of their titles. The language of the article is directory, not conditional. The document which is to serve as the title deed of their property, is declared in the cedula to be "The copy of the respective allotments;" in other words, the diagrams or plans of their grants, taken by the surveyor-general, and recorded in his office; which hitherto had uniformly been so considered and recognized.—The duty of registering these grants, properly belonged to officers appointed by the king
1812
of Spain, who attempted to derive undue advantages from their situation, and demanded large fees from the grantees, for doing that which they were already paid for doing by the king of Spain, and were bound by his royal cedula to do without fee or reward; the second article of that cedula declaring expressly, that these lands were to be given, "gratuitously and in perpetuity." Other clauses in this cedula, show that the king of Spain never contemplated the payment of fees for these grants, by the new settlers; for they exempt them from the payment of all duties and taxes for ten years; and direct the governor to furnish them with money out of the royal treasury, to purchase cattle, mules and implements of agriculture. This cedula opened Trinidad as an asylum for fugitive debtors; and all these provisions were evidently made with a view to the state of poverty, in which persons who availed themselves of it might be expected to arrive; and, are wholly incompatible with the idea of their being required to pay large tees for recording their grants.
From the foregoing considerations, there appear no grounds whatever for the language of this proclamation, "That a great proportion of the titles to land in Trinidad are defective or absolutely void, either as arising from the neglect of the parties themselves, or from au abuse or violation of their respective grants:" and in facther proof of the just title by which the inhabitants hold these lands, they appeal to the general laws of the Indies, which declare as follows:—"All parties who have received grants from the governors of any of the Spanish colonies, and who have resided upon and cultivated their land for four years, are entitled to dispose of the same by sale, or in any other manner they may think proper." [Recopilation, book 4, title 12, law 1.] The same law declares four years' residence and cultivation to give absolute dominion of property in grants so obtained. In support of the validity of the titles by which persons hold lands, though not recorded in the Book Becero, and of their being considered as having absolute dominion over them, after four years residence and cultivation, it may further be urged, that numerous sales and conveyances have been made from time to time, and recorded in the different public offices of the escrivanos in Trinidad: for it is obvious, that if the titles of these

1813
lands had been forfeited, as now declared, no Spanish lawyer would have advised his client to pay a valuable consideration for lands thus circumstanced.—The holders of the grants further appealed to the capitulation, under which the inhabitants of Trinidad surrendered to the British arms; the 8th and 9th articles of which guarantee all the private property of the inhabitants, as well Spaniards as such as have been naturalized; and pledged the British government to consider all contracts and purchases made according to the laws of Spain, as binding and valid.
The noble lord at the head of the colonial department, after hearing the representations of the committee on this subject, apprised them that he had given up the fines and quit rents, but intended to enforce the new rights claimed for the Crown Ralph's proclamation, of escheating lands for what he terms partial cultivation, and taking any part of them whenever required for the public service. These new rights were considered by the inhabitants, as far more oppressive than the fines and quit rents which had been abandoned. The latter were, at least, fixed and determinate in their nature; but the former destroyed the security of all private property, and placed every man at the mercy of the governor for the time being. These new-claimed rights, gave the governor the power of ejecting any individual out of his own house, on giving him merely a nominal indemnity, in a grant of un-cleared cleared lands; which are actually of little or no value, as large tracts of cleared land may be purchased in Trinidad for less than the expense of cutting down the of wood.
With respect to the point of due cultivation, all that is required, either by the cedula of 1783 or the Spanish laws of the Indies, is, that the grantee should reside upon and cultivate the lands allotted to him, with the means be possessed (in proportion to which the extent of his grant was regulated), for the term of four years; after which the law gave him absolute dominion over them, and the right of disposing of them by sale, or in any other manner he pleased. No man can guarantee the lives of his slaves, and if he were deprived of them by contagious disorders, or by any other calamity, the Spanish government did not punish him for his misfortunes, by escheating his lands. Much less should the British government enforce such a prin-
1814
ciple, after having abolished the slavetrade; a measure which, however dictated by the high considerations of justice, humanity and policy, must soon render the loss of slaves irretrievable.—In opposition to these new claimed rights, the inhabitants of Trinidad appealed to the laws of Spain, which recite all the reservations made by the Crown in colonial grants (among which the rights in question are not to be found), and distinctly declare that they relate to nothing else. The king of Great Britain can acquire no other rights, either by the conquest or the cession of Trinidad, than those which belonged to the king of Spain at the time of the surrender of the colony. He cannot assume those of which that monarch bad previously divested himself in favour of his subject, without violating their just rights, and infringing the capitulation under which they surrendered to his government. The committee therefore made a fresh representation to his lord ship, contending that the possessors of land under Spanish grants, were entitled to hold them, upon the terms on which they were originally accepted and cultivated but to this they received no answer.
A few months previous to the proclamation of the 5th Dec. 1815, sir Ralph had prosecuted Belmont estate at the suit of the Crown, on the ground of its being forfeited for, non-registry in the book Becero. Judge Bigge, who tried the cause, decided against the Crown, and declared the title of the owners to be good and valid. After that proclamation had been confirmed at home, the attorney-general of Trinidad appealed from the sentence of judge Bigge, and brought the case before the superior tribunal, in which sir Ralph is judge; who reversed judge Bigge's decree, and confiscated the estate. Another estate called the Union, adjoining to Belmont, was soon afterwards escheated, on the ground of being required for the public service; being wanted, as the decree, states, "for the enlargement of the lands occupied by his excellency the governor," whose country residence was situated at Belmont. An appeal was entered against the governor's decree confiscating Belmont; but before it could be brought to a hearing, sir Ralph obtained an order from Mr. Barry, the owner, to stop the proceedings, by paying him for the estate not by a nominal indemnity in wood lands, but in hard dollars; and thus disappointed

1815
the inhabitants of Trinidad, in their expectation of having a legal decision of the lords of appeal on the merits of their case. After this, sir Ralph proceeded to enforce his proclamations. Surveys were taken, by his order, in the two quarters of north and south Naparima; and various portions of land belonging to different estates were confiscated, under the new rights claimed for the Crown, and sold by public auction. These confiscations and sales have hitherto been confined to two out of more than thirty quarters, parishes, into which Trinidad is divided; the inhabitants of the rest of the island being left to enjoy pleasing sensation, that a similar fate is reserved for them at some future period. As their last resource, they have petitioned this House. A copy of their petition is in my hands, but the original is not yet arrived, the only mode of procuring the signatures of the land owners being by sending it round to them on their respective estates, which necessarily occasions considerable delay. It enters into a long detail of the injustice and oppression of the proceedings of sir Ralph respecting the grants of land, and prays that a commission tray be sent out to inquire into and report upon that subject; "and on such other matters, as are immediately and deeply connected with, and affect the welfare and prosperity of the colony." The statement of the petitioners appears to me to be unanswerable; and nothing can satisfy the justice of the case, but repeal of all the oppressive proclamations respecting grants of land in Trinidad.
Another part of sir Ralph Woodford's conduct that demands inquiry, for the honour of the British character, is his treatment of the Spanish independents who sought an asylum in Trinidad. When the royalist army was marching upon Guiria, that part of the coast that lies just opposite Trinidad, numbers of unhappy fugitives embarked in boats, canoes, and whatever small craft they could find, to save themselves from the exterminating fury of their enemies, and went over to Trinidad, where sir Ralph Woodford refused these unfortunate wretches, the greater part of whom were women and children, permission to land. The smallness of their vessels, and the want of provisions, made it impossible for them to seek any other port. They had no alternative but to return to the place from whence they came, where many of them were immediately massacred; and the rest fled into the woods
1816
and mountains of Guiria, to seek that shelter among wild beasts which had been denied them by sir Ralph. I stated these facts in one of the debates on the Foreign Inlistment bill, when the truth of them was denied by the noble marquis on the Treasury bench, and the then under secretary of state for the colonial department; but the correctness of my statement has since received a most unexpected confirmation. The report of this debate in the public papers found its way to the Spanish Main, and attracted the attention of the government of Columbia, who directed the attorney-general to examine on oath, persons worthy of credit and faith, as to the facts in dispute. Their depositions not only confirm all I stated, but prove much more, and give various details of the hostile treatment of the Spanish independents by sir Ralph Woodford. In the answer given to one petitioner who prayed for an asylum in Trinidad, he shelters himself under the authority of the British government; for he says, "it is inconsistent with the regulations by which I am instructed to guide my conduct, to admit to a residence here, during the present disturbed state of the Spanish neighbouring colonies, persons not being natural born subjects of his Catholic majesty." These words appear to be an actual proscription of all the Spanish independents; and unless ministers disavow having given such instructions, and show their disapprobation of sir Ralph's conduct, they will transfer the odium, which is now confined to him as an individual, to the government by which he is supported and patronized.
The effects of sir Ralph Woodford's cruel treatment of the independents, have been highly injurious to the commercial and manufacturing e interests of Great Britain. The intercourse with the Spanish Main had been so successfully cultivated by general Picton, that in the prospectus he sent to the colonial department, he states, that during his government above 1000 Spanish vessels, upon an average, cleared out annually at the secretary's office with British manufactures, in return for money and the produce of South America; and the secretary to governor Hislop sent home documents, showing the annual amount of the manufactures so exported, in his time, to be not less than eight millions of dollars. The principal part of the traffic between the Spanish Main and the free ports in the Leeward islands, was

1817
formerly divided between St. Thomas's and Trinidad; each being situated at the opposite extremity of the Antilles, and therefore well calculated for communication with different parts of the continent, and both being in the possession of Great Britain during the war. At St. Thomas's, general M'Lean, the governor, gave an asylum to all refugees from the Spanish Main, without inquiring whether they were royalists or independents; and so far from requiring fees from them, for permission to reside there, he liberally promoted subscriptions to relieve the distress under which too many of these wretched fugitives laboured. Unfortunately for the interests of the British manufacturers, it so happened, that, after the peace, we restored St. Thomas's (where the conciliatory treatment of the governor had attached the independent party) to the power to which it formerly belonged, and retained Trinidad, where the conduct of the governor had been of so hostile a nature. The consequences of the two different systems were then fully manifested. Returns of the vessels that enter and clear from the different ports in the West Indies, are regularly transmitted to Lloyd's by their agents. One packet brought them for a longer period than usual; from the 17th Sept. 1816, to the 24th Feb. 1817. The number that entered inwards and cleared outwards at St. Thomas's, from and to the Spanish settlements, in that interval, was 198 sail. Advices from Trinidad, of the same date, say, "We have now no intercourse with the Spanish Main." Nor has the trade of Trinidad ever recovered the blow given it by the conduct of sir Ralph; whose hostility towards the independents has not only injured the commercial prosperity of that island, but transferred a valuable branch of trade from British shipping to foreign shipping, and from British manufactures to foreign manufactures.
The nature of Spanish laws, both criminal and civil, calls for inquiry; which will demonstrate them to be, in the highest degree, oppressive and defective. In the first place, they recognize the principle of inflicting different punishments for the same offence, according to the rank and condition of the parties; in opposition to every principle of British justice, which knows no distinction of persons. In criminal cases, it is almost impossible to bring a culprit, to punishment; for according to the laws of Spain, no persons
1818
can be convicted of a capital offence, unless the actual commission of the crime be proved by two witnesses, not coming within the numerous exceptions of these laws. A boy under 14 years of age, a girl under 12, a relative within the fourth degree, an accomplice, an enemy, and various other descriptions of persons, are all declared incompetent witnesses; and presumptive evidence is inadmissible, even when confirmed by the evidence of one eye-witness. Not only do crimes go unpunished under this system, but innocence is oppressed. A woman named Betsy Diggin, was confined in gaol in Trinidad for seven years, charged with the murder of a man who was never known to be dead, but who, when she succeeded in obtaining a trial, was actually proved to be alive; and this woman was at length acquitted, after having suffered a punishment, which, in that climate, few persons would think preferable to death itself.—Another striking instance of the oppressive nature of the Spanish criminal laws, has been furnished in the case of Mr. Gallagher, the printer of the Trinidad Gazette; who, for inserting in his paper an advertisement from the committee, appointed at a general meeting of the inhabitants, for the purpose of endeavouring to obtain British Laws, was confined, by order of judge Smith, for more than two months, in a noisome cell among negro slaves and malefactors, to the great injury of his health, and at the imminent danger of his life; and at length was released only at the intercession of governor Hislop. From the treatment experienced by Mr. Gallagher, it appears, that as by the laws of Spain the editor of a newspaper can print nothing relative to matters of government, unless it be previously inspected and approved by the judge, while he is bound to insert every article sent by him for insertion, however repugnant to his own principles and feelings, no such thing; exists as the liberty of the press: that as by the laws of Spain a judge is authorized to punish any contravention of his orders, by imprisonment of the party in a loathsome and solitary cell, for an indefinite period, without bringing him to trial, no such thing exists as the liberty of the subject: that as by the laws of Spain a judge may condemn any person to pay an arbitrary fine, and take his goods in execution for the amount, without his being heard in his own defence, or even apprised of the crime alleged

1819
against him, no such thing exists as security of property. Yet these laws are the laws actually in force in the British colony of Trinidad!
The objections to the civil laws of Spain, as administered in Trinidad, may be comprised under the following heads: their unfitness for a commercial country; the delay arising from the forms of the proceedings; the expense occasioned by the length of the suits; the uncertainty of the decisions, owing to the discretionary power vested in the judges; and the obscurity of the laws themselves. Spain is not a commercial country. Her commerce is shackled by exclusive grants and monopolies; and here laws are ill adapted to the encouragement of that credit and confidence, which are the great foundations of commercial enter-prize among a free people. The Spanish laws prohibit creditors from bringing an estate to sale, under execution, for less than two-thirds of its appraised value, which generally far exceeds its real value. If, at the sale, a cash purchaser be not found, the creditor at whose suit the proceedings are instituted may be compelled to take the estate at the appraised value, and must immediately find cash to pay the balance. The object of most creditors is to realize the debts due to them, not to lock up still larger sums in the purchase of West India property for more than it is worth; and it is obvious that while debts can only be recovered under such difficulties and disadvantages, few advances will be made to planters in Trinidad.—A great discouragement to commerce in the Spanish laws is, that they do not allow interest according to the laws of Great Britain, and the custom of merchants, who make up their accounts annually, by adding the interest to the principal, and charge interest upon the whole balance in the new account. Here the law and the custom are completely at variance; and so long as any litigious debtor in Trinidad can avail himself of this plea, credit will not be given there as in the other colonies.—Mortgages are a species of security, the validity of which has always been held sacred in other countries, but has been much weakened by various decisions in Trinidad. Don Chacon, die last Spanish governor it that colony, issued a proclamation, legalising loans upon mortgages of estates, bearing interest at the rate of 6 per cent per annum, establishing a registry for re-
1820
cording those mortgages, and empowering the mortgagee, if the instalments were not regularly paid, to foreclose and bring the effects to sale in three days from the time of commencing the proceedings. Under this proclamation, many persons were induced to make advances to the Trinidad planters; and the colony had rapidly risen to that state of cultivation and prosperity, in which it was found when it fell under the government of Great Britain. This system was soon overset by the decisions of judge Smith, who decreed, on the 20th Sept. 1809, in the case of Thesiger and Farril, Bruce tercero oppositor, that according to the laws of Spain, no deed was valid that reserved interest on a loan; and on this ground declared Mr. Thesiger's mortgage to be void.—The same judge found out another mode of invalidating British mortgages, by enforcing a Spanish law respecting their registry, which declares, "the time prescribed for such registry is within six days after the execution of the deed, if the same has been executed within the metropolis and its limits; or within a month, where the execution took place, or the property which is the subject of the deed lies, in any other district." It is obvious that a mortgage executed in England, could not possibly be recorded in Trinidad, within the time prescribed by this law; and yet in the case of Cook v. Farril, judge Smith, on this ground, set aside Mr. Cook's mortgage, in favour of one subsequently given to Mr. Bruce.—Both the Spanish laws quoted on these occasions are found in the code of Old Spain, but not in the recopilation of the Indies; and therefore appear to have been improperly and erroneously acted upon by judge Smith, in opposition to the established custom in Trinidad, introduced by the proclamation of governor Don Chacon: because the Spanish law declares that, "As judges are obliged to know the laws and decide according to them, so they are obliged to know the customs and usages, that publicly and notoriously prevail in the cities and provinces over which they preside, and judge according to them; for not only the exercise of that which the law directs is confided to them, but also that which is established by custom and usage, and when they act in contradiction thereto they make their neighbour's cause their own, and may be punished by the judge of residencia; nor shall the ignorance of

1821
such custom or usage, if it is written, or of notorious practice, excuse them." In confirmation of this authority, it is expressly forbidden in the laws of the Indies, to enforce any edict of the kingdom of Old Spain, in any province of the continent, or islands upon the sea coast of the Spanish Indies of South America, not ordered to be there enforced by a special cedilla, dispatched by the council of the Indies for that purpose.
Another mode, (subject to the same objection), by which judge Smith superseded the validity of mortgages in Trinidad, was by applying to that colony a law passed in Spain, on the 16th July 1790; which in order to secure to the husbandman such a credit with the merchant as might enable him to continue his agricultural labours (during the period when for want of produce he might be destitute of the means of obtaining the necessary supplies), gave the merchant the right of payment for such supplies by preference, out of the crop of the succeeding year. On this principle, judge Smith decreed, in the case of Foulks v. Whitmore and Langton, October 18th, 1809, (and the precedent continues to be acted upon), that the supplies for cultivation of the estates, without limitation of time or amount, are to be paid in preference to mortgages; and as many estates for some years past have not paid the expenses of cultivation, the whole revenue is paid over to the island creditors to the exclusion of the mortgagee; whose security, instead of being the best, has now become the very worst that can possibly be held in Trinidad. These statements sufficiently prove, that the laws, as at present administered in Trinidad, are little calculated for a commercial country; and that they are injurious to the credit, and consequently to the prosperity of the colony.
The delays arising from the forms of the proceedings in the Spanish courts, will be at once comprehended, when it is stated, that all civil suits, except for, sums under 500 dollars (which are tried in au inferior court, and decided in a summary manner), are carried on by petitions and written pleadings, much in the nature of the proceedings in our courts of chancery; and consequently equal them duration. This fact is not denied, but imputed to the "peculiar nature of the Spanish system," by the Trinidad barristers, in their address to the chief judge,
1822
dated the 7th Feb. 1817, and sent home by sir Raph Woodford; in which they ascribe the observations made by the Trinidad committee, in their memorial to the secretary of state for the colonial department, to ignorance of the Spanish laws, and the peculiar nature of the proceedings in the courts of that colony." Some of those peculiarities will now be explained; in order to account for the almost interminable nature of a Spanish process, and for the great encouragement which the Spanish laws give the debtor, to contest the payment of a just demand. In the first place, the debtor enters upon a defensive litigation with his creditor under this peculiar advantage—that instead of being subject, as in an English court of law, to costs, if the creditor succeeds in establishing any part of his demand, he is exempted from them runless the creditor can establish the whole. It frequently happens, that some particular item cannot be substantiated, for want of the necessary document; and then the costs of an expensive and tedious suit are thrown upon the creditor, and sometimes absorb the whole of his debt. If the creditor surmount this difficulty, prove his whole demand, and obtain a sentence, the debtor has still various means of evading payment. He may pray, for a concurso of his creditors, and offer to surrender his whole property to be divided among them. They are then, convened by public notice, their various demands are given in, and legal proceedings instituted to establish them by proof. When these formalities are concluded, each creditor is to contend with the others for preference, according to the Spanish law. If the demands be upon specialties, they are decided upon according to priority of date, registry; or non-registry in, due time, and the privileges arising from the origin of the debt. Then follow contests between the mortgagees kind creditors for supplies; the latter claiming; a priority over the former, under the Spanish law as administered in, Trinidad. All this time the debtor continues in possession and is allowed alimony out of the estate, for taking care of the property. The creditor who instituted the original suit, and was at the expense of carrying it on for several years, after obtaining sentence, execution, and even sale of the property, often finds all his labour lost, and his claim set aside in favour of some more privileged competitor. When the

1823
debtor is at length ordered to deliver up the property to the depositario, or to a purchaser, the wife presents herself against all the creditors, and claims the fortune she brought her husband at her marriage, which she alleges to have been expended in improving the property in dispute; if the wife be dead, the children come in, through the father-general of minors, and demand their maternal property. Proofs are to be obtained, by order of the court, perhaps from distant parts of the world, of the marriage itself, of the marriage contract, of the property actually delivered to the husband, and of its expenditure. When these suits are terminated, the estate is sold, payable by instalments, at several years' credit. The law expenses are always first provided for out of the sale; and the creditors who are to receive the remainder, are frequently obliged to enter actions against the purchaser, in order to enforce the payment of the sum decreed to them by the sentence of the tribunal. So that even after the property has been sold, the delay in dividing it among the creditors still continues; and it very frequently happens, that neither debtor nor creditor lives to see the end of the litigation.
This is a true history of many law suits in Trinidad; and the expense of several British merchants who have attempted to foreclose mortgages or to recover debts in that colony, enables them, unfortunately for themselves, to vouch that the picture is correctly drawn and not too highly coloured.
The expense of Spanish law proceedings is the natural consequence of the mode in which they are carried on, and of the manner in which they are protracted. But a practical proof of this has been furnished, in papers sent home by sir Ralph Woodford, from which it appears, that the taxed costs in the court of the chief judge alone, for the six months from June 1816 to January 1817, amounted to no less than 36,000 l.; and these costs apply only to the concluded causes, not to those yet pending, which are far more numerous. Estimating the costs of the courts at a very moderate rate, it will appear that the whole amount considerably exceeds all the taxes levied upon the inhabitants, heavy as they are. If such a state of things existed in this country, and the amount of the law charges paid by the public was greater than the taxes, what an outcry would be raised against such intolerable extortion!
1824
Since it has been officially proved that this is actually the case in Trinidad, nothing more need be said to show the enormous expense of the administration of justice in the Spanish courts.—From the same official documents we learn, that more than 2,200 undecided causes are now in their different stages of progress, in the court of the chief judge of Trinidad. If it be asked why the number of law suits in Trinidad bears so extraordinary a proportion to the population (the number of white people not much exceeding 2,000), the answer is easy; because the laws are administered in a foreign language. In every other country, where the laws are written in the language of the inhabitants, every individual knows the rules by which he ought to regulate his conduct; but in Trinidad, where the people in general are ignorant of the language in which the laws are written, most of them form their ideas upon questions relative to property, according; to the laws of the country from whence they emigrated, which, varying from the laws of Spain, lead them perpetually into error, and involve them in endless litigations. This great evil can only be removed by changing the system.
Another very important subject of complaint against the present administration of justice in Trinidad, is the uncertainty of the decisions, owing to the discretionary powers with which the judges are invested. Judge Smith's commission, dated 1st October 1808, runs thus. "And we do hereby authorise you to make such rules and orders of practice, relating to the proceedings in your courts, as may be found convenient for the more easy and effectual administration of justice, so as the same shall be conformable to equity and good conscience, and in no way contrary to the spirit of the Spanish law." Under this commission judge Smith introduced new rules, (as has been already shown) respecting mortgages, interest of money, and the preference due to the different classes of creditors, contrary to the laws of the Indies, and to the established usage of Trinidad. The innovations and uncertainties that have been introduced into the administration of justice in Trinidad, are a most serious grievance. Debts privileged at one period, have been superseded at another, in favour of debts of a different description. No decree in the tribunals can be considered as forming a certain

1825
precedent, to govern any future case. No man, therefore, knows whether the tenure by which he holds his property is secure; and property thus circumstanced must necessarily depreciate in value. Lord Camden has observed, that "the discretion of a judge is the law of tyrants; that it is different in different men, always uncertain, dependent on temper and circumstances. In the best, it is sometimes caprice; in the worst, it is every vice, folly and passion, that can degrade human nature." When these remarks are connected with the peculiar circumstances of Trinidad, where the powers of the governor, who is also a judge, are so enormous, it will be evident that of all places in the British dominions, Trinidad is the last, in which the discretion of the judge ought to be substituted for the fixed rules of law.
The right of appeal is a very inadequate remedy for the wrongs done by the decisions of the judges. It applies only to cases where the amount exceeds 500 l. sterling, and even in those holds out little little prospect of redress. Judge Smith's commission runs thus: "In all cases of appeal you shall subjoin to the records of the proceedings of the cause, the reasons, together with the references to those parts of the Spanish laws whereon you have grounded your decisions." Thus the judge is to send home an ex-parte statement in favour of his own sentence, which in all probability will be confirmed, as neither the privy council nor any barristers in this country, are qualified to examine the Spanish laws in search of opposite authorities. If the privy council are merely to determine whether the sentence of the judge is correct according to the Spanish laws, it appears absurd to appeal from the judgment of a man who may understand something of them, to that of a set of men, who, however great their talents or information may be in other respects, understand nothing of them. If, on the contrary, it be intended to revise his sentences according to the spirit of British laws, it appears equally absurd to appoint a judge to decide according to Spanish laws, in the first instance, and then to reverse his sentences for not being conformable to British laws.
This state of the administration of justice, is a snare to the governors as well as to the governed. For modifying the severity of the Spanish laws, by the milder temper of the laws of Great Bri-
1826
tain (in strict, conformity to his instructions) and for substituting the picket, a punishment then used among our own cavalry, in lieu of the torture prescribed by the decree of the Spanish Alcalde, the late gallant and lamented general sir Thomas Picton, one of the most meritorious officers Great Britain ever possessed, underwent a long and unmerited persecution. He was suspended in his career of honourable service, injured in his private fortune, wounded in his dearest feelings; held up to public obloquy as a monster of cruelty and oppression, and in danger of being torn to pieces by an exasperated and deluded populace. Tardy justice, indeed, awaited him; but seven long years elapsed, before it could be established in a British court of justice, whether torture was or was not the law of Spain. This memorable case shows the injustice which results from our groping about in the obscurity and darkness of foreign laws; and should teach us to abide by the well known and understood laws of our native country.—In every point of view in which this subject can be considered, the defects of the present mutilated and garbled system are apparent, and are still more exceptionable than the Spanish laws (odious as they are to British subjects) would be, if administered without any alterations. A system, like a machine, consists of various parts, adapted to and fitting with each other. Take out any, of these parts, and substitute others intended for a different machine, constructed on different principles, and it will be found impossible to make them work together. Yet such is the attempt which has been so long persisted in at Trinidad; and the result is precisely what might have been expected, general dissatisfaction. The political and juridical machine should either be preserved: entire, or changed altogether.
Other objections to the Spanish system of jurisprudence remain yet to be noticed. The secret nature of the proceedings in the Spanish tribunals, has an injurious effect upon the public mind and morals. Nothing is known but to the parties and to the judge. Fraud remains concealed, and the bad man mixes in society, with the same opportunity as before, of repeating his mal-practices upon his were suspecting neighbours. But if trials were public and before a jury; and if the examination of witnesses were viva voce and in open court, the conduct of every man

1827
would be known virtue would be justified, and iniquity exposed; the public mind would be enlightened, and morals improved. So long as judicial decisions depend upon the Judge alone, so long must the bar look up to his favour for success in their profession. The frown of the governor, or the forbidding look of the judge, inflicts immediate punishment on him at whom it is directed; for the public are sufficiently sensible of the weight of these indications, to give their professional causes into the hands of the advocates who are most smiled upon. The independence of the bar can only be established, by transferring legal decisions from the decree of a judge to the verdict of a jury, according to the laws of Great Britain.
Strange indeed it appears that Spanish laws should still be in force in Trinidad, after the repeated assurances given by his majesty's ministers, that it was not their intention to continue them as a permanent system. In 1804, lord Hobart wrote a letter to governor Hislop, dated 2nd February, expressing the anxiety of his majesty's ministers, to introduce into the island of Trinidad, with the least possible delay, so much of the laws of Great Britain as might be expedient for the security of the persons and properties of his majesty's subjects, and For the general advancement of the interests of the settlement." His lordship added, "Trinidad having, by the late treaty of peace, become to all intents and purposes a British island, and all its inhabitants subjects to the British Crown, it is extremely desirable that a form of government, as nearly approaching to that which subsists in his majesty's other colonies as the situation of the settlement will admit of, should be established without delay." In 1806, lord Camden gave similar assurances to a deputation of the merchants of London interested in Trinidad in 1808, his majesty declared in the preamble of judge Smith's commission, "that it was expedient Spanish laws should remain in force, until the final settlement of a government and laws for our colony of Trinidad." The continuance of Spanish laws has been the subject of repeated complaints, both from the inhabitants of that colony and the in British merchants connected with it; in proportion as the nature and effects of those laws have been better ascertained and understood, the complaints against
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them have increased, and the petitions to be relieved from them have become more numerous and urgent. Soon after the arrival of the commissioners in 1802, an application was made to them by the inhabitants, praying them to recommend to his majesty the establishment of British laws. When the three years had expired which were allowed the inhabitants, by the treaty of peace, to settle their affairs, in order to their departure if they did not choose to become subjects of Great Britain, and when it was hoped that British laws would be established, another petition from the planters and merchants, dated Jan. 18th, 1805, was presented to his majesty, praying for British laws as established in the other islands. In 1806, a petition from the merchants of London trading to Trinidad, was presented to his majesty, praying for British laws for the recovery of debts. In 1808, a petition from the inhabitants was presented to the Prince Regent, praying for the British constitution, as established in the other British West India colonies. In the same year, similar petitions were presented to his royal highness from the merchants of London, Liverpool, Lancaster, Bristol and Glasgow. In March, 1810, an address from the inhabitants of Trinidad, praying for British laws, was presented to general Hislop, so numerously and respectably signed, that on the 18th May following, the council of the island, with the concurrence of the governor, addressed his majesty, "expressing their hope that the general wish of the proprietors and inhabitants would be complied with." In 1811, petitions to the same effect were presented to this House, from the merchants of London, Liverpool, Bristol, Glasgow, Dublin and Cork.
From the first establishment of Spanish jurisprudence in Trinidad, by the British government, the defects of the system have been so strongly felt, that various changes in the mode of administering justice have been adopted from time to time, with the view of remedying the evils complained of. In 1797 (immediately after the conquest of the island) general sir Ralph Abercromby banished the Spanish lawyers, on account of their notorious venality and corruption, and appointed Mr. John Nihell, chief justice, directing him to decide all cases according to his conscience. In1800, governor Picton superseded judge Nihell, and es-

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tablished the court of Consulado. In 1806, governor Hislop abolished the court of Consulado, and re-appointed judge Nihell. In 1808, his majesty's government appointed Mr. George Smith chief justice, uniting both the original and appellant jurisdictions in his person. In 1810, governor Hislop, with the advice of the council and Cabildo, superseded judge Smith in the exercise of the appellant jurisdiction (under which he decided upon appeals against his own decrees), as being unconstitutional, and contrary to Spanish law. In 1811, governor Hislop revived the court of Consulado. In 1812 and 1813, there was no law at all in Trinidad; as appears from the petition of the barristers transmitted to the colonial department. In 1814, Mr. Bigge was sent out as chief justice, with a new commission, confining his jurisdiction to the court of the first instance, the appellant jurisdiction being vested in the governor: and since the return of sir Ralph Woodford from Trinidad, he is said to have submitted various new devices for re-modelling the Spanish system, to the consideration of the colonial department. These perpetual alterations in the administration of Spanish law, resemble the writhings of a man in pain, who vainly hopes, to obtain ease by shifting his position; and the failure of all the experiments hitherto tried, proves that no modification of a system radically bad can give effectual relief.
When the expediency of establishing British laws in Trinidad was discussed in this House in 1811, a powerful objection urged against that measure was, the apprehension that the proximity of Trinidad to the Spanish main furnished means of carrying on an illicit intercourse in slaves, and that the change of system would interfere with the measures thought necessary by government, to enforce the laws passed for the abolition of the Slave-trade. This danger no longer exists; for since that period, the Slave-trade and even slavery itself has been abolished, by the new Independent government. Another objection urged was, an idea that the laws of Spain were more favourable to the free people of colour and the slaves than those of Great Britain; and this idea was founded on a proclamation which was declared to have been the law of Trinidad, but to have entirely fallen into disuse since the colony came into our possession. This proclamation, however, never was
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law either there or elsewhere, as I shall clearly demonstrate. The laws of the Indies, as far as they relate to the internal government of the Spanish colonies, generally originate in the Audiencias, and are confirmed by the king in council; but if they originate with the king in council, they must be confirmed and promulgated by the Audiencias, before they have the force of law. This principle is laid down in the laws of the Indies; and the proofs that this ordinance was never promulgated by the Audiencia of the Caraccas, to whose jurisdiction Trinidad was subject, and consequently that it never was law in Trinidad, are clear and decisive. In the first place, it is not to be found in the Recopilation of the laws of the Indies, printed under the authority of the king of Spain, at his royal press in Madrid, in 1791, two years after the date of the ordinance; and the preamble to the Recopilation orders, in the king's name, that "all other laws, cedulas, or, dinances, instructions or acts, whether printed or manuscript, shall have no authority, it being differently provided for herein, or they being expressly revoked." In the next place, governor Picton, on the 30th June, 1800, issued an ordinance for regulating the treatment of slaves in Trinidad. This ordinance includes many provisions similar to those contained in the Spanish ordinance of 1789, with the addition of others which appear to have been taken from the Guardian act of the island of Grenada. If the Spanish ordinance of 1789 been the law of Trinidad, it would be absurd to suppose that governor Picton, in a proclamation, the preamble of which declares its object to be, "to prescribe reasonable bounds to the power of masters and others having the charge of slaves," would have enacted again what had been already provided for; or that he would have thought it necessary to prohibit the master from inflicting more than 39 lashes on a slave, in any case, by a new ordinance, if he had been prohibited from giving him more than 25 lashes, by an ordinance actually in force.—That this ordinance is not the law of Trinidad, may also be proved by the judicial decision of judge Smith. A French surgeon in that island, named Le Bis, who was also a planter, was tried before him for the murder of slave. It wits proved on the trial, that this slave had run away, and that on his being brought

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back, his master gave him nearly 200 lashes, and then went to breakfast leaving him tied up to the whipping post; and when he returned, found him dead. The attorney-general, Mr. Gloster, who prosecuted on behalf of the, Crown, cited governor Picton's ordinance, and contended that the master, having murdered his slave, by inflicting a punishment upon him contrary to law, must suffer the consequences of his crime. Mr. Knox argued, on behalf of the prisoner, that this ordinance never having been confirmed by the king, had not the force of law; he quoted the Recopilation, as warranting the punishment which had been inflicted; and contended that this was the only law in force in Trinidad, under the commission granted by his majesty to the judge, which directed the administration of justice according to the laws which were in force during the Spanish government. Judge Smith agreed in opinion with Mr. Knox, and acquitted the prisoner. A certificate of the facts of this case, in conformity to the foregoing statement, drawn up and signed by Mr. Knox, is now in my possession, and completely refutes the idea, that greater protection is given to the slaves by the laws of Spain, than by those of Great Britain.
If this subject be considered on general principles, it is impossible to imagine any system more incongruous and unaccountable, than that of continuing in every ceded colony, the form of government that was in force there, at the time of its surrender to his majesty's arms. By this means, instead of securing to our newly adopted fellow-subjects, and to those of our countrymen, whose spirit of enterprise may lead them to settle in these new acquisitions, the administration of laws calculated to promote their liberty and happiness, we leave it to chance to determine under what laws they shall live, as if it were a matter of little or no importance. Indeed, they have not even the benefit or a fair chance; for most of our conquests being made from powers having arbitrary governments, the forms and practices of those governments are of course continued; and thus, in point of fact, we have established despotism and oppression, in all their various shapes and colours in different British colonies.—It seems an anomaly in politics, that the conquerors should receive laws from instead of giving them to the conquered. Formerly, Great British acted on the
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system of ancient Rome; the wisdom of whose political institutions was fully proved, by the extent and duration of her empire. Whenever she extended her conquests, she introduced her laws and her language. She admitted her new subjects to a participation in the rights and privileges of Roman citizens, and thus animated them with zeal to support her cause, and maintain the honour of the Roman name. In like manner, ands with the same results, Great Britain once gave her colonies the benefits of British laws and the British constitution. Only eight months after the treaty of peace in 1763, by which she secured great colonial acquisitions, a proclamation was issued, declaring,—"That his majesty, to show his paternal regard for his newly-adopted subjects, and for the better security of their liberty and property, had directed his governors, so soon as the state and circumstances of the said colonies would admit, to summon and call general assemblies, and with the consent of their councils, and the representatives of the people, to be summoned as aforesaid, to make laws for the good government of the said colonies;" and in the mean time assuring the inhabitants, "that they should enjoy the benefits of the laws of England; for which purpose, courts of judicature and public justice for hearing and determining all causes, criminal as well as civil, according to law and equity, should immediately be established;" and these promises were duly fulfilled. Although the wisdom of this gracious and paternal proclamation has been so satisfactorily proved by the consequent prosperity of those colonies, the inhabitants of our more recent acquisitions are still aggrieved by the adoption of an arbitrary government, which subjects their liberty to the will of the governor, and their property to the discretion of the judge, sent out to rule over them.
Under the old colonial system, the inhabitants were naturally desirous of acquiring a knowledge of the laws by which their property was protected, and of the language in which they were written. To this study they were also prompted, by their desire to qualify themselves for a participation in the legislative power, as members of the colonial assemblies, or as magistrates. Thus they soon acquired British habits, manners and feelings; and the next generation became really, as

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well as nominally, British subjects. Under the new colonial system, none of those inducements operate upon their minds, but foreigners they are, and foreigners they will remain, to the end of time. In the former case, the hands and hearts of the inhabitants were with the government; and garrisons were only necessary to assist them in opposing the common foe. In the latter case, garrisons will be necessary to defend the colonies against the inhabitants as well as against the enemy. If ever we hope to diminish the expence of maintaining these possessions, we must return to the former system, and make the inhabitants, in the true sense of the term, British subjects. The truth the foregoing observation is admitted, in a pamphlet lately published under the direction of his majesty's ministers; which says, treating of the new colonies, "their collective peace establishment was thus primarily taken at 23,000 men. Ministers saw, indeed, that the same amount of force would not always be necessary for this service; but that portions might be withdrawn gradually, as the colonists became accustomed to the superior administration of British laws."* Strange indeed it seems, that if his majesty's ministers saw this, and were aware of the superior administration of British laws, they should act contrary to their own conviction, and continue the administration of foreign laws in all the ceded colonies: that instead of granting to the inhabitants those laws and that constitution which would promote their happiness and prosperity, attach them to the mother country, and gradually render large garrisons unnecessary, they should subject them to arbitrary laws and an oppressive form of government, which engender misery, discontent and insurrections, and require the constant maintenance, of a large and expensive military force. Mr. Burke says, "My hold on the colonies, is in the close connection which grows from common names, from kindred blood, from similar privileges and equal protection. These are ties, which though light as air, are strong as links of iron. Let the colonies always keep the idea of their civil rights, associated with our government; they will cling and grapple to you, and no force under heaven will be of power to tear them from their allegiance. But let it be once understood, that your go-
*State of the Nation, page 14.
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vernment may be one thing and theirs privileges another; that these two things may exist without any mutual relation, the cement is gone, the cohesion is loosened, and every thing hastens to decay and dissolution." The late general sir T. Picton, in a letter to the under secretary of state for the colonial deparment, dated the 25th July 1816, makes the following observation on the foreign population of Trinidad. "If you do not make citizens of them, by a liberal communication of all civil and political rights, they will always continue foreigners, and may eventually become enemies."
This new system is as much to be deprecated in a constitutional as in a political point of view. In all colonies to which it extends, the king of Great Britain is an absolute monarch, his will expressed through the governor being the law. The love of power is one of the strongest passions in the human breast; it is a growing, a corrupting, and a contagious passion. A taste for power at home, may therefore naturally arise in the mind of an ambitious king or minister, from the exercise of it abroad; and the consequences of this new system in the colonies may become dangerous to the liberties of the mother country. May it not be reasonably expected, that some future secretary of state for the colonial department, after receiving dispatches from the governor of Trinidad, who is embarrassed by no popular representation, who imposes taxes at his pleasure, and sentences all who murmur at his decrees, to imprisonment, banishment or confiscation of property, on coming to the cabinet and finding his colleagues harassed by opposition both in and out of parliament, may contrast the enviable situation of the West Indian governor with that of his majesty's ministers; and express a wish that the new order of things established in our colonies, could be introduced into the mother country? Since principles are immutable in their nature, and not dependent upon time or place, it may fairly be argued, that whatever system is best for the one is best for the other also. If arbitrary power be established in our colonies, it will soon, like their other productions, be imported here. As we sow, so shall we reap; and find, perhaps when it is too late, that by consenting to the adoption of those dangerous principles abroad, we have paved the way for their introduction at home. Fit

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instruments for such a purpose will hereafter be found, in governors, judges, and military officers, who have returned from the colonies, and who will naturally be desirous to continue the exercise of that despotic authority, in which they have so long been accustomed to indulge. Pecuniary resources for such an enterprise, may also be derived from the same system. The revenue of these colonies is the king's, and to be disposed 'of only as he shall direct. The amount of the taxes levied in them it regulated solely by the royal will and pleasure; and when the number and magnitude of the colonies now under arbitrary government are considered, it will be found that immense sums of money may be raised among them, for which the king is not responsible to parliament; and thus resources may be drawn from those of our fellow-subjects who are under arbitrary government abroad, to bring us under arbitrary government at home. Mr. Fox justly observed, "Give princes and ministers the exclusive right of disposing of any considerable part of the treasures of the nation, without account and without control, and from that moment the liberties of the people are gone for ever." The acute and intelligent Dr. Franklin, writing confidentially to a friend in England, declared his opinion of the consequences that would have ensued, if Great Britain had succeeded in her attempt to establish an arbitrary government in her north American colonies, in these emphatic words, "Our slavery would have brought on yours." The new system of colonial government is a second attempt to introduce this order of things; and therefore as we value our own liberties, as well as those of our fellow-subjects in the colonies, we ought to abolish the new, and revert to the old system.—The despotic nature of this new system is self-evident, It completely answers the following description of Blackstone: "In all arbitrary governments, the supreme magistracy, or the right both of making and enforcing laws, is vested in one and the same man, or one and the same body of men; and whenever these two powers are united together, there can be no public liberty." It appears also to be a violation of the laws and constitution of England; for though the right of conquest vests a temporary exclusive authority over conquered colonies in the Crown, yet a permanent legislative au-
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thority over colonies ceded to Great Britain, and which consequently have become integral parts of the empire, has never before been either exercised or claimed by the Crown alone; and it is somewhat surprising, that the two other branches of the legislature, should hitherto have taken no notice of this manifest encroachment upon their inherent and essential rights.
Great authorities may be quoted in support of the opinion, that although the king may govern a conquered colony in what manner he pleases, yet whenever such a colony is ceded to the British Crown, it becomes assimilated to the government of which it forms a part, and ought to be governed according to the laws and constitution of this country. The 6th of George III. declares, "that all his majesty's colonies and plantations in America, have been, are, and of right ought to be, subordinate to and dependent upon the imperial Crown and parliament of Great Britain, who have full power and authority to make laws and statutes of sufficient validity to bind the colonies and people of America, subjects of the Crown of Great Britain in all cases whatever." And the 18th George III. c. 12, renounces the right of the Crown and parliament to tax the colonies, except in matters for the regulation of commerce; but where is the law which declares the right of governing the colonies to be vested in the Crown, independent of parliament? On the contrary, the 2nd of Wm. and Mary, c. 2, declares "that the pretended power of suspending or dispensing with laws, by regal authority, without consent of parliament, is illegal." Mr. Locke, in his essay on government, says, "if any one shall claim a power to lay or levy taxes on the people by his own authority and without consent of the people, he thereby invades the fundamental laws of property, and subverts the end of government." Nevertheless, this power is exercised by the governor of Trinidad, in the name of his majesty. Bryan Edwards, in his history of the West Indies, commenting upon the celebrated case of Campbell v. Hall, in which the ceded colonies successfully resisted the attempted imposition of the 4½ per cent duty claimed by the Crown, gives the opinion of a serjeant at law, whom he considered a gentleman of distinguished ability, but does not name, in the following words. "If the king re-

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ceives the inhabitants under his protection, and grants them their property, deny that he has power to fix such terms and conditions as he thinks proper; for he cannot reserve to himself in his individual capacity, legislative power over them; that would be to exclude the authority of the British legislature from the government of a country subdued by British forces, and would be an attempt to erect imperium in imperio. One consequence of this would be, that such conquered territory might descend to an heir of the king, not qualified according to the act of settlement to succeed to the Crown of Great Britain. The king might give it to a younger son, or bestow it on a stranger. A thousand other absurd consequences might be pointed out, as resulting from such incongruity. The fallacy of lord Mansfield's argument proceeds from an endeavour to confound the king's civil and military character; and to perpetuate in the chief executive magistrate, the vast powers with which it is necessary to invest the generalissimo of the armies, during the continuance of military operations. The moment these Operations cease, he resumes his civil character; and in that character no man would venture to assert, that as king of Great Britain, he has the prerogative of being a despot in any part of his dominions."
This new system has been extended to so many of our colonies, that we may now judge of its effects, by experience. In New South Wales, an insurrection broke out, many years ago, in which the governor was overpowered, and sent home to Europe; and recent complaints from that quarter have been so loud, and have excited so much notice in parliament, that his majesty's ministers lately sent out a commission, to enquire into and report upon the state of that colony. In Ceylon, we have been involved in a war with the natives; and have deposed the legitimate sovereign of the country, after a bloody and expensive contest. In the Isle of France, dissentions have arisen between the chief justice and assistant judges; and vast masses of papers have been sent home by the contending parties, criminating and recriminating each other, till at length a commission has been sent out there, and to the Cape of Good Hope, as well as to Ceylon. In the Ionian Islands, there have been two insurrections of the natives, and great dissatisfaction among them still prevails. In Demerara, the pre-
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sident is just returned home, in consequence of a violent dispute between him and the governor. In St. Lucia, as well as in Trinidad, complaints have been made against the present system of government, and applications for a change have been addressed to the colonial department. Unless it can be shewn that similar in, surrections, dissentions and discontents have taken place, within the same period of time, in those colonies that enjoy British laws and the British constitution, these instances furnish the strongest possible inducement for reverting to the old system.
Whether we consider the dangerous political consequences to' Great Britain herself, or the injurious effects on the liberty, property, and happiness of her newly-adopted subjects, that result from the establishment of an arbitary system of government in her colonies, no doubt can be entertained but that British dominion and British laws, ought to go hand in hand. Great delegated powers, exercised at a distance from the seat of government, ever have been and ever will be abused, and we have no right to expect a miraculous interposition of Providence in our favour. As experience is the best monitor, so those arguments are the strongest which are supported by example. Jamaica and Trinidad were both captured from the Spaniards. Commissioners were sent to Jamaica, as well as to Trinidad, to frame laws and a constitution for the government of the colony. In Jamaica, as in Trinidad, the commissioners quarrelled among themselves, and agreed in nothing. Governor succeeded governor, experiment followed experiment, but discontent, tumult and misery prevailed; till at length British laws and the British constitution, and with them happiness and prosperity, were established in the colony. To borrow from Mr. Burke a beautiful passage, applied to a similar occasion, "From that moment, as by a charm, tumult subsided, obedience was restored, peace, order and civilization following in the train of liberty. When the day star of the English constitution had arisen in their hearts, all was harmony within and without."
—Simul alba nautis
Stella refulsit,—
Defluit saxis agitatus humor;
Concidunt venti, fugiuntque nubes,
Et minax (quod sic voluere) ponto
Unda recumbit

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The history of the Roman empire completely elucidates the different consequences of establishing a free or an arbitrary government over colonies. During the virtuous ages of the Republic, the provinces and colonies were governed on the former system; "and in their internal policy they formed a perfect representation of their great parent."* As the senate of Rome was chosen from the patres conscripti, so the senates of the provinces and colonies were chosen from the decuriones, or tenth part of the people, who were selected as being eligible to that office. Their municipal corporations, formed after the perfect model of the capital, were entrusted, under the immediate eye of the supreme power, with the execution of the laws. The Republic gloried, in her generous policy, and was frequently rewarded by the merits and services of her adopted sons. Domestic peace and union were the natural consequences of the moderate and comprehensive policy embraced by the Romans. The obedience of the Roman world (which according to Voltaire's enumeration, contained 107 millions of inhabitants) was uniform, voluntary and permanent. "The vanquished were blended into one great people; resigned the hope, nay even the wish of resuming their independence; and scarcely considered their own existence as distinct from the existence of Rome. The established authority of the empire pervaded, without an effort, the wide extent of her dominions; and was exercised with the same facility on the banks of the Thames or of the Nile, as on those of the Tiber,"* When the imperial government was established in Rome, a new order of things soon took place in her provinces and colonies. The emperors found it necessary to gain the popularity of the Roman citizens, by shows and games of the most magnificent and costly description; and at length by exempting them from all taxation. They were also obliged to make vast donations to the armies, who soon felt their power, and considered the emperors as the creatures of their will and the instruments of their licentiousness. To provide the means of this expenditure they violated the rights, of their provinces and colonies. They levied a
* Gibbon vol. 1, p. 55.
†Gibbon vol. 1, p. 69.
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land-tax, a capitation tax, and heavy contributions in corn, wine, oil and meat, for the use of the court, the armies and the capital. The annual contributions raised in the Roman provinces, according to the calculation of Gibbon, seldom appeared to be less than 15 or 20 millions of our money. He states, that in the lucrative provincial employments, the ministers shared with the governors in the spoils of the people;"* and that "the governors, or rather the monarchs of the conquered provinces, uniting the civil with the military character, administered justice as well as the finances, and exercised both the executive and legislative powers of the state." The same historian also tells us, what were the consequences of introducing this new system of arbitrary government into the dependencies of the Roman empire. "It was of little moment to the provinces, under whose name they were oppressed or governed. They were driven by the impulsion of present power; and as soon as that power yielded to a superior force, they hastened to implore the clemency of the conqueror." In Short, instead of being the barriers of the Roman empire, they opened their gates to her invaders. The system of free colonial government, be it remembered, accompanied the rise and prosperity, but that of arbitrary colonial government the decline and fall of the Roman empire.
Far different opinions from those of his majesty's ministers, on the comparative merits of the British and Spanish colonial systems, are entertained by very able and impartial judges. An eminent modern writer on these subjects, the originality, force and truth of whose sentiments, supported and illustrated by examples as well as arguments, have justly attracted the attention and admiration of Europe, says "If we would name a power useful to her colonies, and to whom colonies are useful, we should name Great Britain. If we would name one to whom colonies are useless, and who is useless to her colonies, we should name Spain. To what cause does he attribute the mutual prosperity of Great Britain and her colonies? To her free constitution, in which they participate. "All the European powers," he says, "have established their own from of government in their colonies. Thus despotism and arbitrary power have been the portion of those belonging to the
*Gibbon; vol. 1, p. 101.

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nations of the South; liberty has been that of the colonies belonging to Great Britain. The British colonist has indeed to regret the loss of his native soil, but not of the government which endears it to his recollection; for at whatever distance he is placed from his country, he still enjoys her laws and constitution. In the West India colonies and Canada, the colonist is his own legislator, and possesses all the rights and privileges of a British subject. This is a powerful bond of union, which leaves little room for dissention between the mother country and her colonies. How different is the lot of the colonies belonging to other European powers, who, having no legislature of their own, suffer from the ignorance and instability of their rulers, as well as from the distance to which they must make their wants known, and their complaints heard. Such a state of things is grievous to the colonies, and embarrassing to the mother country. How much time and pains are necessary to convince men in other climes of the true situation of affairs in the colonies! How much perseverance is necessary, to overcome the difficulty of breaking through established systems, to fix attention upon interests so remote, and to obtain justice against the proteges and favourites of those to whom complaints must be addressed! Such is, however, the state of every European government, Great Britain excepted; and thus disaffection towards the mother country increases in proportion to the strength of the colonies, and the diffusion of knowledge; more especially since the successful example of the independence of the United States of America."* Mr. Burke says, that we are bound by every idea of political equity, to extend, as much as possible, the spirit and benefits of the British constitution, to every part of the British dominions. One of our best writers on colonial policy, thus expresses himself on the advantages of establishing the British constitution in our colonial possessions. "The constitution of the British colonial government in North America, is formed upon the model of that admirable system of domestic policy, which has secured the happiness of the mother country; raising her to an unexampled height of prosperity, and notwithstanding its theoretical defects, left her in a state of envied tran-
*Des Colonies, par M. de Pradt, Tom. 1, p. 366.
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quillity and solid practical freedom, amidst all the political experiments and convulsions that have shaken the other nations of Europe. The governments of the British West Indies, are constructed upon the same excellent plan." The same writer reprobates the colonial system of Spain, in the following decisive and energetic language. "The system of law and policy is worse in Spain than in any civilized nation in Europe; the security of property is less firmly established, the corruption of judicature more frequent, the privileges of municipal judicature more extensive, and more incompatible with the freedom either of person or trade."* A policy has been adopted with respect to the colonies, if possible, still more iniquitous and absurd than that plan of domestic administration which we have been contemplating."† A writer already referred to, equally distinguished as a statesman and a philosopher, has left his recorded testimony, in favour of the old system of British colonial legislation. "The ancient system of the British empire was a happy one, by which the colonies were allowed to govern and tax themselves. Had it been wisely continued, it is hard to imagine the degree of power and importance in the world, which that empire might not have arrived at. All the means of growing greatness, extent of territory, agriculture, commerce, arts, population, were within its own limits, and therefore at it's command."‡ Having thrown away all these advantages in one instance, and lost our colonies in North America by the experiment, what infatuation is it to repeat the attempt in our remaining possessions.
It was not my intention to have touched on this subject, till the petition now on its way from Trinidad had been laid on the table of this House: but I could not so far suppress my feelings, as to remain silent on the present occasion. Indeed, I am not aware that a petition from the inhabitants of any colony is necessary as the foundation of a motion for a commission of inquiry. On the contrary, the last commission sent out, that to New South Wales, was in consequence of the statements made in this House by the hon.
*Brougham's Colonial Policy vol. 1. p. 410.
‡ Ibid. vol. 1. p. 412.
‡Franklin's Correspondence, vol. 2, p.80.

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member for Shrewsbury. I was lately present at an entertainment given in this metropolis, to the minister plenipotentiary of the government of Columbia; and I never witnessed a more spontaneous and ardent effusion of public opinion, than was displayed on that occasion. Men of all political parties joined in expressing their congratulations on the triumph of freedom over despotism; and if the inhabitants of South America, trained up as they have been in habits of submission to arbitrary power for three centuries past, found the Spanish yoke so insupportable, that they have risked all that is dear to man to shake it off; I ask whether this is a form of government that ought to be continued among British subjects? I trust that every man who has British feelings in his breast, will answer no; and will vote for the amendment proposed by the hon. member for Montrose, of extending the commission of inquiry to Trinidad.
Mr. Goulburndenied the correctness of Mr. Marryat's statements, and pledged himself that papers should be laid on the table, early in the ensuing session, which should fully disprove them. He entered his strong protest against the claim of what was termed the British constitution, and British law, for Trinidad. In a country like this in which we lived, where all the inhabitants were equal in the eye of the law, no system of government could be better adapted to promote the happiness of the community; but, unhappily, this was far from being the case in the West Indies. And in our Slave colonies, the effect of the British constitution, as it was called, wherever it prevailed, was to throw the whole power into the hands of the white oligarchy, to the exclusion of every other class from the enjoyment of the advantages of that constitution;—so that its boasted benefits were confined to a twentieth or thirtieth part of the whole population, who were thus enabled to tyrannize over the rest. In Trinidad there were about 3,600 whites of all ages, and both sexes; but in the same island there were about 14,000 free persons of colour, many of them persons of property; and nearly twice that number of slaves. Now, the Spanish laws secured certain privileges to the free people of colour, and to the slaves, which they did not enjoy in colonies governed by what was termed the British constitution and British laws;—so that, in giving the boon that was demanded to a fraction of the population,
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we should be inflicting a serious injury on the great mass of the community. There were serious difficulties, he admitted, in altering the form of government that had been improvidently granted to our old colonies—a form of government certainly ill adapted to the unhappy peculiarities of their case; but he could not consent that any father extension should be given to this evil; and whenever the proposition of the hon. gentleman with respect to Trinidad should be brought forward, he would give it his most determined resistance, as a proposition fraught with cruelty and injustice.
On the motion of Mr. Wynn, the debate was adjourned till to-morrow.