Chapter VIII: Part 8

Having secured their majority, it became evident that the Whigs intended to use their regained ascendancy to the uttermost. The Address, both in the House of Lords and in the Commons, was obviously pointed against the framers of the Peace of Utrecht, and before three weeks were over a secret committee was appointed to consider that peace. Bolingbroke had already fled and taken service with the Pretender. Ormond, who till this time had remained in England, putting himself ostentatiously forward as the leader of the Jacobite opposition, followed his example. Oxford alone awaited his trial. The two fugitives were proceeded against by bill of attainder. The impeachment of Oxford was after a while dropped; in fact, it was difficult to substantiate the charge of treason against him. It was not till long afterwards that any real proof existed of treasonable correspondence with the Pretender; and it was scarcely possible to twist the faults and weaknesses of the Peace, the desertion of the Catalans, even the surrender, unasked, of Tournay, one of our conquests, into crimes under the law of treason; nor was the doctrine of the responsibility of ministers as yet sufficiently established to allow the majority at once to answer Oxford's solemn declaration, that he had acted distinctly upon the royal authority. It is true that the plea had been overruled in the case of Danby; but even in the last reign the Whigs had themselves sought shelter, after the battle of Almanza, behind the royal authority, and it was not till more than twenty years of regular party government had intervened that the doctrine was thoroughly understood and adopted.

[Sidenote: Jacobite conspiracy.]

[Sidenote: Disaffection in Scotland.]

Meanwhile the aggressive policy of the Whigs was hurrying on an outbreak of the conspiracy which the timely death of the late Queen had checked. It was widespread. Ormond, until his flight, had been busily engaged in organizing it in England, while Bolingbroke had taken it in hand in France: for then, as always, it seems to have been accepted, that any insurrection would be useless without material help from France. In many parts of the country, particularly in the west, the feeling against the Hanoverian succession was strong, and measures had been taken to secure Bristol and Exeter, and other great western towns. In Scotland the difficulty was rather to restrain than to urge forward the Jacobite feeling. Many causes combined to create a widespread discontent in that country. In the north the feeling of loyalty to an hereditary chief was part of the national character, inwoven with the whole system of clanship. The national pride was flattered by the thought of a Stuart, a Scotchman, sitting upon the throne of England. Moreover, there was one chief of predominant power whose interests had been always Whig, and jealousy of the ascendancy of the clan Campbell, and of its head, the Duke of Argyle, or Mac Callum More, on this, as on several other occasions, tended to throw all rival clans into the arms of any party of which he was the declared enemy. In the Lowlands other influences were at work. The Presbyterians were not likely to forget the unsparing cruelty of the later Stuarts, and now that they had the upper hand, the tolerated Episcopalians met with no great courtesy at their hands; a constant source of quarrel was thus opened, and the Episcopalians and Catholics might be well expected to seek refuge from the intolerance of their victorious rivals, and a restoration even of their former superiority, in the establishment of the exiled dynasty. But more than that, everything English was unpopular. Two great imaginary injuries were rankling in the national mind. The nation had never forgiven King William's treatment of the Darien Scheme, and were still smarting under the supposed yoke which the Union had laid upon them. Whoever was King of England was their natural enemy, so that, except in those places where settled industry had already felt the advantage of the union with England, there was great readiness to join in any enterprise which would be injurious to her. There were therefore ready to join the cause of the Stuarts in the north all the great clans except the Campbells, and in the south the Episcopalians, and those nationalists who regarded as righteous any act of antagonism to England.

[Sidenote: Failure of the Jacobite hopes of French assistance.]

But the movement, both in Scotland and in England, was held to depend on the conduct of France, and it was probable that, under Bolingbroke's able management, assistance would come from that country. The King was indeed far different from the Louis of other days. Enslaved by the religious influence of Madame de Maintenon, and surrounded by bitter party disputes with regard to the legitimization of his bastards, his energy was gone, while war and taxes and persecution had much depressed the power of France. Still, irritated by the Whig assault upon his friends in England, the champion as he believed himself of legitimacy, and angry at the opposition raised by the English ministry to his new fortifications at Mardyke, he had used his influence with Spain to procure sums of money for the conspirators, had himself supplied arms, and had allowed a small squadron to be equipped at Havre at the expense of France. The flight of Ormond, the first blow to the conspiracy, was followed, on the 1st of September, by the death of Louis. The Government passed into the hands of the Regent Orleans, whose policy was of a purely personal character, his chief aim being the exclusion of the Spanish house from the succession should the young King die. To secure his plans at home external peace was necessary. Personal friendship, both for Stair the English ambassador, and for Stanhope the English secretary, rendered him still more disinclined to break with England. Hope from France was gone. Bolingbroke saw at once the course affairs were taking, and despatched a messenger to tell the leaders of the conspiracy that, as Scotland could not rise without England, and England could not rise without France, and France had no intention of moving, all thoughts of insurrection had better be dropped.

[Sidenote: Mar organizes the insurrection in Scotland.]

[Sidenote: Vigorous measures of the English Government.]

His prudent message came too late. The Pretender, weary of waiting, had taken matters into his own hands, and a leader had already been despatched to raise the northern counties of Scotland. This leader was the Earl of Mar. At Anne's death Mar was Secretary for Scotland, a man of no very great ability, but who, for his skill in trimming his sails to the wind, had earned the nickname of "Bobbing John." He once more tried to play his old game, but found himself mistrusted, and had to give place to the Duke of Montrose. He now hurried to London, sought favour at Court, took a wife from among the leaders of the Whig party, and having thus thrown people off the scent, hurried back to Scotland to organize the insurrection. His chief influence was in Aberdeenshire, north of the Grampian hills; and there, early in September, he contrived a meeting of the chief clans of the neighbourhood. He was joined by Tullibardine, the heir of the Duke of Athol, who brought with him the Murrays, and by the great clan of the Gordons, with Lord Panmure, from the north of Perthshire, towards which county he at once began to march. The Pretender could not refuse to support Mar's open movement on his behalf. In October he hurried across France, evading an attempt of Orleans to arrest him, and an attempt on the part of the English ambassador to assassinate him. He reached St. Malo in safety. Thence an expedition under Ormond was to have been thrown upon the English coast. Twice Ormond was thwarted by the weather; his third attempt was too late, the English fleet lay before the port. Had he succeeded in landing, no better fortune would have awaited him; the English Government had already heard of the gathering of the Highland clans, the Habeas Corpus Act was suspended, the more active Jacobites arrested; such troops as were then in England, some 8000 in number, were hurried to the west (for the Scotch outbreak was looked upon only as a feint); some 6000 troops, due from Holland as a guarantee for the Protestant succession, were demanded; fresh regiments were rapidly formed; and the command in Scotland was given to Argyle, the natural opponent of the Jacobite clans. The vigorous measures of the Government had in fact already broken the neck of the conspiracy.

[Sidenote: Mar's success in the Highlands.]

[Sidenote: One detachment marches into England,]

[Sidenote: and is defeated at Preston. Nov. 13.]

But there was still real danger in the North, for Mar had an overwhelming superiority of forces, and before the end of October he had the complete command of Scotland as far as the Forth. Argyle, desirous of confining the rebellion as much as possible to the north and east, attempted to hold the line of that river. Mar, to whom immediate success was everything, and who overrated the strength of his party in England, was desirous of crossing the Border as soon as possible, in order to rally the disaffected round him. He had now about 12,000 men with him, but these were poorly armed, and even this poor equipment was due to no care of Mar's, but to a gallant dash by the Master of Sinclair upon an English ship lying in the Forth. With these troops he would probably have been unable to have passed Argyle at Stirling, even if he had not been prevented from moving by the expected arrival of the Pretender. It was therefore determined that a detachment under Brigadier Mackintosh should be thrown across the Firth, and marched direct for England, while the main body should threaten and retain Argyle upon the upper river. The movement was well executed, and 1500 men passed over at a broad part of the estuary near North Berwick. They thence, after an ineffectual march upon Edinburgh, proceeded unopposed directly south to Kelso, as Argyle was kept from following them by Mar's movements. They were here joined by some horse under Lord Kenmure, and by a few English horsemen under Mr. Forster, with whom was Lord Derwentwater. One cause at least of the insurrection is clearly pointed out by a proclamation which was here issued, in which the chief stress was laid upon the foreign domination imposed upon the nation by the late Union. Some difficulty was found in persuading the Highlanders to cross the Border, and the march was directed therefore in a more westerly direction, following along the back of the Cheviots, and crossing into England near Longtown in the direction of Carlisle. Even in spite of this concession to their feelings, several hundreds of the Highlanders deserted, and the rest had to be tempted forward by a promise of pay. From Carlisle they marched up the valley of the Eden to Penrith, crossed the hills to Lancaster, where they were well received by the many Catholic families in the neighbourhood, and, foolishly leaving this strong place behind them, pushed on for Preston on the Ribble. Since entering England, the command-in-chief had devolved on Mr. Forster, and the insurgents knew that they were being followed by General Carpenter with between 2,000 and 3,000 men. Forster--a very inefficient commander--directed his attention only to the pursuing army, and discipline was much relaxed. On the 11th of November, General Wills was marching upon Preston northward from Wigan. To reach Preston he had to cross the Ribble by a bridge, and then pass upward along a lane which is described by Cromwell, in 1648, as "very deep and ill," and which it had cost him four hours to clear. Wills met no opposition till he reached the town, where a gallant defence was made behind barricades. The neglect of all proper precautions is somewhat explained by the fact that Mr. Forster was unable to attend a council of war held that morning, having been compelled to take to his bed on account of "some damage" which he had received "at a convivial entertainment." On the 13th, however, Carpenter joined Wills, the town was completely surrounded, and the insurgents saw the necessity of a surrender. Much dispute has arisen about the terms of that surrender. It seems probable that Wills used ambiguous language, understood by the insurgents to contain a promise of clemency--by himself, as insisting upon an unconditional surrender. Colonel Oxburgh, Mr. Forster's negotiator, declared upon the scaffold that the words used were: "You cannot better entitle yourselves to that clemency than by surrendering yourselves prisoners at discretion." 1500 rebels gave themselves up, among them eight noblemen. As however a considerable number of English Catholics had joined the Scotch since entering Lancashire, a good many of the rebels must have made good their escape.

[Sidenote: Mar is defeated at Sheriffmuir.]

On the same 13th of November on which Generals Carpenter and Wills had joined their forces the insurgent operations in the North had also come to a disastrous conclusion. Mar had moved slowly south and west along the great valley of Strathmore, which leads direct from Perth to Stirling. He was approaching Dunblane when he heard that Argyle with 4000 regular troops was already occupying it. On a neighbouring eminence called Sheriffmuir, a spur of the Ochil hills, the armies encountered. The royalist left wing was unable to withstand the rush of the clansmen, and immediately withdrew towards Stirling. The insurgents had held that their own left wing was secured by some marshy ground, but Argyle perceived that a light night-frost had rendered the morass passable. He fell with his cavalry upon the left flank of the Highlanders, and drove them from the field. The battle was thus equally balanced, the peculiar curve of the ground rendered any general view of the action impossible, and Mar, on his return from the pursuit of the right wing, finding his own left destroyed, determined to retreat, leaving to Argyle the full advantages of the victory.

[Sidenote: The Pretender appears, but flies before Argyle.]

The battle of Preston had proved the impossibility of relying upon any formidable insurrection in England. As the royalist troops were collected and armies strengthened, the chances of success became less every day. Mar remained quiet at Perth, and Argyle and the English saw that delay was wholly in their favour. But in January a new colour was given to the affair by the arrival of the Pretender at Peterhead. He at once assumed the style of royalty, issuing proclamations and appointing a day for his coronation. The English ministry could not believe that so bold a step would have been taken without promised support from France. Immediate action became therefore necessary, and through villages burnt by the Pretender's order, and deep snow which Mar believed impassable, Argyle moved northwards, gradually threatening Perth. From the first James had shown but little military spirit, and now, although the clansmen offered to fight for him to the last, on the 30th of January (1716) the army was withdrawn from Perth across the frozen Tay, and marched along the coast to Montrose, whence James and Mar withdrew secretly to France, deserting their followers, who, still retiring northward, were wholly broken up as an army when Argyle reached Aberdeen on the 8th of February. Like every man that ever bore the name of Stuart, with fair abilities, James was selfish and self-seeking to the last degree. Faithless to his friends, a slave to his sensual passions, he was respectable only in a certain gift of personal bravery, in a sort of grandeur of obstinacy, and in the tenacity with which he clung to his religious creed and his hereditary rights.

[Sidenote: Punishment of the rebels.]

As is always the case on the defeat of a domestic treason, strong pressure was brought to bear upon the ministers to induce them to act leniently towards the prisoners. The seven noble prisoners--Derwentwater, Kenmure, Nithsdale, Wintoun, Widdrington, Carnwath and Nairn--were impeached by the House of Commons, all but Lord Wintoun pleaded guilty, and sentence was pronounced. Then every means was brought to bear upon the King--private petitions from the wives of the accused noblemen, supported by the influence of all the ladies of the Court; petitions of ladies to Parliament, and lastly, an address from the majority of the Lords, urging him to reprieve if possible. These efforts were so far successful that all were reprieved with the exception of Derwentwater, Kenmure, and Nithsdale. The two first were executed, the escape of the last was contrived by the skill of his wife, who conveyed a woman's dress to her husband, in which he passed safely out of his prison, personating a lady friend who had accompanied the Countess on her visit, and who remained in his place. Three other important prisoners, Mackintosh, Forster, and Lord Wintoun also made good their escape, which seems to indicate either a strong sympathy on the part of the gaolers, or perhaps a wish on the part of the Government to avoid the necessity of more executions. Of the lesser prisoners, many of the common men were executed or transported; officers who had been in the King's service were summarily shot; but a very large proportion of those captured in Scotland being brought for judgment to Carlisle, in contravention, it was asserted, of the terms of the Union, were punished lightly or released, for fear of exciting fresh national quarrels.

[Sidenote: The Septennial Act. April 26, 1716.]

It must not be supposed, however, that the excitement on the part of the Jacobites, or the fear on the part of the Hanoverians, was by any means allayed, and as by the existing Statute of 6 William and Mary, Parliament would be dissolved at the close of the year, and a new election held in the spring of 1717, there seemed great probability of a renewal of the contest, or at least of very serious riots during the election time. With this in view, the ministers proposed that the existing Parliament should be continued for a term of seven instead of three years. This, which was meant for a temporary measure, has never been repealed, and is still the law under which Parliaments are held. It has been often objected to this action of Parliament, that it was acting arbitrarily in thus increasing its own duration. "It was a direct usurpation," it has been said, "of the rights of the people, analogous to the act of the Long Parliament in declaring itself indestructible." It has been regarded rather as a party measure than as a forward step in liberal government. We must seek its vindication in the peculiar conditions of the time. It was useless to look to the constituencies for the support of the popular liberty. The return of members in the smaller boroughs was in the hands of corrupt or corruptible freemen; in the counties, of great landowners; in the larger towns, of small place-holders under Government. A general election in fact only gave fresh occasion for the exercise of the influence of the Crown and of the House of Lords--freedom and independence in the presence of these two permanent powers could be secured only by the greater permanence of the third element of the Legislature, the House of Commons. It was thus that, though no doubt in some degree a party measure for securing a more lengthened tenure of office to the Whigs, the Septennial Act received, upon good constitutional grounds, the support and approbation of the best statesmen of the time. It was upon these grounds that Lord Somers declared that the measure would be the greatest possible support to the liberty of the country, and Speaker Onslow, with a clear view of the tendency of the Act, believed that it would emancipate the House of Commons from its former dependence on the Crown and the House of Lords. It was however probably the more far-sighted only who saw the advantages to which the Septennial Act would lead. It was meant for a temporary Act, and the reasons for its necessity, as set forth in the preamble, are the expenses of frequent elections, the constant renewal of party animosities, and the probability, "at this juncture, when a restless and Popish faction are designing and endeavouring to renew" the rebellion within and invasion without, of an election being likely to prove destructive to the peace and security of the Government. At the same time it is plain that men's eyes were being opened to the threatened loss of independence of the Lower House, for a private Bill was introduced, and subsequently carried through in a modified form by Government, to forbid the holders of pensions withdrawable at will from sitting in the House.

No sooner was the great question which had held the Whig party together settled by the suppression of the insurrection, than certain elements of disunion which already existed in the Cabinet began to make themselves felt, and a train of circumstances began, which ended in the disruption of the ministry. The tumult of pardon and execution had scarcely subsided, when the King, to the great dislike of his ministers, giving way to those natural inclinations which were for many years to be the chief weakness of our Hanoverian Princes, insisted upon the repeal of the clause of the Act of Settlement which restrained the King from leaving England, and hurried to his hereditary dominions. Stanhope accompanied him as representative of the English ministry, Townshend being left at home. This separation of the ministry of itself afforded room for intrigue, and the state of affairs both at home and abroad supplied a more than usually appropriate occasion for it, for the hereditary family quarrel had already broken out between George and his eldest son. It was impossible, however, to ignore his claims to the regency during his father's absence, nor would Townshend permit them to be overlooked. The King was with difficulty persuaded to put the Government in his hands, with the inferior title of Guardian of the Realm and Lieutenant, and under considerable restrictions. The minister in England was thus at once put, in some sort, in opposition to the King, and in a position which gave great opening for the intrigues of his enemies who surrounded the King; for a clique, consisting of the King's Hanoverian courtiers, Bernsdorf, Bothmar, George's private Secretary Robethon, and Madame de Schulenberg, Duchess of Kendal, the royal mistress, were full of animosity to the minister. Like the Scotch followers of James I., they regarded England as a sort of promised land, and took umbrage at the attempts of the English ministry to check their rapacity. The mistrust thus engendered was rapidly increased by subsequent events, chiefly connected with the affairs of the Continent.

[Sidenote: First signs of the breaking up of the Cabinet.]

[Sidenote: George and Stanhope go to Hanover.]

[Sidenote: Negotiations with France.]

As the King entered Hanover with Stanhope, the minister was met by the Abbé Dubois, an agent of the Regent Orleans, and negotiations began for the establishment of friendly relations with France, which mark an entire change in the politics of Europe. To complete the security of the new succession, it was regarded as necessary that the Pretender should be removed beyond the Alps, and that all hope of assistance to his cause from France should cease. Open hostilities to gain this end seemed out of the question. Austria was much irritated by the Barrier Treaty, by which the Dutch were secured a line of fortresses in the Austrian Netherlands, garrisoned by the Dutch, but paid by Austria. The Emperor, too, was naturally jealous of the increasing power of the Princes of the Empire, three of whom had acquired kingdoms; the Elector of Saxony was King of Poland, the Elector of Brandenburg King of Prussia, the Elector of Hanover King of England. The temper of Austria thus forbade all hope of re-establishing the Grand Alliance. The withdrawal of support from the Pretender had to be sought by peaceful means; and the Regent, intent on his personal aims, was willing to surrender the cause of the Stuarts, and to destroy the works at Mardyke as the price of peace with England. On these terms negotiations for a treaty, in which Holland was to share, were begun.

[Sidenote: Danger of Hanover from Charles XII.]

The German objects of the King rendered its speedy conclusion an object of the first importance. After his defeat at Pultowa, Charles XII. had withdrawn to Bender, where he had vainly attempted to rouse the Turks to assist him against the Russians. In his absence, Russia, Poland, and Denmark, the countries which in turn he had conquered, combined against his deserted country; and the King of Prussia, for his own ends no doubt, but with some appearance of keeping the balance between the parties, succeeded in neutralizing Pomerania, and in obtaining the sequestration into his own hands of the strong town of Stettin. This arrangement by no means pleased Charles, who hastened home from Bender, hoping by an alliance with England to keep his enemies at bay. The accession of the house of Hanover destroyed this hope. The Elector of Hanover had obtained from Denmark Bremen and Verden, part of the spoils of Charles, and was pledged by his own interests to oppose him. He insisted upon an English fleet being sent to the Baltic, though the question was obviously one of German interest only. Not content with opposing Sweden, George eagerly desired that the fleet should be used against Russia, for that country had invaded Mecklenburg, and intended apparently to appropriate it. Again it was evident that the question was chiefly of German interest. Townshend placed the English view of the affair before the King--it did not matter much who possessed Mecklenburg, but to attack Russia, the chief opponent of Sweden, was to leave Charles XII. free for dangerous designs in favour of the Stuarts, in which he was now almost openly engaged. Fortunately diplomacy induced the Czar to withdraw, and the question was thus solved.

But while eager for war with Sweden and Russia, George was naturally anxious for the conclusion of the peace with France, and thought himself purposely thwarted by his minister, when the peculiarities of the Dutch constitution threw delays in the way of its completion, and Townshend refused to break faith and conclude the treaty without the accession of the Dutch. The King's dislike for Townshend, excited by his opposition to his German plans, was sedulously fomented both by his Hanoverian courtiers and by the Earl of Sunderland, who, thoroughly discontented with his subordinate position in the ministry as Lord Lieutenant of Ireland, had joined the King at Hanover, and had entered busily into the intrigues going on there. A letter from Townshend, in which, in order to allow the longer absence of the King, he recommended that additional powers should be given to the Prince in England, brought matters to a crisis. Townshend was dismissed from his office, and offered in exchange the viceroyalty of Ireland. For the sake of the party, and upon some sort of apology from the King, Townshend accepted his new office, and the quarrel was temporarily healed.

[Sidenote: Dismissal of Townshend.]

[Sidenote: The Triple Alliance. Jan. 1717.]

During this brief reconciliation, the negotiations which had been carried on at the Hague and Hanover were completed, and a Triple Alliance was signed in January 1717, by which the clauses in the Treaty of Utrecht having reference to the Protestant succession in England, to the French succession, and to the renunciation of the Spanish King to his claims on the French throne, were guaranteed.

[Sidenote: Changes in the ministry. April.]

But Walpole and the other friends of Townshend took an early opportunity of showing their discontent at the treatment of their leader, and it became necessary to dismiss them. The direction of the Government thus fell into the hands of Stanhope, as Chancellor of the Exchequer. Sunderland and Addison became Secretaries of State, and James Craggs Secretary at War. The occasion of the final schism was a demand for a supply to oppose the intrigues of the King of Sweden. The lukewarmness of Walpole's support was so marked that his friends and those of Townshend voted against Government, and the supplies were carried by a majority of four only. The fraction of the Whigs who thus left office at once passed into vigorous opposition; yet the crisis was one which should have overpowered party feeling.

[Sidenote: Danger to England from Charles XII. and Alberoni.]

The state of Europe was such as to threaten difficulty, even danger, to England. Two statesmen of unusual ability were at work in Europe; to both of them the fall of the new Government in England was an object, and when their intrigues for a moment brought them together, there was a brief interval of real danger. These were Charles XII. of Sweden, and Alberoni, the Prime Minister of Spain.

[Sidenote: Charles XII.]

Charles had found himself thwarted in his schemes for re-establishing his power by the opposition of the English King. The same opposition had checked the Czar in his ambitious schemes on Mecklenburg. In union with his minister, Görtz, an adventurer who had passed into his service from that of the Prince of Gotthorp, Charles determined on a new combination of the North to suit the altered politics of Europe. He allied himself with his old enemy the Czar, and despatched Görtz to Holland, to see what he could do in France and England. In each of those countries he found it possible to enter into communication with a large discontented minority. In France, the Duke of Maine, irritated at the loss of the position which the late King's will would have given him, had put himself at the head of the older and graver statesmen, who clung to the old policy of enmity with England. In England, the Jacobites were still looking out for foreign support. To both countries Görtz sent an agent,--while Spaar was, if possible, to produce a change of government in France, Gyllenborg was instructed in England to promise the Tories the assistance of 12,000 men under the personal command of the King of Sweden. In seeking assistance for his plans, Görtz had come across another intrigue tending in the same direction. He found in Alberoni a man whose views were for the time identical with his own, and Spanish money found its way largely both to the Pretender and to the Swedish agents. Fortunately the English Government obtained information of what was going on. Justly holding that his ambassadorial rights were forfeited by his treason, they apprehended Gyllenborg and seized his papers, and persuaded Holland to act in the same manner with regard to Görtz. The papers thus seized afforded full justification for what they had done. But though thwarted in this scheme, both Charles and the Czar continued to act in unison with Spain against the interests of England. It was to meet this plot that the supply was demanded which caused the final schism in the English ministry. The death of Charles in September 1718, at the siege of Friedrichshalle, whither he had gone in his haste to secure Norway, the possession of which was a part of his bargain with Russia, prevented the Northern branch of the intrigue from bearing fruits, and a revolution in Sweden, which changed it into little more than an oligarchical republic, removed it for more than sixty years from the scene of history.

[Sidenote: Alberoni.]

Alberoni's plots were of more importance. He was one of those statesmen who owe their rise to the democratic character of the Roman Church. The son of a market gardener, of a singularly undignified exterior, he had found means to make himself indispensable to the Duke of Vendome during the war of the Spanish succession, and had subsequently established his position in Spain by bringing about the marriage of Philip with Elizabeth of Parma. His object was entirely patriotic; he desired to replace Spain in the list of great European nations. For this purpose he set to work with remarkable success to revive the industry and wealth of the country. But his views reached further than this; he aimed at the destruction of the Treaty of Utrecht. By that treaty Austria had gained almost all that Spain had lost. It was therefore against Austria that his designs were chiefly directed. Knowing of the irritation which existed between Austria and England with regard to the Barrier Treaty, and believing that France would be unwilling to do anything to the disadvantage of a Bourbon kingdom of its own creation, he supposed that Austria would be without allies. To secure friendship with England, he even granted her great commercial advantages. The defensive alliance between England and Austria, in 1716, was the first blow to his plan. The subsequent conclusion, in 1717, of the Triple Alliance opened his eyes to the probable policy of France. It was then that he threw himself into the intrigues of the Jacobites and the party of the Duke of Maine, and put himself into communication with Charles of Sweden. Alberoni's chief object was to destroy the Austrian power in Italy. Conscious that Spain had gained in strength by the loss of her widespread foreign dependencies, he had no intention of conquering that country. But he wished to restrict the Austrian power there, firstly, by the establishment of younger branches of the Spanish house in Sicily (at the instant belonging by the Treaty of Utrecht to Victor Amadeus of Savoy), and in the duchies of Parma and Tuscany, where the reigning houses were drawing towards extinction, and to which Elizabeth Farnese had claims; and, secondly, by the increase of the territory of Savoy, which he designed to compensate for the loss of Sicily by the cession of a portion of Lombardy. The possession of Sicily was therefore of the first importance to him. But Austria had already been negotiating with the powers of the Triple Alliance for the exchange of that island for Sardinia. Alberoni himself desired to wait till Spain had acquired more power at home, but the apprehension by the Austrians of a newly appointed Spanish inquisitor roused the anger of Philip V., and, against his will, Alberoni was hurried into war. To prevent the exchange of Sicily he at once took possession of Sardinia, and would probably have proceeded to attack Sicily, when the Powers of the Triple Alliance intervened.

[Sidenote: Opposition of the Triple Alliance.]

Their offer of mediation involved the renunciation on the part of Austria of all claims on the Spanish monarchy, which had never hitherto been dropped,--on the part of Spain of all claims on the Italian provinces. The exchange of Sicily for Sardinia was to be carried out, and Parma and Tuscany to be given to Don Carlos. Enraged at this offer, the work of men, as he said, "who cut and pared countries as they would Dutch cheeses," Alberoni at once set to work all the apparatus his intrigue had prepared. The anger of Savoy was aroused at the loss of Sicily; the Turks, already at war with Austria, were subsidized and urged to further exertions; Ragotski, Prince of Transylvania, was brought forward to demand his hereditary dominions, to hamper Austria on the east; the Spanish envoy in France busily stirred up faction there; Charles XII. and the Czar were urged to immediate action; and an expedition against England, headed by Ormond or the Pretender himself, was set on foot. The whole of Europe seemed involved. The mediating Powers found themselves likely to be drawn into war. Stanhope was removed from his position as First Lord of the Treasury, and made Secretary of State for the Southern Department, which included foreign affairs, and on June 4, 1718, Admiral Byng set sail from England for the Mediterranean.

[Sidenote: Formation of the Quadruple Alliance. August 1718.]

[Sidenote: Fall of Alberoni. Dec. 1719.]

The crisis was so threatening that the Austrian Emperor, who had refused to accede to the mediation of the Powers, yielded. England procured for him the Treaty of Passowitz, which secured him from the Turks, bought off at the expense of the Venetians, from whom they had conquered the Morea; and a Quadruple Alliance between England, France, Austria, and Holland was formed on the basis of the old project of mediation, with this difference, that Parma and Tuscany were to be held by Don Carlos only as fiefs of the Empire. Without open declaration of war, France and England had virtually joined the Austrian alliance. Alberoni, however, persisted in his schemes, but fortune had turned against him. The Spanish fleet, not knowing whether it was peace or war, was fallen upon and destroyed by Byng off Cape Passaro; Savoy, yielding to the pressure of the Quadruple Alliance, accepted Sardinia in exchange for Sicily; the death of Charles XII. broke up the Northern Alliance; the conspiracy in France was discovered when approaching maturity, the Spanish ambassador and the Duke and Duchess of Maine apprehended; of the Pretender's expedition, scattered in the Bay of Biscay, two frigates only reached Loch Alsh in Scotland. A few hundreds of the Highlanders gathered to their standard, but the appearance of English troops put them to flight; the chiefs escaped to Spain, the Highlanders were allowed to fly unmolested to their hills, the Spanish troops were taken prisoners of war. War having now been regularly declared, the French crossed the Pyrenees, and again and again defeated the Spanish troops; and at length Philip was compelled to dismiss his great minister, and on the 19th of January 1720 acceded to the terms of the Quadruple Alliance.

[Sidenote: European peace. 1720.]

The affairs in the North of Europe were settled in a similar high-handed fashion. There too a nation, struggling to regain its old preponderance, had to be crushed. The death of Charles XII., and the revolution which followed it, put an end to any chance of Sweden's regaining its position in Europe. The new Government fell back upon the old policy of the country; Bremen and Verden were allowed to remain in the hands of George, and an alliance with England and France was entered into. As a necessary consequence the late allies of Sweden again became its enemies. But the friendship of France and England drove them to peace. Orders were even issued to the English Admiral of the Baltic to fall upon the fleet of the Czar without declaration of war, unless with Denmark, his ally, he consented to a cessation of hostilities. Too weak to resist, Denmark accepted a sum of money and retired from the contest; and the Czar, now standing alone, withdrew, though still in arms, to await a better opportunity for action. The foreign policy of Stanhope had thus been successful, and though unjust and domineering, secured for Europe a peace of twelve years.

[Sidenote: Stanhope's home policy.]

Meanwhile the minister had carried out with consistency the politics of his party at home. In acting thus he was met with considerable difficulties. On the one hand he had to manage and repress the meddlesome and rapacious German coterie which surrounded the King, on the other he was met by a strong opposition headed by that party of the Whigs which had left office with Townshend.

[Sidenote: Opposition of Walpole.]

[Sidenote: Trial of Oxford. June 1717.]

[Sidenote: Repeal of the Schism Act. Jan. 1719.]

In all the chief measures of his administration he found an eager and at times a successful antagonist in Walpole. It was chiefly through his instrumentality that the impeachment of Oxford came to an untimely end. The Lords were persuaded to refuse to listen to any evidence in support of the charge of misdemeanour before they had heard that on the graver charge of treason. They knew that it was impossible for the Commons to support the more important charge. A quarrel between the Houses ended in the refusal of the Lower House to proceed to the impeachment. The Lords gravely assembled on the appointed day in Westminster Hall, sat there for a quarter of an hour, and then, as no accusers appeared, declared the impeachment at an end. Again, Walpole, regardless of party ties, vehemently upheld the charges of peculation brought against Lord Cadogan by the Jacobites in the House headed by Shippen. And again, with great inconsistency, he opposed the repeal of the Schism Act. The Act for restraining Occasional Conformity passed in the last reign, and the Schism Act of 1714, by which it had been followed, pressed very heavily on the Dissenters; and Stanhope, whose views appear in some respects to have been more liberal than those in vogue at the time, went so far in his wish to relieve them as even to dream of mitigating the severity of the Test and Corporation Acts. However, wisely yielding to the advice of Sunderland, he confined himself to an attempt to get the Schism Act repealed, and succeeded, after much opposition, in both Houses; but his narrow majorities show that a more extensive measure would have been useless. The Test Act continued in force, though rendered practically nugatory after the beginning of George II.'s reign by a Bill of Indemnity passed almost every year in favour of those who had evaded it.

[Sidenote: The Peerage Bill rejected. Dec. 1719.]

On the two last named occasions Walpole's opposition had been useless. On the more important question of the limitation of the power of the Crown to create Peers by the Peerage Bill, he fortunately proved too strong for the minister. Like the Septennial Act, the Peerage Bill was introduced partly on theoretical, partly on party grounds. The Revolution had been an aristocratic rather than a popular movement. The power or rather the influence of the Crown had not been destroyed, but was in abeyance, the Hanoverian monarchs being as it were in a state of tutelage to the Whig party, whose strength was in the Upper House. Popular in language, but aristocratic in feeling, this party regarded political liberty as best secured by its own predominance, rendered permanent by such institutions as a Septennial Parliament and an exclusive hereditary nobility. It feared alike the power of the King and the power of the people, and already the adoption of the Treaty of Utrecht, carried by the popular will and by a large creation of Peers, had shown the possibility of a union between King and people which might sooner or later destroy its influence. To guard against such a danger was the primary object for which Stanhope introduced his Peerage Bill. But temporary party interests had as much weight with him as general theory. Stanhope and his friends, especially Sunderland, were in dread of the conduct which might be pursued by the Prince of Wales when he came to the throne. He was on bad terms with his father, and regarded Sunderland as the chief cause of the royal jealousy. It was generally believed that his accession would be followed by a creation of peers from among his own favourites. Thus both on public and party grounds the ministry thought it desirable to limit the royal prerogative. As was natural, the Tories, in their dislike to restrictions on the royal prerogative, and the party of Walpole, who opposed it because it was a Government measure, made common cause against the Bill. By its enactments the Crown was to be restrained from the creation of more than six beyond the existing number of 178 English peerages (the power of creating a new peerage whenever an old one became extinct being reserved), no new peerage was to be created with remainders except to the original recipient and his heirs male; while, to place the Peerage of Scotland on the same footing, the sixteen representative Peers of that country were to give way to twenty-five hereditary Peers nominated by the Crown. The Bill met with little opposition in the House of Lords, but was thrown out by a large majority in the Lower House, where Walpole pointed out "that one of the most powerful incentives to virtue would be taken away, since there would be no arriving at honour but through the winding-sheet of a decrepit lord, or the grave of an extinct noble family."

[Sidenote: Strength of the ministry.]

At the present time a defeat on so important a measure must have driven the ministry from office. But the theory of party government was as yet so little perfected, that not only did Stanhope retain his place, but his administration was so strong, that the Whig malcontents thought it better to renew their old connection with it, and both Walpole and Townshend re-entered the Government, the one as Paymaster of the Forces, the other as Lord President. It seemed as if nothing short of some great convulsion could shake so powerful a Government, and, though little apprehended, such a convulsion was near at hand.

[Sidenote: The South Sea Scheme.]

It was still early in the history of finance. It was only of late years that the moneyed interest had become so important in the country as to admit of the discharge of the public liabilities by means of large and regular loans. But when once the practice had been begun it had been largely adopted, and during the wars of the reign of Queen Anne the debt had risen from sixteen to fifty-two millions. Ignorant of the resources of the country and of the ease with which such a debt might be supported, the financiers of the day were in constant terror of its rapid increase. A member of the House, a certain Mr. Broderick, was expressing the general feeling when he said, "I agree with the ministers, that until the National Debt is discharged, or in a fair way of being so, we cannot properly call ourselves a nation." But besides the general dread of the amount of the debt, there was a very well-grounded dislike to the high terms on which much of it had been contracted. The money having been borrowed in time of war and difficulty, the terms offered to the lender had been proportionately favourable. A settled Government, the success of the Hanoverian succession, and the continued and rapid increase of wealth which had followed it, had rendered money much cheaper, and Government was paying seven or eight per cent. upon its loans, when private individuals could borrow on good security at four per cent. But the manner in which much of the money had been raised forbad any effort at changing the rate of interest. The loans had been largely contracted in the form of annuities, many of them for ninety-nine years; and of these a considerable portion were irredeemable, that is to say, Government was pledged to the payment of the interest as originally arranged, unless some change could be made with the consent of the creditors.

[Sidenote: Formation of the South Sea Company. 1711.]

Financiers had therefore two objects in view,--to lessen the whole amount of debt, and to lower the interest payable on what remained. The establishment of the Bank of England had shown the value, in a mercantile point of view, of the Government credit. It became an understood principle that money lent to Government, and thus secured upon the credit of Government, was an excellent form of capital; and when advances were required, or when it became convenient to substitute a single great creditor for a number of little ones, this principle had been brought into use. Two such attempts had been made, the one by Harley in 1711, the other by Walpole in 1717. Harley, when Lord Treasurer, had found a floating debt (a debt, that is, payable on demand of the creditor) of ten millions, and had got rid of the danger of immediate demand by forming a company of the creditors of this floating debt. The ten millions were funded, that is, the interest and not the capital was paid; the interest was secured upon the customs, and the fund of ten millions became the capital of the company of creditors, who were induced to allow their claims to be thus funded by the promise of the monopoly in the mercantile advantage which Spain had granted England at Utrecht. This came to but little,--the Assiento, or supply of slaves, and the admission of a yearly ship of 500 tons burden to the American colonies. Even this advantage was lost in the difficulties which arose with Alberoni. The first ship did not sail till 1717, and as far as the South Sea trade went Harley's plan was a failure. But the credit gained by the Company in the transaction was good, other lines of trade were opened up, and the Company became great, flourishing and powerful.

[Sidenote: The South Sea Scheme. 1720.]

In 1717 Walpole had been very desirous to diminish the National Debt. He established the first sinking fund, borrowing £600,000 at only four per cent., using this money to pay off liabilities bearing a higher interest, and applying the money thus saved to the extinction of the debt. He also, taking advantage of the value of Government credit, induced both the Bank and the South Sea Company to accept a lower rate of interest for the money they had already advanced, and to advance between them nearly £5,000,000 more, for the purpose of paying off as far as possible those holders of redeemable debts who refused to accept the lowered rate of interest. The great South Sea Scheme of 1720 was in principle nothing but a repetition of this manœuvre. The South Sea Company, believing devoutly in the power of credit, was anxious to extend itself as far as possible. The Government was so eager for the reduction of the debt that the King had made special mention of it in the speech with which he opened Parliament in the close of 1719. Under these circumstances the proposition of Blunt, director of the South Sea Company, found a ready hearing with the ministers. Between them an arrangement was devised, perfectly justifiable and harmless as far as the principle of it went. The bulk of the Government debt consisted in redeemable and irredeemable annuities, on all of which large interest was paid, and on which that interest must continue to be paid unless the holder of the annuity voluntarily reduced it. There is said to have been about sixteen millions of each class of security. Government wished to bring the whole mass into one general fund, bearing a lower rate of interest, and the South Sea Company was so greedy of the Government credit, that it expressed itself anxious to add the whole of this enormous amount to its capital. It is plain that any transaction of the sort, as far as regarded the irredeemable annuities, must have been entirely voluntary. All that the Government could do was to allow the Company to persuade the holders to exchange their annuities for shares in the Company. With regard to the holders of redeemable annuities, payment in full must be offered, but that payment might be given in shares of the Company. In other words, those who accepted the exchange became proprietors in the Joint-stock South Sea Company to the amount of their claim on the Government. With regard to the Government, the South Sea Company alone became creditor, instead of a multitude of old annuitants, and was contented to receive henceforward, instead of the seven or eight per cent. the annuitants had received, five per cent. till the year 1727, and after that four per cent. till the capital as well as the interest should be returned, for the fund was made a redeemable one. If the transaction were thoroughly successful the capital of the South Sea Company would be increased by about thirty-two millions, advanced to Government at five per cent., and Government would have to pay five per cent. interest instead of seven or eight, besides having the power of redeeming the capital.

[Sidenote: Competition of other companies.]