Chapter VI (2)
The Irish land system, therefore, from every point of view, is simply in a deplorable state; it is an economic and social chaos, pregnant with mischiefs and dangers of many kinds. Confiscation has wrought its work on the Irish landlord; has shaken the structure of Irish society; and has produced its inevitable results in banishing capital from the land, and in dealing a weighty blow to Irish credit. The legislation of 1881, and of subsequent years, has conferred immense advantages on the tenant class in Ireland; but these have fallen short of what might be supposed; this class declares itself to be dissatisfied with its lot; it is clamouring for the wholesale transfer to itself of the rented lands of Ireland, through what is known as compulsory purchase, that is, corruption and spoliation combined in an act of the State. And these efforts of legislation, essentially unwise, in direct conflict with fact and economic science, a mere makeshift to stave off agitation and trouble, are, in all probability, by no means the worst. Demoralisation has spread throughout Irish landed relations, affecting them, unfortunately, in many ways; divisions of class have been made worse, as well as the old divisions of race and faith; respect for contracts and obligations has been destroyed; dishonesty and thriftlessness have been favoured, and industry and honesty not encouraged; an evil spirit of discontent and desire for change is abroad; agriculture is plainly on the decline; there is nothing secure or settled in the land. Vicious as the Irish land system unquestionably was before Mr. Gladstone first took it in hand, I believe that, having regard to the general interests of the State, it is still more vicious at the present time; it has been transformed, but, on the whole, transformed for the worse. As I wrote before, when commenting on the position of affairs in Ireland, before the Land Act of 1870, a revolution only could have removed the deep-rooted ills in all that related to the land; a revolution alone could remove them now. But in the one instance, as in the other, the evil caused by a revolution would be infinitely greater than the good; a new agrarian revolution in Ireland would be a curse to her; it is better, as Burke has remarked, to try to repair even ruins than to blot out every trace of the edifice. Still, taking it as we find it, can nothing be done to amend, in some measure, at least, the existing land system? Much of it, I admit, must be left untouched; the principle of settling rent, through the agency of the State, false as it is, must continue to work; the principle of so-called 'land purchase' must, within reasonable limits, be still given free scope. But something in the nature of reform is, I think, possible; the discussion of the subject may be of use; I contribute my mite to it, if with unfeigned diffidence.
In order to find out the truth, and thoroughly to clear the ground, a Commission, I suggest, ought to be appointed, as important as the Devon Commission of nearly sixty years ago; it should investigate the Irish Land Question in all its branches. Its President should be a great English nobleman--the nation would have confidence in the Duke of Bedford, a princely and most liberal English landlord; but the judicial element should be strong in it; English and Irish judges should be among its members; it should include trained agricultural experts: it should have representatives of Irish landlords and tenants. It should examine the Irish land system as this existed before 1870; should review the whole series of Irish Land Acts, from 1870 to the present time, and inquire into their results and tendencies; should carefully consider the operation of the tribunals selected to carry out the new Irish land code, especially as regards the fixing of 'fair rents,' and that not with respect to their procedure only, an unjust limit imposed on the Fry Commission, but with respect to the principles that have been adopted and the methods pursued; it should deal exhaustively with the subject of so-called 'land purchase,' and see whether it has not directly led to the demand for compulsory purchase; it should take evidence as to 'peasant proprietary' and its creation; and it should make a complete and searching report, with a view to the legislation it might recommend. And if I am not altogether mistaken, such a Commission would state, in emphatic language, that the present Irish land code was ill designed, even if it cannot be now much changed; that its administration has been attended with grave errors; that cruel wrong has been done to Irish landlords, while Irish tenants have not obtained what was hoped for; that the economic and social results have been deplorable; that if 'land purchase' cannot be stopped, it is a bad expedient on its present lines, and that the cry for compulsory purchase has been its evident effect; and that extensive, still more universal peasant ownership, is an impossible and would be a pernicious policy. Finally, if I am not much mistaken again, such a Commission would report that a reform of the Irish land system, if very difficult, should be attempted; and that, in its main scope and operation at least, it should be carried out on the side of land tenure, that is, in the relations of landlord and tenant, as has been the opinion of every thinker from Burke onwards, who has not been swayed by the exigencies of agitation, or of party politics.
I proceed briefly to put my scheme forward, assuming that I have made a reasonably correct forecast. I may say it has been a subject of reflection during many years, indeed, since the legislation of 1881; Mr. Gladstone, in his place in the House of Commons, pointedly approved of a tract in which I set forth my views; and so, curiously enough, did Parnell. It is impossible, I have said, to transform the existing system of Irish land tenure; a wide departure from it cannot be made; but improvement is really feasible within certain limits. My object would be to get rid of palpable evils, inseparable from the present state of things; to make the positions of both Irish landlords and tenants in some degree better than they now are; to place the Irish land system on a somewhat less precarious basis. In the first place, the law as to the exemption of tenants' improvements from rent, an excrescence on the Land Act of 1881, and made extravagant by the Land Act of 1896, should be restricted in its application to some extent; as it stands, it is a fruitful cause of injustice, of demoralisation, and of hard swearing, producing endless litigation to very little purpose; claims in respect of improvements ought to be more limited, in point of time, than they are; a check should be placed on obsolete and illusory claims; this would be advantageous, I think, to all interests involved. Again, it would be impracticable to exclude from the operation of the present land code lands that have been already brought within its scope; but a more precise definition should be made of the lands that are intended to be now excluded--demesnes, town parks, residential holdings, and large pastoral farms; the decisions of the Courts, in this province, are very perplexing; a good definition would make litigation very considerably less. These changes, I am convinced, would do much appreciable good; but I would go a long way farther in attempting to make the status of both landlord and tenant in Ireland less insecure and vexatious than it now is. In the first place, leaving lands now excluded out, I would make all agricultural and pastoral Irish tenants entitled to the tenure of the 'Three F's,' removing the prohibition as to 'future tenants,' a distinction that never ought to have been made, and, as far as possible, securing this mode of tenure to the poorest tenants, by means to which I shall advert afterwards. In the next place, I would make an earnest effort to lessen the ruinous litigation and the instability caused by the statutory leases renewable at short intervals of time. The tenant should have 'fixity of tenure' in a real sense; the estate created in his favour against the landlord ought not to be one of fifteen years only, however indefinitely it may be extended; I would prefer to see it an estate for ever; but, as in the present state of agriculture, there would be objections to this, on account of the uncertainty of the rate of rent, it might be an estate for a limited term. But the term ought not to be less than thirty years at least, renewable, of course, like the shorter term of fifteen; this would quiet possession and get rid of lawsuits for the period of a generation of men. The tenant should retain his right of 'free sale;' but I would make the conditions less stringent than they are under the existing law.
The position of the Irish tenant would thus be greatly improved; the sphere of the 'Three F's' would be largely extended; he would have 'fixity of tenure,' for a long time, at least, without the hazard and loss of litigation every fifteen years; his right of 'free sale' would be less restricted; and he would have distinct advantages, as respects 'fair rent,' under the part of my plan I am about to explain. I turn to the position of the Irish 'landlord'--I still use this expression and that of 'tenant,' though both words are hardly applicable to existing facts; this, too, in my judgment, would be made much better. The estate that is now created against him would still be preserved; I wish it were a perpetual estate, but it would be one for thirty years at least; he would, therefore, remain assimilated to a rent-charger, as he is at present. But like his tenant he would be comparatively free from lawsuits; he would be less harassed by claims in respect of improvements; he would have, in many particulars, a more stable tenure. He should, of course, retain the 'royalties' still reserved to him--mines, minerals, timber, and such things; and he should have the title to the statutory conditions he now has; but as his reversionary rights would be somewhat lessened, he should be compensated for these by a small money payment. With one great exception he should have the legal remedies to enforce the rights he now possesses; and that exception would be of great importance. I have always thought the law of ejectment for non-payment of rent harsh; it is an innovation on the ancient Common Law; it sometimes causes forfeitures far from just; it is not properly applicable to tenancies of long duration. I would certainly abolish this mode of procedure; I would instead of it give the landlord a power to sell the tenant's lands, by a procedure analogous to that of bankruptcy, should default be made in the payment of the rent, or rather the rent-charge that might be due. The advantage to both landlord and tenant would be great: the first would have a remedy more expeditious and just than he has; the second, should the land be sold and lost to him, would, as a rule, have a surplus over and above his debts; unlike what is sometimes the case in evictions, he would realise for himself his whole legitimate interest in the land. This single reform would do much to make 'fair rent' a less onerous charge than it now is.
By these means the status of the Irish landlord would be made by many degrees more secure; the Irish tenant would acquire an interest in the land much more durable and stable than he has now, in fact, nearly equivalent to full ownership, subject to a rent-charge; and if his interest were made a perpetuity, as I hope would be the case at last, he would be assimilated to an owner subject to a perpetual rent, or to an English copyholder subject to a similar render. This is the position Burke proposed he should have, considerably more than a century ago;[149] it is that which has been advocated by John Stuart Mill, and, I am happy to add, by Mr. John Morley; it is the only position, compatible with common sense and justice, which the new Irish land code has left possible, for I put the quackery of compulsory purchase out of sight, and voluntary purchase is a bad half-measure. The great subject of fixing rent by the State would remain; for, unjustifiable as this expedient is, it is impossible, after what has happened, to dispense with it. Without imputing personal motives or moral blame to any one, the Land Commission and its Sub-Commissions ought, I am convinced, to cease to be the agency to fix 'fair rents;' however unconsciously, in my judgment, they have often proceeded on false principles, and have done immense, if not wilful wrong; they are decried by landlords and tenants alike in Ireland. Besides, there is a constitutional objection to their adjusting rent; the Land Commission is entrusted with the task of carrying out 'land purchase;' it has a direct inducement to whittle rents away, in order to facilitate the sale of land; its interest and its duty are thus placed in conflict. Be this as it may, my plan for fixing 'fair rents' in Ireland by the State would be altogether different. In the first place, a definition of 'fair rent' should be made by statute, and should dominate, so to speak, the subject; the omission of this criterion has caused grave injustice. This having been made, I would adjust Irish rents by a method much better, I believe, than that now in existence. A body of competent and well-paid valuers of land should be formed--there would be no difficulty about this in Ireland; these men should visit, when required, estates; and having heard what landlords and tenants had to say on the spot, should declare what they consider the 'fair rents' of farms, making a deduction for improvements as arranged by a reformed law, and taking waste and deterioration into account. The reports made by the valuers should be complete and explicit; they would probably satisfy landlords and tenants in most instances; but dissatisfied persons should have a right to an appeal, which should be a full rehearing of all the facts in issue; but the appeal should be at the peril of costs against unsuccessful suitors. The tribunals to decide the appeals should, I suggest, be composed of two eminent judges, for each of the four provinces, assisted by trained agricultural experts; but the authority of the judges should prevail on all questions. From these Courts a further appeal should run to the Court of Appeal in Ireland, on all matters of law and fact, and ultimately should run to the House of Lords; the present restricted appeal to the Land Commission has been little better than a sorry mockery of right.
The scheme I propose has obvious defects; it sanctions the vicious principle of State-settled rents, a thing unknown in lands outside of Ireland, a defiance of the simplest axioms of economic science. But it endeavours at least to improve a bad system of tenure dealing with accomplished facts now beyond recall; I certainly think it would make the relations of Irish landlords and tenants better than they are, and would tend to place both classes in the positions which, as affairs now stand, they will probably, in the long run, occupy. As regards 'alternative policies,' as they have been called, I have set forth the reasons that the compulsory purchase of the Irish land would be, I believe, impossible, and, were it possible, would be a confiscation of the foullest kind, ruinous to Great Britain and Ireland alike. I have also shown how the present system of so-styled 'voluntary purchase' is, in my judgment, essentially immoral, and pregnant with dangers; and I have indicated the results being already produced. That system, however, must go on; for the present it cannot be arrested; a Conservative Government still pins its faith on it, as a Whig Government, half a century ago, pinned its faith on the Encumbered Estates Act; but a 'peasant proprietary' rooted in corruption will hardly succeed, and 'voluntary purchase' draws the worst kind of distinctions in Irish land tenure. The acceleration, indeed, of this 'remedy' has been deemed advisable; and as long as the sum voted by Parliament is not expended, the system evidently must continue in force. Some of its evils, however, would be lessened were the State to reserve to itself the woodland, which tenant 'purchasers,' as a rule, cut down and sell; and if tenants proved to be solvent were compelled to advance part of the money required to transfer their lands to themselves. It is revolting to my mind to see a wealthy Irish farmer bribed into the ownership of his farm by an Act of the State, without having paid a shilling of the price. I commend this spectacle to the hard-pressed general taxpayer.
I need hardly say that, under the scheme I propose, existing interests of tenants should remain intact, and statutory leases should be allowed to come to an end, before a change should be made by law in the position they hold. The question of compensating the Irish landlords would remain; a very few words on this will suffice. I must remind the reader, as I have already shown, that the Land Act of 1881 was passed on the condition that, should experience prove that real injury had been done to this order of men, their right to indemnity would be plain; Mr. Gladstone's language was unequivocal; the House of Commons approved. Nor can any reasonable doubt exist that the course of legislation from 1881 to 1896 has confiscated the property of the class to an immense extent; the simple fact that the value in Ireland of the fee simple in land has been reduced by a third at least, and that the value of the tenant right has been increased in about the same proportion, points to a conclusion evident to impartial minds. I am satisfied as to what would be the report on this subject of the Commission I should wish to see appointed; it could not avoid drawing an inference that cannot be resisted. The question, therefore, will have to be faced; the good faith of Parliament is virtually at stake; and if a pledge made in the name of the State is not to be broken, the right of the Irish landlords to compensation is complete. Independently, too, of considerations of this kind, it is a recognised principle that should a policy have caused loss to a class, the State is morally bound to make the loss up; a violation of this principle is unjust and dangerous alike. I quote from John Stuart Mill on this very question: 'The principle of property gives the landowners no right to the land, but only a right to compensation for whatever portion of their interest in the land it may be the policy of the State to deprive them of. To that their claim is indefeasible. It is due to landowners and to owners of any property whatever, recognised as such by the State, that they should not be dispossessed of it without receiving its pecuniary value, or an annual income equal to what they have derived from it. If the land was bought with the produce of the labour of themselves or their ancestors, compensation is due to them on that ground; even if otherwise, it is still due on the ground of prescription. Nor can it ever be necessary for accomplishing an object by which the community altogether will gain, that a particular portion of the community should be immolated. When the property is of a kind to which peculiar affections attach themselves, the compensation ought to exceed a bare pecuniary equivalent.... The legislature, which, if it pleased, might convert the whole body of landlords into fundholders or pensioners, might, _a fortiori_, commute the average receipts of Irish landowners into a fixed rent-charge, and raise the tenants into proprietors; supposing always that the full market value of the land was tendered to the landlords, in case they preferred that to accepting the conditions proposed.'[150]
Assuming, then, the case for compensating the Irish landlords to have been made out, compensation can be afforded without the loss of a shilling to the State. The _bona fide_ encumbrances on their estates, that is, those which represent advances in cash, are now at an interest of from 4 to 5 per cent.; the State could pay off those which were perfectly secure at an interest of 2-1/4 per cent., and could make the landlords chargeable with interest at 3 per cent., in order to provide against possible loss. As for encumbrances that were not perfectly secure, the State should only pay off what was well charged; but it should do this on the same conditions; and it should declare hopeless encumbrances extinct. This would be a considerable and just boon to the Irish landlords; the securities taken by the State should be in the form of debentures, which would pass from hand to hand in the market; and many owners of encumbrances would no doubt accept sums less than their full demands, for these, they well know, are at present in danger. I would go, however, farther in relieving the Irish landlords; their estates are subject to a mass of family charges created under a different order of things; if the State has arbitrarily cut down the fund set apart for these, by a wholesale reduction of rents, I cannot understand how it is not the simplest justice to cut the charges down in some fair proportion. At all events, I make these suggestions for what they may be worth; if right is to be done to the Irish landed gentry, and a gross breach of public faith is not to be made, some relief of this kind should be extended to them. Very possibly this will not be afforded; but I venture to remind politicians that even an unpopular class cannot be cruelly wronged and sacrificed, without doing injury to all classes, and shaking to their foundations the clear rights of property. And I openly avow that, in my judgment, it would be in the highest degree against the national interest to annihilate this body of men, as must probably happen, should things in Ireland be left as they are. What if they are the heirs of conquest and confiscation in the past? Is that a reason for destroying them after the lapse of centuries, and when England planted them in the land to be her mainstay? What if, in instances, comparatively few in the extreme, they have abused the social trust imposed on them? Was not this because the opportunity was given by law, and was not the law the work of successive Parliaments? Is it not a fact that British ministers, so to speak, of yesterday, declared that they were secure in their proprietary rights; and that Mr. Gladstone solemnly acquitted them of what had been laid to their charge? On the other hand, have they not been for ages the staunchest friends of England in Irish affairs, especially in troubled and perilous times? Is it for nothing that they have been called the British garrison by her foes, the strongest obstacle to rebellion and treason? And is a class, which has, on the whole, been a civilising influence, for many years, in Ireland, and which has given the State far more than a due proportion of worthies--warriors, orators, statesmen, thinkers, men of eminence in all the arts of life--to be sacrificed at the bidding of a conspiracy bent on subverting British rule in Ireland, or in deference to false and perilous theories?
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Present Irish QuestionsChapter VI (2)
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