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Part 13

The Commercial Restraints of Ireland · John Hely-Hutchinson — chapter 13 of 57 · ~4,509 words · public domain

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That this proceeded, in some measure, from calamities and misfortunes which affected the neighbouring kingdoms, is true: but their effects on Ireland, little interested in the South Sea project, could not be considerable. The poverty under which she laboured arose principally from her own situation. The Lord Lieutenant says there is ground to hope that in this session such remedies may be applied as will restore the nation to a flourishing condition; and the Commons return the king thanks for giving them that opportunity to consider of the best methods for reviving their decayed trade and making them a flourishing and happy people.

But it is a melancholy proof of the desponding state of this kingdom, that no law whatever was then proposed for encouraging trade or manufactures, or to follow the words of the address, for reviving trade, or making us a flourishing people, unless that for amending the laws as to butter and tallow casks deserves to be so called. And why? Because it was well understood by both Houses of Parliament that they had no power to remove those restraints which prohibited trade and discouraged manufactures, and that any application for that purpose would at that time have only offended the people on one side of the channel without bringing any relief to those on the other. The remedy proposed by Government, and partly executed, by directing a commission under the Great Seal for receiving voluntary subscriptions in order to establish a bank, was a scheme to circulate paper without money; and considering that it came so soon after the South Sea Bubble had burst, it is more surprising that it should have been at first applauded, than that it was, in the same session, disliked, censured, and abandoned. The total inefficacy of the remedy proved however the inveteracy of the disease, and furnishes a farther proof of the desperate situation of Ireland, when nothing could be thought of for its relief, but that paper should circulate without money, trade, or manufactures.

In the following session of 1723, it appears that the condition of our manufacturers, and of the lowest classes of our people, must have been distressed, as the Duke of Grafton, in his speech from the throne, particularly recommends to their consideration the finding out of some method for the better employing of the poor; and though the debt of the nation was no more than L66,318 8s. 3-1/4d., and was less than in the last session, yet the Commons thought it necessary to present an address to the king, to give such directions as he, in his great goodness, should think proper, to prevent the increase of the debt of the nation. This address was presented by the House, with its Speaker, and passed nem. con., and was occasioned by the distressed state of the country, and by their apprehensions that it might be further exhausted by the project of Wood's halfpence: it could not be meant as any want of respect to their Lord Lieutenant, as they had not long since returned him thanks for his wise conduct and frugality in not increasing the debt of the nation. This address of the Commons, and the Lord Lieutenant's recommendation for the better employing the poor, seems to be explained by a petition of the woollen drapers, weavers, and clothiers of the city of Dublin (the principal seat of the woollen manufacture of Ireland) in behalf of themselves and the other drapers, weavers, and clothiers of this kingdom, praying relief in relation to the great decay of trade in the woollen manufacture.

But this address had no effect; the debt of the nation in the ensuing session of 1725, was nearly doubled. In the speeches from the throne, in 1727, Lord Carteret takes notice of our success in the linen trade, and yet observes, in 1729, that the revenue had fallen short, and that thereby a considerable arrear was due to the establishment.

But notwithstanding the success of the linen manufacture, Ireland was in a most miserable condition. The great scarcity of corn had been so universal in this kingdom in the years 1728 and 1729, as to expose thousands of families to the utmost necessities, and even to the danger of famine; many artificers and housekeepers having been obliged to beg for bread in the streets of Dublin. It appeared before the House of Commons that the import of corn for one year and six months, ending the 29th day of September, 1729, amounted in value to the sum of L274,000, an amazing sum compared with the circumstances of the kingdom at that time! and the Commons resolved that public granaries would greatly contribute to the increasing of tillage, and providing against such wants as have frequently befallen the people of this kingdom, and hereafter may befall them, unless proper precautions shall be taken against so great a calamity.

The great scarcity which happened in the years '28 and '29, and frequently before and since, is a decisive proof that the distresses of this kingdom have been occasioned by the discouragement of manufactures. If the manufacturers have not sufficient employment, they cannot buy the superfluous produce of the land; the farmers will be discouraged from tilling, and general distress and poverty must ensue. The consequences of the want of employment among manufacturers and labourers must be more fatal in Ireland than in most other countries; of the numbers of her people it has been computed that 1,887,220 live in houses with but one hearth, and may therefore be reasonably presumed to belong for the most part to those classes.

In the year 1731 there was a great deficiency in the public revenue, and the national debt had considerably increased. The exhausted kingdom lay under great difficulties by the decay of trade, the scarcity of money, and the universal poverty of the country, which the Speaker represents in very affecting terms, in offering the money bills for the royal assent, and adds, "that the Commons hope, from his Majesty's goodness, and his Grace's free and impartial representation of the state and condition of this kingdom, that they may enjoy a share of the blessings of public tranquillity by the increase of their trade, and the encouragement of their manufactures."

But in the next session, of 1733, they are told in the speech from the throne, what this share was to be. The Lord Lieutenant informs them that the peace cannot fail of contributing to their welfare, by enabling them to improve those branches of trade and manufactures which are properly their own, meaning the trade and manufacture of linen. Whether this idea of property has been preserved inviolate will hereafter appear.

The years '40 and '41 were seasons of great scarcity, and in consequence of the want of wholesome provisions great numbers of our people perished miserably, and the speech from the throne recommends it to both Houses to consider of proper measures to prevent the like calamity for the future. The employment of the poor and the encouragement of tillage are the remedies proposed by the Lord Lieutenant and approved of by the Commons, but no laws for those purposes were introduced, and why they were not affords matter for melancholy conjecture. They could not have been insensible of the miseries of their fellow-creatures, many thousands of whom were lost in those years, some from absolute want, and many from disorders occasioned by bad provisions. Why was no attempt made for their relief? Because the Commons knew that the evil was out of their reach, that the poor were not employed because they were discouraged by restrictive laws from working up the materials of their own country, and that agriculture could not be encouraged where the lower classes of the people were not enabled by their industry to purchase the produce of the farmer's labour.

For above forty years after making those restrictive laws Ireland was always poor and often in great want, distress, and misery, though the linen manufacture had made great progress during that time. In the war before the last, she was not able to give any assistance. The Duke of Devonshire, in the year 1741, takes notice from the throne, that during a war for the protection of the trade of all his Majesty's dominions there had been no increase of the charge of the establishment; and in the year 1745, the country was so little able to bear expense, that lord Chesterfield discouraged and prevented any augmentation of the army, though much desired by many gentlemen of the House of Commons, from a sense of the great danger that then impended. An influx of money after the peace, and the further success of the linen trade, increased our wealth, and enabled us to reduce by degrees, and afterwards to discharge the national debt. This was not effected until the first of March, 1754. This debt was occasioned principally by the expenses incurred by the rebellion in Great Britain in the year 1715; an unlimited vote of credit was then given. From the lowness of the revenue, and the want of resources, not from any further exertions on the part of the kingdom in point of expense, the debt of L16,106 11s. 0-1/2d., due in 1715, was increased at Lady-day, 1733, to L371,312 12s. 2-1/2d. That Government and the House of Commons should for such a length of time have considered the reduction and discharge of this debt as an object of so great importance, and that nearly forty years should have passed before the constant attention and strictest economy of both could have accomplished that purpose, is a strong proof of the weakness and poverty of this country, during that period.

After the payment of this debt, the wealth and ability of Ireland were greatly overrated, both here and in Great Britain. The consequences of this mistaken opinion were increased expenses on the part of government and of the country, more than it was able to bear. The strict economy of old times was no longer practised. The representatives of the people set the example of profusion and the ministers of the Crown were not backward in following it. A large redundancy of money in the Treasury, gave a delusive appearance of national wealth. At Lady-day, 1755, the sum in credit to the nation was L471,404 5s. 6-3/8d., and the money remaining in the Treasury of the ordinary unappropriated revenue on the 29th day of September, 1755, L457,959 12s. 7-1/8d. But this great increase of revenue arose from an increase of imports, particularly in the year 1754, by which the kingdom was greatly over-stocked, and which raised the revenue in that year L208,309 19s. 2-1/4d. higher than it was in the year 1748, when the revenue first began to rise considerably; and though what a nation spends is one method of estimating its wealth, yet a nation, like an individual, may live beyond its means, and spend on credit which may far exceed its income. This was the fact as to Ireland in the year 1754, for some years before and for many years after; it appeared in an inquiry before the House of Commons in the session of 1755, that many persons had circulated paper to a very great amount, far exceeding not only their own capitals, but that just proportion which the quantity of paper ought to bear to the national specie. This gave credit to many individuals, who without property became merchant importers, and at the same time increased the receipts of the Treasury and lessened the wealth of the kingdom. At the very time that so great a balance was in the Treasury, public credit was in a very low way, and the House of Commons was employed in preparing a law to restore it. In '54 and '55 three principal banks failed, and the legislature took up much time in inquiring into their affairs, and in framing laws for the relief of their creditors. Yet in this session, the liberality of the House of Commons was excessive. The redundancy in the Treasury had, in the session of 1753, occasioned a dispute between the Crown and the House of Commons on the question whether the king's previous consent was necessary for the application of it. They wished to avoid any future contest of that kind, and were flattered to grant the public money from enlarged views of national improvements. The making rivers navigable, the making and improving harbours, and the improvement of husbandry and other useful arts, were objects worthy of the representatives of the people; and had the faithfulness of the execution answered the goodness of the intention in many instances, the public in general might have had no great reason to complain. Many of those grants prove the poverty of the country. There were not private stocks to carry on the projects of individuals, nor funds sufficient for incorporating and supporting companies, nor profits to be had by the undertakings sufficient to reimburse the money necessary to be expended. The Commons therefore advanced the money, for the benefit of the public; and it can never be supposed that they would have continued to do so for above twenty years, if they were not convinced that there were not funds in the hands of individuals sufficient to carry on those useful undertakings, nor trade enough in the kingdom to make adequate returns to the adventurers.

Having gone through more than half the century, it is time to pause. In this long gloomy period, the poverty of Ireland appears to have been misery and desolation, and her wealth a symptom of decline and a prelude to poverty; the low retiring ebb from the spring-tide of deceitful prosperity, has left our shores bare, and has opened a waste and desolate prospect of barren sand, and uncultivated country.

I have the honour to be, my Lord, &c.

Fourth Letter.

Dublin, 27th August, 1779.

MY LORD,

The revenue, for the reasons already given, decreased in 1755, fell lower in 1756, and still lower in '57. In the last year the vaunted prosperity of Ireland was changed into misery and distress; the lower classes of our people wanted food; the money arising from the extravagance of the rich was freely applied to alleviate the sufferings of the poor. One of the first steps of the late Duke of Bedford's administration--and which reflects honour on his memory--was obtaining a king's letter, dated 31st March, 1757, for L20,000, to be laid out as his Grace should think the most likely to afford the most speedy and effectual relief to his Majesty's poor subjects of this kingdom. His Grace, in his speech from the throne, humanely expresses his wish, that some method might be found out to prevent the calamities that are the consequences of a want of corn, which had been in part felt the last year, and to which this country had been too often exposed; the Commons acknowledge that those calamities had been frequently and were too sensibly and fatally experienced in the course of the last year, thank his Grace for his early and charitable attention to the necessities of the poor of this country in their late distresses, and make use of those remarkable expressions,--"that they will most cheerfully embrace every practicable method to promote tillage." They knew that the encouragement of manufactures were the effectual means, and that these means were not in their power.

The ability of the nation was estimated by the money in the Treasury, and the pensions on the civil establishment, exclusive of French, which at Lady-Day, 1755, were L38,003 15s., amounted at Lady-Day, '57, to L49,293 15s.

The same ideas were entertained of the resources of this country in the session of 1759. Great Britain had made extraordinary efforts, and engaged in enormous expenses for the protection of the whole empire. This country was in immediate danger of an invasion. Every Irishman was agreed that she should assist Great Britain to the utmost of her ability, but this ability was too highly estimated. The nation abounded rather in loyalty than in wealth. Our brethren in Great Britain, had, however, formed a different opinion, and, surveying their own strength, were incomplete judges of our weakness. A Lord Lieutenant of too much virtue and magnanimity to speak what he did not think, takes notice from the throne, "of the prosperous state of this country, improving daily in its manufactures and commerce." His Grace had done much to bring it to that state, by obtaining for us some of the best laws in our books of statutes. But this part of the speech was not taken notice of, either in the address to his Majesty or to his Grace, from a House of Commons well disposed to give every mark of duty and respect, and to pay every compliment consistent with truth. The event proved the wisdom of their reserve. The public expenses were greatly increased, the pensions on the civil establishment exclusive of French, at Lady-Day, 1759, amounted to L55,497 5s.; there was, at the same time a great augmentation of military expense. Six new regiments and a troop were raised in a very short space of time. An unanimous and unlimited address of confidence to his Grace, a specific vote of credit for L150,000, which was afterwards provided for in the Loan Bill of that session, a second vote of credit in the same session for L300,000, the raising the rate of interest paid by Government, one per cent., and the payment out of the Treasury in little more than one year of L703,957 3s. 1-1/2d., were the consequences of those increased expenses. The effects of these exertions were immediately and severely felt by the kingdom. These loans could not be supplied by a poor country, without draining the bankers of their cash; three of the principal houses, among them stopped payment; the three remaining banks in Dublin discounted no paper, and, in fact, did no business. Public and private credit, that had been drooping since the year 1754, had now fallen prostrate. At a general meeting of the merchants of Dublin, in April, 1860, with several members of the House of Commons, the inability of the former to carry on business was universally acknowledged, not from the want of capital, but from the stoppage of all paper circulation, and the refusal of the remaining bankers to discount the bills even of the first houses. The merchants and traders of Dublin, in their petition to the House of Commons, represent "the low state to which public and private credit had been of late reduced in this kingdom, and particularly in this city, of which the successive failures of so many banks, and of private traders in different parts of this kingdom, in so short a time as since October last, were incontestable proofs. The petitioners, sensible that the necessary consequences of these misfortunes must be the loss of foreign trade, the diminution of his Majesty's revenue, and what is still more fatal, the decay of the manufactures of this kingdom, have in vain repeatedly attempted to support the sinking credit of the nation by associations and otherwise; and are satisfied that no resource is now left but what may be expected from the wisdom of parliament, to avert the calamities with which this kingdom is at present threatened."

The committee, to whom it was referred, resolve that they had proved the several matters alleged in their petition; that the quantity of paper circulating was not near sufficient for supporting the trade and manufactures of this kingdom; and that the house should engage, to the first of May, '62, for each of the then subsisting banks in Dublin, to the amount of L50,000 for each bank; and that an address should be presented to the Lord Lieutenant, to thank his Grace for having given directions that bankers' notes should be received as cash from the several subscribers to the loan, and that he would be pleased to give directions that their notes should be taken as cash in all payments at the Treasury, and by the several collectors for the city and county of Dublin. The house agreed to those resolutions and to that for giving credit to the banks, nem. con.

The speech from the throne takes notice of the care the House of Commons had taken for establishing public credit, which the Lord Lieutenant says he flatters himself will answer the end proposed, and effect that circulation so necessary for carrying on the commerce of the country.

Those facts are not stated as any imputation on the then chief governor: the vigour of his mind incited him to make the Crown as useful as possible to the subject, and the subject to the Crown. He succeeded in both, but in the latter part of the experiment, the weakness of the country was shown. The great law which we owe to his interposition, I speak of that which gives a bounty on the land carriage of corn and flour to Dublin, has saved this country from utter destruction; this law, which reflects the highest honour on the author and promoter, is still a proof of the poverty of that country where such a law is necessary. Its true principle is to bring the market of Dublin to the door of the farmer, and that was done in the year ending the 25th of March, 1777, at the expense of L61,789 18s. 6d., to the public; a large but a most useful and necessary expenditure. The adoption of this principle proves, what we in this country know to be a certain truth, that there is no other market in Ireland on which the farmer can rely for the certain sale of his corn and flour; a decisive circumstance to show the wretched state of the manufactures of this kingdom.

In the beginning of the next parliament the rupture with Spain occasioned a new augmentation of military expense. The ever loyal Commons return an address of thanks to the message mentioning the addition of five new battalions and unanimously promise to provide for them; and with the same unanimity pass a vote of credit for L200,000. The amount of pensions on the civil establishment, exclusive of French, had for one year ending the 25th of March, 1761, amounted to L64,127 5s., and our manufacturers were then distressed by the expense and havoc of a burdensome war.

In the year 1762 a national evil made its appearance, which all the exertions of the Government and of the legislature have not since been able to eradicate; I mean the risings of the White Boys. They appear in those parts of the kingdom where manufactures are not established, and are a proof of the poverty and want of employment of the lower classes of our people. Lord Northumberland mentions, in his speech from the throne in 1763, that the means of industry would be the remedy; from whence it seems to follow that the want of those means must be the cause. To attain this great end the Commons promise their attention to the Protestant charter schools and linen manufacture. The wretched men who were guilty of those violations of the law, were too mature for the first, and totally ignorant of the second; but long established usage had given those words a privilege in speeches and addresses to stand for everything that related to the improvement of Ireland.

The state of pensions remained nearly the same by the peace the military expenses were considerably reduced; of the military establishment to be provided for in the session 1763, compared with the military establishment as it stood on the 31st of March, 1763, the net decrease was L119,037 0s. 10d. per annum; but as a peace establishment it was high, and compared with that of the 31st of March, 1756 being the year preceding the last war, the annual increase was L110,422 9s. 5-1/4d. The debt of the nation at Lady Day, 1763, and which was entirely incurred in the last war, was L521,161 16s. 6-7/8d., and would have been much greater if the several Lord Lieutenants had not used with great economy the power of borrowing, which the House of Commons had from session to session given them.

That this debt should have been contracted in an expensive war, in which Ireland was called upon for the first time to contribute, is not to be wondered at, but the continual increase of this debt, in sixteen years of peace, should be accounted for.

The same mistaken estimate of the ability of Ireland that occasioned our being called upon to bear part of the British burden during the war, produced similar effects at the time of the peace, and after it. The heavy peace establishment was increased by an augmentation of our army in 1769, which induced an additional charge, taking in the expenses of exchange and remittance of L54,118 12s. 6d. yearly, for the first year; but this charge was afterwards considerably increased, and amounted, from the year 1769 to Christmas, 1778, when it was discontinued, to the sum of L620,824 0s. 9-1/4d., and this increased expense was more felt, because it was for the purpose of paying forces out of this kingdom.

As our expenses increased our income diminished; the revenue for the two years, ending the 25th of March, 1771, was far short of former years, and not nearly sufficient to pay the charges of Government, and the sums payable for bounties and public works. The debt of the nation at Lady-Day, 1771, was increased to L782,320 0s. 0-1/4d. The want of income was endeavoured to be supplied by a loan. In the money bill of the October Session, 1771, there was a clause empowering Government to borrow L200,000. Immediately after the linen trade declined rapidly; in 1772, 1773, and 1774, the decay in that trade was general in every part of the kingdom where it was established; the quantity manufactured was not above two-thirds of what used formerly to be made, and that quantity did not sell for above three-fourths of its former price. The linen and linen yarn exported for one year, ending the 25th of March, 1773, fell short of the exports of one year, ending the 25th of March, 1771, to the amount in value of L788,821 1s. 3d. At Lady-day, 1773, the debt increased to L994,890 10s. 10-1/8d. The attempt in the Session of 1773, to equalise the annual income and expenses failed, and borrowing on tontine in the Sessions of 1773, 1775, and 1777, added greatly to the annual expense, and to the sums of money remitted out of the kingdom. The debt now bearing interest amounts to the sum of L1,017,600, besides a sum of L740,000 raised on annuities, which amount to L48,900 yearly, with some incidental expenses. The great increase of those national burdens, likely to take place in the approaching Session, has been already mentioned.

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