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"shallows, and thereby loses a great many of the seamen, destroys "a great deal of the tackle and rigging, and puts the owners to "a vast expense; however, at last, by chance, he hits the port, "and then triumphs in his good conduct." According to Wyndham, We have been like a man in a room, who wants to get out, "and though the door be open, and a clear way to it, yet he stalks "round the room, breaks his shins over a stool, tumbles over a chair, and at last, rumbling over every thing in his way, by "chance finds the door and gets out, after abundance of needless "trouble and danger (1)."

In proportion, however, as the Opposition flagged in argument, they (as usual in such cases) increased in virulence. The Craftsman still continued his weekly attacks with unabated spirit and with growing effect. Other pamphlets also appeared from the same quarter, under the name of Caleb Danvers; and one of these lashed the character of Lord Hervey with such asperity, that Hervey called on Pulteney to declare whether he was the author of the libel. After some altercation, Pulteney replied, that whether he were or not, he was ready to justify and stand by its truth: a duel ensued, and both combatants were slightly wounded (2). Hervey was a young man of considerable wit and ability, but most infirm health, insomuch that he found it necessary to live only on asses milk and biscuits. Once a week he indulged himself with an apple; emetics he used daily (3). He attracted ridicule by the contrast between his pompous solemn manner and his puny effeminate appearance; and still more unhappily for himself, he attacked Pope, who, in return, has sent down his name to posterity as a monster of profligacy, and a mere white curd of asses " milk!"

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Another pamphlet which Pulteney published in the same year, and in which he did not conceal his name, brought down upon him the full tide of ministerial resentment. He had disclosed some former private conversation between him and Walpole, in which Sir Robert had not spared the character of George the Second as Prince of Wales. However blamable this breach of confidence, Walpole ought not to have mixed the King in the quarrel; but he now prevailed upon His Majesty to strike Pulteney's name out of the list of Privy Councillors, and to order that the several Lords Lieutenant who had granted him commissions of the peace should revoke them (4). It should be observed also, that Pulteney's breach of confidence was not without justification. For the libel which he was answering contained a like disclosure of other conversations between him and Walpole; and as the former

(1) Speeches on the Address, January 13. 1732. (2) Mr. Thomas Pelham to Lord Waldegrave, January 28. 1731. Pulteney suspected Lord Hervey of having written a scurrilous pamphlet against him and Bolingbroke, called Sedition and Defa

mation displayed. The real author was Sir William Yonge.

(3) See a note to Coxe's Walpole, vol. i. p. 362. (4) Tindal's Hist. vol. vill. p. 104.

declares in his preliminary address," these passages of secret his"tory, however, falsely stated and misrepresented, could come "from nobody but yourself."

1733.

The year 1733 was marked by two great financial measures of Walpole, the first certainly wrong, but carried by large majorities; the latter as certainly just and wise, but repelled by the overpowering force of public indignation. The first was his proposal to take half a million from the Sinking Fund for the service of the current year. The Sinking Fund, established by Stanhope and Walpole himself in 1717, had been kept sacred during the whole reign of George the First. Since 1727, however, various encroachments had been made upon this surplus, and now in 1733, it received an open attack. It was truly urged by the Opposition, and especially by Sir John Barnard, member for London, a man of the greatest weight on all financial questions, that this precious fund ought never to be applied to any other purpose than that of discharging debts, except in the case of some extreme emergency; that to ease ourselves by loading our posterity is a poor, short-sighted expedient; "and the author "of such an expedient," emphatically added Barnard, “must 66 expect the curses of posterity."-"The Right Honourable Gentleman," said Pulteney, "had once the vanity to call himself the "Father of the Sinking Fund; but if Solomon's judgment was .. right, he who is thus for splitting and dividing the child can "never be deemed to be the real father." But Walpole had a most irresistible argument for the country gentlemen: he declared that if his proposal were not carried, he must move for a land-tax of two shillings in the pound-and his proposal was carried by a majority of 110! His biographer and warm admirer admits, on this occasion, "a dark speck in his financial administration (1)." For the example once set was too tempting not to follow. Next year 1,200,000l. the whole produce of the fund was taken from it; in 1735 and 1736 it was mortgaged and alienated. Our debts were always augmented in moments of difficulty, never diminished in a period of peace, until the Sinking Fund was restored, in a different era and on a new foundation, by the genius and integrity of Pitt.

It may be observed, however, in justice to Walpole, that many persons in the reign of the two first Georges entertained an idea, however erroneously, that the public debt was a main pillar of the established Government by interesting so many persons in its support, and were therefore extremely unwilling to take any measures for an effectual reduction (2). This idea was founded on the fear of the Pretender, who it was thought if once enthroned in the kingdom would never acknowledge the debts contracted'

F (1) Coxe's Walpole, vol. i. p. 371. See also
Sinclair's Public Revenue, part ii. p. 108.

(2) Sinclair's History of the Revenue, part ii.

p. 75.

mainly to keep him out of it. In an allegory of Addison, accordingly, we find James introduced as a young man with a sword in his right hand and a sponge in his left (1). Several Jacobites disclaimed any such intention, while the majority, no doubt, looked to it as an unfailing resource against all future financial difficulties. We may notice, also, that the fundholders, probably from the same apprehension, were very moderate and reasonable in their views, and that even the reduction of their interest in 1717 was not unpopular amongst them; at least one of their chief men, Mr. Bateman, told Lord Stanhope that he was glad the resolution had been taken, because though his interest was diminished, he should think his principal more secure than ever (2).

Walpole's next financial measure was the famous excise scheme. The excise duties, first levied in the civil wars, and continued, but curtailed at the Restoration, were progressively increased during the stormy reigns of William and Anne. The chief articles subject to them were malt, salt, and the distilleries: their average yearly proceeds rose, under William, to nearly one million; under Anne, to nearly two millions. No additional excise was laid on during the whole reign of George the First, except a small duty on wrought plate by Stanhope (3). From the progress of consumption, however, they had come in 1733 to produce about 3,200,000l. (4). But, meanwhile, the frauds and abuses in other parts of the revenue had become so great, and so repeatedly forced upon the consideration of Walpole, as to turn his thoughts to the whole subject, and induce him to frame a comprehensive measure upon it.

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Early intelligence reached the Opposition that some such plan was brewing, and they took care to poison and prepossess the public mind against it even before it was known. When the Sinking Fund was discussed, Pulteney pathetically cried, " But, "Sir, there is another thing, a very terrible affair impending! A monstrous project! yea, more monstrous than has ever yet been 66 represented! It is such a project as has struck terror into the "minds of most gentlemen within this House, and of all men "without doors! . I mean, Sir, that monster the Excise! "That plan of arbitrary power which is expected to be laid before "this House in the present session (5)!" The sensible advice of Mr. Pelham, to wait till the plan was disclosed, and not to enter "into debates about what we know nothing of," was utterly unheeded; and while the secrecy of the plan did not suspend the censures of the Opposition, it enabled them to spread throughout the country the most unfounded and alarming rumours respecting it. A General Excise is coming! was the cry; a tax on all articles

(1) Spectator, No. iii.

(3) See the motive of this duty explained, suprà,

(2) Bolingbroke on the State of the Nation. p. 214. (Polit. Works, vol. iv. p. 158. ed. 1773.)

(4) Walpole's Speech, March 15. 1733.
(5) Parl. Hist. vol. viii. p. 1203.

of consumption; a burden to grind the country to powder; a plot to overthrow the ancient Constitution, and establish in its place a baleful tyranny! The Craftsman had scarcely words enough to express his terror and resentment; and his eloquent voice found a ready echo in the bosoms of the people. For the excise duties, partly from their burden and partly from their invidious mode of collection, were most highly unpopular. They were considered oppressive, and contrary to the spirit of the Constitution,-called sometimes the cause and sometimes the consequence of bad government; and these feelings which had arisen long before the scheme of Walpole, continued long after it. Perhaps the strongest proof of them is displayed by the invective of so great a writer as Dr. Johnson, in so grave a work as his Dictionary. In the first edition, published in 1755, the word EXCISE is explained as "A "hateful tax levied upon commodities, and adjudged, not by 66 common judges of property, but by wretches hired by those to "whom excise is paid!"

Thus the public mind being highly sensitive, and easily excited upon the subject, and Walpole, as usual, paying little attention to the power of the press, there was a general ferment against the new scheme, even while its true nature and object remained entirely unknown. Many constituent bodies-amongst them the citizens of London-held meetings, and sent instructions to their members, entreating them to vote against every extension of the Excise Laws," in any form or on any pretence whatsoever." It was under these unfavourable circumstances, and after several preliminary skirmishes, that Sir Robert, on the 14th of March, disclosed his design in a temperate and masterly speech. He first complained of the common slander, that he had intended to propose a General Excise. "I do most unequivocally assert," said he that no such scheme ever entered my head, or, for what I know, the head of any man I am acquainted with. My

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thoughts have been confined solely to the duties on wine and "tobacco; and it was the frequent advices I had of the shameful "frauds committed in these two branches, and the complaints of "the merchants themselves, that turned my attention to a remedy "for this grownig evil. .. I shall, for the present, confine "myself entirely to the tobacco trade." He next proceeded to detail the various frauds on the revenue in this trade-frauds so frequent and so complicated, that while the gross produce of the tax was on an average 750,000l., the net produce was only 160,000l. The remedy he proposed was, stating it briefly, to bring the tobacco duty under the laws of excise, and to effect some improvements in the latter. The same might afterwards be applied to the similar case of the wine duty; and thus would the revenue be increased, at the same time that the fair dealer was protected. A system of warehousing for re-exportation, if de

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sired, was likewise to be instituted, "which will tend," said the Minister, "to make London a free port, and, by consequence, the "market of the world." By the increase in the revenue the landtax would no longer be required, and might be altogether abolished. "And this," added Walpole, "is the scheme which "has been represented in so dreadful and terrible a light-this "the monster, the many-headed monster, which was to devour "the people, and commit such ravages over the whole nation!"

Nor did Walpole fail in his speech to answer or anticipate objec tions, such as "the increase of revenue officers, which fear, inte66 rest; and affectation have magnified into a standing army. This "standing army, allowing the proposed addition to extend to to"bacco and wine, will not, according to the estimate of the com"missioners, exceed one hundred and twenty-six persons; that num66 ber, in addition to those already employed, will do all the duty. "In this computation, warehousekeepers are, of course, not in"cluded; their number must be uncertain for the satisfaction "and accommodation of the merchants. Another objec"tion is the power of officers to enter and search houses. This objection could not possibly have any weight without the aid of gross misconception or misrepresentation. All warehouses, cel"lars, shops, and rooms used for keeping, manufacturing, or selling tobacco are to be entered at the Inland Office. But no "other part of the house is liable to be searched without a war"rant and a constable, which warrant is not to be granted with"out an affidavit of the cause of suspicion. The practice of the "Customs is now stronger; they can enter with a writ of assistance "without any affidavit.-But why all this solicitude in behalf of "fraud (1)?"

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The reader has now before him a slight but I hope a clear outline of the ministerial measure. It might not be free from all objections, especially in its details, but it seemed to afford at the very least, a solid foundation for subsequent improvements. To the country gentleman, the abolition of the land-tax was clearly a great boon. To the merchant importer, the turning of the duties on importation into duties on consumption was undoubtedly no less a benefit. The working classes were not at all concerned in the question, since the retailers already sold tobacco at the rate of duty paid. Thus, then, unless we are prepared to say, with Sir William Wyndham, that “in all countries, excises of every kind ' are looked on as badges of slavery (2)," we shall rather join some of the ablest writers on finance of later times in approving the main principles and objects of Walpole's scheme (3).

(1) Walpole's speech is given at length, and from original notes, in Coxe's Memoirs, p. 385399. It began at nearly one o'clock. and occupied two hours and a quarter. Mr. Delafaye to Earl Waldegrave, March 15. 1733.

(2) Parl. Hist. vol. viii. p. 1392.

(3) See especially Smith's Wealth of Nations, vol. iii. p. 358. ed. 1784, and Sinclair's History of the Revenue, part iii. p. 28.