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Chapter 9Meant for a surprise? chimed in Dick.
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FORE:The year 1797 was opened by the suspension of cash payments. The Bank of England had repeatedly represented to Pitt, as Chancellor of the Exchequer, that his enormous demands upon it for specie, as well as paper money, had nearly exhausted its coffers and could not long be continued. The payment of our armies abroad, and the advances to foreign kings, were necessarily made[455] in cash. The Government, in spite of enormous taxation, had already overdrawn its account eleven million six hundred and sixty-eight thousand eight hundred pounds, and the sole balance in the hands of the Bank was reduced to three million eight hundred and twenty-six thousand eight hundred and ninety pounds. Pitt was demanding a fresh loan for Ireland, when a message came from the Bank to say that, in existing circumstances, it could not be complied with. Thus suddenly pulled up, the Privy Council was summoned, and it was concluded to issue an order for stopping all further issue of cash, except to the Government, and except one hundred thousand pounds for the accommodation of private bankers and traders. Paper money was made a legal tender to all other parties, and the Bank was empowered to issue small notes for the accommodation of the public instead of guineas. A Bill was passed for the purpose, and that it might not be considered more than a temporary measure, it was made operative only till June; but it was renewed from time to time by fresh Acts of Parliament. The system was not abolished again till 1819, when Sir Robert Peel brought in his Bill for the resumption of cash payments, and during the whole of that time the depreciation of paper money was comparatively slight.Early in the morning of the day she was to leave she went to the graveyard alone again. She was beginning to realize more than she had at first that Landor was quite gone. She missed him, in a way. He had been a strong influence in her life, and there was a lack of the pressure now. But despite the form of religion to[Pg 290] which she clung, she had no hope of meeting him in any future life, and no real wish to do so.

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In Massachusetts the colonists were more exasperated against Governor Bernard, on account of his letters reflecting on the Bostonians in the matter of the late riots, these letters having been laid before Parliament, and copies of them by some means procured and sent on by their agents. They declared that it was beneath their dignity to deliberate in the midst of an armed force, and requested Bernard to withdraw the troops, but he refused; and they, on their part, declined to vote supplies, on which he adjourned them to Cambridge. There, however, as Cambridge was only separated from Boston by an arm of the sea, they continued to protest against an armed force, as an invasion of the national rights of the colonists, and highly dangerous. Bernard soon announced to them his intention to sail for England, to lay the state of the colony before the king, and the house immediately voted a petition to his Majesty, praying him to keep him from coming back again. Bernard then called upon them to refund the money expended for the quartering of the troops; but that they pronounced quite as unreasonable as the Stamp Act, and finding them utterly intractable, Bernard prorogued the Assembly, and quitted the colony, leaving the administration in the hands of Lieutenant-Governor Hutchinson.179246These certainly were large concessions, but it was to be remembered that we had not received them for nothing; they had cost vast sums, and the national debt had been doubled by this war, and now amounted to one hundred and twenty-two million six hundred thousand pounds. These territories had, in fact, cost us upwards of sixty million pounds; and it is certain that Pitt would have exacted a more complete renunciation from France of the conquered countries. There was a clause inserted which Pitt would never have permittednamely, that any conquests that should be made after the signing of these articles, should be restored by all parties. Now, Bute and the Ministry knew that we had expeditions out against Cuba and the Philippines, and that the only conquests likely to be made were in those quarters. To throw away without equivalent the blood and money expended in these important enterprises was a most unpatriotic act. Still, there was opportunity for more rational terms, for Grimaldi, the Spanish ambassador at Paris, held back from signing, in hope that we should be defeated at Havana, and that then he could raise his terms. When the news of the loss of both Havana and Manila arrived, Grimaldi was in great haste to sign, and Mr. Grenville and Lord Egremont very properly insisted that we should demand an equivalent for the conquest in Cuba. Pitt would have stood firm for the retention of that conquest as by far the most important, and as justly secured to us by the refusal of the Spanish ambassador to sign at the proper time. But Bute would have signed without any equivalent at all. Fortunately, there was too strong an opposition to this in the Cabinet, and the Duke of Bedford was instructed to demand Florida or Porto Rico in lieu of Havana. Florida was yieldeda fatal, though at the moment it appeared a valuable concession, for it only added to the compactness of the American colonies, hastening the day of independence, whilst Cuba would have remained under the protection of the fleet, one of the most valuable possessions of the British empire.
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