FORE:After a visit to Paris, Dumouriez arrived at[407] Valenciennes on the 27th of October, and prepared to follow the Austrian commander, Saxe-Teschen, who had been in vain bombarding Lille. On the 5th of November he overtook Saxe-Teschen at Jemappes. The Austrians were strongly posted, but were only about fifteen thousand men opposed to the sixty thousand French; yet they made a vigorous resistance. The battle raged from early in the morning till two in the afternoon, when the Austrians gave way. They retired, however, in good order; and Dumouriez, who had led his forces into the field singing the Marseillaise hymn, did not make much pursuit. Upwards of two thousand men are said to have fallen on each side. The battle placed all Flanders at the mercy of the French; Tournay opened its gates to Labourdonnais, and Courtrai, Menin, and Bruges sent deputies to welcome Dumouriez. Other towns rapidly followed their example. The country had been already Jacobinised, and now fancied it was going to enjoy liberty and equality in alliance with the French. The people were soon undeceived. The French had no intention of anything but, under those pretences, of subduing and preying on the surrounding nations. Flanders had speedy proofs of what every country where the French came had to expect. Jacobin Commissioners arrived from the Convention to levy contributions for the maintenance of the army, as if they were a conquered people. Dumouriez issued an order on entering Mons for the clergy to advance one year's income for the same purpose. Saxe-Teschen and old Marshal Bender evacuated Brussels, and on the 14th Dumouriez entered and took up his headquarters there. He there made heavy forced loans, and soon after arrived what was styled a Committee of Purchases from Paris, headed by Bidermann, the banker, and partner of Clavire, Minister of Finance. This Committee, on which were several Jews, made all the bargains for the army, and paid for themnot in gold but in the worthless assignats of France. The Belgians remonstrated and resisted, but in vain. Dumouriez advanced to Mechlin, having dispatched Labourdonnais to lay siege to Antwerp and Valence, and to reduce Namur. At Mechlin he found a great store of arms and ammunition, which enabled him to equip whole flocks of volunteers who came after him from France. On the 22nd, at Tirlemont, he again overtook Saxe-Teschen, who made another stout resistance, and then retired to Lige, where the Austrians made another stand on the 27th. They were repulsed, but with heavy loss on both sides; and soon afterwards, Antwerp and Valence having surrendered, all the Austrian Netherlands, except Luxembourg, were in the hands of France within a single month. Dumouriez sent forward Miranda, a Peruvian, who had superseded Labourdonnais at Antwerp, to reduce Roermond, and to enter Holland by the seizure of Maestricht; but the Convention were not yet prepared for this invasion of Holland, and Dumouriez pushed on to Aix-la-Chapelle, where he again defeated the Austrians on the 7th of December, and levying heavy contributions there, took up his winter quarters in the ancient city of Charlemagne, and within little more than a day's march of the Rhine.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.
