lord to whom he alluded (Auckland) had expressed himself in terms of exultation upon the astonishing increase of the revenue. That this exultation was well founded was not perhaps so evident as his lordship might imagine. He then entered into a series of calculations, in order to prove the errors of lord Auckland's statements respecting the revenue and the charge upon it. The noble lord had stated the amount of the revenue to be upwards of 33 millions, with such a charge upon it as left a very considerable surplus in the hands of government to the public expenses of the year. It was evident, however, even from the papers upon their lordships' table, and from the speech of the chancellor of the exchequer lately published, that this statement was not correct. He then contended, that the amount of the revenue was little more than 31 millions. He then adverted to the erroneous statement made by the chancellor of the exchequer, and the fallacious views of the proportion between the revenue and the expenditure of the country, which he had held out. He next turned the attention of the House to the ruinous consequences that must result from the practice of peace loans, and asserted that the only remedy was, to equalize the revenue with the expenditure, however great. By a contrary conduct the danger must every day become more imminent. Nothing could be more prégnant with mischief than trifling with the finances of the country. What, then, were we to think of ministers who could be guilty of such gross mistakes, with regard to a point of such vast importance, or what confidence would the country repose in them? Persons who had so far misunderstood the finances of the country as to commit the gross and palpable mistakes which these papers and the statements of the ministry betrayed, were unfit to manage the concerns of the nation. He alluded to the weakness and instability of their conduct in every part of their administration, and concluded by moving that the financial papers on their lordships table should be referred to a private committee, who should examine the same, and report their opinions thereon to the House. Lord Auckland was thankful to the noble lord for bringing this important subject into discussion: he conceived, however, that their lordships had ample materials already on their table, and there [VOL. XXXVI.] fore would negative the appointment of a committee. It had been his object to give a true statement of the actual revenue and permanent charge, prepared, and verified, by officers of acknowledged accuracy and integrity. He would now briefly recapitulate the results, which were not matters of debate and dispute, as they rested on the evidence of facts. With these views he would confine himself to the abstract of the public income and permanent charge for the year ending the 5th April, 1803. The first article in that abstract shews, that the nett produce of the permanent taxes for the year had been 29,357,5751. The whole of that sum had been received in the exchequer, except about 470,000l. which had been paid in bounties on corn and rice, and which might clearly be considered as revenue. 2. The next sum, 165,7631. was an increase within the year, of balances in the hands of the receivers. Beer duties postponed on the 5th April 1803, in consequence of the credit given by law to the brewers, 245,8717. 4. Land-tax unredeemed and annual malt, 2,000,0007. to which must be added 125,6117. paid in transitu by the county receivers, for the militia and other purposes, making together 2,125,611. 5. Arrears outstanding on the beer and malt duties imposed in 1802, 557,4931. 6. The amount of the new additional assessed taxes, 835,646/. 7. The further produce of the new duties imposed in 1802, of which three quarters only are yet received. The accounts on the table state the fourth quarter at 1,052,1167. These several sums form a total of 34,340,069%. Add annual profit of the lottery, 370,000l. making altogether an income of 34,710,000l. 3. 1. He would next proceed to state the permanent charge on the revenue. Permanent charge on the unredeemned debt 17,674,7947. 2. Actual amount of the sinking fund 5,806,1217. 3. Civil list and parliamentary annuities 1,151,0167. making 24,631,931. Deducting the permanent charge, 24,631,000l. from the total income 34,710,000l. the balance, being 10,069,000. will be the sum applicable to the annual expense of the army, navy, ordnance, and miscellaneous services. And we have this large sum exclusive of what is paid for the civil list, and of the 5,800,000l. applying itself to the daily reduction of the debt; by the ex cellent operation of which system the debt is gradually converting itself into revenue. [4 L] subjugated people. With a disposition to preserve peace, as long as it can be preserved with honour, we must have the determination, to resist every attempt to violate our independence, or to injure our essential interests. He concluded by saying that he should negative the motion. The Earl of Moira asserted, that even from the noble lord's statement, it appeared, that there was a considerable deficit; for it only allowed an excess of nine millions, to meet an expenditure of thirteen. He thought it was most preposterous, to enter into a comparison of the revenues of the country now, with what they were in 1784; every body knew they had much increased, but he, for one, did not consider that increase as a subject of much exultation. We knew the numerous additional taxes, which had been the fruitful sources of this increase ; it was, indeed, consolatory to find, that the wonderful and unceasing skill and industry of the people of this great country pushes forward its commerce in spite of all its burthens. He never heard those very florid descriptions of our financial prosperity, without considering them as the forerunners of fresh expences and calamities. He did not wish false statements to be made, but he had a high opinion of the real strength and resources of this country, if it should become absolutely necessary to exert them to the utmost, against our ambitious and implacable enemy. He had thought it of the highest importance to give to his countrymen, in the present crisis, a well-founded confidence in their own resources and powers. He would next show, that the great increase of our revenue had gone hand in hand with the augmented prosperity of our trade and manufactures; he might add with our agriculture and population, and with every circumstance that constitutes national strength. It would be found by the papers before the House, that in the 20 years from 1784 to 1803, the annual produce of the old permanent taxes has increased from eleven to sixteen millions. And with respect to the commerce, that the total annual value of British imports and exports, taken on the same scale of valuation, is nearly doubled since 1793, and trebled since 1783. The total real value of British produce and manufactures exported in 1802 had been 48,500,000l. The revenue applicable in 1792 to the army, navy, ordnance, and miscellaneous services, was 4,700,000l. In the present year it is 10,069,000l. He was again aware that he should be told, that great as this revenue may be, it is three or four millions below the expenditure of the year. If it were meant by that insinuation, that the budget of the year ought to have brought forwards additional taxes to that amount, he could say, that such a proposition, if it had been made by the chancellor of the exchequer in November last, would have been treated with disregard and derision. He was as desirous as any man to avoid the creation of new debt, and to resist any system that may counteract the gradual discharge of the old. But surely we cannot be considered as having attained a peace establishment. From the treaty of Amiens to the present hour, the person who directs the counsels of France had done every thing to destroy the blessings of peace of which he talks so much. He had uniformly acted as if his government cannot subsist and be maintained, except in a state of agitation and convulsion. We have borne this treatment till the cup of provocation is filled to the very brim. Such a state of things must now resolve itself into settled ment nor the people, however, were peace or open war. Under this convic-aware, that, instead of a surplus, there tion, solicitous as he had been to show was an alarming deficit; that ministers had the greatness of our revenue, and the not only forgotten to provide sufficiently soundness of our resources, he was well for the expenditure, but that they apaware that other essentials were wanted. peared to have shut their eyes against the If we should ever cease to be a powerful conviction of truth. In support of the nation, we should soon find ourselves a observations which I am about to submit Lord Grenville said:-My lords; we are all much indebted to the noble lord who has so ably brought forward the present investigation. But had no member of this House challenged a discussion on the important subject, I should have thought it incumbent upon me to submit to your lordships a motion of a similar tendency. I cannot help recollecting the happy impression which the minister's speech made on the country at large, when he and his friends, previously to the Christmas recess, boasted so loudly of the great increase of the revenue, and of the wonderful surplus. Neither parlia fatally on the monied men as well as on parliament. It has served to delude, and may serve to ruin many worthy but credulous members of society, unles speedily checked, by an exposure of its pernicious tendency. In the imaginary budget of the year, we heard of the supposed expedient of a loan. Is this the last loan that will be deemed expedient to answer the exigency of government? If the minister could, instead of a deficit of millions, produce the regular surplus of a million a year, there would, perhaps, be little or no occasion for a loan. It was certainly a very pleasing communication to hear of a million surplus, applicable to the services of the state; but the more pleasing the communication of such news, the more mortifying when it was proved a delusion. On the very first appearance of this official statement, its internal as well as external evidence proved that it was void of foundation; and, notwithstanding the adventurous spirit of the noble lord (Auckland), who had vindicated the remarkable document, seldom or never did any statement of so short an existence turn out to be so totally erroneous. This statement, instead of exhibit to your lordships, I shall have little more of their conduct would not bear investito do than to refer to the official papers of gation. It was fallacious in the extreme. the chancellor of the exchequer, sanc-It certainly operated most powerfully and tioned by the noble lord (Auckland), and published to the world by their authority. Ministers have very unfortunately acted upon these fallacious data, and thence endangered the nation, and disgraced themselves. In the remarks which I am about to make, I wish by no means to damp the spirits, or cramp the energy of the country. Men may differ on matters of finance as well as on other topics of a public nature, without intending the smallest injury to their dearest rights and liberties. In calling the attention of the House to the detection of false statements, I wish to look our real situation fully in the face-I wish not to shrink from every mode of investigation which can lead us to truth. This country, thank God! has no cause for despondency. If, unfortunately, our ministers should involve us in the calamities of war, we have ample resources to enable us to protect our freedom and independence. We have a revenue fully adequate to any public emergency; but then it is requisite, that that revenue should be under the management of men capable of discharging their duty to the public-men worthy of the confidence reposed in them by a great, a powerful, and a liberal na-ing a surplus of one million, exhibited a tion-not of men, who, by a defect in judgment, and by an absence of talents, have not only involved themselves, but the country, in alarming disasters and disgrace. Such might be said to be the true picture of their financial results. Every man of political skill and experience could not help expressing much surprise at the extraordinary mode adopted before the Christmas recess, to announce to the na-judge hereafter whether any increase in tion the flourishing state of the revenue. our comparative income shall be applied This mode may be commendable on some in diminution of taxes or in accelerated occasions. A case may arise, when a reduction of debt. As to the expected deviation from the common practice in contribution from India, if it depended parliament may perhaps be requisite; but upon the noble marquis's exertion now at I cannot conceive that such a case ren- the head of our government in that quardered such a deviation an indispensable ter of the world, I should entertain no act at the time alluded to. If, however, doubt of seeing it fully realized. There it was necessary to congratulate parlia- are, however, two facts on which this exment and the country on such a joyful pected contribution very much depends: occasion, the statement on which minis- the maintenance of peace in India, and ters raised the superstructure of our hap- also in Europe. After the due considerpiness ought to have been supported by ation of the facts, with what justice could truth. The contrary, however, was un- ministers hold out so fallacious a statefortunately the real view of the subject. went to the public? I ask, what monied The financial statement on which minis-man, what merchant, who relied on the ters so much depended for a vindication statement made by the ministers before the gross deficit of upward of three millions; Christmas recess, would extend his confidence to the authors of that statement? Where is the much boasted surplus? Where is the proof of the flourishing state of our revenue? If the surplus does not exist-and it is evident that it does not it is the duty of ministers to adopt some measure to operate its production it is their duty to render the income equal to the expenditure. If we are to enter into a new war, let our resources be under proper management-let us fight for our rights and liberties, if reduced to the lamentable necessity, with all our national spirit, and all our energy. A noble lord had treated with indifference the maxim, that our income and expenditure ought at least to be equalized. Good God! am I not speaking in a country which has felt the truth of this principle? In a country, whose commercial existence depends upon its probity and honour? Then why deny the validity of such a maxim? But it is of a piece with the conduct of the men who have acted such a variety of characters under the same mask-who have advanced and receded-who have turned and returned-who have avowed and disavowed in the very same breath. But, say they" We calculated upon certain greater reductions in the army!" Reductions in the army! I know of no other mode of effecting a reduction of the army than that adopted by our ministers for the reduction of the navy. As they have ingeniously discovered, that ships of war may be put to sea against the enemy without men, so they may, perhaps, also discover, that generals may draw up an army in battle array without soldiers! Thus, to equalize their expenditure to their income, they may easily reduce both army and navy to the skeletons of what they hitherto have been! I am not actuated on this occasioning loans on a deferred interest: That by personal animosity. I speak of them as ministers. Were I called upon to declare what part of their public conduct was the most exceptionable, I would put my finger upon their gross mismanagement of the public revenue. I wish to call to the recollection of the House the following leading facts of the minister's finance administration:-first, his having given notice, within a very short time after his coming into office, of a repeal, or a very considerable modification of the salt duties, amounting to near a million annually, for which he proposed no tax in substitution. Thus taking a fallacious credit for the relief which such a measure, if it had been practicable, might have afforded to some parts of the country, without adverting to the additional bur thens which must have been laid on some other article, in order to replace that revenue-a pledge which seems to have been held out at the time only to gain a little momentary popularity. 2ndly, That when he came into office, he found a system established of raising a part of the supplies within the year, and this in a time of a most burthensome war. That this system, which he ought to have continued, at least to the extent of discharging in that mode a considerable portion of the remaining war expenses, he has totally abandoned, and, for the discharge of those expenses, has had recourse wholly to peace loans; and that even in the present year the amount of the money to be thus borrowed in time of peace will entirely suspend the effect of the sinking fund, by increasing the public debt on one hand faster than it can be paid off on the other; whereas it would have been the obvious policy of any wise government to have adopted such a system în peace as should have accelerated instead of retarding the reduction of the public debt, the large amount of which will be the principal difficulty with which we shall have to contend in war. 3rdly, That having for these purposes persevered in the injurious practice of peace loans, to the full extent of the whole excess of our expenditure beyond our permanent income, he has not even fairly met the indispensable duty of providing duly for the interest and gradual redemption of these loans; he is, on the contrary, the first minister who has ever introduced into our finances the dangerous principle of anticipating future resources by rais this has, indeed, in this first instance, been done to no very large extent; but that the introduction of the principle is not the less to be condemned. 4thly, That besides this, he has acted in open breach of the wise system established by parliament, by which every future loan was to be accompanied by a sinking fund, in the proportion of one per cent of the capital borrowed. That he has carried his violation of this fundamental rule to so great an extent, that he made his whole loan last year, to the amount of 30 millions, without any such provision. This was done under the pretence of a consolidation of the two existing sinking funds, The Earl of Westmoreland defended the statement of the minister, and thought it unfair to expect an exact balance of revenue and expenditure in the first year after a war. If peace should continue, he had no doubt, but that the estimates would be found correct. Lord Pelham defended the ministerial statement of the finances, but considered this as a question which, according to established usage, ought rather to be discussed in the other House of legislature. The Bishop of St. Asaph thought this was no time for invidious and warm discussion of such a nature. Parliament ought rather now to show itself perfectly united against the foreign foe. The question was then put and negatived. The King's Message relative to the Termination of the Discussions with France.] May 16. The Chancellor of the Exchequer presented the following Message from his Majesty: "G. R. by which it was said that the whole debt | be increased to four millions. On these would ultimately be paid off in a shorter grounds, I shall give my support to the period than before. It was true, that such present motion. an arrangement might have been proper and profitable, if, in addition to the funds to provide for the interest of the loan, other taxes to the amount required by the act of 1792, had been last year imposed, and their amount duly carried to the diminution of debt, though not to the redemption of that particular loan; or if, in any other mode, provision had, at the same time, been made for paying off within the year, such a proportionable amount of debt, as would have been equal in its effect to the annual amount thus withheld from the present operation of the sinking fund. But that the measure, unaccompanied by any such provision, operated only to relieve the present finance minister at the expense of his successors, and was, so far as it went, a direct breach of faith with the public creditors of the present day; because, although it be ultimately true, that the whole debt may be sooner paid off, yet a smaller portion would have been paid off at the particular periods within the interval, and particularly within the next ten years, when it is reasonably to be supposed the pressure of the public debt, and its consequent depreciation, are likely to be at the highest. 5thly, That having thus departed from the system of raising a part of the extraordinary expenses within the year having made peace loans for that purpose, to the total suspension of the sinking fund even in time of peace-and having omitted to make a due and full provision either for the interest, or for the redemption of those loans-the minister has now brought forward a statement calculated to persuade the country, that, without any additional sacrifices or burthens whatever, our permanent means may be expected to exceed our permanent expenditure; whereas the truth appears to be, that to meet even the reduced expenditure which he supposes, two millions in addition to the present revenue must be raised every year, either by peace loans, or by fresh taxes, unless that necessity should hereafter be superseded by any increase of the actual revenue -a supposition on which no government can safely rely for meeting actual deficiencies; and that thus to meet an expenditure equal to that which he himself proposed to parliament last November, this sum of two millions must, in some of these modes, "His majesty thinks it proper to acquaint the House of Commons, that the discussions which he announced to them, in his Message of the 8th of March last, as then subsisting between his majesty and the French government, have been terminated; that the conduct of the French government has obliged his majesty to recall his ambassador from Paris, and that the ambassador from the French republic has left London. "His majesty has given directions for laying before the House of Commons, with as little delay as possible, copies of such Papers as will afford the fullest information to his parliament at this important conjuncture. "It is a consolation to his majesty to reflect, that no endeavours have been wanting on his part to preserve to his subjects the blessings of peace; but under the circumstances which have occurred to disappoint his just expectations, his majesty relies with confidence on the zeal and public spirit of his faithful Commons, and on the exertions of his brave and loyal subjects to support him in his determination to employ the power and resources of the nation, in opposing the spirit of ambition and encroachment which at present actuates the councils of France, |