THE PROGRESS OF THE NATION THE PROGRESS OF THE NATION IN ITS VARIOUS SOCIAL AND ECONOMIC RELATIONS FROM THE BEGINNING OF THE NINETEENTH CENTURY , G. R 1 . >RTER A COMPLETELY NEW EDITION REVISED AND BROUGHT UP TO DATE BY F. W. HIRST EDITOR OF "THE ECONOMIST" METHUEN & CO. LTD. 36 ESSEX STREET W.C. LONDON This Edition was first Published in 1912 PREFACE PORTEE'S Progress of the Nation was a statistical and descriptive study of the social, economic, commercial, and fiscal changes which took place in the United Kingdom during the first half of the nineteenth century. The two first sections of the first edition were published in. 1836 and the remainder in 1838, the full title being Tht Progress of the Nation in its social and commercial relations, from the beginning of the Nineteenth Century to the Present Day. A second edition appeared in one thick volume in 1846, and a third in 1851. As the first edition was full of arguments for those fiscal changes in the direction of Free Trade which were being rapidly accomplished when the second and third appeared, these two later editions suffer; for the author naturally endeavoured to preserve as much of the original as possible. The rents in the old garment and the new patches are quite visible to the reader. The book, however, is a storehouse of information, highly valued by all who take a serious interest in the economic history of our country. It was commenced before the modern passion for govern- ment statistics had been developed or catered for. But Porter had excellent sources of information so far as information was then available. He was one of the founders of the Statistical Society, and in 1834, when the Board of Trade was reorganized, he was placed at the head of the Statistical Department. In 1840 he became senior member of the Railway Department, and in 1841 was appointed Joint Secretary to the Board of Trade (his colleague being MacGregor), a post which he retained until his death in 1852. It may be gravely doubted whether " the Progress of the Nation " is not a misnomer, if the condition of the working classes from, say 1794 to 1844 be impartially surveyed. Certainly in many parts of England and Scotland and probably in all parts of Ireland the poor in town and country were poorer at the end than at the beginning vi THE PROGRESS OF THE NATION of the period. The " progress " of debt, the increased burden of taxation upon food and commodities, and the effects of enclosures (graphically depicted in a recent book x ) more than counterbalanced the enriching and fertilizing march of science and invention. That at least is my judgment, though it would be out of place here to produce the mass of contemporary evidence by which it could be supported. Porter, however, was happily for himself an optimist, and he was more impressed by the improvements than by the short- comings of his time. And in the last years of his life he was privileged to see an outburst of prosperity following directly upon the adoption of those drastic measures which he had so urgently pressed both as an author and as an official. That the work is valuable has never been doubted. It had no rival among the compilations of that time. Porter was a thoroughly painstaking statistician with ready means of access to much information which was not procurable, or not easily procurable, by ordinary people. Professor Hewins, now secretary of the Tariff Reform League, has described Porter's Progress in the National Dictionary of Biography as " an invaluable record of the first half of the nineteenth century." It is, he adds, " remarkable for the accuracy and variety of its information, and for the skill with which the results of statistical inquiry are presented." Testimony so strong from such a witness relieves me from the need for making any elaborate justification of the present work, which aims at retaining what is still valuable in Porter and carrying his survey up to the present day. In a necessarily close perusal of the work I became aware of a vast amount of " padding " and of frequent lapses into intoler- able diffuseness and verbosity. These faults may probably be attributed to less competent assistants ; for in a few of the best chapters (which are here reprinted with trifling changes) Porter's obvious mastery of the subject does not suffer much from prolixity of style. I have in my library his translation of Bastiat's Sophismes Economiques (1846), and the sentences would hardly be called ungainly except by comparison with the original. My original intention was to go through Porter's wood, cut away all the dead branches, and then plant out new sections. But I found eventually that this easy method could only be justified in 1 The Village Labourer, 1760-1832, by Mr. and Mrs. Hammond. PREFACE vii the case of three or four chapters. The work therefore is sub- stantially new. Porter has been handled freely, and some of his deficiencies have been made good, though of course most pains have been bestowed on the later history, which carries us over the last sixty years of our economic and commercial development. Porter split the main part of his book into seven sections, adding an eighth for Colonies and Dependencies. The last section, which would have required another volume for adequate treatment, has been omitted. The seven sections have been abolished, as the divisions were not logical, and led to nothing better than overlapping and confusion. The result is a book of thirty-eight chapters. The first nine deal with the growth of population in the nineteenth century, with the trades and occupations of the people, with wages and employment, pauperism, housing, crime, intemperance and lunacy, education, local government, and the standard of comfort. This preliminary survey was contributed mainly by Mrs. Hamilton, Mr. C. M. Atkinson, and Mr. W. T. Layton, on whose competence to deal with questions of local government, criminology, wages and prices, there will be no dispute. Then follows the principal part of the book. Here also the additions made to Porter have necessarily been enormous. I find that he omitted some important trades, such as the potteries, that existed in his day, and barely touched on others. Many more, such as jute and the electrical industries, have grown up since his time, and most of those that existed have expanded and changed out of all recognition. This part of the work has been executed by members of the staff of The Economist under my supervision, and as nothing on this scale has been attempted before we can fairly claim the indulgence of the reading public. The figures taken from official sources have been so carefully tested and revised that errors must have been reduced to a minimum. But we cannot hope that every expert will be satisfied with the space or treatment of his particular trade. I console myself with the reflection that a general and particular survey, in more or less logical sequence, of all the leading trades of Great Britain and Ireland from Agriculture (Chapter X) to Beer, Spirits, and Tobacco (Chapter XXV) is unique ; and even those who find most imperfections will probably welcome this bird's-eye view (accompanied by official statistics) of the growth viii THE PROGRESS OF THE NATION and present state of our industries. Chapter XXVI is Porter's most informing chapter on our foreign commerce and navigation in the first half of last century. I have followed it up with a chapter on our foreign trade in the last sixty years and another on the progress of British shipping. Then comes a brief treatment of internal transit roads, canals and railways followed by postal developments. Next we have chapters on coinage, banking, and insurance. Chapter XXXV is Porter's valuable treatise on the public revenue and expenditure from 1800 to 1850, which I have endeavoured to carry forward to our own days in two further chapters the one treating of the national expenditure and debt, the other of taxation and commercial policy. A concluding chapter, in the preparation of which I have had valuable assistance from my friend Mr. W. T. Layton, deals with the difficult problem of the growth of national wealth and capital. The excellence of the index will, I feel sure, be acknowledged by all who have occasion to consult the book ; it was prepared by Mr. G. G. Whiskard. F. W. H. May, 1912 CONTENTS CHAPTER I POPULATION MM Historical summary I. Growth of population ; (a) Emigration ; (6) Natural increase The death-rate Infant mortality rate Birth-rate II. Constitution of popula- tion ; (a) Sex; (b) Age; (c) Marriage; (d) Birthplace III. Movement oi population IV. Physical infirmity ....... 1 CHAPTER II TRADES AND OCCUPATIONS Historical I. Children II. Women : home work ; Married women wage-earners III. Men: proportions in different occupations Occupational mortality . . 23 CHAPTER III WAGES (NOMINAL AND REAL), PRICES, AND EMPLOYMENT Real wages the test of improvement History of wages to 1815 and after Agricultural wages Industrial wages Index numbers of money wages History of prices Unemployment Movement of wages and prices since 1900 . . . .46 CHAPTER IV PAUPERISM Historical The Poor Law before 1834 The new Poor Law of 1834 Methods of relief Classification Movement of pauperism The Unemployed Workmen Act Coat of relief Medical relief The aged Urban and rural pauperism Children Vagrancy Scotland Ireland ........ 61 CHAPTER V HOUSING AND RENT Inhabited houses Rents Urban and rural conditions Overcrowding . . .91 CHAPTER VI CRIME DRINK INSANITY DIVISION I. Crime. 1. Historical The Criminal Code prior to 1850 Execution- Transportation 2. Prison Reforn-. 3. Criminal Statistics 4. Prison Adminis- tration 5. Causes of Crime. DIVISION II. Drink. DIVISION ULliuanity . 105 CHAPTER VII THE PROGRESS OF EDUCATION Primary education Voluntary schools The Act of 1870 State aid and rate aid Growth of secondary education Endowed schools The education of girls Con- tinuation and technical schools The Board of Education The Act of 1902 Provided and unprovided schools Evening schools School feeding Universities Scotland and Ireland . 132 x THE PROGRESS OF THE NATION CHAPTER VIII LOCAL GOVERNMENT IN GENERAL PAGK Historical The development of the organs of English local government Education and public health Functions of local authorities Municipal trading Municipal finance The Local Government Board ...... 153 CHAPTER IX THE RISING STANDARD OF COMFORT Reality of progress Increase in wealth General diffusion of wealth Working-class savings Rise in real wages Improvement in conditions of life Expenditure Amusements of rich and poor Holidays Religion ..... 166 CHAPTER X BRITISH AGRICULTURE, 1800-1850 Importations of wheat, 1801-1849 Comparative smallness of its amount Numbers fed with wheat of home and of foreign growth Increased productive power of Great Britain Means whereby this increase was brought about Deficiency of statistical information connected with agriculture in England Improvements in Scotland Inclosure Bills and average prices of wheat since 1760 Corn Law of 1815 Con- flicting testimony as to agricultural distress given to the Committee in 1833 Increased rents since 1790 Adaptation of the steam-engine to the draining of fens Land brought under cultivation since 1760 Proportion of cultivated land to the population at different periods during the nineteenth century Probability of population outstripping the productive powers of the soil Supposed influence upon this question of the extensive construction of railroads Estimate of the number of horses, the employment of which may by that means be rendered unnecessary .......... 175 CHAPTER XI BRITISH AGRICULTURE FROM 1850 Food supply Growth of imports Prosperity from 1850 to 1875 Heavy fall of prices and agricultural depression Gradual recovery after 1895 Agricultural statistics . 193 CHAPTER XII BRITISH MINES AND MINING Coal-Mining. Great Britain's mineral treasures History of coal-mining in first half of nineteenth century Shipments of coal from Tyne, Tees, and Wear, 1801-1849 Coal prices in Newcastle, Sunderland, and London Total shipments of coal, 1819- 1849 Approximate amount of coal carried on canals and railways in 1816 Estimated amount of coal used in smelting iron in 1850 " The limitation of the vend " Coal-Mining from 1850 onwards : Census of Production figures Labour value in coal England's proportion of the world's production Production, export, home consumption of coal, with total value of all exports, and value of coal exports from 1850-1909 Cause of export trade in coal Coal as raw material Coal as cargo Destination of our coal exports Importance of coal exports to our foreign trade Freights Price of coal since 1850 Jevons on price of coal Declining freights. Tin-Mining. Production of the Cornish tin mines, 1750-1834 Imports and re-exports of Banca tin Exports of British tin, 1820-1849. Tin-Mining from 1850 onwards : Production of white tin from British ores, 1850-1908 Imports and re-exports of tin ore and crude tin, 1850-1909 Price of tin (English bars), 1870- 1910 Census of Production figures. Copper-Mining. Production of copper in Cornwall, 1771-1848 Production of copper from British ores, 1820-1908 Imports CONTENTS xi of copper ore and regulus English copper-mining in eighteenth and nineteenth centuries Census of Production figures Prices of tin and copper, 1801-1834 Price of copper, 1880-1910. Lead- Mining. Production of lead from British ore, 1864-1908 Imports and exports of lead ore, red and white lead, and litharge is of Production figures Price of lead (English pig) from 1771-1909. Zinc. Production from 1860-1908 Imports and exports, 1895-1909 Census of Production figures Price of zinc, 1870-1909. Salt. Different sorts of salt Quantities of white and rock salt sent down river Weaver, 1803-1844 Various duties on salt during first half of nineteenth century Consumption of salt, 1801-1817 Exports of rock salt, 1827-1844 Destinations of salt exports, 1844 Exports of salt, 1880- 1909. Output of Mitcellaneout Mineral* in 1W7. Ironstone Iron pyrites Oil shale Fireclay clay and shale other than fireclay Limestone Sandstone, including Ganiston All other products Silver and gold production . . 213 CHAPTER XIII IKON AND STEEL MANUFACTURES Up to 1850. Quantity of iron made in England and Wales in 1740 Quantities made from 1823-1830 Sir John Guest's estimates in 1840 Mr. Jessop's estimates of iron made in 1840 Exports of bar iron, pig iron, and castings, 1801-1910 Steel trade of Sheffield during first half of nineteenth century Increasing use of iron, according to Sir John Guest Home consumption of iron, 1806-1844. From 1850 onicardt. Great changes in iron and steel trades during last half of nineteenth century The overlapping of various branches of iron and steel trades Increasing imports of foreign ores British iron fields and their outputs Manufacture of pig iron : (1) Forge and foundry, (2) Bessemer Great Britain's share in the world's production of pig iron Haematite iron Pig iron production from 1850-1908 Finished iron trades Decrease in importance as more steel produced Steel industry Crucible steel The Bessemer process Open-hearth process Basic process Iron and steel output of leading British districts in 1904 Output of steel since 1875 Prices of pig iron, steel and iron bars since 1835 Census of Production figures for 1907 237 CHAPTER XIV MAdllNKUY, ENGINEERING, SHIPBUILDING, AND ELECTRICAL TRADES 1SOO-1S50. Importance of perfect tools and implements Progress of manufacturing skill in their production Foreign mechanical inventions perfected and adopted in England Policy of allowing the exportation of machinery Laws for restraining artisans from going abroad Their repeal Value of machinery exported. / 1909. The Engineering trades Census of Production figures Exports of machinery and mill-work, 1845-1910. The Shipbuilding Jndustry.The first iron-built vessels Growth of industry, 1850-1910 Causes of growth Steel-built vessels Introduction of steam The compound engine Early steam-vessels Turbines Changes in design and structure Shipbuilding centres in the United Kingdom. The Electrical Industry. Age of industry Early experiments The discovery of the dynamo Uses of electricity Electric lighting and the arc lamp The Edi-Swan lamp Brush boom Parliamentary legislation Electric traction The electric motor Electric power Effect on industry and manufactures Towns Some problems of the electrical industry Foreign trade in electrical goods. Locomotive and H'er Amounts in different years Sources of supply Census of Production figures The building trade Ite importance Peculiar conditions determining it Unemployment in The supply of labour Ferro-concrete By-laws . . 425 xiv THE PROGRESS OF THE NATION CHAPTER XXIV FOOD SUPPLIES AND CONSUMPTION PAQB Statistics of consumption Changes in 50 years: (a) Conditions governing our food supply ; (b) Variety ; (c) Standard of consumption Working-class budgets Certain staple foods Wheat Other cereals Meat Fish Poultry Dairy Pro- duce Groceries Tea Coffee Sugar Cocoa Confectionery, etc. Fruit and vegetables .......... 432 CHAPTER XXV BEER, WINE, SPIRITS, AND TOBACCO eer. Origin of beer Early London beers The beginning of the brewery Duties on beer Quantities of beer consumed in England and Wales, and duties thereon, 1801-1829 Quantity of beer made, exported, and retained for home consumption, 1881-1909 Changes in public taste during the last fifty years Licensing duties Yields from various beer taxes, 1882-1910 Number of licences taken out, 1899-1903 The brewing trade during the past thirty years Our exports of beer. Malt. Consumption of malt in the United Kingdom, 1801-1841 Rates of duty and average consumption per head of population, 1740-1790 Quantity of malt, sugar, and other important ingredients used in brewing, 1880-1910. Wine, 1800-1850. Quantity and descriptions of wine used in Great Britain and Ireland Average consumption and amount of duty contributed, 1801-1841 Rates of duty, 1801- 1841 Consumption during the eighteenth century Quantity of wine made in France in first half of nineteenth century Quantities of French wine sold for consumption in the United Kingdom, 1815-1845. 1850-1910. Our imports of wine, 1850-1910 Decrease in consumption during second half of nineteenth century Our re-export trade in wine, 1860-1910 Countries that send us wines Sorts of wine imported in 1909 Yield from customs duties on wine, 1850-1910. Spirits, 1800-1850. Consumption of spirits during first half of nineteenth century Spirit drinking in Ireland Spirit drinking in Scotland Revenue derived from foreign spirits, 1841 Imports of rum and foreign spirits into the United Kingdom, 1802- 1841. 1850-1910. Quantities of spirits made, exported, retained for home consumption and retained in bond, 1880-1910 Imports of rum, brandy and other spirits, 1860-1910 Exports and re-exports of British spirits, 1860-1910 Yields from spirit duties, 1860-1910. Tobacco. The introduction of tobacco in England Tobacco duties in first half of nineteenth century Consumption of tobacco per head in modern nations Tobacco prices, 1842-1908 .... 454 CHAPTER XXVI A VIEW OF OUR FOREIGN COMMERCE AND NAVIGATION IN THE FIRST HALF OF THE NINETEENTH CENTURY Dependence of various countries upon each other for comforts and conveniences Peculiar advantages of England for prosecuting foreign commerce Effect of wars and commercial systems upon foreign trade Growing importance of its commerce to England Influence of extended markets in preventing ruinous fluctuations The corn laws Progress of foreign and colonial trade, from 1801 to 1849 Course of trade with various countries Opening of East India and China trades Dis- criminating duties on sugar on coffee on timber Continental system Return of peace Free Trade petition of London merchants Relaxation of Navigation Acts Reciprocity treaties Registered tonnage Ships built Ships entered and cleared, 1801-1849 .... .473 CHAPTER XXVII BRITISH FOREIGN TRADE (IMPORTS AND EXPORTS), 1850-1910 Imports and exports, 1850-1870 Second period, 1870-1890 Third period, 1890-1910 Mr. Chamberlain's Protectionist campaign with its statistical basis Exports of coal and machinery The excess of imports Food and raw material Our chief foreign and colonial customers Our chief imports and exports, 1860-1910 . . 517 CONTENTS xv CHAPTER XXVIII PROGRESS OF BRITISH SHIPPING r*ei 1800-1850. Early days of steam navigation Steam-vessels built and registered iu the United Kingdom and British colonies, 1814-1844 Steam-vessels belonging to British Empire, 1S14-1844 Early days of steam navigation on the Thames Steam-vessels entered and cleared in coasting and foreign trade, 1820-1844. 1850-1910. Tonnage of vessels registered as belonging to United Kingdom, 1850-1910 Tonnage of British vessels entered and cleared in foreign trade, 1851- 1910 Where British tonnage is employed Development of Far Eastern and Indian trade The Suez Canal Australian trade The Atlantic traffic European and Mediterranean trade South African trade South American trade The development of our coasting trade Numbers employed on British ships, dis- tinguishing British subjects and foreigners ...... 532 CHAPTER XXIX INTERNAL COMMUNICATION Introductory- Roads Canals Railways: railway statistics The gauge Speed Competition Receipts Expenditure ....... 546 CHAPTER XXX THE POST OFFICE Historical The penny post Post-office revenue and expenditure Post-office savings bank Telegraphs and telephones ....... 560 CHAPTER XXXI THE COINAGE SYSTEM OF GREAT BRITAIN AND THE EMPIRE Bad state of the coinage at the beginning of the nineteenth century Disappearance of coin Bank tokens Moneys coined, 1801 to 1910 Diminished weight of silver coins Proposal of double standard Copper coinage, 1821 to 1910 History of coinage after 1850 India and the Colonies ...... 567 CHAPTER XXXII PAPER CURRENCY AND BANKING, 1800-1850 Bullion Committee of 1810 The controversy on the currency High prices of gold, 1809-1815 Issues of paper money Peel's Act Panic of 1825 Formation of branches by Bank of England Establishment of joint-stock banks Number established, 1826-1836 Advantages of having only one bank of issue National Bank Influence of currency on prices Plan for estimating rise and fall of prices Effects of abundant or deficient harvests upon currency and prices Table of notes in circulation and bullion held by the Bank ...... 574 CHAPTER XXXIII PROGRESS OF BANKING, 1850-1900 Working of the Bank Charter Act and of the bank rate during crises Development of joint-stock banks Amalgamations and combinations The crises of 1847, 1857, 1866, 1890, and 1907 Paid-up capital and deposits .... CHAPTER XXXIV INM KANCE Growth of insurance business Marine insurance Lloyd's Fire insurance Employers' liability Life insurance Scientific exactitude The enormous volume of business 603 xvi THE PROGRESS OF THE NATION CHAPTER XXXV PUBLIC REVENUE AND EXPENDITURE, 1800-1850 PAGE Financial condition at the close of the eighteenth century Triple assessment Income- tax imposed Repealed Enormous Government expenditure Fallacious show of prosperity Misery of the working classes Their diminished command of the necessaries of life Effect of mechanical inventions in supporting the country under difficulties Gigantic expenditure during the French War Consequent exhaustion Gloomy forebodings of political writers in former times Amount of debt, 1793- 1816 Yearly income and expenditure, 1792-1849 Debts contracted, 1801-1821 Sinking fund Dead-weight annuity Conversion of perpetual into terminable annuities Expenditure beyond income during the war Income beyond expendi- ture since Plans of finance budgets Civil List from 1701-1849 Crown revenues- Pensions Miscellaneous services Salaries in Public Departments Reductions between 1815 and 1835 ..... ... 611 CHAPTER XXXVI NATIONAL EXPENDITURE AND DEBT, 1850-1910 National expenditure in 1851 Movements of revenue and debt from 1867 General survey of expenditure The national debt The army expenditure Naval ex- penditure Civil services ........ 640 CHAPTER XXXVII TAXATION AND COMMERCIAL POLICY, 1840-1910 Gradual removal of our old Protective and Preferential Tariff Mr. Gladstone's budgets South African War finance Mr. Lloyd George's budget of 1909 . . . 682 CHAPTER XXXVIII THE GROWTH OF WEALTH AND CAPITAL The increase of capital and its measurement Estimated growth of British capital from 1600 to 1800, from 1800 to 1885, and from 1885 to 1910 . . . .694 INDEX . 707 THE PROGRESS OF THE NATION THE PROGRESS OF THE NATION CHAPTER I POPULATION Hiatorical summary I. Growth of population ; (a) Emigration ; (b) Natural increase The death-rate Infant mortality rate Birth-rate II. Constitution of population ; (a) Sex ; (6) Age ; (c) Marriage ; (d) Birthplace III. Movement of population IV. Physical infirmity HISTORICAL INTRODUCTION " Y I iHE information that existed respecting the numbers of the inhabitants of this country was exceedingly vague and im- perfect up to the end of the eighteenth century. In the course of the seventeenth century the value of such knowledge began to be felt, and in the following century attempts were made to deduce the increase, or otherwise, from the difference between the births and burials in each decennary period commencing with 1700." There was, however, at that time a general fear that the population was decreasing ; and this apprehension caused a proposal, made in the House of Commons in 1753, for an official enumeration of the people, to meet with violent opposition. Members declared that such a project was "subversive of the last remains of English liberty," found in it " an engine of rapacity and oppression," thought it likely to be productive of " some public misfortune or epidemical distemper," and though the scheme passed through the Commons it was thrown out by the Lords. The main objection was that a census would show the increasing inability of the country to support an adequate army. By 1800, however, the fear of a decline in population had been replaced by a dread, stimulated by Malthus' Essay on Pojndation, that it was increasing faster than the means of subsistence. The of accurate information was strongly felt, and in 1800 a I'.ill for the first census passed without opposition. 2 THE PROGRESS OF THE NATION First Census, 1801. Previous to 1801 there existed no official returns for either England or Scotland : those for Ireland were first made in 1821. The scope and machinery of this first inquiry remained practically unaltered at the next three censuses, 1811, 1821, and 1831. There was no central authority. The enumeration was undertaken by the Overseers of the Poor, with the aid of the parish ministers and the co-operation of the Justices of the Peace. The scope of the inquiry was limited to an enumeration of the numbers of persons and houses in each parish, uninhabited dwellings being distinguished; and a simple classification of occupation as those employed in (a) agriculture ; (6) trade, manufactures, or handi- craft ; (c) other occupations than (a) or (6); and though in 1831 a further attempt at occupational classification was made, great difficulty arose at all early enumerations through want of uniformity in the interpretation of census questions a difficulty that renders exact comparisons with later years impossible. In 1821, the first year of a complete census of the United Kingdom, an age classification was for the first time introduced, and in 1831 an inquiry as to place of birth was included. But it was not till 1841 that the machinery and organization of the census received what has proved to be its final form as the result of two Acts of Parliament the Poor Law Act of 1834, which made the Poor Law Union the unit of administration over the whole country ; and the Kegistration Act of 1836, which instituted the District Superintendent Registrars as official recorders of births and deaths, and thus controlling census agents in England and Wales. Thus, after 1838, the natural growth of population can be traced by a comparison of the birth- and death-rates. That in spite of inevitable imperfections the four earliest censuses can be used as the basis for calculation and comparison, is no doubt largely due to the acute intellect of John Rickman, under whose superintendence they were undertaken. Rickman, whom his friend Charles Lamb describes as " a perfect man : up to anything, down to anything," was himself fully aware of the elements of inaccuracy due in part to defective machinery, in part to misunderstanding inaccuracy that has decreased at each subsequent census with the advance in statistical method associated with the names especially of Dr. Farr and Dr. Ogle. Allowing, however, for this margin of error, it is possible to view the century as a whole, and consider the growth of population from 1801 to 1901, and, with the aid of the latest figures so far as issued in the Preliminary Report of the Registrar-General, to 1911. POPULATION I. GROWTH OF POPULATION Looking first to the figures for England and Wales, it is seen that during the century the population has nearly quadrupled : it has risen by 265-8 per cent, in the period from 8,892,536 to 32,527,843. TABLE I. Growth of Population (England and Wales) Year. Persons. Males. Females. 1801 8,892,536 4,254,735 4,637,801 1811 10,164,256 4,873,605 5,290,651 1821 12,000,236 5,850,319 6,149,917 1831 13,896,797 6,771,196 7,125,601 1841 15,914,148 7,777,586 8,136,562 1851 17,927,609 8,781,225 9,116,384 1861 20, 066, 24 9,776,259 10,289,965 1871 22,712,266 11,058,934 11,653,332 1881 25,974,439 12,639,902 13,334,537 1891 29,002,525 14,052,901 14,949,624 1901 32,527,843 15,728,613 16,799,230 1911 36,075,269 17,448,476 18,626,793 The periods in which the rate of growth has been most rapid were 1811-1821, when it was as high as 18'06 per cent.; and, in the last half -century, 1871-1881, when it was 14'36 per cent. This decade includes a period of record prosperity, 1871-1875, as testified by a rising birth-rate and average wage-rate and a falling rate of pauperism and unemployment. Ireland. But while the population of England and Wales, and that of Scotland, has steadily increased since 1821, that of Ireland, which also rose up to 1841, has since 1841 steadily declined; it has fallen from eight millions in 1841 to not quite four and a half millions in 1901, and though the rate of decline was checked in 1911, the total failed to reach four and a half millions. It is to this decline in the population of Ireland that the variation in the rate of increase for the United Kingdom is largely due. In 1821, of an aggregate population of nearly twenty-one millions, 57*44 per cent, were living in England and Wales, 10-01 Scotland, 32-55 Ireland. r.ut in 1901, of 41,458,721 persons living in the United Kingdom, 78-46 per cent, were living in England and Wales, 10-79 Scotland, and only 107T, Ireland. THE PROGRESS OF THE NATION In 1821, 1831, and 1841 the population of Ireland was more than thrice that of Scotland; in 1901 it was rather smaller than that of Scotland. TABLE II. United Kingdom A. POPULATION Year. England and Wales. Scotland. Ireland. Uiiited Kingdom. Isle of Man. Channel Islands. 1821 12,000,236 2,091,621 6,801,827 20,893,584 40,081 49,427 1831 13,896,797 2,364,386 7,767,401 24,028,584 41,000 62,710 1841 i 15,914,148 2,620,184 8,196,597 26,709,456 47,975 76,065 1851 17,927,609 2,888,742 ! 6,574,278 27,368,736 52,387 90,739 1861 20,066,224 3,062,294 5,798,967 28,927,485 52,469 90,978 1871 22,712,266 3,360,018 5,412,377 31,484,661 i 54,042 90,596 1881 25,974,439 3,735,573 5,174,836 34,884,848 i 53,558 87,702 1891 i 29,002,525 4,025,647 4,704,750 37,732,922 55,608 92,234 1901 32,527,843 4,472,103 4,458,775 41,458,721 54,752 95,618 1911 36,075,269 4,759,445 4,381,951 45,216,665 52,034 96,900 1 1 B. INCEEASE ( + ) OK DECREASE ( - ) PER CENT. 1821-1831 + 15-8 + 13-0 +14-2 + 15-0 + 2-3 + 26-9 1831-1841 + 14-5 + 10-8 + 5-5 + 11-2 + 17-0 +21-3 1841-1851 + 12-7 + 10-2 -19-8 + 2-5 + 9-2 +19-3 1851-1861 +11-9 + 6-0 -11-8 + 5-7 + 0-2 -r 0-3 1861-1871 + 13-2 + 97 - 6-7 + 8-8 + 3-0 - 0-4 1871-1881 + 14-4 + 11-2 - 4-4 + 10-8 - 0-9 - 3-2 1881-1891 + 11-7 + 7'8 - 9-1 + 8'2 + 3-8 + 5'2 1891-1901 + 12-2 + 11-1 - 5-2 + 9-9 - 1-5 + 37 1901-1911 + 10-9 + 6-4 - 1-7 + 9-1 - 5-0 + 0-13 i i (Census 1901 and 1911.) The rate of increase for the United Kingdom fell from 11 -2 per cent, in 1831-1841, to 2'5 per cent, in 1841-1851 a fall due to a decrease of 19'8 per cent, in the population of Ireland, representing a loss of a million and a half of Irish people, as a result of the failure of the potato harvest in 1846 and the famine that followed upon it in 1847. Ireland shared in the general prosperity of .the decade 1871-1881, and the rate of decrease fell to 4'4 per cent. ; but in 1881-1891, when the rate of increase for England and Wales fell to 11 -7 per cent., the rate of decrease for Ireland more than doubled itself, rising again to 9*1 per cent. In 1901-1911, however, the Irish rate of decrease fell again to 1-7 per cent.; and the general rate of increase for the United Kingdom was 9*1 per cent. POPULATION 5 Causes of Increase. The growth of population depends upon two factors ; i.e., (a) The balance between emigration and immigration, and (6) " Natural increase," or the difference between the number of births and the number of deaths. Where the actual increase is lower than the natural increase, as has been the case in every year since 1831, the explanation must be looked for in an excess of emigration over immigration. (a) Emigration and Immigration. That the movement of popu- lation is not dictated solely by economic causes is obvious. Advan- tages of climate and natural resources attract immigrants ; social and political disabilities impel men to leave their native land. But the main cause of emigration as it has affected the United Kingdom has been the state of the labour market at different periods and the difficulty of acquiring land. As Porter points out : " In any country which is making any considerable progress in the ai Is of life, changes will from time to time occur in the sources of employment for particular classes of the people, which must be felt as hardships by individuals, although to the country at large they are productive of great and permanent good." At such times it is natural for those suffering from a distress that, though transitory from the point of view of the historian of progress, is to them long enough to be destructive, to seek better fortune elsewhere. Again : "In the early part of the present century, although the cry of distress was occasionally loud and urgent on the part of the labouring classes, that distress was occasioned more by the dearnesa of provisions than by any deficiency of employment, as a remedy for which, if it had occurred, the ranks of the army were at all times open. The return of peace threw back in considerable numbers upon the community the surplus labourers who had been thus absorbed, two deficient harvests occurred successively in aggravation of this inconvenience, and in the year 1820 the evil had grown to so great a height that the Government undertook the task of conveying settlers and locating them in South Africa." 1 s,OS4 persons emigrated in that year. It is natural that the emigration figures should have risen to their highest point in the years 1845-1861, for within that period lii-'-vu, t.h<- drain from Ireland which has since been stem lily ^"iir4 (in, though latidly in much di-cri-.-t.^-.l numbers. Tl:'' r>;clv tiuni-'.-i are far from ronij-U u j : before 1851 nation- ality is ii't (liHtMvnti -ib'l. P.. -I wren ls:'.I 1 S-l I the total emigra- tion, to all parts, from the United Kingdom was 490,871. In the five years 1846-1850 it rose to 1,216,507, of which total 855,154 went to the United States (in 1849, for example, out of THE PROGRESS OF THE NATION 299,498 emigrants, 219,450 went to the U.S.A.). In 1871-1881 emigration fell to 1,697,719, of which total 530,924 were Irish; rising again to 2,593,226 in 1881-1891, it fell again to 1,762,734 in 1891-1901, 465,273 being Irish. And whereas in 1860 British immigrants to the U.S.A. formed 51 per cent, of the total immigration thither, in 1903 only 8 per cent, were British (includ- ing Irish). Irish emigration to U.S.A. was 741,883 in 1881-1891, only 465,273 in 1891-1901. The number of Irish born in U.S.A. was 1,871,509 in 1890, and 1,618,567 in 1900 (U.S.A. census). TABLE III. Emigration Years. Total. English. Scottish. Irish. 1821-1831 196,658 1831-1841 499,871 1841-1850 1,216,507 1851-1861 2,054,578 640,316 182,954 1,231,308 1861-1871 1,674,594 649,742 158,226 866,626 1871-1881 1,697,719 996,038 170,757 530,924 1881-1891 2,593,226 1,572,717 278,626 741,883 1891-1901 1,762,734 1,109,556 187,906 465,273 Since 1851 emigration has always exceeded immigration by an appreciable amount, but this excess has steadily declined since 1881. In 1891-1901 the number of emigrants showed a decline, as compared with 1881-1891, of 830,492 ; whereas the number of European foreigners immigrating increased from 198,113 in 1891 to 247,758 in 1901. Thus, while the loss of population by excess of emigration over immigration was '73 per cent, in 1881, and 2*31 per cent, in 1891, it was only '23 per cent, in 1901. Though emigration still exceeds immigration, emigration is decreasing while immigration is increasing. The increase of the foreign population has been much more rapid during the century than the increase of the general population. Its proportion to the whole in 1901 was twice what it was in 1861. The recent remarkable increase in immigration from Russia and Italy is worthy of note. In 1861 the number of Russian immigrants was 1633, in 1891 it was 23,626, and in 1901 61,789 an increase of 161*5 per cent, on the high total of the previous census. In 1861 the number of Italian immigrants was 4489, in 1891 it was 9909 ; in 1901 it showed a further increase of 105*2 per cent., the numbers rising to 20,332. These foreign arrivals are POPULATION found almost exclusively in industrial centres and at seaports, 85 per cent, being found in London and eighty-four other large towns. TABLB IV. Aliens Enumerated in England and Wales Aliens, irrespective of Persons in England Nationality (British and Wales. Subjects and Foreign Subjects). Aliens, classified as Foreign Subjects. Census k*3 . ^ . Years. -r - h - ^ I c 9 I ~ Persons. tS'o 1 |i ' ||| J t J jj 3 5. te S, o* fl 0? O Ci ^- 2L 5.o rt o g2^ B" 1841 15,930,781 ... 1 42,004 (Porter) 1851 1861 20,066,224 101,832 5-1 84,090 4-2 1871 22,712,266 13-2 139,445 36-9 6-1 100,638 197 4-4 1881 25,974,439 14'4 174,372 25'0 67 117,999 17-3 4'5 1891 29,002,525 11 7 233,008 33-6 8-0 198,113 67-9 6'8 1901 32,527,843 12-2 339,436 457 10-4 247,758 25-1 7'6 TABLE V. Distribution of Aliens 1881. 1891. 1901. London County . 60,252 95,053 135,377 Manchester .... 2,805 2,941 11,737 Liverpool .... 6,858 7,402 8,974 Leeds 2,131 5,927 7,426 In London itself they are very unequally distributed, there were in In 1901 Stepney . Westminster St. Pancras Marylebone Bethnal tlnv Woohvi.li . r ,4,310 11,831 8,156 |,MQ 4,634 411 The Commission on Alien Immigration (1902) declared "the greatest evils produced by alien immigration " to be " the over- crowding caused by them in certain districts of London, and the consequent displacement of the native population." Census figuics, however, do not at all bear out the assertion commonly made that 8 THE PROGRESS OF THE NATION alien immigrants largely fill workhouses, infirmaries, and lunatic asylums in England. In the East London areas constituting the Boroughs of Bethnal Green, Poplar, Shoreditch, and Stepney, 62,843 European foreigners, living under the poorest conditions, were enum- erated in a population of 715,739 ; but among the 10,820 pauper inmates of the workhouses of this area, only 109 were European foreigners. In 1891 there were 13 '5 per cent, indoor paupers per thousand of population, 1'7 among the European foreigners; in 1901 the figures were 15'1 and 1*7 per thousand respectively. (6) Natural Increase. Considerable space has been devoted to the balance of emigration and immigration as a factor in the actual increase of population ; but the figures recording the progress of natural increase are far more interesting and important. Since the institution of the Registration of Births and Deaths in 1837, the birth-rate has always exceeded the death-rate; there has always been an increase in the population. But since 1880 the rate of this increase, which had risen steadily from 1838, began to decline. The number of births per thousand has declined since 1880, and though the death-rate has also declined, its decrease does not quite counterbalance the fall in the death-rate. A table will make this clear. TABLE VI. Natural Increase of Population (by Excess of Births over Deaths) 1 Per 1000 of Population. Period. Average Annual Birth-Rate. Average Annual Death-Rate. Average Annual Natural Increase. 1838 . 1 30-32 22-41 7-91 1839 . i 31-77 21-86 9-91 1840 . ' 31-96 22-89 9-13 1841-1845 32-36 21-40 10-96 1846-1850 32'83 23-34 9-36 1851-1855 i 33-9 22-7 11-2 1856-1860 34-4 21-8 12-6 1861-1865 351 22-6 12 :> 1866-1870 1 35-3 '22'4 12-9 1871-1875 35-5 22'0 13-5 1876-1880 ' 35-3 '20-8 14-5 1881-1885 33-5 19'4 14-1 1886-1890 31-4 18'9 12-5 1891-1895 30-5 187 11-8 1896-1900 : 29'3 17-7 11-6 1901-1905 28'1 16-0 12-1 1906 . 27-1 15-4 11-7 1907 . ; 26-3 15-0 11-3 POPULATION The Dtath-Rate. " The increase of population which results from a diminishing proportion of deaths is an .unerring sign of advancing prosperity and improved sanitary conditions." The steady decline in the death-rate from 1801 to 1851 may be assigned, among other causes, to the less crowded state of dwellings, the command of better kinds of food, the superiority and cheapness of clothing, more temperate habits, and greater personal cleanliness. One influential cause of diminished mortality among children was the introduction of vaccination. The decline in the deaths from smallpox was certainly remarkable : TABLK VII Years. Total Average Mortality. Average Mortality from Smallpox. Proportion of Deaths due to Smallpox, per 1000 Deaths. 1770-1779 21,591 2204 102 1780-1789 19,517 1712 88 1790-1799 19,177 1768 92 1800-1809 18,891 1374 73 1810-1819 19,061 833 43 1820-1829 20,680 715 85 1830-1836 24,356 610 25 In 1869 the proportion of deaths from smallpox was only 2 '6 2 per thousand, and in 1908 there were no deaths from smallpox. If in 1851 a proportion of 25 deaths per thousand from small- pox seemed to offer food for congratulation, it must be remembered that at that period sanitary science hardly existed and disinfection was practically unknown. It was the outbreak of a huge and destructive cholera epidemic which scourged London in 1866 that led to the appointment of the Royal Sanitary Commission, and enabled John Simon, then medical adviser to the Government, and " the creator of sanitary science in all its modern aspects," to effect some co-ordination of the confused machinery of local administration of public health under the general diivrti.in of tin- new Local (lovrrnment Hoard. London still drained into tli" Thames, which \vas one ^aiitie se v bed I'.iek and foruard by the tide. Many largi; towns had no sewage sy.-tem. and epidemics were frequent. Smallpox ravaged London and the provinces in 1871; and when the 1'iiiiee of Wales was laid low with typhoid, public interest awoke. In IST.'i the Public Health Act consolidated all that Simon had done in the appointment 10 THE PROGRESS OF THE NATION of local health authorities, medical officers, and inspectors of nuisances, etc. Since 1869 enteric fever has greatly declined. The deaths from that cause have fallen from 390 per million in 1870 to 67 in 1907, and typhus and smallpox have practically died out (the deaths from these two diseases having declined from 193 and 262 per million respectively in 1869, to 1 and in 1909), the improve- ment being due to improved sanitary administration. The same decline is shown in the death-rate from scarlet fever, diarrhrea, dysentery and cholera, phthisis and bronchitis, and all forms of tuberculosis. The latter disease accounted for 3566 deaths per million in 1869, for 1605 in 1907. The mortality of rural districts is about 23 per cent, lower than that of urban districts. Taking an average of the years 1902-1906 Corrected Death-Rate England and Wales . London and ten urban counties Sixteen rural counties . 15-69 17-21 13-26 While the general mortality of rural districts is 23 per cent, lower than that of urban, the infant mortality rate is 33 per cent, lower in rural districts. Infant Mortality. The importance of the rate of infantile mortality was hardly realized in the first half of the century, and exact figures, therefore, cannot be given. TABLE VIII. Infant Mortality in England and Wales, and London. Deaths of Infants under One Tear of Age per Thousand Births 1850. 1857. 1860. 1870. 1880. 1890. 1900. 1901. 1905. 1907. England and Wales London 146 140 154 152 148 153 160 164 153 158 151 163 154 160 151 149 128 131 118 117 Annual Mortality of Children per Thousand Living Ages. 1857. 1860. 1870. 1880. 1890. 1900. 1901. 1905. 1907. Under 5 5-10 . 10-15 . 67-8 7-8 4-7 62-2 6-8 1-2 69-6 8-6 4-5 64-2 6-2 3-3 58-1 5-0 2-9 56-5 4-2 2-4 54-1 4-0 2-3 447 3-4 2-1 40-9 3-4 2-0 POPULATION 1 1 From these two tables it can be seen that since 1870, when the mortality of infants under one year, and of children, reached its highest point in the century, it has declined, and that since 1900 in particular the decline has been not only steady but rapid. Whether we take the number of deaths per thousand births or per thousand living, the decline is marked. The death-rate of infants under one year was 146 per thousand births in 1850, 118 in 1907. In the decade 1891-1900 it was 181'2 per thousand living under the age of one year. There is thus a marked improvement, and in no European country save Holland is the infant mortality rate so low as in England. In France for 1896-1905 it was 149 per thousand births, in Prussia 196, in Russia 268, in England 147, in Holland 144. The reduction in the rate effected in the last decade is so great that it is to be hoped that increased recognition of the gravity of the evil as it still remains may produce greater improvements. Children under five years of age form one-ninth of the population : their death-rate is responsible for one-fifth of the total number of deaths. It has been shown, too, that the rate rises directly with urban conditions : that it is high in mining and industrial districts and where women go out to work ; lower in purely agricultural ones. The extreme importance of safeguarding infant life is clearly seen when the decline in the birth-rate is taken into account. The Birth-Rate. The 70th Report of the Registrar-General observes that it may be stated that during the past thirty years 14 per cent, of the decline of the birth-rate is due to the decrease in the proportion of married women in the population of conceptive ages; over 7 per cent, to the decrease in illegitimacy. The remaining 79 per cent, is considered to be largely due to deliberate restriction. Whether the decline in the birth-rate, when accompanied by such progressive decline in the death-rate as maintains an annual rate of increase in population, is to be regarded as an evil or not, depends on qualitative considerations for which exact data are lack- ing. " It has been usual with writers on political economy to point ter Million Living 1901. iUrban A;:v.re;:al' "f Rural District*. IfaiM, taatkt 1891. Urban District*. Male*. Females. Rural District*. Male*. Female*. All ai;es Under 5 5-10 . 10-16. 20-26 . 25-36 . 36-46. 45-55 . 66-66. 66-75. 75-86. 85 and upwards 47'l.414 67,081 68,561 KM 18,881 46,778 njaa m,n 68,004 60,880 BMBI c-7. _".:'. 57,102 56,618 502,707 88,700 . :i.. ',:.:( 40,247 ttjoa 406 45,151 66,849 68481 4l,i;i7 41,123 73,064 .Vi, 771 I7M*7 61,165 67,488 54,149 580,478 61,360 57,915 mjm 61,303 .Vi 1,0 11 81,818 IMI.M.', 44. -Ji--. 17,871 6,114 780 njm 8,741 1,044 10,016 1,470 66,781 4 1,868 J4,i7i; l-J.7-1 3,729 BH 82,894 60^887 4M8f i,as:. 80,788 C.-,,tJi> 18^76 4-J, W.< MOi 40,373 68,668 MM 769 45,421 34,421 8M6B 1,018 1,436 (Census, Table XXII. p. 214.) TABLE XIII. Marriage-Rate V*i- Marriage-Rate per 1000. Women under 21 : percentage of Persons Married. England and Wales. London. England and Wales. London. 1838 15-44 1840 15-62 ..* 1850 17-20 ... 15-1 1860 17-1 20-2 19-4 1870 16-1 18-9 21-6 15-0 1880 14-9 18-1 21-5 18-1 1890 15-5 17-6 19-5 18-8 1900 16-0 18-0 16-3 16-5 1907 15-8 17-0 14-2 11-8 (d) Birthplace. In the course of the century 1801-1901 the proportion of the inhabitants of England born in that country or in Scotland has varied very little ; on the other hand, the proportion of Irish living in England has steadily declined. 29 per thousand in 1851, it was 24'9 per thousand in 1871, I'Mi." in 1881, 15*8 in 1891, and only 13'11 in 1901. i6 THE PROGRESS OF THE NATION While the proportion of Irish has declined, that of persons born in the Colonies and India has risen from 1'8 per thousand in 1851 to 4'18 in 1901 ; and that of persons born in foreign parts has risen from 3 '4 per thousand in 1851, 5 '07 in 1861, 6-14 in 1871, to 8'03 in 1891 and 10'44 in 1901, of which number 2'39 per thousand were classified as British subjects. Within England itself there is naturally migration from county to county, and especially from the agricultural districts to the large towns. A comparison of Porter's figures for 1841 and those of the 1901 census show how this tendency has increased. TABLE XIV. Birthplaces of Population of England and Wales 1841 (Porter). 1851 Census. 1861 Census. 1871 Census. 1881 Census. 1891 Census. 1901 Census. Total population 15,914,148 17,927,609 20,066,224 22,712,266 25,974,439 29,002,525 32,527,843 Born in England and Wales . 15,362,671 17,165,656 19,120,032 21,692,165 24,855,822 27,882,629 31,269,203 Born in other parts . 551,477 1 761,953 946,172 1,020,101 1,118,617 1,119,896 1,258,640 Born in Scotland 121,507 1 130,087 169,202 213,254 253,528 282,271 316,838 Born in Ireland 292,935 519,959 601,634 666,540 562,374 458,315 42G.5G5 Born in islands in British seas . 13,753 18,428 25,655 29,316 30,370 35,703 Born in British Colonies and India ... 33,688 51,572 70,812 94,399 111,627 136,092 Born in foreign parts 61,708 101,832 139,445 174,372 233,008 339,430 Born at sea 2,758 3,509 4,395 4,628 4,305 3,946 Proportion of Persons in England residing in the County of their Birth. For the year 1841 Porter gives the following: Males. Females. Total. Per Cent. In England English born Residing in county of birth 5,900,950 6,190,434 12,091,394 80-7 Out of native county . 1,223,172 1,247,384 2,370,556 15-9 In Wales- Born in Wales or England Residing in county of birth 375,945 ! 398,448 774,393 ' 84-9 Out of native county 64,968 ; 61,360 126,328 13-9 The census for 1901 finds that in 1000 males enumer- ated in each county, the number born therein was 712, in 1000 females the number born therein was 704 ; and in 1000 native males of each county enumerated 743 resided therein, in 1000 native females 729 resided therein. P01TI.ATION 17 III. MOVEMENT OF POPULATION The history of the movement of the population during the century is the record of a process increasing agglomeration in towns. The population of these urban areas had risen from 9,000,000, or 50 per cent, of the population of England and Wales, in 1851, to 1 1 .(500,000, or 68 per cent., and to 25,000,000, or 75 per cent., in 1901. Rural districts meantime are being depopulated, as can be seen by comparing the natural increase over the whole area of registration districts containing no urban district with more than 70,000 inhabitants, and comparing it with the actual increase. In 1891-1901 the natural increase was 565,253, whereas the actual increase was 64,599 ; the loss by migration thus being 500,654, or 91* 1 per cent, of the population. The country districts are thus depleted by the influx of their best health and strength to the towns. Thus, although in every county in the ten years 18911901 the births outnumbered the deaths, the population absolutely declined in ten agricultural counties (Oxford, Huntingdon, Hereford, Rutland, and Westmoreland in England, and Cardigan, Brecknock, Montgomery, Flint, and Merioneth in Wales), while in twenty-seven others, including London, the actual increment was less than the natural increment due to the excess of births over deaths. That is, these twenty -seven counties lost by migration. On the other hand, eighteen counties predominantly industrial, but including all those immediately surrounding London, gained by migration in excess of their natural growth. Between 1891-1901 Essex gained 170,693. Of the persons born in London 261,533 were enumerated in the county of Essex, nearly 200,000 being resident in West Ham, East Ham, Walthamstow, and Leyton. Middlesex gained 156,824. Of the persons born in London 241,384 were enumerated in the county of Middlesex, half of them residing in Willesden, Tottenham, and Hornsey. Surrey -.mic'l 77,089 (1 14,041 of the persons born in London iini; th< -re). Of the c'i^lit millions of people residing in the area constituted I)}- London, Essex, Surrey, MitldK-si-x, ;uid Kt/nt, about six millions, nearly three-quarters, were born within the ar. Glamorganshire gained 41,09:]. Lancashire gained 40,957. 1 8 THE PROGRESS OF THE NATION TABLE XV. Rate of Increase of Population per cent. (English Counties) t-i oo ft IM CO 00 00 i 1 i 1 *> oo F-1 10 00 r-l OO r- oo rH co CO I-H as 00 I 1 I-H o o> i-t o f-H (M CO 00 ^ CO 1O CO 00 00 oo oo AGRICULTUBAL COUNTIES Bucks 9 14 9 6 5 3 5 i) b Cambs 13 21 18 14 13 -5 6 -1 a 1 1?, 15 13 7 6 8 3 ft 6 Dorset ..... 9 16 10 10 5 2 4 -2 2 4 Hereford ..... 6 10 8 2 2 7 1 -3 -4 -1 Norfolk 7 18 13 6 7 -2 1 1 2 1 10 17 13 8 2 4 1 3 5 Suffolk 9 16 9 6 7 3 2 4 4 Westmoreland .... 12 12 7 3 3 4 7 -1 3 -3 Wilts 4 14 8 8 _ j -2 3 1 2 3 MANUFACTURING COUNTIES Durham 10 17 24 29 27 30 35 27 17 IV Lanes 22 27 27 24 22 20 16 23 14 12 Monmouth .... 35 22 29 36 17 11 12 8 20 16 Northumberland 9 15 11 12 14 13 13 12 17 19 Stafford 21 17 18 24 20 23 15 14 10 14 Glamorgan .... 19 20 24 35 35 37 25 29 34 25 (From Jevons, The Coal Qiwstion.) TABLE XVI. Rate of Increase of Population per cent. (Scotland) . . . T-I - oo C5 00 oo 00 00 00 oo oo 00 oo Ci 1 1 1 1 1 1 1 1 1 1 o r-< nt. in 1891-1901. and L'T <> per cent, in 1901-1'.H I ; whereas in the Outer Kin^ the population increased 50'7 per rent. in 1801-71, 50-0 in 1871-81, 5(H in 1881-91, 45'5 per cent, iii 1891-1901, and 33'5 in 1901-1911. And taking Greater 2O THE PROGRESS OF THE NATION London (City of London and Metropolitan Police Districts) as a whole, its population, which was 3,222,720 in 1861, rose to 6,581,402, more than double, in 1901, and 7,252,963 in 1911; while in 1891-1901 its rate of increase was 16 '8 per cent., in 1901-1911, 10-2. Density of Population. The aggregate area of England and Wales, including land and inland water, but not tidal water nor foreshore, is 37,327,479 statute acres, or 58,324 square miles. Had the popula- tion at the 1901 census been evenly distributed, each square mile would have been occupied by 5 5 8 persons ; each would have had 1'15 acres, and the distance from person to person would have been 80 yards. TABLE XVIII. Increase of Density during the Century Year. Persona per Square Mile. Acres per Person. Proximity in Yards. 1801 152 4-20 153 1811 174 3-67 143 1821 206 3-11 132 1831 238 2-69 123 1841 273 2-35 114 1851 307 2-08 108 1861 344 1-86 102 1871 389 1-64 96 1881 445 1-44 90 1891 497 1-29 85 1901 558 1-15 80 But the density varies very greatly in different parts of the country. In Westmoreland there were only 82 persons to the square mile, Herefordshire 136, Shropshire 178; while in London there were 38,795, in Middlesex 3410, in Lancashire 2346, and in Durham 1171 persons to a square mile. IV. PHYSICAL INFIRMITY The first attempt to ascertain the number of blind, deaf, and dumb was made in 1851. (a) Mind. There has been a decided decrease in the number of blind children, probably due to more efficient treatment of infantile disease. Blindness increases rapidly after the age of thirty-five ; and then, except among the very old, it is more prevalent among males ; though even among the very old there has been a decline in the proportion since 1851. For the United Kingdom it fell from 1158 per million in 1851 to 954 in 1901. POPULATION 21 TAMLK \lX.-Blind 1851. 1861. 1871. 1881. 1891. 1901. Total uumbfi of blind . 18,306 19,352 til, 590 22,832 23,467 25,317 Nuni! million of population 1,021 964 951 879 809 778 Number per million of population Under 5 198 196 185 166 155 129 5-10 297 256 259 \ oaa / 188 192 10-1 r. 365 366 359 J ** \ 290 323 15-20 416 415 404 388 370 329 20-25 481 443 451 422 385 359 8' J 1 8 I *^3 i *2 g "3 ri "3 p CP a 1 *e3 g m 1 08 a 1 3 , and the per cent, within the same period in the number >!' di-mi-.-tic servants between 1 ~> and 20, when tin; general female population has increased 28'1 per cent, within the period, sugg< .-i> that young 32 THE PROGRESS OF THE NATION women prefer to enter other employments. Between 1881-1901, while the female population increased 2 5' 2 per cent, domestic service only increased 8 '2 per cent. In so far as the number of domestic indoor servants may be regarded as a fair indication of the prevailing standard of comfort, it is interesting to compare figures for various localities in England. For the whole country the average was 18 per 100 separate occupiers Hampstead . Kensington . Ealing Bournemouth Halifax Oldham Burnley 79'8 per 100 (highest percentage) 74-9 68-6 56-9 7-6 7-1 5-9 (lowest percentage) Home Work. One branch of industry in which women have an unfortunate predominance is what is known as home work, the conditions of which still too closely recall those more generally prevailing at the beginning of the century. In this trade a Committee of inquiry reported in 1908 that "there is sufficient evidence to show that sweating still exists in such a degree as to call urgently for the interference of Parliament," sweating being understood to mean that " work is paid at a rate which, in the conditions under which many of the workers do it, yields to them an income which is quite insufficient to enable an adult person to obtain anything like proper food, clothing, and house accommodation." The reasons for this lowness of wage are various. The work is extremely irregular and for the most part unskilled. It is largely undertaken by the quite destitute, who undercut one another ; also for pocket money. The piece rate enables it to be done by those too old, slow, or ill for factory employment. Large propor- tions of the workers are engaged in the production of articles in competition with machinery, for which the rate of pay is fixed by the machine rate. Moreover, competition between the em- ployers who use home work to evade factory legislation is often extremely keen, and so rates are cut down to the minimum. Again, the middleman makes an extra profit. The workers, help- less and unorganized, cannot protect themselves. Of the total of 289,237 women shown in the table as employed in domestic factories and workshops as home workers or workin^ on their own account, 253,440 are engaged in the making of wearing apparel. TRADES AND OCCUPATIONS 33 TABLE VIII. Home Work (i.e. persons employed in domestic factories and ir. ///,*// ops, out-workers, and persons working on their own account), 1901 Industry. Males. Females. Total. A. Industries under section 116 Factory Acts 4,538 19,373 23,911 Pens . . . 1 13 14 Cables, chains, etc. 769 1,015 1,784 Locks, keys . 466 14 480 Felt hats 97 359 456 Tailoring Other wearing apparel Umbrellas 29,130 55,288 873 24,817 228,264 947 53,947 283,552 1,820 Artificial flowers . 140 542 682 Paper Bags . 273 929 1,677 1,831 1,950 2,760 92,504 278,852 371,356 B. Other industries under the Act 65,739 10,385 76,124 Total A and B . 158,243 289,237 447,480 C. Laundries .... 3,251 73,046 76,297 (Factory Inspector's Report, 1906.) TABLE IX. Occupied Females Home Work (1901) Unmarried. Married or Widowed. Total Employed. Employed at Home. Total Employed. Employed at Home. 27,089 14,960 14,268 5,656 44,272 86,762 279,161 56,829 2,917 2,155 1,971 1,219 7,213 10,931 1-21,201 12,919 2,971 7,892 8,847 2,847 MM 4,487 30,878 61,421 27,298 10,774 2,612 5,221 1,069 2,419 2,739 13,886 47,704 16,462 5,178 Lace manufacture .... Tailoreasea ..... Boots and shoes .... 38,001 561,498 163,497 157,808 97,290 (1901 Census, p. 85.) 34 THE PROGRESS OF THE NATION TABLB X. Employment of Women Proportion of Married Women in Factory and Home Work Proportions per 10,000 Women Occupied. Of 10,000 Occupied the Pro- portion Working at Home. Occupations. Total. Un- married. Married or Widowed. Total. Un- married. Married or Widowed. 1 . Domestic services Domestic indoor service 3,190 3,796 1,041 ... I Charwomen . 268 78 942 1 Laundry and wash- ing . 470 266 1,995 175 69 552 Others in service . 125 95 229 2. Dealers and others in commercial pursuits Commercial and other clerks 137 171 16 ... Shopkeepers, etc. . 700 566 1,178 3. Industrial occupa- tions Textile fabrics 1,421 1,400 1,496 47 26 121 Dress . 1,658 1,659 1,655 613 495 1,031 Paper, books, etc. 180 198 113 6 3 16 Other workers 598 612 551 30 14 88 4. Attendance on the sick . 161 114 328 5. Teaching. 414 490 147 6. Board, lodging, food, and drink . 300 209 621 7. All other occupations 378 346 488 Total occupied . 10,000 10,000 10,000 Married Women's Employment. In the employment of women there are great local variations, and these variations are also marked in the case of the employment of married women, a question of considerable importance as to which accurate statistics are almost impossible to obtain. In the census of 1901 there is recorded a general belief that it declined between 1891-1901. The general rate of employment for married women (including widows) in 1901 was 13*2, as compared with 52'3 for unmarried women ; but in the textile towns the rate is very much higher, e.g. Blackl >urn Burnley Preston Married Women. 37'9 percent. 33-8 30-5 TRADT-> AM) OCCUPATIONS 35 ;ui< cmujrircil \\iih tin- pre- THE PROGRESS OF THE NATION aged 20 ceding decennium by selecting occupied males upwards. 1831. and Employed in agriculture ,, in trade . otherwise 31-57 39-65 28-84 1841. 25-93 43-53 30-54 " The circumstance which most requires to be noticed is the decrease in the relative numbers of families employed in agricultural pursuits. In the course of the thirty years, the proportion of such families has fallen from 35-2 per cent, to 25'9 per cent., showing that the quantity of food for the production of which the labour of seven families was formerly employed, is now produced by the labour of five families ; a fact of considerable importance in reference to the capability of this country to continue its present onward course with respect to manufactures, notwithstanding the impossibility of adding to the extent of soil whence the greater quantity of food then needed must be derived." In 1841, returns were made in accordance with an unclassified list of 877 occupations arranged alphabetically. At the next census these were arranged in 1 7 classes with 9 1 sub-classes ; a plan modified in 1861 and 1871, and subjected to so many changes in 1881, that it is difficult to make any detailed comparisons on a consistent plan. TABLE XI. Occupation. Proportions per cent, returned as engaged in occupations at several age-groups in 1891 and 1901 Females. Males. Including Domestic Indoor Service. Excluding Domestic Indoor Service. Ages. 1891. 1901. 1891. 1901. S-t * 1891. 1901. . . T3 OT3 . 12 1 1 Q-C .2 o i -S fi'C "^5 & EH t> fc:2 o g "3 6 s 5 $ 10-15 26-0 21-9 16-3 12-0 12-0 9-7 8-2 8-2 15-20 91-2 91-8 68-665-9 66-7 11-9 38-3 41-5 42-0 11-4 20-25 96-9 97-4 67-8 56-3 73-5 10-9 33-3 35-0 44'4 10-3 25-35 97-9 98-3 33-0 30-5 70-2 10-0 21-7 20-4 42-1 9-2 35-45 97-5 :97'8 25-1 22-5 64-1 13-1 19-1 17-1 40-3 11-8 45-55 95-8 96-1 25-4 21-7 57-2 16-0 20-3 17-2 36-3 14-1 55-65 89-7 89'0 24-4 20-7 44-6 17-5 20-0 16-9 28-9 15-3 65-75 I 75 and - upwards] 64-8 w*{g:j }l6'0 "H3 26-1 10-3 14-4 7-2 }l3-2 n . of 13-3 *\ 6-5 17-8 7-2 12-7 6-4 TRADES AND OCCUPATIONS 37 TABLE XII. Occupation. Proportions occupied in Urban and Rural Districts Aggregate of Urban Districts. Aggregate of Rural Districts. Females. Females. Afw. Main Males. IN ^_. 3 . c ~ * j . ~ > I "I r o ts^ * *\ 11 All ages above 10 84-1 33-6 55-0 14-1 82-5 24-8 42-3 9-9 10-15 21-5 12-9 12-9 . . 22-9 9-3 9'3 15-20 91-8 68-5 89'4 13-6 91-9 55-8 56-5 4-0 20-25 97-5 58-3 76-2 12-2 96-9 47-6 62-1 4-6 25-35 98-5 31-9 73-1 11-1 97-5 24-4 587 5-6 35 45 98-1 24-0 67-1 14-3 96-8 17-2 53-5 8-6 45-55 96-3 23-0 59-6 17-3 95-3 17-2 49-5 12-0 55-65 88-3 21-7 46-0 18-4 90-7 17-7 40*4 14-8 65-75 65-0 15-9 26-2 14-6 76-8 15-2 25-8 14-0 75 and upwards 33-9 7-0 9-6 6-6 46-5 8'6 21-1 8'2 Comparisons that are at all complete can only be made as regards the last three censuses, and even there caution is needed. In 1901 the 347 occupational headings were further increased to 352 ; and more accurate subdivision has had the effect of apparently reducing some numbers : e.g. of general labourers, there were 594,128 in 1891, 409,773 in 1901 ; while the real decline, if any, has not been nearly so marked. Nevertheless, for some of the main groups of industries the general movement can be fairly accurately traced. Agriculture. In considering the comparative proportions of population at different decades employed in any occupation, the growth of population, and of occupied population in particular, must always be borne in mind. The proportion of males engaged in any industry might apparently decline, owing to the growth of some other industry attracting a larger proportion of workers, but so long as its own numbers continued to grow the industry could not be said to be declining absolutely. But in the case of agriculture the decline already marked in 1847 has steadily proceeded, ivlative.ly and absolutely. From the landlord's point of view agricultural land is a less profitable investment than it was ; and though agriculture still occupies 30 per cent, of those living in rural districts, there is a steady drain of young men to 3 8 THE PROGRESS OF THE NATION the towns. One cause for a decline of agricultural profits since the 'seventies is no doubt the immense development of steam transport, which has rendered available the corn supplies of countries more favoured by climate and soil, against whose com- petition the home producer has not been able to maintain his TABLE XIII. Occupation of the People, 1841 Census England and Wales. Males. Females. Total. 20 Years Under 20 Years Under and over. 20. and over. 20. Persons engaged in commerce, trade, and manufacture 1,750,128 318,434 391,261 159,383 2,619,206 Agriculture .... 1,041,980 161,697 48,450 9,321 1,261,448 Labour not agricultural 482,683 85,182 98,828 7,229 673,922 Army at home and abroad, including half-pay and East India Company At home 30,460 6,303 36,763 Abroad and in Ireland . 89,215 15 89,230 Navy and merchant service, fishermen, etc. At home 87,843 7,350 95,193 Afloat .... 79,619 17,180 96,799 ( clerical 20,450 20,450 Professions ! legal . ( medical 14,155 17,666 770 14,155 18,436 Other pursuits requiring edu- cation .... 81,372 10,637 30,060 1,809 123,878 Government and civil service 13,3-10 219; 515 14 14,088 Municipal and parochial officers . . . 19,955 321 1,896 13 22,125 Domestic servants . . 150,005 83,524 476,081 289,438 999,048 Living on means . . . 118,688 5,092 308,061 14,132 445,973! In institutions . . . 64,924 28,051 60,019 23,212 176,206 Total occupied 4,062,483 724,005 1,415,881 504,551 6,706,920 Unoccupied (including women and children). 239,013 2,935,752 3,059,350 3,156,751 9,390 : 866 Total ]j]>ulatiuii . 4,301,496 3,659,757 4,475,231 3,661,302 16,097,786 higher prices. The low supply of efficient labourers has steadily raised agricultural wages in some districts, but in maiiy the absence of good cottages and the general tedium and lack of prospect of the life drive men to seek brighter chances in the towns. Recently, endeavours have been made to retain men on the soil by the TRADES AND OCCUPATIONS 39 granting of small holdings and allotments ; but so far the efforts of the Legislature have not met with any very lively response on the part of local authorities. In Ireland the decline has been TABLE XIV. Occupation of the People 1. SHOWING INCREASE, 1881-1901 Occupations or Groups or Occupations. Proportion per Million Persons. Proportion per Million Males. Proportion per Million Females. 1881. 1891. 1901. 1881. 1891. 1901. 1881. 1891. 1901. General or local government . Defence of the country . Professional occupation and subordinate services . Commercial (excluding mer- chants, salesmen, buyers) . Conveyance of men, roods, and messages (excluding plate- layers, railway labourers, etc.) UH 5,646 21,674 15,638 41,088 6,643 5,735 23,029 18,277 46,428 88,448 HJMtt 3,162 :;.i.:' i 4,317 36,279 9,152 6,309 4,139 9,968 4,863 41,609 1,858 3,721- UM 6,643 23,940 mjm turn 26,418 39,061 3,421 4,679 6,016 44,570 10,172 6,931 5,080 11,016 5,357 18,401 2,705 4,198 10,373 11,494 84,781 31,666 83,986 40,657 80,041 5,794 6,760 7,261 81,926 17,808 11,164 .;/,'.'< 12,649 6,753 10,088 2,696 7,101 12,204 11,940 25,036 36,190 Mttt 48,513 r.'i. .-.:,.. 6,508 7,577 7,664 75,307 17,080 10,391 7,268 14,778 5,728 I.-J.17- 8,863 7,747 14,149 ajm 26,681 43,164 102,844 B,824 77,003 7,131 9,484 11,012 92,811 19,202 11,732 8,401 15,408 5,640 88,810 5,637 8,762 738 18,778 699 1.106 310 3,639 11 44 970 189 1,829 2,429 4,181 -',--" 16,121 1,118 54,711 1,312 21,175 1,725 1,272 286 3,677 15 106 1,039 213 1,818 2,536 1,248 5,524 4,044 J'J.'.'U 14 2,009 23,339 4,542 1,427 203 4,136 9 267 1,420 188 1,866 2,513 2,024 60J 5,189 22,709 9 Coal and shale mine Metals, machines, implements Ships and boat* Vehicle* 19,774 35,190 2,801 8,280 4,005 39,620 9,326 6,638 3,629 8,194 4,266 Precious metals (electricity included) . Building and construction Wood, fur Brick, cement, glass Chemicals Paper, prints, books Food, tobacco, drink Gas, water, and sanitary service Engine-drivers Total 36,849 1,310 3,426 207,639 MtM 322,470 IOO,OM 088,008 BBJHt 68,604 77,691 II. SHOWING DECREASE, 1881-1901 Agriculture (farms, woods, gardens) .... .,' . Skins, leather, hair, feathers Workers and dealers in textiles (excluding drapers) Workers and dealers in dress General labour . Charwoii'cn laundry and washing All other occupations 1 Totalo.. -upi.il, 1. am! II. :<'..- 1,538 4,230 52,433 10,861 |9M .;.,.;.. ..': 23,134 68,273 1,144 4,181 48,687 I8JSU .::."> .:- ;:.:.! 948 4,160 40,268 44,481 16,181 : ."-! .i'. 8,006 '.:- 188,80 3,167 7,101 46,009 ::7,lv, B0,7M 6,042 "966 81,001 116,513 6,906 43,273 B88I B6.00S "..-.: 40,129 AVI 1,955 6,599 35,021 14,171 88.77C 5,287 "731 88,4ft 6,426 29 1,656 68,420 ,.,.....- n i-j:.i..i '.:! 17,680 8,342 4,453 29 1,662 53,498 :,:>.>::! 170 180,801 9,144 10,101 -.1,741 Moa 13 1,016 45,095 u,ooe 28 lM.,-,7 a,4W U,871 p ,.>; :!,.. . M. , .:: .:!.:.... '.::'<- . -.:;.: I-.M" B8MH 276,631 B8.0 678,142 nt, i - :.": 831,424 100, * : M . .: 31C.291 less rapid, as T.-ilil.- XVI shows; but the falling oil in the numbers fr tin- rnitod Kingdom M av whole, whiob mnnuntfil to over half a million of men in the years 1881-1901, indicates-, as far numbers ciiij. loved arc concerned, continuous agricultural depression. THE PROGRESS OF THE NATION At the same time the total amount of arable land fell between 1891-1901 by 6'1 per cent., declining from 12,903,585 to 12,118,289 acres: while the area of mountain and heath used for grazing rose 26'3 per cent., from 2,815,063 to 3,556,636 acres. TABLE XV. Agriculture (England and Wales) Males Proportion per cent, of Total Females Proportion per cent, of Total Census Year. engaged in Agriculture. Males aged 10 and up- wards. engaged in Agriculture. Females aged 10 and up- wards. 1831 31-51 1841 25-93 ... 1851 1,544,087 23-5 168,652 2-4 1861 1,539,965 21-2 115,213 1-5 1871 1,371,304 16-8 85,967 1-0 1881 1,288,173 13-8 64,216 0-6 1891 . 1,233,936 11-6 51,045 0-4 1901 . 1,153,185 9-5 38,982 0-3 TABLE XVI. Proportion born by Males engaged in Agriculture to total Male population of 10 and upwards Year. \ United Kingdom. England and Wales. Scotland. Ireland. 1881 . 18-8 13-8 14-4 46-0 1891 . 16-2 11-6 12-7 457 1901 . 13-6 9-5 10-7 44-3 Mining. In all branches of the mining industry, except coal-mining, there has since 1881 been a decline. The number employed in coal- mining has on the other hand steadily increased. In 1901 the number employed in mining was 6*0 per cent, of males aged 10 (U.K.). In 1891 it was 5 '4 per cent., in 1881 4-9 per cent. The total number of miners was 937,482 in 1901. The increase in the number of coal-miners in the last twenty years has been more rapid than the increase in output. Miners increased Output increased England and Wales 1881-1891. . 24*7 per cent. 16-4 1891-1901. 35'7 per cent. 20-0 TRADES AND OCCUPATIONS TABLK XVII. Mines (England and Wales) 1841 ( Porter). (Gt. Britain). Males (Census). Increae(+)or DecreMe(-) percent. 1 1861. 1891. 1871. 1881. 1891. 1901. 1881- 1891. 1891- 1901. Coal . 2,350 11.1,883 183,389 MttU v -,".'1 378,664 613,843 MtyHI +86-7 +24-7 Iron . 497 10,462 10,380 MM 20,931 MM 18,158 17,008 -29-8 - 6-3 Tin ... 150 5,061 12,911 14,314 10,617 10,499 9,670 6,677 - 7-9 -32-0 Lead. 60 . 11,350 20,030 18,662 14,663 11,022 5,723 4,375 -48-1 -2S- Copper 2,113 13,114 18,449 17,727 3,063 3,800 1.130 789 -70-8 -30-2 Other minerals . ToUl . 963 30,753 njm 39,130 2,061 2,401 2,457 6,133 187,512 264,169 mjtti Mil 431,925 MgM MUM +27-6 +22-0 Textiles. In 1901 all branches of the textile industry except jute, hemp, and coarse lace showed a falling off as compared with the very high figures of the previous decade. This steady decrease, which had been going on since 1895 (especially marked in the great cotton industry), is no doubt due in part to the restricted employment of children. To some extent also, as far as the decline in the ages of males up to twenty-five goes, it is true that " many young persons who formerly would have joined the cotton trade now enter, amongst others, the metal, machine and engineering industries, which offer prospects of higher wages and better conditions of employment." In these industries in Lancashire the numbers have greatly increased, especially at ages between 15 and 25. Some reduction is no doubt due to the great development of labour-saving machinery; but the reality of the decline between 1895-1901 was reflected in the reduced importation of raw cotton ; it was 1*9 per cent, lower in 1895-1901 than it had been in 1885-1891. This decline continued to progress in 1902 and 1903, but in 1904 there was a marked recovery; in 1905 imports of raw cotton rose by over 2 million cwt., and in 1907 reached the record total of 21,311,617 cwt. In that year the numbers employed in textiles was 1,087,223 ; in cotton alone to 576,820. Taking this in connexion with the rising wages of the cotton industry, its recovery seems established. Examination of the tables shows that from 1861, on the whole, textile industry has been subject to considerable fluctuations ; but only two branches, the silk industry and the flax and linen, show THE PROGRESS OF THE NATION TABLE XVIII. Textiles (a) Makers of and Dealers in all Textile Fabrics (excluding Drapers) Year. All Ages. Aged 15 and upwards. Persons. Males. Females. Persons. Males. Females. 1851 .... 1861 .... 1871 .... 1881 .... 1891 .... 1901 .... 995,021 1,021,196 1,016,595 1,012,274 1,071,539 1,019,740 502,896 476,109 446,099 421,573 458,344 424,955 492,125 545,087 570,496 583,761 613,195 594,785 839,316 867,267 861,441 894,036 925,952 918,238 431,295 407,921 381,455 377,340 395,430 383,424 408,021 459,346 479,986 516,696 530,522 534,859 Increase or decrease - per cent. fl851-1861 1861-1871 1871-1881 1881-1891 1891-1901 + 2-6 -0-5 -0-4 + 5-9 -4-8 -5'3 -6-3 -3-9 ' +7-0 -7-3 + 10-8 + 47 + 2-3 + 5-0 - 3-0 + 3-3 -0-7 + 3-8 + 3-6 -0-8 -5-4 -6'5 -1-1 + 4-8 -3-0 + 12-6 + 4-5 + 7-6 + 2-7 + 0-8 (b) Cotton Year. Persons. Males. Females. Increase ( + ) or Decrease ( - ) per cent. Persons. Males. Females. 1861 .... 1871 .... 1881 .... 1891 .... 1901 .... 458,239 468,938 487,777 546,015 529,131 198,591 188,644 185,410 213,231 196,898 259,648 280,294 302,367 332,784 332,233 +"2-3 + 4-0 + 11-9 - 31 - 5-0 - 1-6 + 15-0 - 77 +' 8-0 + 7-9 +10-1 - 0-2 (c) Wool and Worsted 1861 . 1871 . 1881 . 1891 . 1901 . . 220,892 235,235 . 222,371 . 242,334 . 209,740 119,502 114,485 : 97,638 107,237 87,671 101,390 120,750 124,733 135,097 122,069 + 6-5 - 5-5 + 9-0 -13-5 - 4-2 -14-7 + 9-8 -18-2 + 19-1 + 3-3 + 8-3 - 9-6 real decline. In 1851, silk manufacture occupied 120,000 persons, in 1891 only 48,797, and in 1901 only 34,847. Conveyance. This heading, including those engaged on or in railways, roads, seas, rivers and canals, lochs and harbours, and in storage, porterage and conveyance of messages, contains the largest number of adult males of any single group, all over the country ; TRADES AND OCCUPATIONS 43 workers in metals and machines coming second, and agriculture third. In 1901 it employed 1,267,825 persons, of whom only 18,825 were females ; and employed 10'29 per cent, of males in the country as a whole, 11'IG in the aggregate urban districts. The numbers employed on railways (excluding platelayers, packers, gaugers, and railway labourers) have increased as follows : Increase per cent. 1851 22,236 1861 53,532 112-2 1871 ..... 84,900 58-6 1881 ..... 139,408 64-2 1891 ..... 186,774 34'0 1901 ..... 276,930 48'3 but the most striking development has been that of the Tramway Service. In 1871 ..... 68 were employed 1881 2,650 1891 6,906 1901 18,172 (an increase of 164' 5 per cent.) and between 1891-1901 the length of line increased by 35 per cent, and the number of passengers conveyed 108 per cent. Metals, Machines, etc. This great branch of industry, including the departments of shipbuilding and engineering, employed in 1901 1,237,196 persons of whom only 63,016 were females, or 9'42 per cent, of occupied males (England and Wales). The engineering trade proper employed in 1891, 208,508 males and 2466 females, in 1901, 353,166 males and 1522 females, an increase of 68'6 in the employment of males, and a decline of 38'3 per cent, in that of females. Shipbuilding increased 24*2 per cent, in the country as a whole; but in Newcastle it increased 50*3 per cent., in Durham 43-7, in the North Riding of Yorkshire 39'1, while in the East Hiding it declined 23'4 per cent., in Norfolk 19 per cent., and in bunion 1 X ].rr nt. The ^vner.d increase for all metal trades v i per cent, for md and Wales, 28'4 per cent, for Scotland ; while in the iron and steel trade- the increase was 9\S per cent. Tor Knidand and \Vale>. I'll-:, i Kir cent, in Scotland (1901). Occupational Modnliiii. The mortality rate of different occupa- tions varies very greatly: com {Miring the census of 1901 with the previous one, however, a decline in the mortality rate of almost 44 THE PROGRESS OF THE NATION all occupations can be observed, keeping step with the decline in the death-rate for the population as a whole. If the death-rate of all males between 2 5 and 6 5 be taken as 1000 in 1901, that of all males in 1891 was 1155; that of occupied males 925 in 1901, 1102 in 1891 for England and Wales as a whole. The following table gives the comparative figures for occupied and unoccupied males, and for those occupations having the highest and lowest mortality rates respectively. General labour had the highest death-rate in 1891, and in 1901 it was still highest, and at an increased figure. Lace and hosiery, tin and copper mining, shopkeeping and general labour alone show an increased rate. TABLE XIX. Occupational Mortality Rate of Mortality of all Males 25-65 in 1900-1-2 = 1000 1890-1-2. 1900-1-2. All males (ages 25-65) ..... 1,155 1,000 Occupied males (England and Wales) 1,102 925 Occupied males (London) 1,325 1,099 Occupied males (industrial districts) 1,443 1,129 Occupied males (agricultural districts) Non-occupied males (England and Wale s) 795 2,566 670 2,884 ( Clergymen 615 515 c; v Gardeners 638 527 OLA lowest Gamekeepers . 561 586 rates. Farmers 651 562 Railway engine-drivers, stoke rs, et c. 934 582 ,. Farm labourers . . 731 572 ( Copper miners 1,423 1,609 Six I I nn ^ ee P ers ) publicans, spirit highest \ Inn hotel servants > De- rates. 1 Costermongers . deale s 1,899 1,997 1,911 1,669 1,767 1,778 I in miners . 1,628 2,169 ^General labourers . 1,413 1,987 There is a heavy yearly toll of victims of occupational disease and accident. In 1900 there were 1058 cases of lead poisoning in the potteries, 38 of which ended fatally; 37 cases of anthrax, of which 7 ended fatally (in 1901 39, with 10 deaths); 22 cases of arsenic poisoning, of which 3 died; and 38 deaths from lead poisoning among plumbers. With regard to industrial accidents, in 1897 there were, in factories, mines, quarries, shipping and railroads, 58,061 cases of injury 3785 deaths; in 1901 94,454 cases of injury TRADES AND OCCUPATIONS 45 4061 deaths. The total number of accidents reported under the Factory and Workshops Act was in 1897, 63,856 ; in 1901, 107,290: the number of deaths being 4262 in 1897, 4627 in 1901. Thus per 1000 of those employed in these industries, which, as we have seen from the preceding table, are not among those with the highest mortality rate, the rate of deaths from accident is 5'25, of injuries 17'29. CHAPTER III WAGES (NOMINAL AND REAL), PRICES, AND EMPLOYMENT Keal wages the test of improvement History of wages to 1815 and after Agri- cultural wages Industrial wages Index numbers of money wages History of prices Unemployment Movement of wages and prices since 1900 AFTER ascertaining the population of the country and the rough division of it into ages, sexes, classes, trades, and occupations a task which has been made possible in the United Kingdom by a long series of census returns we come to the all- important question of wages and prices. For the progress of a civilized nation is to be judged more by the improvement in the condition of the working classes than by any other test. And this improvement depends on the growth of real wages. Hence this chapter is devoted first to a brief survey of the movements of money wages in so far as they can be ascertained, and secondly, to a survey of prices, which will enable us to see how the real value of wages has varied. A fall in rents and in the price of food and clothing may be just as beneficial to the working classes as a rise in wages, whereas the latter may, and in fact often has been accompanied by so rapid a rise of prices that the labourer is left worse off than before. Thus there can be little doubt that as a result of almost continuous war and rapidly increased taxation upon the necessaries of life the diet of the poor in town and country both in Great Britain and Ireland was worse from 1815 to 1845 than it had been from 1745 to 1775. The only continuous figures that Porter was able to collect relate to wages paid in Greenwich Hospital and in certain mis- cellaneous occupations in other parts of the country. The modern statistician on the other hand suffers from a plethora rather than from a dearth of statistical material relating to wages. Trade Union standard rates of wages have become well-nigh universal in many industries. Official investigations have been made in many particular cases ; records have been hunted up and data collected which together give a fairly complete account of the wages history of the century. 46 WAGES, PRICES, AND EMPLOYMENT 47 So far as the first half of the century is concerned, Professor Tl mrold Rogers' investigation gives us all that is needed in a general review. " I have shown," he says, " that from the earliest recorded annals, through nearly three centuries, the condition of the English laliouivr \va- that of plenty and hope, that from perfectly intelligible sunk within a century to so low a level as to make the workmen practically helpless, and that the lowest point was reached just about the outbreak of the great war lirtwren King and Parliament. From this time it gradually improved, till in the first half of the eighteenth century, though still far below the level of the fifteenth, it achieved comparative plenty. Then it began to sink again, and the workmen experienced the direst misery during the great continental war. Latterly, almost within our own memory and knowledge, it has experienced a slow and partial improvement, the causes of which are to be found in the liberation of industry from protective laws, in the adoption of certain principles which restrained employment in some directions, and most of all in the concession to labourers of the right so long denied, and forming labour partnerships." Thus at the beginning of the century with which we are con- cerned, the working classes were in a condition of the utmost degradation as a result of the great continental war following hard upon the Industrial and Agricultural Revolutions in this country. The pernicious system of grants-in-aid of wages, though no doubt it served its immediate purpose of keeping alive the workers in agricultural districts during the worst years of famine, played complete havoc with the labour market, at the same time that it encouraged a rapid increase of the population. Incidentally it makes it difficult to quote agricultural wages at the beginning of the nineteenth century, as the wages paid in so many cases do not represent the income received by the family. But the following figures given by Thorold Rogers show the general tendency of events. According to Arthur Young's calcula- tions, the average had been 7s. 6d. a week from 1767 to 1789, 10s. a week from 1799 to 1803; then under the influence of the famine prices of the great war, they rose to 12s. in 1804 and 1810. In 1811 they rose slill further to 12s. 9d, and continued at this rate for three years. But with the coming of peace and with better harvests, the utmost efforts of a stringent Corn Law was unable to keep prices so abnormally hi^ r h, and wages fell with prices. As lal>mir was very plentiful during the succeeding period, wages sunk about 17 per cent, between 1814 and 1818, some 4 8 THE PROGRESS OF THE NATION 20 per cent, in 1819 and 1820, 12 per cent, more in 1821, and 5 per cent, in 1822. As is always the case, economic distress goes hand in hand with internal political disturbance, and students of English History will remember that this period of falling wages coincided with the Peterloo Massacre, the Manchester Riots, and the repressive legislation embodied in the Six Acts. From 1822 onwards agricultural wages under the influence of increasing manufacturing activity began to rise slowly. A Parliamentary Return gives 9s. 4d. in 1834, 10s. 4d. in 1837, and 11s. 7d. in 1860. As this was also a period of falling prices these figures indicate a very considerable improvement in the lot of the labourer. The subsequent history of agricultural labour has been almost entirely determined by the growing demand for, and the increasing product- ivity of, labour in manufacturing industries and in town occupations. The farmer has been caught between the upper and nether grind- stone of falling prices, caused by the opening up of vast producing areas in distant parts of the world on the one hand, and of rising wages on the other. There has therefore been a steady falling off in the agricultural population, for labour could be more productively employed elsewhere. The first series of wages in the following table are from various sources, and are therefore not strictly comparable with one another. But the second column, which is taken from Mr. Wilson Fox's report on agricultural wages, relate to sixty-nine English farms in which books have been continuously kept. As these figures confirm the first series, there can be little I Year. Authority. Average Weekly Rate o'f Average on 69 Average on 128 Year. Wages. Farms. Farms. s. d. s. d. s. d. 1850-1851 . Caird, English Agriculture in 1850- 1851 . . . . . 9 7 9 3 1850 1860 . Purdy, "Earnings of Agricultural Labourers, " Journal q/ Statistical Society, 1861 .... 11 7 10 11 1860 1867-1870. Little, ' ' Royal Commission on Labour," The Agricultural La- bourer, vol. v. part i. 12 3 12 1868 1870-1871) Druce, Journal of Royal Agri- /12 2 11 10* 1870 1880-1881 / cultural Society of England, 1885 \ 14 2 13 2i 13' 7| 1880 1892-1893 . Little, as above .... 13 5 -13 5 13 10 1892 1898 . First Report of \V. Fox on Wages and Earnings of Agricultural Labourers (Cd. 346) . 14 5 13 8* 14 It 1898 1902 . Second ditto. .... 14 8 14 7" 14 11} 1900 WAGES, PRICES, AND EMPLOY. MKNT 49 doubt that there occurred something like a 50 per cent, rise between 1850 and 1902. The figures given are exclusive of allowances in kind, such as cottage, garden, etc. If these are taken into account, the Board of Trade estimate on the basis of Mr. Wilson Fox's inquiry that wages would amount to 18s. 4d. in England, 18s. in Wales, 19s. 7d. in Scotland, and 11s. 3d. in Ireland. Industrial wages in the first half of the century show in the main a slight improvement in the condition of the working classes, but the tendency was not uniform. The methods of production were changing so rapidly that many were left in great distress, while others improved their position enormously. In no case is this more clearly to be seen than in that of the cotton trade, where the hand-loom weavers suffered great privations through the loss of a market for their skill ; whereas the machine workers, though at first drawn to an excessive extent from the ranks of women and children, secured from the beginning of the century onwards a steady improvement in their material position. The first of these tendencies is illustrated by the following list of wages quoted by Porter : Hand-Loom Weavers Year. Bolton. Oldham. Year. Bolton. Oldham. a. d. s. d. 8. d. 8. d. 1800 25 1821 8 6 8 1805 25 1822 8 6 9 1806 22 1823 8 8 9 6 1807 18 1824 8 6 9 6 1808 15 1825 7 8 9 1809 16 1826 6 6 6 6 1810 19 6 1827 6 6 6 1811 14 182S 5 6 7 1812 14 1829 5 6 6 1813 15 1830 5 6 5 1814 J4 13 9 1831 5 6 5 1815 14 11 9 1S32 5 6 4 6 1816 12 9 1833 5 6 4 6 1817 9 6 6 1834 5 6 ... 1818 9 8 9 1835 1819 9 6 10 1836 1820 9 9 The progress of the industry as a whole on the other hand is clearly brought out in the following table rolhvU'd \\\ Messrs. Ellison and Mrrtln'iis a table which not only shows that wages soon began to rise, but also explains that these hkrluT wages are 4 THE PROGRESS OF THE NATION possible because of the increased productivity of labour which has permitted the labour cost of both spinning and weaving to be enormously reduced in spite of higher weekly wages. This is clearly brought out by comparing columns 6, 9, and 11 in the spinning table, and 5, 8, and 10 in the weaving table. Spinning Production . . M CO *o c S a> <"i, ^ 4) *P M d -*5 1 si S"c P Per Per a I Years. I J3 %? Is 1| ft !"" o V p. Spindle. Operative. CO 1 It 1 I G>02 O 1 " 1 1 ^ Per Per Per Year. Year. Day. (D (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) million million million. 8. d. Ib. Ib. Ib. Ib. d. Ib. 1829-1831 10-0 140,000 14-0 69 10 6 21-6 1,546 431 216-5 4-2 63-300 1844-1846 19-5 190,000 9-74 60 11 26-8 2,754 883 523-3 2-3 145-190 1859-1861 30-4 248,000 8-16 60 12 6 30-0 3,671 1-176 910-0 2-1 189-130 1880-1882 42-0 240,000 5-71 56i 17 31-5 5,520 1-879 1324-9 1-9 236-360 1891-1893 45-27 220,000 4-86 56) 19 32-4 6,662 2-267 1465-6 1-6 228-362 Weaving r- i Production .S 1 Per Per o 9 L | Years. Looms. II W 1 Loom. Operative. * II I 4 Per Per Per 1 a Year. Year Hour. O (D (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) million 8. d. Ib. Ib. Ib. Ib. d. Ib. 1829-1831 . /Power, 80,000 \ Hand, 225,000 50,000 225,000 69 69 9 6) 7 Of 470 521 145 143-2 9-0 82-6 1844-1846 . 1 Power.225,000 \Hand, 60,000 150,000 60,000 60 60 l l 2} L234 1,681 539 348-11 3-5 228-5 1859-1861 . 400,000 203,000 60 11 10 1,627 3,206 1-027 650-87 2-9 536-0 1880-1882 . 1891-1893 . 550,000 660,000 246,000 310,000 56} 56} 15 16 6 1,806 1,866 4,039 3,972 1-374 1-352 993-54 1,231-3 2-3 2-59 888-0 903-64 (Wages calculated by Merthens for Ellison by dividing by 52.) When we come to consider the latter half of the century, we find that there are so many different grades in modern industry, and so many local variations in wages, that it is far simpler to show wage changes by means of percentage figures, than by means of actual weekly wages. We therefore give a table below based on this principle, wages in the various industries in the five years from 1898 to 1902 being taken as standard, and the average for other quinquennial periods calculated as a proportion of that wage. WAGES, PRICES, AND EMPLOYMENT Index Numbers of Money Wage* in various Occupations ' * ^ 1 Quinquennial Period. J 1 j ts a 1 m i a I 1 5 1 11 !* O i W 1 F 1848-1852 . 65 59 81 69 (M 60 55 71 67 66 1853-1857 . 75 63 81 75 64 64 59 74 68 68 1858-1862 . 77 68 81 74 65 67 67 82 70 71 1863-1867 . 80 71 81 77 70 72 78 90 73 77 1868-1 87i' . 85 77 84 79 74 72 79 98 79 81 1873-1877 . 95 87 91 87 82 90 85 118 87 91 1878-1882 . 94 88 94 86 78 70 84 101 87 92 1883-1887 . 92 88 94 86 80 72 86 95 87 91 1888-1892 92 90 96 91 82 88 90 95 94 93 1893-1897 . ' 94 95 99 93 90 84 95 97 97 95 1898-1902 . 100 100 100 100 100 100 100 100 100 100 1903-1907 . 103 101 102 100 103 95 105 106 102 100 If we allow for each of these groups an importance in pro- portion to the numbers engaged in them, and take a weighted average, we find that wages have risen in accordance with the following general index number : 1848-1852 1853-1857 1858-1862 1863-1867 1868-1872 1873-1877 67 69 72 76 81 91 1878-1882 1883-1887 1888-1892 1893-1897 1898-1902 1903-1907 87 87 91 94 100 102 Now, if we compare this general figure with each of the pre- ceding groups, we can at once see which trades have offered a greater and which a less attraction to labour. On the whole wages have risen less rapidly than the average in agriculture, in the woollen and worsted industries, and in printing. Iron and steel workers' and miners' wages on the other hand have risen, especially during the latter quarter of the century, at a considerably more rapid rate than the average. These industries have had difficulty in securing adequate labour, and as both of them are highly capitalized, the threat of a strike is a more potent weapon than in some other cases. The general conditions of these trades have in fad thrown 'The Index Numbers for agriculture are taken from Mr. \ViN-.n Fux -. nj. it : those for the building trades, jn-iutii, ring, iron and steel and mining are baaed on statistics collected by Mr. l!o\\le.y, an I rapplcoMOttd where necessary by Board of Trade figures. Tin- Index Number f"i cotton, woollen, gas and furniture trades are mainly based on Mr. n published in the Journal for 1909. 52 THE PROGRESS OF THE NATION the advantage in bargaining on to the side of the workmen. It is often quite impossible to replace the staff of a blast furnace, for example, at a moment's notice from the surplus labour in an iron manufacturing town ; and as the closing down of a furnace means that a great deal of capital lies idle, that considerable expense must be incurred before the furnace can be set to work again, and that even at the moment vigorous steps must be taken to damp down the furnace before irreparable damage is done, ironmasters are always very anxious to avoid a sudden strike. At the end of 1897 the men demanded that the two twelve-hour shift system should be abolished, and a three eight-hour system introduced. To this the masters consented on condition that the rate of wages was not increased. Statistics of earnings on the north-east coast hence show a sudden drop of two-thirds in 1898 compared with 1897; but within less than ten years the men, at all events in the upper grades, recovered the lost ground, so that their earnings were as great for eight hours' work as they had formerly been for twelve. Wages in the cotton trade have also risen much faster than the average. It has sometimes been objected that such figures as those given above only apply to staple industries, and cases can un- doubtedly be found where the rise of wages has been considerably less rapid than that here indicated. An investigation, however, by Mr. Wood l shows that in the case of women engaged in industry, at all events, the rise has been almost as great, and in some cases greater than that in the case of men. Nearly two millions of the remaining occupied women are in domestic service, and in their case it is notorious that wages have risen rapidly. 2 An inspection of the advertisement column of The Times shows that 10 to 11 was a common wage for general servants and housemaids in the 'fifties in London. 20 a year is the modern equivalent for the corresponding type of household to-day. The great class of commercial clerks and railway servants are excluded from the above table, as no statistics for either of these groups are yet available. We may complete this review of money wages by quoting such results of the recent Board of Trade Wages Inquiry as have been published up to the present time in comparison with similar figures collected in 1886. 1 See Mr. Wood's appendix on Women's Wages in Hutchins and Harrison's History of Factory Legislation. 3 See also article on "Wages of Domestic Servants in the last Fifty Years" by Mr. Laytou in the Statistical Journal, 1908. WAGES, PRICES. AND EMPLOYMENT Average Earnings of Adult Men in a Full Week 53 1886. 1906. Increase per Cent .1. d. Cotton 23 7 10 irj Woollen and \\orsted . L':; a 26 10 15 Linen . 19 9 J-J 4 13 Jute . 19 4 21 7 12 Silk . 23 25 5 11 Gas works 26 10 31 7 18 Water works 24 6 28 3 15 Employ. 3 on road and sanitary works Town authorities 21 6 25 5 19 Rural authorities 15 5 17 11 16 Pig iron 26 6 34 7 SO) Tin plate . S3 5 42 26 Engineering and Boiler making 25 9 32 5 26 Ship and boat building and repairing 2'J 3 35 11 23 Railway carriage and wagon building 25 2 30 9 22 Iii the same period it is estimated by the Board that rates of wages in the building trade have increased 18 per cent. Average Earnings of Adult Women in a Full Week Cotton Woollen Linen . Jute . Silk 1886. i 1906. Increase per Cent. s. d. 8. d. 15 18 8 24 worsted 12 7 13 10 10 8 11 10 9 21 9 7 13 5 40 10 4 11 6 11 There are many points of contrast in these various groups, but they all show that the advance of wages has been maintained right up to the present time. Turning to the second part of our inquiry, it remains to see how changes in prices have affected the material position of the working classes. Porter was chietly concerned to show that their prosperity depended upon the cheapness of wheat, which even then was the principal article of food. He shows that in the bad years of 1795, 1800, and 1801, there was a very marked falling off in the number of marriages registered, \\hirh he also regarded as a sign of bad times. The harvest of 1801 was moderately abundant, and as, in addition to the home produce, imports of wheat under 54 THE PROGRESS OF THE NATION the stimulus of a bounty had been very large, the price fell in the latter part of the year to less than half what it had been before the harvest. In 1802, the crops, though not very abundant, yielded enough with a small import for our wants, and prices again became moderate. The number of marriages in the years following these two good harvests, according to the registers, was 90,396 and 94,379 respectively, compared with 67,288 in 1801. A similar correlation is shown to have occurred in France and in Germany. It would, however, be unprofitable to pursue this point further into the nineteenth century, for the fluctuations in the price of wheat, at all events since the repeal of the Corn Laws, have been far too small to cause anything like the disturbance which is represented by the above figures. Moreover, wheat is now so cheap that it absorbs a much smaller proportion of the wages of the working classes than at the beginning of the century. The history of prices in the nineteenth century since the Napoleonic wars falls easily into four periods, which are in the main related to changes in the production and consumption of gold throughout the world. Taking wholesale prices as the measure of purchasing power, we find that up to the middle of the century the general level of prices fell at the rate of a little over 1 per cent. a year, the world's production of gold being 5,140,000 a year. In the period from 1850 to 1873 (i.e. the period following the great gold discoveries in California and Australia), prices rose at the rate of about '35 per cent, a year, gold production rising to 25,000,000 a year. In the twenty years or so following 1873, gold production fell off, while the demand for it increased owing to the adoption of the gold standard by many leading commercial countries. The annual production of the precious metal fell to 24,500,000, while prices fell away by about 1'61 per cent, a year. From 1896 to 1905 the average annual output was about 58,100,000 a year, and prices rose about T85 per cent, each year. This division into periods may be shown tabularly thus : Annual Production of Gold. Average Annual Fall or Rise in Prices. * 1800-1850 1850 1873 Million . 5-14 *>5'0 Per cent. -1-10 1873-1896 1896-1905 24-5 58-1 -1-61 + 1-85 1 This column is based on the price index numbers of Jevons and of The Economist. WAGES, PRICES, AND EMPLOYMENT 55 These figures are put in this way in order to show how great an interest consumers have in the world's output of gold. But price changes are, of course, by no means so uniform as the table implies. The actual index numbers, based on wholesale prices, show violent fluctuations between boom years and depression, the per- centage figures being arrived at by comparing the level at the beginning and end of each period averaging the change over the intervening years. In the first of the periods to which we have referred, the worker secured a very slight advantage by reason of the fall in prices, for the stringent Corn Law prevented the price of bread from falling with other commodities. In the second period the gold discoveries allected prejudicially the position of the receiver of a fixed income, but the stimulus to trade and the improvements in the methods of production which were then being made caused wages to increase far more rapidly. In the third period the wage-earner benefited from falling prices as well as from rising wages, while in the last decade or so there has been a halt in conditions, owing to the upward tendency of prices at a time when wages are not rising as fast as hitherto. Two comments must, however, be made on this generalisation. In the first place rent is not taken into account. As is well known, the increase in house rent for many years tended to offset the fall in commodity prices ; but the extraordinary development of transport in the last two decades has relieved the congestion of our large towns, and rents have, therefore, tended downwards rather than upward. The accommodation has incomparably im- proved, and though rates are high on account of the many activities of municipal bodies, there is every reason to believe that the artisan of to-day not only gets the benefit of more healthy surroundings, but also that in respect of the actual housing he gets better value for his money. The other point is that, so long as prices steadily fell, the margin available after the necessaries of life had been paid for tended steadily to increase. The expenditure of this surplus is mainly on manufactured articles, which have cheapened during the century far more rapidly than food prices. The working classes have thus to an increasing it shared in the benefits of industrial advance. The combined result of money wage and price changes is summarised by Mr. I Jo w ley in the following table, which gives at a glance the history of working class prosperity : THE PROGRESS OF THE NATION Periods. Nominal Wages. Prices. Real Wages. 1790-1810 Rising fast. Rising very fast. Falling slowly. 1810-1830 Falling. Falling fast. Rising slowly. 1880-1852 1852-1870 Nearly stationary. Rising fast. Falling slowly. Rising. Rising considerably. 1870-1873 Rising very fast. Rising fast. Rising fast. 1873-1879 Falling fast. Falling fast. Nearly stationary. 1879-1887 Nearly stationary. Falling. Rising. 1887-1892 Rising. Rising and falling. ,, 1892-1897 Nearly stationary. Falling. ii 1897-1900 Rising fast. Rising. 1900-1904 Falling a little. Falling and rising. Stationary. We cannot leave this question of real wages without referring to the shortening of the average working day a fact which has given the worker leisure to enjoy the advantages which higher wap-es have brought within his reach. O O So far we have been considering money wages and their purchasing power. But a high rate of wages is of little use if employment is discontinuous. . The phenomenon of unemployment is specially noticeable in the nineteenth century, for it naturally arises where conditions of industry are rapidly changing, where labour is mobile and where the term of employment is only for short periods. All these conditions are fulfilled in the economic organization which has arisen in England since the Industrial Eevolution. The discontinuity of employment is a feature which drew Porter's attention, and he devotes some pages to pointing out the advantages of constant and regular work. It may be taken from the writings of contemporary observers that during the early nineteenth century this evil reached its maximum. The causes of fluctuations of trade and industry were but little understood, while female and boy labour completely disorganized a labour market which was already overstocked by the increase in the population. But industry began to settle down in the middle of the century, and since then the amount of labour unemployed seems to have been reduced to a fairly constant factor. This conclusion, which is based on the returns of Trade Unions paying unemployment benefit, is, however, founded on a comparatively slender basis, for the Trade Union figures in the earlier years are based on only one or two Union records (see Second Fiscal Blue Book). Even in later years they give undue prominence to certain industries from which records are readily obtainable the Unions represented being determined by the more or less accidental condition of paying WAGES, PRICES, AND EMPLOYMENT 57 or not paying out-of-work benefit. In any case, the figures have no hearing whatsoever on agricultural employment and all the imoi. trades MI tin- country. The figures are, however, capable of showing a general conclusion limited, of course, in its application to the particular industries or branches of industry included. Within these limits the returns show that no permanent change has taken place in the stability of employment. The figures are arranged in quinquennial periods in the following table: Percentage of Unionists Unemployed 1850-1852. . . 4 '8 per cent \ 1853-1857. ... 4'2 1858-1862. ... 7'8 1863-1867 . . .4-4 1868-1872. . . . 4-2 1873-1877 .... 27 1878-1882 . . . . 5-9 1888-1887. . . . 7'6 1888-1892 . . . . 3'8 1893-1897 .... 5-4 1898-1902 .... 3-3 1903-1907 . 6-3 ^Average | 5 per cent. ATerage 5 per cent. The conclusion which emerges from this table is borne out by an inspection of the detailed figures. It is thus evident, if these figures may be trusted, that the popular opinion that unemployment is on the increase, is, at any rate, not true of the organized trades. It is also certainly not a factor of importance in the case of government, municipal, railway, or domestic service, all of which are occupations that absorb an increasing number of the population; and although in the case of commercial occupations we are on quite speculative ground, it is very questionable whether commercial clerks, retail shop-keepers, and other small income earners, are receiving less regular incomes than was the case fifty years ago. But there is an important exception to this view in the case of the unskilled labourer and the casual. Here it must be admitted that our data are so im]>eri'ect as to he practically useless, and the assertion that unemployment among casuals has increased cannot be met by stical arguments. The unemployed of the lowest grade have certainly become very articu! eceut years, but the amount of public attention attr;e v be a sign rather of an increasing sense of social responsibility than < - : ng unemployment. The only figures which touch the (jiiestion in Liu- least aie just suHicient to show that for two or three years, in London at all events, the nit of unemploynii m umong this class as represented by THE PROGRESS OF THE NATION number of applications to Distress Committees varies in very much the same way and to much the same extent as the Trade Union unemployment figures. The two sets of figures are as follows, being taken from Mr. John Burns's recent blue book of social statistics : l 1905-1906. 1906-1907. 1907-1908. 1908-1909 (to 6th March). Applications to Distress Committees in London . 39,728 28,181 32,624 48,532 1905. 1906. 1907. 1908. Percentage of trade unionists in London returned as unemployed . 6-4 5-6 6-1 8-1 The table indicates that the state of employment among organ- ized workers influences much more than is popularly supposed the demand for labour among casual and unskilled workers. They show, in fact, that the curves of unemployment in the two grades move up and down together. The Socialist writer, Frederick Engels, whose book on the condition of the English working classes in 1844 is one of the most scathing denunciations of social injustice that has ever been penned, was constrained to admit in 1880 that the liberation of industry and commerce had brought with it a great amelioration in the lot of the working classes. His theory, that the degradation would deepen until, in despair, the working classes would rise up and overthrow the capitalist state, was not altogether unwarranted at a time when the severity of the new Poor Law was driving men in thousands into the Chartist movement, and when the utmost efforts of a great national movement were required to secure the abolition of the hated Corn Law. His thesis was for the time disproved by the rapid growth of national wealth during the 'fifties, 'sixties, and early 'seventies. But the depression of the later 'seventies seemed to Engels the beginning of the end. Agriculture was in a bad way; England was for the first time beginning to feel the effect of foreign competition, and several strikes for an advance in wages ended disastrously for Trade Unionists. Crisis after crisis, he said, 1 Public Health and Social Conditions in the last Half-Century. WAGES, PRICES, AND EMPLOYMENT 59 will lead to one long drawn out depression, from which the only way of escape will be by the nationalization of the means of pro- duction. But Engels has been falsified by events. The means of production have continued to improve, and with that advance the material welfare of the working classes has been continuously strengthened right to the very end of the nineteenth century. Some of the ways in which this advance has revealed itself are discussed in the following chapter. lut in the first decade of the twentieth century there has arisen a widespread feeling of discontent both at home and abroad among the members of the working classes, the causes of which are partly social and political and partly economic. To discuss all aspects of this " labour unrest " would carry us very far afield, but the economic factors which have contributed to this result may here be briefly referred to. The crux of the situation is in the word " stationary " which appears at the bottom of Mr. Bowley's summary of " Keal Wages " given on page 56. This remark represents the condition of the working classes between 1900 and 1904, and if Mr. Bowley had carried his table to 1911 he would probably have written " slightly falling" at all events for the period between 1907 and 1911. The enormous additions to the world's stock of gold which have been made since 1895, together with the corresponding increases which have been made to the credit currencies of many nations, has added greatly to the money power of bankers and speculators in the industrial and commercial communities in England, America, ( lermany, and elsewhere. As this currency expansion has coincided with a wider ditlusion of manufacturing enterprise in various parts of the world, the effective demand for raw materials has increased much faster than the world's available supply and therefore driven up prices, while the increasing demand of the industrial popula- tion for food products has produced a smaller but quite substantial advance in the price of food. Hence the European drought of 1911, coming at a time when the world's resources were being I to meet the demand, sent up the prices of certain commodities "iO to 100 per cent. This last movement is a temporary pheno- menon, which will, of course, be rectified by a few good harvests ; but i he underlying tendency has produced and will continue to produce discontent so long as wages do not respond quickly and promptly to the rise in the cost of living. In a certain number of industries where the workers are organized, or where wages are promptly readjusted whenever prices, 60 THE PROGRESS OF THE NATION output, or profits increase, wages have risen quickly. In the cotton trade, for example, average earnings have risen very largely on account of the steady improvement in the quantity and quality of the output per head, while adjustments of wages have been made with comparatively few stoppages of work, thanks to the effec- tive organization of both employes and employed. But in many scattered or unorganized trades and in employments paid on a time wage basis (very often a round sum, such as 1 or 1 10s. a week) wages do not readily rise with either wholesale or retail prices, and therefore real wages fall. Practically all workers in transport industries in which the unrest has been most marked come under this category. The difficulty of organization or effective bargain- ing in such scattered occupations produces a feeling of impotence, which causes a reaction either in favour of strong political measures or of a combined movement on the part of the whole working class. The general feeling of dissatisfaction is undoubtedly increased by the fact that this halt in real wages has occurred when signs of great wealth are extravagantly displayed on every hand. It is true that there is to-day a movement from the lower to the artisan and middle classes, while the educational ladder enables many of the rising generation to enter upon life at a higher stage than their parents. But for the mass of the working classes whose place in life is settled, a rise of prices means that they cease to share in the growing wealth of the community as a whole. The remedy for this grievance is in the establishment of machinery for the more prompt adjustment of wages to changes in the level of prices and in the more general recognition of the claim to higher wages. In both these respects students of labour troubles in Great Britain during the year 1911 may find grounds for hope and satisfaction. CHAPTER IV PAUPERISM Historical The Poor Law before 1834 The ntw Poor Law of 1834 Methods of -Classification Movement of pauperism The Unemployed Workmen Act Cost of relief Medical relief The aged Urban and rural pauperism Children Vagrancy Scotland Ireland SO early as 1388, an Act was passed, providing "that a con- venient sum shall be paid and distributed yearly out of the fruits and profits of the several churches, by those who shall have the said churches in proper use, and by their successors, to the poor parishioners in aid of their living and sustenance for ever." Until the era of the Reformation, when so many richly endowed religious establishments were seized by the Crown and appropriated to secular uses, the poor had generally found in them a source of relief for their distresses. Nevertheless, by the Act of Henry vin, the officers of the towns are directed to collect alms for the purpose of keeping " sturdy vagabonds and valiant beggars " to continual labour. This Act further directs " every preacher, parson, vicar and curate, to exhort, move, stir and provoke people to be liberal for the relief of the impotent, and for keeping and setting to work said sturdy vagabonds." By another clause it was provided that " a sturdy beggar is to be whipped for the first offence, his ri'_'ht ear cropped for the second ; and, if he again oifend, to be sent to the next jail until quarter sessions, there to be indicted for i'-riti'.:, loitering, and idleness; and, if convicted, shall suffer itinn as a felon and enemy of the commonwealth." The inundation of mendicancy which appears at this time to have overspread the country IKK I in ;ill probability chiefly originated out of tin- first invar I'lvaking-up ol the feudal system, by tin- permission given in the precedinu' ivigii to the great landed pro- prietors to dispose of their estates a change which speedily sioned the dispersion of all those numerous bands of retainers \vhieh used to be fed by every lord of the soil. This state of things could 61 62 THE PROGRESS OF THE NATION not but be aggravated by the subversion of the great religious establishments in 1539, from which time, until the close of the reign of Elizabeth, many statutes were passed relative to vagrancy and mendicity. It is to the Act 43rd of Elizabeth that we owe the system which until the last century provided in England and Wales for the compulsory maintenance of the poor. That the system then introduced has since been greatly abused and applied to purposes which did not enter into the contemplation of the Legislature of that day, cannot be doubted. The chief provisions of the Act of Elizabeth gave to the Overseers of the Poor power to levy upon the inhabitants of their respective parishes " such sums as should be necessary to support the aged and infirm parishioners, and for setting to work all persons using no ordinary and daily trade of life to get their living by." Unhappily, as the 1834 Commissioners stated, " the fund which Elizabeth 43 directed to be employed in setting to work children and persons capable of labour, but using no daily trade, and in the necessary relief of the impotent, is applied to purposes opposed to the letter and still more to the spirit of that law, and destructive to the morals of the most numerous class and to the welfare of all." It was not, however, until a long time after the passing of the Act that these disastrous effects arose, themselves largely due to the infamous Act of Settlement of 1662 and the Allowance system that was developed under the Georges. In 1775 the amount raised for Poor Rate and County rose to 1,700,000 from the average of the preceding quarter of a century which had been 730,000 ; and of this sum rather more than a million and a half was expended for the relief of the poor. The war of American Independence, followed by the Napoleonic wars, aggravated the distresses of the poor, and the rates were in a state of continued progression. Even after the peace they did not decline. In 1807 the sum expended on poor relief was 6,910,925, in 1818, 7,870,810, and though the actual amount expended declined to 5,786,989 in 1825 it was again 7,036,968 in 1832. Moreover, whereas the first period was one of exceptional distress, marked by high prices (wheat was 94s. a quarter in 1817, 83s. 8d. in 1818) and low wages, by 1831-1832 the price of corn had fallen by a third (it was 58s. a quarter in 1832) and that of clothes and other necessities in still greater proportion. Population meantime had increased by a fifth The real amount of relief given in 1832 was greater, in proportion to population, than that given in 1818, and much greater than any PAUPERISM year since 1818. Over and above this vast recorded expenditure, which showed no symptoms of decline, but was rapidly ruining the landlords and crushing the ratepayers under intolerable burdens, was the vast unrecorded loss involved in the wholesale deterioration of the labouring classes. It was this state of things that led to the appointment of the Royal Commission in 1832, whose Report, published in 1834, was lily passed into law. In the view of the Commissioners the L, ri . c'.it source of the abuses that they noted as " steadily and rapidly progressive " was the system of out-relief of the able-bodied. One of the greatest evils was the practice of paying the wages of labour partly out of rates levied for the relief of the indigent poor. " Under such a system a labourer in an agricultural district inevitably rendered a pauper ; he was deprived of all means of 'isiiig the virtue of prudence, and became almost necessarily improvident while he was brought to look upon the parish allow- ance as his freehold. Payment for labour, awarded not according to the value of services performed but with reference to the numbers of a family to be maintained, was kept down to the lowest level at which nature could be sustained, and at seasons when it no longer suited the farmer to give employment the whole labouring part of the rural population might be, and often was, thrown for subsistence upon the parish rates. Wages and efficiency were thus reduced to a minimum, labour was progressively casualized, and the labourer, removed alike from moral restraint and moral stimulus, was a slave in all but name. Those who had, by virtue and prudence, saved anything, found employment refused them until they were reduced to the level of pauperism." TABLE I. Cost of Poor Law Relief Ye u. Average Cost per Head of Population. Average Cost per of Rateable Value. s. d. s. d. 1801 9 1 .. 1811 13 1 1821 10 7 .. 1831 9 9 .. is il 6 1850 5 11 1 6$ 1879 6 5J 1 1880 rt 0$ i 14 1890-1899 6 3J 1 2 1900-1907 7 9 1 4 6 4 THE PROGRESS OF THE NATION To this deterioration of the labouring class by subsidized employ- ment the attention of the Commissioners was principally directed in their Report, which was in the main the work of two among them, Nassau William Senior, an orthodox economist, and Edwin Chadwick, a pupil of Bentham. It is dominated by two main ideas : (1) That relief should not be offered to able-bodied persons and their families otherwise than in a well-regulated workhouse; (2) that TABLE II. Growth of Poor Law Expenditure, relative io growth of (a) Rateable Value, (b) Population Cost of Poor Relief (excluding Insane Rateable Value. Population. and Casual). Year. Amount. Index No. Amount. Index No. Number. Index No. 1801 . 4,017,871 8,872,980 1811 . 6,656,105 10,163,676 1815 . 5,418,846 10,979,437 1818 . 7,870,801 11,524,389 1820 . 7,330,256 11,893,155 1825 . 5,786,989 12,881,906 1830 . 6,829,042 13,441,913 1835 . 5,526,418 14,703,002 1840 . 4,576,965 15,710,270 1845 . 1850 . 5,395,022 100 67,700,153 100 17,564,656 100 1855 . 5,890,041 109 71,840,271 106 18,616,310 106 (1856) 1860 . 5,454,964 101 19,686,701 112 1865 . 6,264,966 116 93,638,403 138 20,883,889 119 (1866) 1870 . 7,632,932 141 104,405,304 154 22,223,299 127 1875 . 7,447,240 138 115,646,631 171 23,724,834 135 1880 . 7,943,359 147 133,769,875 198 25,371,489 144 1885 . 8,102,023 150 145,527,944 215 26,922,192 153 1890 . 8,275,585 153 150,485,974 222 28,448,239 162 1895 . 9,547,146 177 161,139,575 238 30,104,201 171 1900 . 11,002,827 204 175,622,758 259 31,881,365 182 1905 . 13,851,981 257 199,355,590 294 33,763,434 192 1908 . 14,200,000 263 209,793,471 310 34,945,600 199 (approximate) the lot of the pauper should be made less eligible than that of the independent labourer. By the application of these principles an immense reform was almost immediately effected. At the time there was a great outcry in the country and especially in the Press. The great authority of T/ic Times appealed against the " Pinch-Pauper Triumvirate," as the three Commissioners were called. But the Government was supported by the middle classes, who were being PAUPERISM 65 ruined by excessive rates, and by the more intelligent and better ii/t'd workmen. Men liko Francis Place saw clearly enough th.it labour as a whole could only suffer from the progressive paupiTi/.atioii p'iii'.: <>n. There seems reason to believe that after tin? immrdiatr rtlivN had passed away, little real hardship resulted from fte application of the now policy of strictness. Writing in s : " Tho power steadily enforced upon all occasions .iig relief to the able-bodied, except within the workhouses, has had an effect for the extent of which it is difficult fully to account in converting the idle to habits of industry, and by that HUMUS increasing the demand for labour, since employers can now rely upon obtaining its value for the money which they so dis- burse." And he goes on to quote a certain Mr. Woolley, formerly a land-agent, afterwards an assistant commissioner for the com- mutation of tithes, as saying: "I am fully convinced that the measure has doubled the value of property in many parts of the kingdom. . . . This is important ; but pounds, shillings and pence will not measure the value of the change in character which is already visible, and which, I am well convinced, will develop itself more and more." The decline in the amount and cost of poor relief was striking evidence of the success of the new policy. Expenditure, which had been 7,330,256 in 1820, 6,829,042 in 1830, fell to 5,526,418 in 1835 and 4,676,965 in 1840 (see Table II); and per head of population from 13s. Id. in 1811, 10s. 7d. in 1821, and 9s. 9d. in 1831, it fell to 6s. in 1841 and 5s. lid. in 1850-1859 (see Table II). Constitution of Relieving Authorities. The Act of 1834 effected a complete change, not only in the actual constitution of the local relieving authorities but by the introduction of the principle of a strong central control. In the first instance the Commissioners constituted themselves the central authority for carrying their recommendations into effect. For this purpose the whole field of inquiry was divided into districts, and a special Commissioner assigned to each to investigate its conditions and submit a report upon them. The Commissioners were at first appointed for five years only, but their term was subsequently extended in 1847. Within the framework of the existing law they were empowered to lay down general rules of administration. In 1847 their functions of control and supervision were (with little change of personnel) assigned to a Central Poor Law Board, with a president entitled to sit in Parliament. This connexion 5 66 THE PROGRESS OF THE NATION with Parliament became more definite still in 1871, when the new Local Government Board took over the supervision of the local relieving authorities through its Poor Law Department. This power is exercised positively by the issue of orders and circulars regulating general policy ; negatively through its in- spectors, the audit of local expenditure by its officers, and the holding of inquiries in case of any sort of abuse. But the actual administration of relief belongs to the local authorities. The Board may guide and restrain them and lay down general rules for them to follow : it cannot compel them to act or govern the spirit in which the letter of its instructions may be carried out. The extreme variation of size and composition of the local authorities militates against uniformity, in the absence of any code of orders and rules. The constitution of the local authority was revolu- tionized by the Act of 1834. A new Poor Law district, the union, was created, according to geographical and administrative con- venience, to take the place of the parish. These unions vary in size (1908), from Colwyn (population 2265) and West Ham (580,386). The average size in England is about 55,000. Vestries and overseers were swept away, and their place taken in each union by a Board of Guardians elected every three years by the ratepayers of the district. The J.P.'s were ex-officio members of the Boards, but they, with certain other nominated members, dis- appeared after the Local Government Act of 1894 made the franchise completely democratic. The guardians decide all applica- tions for relief, administer and manage the workhouse and any other institutions within their area, out of the rates levied for the purpose. They have under their control a certain number of paid officials (relieving officers), who distribute relief and to whom application for it is, in the first instance, made ; their clerk is paid (usually a solicitor), and a paid medical officer is associated with them. But the main work of administration is in the hands of the unpaid elected guardians. Popular interest in the elections is, as a rule, very small. In 1907 only 28 ! 1 per cent, of the electorate voted, as compared with 7 8 '3 per cent, in the parliamentary election of the previous year. There is often a dearth of really qualified persons as candidates. The absence of qualification in those who elect and are elected often prevents really efficient administration, and the danger of interested administration has, since 1894, not always been absent. Method of Eelief. It was the avowed intention of the Commis- sioners, so soon as each union was provided with a workhouse, to PAUPEKISM 67 abolish outdoor relief altogether in the case of the able-bodied, and establish in the workhouse a self-acting test of destitution. Had they succeeded in thus " standardizing " relief, the importance of securing trained and capable local administrators would have been much less than it is. In 1844 the Outdoor Relief Prohibitory Order was issued, representing the new policy as applied to rural unions. The absorption of surplus labour was assisted by the rapid development of industry, and especially by railway expansion. Nevertheless, the order prohibiting outdoor relief to the able-bodied was not extended to the urban unions until 1852, and then only in a modified form, as its title, the " Outdoor Eelief Regulation Order," sufficiently indicates. Edwin Chadwick himself had to TABLE III. Comparative Groioth of Indoor and Outdoor Relief Average (Daily) Number of Paupers (excluding Casual and Insane). Percentage of Total. Proportion per 1000 of Population. Year. Indoor. Outdoor. Indoor. Outdoor. Indoor. Outdoor. Total. England and Wales 1850 . 114,000 878,000 11-5 88-5 6-5 50-0 56-5 1870 . . . 140,778 838,295 14-4 85-6 6'4 377 44-1 1890 . . . 165,603 530,050 23-8 76-2 5-8 187 24-5 1908 . 237,549 534,797 30-8 69-2 6-8 15-3 22-1 London 1850 . . . 24,000 81,000 22-8 77-2 10-5 85-4 45-9 1870 . . . 33,289 108,184 23-5 76-5 10-5 34-0 44-5 1890 . . . 51,808 35,554 57-3 427 12-5 9-8 21-8 1908 . . . 69,853 46,185 60-2 39'8 147 97 24-4 (From Public Health and Social Conditions.) admit that " in a manufacturing district emergencies may arise in which the workhouse test cannot be applied." The Prohibitory Order has itself been modified by Outdoor Labour Test Orders, permitting relief to the able-bodied on the lines of the Regulation Order, i.e. provided they are kept at work. The objects of the reformers were to make independence more desirable than depend- ence, and to abolish subsidized employment. They held that relief in a workhouse provided the element of less eligibility in so far as it involved a form of constraint, and that out -relief should only be given where it could be used without the danger to independence inherent in the subsidized employment of the post, i.e. to the impotent. Out-relief did steadily decline in the years between 1834 and 1860. In 1843 the proportion of adult paupers receiving 68 THE PROGRESS OF THE NATION indoor and outdoor relief was 201,927 to 1,105,972; in 1844, 195,220 to 1,249,682. But in 1862-1863 it rose from 35'3 per thousand of population (in 1860) to 42*8 ; in 1869-1870 it was 3 7 '7 per thousand. In 1870 there was a vigorous crusade against it, which, assisted by the economic prosperity of the period, did reduce the numbers receiving out-relief from 881,000 to 531,000 within twenty years, without a corresponding increase in the numbers of indoor paupers. In 1901 it reached its lowest point, 15*3 per thousand. Nevertheless, at the present day outdoor relief outnumbers indoor by 2 to 1, except in London. There are still about half a million persons receiving it on any given day, and while in urban unions (London excluded) there were 2 '4 5 outdoor to every 1 indoor pauper, in rural or mainly rural unions the proportion was 4*46 outdoor to 1 indoor in 1908. Thus we have, even in the case of the able-bodied, to consider indoor and outdoor relief side by side. This is due partly to the changing economic circumstances which Chad wick had to some extent realized in 1852, partly to a failure in the method established by the Commission with regard to institutional treatment itself, and partly to the fact that some of their recommendations have not yet been fully carried out. The increased complexity of industrial arrangements and the higher pressure of modern work and life have undoubtedly rendered the position of the ordinary workman less secure. Lack of physical and industrial mobility may expose even the skilled man to un- employment in the rapidly changing circumstances of the labour market of to-day. This is a " new problem." The Commissioners were not faced by it. They had to save men, by deterrence, from pauperization which was almost being forced upon them. Thus it came about that they did not make sufficient provision against the deterioration which results from unemployment, and often is, at the present day, rather aggravated than averted by the acceptance of workhouse relief. The Commissioners failed, in a word, to make provision for discriminative treatment with reference to the various causes that brought people into the workhouse. They did intend that there should be some discrimination once they were received there. Their original scheme included classification by institutions ; a separate type being provided for each class of destitute person. But the small area of the union and the practical unwillingness of the unions to combine led to the substitution of classification in institutions for classification by institutions, and in a great number of cases, to very little classification at all. In 1834 all I'Ari'KKISM 69 workhouses corresponded to the " general mixed " type, in which old and young, unfortunate and degraded, sane and insane, sick and sound, were herded together. To this day nearly 62 per cent, of workhouses are general workhouses, and in spite of great improvements the average workhouse is a place where the able- bodied man is treated in a manner very little likely to restore him to independence, to cure or reform him. And the ineligibility which consists in undesirable company punishes only the best of those who are relieved. The workhouse is a deterrent to the decent, not to the hardened loafer or the work-shy. This in itself accounts for the preference felt for out-relief by many Boards. It is, moreover, less expensive. The cost of in-maintenance has TABLB IV. Average Annual Cost of Indoor and Outdoor Relief 1856-1857. 1906-1907. Cost (Approxi- mate). Cost per Head of Paupers. Cost (Approxi- mate). Cost per Head of Paupers. Cost of relief 1 i. To ]aupers in institu- tions ii. Outdoor relief . Total 2,089,000 3,482,000 8. 16 12 4 13 7,731,000 3,828,000 s. 29 5 7 1 5,521,000 6 7 11,559,000 14 7 (From Public Health and Social Conditions, Cd. 4671.) progressively advanced with the improvement in institutions (see Table IV). But whereas out-relief, in very skilful hands, may be a useful method of discrimination, it is too often given without that intimate knowledge of the individual case which alone can enable it to be used restoratively. Out-relief is still often given where it is neither needed nor deserved, and, as a result, " few," according to Mr. Preston-Thomas, " are relieved adequately." "Bad administration of outdoor relief is still," according to the 1909 Commission, "largely inslnun -ii 1 in creating pauperism.' Nevertheless, the difficulty of applying tli<> \\orkhouse test, as things are, would ho mm !> but for the possibility of giving out-relief. It was of course with regard to the able-bodird only that the 1 Lunatic asylums not included. ;o THE PROGRESS OF THE NATION 1834 Commissioners wished to prohibit out-relief. The outdoor labour test order permitted Boards to open stone-yards, as temporary expedients, in order to relieve men at their homes in return for a daily task. This method, and the plan of work for wages, were intended to meet periods of exceptional distress. The danger is that they tend to become permanent. Under the "sudden and urgent necessity order " relief may be given at the home ; by the " modified workhouse test " relief is given to dependents in the home while the man comes into the house. The failure of all these methods is measured by the fact that in both England and Scotland able-bodied pauperism, instead of declining, is increasing in the last few years, in the urban centres. To look for a moment at the movement of pauperism. TABLE V. Pauperism in United Kingdom, including Insane (England, Wales, and Scotland) and Casual Average Daily Number of Paupers Relieved, and Rate per 1000 of Population. Year. Number of Paupers. Rate per 1000 of Population. Year. a / 13 B "B m 'i TJ ,2 r2 i a 73 o> fl fe" f * - ^_ w 00 H & 1 h 1850 1,008,700 119,000 526,216 57-4 41-8 72-5 1850 1860 844,633 122,013 43,342 42-9 40-1 7-4 1860 1870 1,032,800 136,065 68,033 46-5 41-2 12-5 1870 1880 808,030 101,777 94,605 31-8 27-8 18-0 1880 1890 775,217 95,643 105,713 27-3 24-1 22-2 1890 1900 792,367 94,119 99,083 26-5 22-6 21-6 1900 1905 884,365 105,956 101,394 26-2 22-9 23-0 1905 1908 898,474 108,554 101,181 257 22-7 23-1 1908 (From Public Health aiid Social Conditions, Cd. 4671.) Movement of Pauperism. There has been for all parts of the United Kingdom a steady decline in average daily pauperism between 1850 and 1900: but in the last decade the rate has been rising again, as can be seen from the tables (V, VI, VII). Thus for England and Wales the rate (excluding insane and casual), which declined from 5 6 '5 per thousand of population in 1850 to 21-7 in 1900, rose again to 22'1 in 1908; while for London the rate which was 31-5 in 1860, and 21-6 in 1900, was 24'4 in 1908. If insane and casual be included, the rate for England I'AU'KHISM and Wales has been slowly declining throughout the period from 574 in 1850 to 25'7 in 1908. In 1906-1907 the rate of average daily pauperism was 22*7 per thousand or 798, f tin.- United Kingdom are practically permanent paup.T.- : _'<;:; j er thousand apply only once for relief, and for a period of less than six months in all ; 5 '4 per thousand have relief inure than oiu:e, though for less than six months in all. (Cf. Tables V, VI, and VII for comparative figures, over the last fifty years of English, Scotch, ami Irish pauperism.) Thus, although pauperism steadily declined, in proportion to population, hot-wren 1850 and 1900, there is an increase in tho last decade (1897-1907). And thin increase is an increase in 72 THE PROGRESS OF THE NATION able-bodied male pauperism. In 1842, 38 per cent, of the popula- tion of the workhouses were able-bodied; in I860, 15 per cent.; in 1890, 13 per cent.; in 1905 it rose again to 18 per cent. And these figures do not show the real gravity of the evil, for they represent England as a whole, whereas the increase has occurred wholly in London and other urban centres. This tendency cannot be wholly unconnected with administration. " It is in regard to the able-bodied," according to the 1909 Commission, " that least progress has been made. . . . Either the urban population is becoming less fitted for maintaining its independence, TABLE VII. Average Daily Pauperism (excluding Casuals and Insane} Year. England and Wales (including London). London. Number. Rate per 1000 of Population. Number. Rate per 1000 of Population. 1850 1855 992,000 885,000 795,719 901,443 979,073 744,271 740,620 695,363 659,653 " 705,967 688,505 764,589 772,346 56-5 47-0 40-4 43-2 44-1 31-4 29-2 25-8 24-5 23-5 21-7 22-6 22-1 85'[853 93,555 141,473 98,187 85,735 84,936 90,362 96,215 98,324 113,547 116,038 31-5 31-7 44-5 28-6 23-1 21-6 21-8 22-1 21-6 24-4 24-4 1860 1865 1870 1875 1880 1885 1890 1895 1900 1905 1908 (From Public Health and Social Condition, Cd. 4671.) or the facility with which relief may be obtained and the immunity from labour which it confers, are enticing a larger number of persons to avail themselves of Poor Law relief." The difficulty appears whether the able-bodied are compelled to go into the workhouse, to deteriorate there through idleness and bad company ; whether they come in and out recurrently for short periods at a tiuio ("it is not too much to say that this class has been created by our administration of the Poor Law, while the law itself affords no means of checking it, now that it has come into existence "), or whether they are assisted by means of the various expedients (labour yards, work for wages, etc.) devised to meet exceptional distress, but all tending to attract a class of men quite different PAUPERISM 73 from that for which they were intended. None of the expedients have proved successful in assisting the genuine workman iluring temporary distress. Accordingly, whereas in 1842 or in 1860 all the able-bodied relieved were relieved by the Poor Law, to-day the number assisted by agencies outside the Poor Law, which have arisen in consequence of the inadequacy of the Poor Law, is far Creator than that applying to the Poor Law. Some of these i ies are unofficial and charitable, others have been set up by State, e.g. The Unemployed Workmen Act of 1908 (cf. Table VIII). Thus on March 31, 1906, for example, the number of able-bodied men in health in receipt of Poor Law relief was TABLE VIIL The Unemployed Workmen Act. Returns for 1908-1909 (38th Annual Report, Local Government Board, Cd. 4786) London (29 Distress Committees). Outside London (102 Distress Committees). Total. Difference as com- pared with 1907-1908. Total number of applicants (1908-1909) . 49,239 147,518 196,757 + 106,700 Number of applicants found qualified for assistance under the Act (i) Applicants 22,414 114,175 186,589 + 81,976 (ii) Dejiendents of applicants 71,276 304,767 376,043 + 225,072 Number of applicants provided with work 16,632 71,558 88,190 + 51,098 Number of jiersons assisted to emigrate or migrate . 486 1,061 1,547 -5,295 Expenditure .... 155,586 171,893 327,479 between 13,000 and 14,000; while during the winter months of 1905-1906 the number of applicants to Distress Committees was 111,000 (of which only 1400 were women). Of these 52 per cent, belonged to general or casual labour, 20*1 per cent, to the building trade. Experience has proved that treatment under the Unemployed Workmen Act cannot, bo regarded as a form of discrimination : the conditions "f work oilered by the Distress < '"iiiniittees are little, if at all, superior to those provided by (he 1'i'i.r Law. The social movements of the last quarter of a century, the development in all directions of humanitarian and philanthropic feeling, and the increased recognition of a more than m< individual responsibility for th l>'d to an 74 THE PROGRESS OF THE NATION immense expansion of charitable and voluntary effort in the assistance of the poor, and to an improvement in the provision made for the pauper by the Poor Law. Complete co-ordination between the different lines of effort, even a realization of Mr. Goschen's Circular of 1868, is yet to come; but that the administration of relief has already been affected by the movement of opinion outside is beyond doubt. Cost of Poor Law Relief. The expenditure on relief has in the last thirty years increased out of all proportion to numbers. In 1844 the total yearly pauperism was 1,249,682; in 1906 it was 1,709,436. The cost of relief in 1840 was 4| millions, in 1908 (excluding insane and casual), over 14 millions, and including TABLE IX. Cost of London Poor Year. Average Cost per Head of Population. Indoor Relief only. Outdoor Relief only. Total Relief. 1871 1881 1891 1901 1902 1905 1908 s. d. 10'" 4 10 10 12 Of 10 11* s. d. 1 "4J 1 5i 1 7J 1 7 s. d. 10 2| 10 1| 11 7| 14 2^ 15 OJ 16 7J 15 104 * Not including expenditure on paupers in non-Poor-Law institutions (included in previous years). insane and casual over 17 millions four times what it was in 1840 (see Tables II and IX). Between 1894 and 1906 the rise has been rather more rapid than the increase of rateable value and a good deal more rapid than that of population. Over the period the rate of increase of population was 15 per cent., of rateable value 2 8 per cent., and of poor relief 5 1 per cent. The rise is also seen when we consider the average at per head of population (see Table I). This heavy burden of expenditure is no negligible matter, especially in London, where the poorest parts are often most heavily rated. The tendency throughout the past century has been, on the whole, to improve institutional treatment more and more, and to make the workhouse more comfortable, that is, more suitable as an asylum for the aged and infirm inmates. In so far as it is so, of PAUPERISM 75 course, and one workhouse receives all who are having relief, it ceases to be deterrent to other classes. This dilemma can only be avuided by proper classification. It is not avoided at present. Many rural workhouses offer an undeservedly harsh form of treatment to the impotent. Many urban workhouses are in no sense deterrent to the able-bodied. Medical Relief Thirty-one per cent, of those under the care of the guardians are so on account of some form or degree of ill-health. In no department of administration is progress more striking than in the accommodation and treatment provided for this class. Before 1834 medical relief was given out of the rates to practically the whole mass of the labouring population. After 1834 medical relief in the home was at first, and until the Act of 1867, left almost TABLE X. Poor Law Medical Service 1875. 1885. 1895. 1907. Officers belonging to the Poor Law Medical Service (England and Wales) Medical officers and assistants Dispensers and assistants .... Nones Total Number of indoor paupers 747 23 1,686 781 32 2,319 830 44 3,689 1,016 71 6,537 2,456 3,132 4,513 7,OEM Increase 1875-1907, 210 per cent. 156,000 195,000 225,000 282,000 Increase 1875-1907, 81 per cent. solely to voluntary agencies. In 1885 the disqualification attendant on the receipt of relief was removed in the case of medical relief, and since then the system, based almost entirely upon orders from the central authority, is one in which destitution means no more than the inability to provide whatever medical treatment is necessary. Between 1834 and 18G4 little attention was paid to sick treatment indoors, although select committees inquired t'n.m time to time and reported the absence of any adequate provision. The Import issued in 1866 showed the prevalent- of a state of things so unsatisfactory that action was forced upon the Legislature. Paupers did the nursing and cooking: they attended upon one another. Proper meilieal arrangements were wholly lackinir in the smaller unions and most im per feet even in 1 towns. The, Metropolitan Poor Act of 1867 provided for separate 7 6 THE PROGRESS OF THE NATION infirmaries, apart from the workhouses, in London, and the precedent was gradually followed in most parts of the country. To-day many Poor Law infirmaries in the large towns compare favourably as to attendance and treatment with the best hospitals. The cost of medical provision has steadily risen. By 1878 it averaged 37 per bed; in 1906, 50 (exclusive of loan charges). By 1880 the infirmary accommodation in London (apart from that for the infectious sick and insane poor managed by the Metropolitan Asylums Board) amounted to 9046 beds, and by 1907 to 16,465 beds (cf. Table X). The Aged. The 1832 Commissioners regarded the aged, the sick and the infirm together, under the one heading as the " impotent." The practice of viewing the aged as a separate class is modern: statistics afford no indication as to the proportion of aged paupers in the earlier decades. On March 31, 1906, a census was taken which showed that the number of persons over 60 (omitting insane in asylums, etc., and vagrants) was over 379,902, or 4 6 '5 per cent, of the total number of persons relieved. TABLE XI. Age Distribution Numbers. Proportion of Population at the Age Group. Paupers under 16 . Paupers over 16 and under 60 Paupers over 60 Total paupers 237,721 199,389 379,902 2 '12 per cent. 1-05 15-77 817,012 2 '51 per cent. The number of male paupers over 60 was 13'02 per cent, of the male population at those ages ; that of female paupers 16 '30 per cent. The necessity and possibility of favourable discrimination in treatment as regards the aged has always been admitted and practised by most unions. The Commission of 1832 held that for the old the workhouse should be a place "where they might enjoy their indulgences without torment from the boisterous," and expressly sanctioned the giving of out-relief in their case. With regard to old men the proportions receiving indoor and out- door relief are about equal ; but more than four aged women are relieved at home for every one relieved in an institution. Certain Boards have attempted to provide for the aged in a really humane PAUPERISM 77 manner; but much remains to be done in the way of differential treatment. Tlii- must recent departure in this direction is the establishment by the Act of 1908 (8 Ed. HI, c. 40) of a general system of ol.l Age reunions, which confers the right to a pension up to 5a. :i week on every man and woman over 70 who satisfies the authorities that he fulfils the statutory conditions imposed by the Act. The working of the Act has already effected considerable in the pauperism of the aged, especially outdoors. Urban and Rural Pauperism. At present the proportion of over 60 is relatively higher in rural than urban districts, and there the largest class of paupers consists of old people who are practically permanent inhabitants of the workhouses, only a small proportion of whom could maintain themselves outside even on a pension. There is thus less variation between the average of daily and of yearly pauperism in rural than in urban districts. Pauperism per Cent, of Population London. Other wholly Urban Unions. Unions 75 per Cent. Urban. Other Unions. Wholly Rural Unions. Year 190G-1907 . Average daily pau- pers 1906-1907. 7-1 2-6 5-07 2-07 4-1 1-8 4-5 2-6 5-0 2-9 Thus the rate of pauperism is seen to vary for different parts of the country. Generally speaking it is lowest in urban, highest in the rural unions, " where the movement of the working sections in the towns leaves behind a mass of pauperism that bears a large proportion to the remaining population." The following are some of the lowest and highest rates per thousand of population : 1907. 1908. 1909. Lowest rates Yorks (West Riding) .... 15-7 17'0 18-4 Lancashire 17 ; 19-1 21-5 Westmoreland ..... 19-4 19-8 20-8 Northumberland ..... 19-r. 20-6 21-6 Highest rates Oxfordshire 33-3 34-1 34-8 Herefordshire ..... "1-7 Ml 37-3 Suffolk . 35-8 37-7 Dorsetshire ..... 37-:5 37-7 :::(. Norfolk . 38 -r. 40-0 THE PROGRESS OF THE NATION Until 1900 London's rate was below that of the rest of England and Wales : it is now above it. In London itself the rate varies from 73'1 per thousand in the Strand Union to 8*7 in Hampstead. Though the general rate of pauperism is lower in urban areas, the rate of adult male and casual pauperism is highest there. The recent increase in adult male pauperism is in fact confined to London and the urban areas ; while the decrease in child pauperism has been confined almost wholly to rural areas, where enormous reductions have taken place. Female Pauperism. The rate of pauperism is higher among women. Taking the average daily rates, 19 '8 per thousand men are paupers, 27'8 per thousand women, and 20*6 per thousand children an average rate of 22*9 per thousand of population. In 1907, 12 '4 per cent, of women in receipt of out-relief were widows. Children under the Poor Law. Children under 16 formed in 1908, 29'4 of the average daily pauperism. Their numbers have, however, declined considerably since 1870. TABLE XII Indoor. Outdoor. Total. 1871-72 to 1879-80 . 47,814 220,765 268,579 1880-81 to 1887-88 . 54,863 205,330 260,193 1888-89 to 1895-96 . 51,002 184,439 235,441 1896-97 to 1905-06 . 52,661 166,475 219,136 The great decline in the number receiving outdoor relief more than counterbalances the small increase in the number in institutions. "The History of the Poor Law in its dealings with pauper children has been one of continual improvement, and the success or failure of any system which may be adopted must depend almost entirely upon administration " (Sir William Chance). One of the first and most urgent matters that claimed the attention of the Commissioners of 1834 was the care of the children. A Eeport prepared by Dr. Eay in 1836 declared "that the education provided for the children sent to the workhouses was valueless". . . they were "seminaries for the preparation of victims of the Penal Code." After the formation of the new unions there were such im- provements as was possible under the conditions of a general mixed workhouse ; but education at the time was everywhere PAUPERISM 79 in a deplorable state. The shocking system of compulsory apprenticeship, by which pauper children were handed over to factory owners, who were compelled to take them, practically as slaves, though declining since 1802 was not abolished until the <>ry Act of 1844, which also gave the unions power to establish it sdiu.ils. These give an excellent education and those 1 1 ained therein do well in after life. 3712 pauper children are at present being educated in them. They have, however, the ts of large institutions in which children of all ages are grouped together; and in 1896 they were strongly condemned by the Committee on the Care of Poor-Law Children. TABLE XIII. Education of Pauper Children B . Children maintained in Establishments provided by Guardians, being educated in S.5S<* 1- H 3 4- log^ i si^ fe|l t3 | sugsl gi-iO aS"o X A. Children's non Poor- Law Iiisti tiitions, mainb Training and In dustrial Schools Workhouse Schools. Poor-Law Schools separate from Workhouses. Public Elementary Schools. 1870 53,712 29,111 12,463 1875 45,531 21,096 11,847 1880 54,733 20,684 14,539 1885 54,782 4,000 17,663 14,990 1890 50,333 5,100 11,830 15,156 1895 53,028 6,300 7,686 16,789 1900 49,518 7,200 2,2*8 16,131 1905 57,255 9,128 849 16,651 17,452 1908 59,985 9,369 656 15,742 19,354 (From Public Health and Social Conditions.) In 1861 the Royal Commission on Education reported very unfavourably on the workhouse schools ; and in the next year guardians were empowered to send children to approved institutions for industrial training, or to schools for blind, deaf and dumb, etc., where suitable: shortly afterwards (1871) the first training ship for Poor-Law boys was established. In 1908, 916 boys were thus maintained on various shipa Public opinion is now fairly unanimous that it is nothing but a misfortune for any child to grow up within the workhouse. It is highly improbable that a child thus reared will feel as an adult any disgrace in returning thither. In the case of orphans and deserted children, a Local Government Board Order in 1890 permitted the guardians to board UHMU out with suitable foster-parents in the district, subject to So THE PROGRESS OF THE NATION periodical inspection; in 1889 this method was extended to children whose parents are in prison or unfit to have charge of them, and urban unions were permitted to board-out in the country. Boarding-out has, as a matter of fact, been found far more satis- factory in this case than when children are within their own union. In 1908, 8565 children were thus being brought up under the normal conditions of home life, without any stigma. In Scotland the system is universal : it must always depend for its success on efficient inspection. The grouped Cottage Homes established in 1867 have given very good results; but they are very expensive to equip and maintain. The normal type of education for pauper children nevertheless still remains one in close connexion with the workhouse. Of the 70,991 children under the care of guardians (i.e. receiving indoor relief) 22,483 were in workhouses, infirmaries, and sick asylums; and 53,057 altogether in Poor-Law establishments of one sort or another. Of these 48 per cent, were being sent to Public Elementary Schools and 3 5 per cent, being educated in " separate " or " district " schools. Practically no children now receive their education within the workhouse except infants under 3 years of age and special classes of children who from infirmity, etc., cannot be dealt with elsewhere. But the 19,354 children educated in Public Elementary Schools still have the workhouse as their home, with all its disadvantages. On the other hand, difficulty is found in separating children from their parents, as is necessary if they are to be removed from the workhouse. TABLE XIV. Children under the care of Boards of Guardians, March 31, 1906 (England and Wales) I. In Poor-Law establishments 53,057 (a) In workhouses, infirmaries, etc. . 22,483 (6) In children's establishments (i) District schools . 3,712 (ii) Separate schools . . 7,890 (iii) Cottage homes . 9,094 (iv) Scattered homes . 5,294 (v) Other homes 2,702 (c) Under the Metropolitan Asj rlum Board 1,864 (d) Other establishments . . 18 II. Non-Poor-Law institutions . 9,369 III. Boarded-out 8,565 Total 70,991 In the course of the century, then, no final system of dealing with the children has been evolved. Nevertheless, while in 1834 PAITKIUSM 81 not one-third of pauper children found any respectable employment, in 1908 the Commissioners declare "the evidence was almost unanimous as to the good results obtained under the various systems of training and education in force. . . . Few children in after life fall back into pauperism." If, however, the condition of these children treated by the guardians in various types of institution, though still far from perfect whether in theory or practice, does yet afford food for satisfaction, the same cannot be said of those receiving outdoor relief. Out-relief is frequently inadequate, and given where housing conditions are unsatisfactory, the children dirty, in improper surroundings and insufficiently fed. Many of the 172,366 out- relief children are growing up under conditions too likely to lead them to pauperism in the future. TABLE XV 1849. 1908. Per 1000 of Population. Per Cent of Total Paupers. Per 1000 of Population. Per Cent, of Total Paupers. (a) Insane and idiots . 0-9 1-4 3-2 12-1 (6) Sane (i) Aged and infirm adults. 227 35-9 127 47-9 (ii) Able-bodied adults 13-5 21-3 3-5 12-9 (iii) Children 257 40-6 67 25-3 (iv) Casual or vagrant poor . 0-5 0-8 0-5 T8 Total . 63-3 100-0 26-6 100-0 It must be remembered that from most of the calculations referring to the decline of average pauperism, and the tables UJKMI which they are based, the insane and the casual pauper have been excluded. While every other class of pauperism has steadily declined since 1880, these two have formed a striking exception. Insane and idiot poor formed in 1849 1*4 per cent, of total pauperism; in 1908 they accounted for 12*1 per cent In 1849 the number of insane paupers per thousand <-f population was '9, in 1904 it was .">'2. K\prnditun- \i their maintenance rose from 4d. to Is. 4 Ad. per head of population in the period 1857-1907. No doubt part of this L r i"a f increase in the nunnVrs 6 82 THE PROGRESS OF THE NATION of the mentally defective among the poor is due to better classifica- tion and the more humane treatment in segregating them from the sane which now prevails : this part of the subject, however, will be found more fully treated in the chapter dealing with feeble-minded- ness in general. Vagrancy. The genuine vagrant is the lineal descendant of the sturdy beggar of Elizabeth's day : but not all who come under the operation of the Poor Law conform to this type. Some part of the increase in the population of the casual wards must be set down to distress due to want of employment. Nevertheless, it is the opinion of the Poor Law Commissioners that less than 3 per cent. TABLE XVI. Vagrants : Day Count of January 1st and July 1st 1848. 1860. 1869. 1875. 1881. 1889. 1900. 1908 (Jan.) 13,714 1,542 7,020 2,235 6,215 7,058 9,841 17,083 TABLE XVII. Casual Paupers Relieved in England and Wales at any time during the day Year. January 1st. July 1st. 1880 5,914 7,742 1885 4,866 4,640 1890 5,701 6,008 1895 10,162 8,029 1900 9,841 7,779 1905 17,254 14,920 (on the night 9,768) (on the night 8,556) (Departmental Committee on Vagrancy Report, vol. iii, Cd. 2892.) of the total are working men, travelling in search of employment. The vast majority consists of those who do not want steady work. Some of them are willing to undertake casual labour for a short time, but incapable of continued work the first to be dismissed when trade is slack, the last to be taken on again. Others do not want work at all. " The army of vagrants has increased of late years and there is reason to fear that it will continue to increase if things are left as they are. It is mainly composed of those who avoid any work and depend for their living on almshouses and casual wards, and for their benefit the industrious portion of the community is heavily taxed." Such is the opinion of the recent Committee on Vagrancy, whose Eeport, issued in 1906, declared that the system of PAUPERISM casual wards (instituted in 1865) as managed by the guardians was a failure mainly through want of uniformity in administration. That there has been a steady increase in the numbers of this class is certain : but exact figures are not easy to obtain. On the night of January 31, 1858, the number sleeping in casual wards was 2416; on January :U, 1905, it was 9768. Of this latter numter no less than 6143 or 70 per cent, were males between m.iiisli. The growth of poorhouses was slow, and only in >nse to constant admonishment from the Scottish Local Government Board. Even now there are sixty-seven parishes with no poorhouse accommodation available ; and the accommoda- tion that does exist is very unequally distributed. In many landward parishes the houses remain almost empty. The Scotch system was, and is, primarily an out-relief system. The Commis- sioners found no need to suggest the universal application of the " workhouse test." Thus in theory there remains a wide divergence between the Scotch and English systems. TABLE XX. Male anil Female Pauperism (Scotland) Periods. Mean Number of Persons Relieved, excluding Lunatics and Dependents. Males. Females. Total. 1870-1876 . 17,630 1877-1886 . . 15,558 1887-1896 . . 14,666 1897-1906 . . 16,526 49,877 39,231 35,370 36,873 67,507 54,789 50,036 53,339 1907 . . . 19,165 1908 . . . 20,275 38,002 38,373 67,167 58,348 But the divergence is more apparent than real. Disability as a qualification for relief is by no means universally maintained. It has been found to lead to malingering, desertion, hardship, and physical deterioration. In many parishes the medical test is formal, ;md the real test, as in England, is a test not of disability but of destitution. The able-bodied man is offered relief, in most parts of ind, ,unl in all the large towns, on condition of his going into the poorhouse. Thus Scotch conditions, as a matter of fact, present the English dilemma in an exaggerated form. The poorhouse, in- tended as an asylum for the impotent, aftbrds no real test to the able-bodied unless it is made so disagreeable that residence in it forms an undeservedly harsh form of punishment for the aged and infirm. The extension of the system of indoor reliof was between 86 THE PROGRESS OF THE NATION 18641896 accompanied by a diminution in pauperism. But since that time there has been an actual increase in the numbers in receipt of relief. Moreover, while throughout the period the move- ment in adult male pauperism has " never been so satisfactory as that in female pauperism, it has recently been growing more unsatisfactory " ; and the greater comparative increase in those receiving indoor relief shows that " the poorhouse has lost much of its power as an agency for controlling pauperism." This must to some extent be connected with administration : the absence of classification and the increasing attractiveness of institutional relief to that class which it is most desirable to repel (cf. Tables XIX, XX, and XXI). TABLB XXI. Indoor and Outdoor Relief (Scotland) Periods. Mean Number Relieved. In Poorhouses. Otherwise. 1864-1866 1867-1876 1877-1886 1887-1896 1897-1906 7,225 7,907 8,951 8,799 11,192 114,796 107,749 81,873 74,678 77,398 1906 . 1907 . 13,423 14,574 79,447 81,389 Rate of Pauperism. Compared with the estimated population living in the middle of 1906 (4,726,070) the number of sane persons relieved in Scotland on March 31, 1906, was 20'0 per thousand. The English rate (also omitting lunatics elsewhere than in workhouses) was 24'0 per thousand, or entirely omitting the insane, 23'0. Age. Comparing the age rates for the two countries, we find TABLE XXII. Age Distribution Age Groups. English Rate. Scottish Rate. Excess ( + ) or Deficit ( - ) of Scottish Rate. Under 14 years . 14 and under 60 60 and upwards . Total . 2-20 0-95 14-71 2-69 0-87 8-64 + 0-49 -0-08 -6-07 2-33 2-00 -0-33 PAUPERISM that the difference is wholly accounted for by the smaller proportion of aged persons, both male and female, coming upon the Scottish Poor Law. . In Scotland, as in England, there has been a development in indoor relief, and in the more expensive forms of such relief (hospitals, etc.), and the same improvement in general comfort. As the standard improves, reluctance to accept the conditions must ' in the absence of balancing deterrents " diminish. TABLE XXIII. Expenditure Yean. Expenditure. Per Head of Population. s. d. 1845-1846 295,232 2 1J 1868-1869 f^ears marking the highest) BBI \ points of upward movement \ 31 [ in expenditure. 1 821,184 853,345 4 1U 4 6J 18QO-1891 f^ 0&T before commencement of\ \ recent rise in exjienditure. / 841,645 4 2i 1904-1905 1,285,721 5 6 Administration of Scotch Poor Law. As a result of the recom- mendations of the 1845 Commission, an unpaid Board of Supervision was established in Edinburgh to exercise, in a modified form, the functions of central control assigned to the Poor Law Board in England; and this Board remained in possession until 1894, when its place was taken by the Local Government Board for Scotland, with the Secretary for Scotland for its president. The power of the Board over local administration is mainly exercised through their yearly inquiry and report " as to the condition and manage- ment of the poor throughout Scotland," the inquiries being mainly carried out by officers of the Board known as " General Superintendents of Poor," to each of whom a district is allotted. They have, moreover, to scrutinize the roll of poor in each parish and see that those who need relief get it, while those not in need do not. The main difference in the functions of the Board is its power to interfere in individual cases, on appeal, for the purpose of ordering adequate relief. Although mandatory orders are not issued, regulations, minutes and circulars serve for the guidance of Parish Councils, over whom there is further the check of the central audit. The weakness of the Board is the lack of any initiatory powers. The unit of Scottish administration is the parish. There are 88 THE PROGRESS OF THE NATION 874 parishes in Scotland, of extraordinarily various size and population. Kilmonivaig in Inverness-shire covers 267,047 acres; Anstruther Easter, in Fife, only 28. Glasgow has 571,615 inhabit- ants; Lyne, in Peeblesshire, only 98. The Poor Law in Ireland. The first Irish Poor Law was enacted in 1838. The condition then existing in Ireland was totally different from that found in England. As the Irish Eoyal Com- missioners said : " The difficulty in Ireland is not to make the able-bodied look for employment, but to find it profitably for the many who seek it. ... We see that the labouring classes are eager for work : that work is not there for them, and that they are therefore, and not from any fault of their own, in permanent want. . . . Our conviction is that the able-bodied in general and their families would endure any misery rather than make a work- house their domicile." They therefore recommended, first, the direct provision, compulsorily, for the sick, aged, infirm, lunatics and others incapable of work ; secondly, indirect measures for the development of the resources of the country and the improvement of the condition of the poor. The second set of recommendations were, however, put aside by the Government and only very gradually and partially realized in the course of the century : all . their attention was devoted not to the prevention of destitution but to direct measures for alleviating it after it had arisen. Unfortunately, however, the Bill of 1838 was only to a very small extent based on the findings of the Irish Commission, rather, in spite of the vast differences in the condition of the two countries, upon the opinion of Mr. George Nicholls, " that the Poor Law of Ireland should assimilate in all respects as nearly as possible to the Poor-Law system now established in England." The weight of opinion from Ireland in both Houses was against the Bill. Daniel O'Connell observed that " what was now suggested was that a country unable to give employment to its labourers should be made to feed them in idleness within the walls of a poorhouse." The machinery for the carrying out of the new Poor Law, the establishment of the central office, of unions with their officers and workhouses, was entrusted to the English Commissioners. In 1841, when a few of the first workhouses were opened, the population of Ireland was 8,175,000. In 1901 it had fallen to 4,458,000. Absolute destitution used to prevail largely in Ireland for about thirty weeks of the year. The Commission of 1833 estimated that over two million and a half men, women and children were in great need of food. As the result of the great PAUPERISM 89 famine and the fever epidemic of 1846-1848, and the emigration that followed, the population was so reduced that most of the very poor disappeared. Nevertheless, the Viceregal Commission of points out "that in our opinion the low level of subsistence roml'ort throughout nearly all Ireland, with the poverty and ili stitntion resulting therefrom, canuot be effectively relieved by any Poor-law Relief Law such as that of 1838." There are at present 159 unions in Ireland, each containing a workhouse in which all the various classes of destitute and poor persons are maintained in separate wards or in separate blocks of buildings. TABLE XXIV. Number of Inmates in Poor-Law Union Workhouses and Fever Hospitals on March 11, 1905 (Ireland) Classification. Males. Females. Totals. Class Totals. q.,f Medical and surgical . \Feverandinfections . 7,054 349 6,802 286 13,856 635 } 14,491 ( Healthy . 6,234 3,470 9,704 1 Aged and infirm < Bedridden . 178 312 490 ! 14,380 (Ailing and feeble 1,863 2,323 4,186 1 Children ] m ,.,, itilnate an j de8erted in'nts |'-itin..to . . . 1,454 1,716 1,310 1,420 2,764 3,136 5,900 Insane (all classes) 1,231 1,934 3,16. r . 3,165 Sine epileptii-s 191 272 463 463 Mothers of illegitimate children 2,129 2,129 2,129 Able- i < 'usinis and ius-and-outs 410 403 813 I bodied '. Vagrants and tramps 726 152 878 4,667 paupers I All others 1,512 1,464 2,976 ) Total 22,918 22,277 45,195 45,195 (Report of Viceregal Commission, Cd. 3202.) The Act of 1843 empowered guardians to give relief not only to the destitute but to " poor persons affected with fever or other dangerous contagious disease," and after 1863 to any "poor person H'i|uiriii^ medical or surgical aid in a hospital." P.efore the epidemic of 1847 had subsided, it was found necessary to authorize guardians to give out-relief to persons permanently disabled, temporarily disabled by severe illness or serious accident, and destitute widows with two or more legitimate children. Relieving officers were, moreover, required to give relief in food, medicine, etc., in cases of sudden and urgent necessity, and this also applied to evicted tenan THE PROGRESS OF THE NATION Since 1855 the tendency has been for out-relief to increase on the whole. " It is well known that in Ireland . . . outdoor relief is often, and we think we may say generally, given to persons who, though poor, are by no means destitute of resources and means of livelihood. The boundary line has in practice been extended from destitution to poverty, with the result that the number of possible applicants is much increased. Instead of outdoor relief being the sole support of the destitute, it has become merely an item in the receipts of the poor person." (Report of the Viceregal Com- mission, 1906.) (See Table XXIV.) TABLE XXV .Out-relief (Ireland) Year. Daily Average Number of Persons on Out- Annual Amount Average Amount Paid Average Weekly Amount Paid door Relief List. raid. per Week. per Person. s. d. s. d. 1896 . 56,619 185,936 3,565 18 1 3 1900 .... 58,012 200,053 3,836 13 1 4 1903 .... 57,875 201,746 3,869 2 1 4 1905 .... 57,665 203,212 3,886 11 .0 1 4 (Report of the Viceregal Commission, 1906.) It should be added that in Ireland, owing to the enormous emigration of young people between the 'forties and 'eighties of last century, the number of the old is far greater proportionately than in England or Scotland. Hence Ireland has received a much larger share of old-age pensions than Great Britain. CHAPTER V HOUSING AND RENT Inhabited houses Rents Urban and rural conditions Overcrowding NO account of social and economic conditions would be at all complete which left out the housing of the people in town and country. Much has been done for public health in the towns but the problem of overcrowding remains. In the rural districts of England, Wales, and Scotland the need of good cottages and good gardens is great. In Ireland it has been solved by the Labourers Acts. The census of 1901 showed 6,260,852 inhabited houses in England and Wales an increase of 14' 8 7 per cent, on the number in 1891, and higher than that at any intercensal period since 1831-1841. The number of uninhabited houses (448,932) also showed an increase (20 '6 per cent.), but of these only 259,795 "i .".7'9 per cent, were really empty; the remaining 189,137 had no inmates on the census night, but were really occupied during the day as offices, shops, etc. : 60,909 houses were returned as " building," an increase of 60 per cent, on the number so returned in 1891. The proportion of houses "building" in urban districts was 10*8 to every 1000 inhabited houses, and 7'1 in rural districts. Since population increased 12*17 per cent in the period, and houses 14*87, the average number of persons to a house declined between 1891 and 1901 from 5*32 to 5-20; and throughout the century there has been a steady decline. Tim proportion of persons to a. house was England. Middlesex. Scotland . Edinburgh. Ireland. Dublin. 1801 7-25 1811 5-68 7-29 . . . 1821 576 7-48 6-13 10-04 5-95 12-43 1831 5-62 7*52 6-42 11-11 6-21 12-72 1841 5-44 7-5'.' 5-04 6-94 5-54 1891 5-32 1901 5-20 92 THE PROGRESS OF THE NATION (The great discrepancy in the Scotch figures between 1831 and 1841 is due to the fact that in the latter year separate flats or apartments (tenements) were returned as " houses ".) Figures merely showing the average number of persons to a house are not, however, of much value, since houses vary enormously in accommodation and cubic capacity. Housing figures that are of use for measuring the progress of the standard of comfort must be given relative to the number of persons per room, or per so much cubic space. For instance, the fact that the average number of persons to a house was 4 - 12 in Eochdale and 8 '5 5 in Devonport in 1901 may indicate smaller houses in Kochdale or overcrowding in Devonport. In all large towns the average number of persons to a house declined between 1891 and 1901, with the exception of London (with the neighbouring urban districts of Tottenham, Walthamstow, West Ham), Southampton, Newcastle-on-Tyne, Tynemouth, Gateshead, and Merthyr Tydvil. It is certain that in the last ten years the building of large block dwellings has been rapidly proceeding : but to see how far such causes as this, and the building over the country in general of large houses, has affected housing statistics, it is necessary to look not at houses, but at tenements. A tenement is a separate occupa- tion. It may be a house, one or more rooms, a flat, or even a cellar. Since 1890, occupiers of less than five rooms have been required to state the number of rooms occupied by them. " Boom," like house, has been found to be a term impossible of rigid defini- tion : it may be " stretched, by those who please, to cover a landing, a lobby, a closet, or any other more or less distinct space within a dwelling." In 1901 there were in England and Wales 7,036,868 tenements, or 112 tenements to every 100 separate houses (this ratio was the same in 1891); and the average occupation is thus 4'62 persons per tenement. In 1891, 47*7 per cent, of these tenements in England and Wales consisted of five or more rooms; in 1901, 53*2 per cent. Moreover, between 1891 and 1901 the number of one-roomed tenements declined by more than 35,000; they represented 1-6 per cent, of the whole in 1901, 2'2 per cent, in 1891. In 1901 the proportion of the population living London. England and Wales. in 1-j-oom tenements . .67 per cent. T6 per cent. ,, 2 ,, ... 15-5 ,, 6-6 ,, 3 ,, ... 16-6 9-8 4 ,, ,, ... 15'2 ,, 21-9 5 . 46-0 60-1 HOUSING AND RKM 93 The problem of the housing of the poorer classes is an exceedingly complicated one: and in spite of considerable improvement, as the msult of much expenditure on the part of public and private bodies, housing continues to be responsible for a great deal of suffering iiml deterioration. Overcrowding is the most serious evil : but it is not the only one. Many existing houses are old, badly arranged, and thoroughly in.smiiary : streets have been built too close together, so that there fither light nor breathing space: houses have been neglected by their o\vnr>-< and ill-used by their occupiers. New houses are jerry-built and will not stand wear and tear: old ones, intended for quite a ditl'erent class of tenant, are cut up into tenements without proper sanitary or kitchen conveniences. The better-off move farther and farther from the centre of growing towns, leaving one ring after another of unsuitable houses to be converted into dwellings for the working classea As the town expands, accommodation at or near the centre becomes more and more expensive for those who cannot afford to move faraway from their work, and the tendency to overcrowding keeps pace with the rise in rents. Excessive ground rents cause great blocks to be built up to an enormous height, more like rabbit warrens than homes. TABLE I. Housing and Overcrowding England and Wales. Total Number of Occupants of each Class of Tenement. Occupant* of Overcrowded Tenement*. Claw of Tenement*. Number. Percentage of total Popula- tion of each Claw of Tenement. Number. 1'. R rllt.l,-' "t total Popula- tion of each Claw of Tenement. 1881. 1001. mi 1001. 1881. 1001. 1801. 100L of 1 room . ,, ! rooms . ,, * ,. - ,, 5 or more Total I'M!" 6,814,000 i:,. .'::.:>'... 607.768 '.I. vi, II M8&640 7,iao,069 19,544,734 8-3 11-1 23-6 54-9 1-6 6- 0-8 .,,.., 60-1 .:.:>: US4.064 061,877 MM 246,586 184,673 M7.506 BMM 56-0 466 .:> :. 12-1 48-4 41-0 26-3 10-2 9jmjs* 82,627,843 100-0 100-0 ;.-.-.' it 1,967,004 11-2 M /,. TcnrinenU of 1 room .. Total <>.-,'. 1,889,476 .,,.,,: | 0-3 11 1 e-7 46-0 1 .:- .,,:,. 66-6 47-0 -. , 48-5 13-6 4,228,317 i,:...',: : i 100-0 100-0 - 9jm mjm 10-7 16-0 94 THE PROGRESS OF THE NATION By an evil paradox the most insanitary and unsuitable dwellings are found to be most overcrowded, since better tenants, more able to pay, occupy the more desirable tenements ; therefore it is possible to regard overcrowding as the chief symptom of the disease of bad housing, and feel that were it removed cure would be in sight. The relation between bad housing and every sort of social evil is of the closest. It is " the main cause of drink and vice," according to Mr. Charles Booth (Life and Labour, vol. x. p. 122); it is "of all causes the most potent in the creation of morally and physically degenerate types," according to the Committee on Physical Deterioration. It has a direct connexion with a high rate of infant mortality. By comparing various districts with approximately the TABLE II. Tenements (England and Wales) in 1891 and 1901 Rooms in Tenements. Tenements. Occupants of Tenements. Percentage of Total Tenements. Percentage of Total Population in each Group of Tenements. Average Occupants per Room. 1901. 1901. 1891. 1901. 1891. 1901. 1891. 1901. 1 room 2 rooms 3 4 5 or more rooms Total . 251,667 658,203 779,992 1,596,664 3,750,342 507,763 2,158,644 3,186,640 7,130,062 19,544,734 47 11-4 12-3 23-9 477 3-6 9-4 11-1 227 53-2 2-2 8-3 11-1 23-5 54-9 11 6-6 9-8 21-9 60-1 2-23 1-73 1-42 1-16 2-02 1-64 1-36 1-12 7,036,868 35,527,843 100-0 100-0 100-0 100-0 (Census, 1901.) same population we find, for instance, that in Durham county with a population of 1,194,442 the percentage of overcrowding is 28'4 and the rate of infant mortality 156 per thousand, or 41 per thousand in excess of the infant mortality rate for Essex, where, in a population of 1,062,452, the overcrowding was only 2*7 per cent. The death-rate for England and Wales was 15 '8, but in Shoreditch, with 29*9 per cent, of the population living under overcrowded conditions, it was 21 -5 in 1907; in Finsbury, where there were in 1903 14,516 people living in one-roomed tenements, the death-rate of those in one room was 38 - 9 per thousand, for the whole borough 19 -6, and for those in four rooms and over only 5 -6. In Glasgow the death-rate of those living in one-roomed tenements is nearly HOUSING AND RENT 95 twice that of the whole city ; while the death-rate there from pulmonary tuberculosis was 2'4 per thousand in one-room tenements, 1*8 in two-roomed tenements, and 0*7 in other houses. In London, with 58 persons per acre, the lunacy rate was 1'9 per thousand, in Bethnal Green with 171 it was 6'7, in the Strand with 143, ll'O. A Scotch Education Blue Book for 1907, dealing with school children in Glasgow, shows that boys from one-roomed houses are on an average 11 '1 Ib. lighter and 4'7 inches smaller than boys from four-roomed houses; while girls from one-roomed houses are 14 Ib. lighter and 3'3 inches smaller than girls from four-roomed houses. Great efforts have been made to reduce bad housing and overcrowding by public and private effort, and a comparison of TABLE III. Overcrmoded Tenements (England and Wales), 1891 and 1901 Booms in Tenements. 1-4 Room Tene- ments with more than 2 Occupants per Room. Occupants of such Tenements. Percentage of Occupants of such Tenements to Total Population. 1891. 1901. 1891. 1901. 1891. 1901. 1 room . 2 rooms . 3 ,, . 4 . Total under 5 rooms 92,259 184,231 120,031 85,132 66,669 147,257 102,556 75,662 357,707 1,124,056 951,877 824,404 245,586 884,672 807,596 729,652 1-23 3-88 3-28 2-84 0-76 2-72 2-48 2-24 481,653 392,414 3,258,044 2,667,506 11-23 8-20 (Census, 1901.) the figures for 1901 with those of 1891 show that it is, all over the country, declining. The proportion of one-roomed tenements has declined (Table II). In 1891 it was assumed that tenements containing more than two occupants per room might be considered as overcrowded. On this basis there were found to be 481,653 overcrowded tenements of fewer than five rooms in 1891, in which \\"2 of the total population were living. In 1901 this number declined to .">!>_', -M 4, and the proportion of population living in them to 8*2 (Table III). In London (T:il>lr IV), where rents an- highest, ovm-rowdin^ remains nearly twice as bad as in the rest of England and Wales as a whole : though in certain coal-mining districts the conditions 9 6 THE PROGRESS OF THE NATION are even worse. The proportion of overcrowding was in typical districts (1901) Isle of Wight (lowest) West Sussex Cumberland Yorks (W. Riding) London Durham Northumberland 0'91 per cent. 1-05 8-53 10-32 ,, 16-01 28-48 32-09 TABLE IV. Overcrowding in London Proportion per 1000 Tenements of Proportion per 1000 Tenements of Percentage living in Overcrowded less than 5 Rooms. ;hose with 1 Room. Conditions. London. 1891. 1901. 1891. 1901. 1891. 1901. London 672 659 184 147 19-67 16-01 Lewisham 309 35 2-68 Harupstead 422 64 6-36 Stepney 805 33-21 Southwark 829 Bethnal Green 842 29-62 Shoreditch 849 ... 29-95 Finsbury 851 264 35-21 Holborn 270 Persons per Inhabited House Percentage of 1891. 1901. Overcrowding (1901). London . . 7'73 7-93 16-01 West Ham . 6 '39 6-46 9-27 Waltharnstow . 5 '82 5-92 Manchester. . j 5 '04 4-99 6-28 Newcastle-on-Tyne 7 '33 8-03 30-47 Bradford . . 4 "65 4-36 14-62 Cardiff . 6'30 5-87 2'92 Birmingham . 5 '01 4-84 10-33 Liverpool . 5*62 5-55 7-94 Gateshead . 7'94 8-01 34-54 (Census, 1901.) While in certain rural districts of Durham it was even higher Chester-le-Street . Lanchester . Easington . 37 per cent. 38 39 Rents. The connexion between overcrowding and high rents is unfortunately of the closest. Eents are decidedly higher in HOUSING AND RENT 97 London than for the country as a whole. The predominant range of weekly rents in London (cf. Cost of living of the working classes) including rates was, in 1905, 4s. 6d. to 7s. 6d. for two rooms, 6s. to 9s. for three, Vs. 6d. to 10s. 6d. for four, 9s. to 13e. for five, and 10s. 6d. to 15s. 6d. for six rooms; while in the provinces as a whole the range is, for two rooms 3s. to 3s. 6d., for three 3s. 9d. to 4s. 6d., for four 4s. 6d. to 5s. 6d., for five 5s. Gd. to 6s. 6d., and Gs. Gd. to 7s. 9d. for six rooma The London rents represent every variety of accommodation, varying according to the different neighbourhoods: flats and tenements in some, small houses in others ; large houses cut up to serve for many families in others ; and of course lodgings of every type. While rents of workmen's dwellings in London are far in excess of those prevailing in any other town the ratio being 100 to 50 or 60 there is no type of accommodation common to all towns which can be taken as a standard. In the midland and southern counties the commonest form of dwelling is the small four- or five-roomed cottage, entered as a rule direct from the street, with a scullery addition built on to the back part of the house. In the northern counties and Yorkshire, the working-class tenement has generally fewer rooms, and consists frequently of three or four rooms built " back to back." In most Yorkshire towns the erection of such houses has now been prohibited, but it continues in some places, and is in Bradford, Huddersfield, Leeds and Halifax the predominant type. TABLE V. Geographical Distribution and Rents Geographical Group. Number of Towns. Mean Bent Index Numbers. London ..... 100 Northern Counties and Cleveland 9 62 Yorkshire (except Cleveland) 10 56 Lancashire and Cheshire . 17 54 Midlands ..... 15 51 Eastern Counties 7 50 Southern Counties . 10 61 Wales and Monmouthshire 4 60 The typical Lancashire house is a square building containing two and sometimes three bedrooms on the first floor, and downstairs a front and back kitchen. In the Tyneside towns the " Newcastle " or " cottage " flat consist* 7 9 8 THE PROGRESS OF THE NATION of one self-contained floor of a two-storied house, with its own separate entrance from street and backyard. In Scotland the typical residence of the working man is a flat of one, two, or three rooms. These flats are built in blocks of two, three, four and more stories : the rooms generally being larger than in the English cottage, additional accommodation being provided by the extremely insanitary contrivance of a " bedcloset " let into the wall. The predominant range qf weekly rents is 2s. to 2s. 6d. for one room, 3s. 6d. to 4s. 3d. for two, and 5s. 2d. to 6s. 5d. for three. In Ireland, except in Dublin, the cottage type prevails. In Dublin the working class dwell in tenement houses, consisting for the most part of large houses once occupied by the wealthier classes : the rents there are 3 per cent, above the average for the rest of Ireland. The predominant range of weekly rents (including rate) is for one room Is. 6d. to 2s. 6d. ; for two 2s. 6d. to 3s. 6d. ; for three 4s. to 5s. ; for four 5s. 6d. to 6s. 9d. Outside the towns of Ireland under the Labourers Acts almost enough new cottages with half an acre or an acre of land attached to each had already been built by the Rural District Councils in 1911 to supply the demand. Probably about two-thirds of the population (apart from the new peasant proprietors) have been housed in this way, the rents varying from a minimum of ninepence per week in the south of Ireland to a maximum of two shillings per week in parts of Ulster, where the Councils object to any contribution from the rates. Apart from any improvement in accommodation, rents have risen in the course of the century with the increased aggregation of population. While between 1880 and 1900 the urban popula- tion has increased by 47 per cent., the rural population has decreased by 10 per cent., and the proportion of urban to total population has increased by 1 1 per cent. " This movement has of necessity resulted in a raising of the general average rent of all houses the value of houses being greater in urban than in rural districts." The increase is perhaps least marked in London, where the pressure has to some extent been relieved by the expansion of the suburbs. According to Board of Trade figures (British and Foreign Trade and Industry II, Cd. 2337), there was in the years 1880-1900 an increase in the rents of all houses in London under 50 rental of 13'7 per cent., and an increase of 8'2 per cent, in the rents of all houses in London. In the same period the course of rents for all houses in Great Britain (including London) HOUSING AND RENT 99 under 20 gross annual rental shows an increase of 25'3 per cent., when rates are included, and of 17*9 per cent, in rent exclusive of rates. In London the increase was much greater in certain districts, where, moreover, it is possible to select for comparison streets identical in the two periods. Thus rents have, since 1880, risen In Stepney ,, Bethnal Green ,, Woolwich ,, Hackney 33 per cent. 26 18-1 16-8 There is a close connexion between high rents and over- crowding. London rents are 40 to 50 per cent, higher than the average for the rest of the kingdom, and London is twice as overcrowded. In those areas where rents are highest, overcrowding is highest (Table VI). The impossibility of finding houses in many crowded parts of London and in the mining districts compels people to pay high rents for insufficient accommodation. Crowded conditions weaken those who live in them, morally and phy- sically ; and dirt and insanitary arrangements are added to the already existing discomforts which drive the inhabitants to seek comfort in the public-house. TABLE VI. Overcrowding and Rent Group (according to Rent). Number of Towns. Mean Bent Index Number. Mean Percentage of Overcrowding. Group I (including London) 14 71 13-8 Group II .... 14 59 10-5 Group III .... 13 56 7-0 Group IV .... 16 62 6-0 Group V . . . . 16 46 2-6 In London various agencies attempted to provide accommodation of a better sort for the working classes before the municipality stepped in. The Peabody Trust built model blocks which are always full, but owing to high ground rents the cost of rooms is too high for the poorest class; the Guinness Trust, founded later, erected dwellings of the same kind the income in each case being invested in extension of the undertaking. The Artisans' Dwelling Company builds blocks of somewhat the same kind, but for profit. IOO THE PROGRESS OF THE NATION Block dwellings, even the best of them, have their drawbacks ; and much depends on the character of the caretaker. Some are desperately gloomy. " The condition of the stairs at night (used for sleeping) is often a scandal." In some the housing accommodation is exceedingly bad. TABLE VII. Population and Rent Population Group. Number of Towns. Mean Rent Index Number. Population exceeding 250,000 . from 150,000 to 250,000 . 8 8 64 60 100,000 to 150,000 . 11 59 50,000 to 100,000 . 24 54 > less than 50,000 22 53 Very good results have been attained by the method of personal service initiated over forty years ago by Miss Octavia Hill in her management of the collection of rents for the Ecclesi- astical Commissioners. Some of their property was among the worst in London when she took it in hand : and she has succeeded not only in making the best of existing houses by sanitary teaching and improvement, and the enforcement of a high standard in the mutual relations between landlord and tenant, but in building model dwellings of a modified cottage type from the proceeds of admirable management. From the first she laid the greatest stress on the character of the tenants. The Acts for the housing of the working classes in 1890, 1900 and 1903 consolidated and extended the provisions previously made in the Labouring Classes' Lodging-Houses Acts, the Artisans' and Labourers' Dwellings Act, and the Labourers' Dwellings Improve- ment Acts. By them provision is made for the " clearing of in- sanitary areas, the removal of unhealthy or obstructive buildings, the rehousing of persons displaced, and the erection of dwellings for the persons of the working classes." The current expenditure of local authorities, which was 14,528 in 1889-1890, rose to 179,932 in 1905-1906; while their outstanding debt was 3,835,490 in 1889-1890 and 9,345,491 in 1905-1906. In 1895 the London County Council built 358 model tenements containing 871 rooms, and 1 model lodging-house with 324 cubicles, accommodation used by 1470 persons and bringing in 4904 in rent; in 1907 they had 7474 tenements with 19,879 rooms, 3 model lodging-houses with 1845 cubicles, accommodating in all HOUSING AND RENT 101 26,408 persons who paid 141,205 in rents. The activities in this field of London and six provincial boroughs is shown in the accompanying table, from which it is seen that sanitary authorities in London and the six provincial towns were in 1907 housing TABLE VIII. Dwellings Provided and Persons Housed by Local Authorities Authority. Number of Tenements. Number of Occupants. Total Amount Re- ceived in Rents. 1806. 1007. H* 1007. 1896. 1907. London County Council 00 Tenements CO Lodfing-houM 868 (371 rooms) 1 (324 cubicles) 7,494 (19,879 rooms) 3 (1,846 cubicles) 1,160 320 J4.'-9 1,419 i 4.904 141,026 City of London and 14 metro- politan ought (a) Tenement* . (6) Shops . 280 M 2,8*1 86 } 1 > IX { 11,471 64 4,781 1,463 61,083 1,792 Uverpool . 373 2,046 1,164 (approx.) 7,666 3,843 17,218 Manchester (a) Tenements . (6) Shops . 419 16 1,360 3* Tirj 28 3,404 67 838 14,056 Salford Not fully in operation, 09 tenements 6S3 houses with 4 or more rooms, 69 tenements with 3 rooms 8,078 679 11,027 Sheffield 439 1.' JO 0,040 Plymouth . .. 1,401 3,458 Southampton (a) Lodging - houses accommodating 1-1 males (6) 26 Artisans' ' KM llinjjs (c) 69 cottage tern-- Mil (a) 176 (6,c)380 (b,c) 1,686 Total London | ' -ix jinn in- rial boroughs 1 1.. ..|K ; -IJ hoi:-.-, 1 Shops, *2 Cottages and 1,400 4 60 > 4,620 56,015 16,408 250,672 ( 1 i / atth aiui Social Condition!.) TJ times the number of people they hou Ive years earlier, and receiving 1 ." tiiiu.'.s the rents. Pulling down bad houses is not enough. Where clearances arc made, things become worse in the surrounding .stiveta The people who go into the new buildings are not those who have IO2 THE PROGRESS OF THE NATION been turned out of the old. It is now thoroughly realized that constructive as well as destructive reform is urgently needed. The Housing and Town Planning Act of 1909 aims at so regulating the growth of large towns as to secure provision of breathing spaces in the shape of gardens, parks, and playgrounds, and proper distances between blocks of buildings and streets. TABLE IX. Expenditure on Housing Schemes Authority. 1889-1890. 1905-1906. Current Expendi- ture (not includ- ing Expenditure out of Loans). Out- standing Debt. Current Expendi- ture (not includ- ing Expenditure out of Loans). Out- standing Debt Expenditure (other than Debt Charges). Debt Charges. Expenditure (other than Debt Charges). Debt Charges. London County Council . Metropolitan Borough Councils (and prede- cessors) Corporation of London . Town Councils Urban District Councils . Rural District Councils . Total 212 15 3,957 10,344 Not ascer- tained. 1,334,466 247,000 2,254,024 63,076 18,511 2,378 88,313 7,452 202 138,543 31,214 14,260 235,000* 11,939 403 3,174,981 671,559 80,500 5,155,347 256,422 6,682 14,528 3,835,490 179,932 431,000* 9,345,491 * Estimated. (From Public Health and Social Conditions, Cd. 4671.) Sanitary notions are very slowly making their way. Open windows are not now regarded with such horror as they used to be, though still very uncommon in the poorer parts. Baths are provided in most modern houses, even of the smaller type, and they are not always used for keeping coal or rubbish in. At Garden City, Letchworth, and the Garden City suburb, Hanipstead, new experiments in town planning are being tried. At Bournville and Port Sunlight great firms have already provided for the accommodation of their workpeople under good conditions. But the evil is still very grave : and it is not confined to the towns. The Select Committee on Housing (1906) found that "the want of proper housing in rural districts finds its counterpart in the congestion of towns ; and the evils arising out of over- HOUSING AND RENT 103 crowding will never be successfully grappled with until it is fully realized that the root of the problem lies in the diminution or stagnation of population that has for years characterized rural districts." TABLE X. Urban and Rural Tenement Statistics Percentage of Total Tenements. Percentage of Total Population in each Group of Tenements. Average Occupants par Room. Rooms in TenriiH nt-. || ll ll ll j| ll jj ll l{ -1 B l *S 1 *I ~- q D Q -.!- 1 room 8- 4'6 0-6 M 2-0 0-2 2-02 2-03 1-77 2 rooms . 9-4 10-4 8-0 6-fl 7-4 3-9 1-64 1-67 1-47 3 . 11-1 11-5 9-7 9-8 10-S 8-1 1-36 Hi 1-26 4 . mi 21-7 26-8 21-9 21-2 24-0 1-12 1-14 1-06 5 or more rooms 53-2 51-9 67-9 60-1 69-1 63-8 Total 100-0 100-0 100-0 100-0 100-0 100-0 Even in the rural districts 5*84 per cent, of population, 436,507 persons, are living under overcrowded conditions (Tables X and XI), and a potent cause of immigration of the towns is the difficulty, in many villages, of getting decent cottages, and the impossibility of getting land. The Committee admit that " in rural districts TABLE XI. Overcrowding in Urban and Rural Districts Rooms in Tenements. 1 room . 2 rooms . Total of 1-4 rooms . 392,414 336,737 1-4 room Tenements with more than 2 Occupants per Room. 147. .Vj; 10MM 76.OW 04,883 Occupants of such Tenements. Rural istrict 1.7W 18,070 UJU* 245,686 mjtn 729,662 709,4*7 880,779 1 ..... ,1M MffiHi '.-'"^ 6,949 11... :!:. H7.M7 l-.l". Percentage of Occupants of such Tenements to Total Population. 0-76 2-72 2-48 2-24 0-96 3-07 2-63 2-6 HI 1-64 1-98 8-23 1*1 tin- Housing Act of 1890 is practically a dead letter;" they found " abundant evidence as to the insufficiency of cottages in rural districts. . . . People have had to leave a village because of the lack of house accommodation, while others have been prevented from coming to live in a district because no house or cottage was 104 THE PROGRESS OF THE NATION to be found fit to live in, and there was no one financially interested in meeting the demand by building. The house famine in town and country which often exists in regard to the working classes is incontestable." Figures give no adequate picture] of the state of the case, because while there is great overcrowding and lack of accommoda- tion in some villages, in others, owing to migration to the towns, there is an over-supply of cottages. Out of 199 returns from different rural districts in England in July 1906, there were 56 cases of insufficient accommodation, 111 cases where the accommodation was adequate, and 32 where it was more than sufficient. In 44 villages in 17 different counties investigated 464 cottages had only one bedroom, 1852 cottages had two (in many cases one and a landing), and 759 had three or more. Cardinal Manning, the Bishop of Bedford, Lord Carrington, Mr. Broadhurst and Mr. S. Morley endorsed the following powerful summary by Mr. Jesse Collings of the evidence submitted to the Housing Commission of 1885 : " On many estates, for various reasons, cottages have been pulled down and allowed to go into decay, and labourers, while their services have been required and retained on the land, have been deprived of the necessary dwelling accommodation, and been forced into neighbouring towns and villages, often at long distances from their work. Private owners of large estates, estates extending miles in area, including often villages and hamlets, besides out>- lying dwellings, have absolute power to determine arrangements with respect to dwellings and buildings on their lands." The Committee in 1906 believed that this state of things was not materially altered. The difficulty, from the landlord's point of view, of obtaining an adequate return for outlay in the shape of rent would be largely diminished by the addition of land to the cottage, but in many parts of rural England gardenless cottages are quite common. CHAPTER VI CRIME DRINK INSANITY DIVISION I. Crime. 1. Historical The Criminal Code prior to 1850 Execution Transportation 2. Prison Reform 8. Criminal Statistics 4. Prison Administra- tion 5. Causes of Crime. DIVISION II. Drink. DIVISION III. Insanity DIVISION I. CRIME 1. TTISTORICAL. The progress of the century steadily tended towards increased security of life. In the period of disorder that followed the Napoleonic wars, further complicated by the Industrial Revolution, the proportion of legal criminals was enormously high, in spite of an incredibly savage code. In the years 1857-1861 the annual average of persons tried for indictable offences was 265'87 per 100,000, in the years 1903-1907 it was 175*87 per 100,000. There are reasons, to be dealt with later on (see Criminal Statistics), why no exact comparison can be made between the number of commitments prior to and subsequent to 1850. Never- theless, it is certain that while the graver forms of crime have declined since that period, during the first half of the century they were found, in spite of the appalling list of offences punishable by death, to be steadily and rapidly on the increase. In 1841 the number of committals had greatly outstripped the increase of population in every county in England. In Rutland, which showed the lowest increase of population between 1805-1841, -illy 30 per cent., crime had increased L'fiU pur cent.; in M"imioiith, where population had increased most rapidly, i.e. 1'JS per crnt., crime had increased 1720 per cent. And the increase was as great in the agricultural as in the manufacturing counties. For the whole of England, while population increased 79 per cent, between 1805 and 1841, committals increased 482 per cent. Porter wrote in 1847 : "The amount of guilt and wretchedness which might fairly be imputed to the carelessness and 105 io6 THE PROGRESS OF THE NATION ignorance of the British Parliament, would, if any estimate could be formed on the subject, prove an emphatic warning to legislators. The course pursued for the purpose by Parliament was for a long period only a series of wretched expedients. When, by the greater frequency of its occurrence, or by some notorious instance, any particular offence forced itself upon public attention, it was not the rule, as reason could have dictated, to examine and remove the causes of the increase, but to multiply the terrors of the law to a degree out of all proportion with the guilt of the offenders." In the period of unrest and disorder when economic distress was driving men to larceny and assault, men like Eomilly and Macintosh pled in vain for more humanitarian treatment of criminals. The Criminal Code prior to 1850. The condition of the prisons was known to be appalling, for the reforming movement initiated by Howard had died with him ; such legislation as existed as to the administration of jails was a dead letter. In spite of statistics proving the connexion of illiteracy and brutal crime, men dreaded lest education should cause the masses to be more dis- satisfied than they were already with the station to which Providence had pleased to call them ; and in the general fear of revolution the punishment of crimes was regarded as a necessary retribution that ought to be made as severe as possible in order to instil terror sufficient to deter all likely to commit them. The extreme and brutal severity of the criminal code led to con- stant refusals to convict on the part of juries. Between 1805-1810 only 59 per cent, of those committed were condemned. Yet in 1817, 1302 ; in 1820, 1236 ; in 1831, 1601 ; and in 1832, 1449 persons were sentenced to death. Death was the penalty for over forty offences when in 1810 Samuel Komilly in vain proposed that it should be abolished in the case of theft from a shop where the article stolen did not exceed 5s. in value, or from a dwelling or bleaching-ground where it did not exceed 40s. In the House of Lords, Eldon and Ellenborough strongly opposed any such change. The latter said, he trusted " that the laws which a century had proved to be beneficial would not be changed for the illusory opinions of speculatists." In 1812 capital punishment was removed in the case of soldiers and sailors found begging in the streets. In 1813 and 1816 Romilly carried through the Commons a Bill for the abolition of death as the penalty for shoplifting, but it was until 1818 thrown out by the Lords. In 1832 the death penalty was abolished for forgery and coining, for horse, sheep, or cattle stealing, for stealing a post-office letter, and for sacrilege, and in CRIME DRINK INSANITY 107 1837 (when 438 persons were condemned to death) Lord John Russell further limited the application of the death penalty. Executions. Until 1868 executions always took place in public, and large crowds used to assemble at Tyburn for the purpose of enjoying the spectacle. Transportation. While death was the penalty for a very large number of offences, the punishment of those guilty of so-called minor crimes was not much less terrible. Ill 1783 the first shipload of convicts was dispatched to Botany Bay. Between 1 siT) and 1841 48,712 convicts, male and female, were transported to New South Wales, an average of 2865 per annum: and the main criticism passed by an enlightened critic at the time is the unsuitability of Australia (which will " probably never become an agricultural country ") as a place to receive them, when compared with Canada. Porter says : " Although their absence has un- doubtedly been a blessing to society in this country, and in some decree also a benefit to the colony which has received them, it might easily be shown that, by pursuing a different plan, the system of transporting convicts might have been made to yield advantages much greater than it has ever realized." These " pestilent members " were largely political offenders, persons guilty of perjury, forgery, petty larceny, and offences against the currency. The punishment for a person sentenced to transportation who returned home was Punishment of Political Offenders, 1840 Transportation for life 20 years 15 14 10 Imprisonment for 3 i > > 2 ,, ,, 18 months 15 ., 12 less than 12 moutlis Kim-il x'lOO. Lesser fines .... Total 3 1 1 3 3 5 16 persons 1 3 3 1 5 24 , . . 1 1 6 8 persona 61 persons io8 THE PROGRESS OF THE NATION death. He goes on to say : " Among the 6 1 instructed persons convicted in 1840 were 14 for political offences, and 1 of offering a bribe at an election for a member of Parliament ; 1 for man- slaughter, a lad of nineteen, whose punishment was the payment of a fine of 100. Eight were convicted of forgery and offences against the currency; 3 were cases of larceny by servants, 15 of simple larceny ; the other 1 7 were minor offences." That the offences were altogether not of a very dark character will appear from a description of the punishments awarded (cf. Table, p. 107). The horrors of transportation to Norfolk Island were beyond description. In 1849, Cape Colony refused to receive transported convicts ; and although Lord Grey continued (in spite of the indignation of the Colonists everywhere, save in West Australia where labour was scarce) to send convicts to Van Diemen's Land, in 1853 public opinion in Parliament pronounced definitely against the system, which was at last abolished. Penal servitude took its place. 2. PEISON EEFOKM. Meantime, with the growth of public order a. movement had grown for the reform of the prisons, as the final outcome of which we have the modern view as to the function of incarceration not solely as a mode of keeping dangerous characters from exercising their evil propensities, but for bringing, where possible, influences to bear which may reform those capable of reformation and prevent their committing further crime, and deter those who are incorrigible. As a matter of fact, the in- compatibility of these two aims accounts for much of the dis- satisfaction felt at the failure of our prison system. There are no signs of the disappearance of the criminal. In the early years of the century the condition of prisons was appalling from every point of view, and a disgrace to the country that maintained them. The great reform movement associated with John Howard died with him, and prisons in general relapsed to their old insanitary and inhuman condition. In some of the eastern counties things were not so bad, but elsewhere the over- crowding was terrible (hence the popularity of transportation). In some prisons the wretched inmates slept sideways for want of room to lie flat. There was no protection against disease in the unhealthy, ill -constructed buildings, which were so insecure that prisoners had to be shackled and fettered to keep them from escape, weakened though they were by a diet of bread and water. There was practically no separation between the sexes. Few prisons had chaplains or doctors. Acts for the reformation of jails were passed from time to time, but they remained a dead letter. CRIME DRINK INSANITY 109 After the peace a Society for the Improvement of Prison Discipline was formed, mainly by a body of Quakers, among whom Wilberforce, Mr. Buxton, the Gurneys and Frys were prominent, assisted in Parliament by Macintosh. As a result of their efforts a series of jail Acts were passed in 1823-1824, which continued, however, to be largely evaded and ignored. Many people sneered at humanitarianism exercised on behalf of criminals. Sydney Smith declared if the society had its way prisons would cease to be a salutary terror to evil-doers. But the principle enunciated by Romilly, " that extreme severity was calculated to produce immunity for dimes," held here also; and the reformers continued in their heroic task. The big prisons were often the worst : Newgate, where hapless debtors were shut up with no chance of ever regaining their liberty, was pre-eminently bad. A Committee of the House of Lords denounced the existing conditions. TABLE I. Penal Servitude Yearly average number of persons sentenced to Penal Servitude in KugUnd and Wales in Number. Population. Number sentenced per 100,000 of Population. vears ending Dec. 31, 1859 2589 19,257,000 13-4 1864 2800 20,370,000 13-7 1869 1978 21,681,000 9-1 1874 1622 23,088,000 7-0 1879 1633 24,700,000 6-6 1884 1427 26,313,000 5-4 1889 945 27,830,000 3-3 1894 858 29,892,000 2-9 1899 770 31,061,000 2-5 1904 944 32,984,000 2-9 1908 1220 36,348,780 8'4 In 1908, out of 25 sentences of death, 11 were commuted to penal servitude for life ; 2 free pardons were granted. Remission of the term of penal servitude or imprisonment was granted to 236 persons. Forty convicts were released on licence, in special cases, at earlier dates than those allowed by the ordinary prison regulations (cf. Table I). :. CRIMINAL STATISTICS. During the latter half of the nineteenth century students of criminology in this country were abundantly supplied with material for their investigations, and it is natural that the attempt should bo made to institute a com- parison with early data, to show the movement of crime. This I IO THE PROGRESS OF THE NATION can, however, only be undertaken with great caution. The table most often used as the basis for speculation and generalization was as follows : TABLE II Census Year. Population. Number of Commitments. Proportion per 100,000. 1841 15,914,148 27,760 174-6 1851 17,927,609 27,960 156-2 1861 20,066,224 18,326 91-3 1871 22,712,266 16,269 71-6 1881 25,974,239 14,704 56-6 1891 29,002,525 11,605 40-0 It is manifestly not unreasonable to ask the reader to accept, as criteria of the state of crime, figures showing the aggregate number of indictable offences ; yet this table as it stands proves little or nothing, and any conclusions drawn from it are wholly unwarranted. The table does not, in point of fact, show the number of indictable offences prosecuted in the various years cited as illustrations. It shows merely the number of cases com- mitted for trial by jury. During the second half of the nineteenth century there sprang up a system under which vastly more than half the number of indictable offences tried by the courts were not committed for trial at all either to the Assizes or Quarter Sessions. They were disposed of by magistrates sitting in courts of summary jurisdiction. Statutes passed in 1847 and 1850 were followed by the Criminal Justice Act, 1855, and later by the Summary Jurisdiction Act, 1879, which has since been ex- tended by the Summary Jurisdiction Act, 1899. It was under these statutes that the summary jurisdiction to try indictable offences was exercised; but it is not to the present purpose to inquire precisely as to the scope or particular provisions of these enactments. Suffice it to say, although it is true that the total number of indictable offences tried in 1841 was 27,760, the aggregate for 1861 was not 18,326 but 60,056 ; while, for 1881, the total was 60,620, not 14,704; and in 1891 the figure was 54,087, not 11,605. It will thus be seen that the proportion of charges for every 100,000 of population so far from having decreased from 174*6 in 1841 to 40 in 1891, had actually increased from 174-6 in 1841 to more than 180 in 1891. In truth, all that can be safely predicated of the course of serious crime during the period 1850-1900 is that during the CRIME DRINK INSANITY i 1 1 last twenty years a steady and somewhat marked diminution was observable. The position from 1856 to the end of the century on from the following table, showing the proportions of M> ti inl for indictable offences i.e. the proportions of annual averages to 100,000 of population : 1857-60. 1861-65. 1866-70. 1871-75. 1876-80. 1881-85. 1886-90. 1891-95. 1896- 1900. 262-69 287-96 270-55 223-76 221-69 225-87 201-53 186-05 163-76 This diminution was the more encouraging as (a) the increased strength of the police forces would be calculated to promote the detection and prosecution of serious crime ; (&) the diminished harshness of the sentences, due to the more enlightened condition of the judiciary, would tend to make humane prosecutors less unwilling to prefer charges ; and (e), the average duration of im- prisonment being shorter, the professional and the habitual criminal would have more frequent opportunity of committing the offences of dishonesty to which they are prone. It should, too, be added that a number of new indictable offences were created during the period under consideration, as, e.g., by the Criminal Law Amendment Act, 1885 a circumstance which would, of course, tend to increase the aggregate number of charges. The creation of new offences will probably exert further effect on the statistics in the near future, seeing that the promotion of legislation in criminal matters now rests largely with laymen who ignore or differ from the view of Jeremy Bentham : " La legislation, en un mot, a bien le mme centre que la morale mais die n'a pas la meme circonfe'rence." It may be that the great jurisprudents were right in holding that penal laws can only be effectively applied within certain limits. If so, much of our more modern legislation will prove a dead letter, and the statistics accordingly remain practically unaffected. But it is almost as idle to speculate on the causes of any diminu- tion of crime, as it is to attempt a forecast of the futura Felix qui potuit rerum cognoscere causa*. Charging a Grand Jury early in November, 1900, one of Her Majesty's judges congratulated them on the lightness of the calendar, observing that "there had been a remarkable diminution of crime during the last twelve months, not merely in particular localities, but generally throughout the country." This remarkable diminution was attributed by the learned judge to " the spirit of patriotism which the war (i. the 1 1 2 THE PROGRESS OF THE NATION Boer War) has evoked." As a matter of fact, there had been an appreciable increase in serious crime during that year as compared with the year preceding ; the prisoners tried for indictable offences in 1900 numbering 53,628 as against 50,494 for 1899, while in 1901 the figure was swelled to 55,453, and again rose in each of three following years, thus: 1902, 57,068; 1903, 58,444; and 1904, 59,960. In 1908 the figure had risen to 68,116! The numbers for 1904 represented 177'59 per 100,000, the highest figure for ten years. In 1908 it had reached 192-70 per 100,000. In the Introduction to the Criminal Statistics for 1908 it is asserted that "a comparison of crime with the total population is somewhat misleading. Obviously there is no relation between the amount of crime and the number of children, women, and aged persons, who together make up the three-fourths of the total population. The bulk of crime is committed by a section of the male population within certain limits of age." But if the numbers included in this " section " bear to the aggregate population a ratio which is approximately constant, there would seem to be nothing misleading in the use of these figures for purposes of comparison. Statistics which disclose the number of persons tried for in- dictable offences are now generally accepted as the surest index to the fluctuations of crime, temporary disturbances being, of course, explicable by variations in the conditions of trade and employment. It is, therefore, apparent, in view of the conspicuous recrudescence of crime after 1900, that no deduction can safely be made from the favourable figures which marked the last two decades of the nineteenth century ; and it may be taken that even if the returns for a whole generation continued satisfactory, ever tending towards a diminution in the number of serious charges, the causes of the phenomenon would be so numerous, and many of them so obscure, that any attempt to arrange these causes in order of relative importance would prove vain. So far as non-indictable offences are concerned, the statistics for the first half of the century are very vague and incomplete. No proper records were kept of the cases disposed of by justices at their own houses or elsewhere out of Quarter Sessions ; but it is probable that the number of offenders received in prison on summary conviction increased by more than 150 per cent, between 1836 and 1896. It is, however, futile to advance figures relating to summary proceedings as affording any evidence of the number of breaches of the law that have been committed. " They will, in fact," writes Mr. H. B. Simpson, " scarcely help us to go beyond the CRIME DRINK INSANITY mere commonplace that the number of prosecutions tends to grow with the growth of statute law, but varies also, and perhaps to an equal extent, independently of legislation." New sanitary laws, new Education Acts, new licensing legislation constantly swell the list of non-indictable offences, while countless by-laws are promulgated in every branch of administration creating special offences in particular areas. The disquieting feature of this extension of " criminality " is that a very large number of the acts of omission which are thus brought within the category of " offences " involve no moral wrong or misdoing whatever. Nevertheless, thousands of persons are every year cast into jail for breaches of these legislative conventions. In the last year of the nineteenth century, in addition to more than 12,000 persons imprisoned for debt, no less than 78,345 persons were received hi prison in default of payment of a fine i.e. this vast multitude of prisoners were incarcerated as criminals and subjected to the prison taint by reason only of their inability to pay a money fine, in many cases of a very trifling amount, and inflicted in respect of an act involving no moral wrong. And this was, with one exception, the least number in any one of the twelve years from 18931904, as appears from the following table : TABLE III Year. No. of Persons Sentenced to Pay Fines. Received in Prison in Default of Payment. 1893 422,299 79,836 1894 444,385 81,349 1895 443,535 74,703 1 s9>- 475,900 78,743 1897 501,451 78,521 1898 545,219 84,031 1899 563,309 83,855 11*00 531,752 78,345 1901 548,182 86,536 1902 540,058 91,638 1908 551,174 103,412 1904 550,490 107,625 So that the number, 78,345 in 1900, had by 1904 risen to 107,625. In 1908 it h.-ul fallen to 95,477, but the percentage of I't-isons sentenced to pay fines who arc i< < -\\>'<\ in prison remains as hi^li ;is rvn. 4. Prison Admini.4r.~>4 girls under 10 were e<>mmittrd t<> prison; in IS 41 the numbers had risen to LMj.'G ami 556 lopectively. The prisons to which these juvenile offenders were sent were then THE PROGRESS OF THE NATION " schools wherein the child who may have been led into some petty delinquency is made to perfect his education in crime, and whence he is sent back into the world an accomplished villain." The first measures which had for their object the prevention and not merely the repression of crime lay then in providing reformatory treatment for this class. The first reformatory was that established at Park- hurst. Tables IV and V show the marked and steady decline in the number of youthful offenders. Their treatment has pro- gressively tended to be more and more of an educational character. Preliminary imprisonment in the case of juveniles was abolished by the Act of 1901; they go straight to reformatories and industrial schools ; the industrial schools being managed by county or county borough councils, or their education committees. TABLE IV. Age Distribution of Criminals Centennial Ages. 1842. 1843. 1844. 1845. Proportion of Population, 1841. Under 15 5-3 57 6-0 6-4 36-0 15-20 22-0 227 23-3 24-1 9-9 20-25 247 24-3 24-1 24-2 97 25-30 15-3 14-9 14-9 14-3 8-0 30-40 16-8 16-4 15-3 15-6 12-9 40-50 8'3 8-1 8-3 8-2 9-6 50-60 3'8 3'5 3-9 3-6 6-4 60 and over 1-8 1-9 2-0 1-7 7'2 Unknown 2-0 2-3 2-2 1-9 0-3 lOO'O 100-0 100-0 100-0 100-0 ' Ages. Prisoners per 100,000 Living at each Age. 1891. 1901. Males. Females. Males. Females. 15-20 20-25 25-35 35-45 45-55 55-65 65-75 .... 103 218 221 186 136 121 65 21 12 24 38 36 27 14 7 2 88 212 176 134 108 96 63 21 6 21 39 41 21 12 6 2 75 and over CRIMEDRINK INSANITY 117 While the number of adult commitments has' steadily increased since 1861, as is shown by the judicial statistics, the number of juveniles (under 16) committed has steadily declined. TABLK V Y ear. Boys. Girls. Total. 1861 7378 1428 8801 1871 7821 1856 8977 1881 4688 795 5483 1891 3465 390 3855 1901 1297 47 1344 1903 1079 40 1119 In 1904 there were, in the various reformatory and industrial schools in England and Scotland, 4013 boys and 581 girls. "Juveniles" are, by definition, (a) children under 14 years of age, or (&) young persons under 1 6 years of age. Legislation as it affects them was consolidated in the Children Act of 1908. In 1908 was introduced the Prevention of Crime Bill by which for the reformation of young offenders i.e. adolescents between 15 and 21 a new form of sentence and a new type of institution have been established. "The sentence passed by the court will be detention under penal discipline in a Borstal institution for a term of not less than one year and no more than three years, and the persons liable to such detention will be between the ages of 16 and 21 who, by reason of criminal habit or tendency, it is expedient to detain for lengthened periods under such instruction and discipline as appear most conducive to reformation and repression of crime" (Report of the Prison Commissioners for 1909). TABLE VI Number. Number. Voftre Voa__ i oars. K*& Females. i car*. Htki, F. in.ilo. 1893 17,940 1,041 1901-1902 13,842 2,200 1894 . . i.s.i::, 3,558 1902-1903 13,767 2,421 1895 . . 16,22.'. 3,273 1903-1904 14,924 2,452 1 V."'. 18,448 2,924 1904-1905 16,081 a,8M 1897 14,809 2,697 1905-1906 15,878 K.2M 1898-1899 15,302 2,667 1906-1907 13,. r .3l> 1,641 1899-1900 . 12,178 2,316 1907-1908 12,644 1,286 1900-1901 . 11,758 2,269 1908-1909 12,645 1,234 n8 THE PROGRESS OF THE NATION Borstal treatment may be applied to young women between 16 and 21 in a special wing of Aylesbury prison, while Borstal itself and part of Lincoln is reserved for males. In the ten years of its existence the Borstal Association has shown such excellent results, in spite of the very unpromising material on which it has to work, that much more may be hoped from the larger scope given to it by this Act. 60 to 70 per cent, of those hitherto discharged are doing well. Already the numbers of juvenile-adults show a decline. The experience upon which the Act is based has established that ordinary detention in prison does not allow the specialization eminently necessary in the case of young criminals ; that a succession of short sentences tends to accentuate rather than arrest the habit of crime ; that the element of time is essential and that after-care is of crucial importance. Discharged Prisoners. In connexion with almost every prison there is a Discharged Prisoners' Aid Society, in the great majority of cases duly certified by the Secretary of State ; but the ordinary Prisoners' Aid Society "is not able, from the numerous demands made upon it by all classes of prisoners, to give that particular attention to the case at the time of discharge, and that kindly supervision afterwards, which is one of the principal conditions of successful reclamation." Habitual Crime. " There is a large class of offenders whom the criminal law cannot either reform or deter from crime. If one took as a very rough test of the numbers of the criminal classes those who have been convicted five times or oftener, there would be in prison at any one time about 5000 belonging to these classes" (Judicial Statistics, 1908, p. 60). Thus, in 1908 it was estimated that over 4000 such habitual offenders were at large on any given day. For these habitual offenders the second part of the Act of 1908 provides a new from of treatment, i.e. a term of " preventive detention " over and above their sentence of penal servitude, and amounting together with it to not more than ten years in all, at a special place, under discipline. It was found in 1908 that of 1102 males and 48 females sentenced to penal servitude only 163 and 17 had not been previously convicted. It was found at a census of convicts taken in 1894 that 56 per cent, had previously been convicted five times or oftener (see Table VII). CRIME DRINK INSANITY TABLE VII. Previous Convictions 119 Nnmber of Persons received on Conviction. Percentage previously Convicted. Period. Males. 1-Yin.i;.-. Males. Females. Year ending March 1900 107,724 45,118 547 73-4 1901 101,493 45,540 52-4 72-3 1902 118.0-J7 48,253 51-9 70-6 1903 126,754 49,591 51-4 70-6 1904 139,236 50,689 50-7 71-4 1905 148,984 48,983 51-1 73-6 1906 147,686 47,408 52-5 75-1 1907 135,505 42,861 55-4 77-7 1908 135,651 40,951 55-0 75-0 1909 144,706 40,195 57-1 78-8 The new treatment of recidivism is in the nature of an experiment. A minimum period of three years' penal servitude will be followed by a term of detention which will "admit of certain indulgences and privileges, earned by industry and good conduct, which will render the conditions of detention less onerous in some respects than those of ordinary penal servitude ; and the system will generally be directed to fostering the habit of industry and self-control, so that, after a lapse of sufficient time, the prisoner may be considered eligible for conditional licence and may revert to liberty without danger to the community. Tables VIII and IX afford interesting evidence as to the connexion of ignorance and crime. Porter declares " these figures must carry conviction to every mind that instruction has power to restrain men from the commission of crimes of such a nature at least as will bring them before the bar of justice." TABLE VIII. Education and Crime Neither Read nor Write. Read only : Read ami Write Imperfectly. Read and Write UV1I. Superior Instruction. Instruction not A- , rt ri..-.l. 8 | I I 1 | | | 1 1 | 1 1 1 i 1 I 1 - - 5 1830 MM 1.435 MM 2,016 2,010 MQ 16 490 7' 1837 r.,i> 1,780 10,147 1,06? 177 98 3 421 94 . 1.W1 MM M 71 6 i a 61 1SS9 1,709 2.M8 M 71 4 Ml 90 U.l.M 2.058 wo 1 u 126 1846 -,..-,., 1,710 2,964 86 3 4S3 77 120 THE PROGRESS OF THE NATION TABLE IX (1909) o> 3 _; ^ Prisons. || iS * 3 s 1 a> to -S 05 1 i i i i 1 'O M 1 ( 1 > i 1 T3 fc gS M i 02 1 1 a 5 o CQ 02 00 fc* Local . 185,350 10,756 1,503 2,783 3,684 2,230 556 Convict 1,331 111 5 21 52 26 7 State Inebriate Reformatories . 37 10 2 6 2 5. Causes of Crime. In spite of moral, material, and educational progress, however, and the expenditure on the improvement of reforma- tive agencies in particular, the proportion of criminality to population still remains unduly high. In 1 9 9 the proportion committed to prison was 5' 2 3 per thousand of population ; in Scotland, 12 '8 per thousand. The reasons for this high rate are variously estimated. The Keport of the Prison Commissioners indicate as a cause for the exceptional increase of crime in 1908, marked depression of trade and an unusual amount of unemployment. This is borne out by the fact that nearly five-sixths of the increase (which is noted as causing great congestion in many local prisons) took place in the principal mining and manufacturing counties. The increase was even more marked in Scotland, the average number in custody there in 1908 exceeding any recorded in the last fifty-five years. In England there was an increase of 4178 in the number of vagrants committed, and an increase of 1 7 8 in the commitments for debt ; a marked increase in offences against property. The causes for this may very well be looked for " in the social and economic conditions of the period " ; but while in England there was a decline in the cases of imprisonment for drunkenness, in Scotland there is no doubt that the main cause of the increase in crime is drink. Moreover, while in Scotland the committals for drunkenness amounted to one-third of the total, and in many more cases drink was the cause of the offence for which the prisoner was charged, in England, in spite of a decline in the figures, it is perfectly true, to quote the words of the medical inspector, that " over one-half of the women and nearly a third of the men who are sent to prison in this country are committed for drunkenness." That " a great weight of evidence indicates drink as the most potent and universal factor in bringing about pauperism," is the opinion of the Poor- CRIME DRINK INSANITY 121 Law Commissioners ; and the same is true of crime ; alcohol is the most powerful agent. DIVISION IT. DRINK A writer in the British Medical Journal in March 1816 says : " The one degrading vice to which the lower classes of London are so miserably and universally addicted, i.e. drunkenness, has alone de- prived the city of more inhabitants annually than all the devastating wars of Bonaparte have in Paris. To the consequences of this dis- gusting habit may justly be imputed the larger proportion of infantile lives sacrificed in this metropolis." Porter goes on to say : " Nor were those habits of drunkenness confined to the labouring classes. What would now be called drinking to excess was then so much the custom in every circle, that it was as uncommon for any party to separate while any member of it remained sober as it is now for anyone in such a party to degrade himself through intoxication." Nevertheless, while actual drunkenness is no longer so prevalent as it was in the upper ranks of society, the average expenditure upon drink per head of population, which was 3 2s. 8d. in 1837, was nearly 4 in 1899; and when we consider the proportion of the national expenditure on alcohol that belongs to the working classes, these figures become more serious still. In 1899, 162,163,474 was expended on alcoholic beverages in the United Kingdom, a sum equal to nearly one and a half times the national revenue. The Royal Commission on the Licensing Laws in 1897 accepted the estimate of Professor Leone Levi that two- thirds of this expenditure belongs to the working classes, who con- stitute roughly 75 per cent, of the population. Thus 108,000,000 in round figures was spent by 30,400,000 persons, and taking five as the average number per family, each working-class family spent in 1899 17 15s. 3d. or 6s. lOd. per week on drink. TABLE X. The National Drink Bill. Expenditure per Head Year. lit HIT PIT Head. Year. liture I'l-r Head. Year. Expenditure per Head. a. (1. B. .1. 8. d. 1837 . 3 2 8J 1867 3 12 7 1896 . 3 15 6 1840 . 304 1870 3 16 1 1899 . 3 19 Hi 1846 . 2 18 7 1876 490 1908 . 3 12 3l 1850 . 2 19 61 1880 8 10 11 1909 . 3 8 11} 1856 . 2 18 5J 1886 10 ... 1860 . 2 18 0* 1890 3 13 122 THE PROGRESS OF THE NATION TABLE XI. The National Drink Bill. Consumption in 1909 ENGLAND AND WALES (Population, 35,756,615) Liquors. Quantities con- sumed in 1909. Expenditure in 1909. Per Head. British spirits . . . (gallons) Other spirits . . . ,, Total spirits . . . (gallons) Extra price Beer (barrels) ,, Extra price Wine (gallons) Other liquors . . . ,, 17,247,330 4,630,181 22,852,712 6,134,990 s. (1. 21,877,511 28,505,919 9,735,574 14,000,000 28,987,702 3,164,450 85,517,757 750,000 8,762,016 1,400,000 }o 17 llf 283 4"lO| 9i 128,581,925 3 11 11 SCOTLAND (Population, 4,877,648) British spirits . . . (gallons) Other spirits . . . , , Total spirits . . . (gallons) ,, Extra price Beer (barrels) Wine ..... (gallons) 5,363,829 7,107,073 736,663 5,919,801 1,163,093 1,145,362 500,000 7,843,736 856,250 3,489,279 1,030,826 50,000 \ 1 15 8 14 3^ 4 2| 2| Other liquors . . . ,, ... 13,270,091 2 14 4f IRELAND (Population, 4,370,121) British spirits . . . (gallons) Other spirits . . . ,, Total spirits . . . (gallons) ,, Extra price Beer (barrels) Wine . . . . (gallons) Other liquors 2,848,407 465,227 3,774,139 616,425 3,313,634 2,625,064 572,681 500,000 4,390,564 479,300 7,875,192 515,413 50,000 }l 2 3i 1 16 Oi 2 4| 22 13,310,469 3 102 Since 1899 a decline in the expenditure on alcoholic beverages per head, and in the revenue obtained from the licensing and excise CRIME DRINK 1\S A MTY 123 duties, is marked. This decline is due to various causes. Accord- ing to ;i parliamentary paper, "The diminishing consumption of alcoholic liquors, though to some extent attributable to the recent depression of trade, is principally the result of a continuous change in the habits of the people, which has been in progress for some time, and seems likely to be permanent" A third cause, operative in the last year, is the rise in the price of spirits effected by the Uuclget of 1909-1910. The annual average of cases of drunkenness was in 1857-1861, in 1903-1907, 219,675 ; while in 1907 in London alone 1 1.S4I males and 6660 females were proceeded against for simple drunkenness, 22,565 males and 9439 females for drunkenness with aggravation. The rate per thousand of persons tried annually for drunkenness has risen from 3'94 in 1857 to 6'01 in 1907. TABLE XII 1 ! '.;ir. Number. Rte pr 1000 of Population. 185" 79 859 3-94 . 131,870 5-86 1880 . 172,859 672 . 189,746 0-60 ' 1895 . 169,298 5-56 j 1900 . 204,286 6-83 1905 . 219,276 6-42 1907 . 210,024 6-01 The effect of intemperance in shortening life can be measured by the number of deaths from alcohol, though, as shown in Table XIII, the death-rate so caused has risen alarmingly, more especially in the case of women. Figures given by the Insurance Companies (Appendix XVI, Physical Deterioration Committee) show that of 6215 men between _'." and <).", 1000 die in one year ; but of 6125 abstainers only 560 ) Idiots- Iii 589 Unions Under Local Acts . Elsewhere .... Total idiots Total lunatics and idiots 3,356 443 103 4,294 643 134 7,650 1,086 237 3,902 3,636 229 105 5,071 4,066 229 117 8,973 7,702 458 222 3,970 4,412 8,382 7,872 9,483 17,355 Of these, there were In County Asylums In Licensed Houses In Union Workhouses With friends, etc. . Elsewhere .... Total paupers Private i>atients Total 2,003 1,319 2,088 2,254 208 2,221 1,629 2,592 2,790 251 4,224 2,948 4,680 5,044 459 7,872 2,161 9,483 1,911 17,355 4,072 ' 10,033 11,394 21,427 i.e. 1 in 775 of population. But, on the one hand, this constant increase in the number and proportion of the insane is partly due to other causes than an actual increase in the proportion of the insane. It is due (1) to the growing tendency to treat an increasing proportion of cases of mental unsoundness in asylums. The improvement in asylum treatment has led to a wider appreciation of the fact that there is no real humanity in keeping a mentally unsound }>er8on in the home ; it, is kind neither to him nor to the relatives who have to look after him. In the early decades of the century cruelty only could induce the friends of a mentally afflicted person to commit them to Bedlam. 128 THE PROGRESS OF THE NATION Since 1888 the establishment of a grant of 4s. a week, paid by the exchequer towards the maintenance of pauper lunatics in County Borough Asylums, added to the pressure on accomoda- tion in many unions due to the increase in the number of aged paupers, has caused this tendency to apply to the case of insane or feeble-minded inmates of workhouses. The apparent increase in the number of insane paupers, especially among the aged, is greater than the real increase, for this reason. (2) It is due to the reduction of the rate of mortality, and of the rate of discharge of the insane under treatment in asylums, which has caused and is still causing a very considerable accumulation of cases there (Table XV). As Dr. Farr declared in 1841 : "There may be ten times as many lunatics in civilized as in barbarous times and countries ; not because the tendency to insanity is greater, but because the lunatics live ten times as many months or years." TABLE XV. Mortality of the Insane (1904) Ages. Annual Rate of Mortality per 1000 Males. Annual Rate of Mortality per 1000 Females. Annual Rate of Mortality per 1000 Persons. England and Wales. In Asylums, etc. England and Wales. In Asylums, etc. England and Wales. In Asylums, etc. Above 15 . 15-25 25-45 45-65 65 and upwards 15-2 37 7'5 23-4 92-7 111-9 717 86-5 1087 252-6 13-8 3-1 6-2 18-4 83-6 85-9 657 59-8 76-0 190-4 14-5 3-4 6-8 20-8 87-5 97-9 69-0 73-1 90-8 214-5 But, on the other hand, between the figures of the insane as returned in the census, and those coming under the cognisance of the Lunacy Commissioners, there has always been a discrepancy. Since 1871 this difference steadily declined. In 1871 it was 17-8 per cent.; in 1881, 13'5; in 1891, 10'9. But in 1901, when the new census nomenclature was introduced, the percentage of deficiency in the Commissioners' figures rose again to 18 - 69 per cent. This state of things gravely impressed the Eoyal Commission on the Feeble-minded, 1908. They say in their Eeport : " There are numbers of mentally defective persons whose training is neglected, over whom no sufficient control is exercised, and whose wayward and irresponsible lives are productive of crime and misery, of much injury and mischief to themselves and to others, and of much CRIME DRINK INSANITY 129 continuous expenditure wasteful to themselves and to individual families." The number of mental defectives not in or connected with any institution, but living at home, is probably greater, certainly not less, than the census figure. Of 149,628 mentally defective persons estimated to exist in England and Wales by the Royal Commission, as many as 66,509 or 44'45 per cent, are, at tin- present time, urgently in need of provision. It is necessary that the special legal protection, at present granted to lunatics, imliociles, and idiots, should be extended to all mentally defective persons. TAHI.K XVI. Estimated Number of Mentally Defective Persons (excluding Or/;//""/ Lunatics) in England and Wales (Commission Report) a 8 .2-5- |*f :Jf| gS3 .c a gad 3 g fli umber of Defective Provision. 0> CO ba s a S S c2-"|-i fcTS^ f.ss gfS B 5-2 3I-3 *n Js6 o g , : - ~ r * *^ T- &, 432, 023 between the ages of f> ami 1 .". The standard of such education as was received was pitiably low ; the schools frequented by children of the working classes being too often kept by persons " whose only qualification for this employment seemed to bo their unfitness for every other." While nearly all the primary schools belonged to 134 THE PROGRESS OF THE NATION one of the two great voluntary societies, the connexion was often merely formal. There was no sort of uniform management, no code, no standard of teaching. Moreover, the distribution of schools was quite irregular. In many of the large manufacturing towns that were rapidly growing up there were no schools at all, while in some parts of the country charity had been too generous. Perhaps the greatest want was that of qualified teachers. Between 1839 and 1870 a gradual change took place in the attitude of the Government and of the public generally towards the question of state interference. At first this was energetically opposed by all the sects ; but the efforts of educational enthusiasts, among whom Sir J. Kay Shuttleworth was prominent, led to steadily increasing grants from the exchequer which in 1861 amounted to 813,441. The grants were given partly on attendance, in order to encourage local managers to attract children to their schools ; in 1861 the system of payment by results was formulated, and two- thirds of the grant was subsequently given on the principle that where the teaching was not efficient there should be no grant from the taxes. TABLE I. Treasury Grants for Elementary Education (Great Britain} Years. Amount of Grant. 1833-1839 20,000 1839-1841 30,000 1842-1844 40,000 1851 . 150,000 1861 . 813,441 1865 . 636,000 1879-1880 2,854,000 1884-1885 4,410,000 1893-1894 8,409,000 1901 . 10,851,000 1905-1906 13,516,348 Meantime, although the attendance was still voluntary the numbers educated at schools subject to government inspection had been rapidly growing. In 1860 there were 962,732 children on the registers and 7249 certificated teachers; in 1870 the number of children had risen to 1,949,026 and that of certificated teachers to 14,966. JBut the proportion attending school was still small. In 1870 only two-fifths of children between 6 and 10 and one- fifth of those between 10 and 12 were on the registers. There THE PROGRESS OF EDUCATION 135 was still a great deficiency in proper accommodation. " No child need receive any instruction unless it happened to be a pauper, a criminal, the child of a suldier, or at work in a factory." 1 Education Ad, 1870. In 1870, under Mr. Gladstone's ministry, Mr. Forster's Elementary Education Act was passed to remedy this deficiency in the supply of efficient elementary schools. The country was mapped out into school districts in which wherever ac- commodation was deficient school boards might be formed, elected for the purpose (ad hoc) by all ratepayers, and empowered to levy rates for the maintenance of public elementary schools. Rate Aid. In these rate-aided schools the teaching was to be purely undenominational (Cowper-Temple Clause). The Boards could make bylaws enforcing the attendance of children between 5 and 13. The exchequer grant continued, as before, to give state aid to all schools certified by inspection as providing education up to a certain minimum standard, and these schools were subject to inspection at any time except in the teaching of religious knowledge. Rates, on the other hand, were not to go to the maintenance of any denominational religious teaching. The conscience clause provided that in the voluntary schools (which remained practically untouched by the Act), parents were free to withdraw their children from religious teaching or observance, and such teaching or observance must be held always at the beginning or end of school hours. In 1872 there were 82 board schools, 9772 voluntary ones: in 1903, 5965 "provided," 14,208 "non-provided" or voluntary schools. The average attendance, which had been 855,077 in 1860, 1,152,000 in 1870 (19 percent, of population between 3 and 15), had risen to above 5,037,000 in 1903 (see Table II). In 1876 elementary education up to a certain standard was made compulsory, the local authorities being empowered by their bylaws to fix the standard of exemption within certain prescribed limits. At the present day, all children must attend school between the ages of 5 and 14, but the local authority may specially xempt children under 11 for agriculture, (b) grant half-time or full-time exemption to those between 11 and 14 who have attained a certain standard ; they must at least have passed Standard IV (seo Tal.le HI). In 1907, in 41 per cent, of educational areas the l>ylu\\.- allow no half-time exemption, and in 21 per cent, of those a Standard VII in demanded for full-time exemption. In 1907, 1 Redlieh and Hirst, E.ijlish Local Government, ii. [ . 136 THE PROGRESS OF THE NATION TABLE II. Public Elementary Education Number of Scholars on Registers and Population at corresponding ages. 3 and under 5. 5 and under 7. 7 and under 12. 12 and under 15. Total. Increase per cent, in 10 Years. 1870-1871 Scholars. Population at corres- ponding ages 275,608 1,619,228 404,929 1,222,613 945,376 2,596,224 169,819 1,427,863 1,795,732 6,315,928 1880-1881 Scholars. . . . Population at corres- ponding ages 393,056 1,339,826 871,724 1,309,599 2,270,063 3,008,196 523,826 1,649,921 4,058,669 7,307,542 + 126-02 + 15-7 1890-1891 Scholars. Population at corres- ponding ages 458,267 1,377,515 1,062,608 1,374,495 2,745,678 3,350,518 566,033 1,912,008 4,832,586 8,014,536 + 19-07 + 9-67 1900-1901 Scholars .... Population at corres- ponding ages 615,007 1,428,597 1,215,674 1,399,882 3,100,371 3,433,546 835,707 2,015,205 5,767,359 8,277,230 + 19-34 + 3-28 TABLE III. Table showing Average Duration of School Life and Age at leaving Scliool, in Schools receiving Education Grants (England, 1907-1908) A. Boys Number of Schools in which the Average Length of School Life after 12 was Number of Schools at which the Average Age of Leaving was Not over 1 year. 3 * C3 C) " >> N 2 to 2J years. 2i to 3 years. 3 to 4 years. 4 to 5 years. 13 and under 14 years. 14 and under 16 years. 16 and under 15J years. 15J and under 16 years. 16 and under 17 years. 17 and under 18 years. (a) Council Schools . (6) Roman Catholic Schools . (c) Foundation and other Schools .... 1 40 2 34 44 6 115 45 1 121 3 2 54 59 1 1 25 4 27 50 3 112 45 4 124 14 62 2 Total 1 76 165 167 56 165 173 76 2 B. Girls (a) Council Schools . (6) Girls' Public Day Schools . (c) Roman Catholic Schools . (d) Foundation and other Schools .... Total 6 1 1 56 "i7 14 55 2 18 61 40 7 5 36 88 It 20 2 26 59 "2 "o 10 30 3 6 21 01 4 13 45 73 24 15 61 5 2 8 87 130 22 60 113 173 7 THE PROGRESS OF EDUCATION 137 211,000 children between 11 and 14 obtained full- time ex- emption and 48,000 half-time exemption. But the Consultative Committee of the Board record their conviction of the social evils i.f tin- half-time system, which are also acknowledged by working- class leaders, and there is a strong feeling among reformers generally that the limit of age for primary education should be raised at least to 15. In 1891 elementary education was made free as well as compulsory, at a cost to the nation of two millions per annum. Uniformity of administration was partially secured by the Act of 1890 ; and the code formulated as the result of the Commission of 1858 has gradually been improved by an extension in the field of choice of optional subjects. In 1897, payment by results was abolished and the grant determined by attendance. A uniform standard of primary education once established depends for efficiency on teachers and inspectors. In England there are under the senior chief inspectors appointed by the Board, 11 chief inspectors, S7 inspectors, 23 juniors, 52 first-class sub-inspectors and 11 sub- inspectors in manual instruction and drawing. As regards the training of teachers the nation has preferred voluntary instruction to the state normal school. In 1901 there were 17 day and 45 residential training colleges, with 4188 resident and 1426 day students, attached to universities and university colleges, trained on a two years' course that has from time to time to be submitted to the Board for approval. An efficient supply of teachers is largely a question of salary ; and the salaries are still low 129 for men and 90 for women being about the average. Before considering the administrative machinery established by the Act of 1902 for co-ordinating primary and secondary education, a brief sketch of the growth of education other than elementary may be given, bearing in mind, however, that there never has been devised any satisfactory distinction between the two. Secondary Education. Though in 1833 the State began to feel its responsibility for primary education, it was not until 1861 that secondary instruction received serious attention. Brougham's (.'ommi.^ion in 1S1G had shown (!, existence of great aim the management of charitable endowments, and the met hods of the !^ r reat puhlie. schools had heen lon^ known to he very impet At Eton, for instance, the number of school hours was said to be "iily eleven a week. The education given was wholly classical, and bad ut that. Sidney Smith paid from lc 00 a yea 138 THE PROGRESS OF THE NATION have his son educated at Westminster, and said that the system of tyranny exercised by the elder boys there was intolerable. " The English are very fond of this, and think that it fits a boy for the world ; but the world, bad as it is, has nothing half so bad." The idolatry of games was detrimental to learning. The curriculum of these grammar schools was narrow in the extreme, and they were of course confined to the upper classes. Technical education did not exist. In 1861 a Commission was appointed to inquire into the management of the nine great public endowed schools i.e. Eton, Harrow, Westminster, Winchester, Eugby, Charterhouse, Shrewsbury, St. Paul's, and Merchant Taylors (which were then educating 2696 boys, in 1901 well over 5000). The Public Schools Act of 1868 led to substantial and much needed reforms in the seven boarding-schools. It was for this Commission, which extended the scope of its inquiry to cover all the endowed schools in the country, that Matthew Arnold investigated the systems of Germany and Switzerland and returned with the message, " organize your secondary and superior instruction." The epoch-making report finally issued caused the formation of a committee, merged in 1874 in the Charities Commission, and the passing of the Endowed Schools Act in 1869, with the reform of over 900 endowments. Endowed Schools. The condition of things found by the Com- mission had certainly been lamentable enough. In two-thirds of the towns of England there was no school at all above the primary school. In those that did exist the education was often miserable. " The schools, either public or private, which are thoroughly satis- factory are few," the Commission declared, " in proportion to the need." The ' improved administration introduced caused nearly every endowed school in the country to enter upon a new lease of life. New public schools sprang up, many quite without endow- ments ; and in London and the provinces great day schools were founded or revived. Girls' Education. In their Eeport the Charity Commissioners declare "as to one particular branch of national endowments, namely, that of the advancement of the secondary and superior education of girls and women, it may be anticipated that future generations will look back to the period immediately following upon the Schools Inquiry Commission, and the consequent passing of the Endowed Schools Act, as marking an epoch in the creation and endowment of that branch of education similar to that which is marked by the education of boys and men by the Keforrnation." In the earlier TIIK PROGRESS OF EDUCATION 139 half of the century, deportment and accomplishments were con- sidered all that was necessary for the life-equipment of an " elegant female." In 1848 a higher school or college was opened for women in Harley Street, with F. D. Maurice as its parent and founder. In 1S47 Mrs. Reid, a Unitarian, established classes for women in her house in Bedford Square, which ultimately developed into Kedford College, now a constituent college of the University of London. Two pupils of Queen's' College were Miss Beale, who in 1858 became principal of Cheltenham, which before her death liad 1000 pupils; and Miss Buss, under whose able direction the dills' Public Day School Company was founded on a commercial basis in 1873, to provide for girls' instruction of the same standard as the public schools give to boys. In 1897 the company owned schools with over 7150 pupils. Already, too, women were knocking at the doors of the universities. In 1856 Miss White, ami in 1ST '2 Miss Garrett, applied to be admitted to a medical diploma at London University. In 1869 a group of women established at Hitchin the nucleus of Girton College; in 1871 Newnham was founded. Ten years later women were formally admitted to university examinations in Cambridge : while London placed them on that footing of complete equality with men which they now enjoy at all the universities of the kingdom except Oxford and Cambridge, where the privilege of a degree is still denied them. Higher education, however, was for long confined to those who could afford to pay for it. Dr. Anderson, a professor at Glasgow University, gave lectures on experimental physics to working men in the evenings ; and on his death he left his fortune for the foundation of a college where this work might be carried on. The lectures of his successor, Dr. Birkbeck, at Anderson's College were attended by 500 artisans. When he removed to London in 1-, Dr. Birkbeck founded the institute there which bears his name. iiical Schools. Mechanics' institutes existed in various of (he country. In is:',(> the first Trade Designing School was established in London and similar schools in the provinces subsidi/ed by government, grants. In-coming in IS".:; the nucleus of the Scicm .md Art, I >epai tmenl now located at South Kensington. Within the ne\t, d.-c.ide the Working V. College had been founded by F. I). Maurice on the same plan as the People's College at Shetlield, based upon the notion that teacher and taught must educate one another; and he found able helpers in liuskiu, Kingsley. I-'rederie ll.ui: ' . and many other notable 140 THE PROGRESS OF THE NATION men of the time. Polytechnics, too, began to spring up, organized by Quintin Hogg. Much effort, energy, and money was being expended : but far more was needed, and, above all, co-ordination and unity of administration was urgently required. In 1888 the government was stirred to do something. County Councils were set up and authorized to levy a penny rate for technical instruction. In the next year the Local Taxation (Excise) Act, by granting what is known as the " whisky money " to technical schools, suddenly gave them an annual sum equal to the income of all the endowed schools in England. All over the country there was a rapid multiplication of so-called technical schools, which were really in most cases very little different from the so-called secondary ones, since it was frequently found that the pupils had too little general groundwork to profit by specialized instruction. Mean- time, the secondary schools proper were being starved. A very lax interpretation of " technical instruction " enabled the Science and Art Department to give grants to any instruction other than classical ; and in this way crumbs fell to secondary education. But in 1894, out of 316,969 administered by technical education committees, only 17,169 went to secondary schools. Board of Education. The general state of things was so unsatisfactory that in 1897 a Commission, with Mr. Bryce at its head, was appointed to inquire into the whole question ; and they recommended the formation of one central authority to co-ordinate education throughout the country, regulate examinations, and raise the standard of the teaching profession. This authority is the new Board of Education. The starvation of secondary education had led the school boards to endeavour to supply it. Many boards, created " princi- pally to administer primary education," had added upper classes to their schools, and were thus giving what was really secondary education at the expense of the rates. At the same time they were organizing Evening Continuation Schools, also out of the rates. In 1900 there were 5263 such evening schools with 206,335 scholars. The Cockerton case brought up the whole question of the legality of such expenditure. Mr. Cockerton, District Auditor of the Local Government Board, refused to pass an estimate con- taining such expenditure, and his refusal was confirmed by the Court of Appeal. It was thereby decided that the rates levied by the school boards could only be applied to the provision of primary education. In this state of confusion, when no definition existed as to what was and what was not primary education, it was I I IF, PROGRESS OF EDUCATION TABLE IV. Publir Elementary Day Schools 141 Number of Schools Inspected. Number of Certificated Teachers. Average Attendance. Annual Cost per Child. England and Wales s. d. 1860 .... 6,012 6,433 7 :.1,325 1 1 74 1870 .... 8,919 12,744 1,168,981 1 5 4 18fi0 / Board 80 (Voluntary 3,433 14,181 22,502 19,527 1,981,664 1,457,358 2 1 113 1 14 7J lfioo /Board W \Voluntary 4,676 14,743 19,527 27,012 1,457,858 2,260,559 2 5 114 1 16 Hi , 901 /Board "\Voluntary 5,797 14,319 36,667 29,434 2,492,536 2,344,020 8 24 2 6 8i England f Council . 7,408 2,566,030 \VohmtMy 13,152 2,991,741 Wales ion? iQnsf Council . 1,090 350,413 ^{.Voluntary 704 100,290 Scotland 1870 .... 2,030 2,486 207,606 1880 .... 3,064 5,330 404,618 1890 .... 3,076 7,745 512,690 1901 .... 3,141 11,268 633,104 /2 17'"4 (B.) \2 9 6 (V.) Ireland 1860 .... 5,632 5,068 262,823 1870 .... 6,806 7,626 359,199 1880 .... 7,590 10,674 468,557 1890 .... 8,298 11,119 489,144 2 1 Of 1901 .... 8,692 11,877 482,031 2 10 ll TABLE V. Public and other Elementary Schools. Number of Schools recognized for Grant under the Education Code (England and Wales), 1908. (Cd. 4885.) Council Schools. Voluntary Schools. Total. Number. Accom- modation. Number. A' '''!!.- modation. Number. Aocom- fld it;. !i I. Ordinary Public Elementary Schools (a) Maintained l>y Local Education Authority 7,408 MMUM n.i: : 3,304,194 20,660 7,071,018 ('/) Not maintained by Local Educa- 61 10,970 61 16,978 II. Higher Elementary School* 15 80 4,248 7,111 2 1 75 472 290 9,746 17 21 76 4,720 7,411 9,746 (/<) Old tyw> .... - IV. Certified Schoola for Blind Children . "20 "726 19 1,477 39 MM V. Certified School* for Deaf Children . 83 1,920 14 ::."JJ 47 3,942 \l 'Vrtified I>ay fy'hoota for Defective Children 180 12,272 ... 180 1^72 VII. Certified Boarding Schools f live Children .... 2 60 8 012 10 081 VIII. Certified Boarding Schools for Epi- I. |'ti'- Children .... 1 M 4 236 6 281 Total . 7. -') :.: tMH ;, :::<:,!:: 21,016 7,129,260 142 THE PROGRESS OF THE NATION evidently necessary for the Government to step in and complete the policy outlined by the Bryce Commission and initiated by the creation of the Board of Education, by a system of uniform provision and control. At the same time the Church was pressing for relief for the voluntary schools, in which more than half of the children in England and Wales were still being educated (cf. Tables IV and V). Education Act, 1902 (Mr. Sal/our). The Act passed in 1902 was therefore something of a compromise between educational and religious difficulties. By it school boards were abolished, and committees of the County, County Borough, and (for primary education) Borough and Urban District Councils made the local authorities for education with full control over all education within their area, save for the important reservation that the managers of the voluntary (or, as they are now called, non-provided) schools retain control over religious teaching in these schools and the appointment of teachers there. The local authorities may levy rates for the upkeep of all schools alike, and they administer the " whisky money " for secondary and technical education. Secondary instruction is simply defined as any given after 4 p.m. Higher education includes the training of teachers for elementary schools. In 1907 there were 328 such local education authorities, managing 19,207 schools 6579 being provided, 12,628 non-provided. In all provided schools denominational teaching is disallowed, except under special conditions which give all denominations equal facilities at their own cost. In many country districts, however, the only school is a non-provided one, where Church of England teaching alone is given. This is a real grievance to Nonconformists and others who have to pay rates for the support of teaching of which they do not approve for their children. Moreover, the fact that in these schools teachers are appointed by managers, whereas their salaries are paid by the education committee, means that from the greater number of schools and training colleges Nonconformists are as a matter of fact excluded. TABLE VI. Denominations of Voluntary Schools (England and Wales), 1908 (Number, 13,336 ; accommodation, 3,336,023) Church of England. Wesleyan. Roman Catholic. Jewish. Undenomina- tional and others. Number of Schools 11,180 294 1,064 12 602 Accommodation . 2,624,789 105,664 401,595 10,735 161,391 THE PROGRESS OF EDUCATION It remains to be seen whether the smaller authorities for ele- mentary education prove more efficient and more zealous than the school boards whose place they fill. At any rate, in the co- on li nation of primary and secondary education a position is gained from which progressive improvement is possible. Much remains to be done in an increase of efficiency among is. The organization of the teaching profession has, so far, been entirely the work of voluntary effort. In 1868 it was practically unorganixod. 1870 saw the establishment of the Head- masters' Conference, and of the National Union of Teachers, which had 'JS.OOO members in 1893. In 1874 the Association of Head- mistresses was formed, and ten years later that of Assistants. Many others followed. But the great need is an imptovement in salaries. " The headmasters were quite in agreement with the assistants as regards the inadequacy of the salary fund in many schools" (Bryce Commission III, 210). "There are clear indications from the evidence that the best work of efficient men is prevented by inadequate salaries from flowing into the schools." TABLE VII. Estimate of the Number of Boys and Girls at each Tear ni 11-21 attending and not attending School during 1906-1907 Age. !l ftf B * a S'S " < 3 f.~ SI* 5j ill II A f! 1 1 : III s:-si sfj - --. -- ill 111 111 r - - * i|i |i of Popu .if A-.- n. i Day Scho r > M i.^.s n ^ at ng Sch i 11 and mid. T i ' MVMt >:.:;.- tt,lM :,::. 62,000 66,000 LI | 3,367 4,662 LM) 6,243 18,260 r. -.;,::, 0-77 MM P8.7W i. :;::/. < 68S400 S4MOO LMUM 67,811 6,932 607 B0,| . (8,080 4,620 LM LOO 3,381 MM 1,042 mjm MMU 16-30 77-47 v|- 4 fi Ml 4u,;,-.u UH 86.79B _."J.'.:M MJM O>MOO 004,900 067^00 njm 18,000 1,000 MOO 1,000 4.4S5 4,413 MM .",,,-, 17.::::.-. 7,194 M 962 1,764,648 641,770 A \jm tn 96-52 BtrOO 4.!> 51,770 0,001 98-21 (From Report of CoimulUtivp Committee of Board of Education, Cd. ; 2-10 ttH 64-10 76-73 U-M 74-09 n u 144 THE PROGRESS OF THE NATION The State in 1898 passed the Teachers' Superannuation Act ; and by the establishment of the register of trained teachers assists the maintain status ; but no reform can be permanent short of an improvement in salaries. Continuation Schools. The proportion of those whose education is closed when they leave the elementary school is unfortunately still very large indeed. Even in the case of the middle classes the tendency is to cut the school period unduly short. Of the total number of boys and girls coming under the control of the education authorities, 74'09 per cent, of those between the ages of 14 and 17 are receiving no schooling at all, and 86*76 per cent, are not attending any day school ; while only 9 per cent, of those above 17 are attending any sort of school or college. Yet more than a third of the total expenditure incurred by local authorities under Part II of the Education Act in 1905-1906 went to the maintenance of schools and institutions for evening teaching, i.e. 1,165,278 out of 3,141,248. The total number of students attending evening or other continuation classes was in 1907-1908 701,538: of these only 126,435 received free instruction (cf. Table VIII). TABLE VIII. Evening and all Similar Schools and Classes (England), 1907-1908 I. Number of teachers Men ....... 21 582 Women ....... 9 286 II. Students 12 and under 15 15 18 18 21 21 and over 132,100 212,762 123,705 232,971 Number on account of whom grants were paid , . fmale . " bein nfemale .... 547,228 322,300 224,928 Total receiving free instruction . Total paying for instruction Total attending schools .... 126,435 575,103 701,538 III. Number of schools, classes, or centres recognized 6,234 356 out of the 676 secondary schools on the grant list of the Board of Education in 19061907 were centres for the instruction of pupil teachers, and educated 2265 boys and 6541 girls (roughly a half and a third respectively of the whole number) who were destined for elementary teaching. THE PROGRESS OF EDUCATION 145 TABLE IX. Secondary Schools (England), 1907-1908 Number of Pupils. Number of Schools on Grant List. Boys . . . . Under 12. OVIT 12 and under 16. 16 and over. Total. 15,365 11.540 47,919 37,213 4,820 7,606 68,104 56,359 320 239 Total . 26,905 85,132 12,426 124,463 177 (boys and girls) ToUl . 736 The latest developments with regard to elementary education to do mainly with the health and physical condition of the children attending school. The first movement in that direction originated in the work of Hermann Cohn, and the results of his investigation, at Breslau, into the eyesight of 10,000 scholars there. In 1890 the first medical officer was appointed by the London School Board. A great stimulus to general interest in the question was given by the Keport of the Committee on Physical Deterioration in 1904, which drew attention to the need for improvement in the lighting, heating, and seating arrangements in schools, and stated that, over and above the desirability of more directly physical training, " there is need of a much more complete system of medical inspection than has yet been attempted." Certain local authorities had by this time already made the medical officer of health of their area medical officer to the education authority also : and in some localities arrangements had been made for feeding necessitous school children on a voluntary basis. The Education (Provision of Meals) Act of 1906 gave power to local education authorities to take steps for providing school children with meals. The Education (Administrative Provisions) Act of 1907 further infused on all local education authorities the duty of medically inspecting chiMivn all ending public elementary i ml enijMiwore the health and physical condition of such children. Table X shows the extent to which local authorities uvaihxl 10 146 THE PROGRESS OF THE NATION themselves of the Act of 1 9 6, in the year 1908-1909. It will be seen that the proportion of expense borne by voluntary contributions is not considerable, and that the amount recovered from parents is negligible. For such recovery the education authority has of course no adequate machinery, and the whole working of the Act indeed imposes upon it a responsibility which is really outside of its proper sphere. " A large proportion of the badly nourished children suffer from unsuitable food rather than from lack of food. It is probably no exaggeration to say that the improvement which TABLE X. Education (Provision of Meals) Act. Expenditure and Receipts for 1908-1909 Cost to Rates. Analysis of Sources from which Expenditure of Local Education Authorities, 1908-1909. Canteen Committees' Expendi- ture was met, 1908-1909. c I 1 || 00 2 8 O o 5W is| 1 iS} 1 || > c 3 cot s S~3 ,_, '> ^ & "S"c c"* ~ Ui *^f 2 '''"" Total. ^5 3 5 ft - 3 .7^ * o fl a|| 1 . *> s 'd o af o c |i c"" o 8 8 - o! o H 1 "o 1. 2. 3. 4. 5. 6. 7. 8. England (excluding London) Counties .... 194 154 45 393 348 732 4 1,084 County Boroughs 24,215 13,231 1,942 39,388 37,446 12,377 263 50,086 New County Boroughs 3,212 868 514 4,594 4,080 2,397 3 7,480 Urban Districts . 3,077 1,594 823 5,494 4.671 764 22 5,457 Total (England, \ excluding London) / 30,698 15,847 3,324 49,869 46,545 17,270 292 04,107 Wales 1,269 466 235 1,970 1,735 123 3 1,861 Total (England and Wales) . 31,967 16,313 3,559 51,839 48,280 17,393 295 65,968 London 9,122 10,122 1,250 20,494 19,244 438 40 19,722 (From Report issued by the Board of Education, 1910, Cd. 5131.) could be effected in the physique of elementary school children in the poor parts of our large towns, if their parents could be taught or persuaded to spend the same amount of money as they now spend on their children's food in a more enlightened and sensible manner, is greater than any improvement which could be effected by feeding them intermittently at the cost of the rates " (Report of the Board on the Working of the Act). The Act of 1907 was followed up by three circulars issued by the Board, suggesting the methods by which it could be carried out. " Whereas only a small minority of local education authorities THE PROGRESS OF EDUCATION had, before 1907, made any arrangements for medical work in the public elementary schools, all the 328 authorities in England and Wales are now endeavouring, generally speaking with considerable enthusiasm and success, to make adequate provision for the medical inspection of children, and for meeting more or less effectually the collateral questions of school hygiene raised thereby " (Report of the Chief Medical Officer for 1908). TABLB X.I. Illiteracy Year. England and Wales. Ireland. Scotland. Malvs. Females. Males. Females. Males. Females. Per Cent Per Cent. Per Cent. Per Cent. PerCent. Per Cent 1839 337 49-5 1841 32-7 48-9 1851 30-7 45-2 1861 24-6 34-7 10 : 6 21 -3 1871 19-4 26-8 37-5 45 -: 2 10-0 19-6 1881 13-5 177 26-1 30-7 7-1 13-9 1891 6-4 7'3 19-4 19-4 3-4 5-3 1900 2-8 3"2 13-2 107 1907 1-4 17 IRELAND Year. Persons over 5 able to Read but not Write. Able neither to Write nor Bead. 1841 19'0 per cent. 53*0 per cent. 1851 20-0 47-0 1861 20-0 39-0 1871 17-0 33-0 1881 16-0 25-0 1891 11-0 18-0 1901 6'9 13-7 (From the Registrar-General's Returns.) For the great majority of the people school life still ends far too early, and in spite of all the progress slowly attained in the course of a century which has devoted much of the best energy of its best citizens to the cause of education, the instruction which is received, especially by the workers of the country, is still defective in m;my w:iys and capable of great improvement. To the domestic ignorance of women and the industrial ignorance, and want of adaptability of men, many of our greatest social dilliculties are due. Nevertheless, faith in the possibilities of education continues 1 48 THE PROGRESS OF THE NATION to be the surest foundation for a rational optimism, and some assurance of the possibility of accomplishment of the immense work still to be done can be drawn from a comparison of the present condition with that prevailing half or even a quarter of a century ago. A bare enumeration of the number of schools existing and a record of the scholars attending them, does not measure the real educational opportunities open to everyone. Except in Ireland the proportion of persons without any education is fast disappearing (Table XI). There is now hardly any town in Scotland, no village that does not possess an excellent free library. There are dis- advantages in the phenomenal development of the cheap sensational Press, but at the same time good literature has now been brought within the reach of all. In numberless ways the influence of the universities is extending so as to reach a much wider circle. Universities. At the beginning of the nineteenth century, Ox- ford and Cambridge, with a thousand students between them, were the only universities in England. University College,. London, was founded on undenominational lines in 1826, and King's College followed on a Church basis five years later. In 1832 the grant of funds by the Dean and Chapter created the University of Dur- ham. In 1846 John Owens, a Manchester merchant, left his fortune for the foundation there of a college to be called after him, " free from the religious tests that then limited the extension of university education." The movement once started soon gathered strength. The Acts of 1852, 1854 and 1871 abolished religious tests at the old universities. In the 'seventies and early 'eighties colleges sprang up at Aberystwyth (1872), Leeds (1874), Bristol (1876), Sheffield (1879), Birmingham (1880), Nottingham (1881), Liverpool (1882), Cardiff (1883), Bangor (1884). In 1893 the three Welsh colleges were incorporated in the University of Wales, and in the course of the next decade Manchester, Birmingham, Liverpool, Leeds, Sheffield, and Bristol received charters as independent universities with power to grant degrees of their own. The new universities in many respects resemble those of Scotland more closely than they do Oxford and Cambridge. The comparatively lower scale of fees, made possible by a non-residential system, enabled them to reach a poorer class of students, though the diffusion of university education in Scotland has as yet no parallel in the South. Something of that sort was the aim of the University Extension Movement that originated in lectures given by Mr. James Stuart, THE PROGRESS OF EDUCATION 149 .1 Fellow of Trinity College, Cambridge, first to an association of women in the North of England, of which Mrs. Josephine Butler was president and Miss Clough secretary, and then to railway men at Crewe and co-operators at Rochdale. In 1873 this system was sanctioned by the University of Cambridge ; and it was introduced in connexion with every university collega The Workers' Educational Association, started in 1903, is a later develop- ment of the same movement. TABLE XII Cost of Public Education (Universities and Colleges excluded). Science and Y> i' Art Depart- ment and Great Britain. England and Wales. Scotland. Ireland. Museums. 1833 20,000 25,000 1840 30,000 50,000 1,300 1850 125,000 125,000 14,755 1860 798,167 270,000 94,951 1870 :>14.721 881,172 218,336 1880 2,536,077 464,203 722,366 336,002 1890 3,782,224 611,581 918,316 474,896 1901 9,747,716 1,363,881 1,305,771 Local Rates. 1880 . 1,579,752 205,011 8,324 1890 . 2,968,096 559,273 8,192 1901 . 6,229,064 1,012,360 ... (From Graham Hal four, Educational Systems of Great Britain and Ireland.) Scotland. Even in 1850 every parish in Scotland contained at least one parish school, and " there were but few parishes in which further provision had not been made for the instruction of the people." In 1825 there were 56,232 scholars in parochial H-hoola, 101,49", in non-pavochi;il schools : in all 157,727 or 29'84 per cent, of the population between the ages of 5 and 15. In 1837 there were 61,921 scholars in parochial schools, 128,318 in non-parochial schools: in all lOn,!*:'^ or 3T41 percent, of the population between 5 and 15. The academies and the burgh schools were thoroughly democratic in character: rich and poor learned their Latin and mathematics side by side there, and proceeded side l>y side to the universities, often when still children. 150 THE PROGRESS OF THE NATION TABLE XIII. Public Education (Scotland} Number of Schools Inspected. Average Attendance. Number on account of whom Grant was Paid. Total Par- liamentarv Grant. " Primary schools 1893 . 1907 . 3,004 3,138 542,851 692,761 965,460 1,941,918 Higher grade schools 1900 . 1907 . 27 147 2,561 18,467 ... Evening schools. Re- placed, 1902, by con- tinuation classes 1893 . 1907 . 939 772 47,002 107,622 Number of Schools Secondary schools 1906-1907 . Claiming Grant. 55 16,928 (From the Statistical Abstract, 1908, Cd. 4258.) TABLE XIV. Public Education (Scotland) Teachers Certified Teachers. Assistant Pupil Female Assistants. Trained. Untrained. Teachers. Teachers. Year. tC . . CO aS o rf OD S 'overnwnt. "The authority," he says, " which is most conversant with principles should be supreme over principles, while that which is most 154 THE PROGRESS OF THE NATION competent in details should have the details left to it. The principal business of the central authority should be to give instructions, of the local authority to apply them. Power may be localized, but knowledge to be most useful must be centralized." Central control in the positive sense even now hardly exists, but there is a real if negative control in the powers of inspection, of audit, and of withholding a grant, that have been gradually developed by the central departments of state over the boards that carry out similar functions locally. At the beginning of the century even the most rudimentary form of interdependence was absent, while the powers of municipal corporations and select vestries were regarded by those who exercised them as privileges carrying little responsibility. The second noticeable feature is the gradual democratization of local government by a movement parallel to that which gradually widened the parliamentary franchise. The three landmarks of constitutional reform through- out the century 1832, 1867, and 1884 serve to mark the periods of internal and administrative reform that followed after each of them. Political change reacted almost at once in each case upon local government. The Reform Bill of 1832 was followed immediately by the Poor Law Amendment Act of 1834, in which the recommendations of the Royal Commission were transferred to the statute book, the whole method of administering relief reformed, and a Central Poor Law Board constituted, at first only for five years. A new poor- law district (the Union) was erected to take the place of the parish and enlarge the area so that there might be "aggregation for the purposes of segregation " ; and a new organ of poor-law administration created to take the place of the justices of the peace, in the board of guardians elected by the ratepapers, the larger ratepayers having additional votes. The Central Board had powers of audit and surcharge, and could dismiss though not appoint officials. There was to be inspection. The whole was a triumph of Benthamite ideas. Almost immediately on this great reform there followed the reorganization of the municipal boroughs, again as the outcome of the findings of a Royal Commission. The Report issued in 1835 displayed a state of things hardly less chaotic and injurious than that of the old poor laws. The greatest diversity prevailed. It was hardly possible to find two municipal corporations conforming to the same species. " Existing municipal corporations," the Com- missioners state, " neither possess nor deserve the confidence and LOCAL GOVERNMENT IN GENERAL 155 respect of your Majesty's subjects." They found a " complete break- down of administrative efficiency, joined with a decay of the elementary rules of local self-government." Municipal elections were a mere farce. Affairs were managed in secret, and much corruption prevailed. The magistrates, besides often being venal, were ignorant and inefficient. Instances were adduced where they were unable to read or write ; so incompetent were they that in most boroughs of any size municipal interests were managed, not by the proper municipal authority, but by special ad hoc bodies. Even the police was often managed in this way. Sometimes private subscriptions had to be raised to carry out the work of the corpora- tion, left undone by it. The ratepayers had no control over the finance of the council. The members of corporations regarded the funds as existing for the advantage of themselves, not for the community as a whole ; they were expended on salaries, feasts, etc., while public objects were wholly neglected. Educational endow- ments were found subject to gross abuse. " From various causes . . . the schools have become in great measure useless to the inhabitants, and much valuable property given for the purpose of education, wasted." In the rapidly-growing towns where industry was ex- panding by leaps and bounds, railways springing up and population becoming more and more congested, the housing and sanitary conditions were appalling ; the highways were ill-lit and neglected ; the water supply a frequent cause of disease. The provision of such things was wholly overlooked by the corporations. To reform this state of affairs Lord John Russell's Municipal Corporations Act was passed : all old charters were annulled, the municipal corporation was restored to its original meaning as the legal personification of the local community, represented by a council to be elected by the equal and direct vote of local ratepayers for a limited period ; its meetings to be open and its accounts audited yearly. The sanction of the Treasury was made necessary for the raising of loans and selling of property. Judicial and ministerial fund inns were separated. The larger boroughs are the seat of Quarter Sessions : the smaller ones may possess a separate Commission of the Peace or be subject merely to the petty sessional jurisdiction of the county. In any case the Act of 1 S. "..">, as completed and extended in 1882, finally severed magisterial from corporate office, and withdrew administrative work from the magistrates to hand it over to the town councils. In each borough, whether a county borough (i.e. one which as 156 THE PROGRESS OF THE NATION having more than 50,000 inhabitants is exempt from the authority of the county council in whose area it is situate) or a non- county borough, the authority is the town council, which is at once a representative body charged with the exercise of municipal affairs and the urban sanitary authority. It consists of councillors, elected for three years, one-third retiring annually, and aldermen, to the number of one-third of the councillors, elected by the councillors for six years. Ratepayers occupying premises of an annual value of 10, who have resided for twelve months in the borough, are eligible to vote. The chairman is the mayor. Most of the business of the council is carried out by committees some statutory, others optional ; but decisions are subject to the approval of the council as a whole. The Act, which set up machinery that remains little altered to this day, was followed by an immense extension of municipal activity in response to the growing needs of the inhabitants of the towns. As compared with the Poor Law Amendment Act, the Municipal Corporations Act represented a great deal of autonomy and a minimum of centralization. But although no general control was established over municipal bodies, and by no means all the functions of government within their own locality were concentrated in their hands, gradually central control was established with regard to certain new functions, namely, those of Public Health. The Statistical Department, whose establishment Edwin Chad- wick had secured in connexion with the administration of the poor law, afforded absolute proof of preventable disease as a cause of pauperism. With the help of this knowledge Chadwick began his campaign against insanitary conditions, and in 1848, shortly after the great cholera epidemic, a general Board of Health was established, empowered to create a local health district and local board : in the municipal boroughs which adopted the Act (which was per- missive) the town council was ipso facto the sanitary authority ; elsewhere a new local health authority could be created for sanitation, the supply of water, management of the streets, making of burial-grounds, management of offensive trades, etc. Those who disliked centralization made a determined attack upon the Board of Health ; and in 1858 it was dissolved by the Local Government Act, which enlarged the powers of the local, authorities and enabled them to adopt portions of certain Acts (the Model or Clauses Act connected with the name of Joseph Hume, 1845) without the necessity of private bill legislation. Sanitary legislation remained permissive. LOCAL GOVERNMENT IN (iLNKKAL 157 In the year after the passage of the Second lieform Bill (1867) a Commission was appointed to examine into the sanitary condition of the country. Their Report, issued in 1871, was a masterly document which convinced parliament that sanitary administration, still very backward in urban districts, was practically non-existent in the country : a complete chaos of jurisdictions and areas. The entire absence of any strong central authority, the parcelling out of such controlling functions as existed between the Poor Law Board, the Home Office, the Medical Office, the Privy Council and the Board of Trade, was regarded by the Commission as the gravest defect of English local government. The recommendations of the Commission, most of which became law in the Act of 1875, was to actuali/.c the sanitary laws. For this purpose the fragments of the old lioard of Health were united with the Poor Law Board into a new central department, the Local Government Board, with power to compel a local authority to do its duty, to inspect, to issue orders and regulations, and control expenditure. The Public Health Acts ceased to be permissive. The local authorities whose business it was to carry out the Act, the function of the central authority being to give them information and guidance, were, in the towns, in the municipal boroughs, the town council, and in places of more than 3000 inhabitants a local board; in rural districts the area was at first the poor-law union, afterwards the rural sanitary district, a subdivision of the county. By the Public Health Act of 1875 central control over principles was definitely established. The democratization of local government proceeded much more slowly ; and the first great step ids it ainie from the centre, not from the localities. This was the Education Act of 1870, which provided for the formation, in districts where no voluntary school existed, of a school board for the provision of education. For election on to this school board all ratepayers, male or female, were eligible ; and all had votes, as many as there were candidates, of which they could, if they chose, give all to one candidate. The Education Act thus created one more independent local authority with a new area of its own. In 188.">, Mr. llathbone described the English system of local govern- ment as a " chaos of areas, a chaos of franchises, a chaos of authorities, and ;i chaos of rates." Tin- J'liMie Health Act had included e\ery parish in either an urban nr a rural sanitary district, lint the boundaries of the poor law and s-mitary areas are .seldom coterminous. A poor-Liw union was often eompoM-d partly of urban, partly of rural parishes, and comprised part or the whole of 158 THE PROGRESS OF THE NATION a municipality. For five centuries there had been three kinds of parishes, formed without reference to county boundaries. A borough, too, was often in more than one county. The relations of municipal and county administration showed the greatest possible diversity. The county system had not been touched by the Act of 1835 ; the counties were still administered by Quarter Sessions ; the vastly increased business they had to do was still governed by the ancient forms and machinery. In size there was the most extraordinary variation between borough and borough, county and county, parish and parish. Meantime the activities of every department of local government had been rapidly increasing, both in urban and rural districts. The reform of the municipalities had enabled them to grapple with the task with success, but the rural authorities stood in grave need of reorganization. That re- organization must lie to some extent in an increase of popular control was made inevitable by the trend of general political movement. The County Councils Act of 1888 extended to the counties the separation of magisterial and judicial functions that had been accomplished for the towns by the Act of 1835. Administrative powers were transferred from the justices of the peace to county councils local parliaments composed of representatives directly elected by the ratepayers. The administrative county was divided into equal electoral districts in which every ratepayer had a single vote. Towns of more than 50,000 inhabitants were made county boroughs, analogous to the municipal boroughs, with councils of their own. Burgesses had no votes for the county council. London, i.e. the metropolitan area, was made a single adminis- trative county. Below the county council urban and rural district councils were erected, responsible for the management of subordinate areas. The county was also divided into licensing divisions, controlled by committees of the county council. A comprehensive financial scheme was bound up with this reform. Magisterial administration, the " exemplary administration " of the justices of the peace, was at an end. This was a step in the democratic direction. But the area of a county or even of a rural district was too wide to permit of working men being elected to the council or board of guardians. Government " by horse and trap " continued. Local authorities had still to be simplified. To do this was the object of the Parish Councils Bill of 1894, " the last of the great constructive measures which built up a democratic LOCAL GOVERNMENT IN GKNKKAL 159 system of local government in England," an attempt to fill up the "outline map" to which Mr. Gladstone compared the Act of 1888. The principle established by the Act of 1894 is that " the district of a local authority must fall entirely within the district of the local authority next above it in the hierarchy." The county councils were empowered to rectify boundaries, local self-govern- ment was carried into the smallest units by giving the larger parishes parish councils (elected by universal suffrage of ratepaying labitants) and the smaller ones parish meetings (composed of all tepaying inhabitants). The old urban and rural sanitary authorities ere reconstituted as urban and rural district councils, elected ewise on universal suffrage. Class voting was abolished for rds of guardians and nominated and ex-officio members swept away. At the same time the rural eanitary authority (now the al district council) was made the board of guardians in its (whereas before the board of guardians had been the sanitary thority). The democratization of local government was thus mplete. In 1902 another step in the direction of simplification of area attempted by the substitution for the school boards of the unty and county borough councils as the education authority, id, so far as elementary education is concerned, the council of a rough of more than 10,000, and an urban district of more than 0,000 inhabitants. (See Chapter VI.) The functions of the local authorities are thus extraordinarily riod and complicated, and likely to grow more so. Councils may d d > manage and acquire property ; they carry out the functions f public health authorities, regulating drainage, sewerages, 'ffensive trades, water supply, lighting, markets and street im- irovements ; they may provide cemeteries and hospitals for infectious they can carry out housing and improvement schemes ; ey apply adoptive Acts with regard to libraries, baths and ihhouses, depots, parks and open spaces, museums, art galleries, mnasiums ; they may carry on reproductive undertakings of various kinds, such as tramways or steamboats, the provision of uriricity or gas. The most recent development of the activity of local authorities is the undertaking of public services which. re<[uirin^ large and Special plant and expert management, can be carried on so as to yield a financial profit and would lie N> carried on l.y private companies. Such are waterworks, gasworks, electric light and power works, tramways, etc. The procedure of municipal councils i6o THE PROGRESS OF THE NATION is various. Some councils do not undertake such services them- selves but impose regulations and restrictions upon the private companies rendering them, their scale of charges, and the quality of the goods they supply ; others own the plant but leave the working Services carried out by Local Authorities, 1905-1906 Expenditure Defrayed otherwise than out of Loans. . ii. Expenditure Maintenance Defrayed Services. and o tiler out of Expenses (not being Loan Loan Charges. Total (i. and ii.). Loans. Charges). , , . f i. Elementary 18,049,053 2,271,999 20,321,052 2,094,045 xijuiication { TT' i, In, Higher 2,988,766 146,998 3,125,254 275,805 Electric lighting 990,886 1,713,415 2,704,301 2,391,809 Gasworks .... 5,082,726 1,456,743 6,539,469 523,394 Harbours, docks, etc. 1,942,373 1,728,050 3,670,423 1,781,679 Highways, bridges, etc. 10,795,539 2,840,658 13,636,197 3,114,367 Hospitals (not poor - law infirmaries) . 1,359,409 341,724 1,701,133 462,855 Libraries .... 709,449 14,245 723,694 37,812 Lighting . . . 2,126,130 15,659 2,141,789 10,849 Lunatics and lunatic asylums 2,909,269 592,469 3,501,738 355,222 Markets .... 466,339 366,593 832,932 126,763 Parks and open spaces 733,661 430,845 1,164,506 273,002 Police and police stations . 6,055,156 124,440 6,179,596 90,697 Poor relief 10,486,349 1,189,610 11,675,959 998,106 Private street works . 1,249,186 430,471 1,679,657 323,207 Sewerage .... 2,089,223 2,306,286 4,395,509 2,781,252 Tramways 3,800,070 1,567,183 5,367,253 3,129,402 Waterworks (excluding Metropolitan Water Board) .... 1,774,933 3,280,917 5,055,850 2,940,638 Other works 12,719,110 1,178,586 13,897,696 2,825,923 Unappropriated loan charges, 3,015,730 3,015,730 73,118 J Total (expenditure not out of loan) 86,327,627 25,012,121 111,339,748 25,139,950 Total expenditure . . . 136,479,698 (Statistical Abstract, vol. lv., Cd. 4258.) of the service to the company. There is, however, an increasing tendency for municipalities themselves to supply the services needed. To what a large extent this is being done can be seen from the table, which gives no account, moreover, of the large expenditure 1 Unappropriated loans. LOCAL GOVERNMENT IN GENERAL 161 incurred iii the provision of working-class dwellings. In 1906 the capital value of certain undertakings of the London County Council was estimated as follows : Tramways . ... 4,724,477 Working-class dwellings .... 2,305,431 Steamboats ...... 282,136 (.hi the London County Council tramways alone 6365 men were employed in 1905-1906 (as compared with 27-S4 in 1902-1903). The lines covered 102 miles, and in the year 1905-1906 183 million passengers were carried. Most of the London Borough Councils, as well as all the larger towns in the kingdom, are engaged in municipal industries of some kind. In 1900, 173 municipal jroughs in England and Wales and 53 in Scotland supplied iter ; in 1899, 222 local authorities were authorized to provide 3, and 300 to provide electric lighting. " Outside of these staples my local authorities construct, own, hire, or manage telephones, irkets, slaughterhouses, cemeteries and crematoria, recreation grounds, quays, docks, harbours, piers, as well as concert rooms, ories, refreshment rooms, etc., baths and washhouses, ferries, ilf links, houses, warehouses, shops, building ground, allotments, lilkshops, refrigerators and cold storage, supply of paving stones, etc., and there exists a strong tendency to extend their operations to more questionable undertakings, such as banking, insurance, pawnbroking, mining, etc." (Poor-Law Commission Report). In 1902, 299 out of 317 municipal corporations in England and Wales were carrying on reproductive undertakings of some kind, and over one-half of the municipal debt, which stood at over 370,000,000 in 1903, was computed to be capital invested in undertakings producing profit. In 1908, 14,651 persons were in the service of the corporation (excluding police) out of a population of 800,000. For all these purposes revenue is required, and this is derived from two main sources loans and rates. All loans are subject to the sanction of the Local Government Board, and must be repayed by instalments over a period not longer than thirty years, or by means of a sinking fund. In the case of a county council a certain revenue is derived from sums that, though actually raised within its area, are collected there by officials of the central government. Such are the proceeds of local taxation licences, i.e. licences for the sale of intoxicants, game dealing, dogs, horses, arms, etc. ; the proceeds of the estate duty, and certain specified customs and excise duties. Sums derived in this way from contributions l62 THE PROGRESS OF THE NATION are as a rule devoted to certain prescribed purposes, such as official salaries or technical instruction. For general purposes the councils rely ultimately on the levying of rates. The amount of the rate required being determined, its payment is divided among the ratepayers "in respect only of certain kinds of property, and levied from the occupiers, not the owners of that property," on a scale which is, roughly, proportionate to benefit received. The Poor Rate, established by Elizabeth's Act of 1601, is the basis of all English local taxation ; and for long the largest item in the expenditure of local authorities was that of poor relief. The tables show how greatly the expenditure of local authorities has increased even within the last decade, how enormously it has increased in the course of the century, and the change in the relative proportion to total expenditure of expenditure on poor relief. Though the cost of poor relief has steadily risen, it has been vastly exceeded by the increasing expenditure on the public health and other sanitary services, to say nothing of the outlay on education. This increasing expenditure has involved a steady rise in the rates. Rates in general are based upon the assessment and valuation made by the overseers for the purpose of the poor rate, and pre- sented by them to the board of guardians of the union of which the parish forms a part. Appeal against their decision can be made, within a certain period, to Quarter Sessions. In London the functions of the overseers in making the valuation are carried out by the metropolitan borough councils, who levy a general rate. The Act of 1894 directed that in the administrative county of London a uniform rate of 6d. in the on rateable value should be levied and the proceeds distributed among the boroughs according to population a first step in the direction of equalization of rates that needs to be carried further. Local Finance Years. Total Sum Assessed and Levied (Rates). Expended on Poor Relief. Total Expenditure. 1803 5,348,204 4,077,891 5,302,070 1812-1813 8,640,842 6,656,105 8,865,838 1822-1823 6,898,153 5,773,096 6,921,326 1833-1834 8,338,078 6,317,255 8,289,348 1843-1844 6,847,205 4,976,093 6,900,117 1892-1893 30,201,903 9,217,514 66,768,686 1902-1903 50,328,412 13,609,870 128,968,743 LOCAL GOVERNMENT IN (JENERAL Lor.al Finance 163 I 1 1891-1892. 1898-1899. 1904-1905. Raceipte. 1. Knuii sources other than Loans iufc 28,507,119 38,602,673 56,047,715 ( ;r the last half-century, and divided them into districts for ighway and public health purposes. By the Act of 1894 the jrmaneut Local Government Board for Scotland was set up in place of the Board of Supervision which had continued from year to year since the Poor Law Commission. It reformed the bodies st up for poor-law administration and reconstituted them as rish councils, and effected a considerable readjustment and simplification of areas. The recommendations of the Poor Law Commission, in Scotland as in England, are in favour of carrying further the process then be.mm. The need for co-ordination in education and the lack of popular interest in school board elections also indicate a move- ment in the same direction. CHAPTER IX THE RISING STANDARD OF COMFORT Reality of progress Increase in wealth General diffusion of wealth Working- class savings Rise in real wages Improvement in conditions of life Expenditure Amusements of rich and poor Holidays Religion ANY attempt to estimate the progress of the nation in the course of a century must, in the last resort, resolve itself into an examination of the changes undergone by the ordinary daily life of the average person, an evaluation of the conditions of existence of the normal household. To do this comparatively, over so long a series of years, is very difficult. Estimates of prosperity and progress are relative to a certain standard, and that standard varies from generation to generation. It has its effect upon what purport to be quite impartial descrip- tions of the facts of any given period. That there has been remarkable and steady progress since 1850 is hardly open to doubt. Many features of normal life as lived by the great majority of the people of England at the present day, and the condition of large masses of the population, whether from a moral or material point of view, afford ground for grave and legitimate dissatisfaction, and cause many to question the reality of the advance. At the same time, that dissatisfaction is connected with an awakening of the sense of social responsibility on the one hand, and, in part as its consequence, with an increased knowledge of the way of life of all classes upon the other, that may entitle it to be regarded to some extent as itself a symbol of progress. It represents the demand for a standard as applied to all that is, relatively, a high one. Conditions that might have been esteemed as admirable, even as improbable of realization, at the opening of the century, are now taken as matter of course. Evils that would not be tolerated now were regarded as inevitable then, or not noticed at all. Whether the net sum of happiness be greater or less in consequence is of course beyond the province 166 THE RISING STANDARD OF COMFORT 167 of this review to estimate; nor is it necessary here to pause and consider whether some of the tendencies at work in our own day, directed no doubt to the elevation of the standard, are likely really to achieve that end. The standard, it need hardly be remarked, depends upon moral and personal as well as physical and social requirements. Here it is germane merely to examine, so far as may be, what changes have actually taken place in the standard of comfort of the nation as a whole. Increase in Wealth. National wealth has, during the century, increased enormously. No exact or even approximate estimate can be given of the income of the country at the beginning of the century, but that it has been rapidly increasing is established. Porter, writing in 1847, says: "abundant proof is afforded that . . . the substantial wealth, the capital of the country, has kept pace with our modern progress in other respects." In 1867, Dudley Baxter estimated the national income at 814 millions. For 1875 it was calculated by Sir Kobert Giffen at 1200 millions and for 1885 at 1350 millions. In 1904, Mr. Bowley considered it very probable that the national income in the preceding year fell very little short of 2000 millions, and he further declared tw al Progress in Wealth and Trade, 1906) "our information, so far as it goes, suggests that very remarkable and stable progress has been made in those aspects of national well-being which are generally considered in measuring prosperity." In 1909 the Poor Law Commissioners said : " Wealth in this country seems to be increasing so fast, as compared with population, that we might have expected to find that by this time industrial poverty at least was disappearing." General Diffusion of Wealth. The increase, moreover, has not been confined to any one class or section of the population. All classes have benefited, though not all to an equal degree. There has, no doubt, been an increase, on the part of the very rich, of luxurious ami visible expenditure, noticeable especially in London, which is, however, the centre for the extravagance of the extravagant of all nationalities. But it is still true, as Sir Robert Gitfen said in 1S.S3: " The rich have become more numerous but not richer individually; the poor are, to some smaller extent, fewer; and who remain 'poor' are, individually, twice as well off on the average as they were fifty years ago. The poor have thus had almost all the benefit of the great material advance of the lifty years." The growth of small incomes, noted by Lord Goschen, is an important mark of prosperity. The gross income- i68 THE PROGRESS OF THE NATION tax assessment, which was over 600 millions in 1882, rose to over 1000 .millions in 1906. Measured by the produce of a penny tax, national income has increased 68 per cent, since 18701871 (in 1870-1871 a penny tax produced 1,592,000 ; in 1906-1907 2,667,000). As a matter of fact the increase is even greater than these figures testify, owing to the changes in the scale of abatement and exemption. The growth, not merely in income, but in the number of those who come within the purview of the income - tax collector, is testified by the increased number of claims for abatement in respect of incomes between 160 and 700 ; the increased number of assessments under Schedules D and E (profits from businesses, professions, employments, etc., and salaries of government, corporation and public officials), and the increase in Great Britain in the number of private dwelling-houses rented at 20 a year and upwards. A very large proportion of the total dividend remains in the hands of a comparatively small number of very large owners " one and a quarter million persons take 585,000,000" (Chiozza Money, Riches and Poverty) but " the preponderating factor in the total increase has been the growth of small incomes" (Times, May 23, 1910). Working-class Savings. The increase in the prosperity of the working classes, not included under income-tax schedules, can partly be estimated from their savings. Between 1850 and 1907 the deposits in post offices and saving banks rose from 29 millions to 209 millions, or from 1 Is. per head of population to 4 15s. Id. If government stock be included they have risen to 5 5s. 6d. a head. The same remarkable advance may be measured by the growth of the co-operative movement, or trade unions and friendly societies (cf. Tables I, II, and III). TABLE I. Post-Office Savings Bank 1850. 1860. 1870. 1880. 1890. 1900. 1907. Thousand Thousand Thousand Thousand Thousand Thousand Thousand . . . . . . . Amount of deposits at end of year In Post-Office Savings Banks . . . 1 15,099 33,745 67,635 135,550 157,500 In Trustee Savings Banks 29,381 41,258 37,959 43,976 43,650 51,456 52,154 Total . 28,931 41,258 53,058 77,721 111,285 187,006 209,654 Total per head of Popu- lation 110 188 1 13 11 2 4 11 2 19 5 4 10 11 4 15 1 Percentage of rate in 1850 100 137 162 214 283 433 453 THE RISING STANDARD OF COMFORT TABLE II. Friendly Societies 169 Number of Members. Amount of Funds. Amount of Funds per Member. 1877. 1905. 1877. 1905. 1877. 1905. On Unary friendly societies Branches of registered orders . Collecting friendly societies 1,287,670 1,528,216 2,439,988 3,226,672 2,673,246 7,884,307 5,211,052 7,752,050 1,172,863 18,056,640 23,888,491 8,469,767 B. d. 4 11 515 097 8. d. 5 11 11 8 18 9 1 1 6 TABLB III. Trade Unions Number of Unions. Number of Members. Annual Income. Balance of Funds at end of Year. 1872 .... 1890 .... 1906 .... 83 490 674 203,732 645,451 1,719,031 120,977 990,872 2,709,665 107,290 1,102,147 5,864,342 (From Public Health, and Social Conditions.) Rise in Real Wages. Sir Bobert Giffen made a comparison in 1883 with the wage-rates arrived at by Porter from which he deduced an enormous apparent rise in money wages, with a mean percentage of increase of over 70 per cent. This rise was accompanied by a reduction in the hours of labour, which he put at 20 per cent., and a fall in the price of wheat (accompanied by a steadying of that price) and other commodities. Eents had risen, but not in proportion, and though meat was dearer it hardly entered into the working-man's budget in 1880. And according to a Memorandum prepared for the Poor-Law Commissioners by the Board of Trade (1909), "The general results of records in several trades, covering some thirty years, and of comparative tits based upon the census of wages in 1886, are that, in all these groups of industries, allowing for trade cycles, a general tendency of wages to rise is perceptible through the last thirty .... The rise of nominal wages has been accompanied by such a fall in wholesale and retail prices as implies a rise of ' real ' wages, or wages as measured in commodities, considerably greater than the rise of money wa Labour has, moreover, tended to flow into tho better-paid I/O THE PROGRESS OF THE NATION industries. There has, for example, been a great diminution in the number of agricultural labourers, and a great increase in coal-miners. 1851. . 3,347,998 1901. 2,053,993 Mining Engineering, etc. . 372,481 . 504,968 906,541 1,435,835 Prices have fallen, and at the same time the amount consumed per head of various articles of diet has increased enormously (Table IV). TABLE IV. Quantities of the Principal Imported and Exdseable Articles retained for Home Consumption, per head of the Total Population of the United Kingdom Articles. 1840. 1881. 1907. Bacon and Hams (Ibs. ) o-oi 13-93 16-12 Butter (Ibs.) .... 1-05 6-36 10-48 Cheese (Ibs.) .... 0-92 5-77 5-89 Currants and Raisins (Ibs.) 1-45 4-34 4-87 Eggs (No.) .... 3-63 21-65 50-11 Potatoes (Ibs. ) . o-oi 12-85 20-69 Rice (Ibs.) 0-90 16-32 J9-58 \5'95(Meal and Flour) Cocoa (Ibs.) .... 0-08 0-31 1-00 Coffee (Ibs.) .... 1-08 0-89 0-66 Corn, Wheat, and Wheat Flour (Ibs.) 42-47 216-92 279-14 Sugar, raw (Ibs. ) 15-20 58-92 37-80 ,, refined (Ibs.) . nil. 8-44 49-94 Tea (Ibs.) 1-22 4-58 6-21 Tobacco (Ibs.) .... 0-86 1-41 2-03 Wine (gallons) .... 0-25 0-45 0-28 Spirits, imported and exciseable (gallons) .... 0-97 1-08 0-91 Beer (gallons) .... 27-58 (Statistical Abstract, 1908.) It must, however, be recollected, to quote once more from the Memorandum, that " the fall of prices does not benefit the various grades of wage-earners in direct ratio to their wages. Eent and certain other necessary elements of expenditure, which have risen in amount for the large majority of workers, play a relatively larger part in the budget of the lower grades of workers, reducing to that extent the gain from the general fall of prices. The poorest classes, whose retail purchases are made in very small quantities, also gain least from the lower prices of other commodities than housing and fuel." THE RISING STANDARD OF COMFORT 171 The rise in the standard of comfort is sufficiently evidenced from the table, which shows the great increase in the consumption of many articles that would have been esteemed luxuries at the beginning of the era. There are now, too, many new commodities in existence, and at low prices, that could not then have been bought at all. The range of variety has been indefinitely ex- tended. Meat has become an article of general consumption. Fruits are exposed for sale at cheap rates, in the barrows that liii' 1 the street sides in many of the poorest quarters, that would in earlier decades have been the luxury of the few. While rents have risen, housing accommodation is vastly improved, though capable still of vast improvement. Improved Conditions of Life. The increasing expenditure of government and of the local authorities (reflected in the rise of rates) has raised the standard of comfort in countless ways have benefited all classes, but particularly those within whose reach it has brought many utilities and amenities that they could not have provided for themselves. Better paving, drainage and lighting of the streets, the provision of public parks, libraries, recreation grounds, baths and washhouses may be mentioned as making accessible even to the very poor comforts that only the comparatively well-to-do could provide for themselves at the .ning of the century. Increased facilities for cheap travel, both for long and short distances, have immensely affected the standard of the middle and lower middle classes. Knowledge of all kinds has, moreover, been brought within their reach by the indirect effect of this upon the Press. Communication is now possible with any part of the world : the rich man can speak to America now and obtain a answer more rapidly (by means of the cablegram and the wireless tele- graph) than he could do to a place a few miles away in 1800. The telephone has done something similar for the poor man, and the imperial penny post for the very poorest. Sir Ifohert Gift'en observes in the essay from wluVh <;u<.; ihv.idy more than once 1< it is conceivable . . . while earning moiv ; aMr to spend it to more advanta-c. the working <-las:,s nii'Jit be no better oil' than formerly. Tln-ir may In- in individuals. \\ho do not ' how to spend." This question as to wi.ei.dir.:i'- may very well be asked with iv^ard not only to tht.- working class. There seems some reason to think that wasteful expenditure i/2 THE PROGRESS OF THE NATION on the part of the rich, expenditure mainly directed to display, is as great as it ever was, perhaps greater since modern life affords facilities for display on a more extensive scale than formerly. The evils attendant on the rapid change of fashion, with the irregularity of employment that they bring in their train, certainly show no sign of lessening. On the other hand, those who live viciously, in this sense, and spend vast sums on exotic banquets, entertainments, etc., are comparatively the very few. There is an increasing class of wealthy people who spend their money in a rational and not excessively luxurious way, who get a great deal of enjoyment out of the motor-car, the country house (often on quite a moderate scale), and foreign travel, and invest heavily in the education of their children. Amusements. At the same time there is both at the top and bottom of the scale a decided increase in the proportion spent on amusement, and it is estimated that more than five millions annually will not cover the losses incurred by those who bet. Betting and gambling indeed are no doubt on the increase, especi- ally among the poor. " The more money there is to spend, the more betting is done" {Life and Labour of the People, final vol., p. 57). Thousands bet on horse races who have never seen a horse, on football who never see a match. " Betting," said a police inspector, " is increasing out of all proportion to other forms of vice." Drink, too, is responsible for a vast amount of wasted and often positively harmful expenditure. " Gambling, though it wastes the resources of its victims, does not lead to such physical and moral degeneration as drink " (Poor Law Commission, p. 221). Though drunkenness is less frequent, there is more drinking, at any rate among the poor. In the upper classes opinion has in this respect undergone a complete transformation. At the beginning of the century " what would now be called drinking to excess was ... so much the custom in every circle, that it was as uncommon for any party to separate while any member of it remained sober as it is now for any one in such a party to degrade himself through intoxication. ... In those days it rarely happened that men holding the rank and otherwise bearing the character of gentlemen, rose from the dinner-table in a condition to enter the society of females" (Porter). At the universities and elsewhere drunkenness was looked upon as a venial offence, and all that was demanded was " to carry your drink like a gentleman." The increase of drinking among the working classes is, says Mr. Charles Booth, " to be laid THE RISING STANDARD OF COMFORT 173 mainly to the account of the female sex." Women feel no shame in entering a public-house, even quite respectably-dressed women. The people drink enough to keep them poor. The fact that they do so is no doubt largely connected with the monotony of their wink, the ugliness and want of interest of their lives, and the absence of other resources. But the fact remains. " The improvement visible in the habits of the working people of England as respects intoxication is accompanied, as might be expected, by an abatement of coarseness in their general deportment and by a weaning from some of the pursuits which, having been part of the favourite pastimes of their own immediate predecessors, are now looked upon as evidences of a brutal temper " (Porter). Prize-fighting has disappeared. Cock-fighting and rat-hunting are no longer the sports of gentlemen. The coarse language common even in good society at the end of the eighteenth century was much ameliorated in 1849 when Porter wrote. Conversation has become further refined, though it has doubtless at the same time lost much of its elegance by the growing use of slang expressions and phrases, often adopted from the lower classes. In the same way the direct grossness of the eighteenth-century comedy has disappeared from the stage, where its place has, however, to some extent been taken by the double entendre of the adapted French comedy. The decreasing vulgarity of the places of amusement frequented by the working classes was ascribed by Francis Place, in his evidence before a Select Committee in 1835, to information. " You will find," he said, " as the working people get more informa- tion they will get better habits. . . . Manners descend from class to class." This applies forcibly to the music hall of to-day ; it is less vulgar than even twenty years ago. Holidays. The rise of the standard of comfort is seen in nothing more clearly than in the increased demand for holidays and amusements common to all classes. Every class takes more holidays now than it did fifty or a hundred years ago. Every class demands more amusement. The discomfort of home life in cramped surroundings, which is said to account for early and improvident marriages among the poor, makes it necessary that their hours of freedom should, if they are not to be spent in the public-house, be provided with rational entertainment. The open- ing of picture galleries and museums, and the provision of cheap concerts on Sunday afternoons, is a step in this direction. Sunday is increasingly a day of recreation. There can be little question that the sway of religion over the people as a whole 174 THE PROGRESS OF THE NATION has decreased since the beginning of the century. Mr. Booth says of London, " the great masses of the people remain apart from all forms of religious communion." The rich go out in their motors, the poor on their bicycles. Religion. Religion has lost some of its hold. What is taking its place ? It is difficult to say. In the standard of comfort thus comprised ideal factors seem to play a very small part. The increased diffusion of education must have some effect ; reading is much more widespread, and the cheap editions of the classics command enormous sales the best is accessible to those who want it. Manners have softened ; morals have no doubt in many ways improved. There is a decline in the more brutal forms of crime and vice. The broadening of the franchise has brought social questions more and more into politics, and has given the working classes not only power, but also an increasing sense of responsibility. Even the idlest of the idle rich are more conscious than they used to be of the claims of the poor. There is more humanity, more kindness to children and animals, more sympathy with poverty. CHAPTER X BRITISH AGRICULTURE, 1800-1850 ' Importations of wheat, 1801-1849 Comparative smallness of its amount Numbers fed with wheat of home and of foreign growth Increased productive of Great Britain Means whereby this increase was brought about Deficiency of ii-al information connected with agriculture in England Improvements in ud Inclosure Bills and average prices of wheat since 1760 Corn Law of 1815 Conflicting testimony as to agricultural distress given to the Committee in 1833 Increased rents since 1790 Adaptation of the steam-engine to the draining of fens Land brought under cultivation since 1760 Proportion of cultivated land to thf population at different periods during the nineteenth century Probability of population outstripping the productive powers of the soil Supposed influence upon this question of the extensive construction of railroads Estimate of the number of horses, the employment of which may by that means be rendered unnecessary IT has been shown in a previous chapter how rapidly the population of the United Kingdom has increased after the beginning of the nineteenth century. During the forty years that intervened between the census of 1801 and that of 1841, that increase amounted to 10,700,000 souls, and in 1850 must have reached 13,000,000, a number probably equal to the entire population of Great Britain in 1811. This increase of inhabitants would be sufficient, as already remarked, to contradict the idea of any great inadequacy in the quantity of food, if the observation and experience of every one did not enable him otherwise to disprove such a position ; and as it is equally impossible to believe that the increasing wants of the people have been in any material degree met by supplies from without, the conviction is irresistibly forced upon us, that a most important increase in the amount of agricultural products must have taken place within the kingdom. The following short. statement of the quantity of wheat and wheat flour that was imported for consumption on an average in the first half of the nineteenth century will suffice to show how insignificant, when 1 This chapter is con-lenst.! l'r..in l'..rter's Progreu of thf Nation. i;6 THE PROGRESS OF THE NATION compared with the wants of the community, have been the supplies which we drew from foreign countries : Average Annual Import. 1801-1810 ..... 600,946 quarters 1811-1820 ..... 458,578 1821-1830 ... . 534,992 1831-1840 ..... 907,638 1841-1849 . . . 2,588,706 It appears from this statement, that in the ten years from 1801 to 1810 the average annual import of wheat into the kingdom amounted to 600,946 quarters; and as the mean number of the population during that period was 17,442,911 souls, this quantity would afford a very small fraction above a peck for the annual consumption of each person. The average importation in the ten years between 1811 and 1820 was 458,578 quarters; and as the mean number of the population had in that period advanced to 19,870,589, that number of quarters would afford each person one gallon and a half towards the year's consumption. In the third period, between 1821 and 1830, the average annual importa- tion advanced to 534,992 quarters; but the population had advanced in an equal proportion, so that the annual share of each person in the foreign supply remained the same (one gallon and a half) as last stated. The average amount of importation in the ten years from 1831 to 1840 rose to 907,638 quarters; and the mean number of consumers in this period having been 25,601,119, the importations, if fairly divided among them, would have given annually to each about 1\ gallons. In each of the three periods of ten years into which the foregoing statement has been divided, up to 1830, there were two years of large importation arising from deficient harvests, and in the last decennary period there occurred four years of this character. If those years were excluded from the calculation, the average importations would of course be materially lessened. During the last nine years of the series, namely, from 1841 to 1849, the average quantity of foreign and colonial wheat and wheat flour taken for home use advanced to 2,588,706 quarters per annum, which quantity, divided equally among the increased number of consumers, would afford nearly 6 gallons per annum for each person. It will be remembered that, in addition to several years of somewhat deficient grain harvests, we were, during the period included in these nine years, visited by one of the severest calamities BRITISH AGRICULTURE, 1800-1850 177 arising from the influence of the seasons which it has been our misfortune ever to encounter. The famine caused in Ireland by the destruction of the potato crop in 1847 will ever remain as a dark page in our history. During its continuance food of various kinds was bought in every market open to us, the laws regulating its importation were suspended, and our navigation law was placed in partial abeyance. It must be clear that under such circum- stances it would be idle to attempt to draw a fair comparison between this and other periods. The foregoing calculations show in how little we were dependent upon foreigners, in ordinary seasons, for our staple food. It is not, however, with this view that thoe calculations are brought forward, but rather to prove how exceedingly great the increase of agricul- tural production must have been to have thus effectively kept in a state of independence a population which has increased with so great a degree of rapidity. To show this fact, the one article of wheat has been selected, because it is that which is the most generally consumed in England ; but the position advanced would be found to hold equally good were we to go through the whole list of the consumable products of the earth. The supply of meat, during the years comprised in the inquiry, certainly kept pace with the growth of population ; and, as regards this food, our home agriculturists, during almost the whole period, enjoyed a strict monopoly. The consumption of wheat in this country has been variously estimated by different writers. Some have supposed the average quantity used by each inhabitant to be 8 bushels in the year, while others have assumed it to be only 6 bushels. Using the foregoing figures, and applying them to each of these quantities, we may find in what degree the soil has been rendered increasingly productive. In the closing years of the last century there occurred a succession of deficient harvests, which caused a considerable importation of corn into this country ; but previous to that time the production of wheat had been about adequate, taking one year with another, for the feeding of the inhabitants. The mean number of the population in Great Britain between 1801 and 1810 was 11,769,725, and the average yearly importa- tions of wheat and wheat flour during those years having been Gmi,!UG <|u;irters, the home-grown supply sufficed for the food of 1 1,168,779 persons, at the rate of 8 bushels per annum, or of 10,968,464, at 6 bushels per annum. During the next ten years the mean population was 13,494,217, and the importations 1 78 THE PROGRESS OF THE NATION averaged 458,478 quarters yearly. The home supply, consequently, sufficed for 13,035,639 persons at the rate of 8 bushels, or of 12,882,780 at the rate of 6 bushels per head. There was, consequently, a greater home produce, equal to the food of 1,866,860, or of 1,914,316 persons, according as the average consumption is estimated at 8 or at 6 bushels yearly. Between 1821 and 1830 the mean number living in Great Britain was 15,465,474, and the average yearly importation of wheat and flour were 534,992 quarters. The home-grown corn sufficed, therefore, for 14,930,482 persons, at 8 bushels, or for 14,752,151 persons, at 6 bushels, and the productive power of the land was increased, so as to feed 1,894,843 more persons, at 8 bushels, or 1,869,371 persons, at 6 bushels. During the next period of ten years, ending with 1840, the mean population was 17,535,826, and the average yearly importations were equal to the consumption of 907,638, or of 1,210,184 persons, calculated at 8 or at 6 bushels each. Our home produce, therefore, sufficed for either 16,628,188, or for 16,325,642 persons; and the increased number fed from our own soil was 1,697,706 or 1,573,491 persons. Between 1841 and 1849 the mean number living was probably about 19,592,824, and the average importations increased to 2,588,706 quarters. Our home-grown corn, therefore, fed 17,004,118 persons, at 8 bushels, or 16,141,210, at 6 bushels per head; and the additional numbers so fed were 375,930 at 8 bushels, but 184,426 fewer if the consumption be 6 bushels. Great as we have seen the increase to have been, since the be- ginning of the nineteenth century, in the production of agricultural products in Great Britain, there is reason to believe that a far more profitable result would have followed from the amount of skill and enterprise, and the application of capital to which that increase must be ascribed, but for the restrictions that have been placed, in the supposed interests of our agriculturists, upon the importation of articles of food from other countries. By means of those restrictions, and the consequent enhancement of the cost of living, not only has a limit been placed to the employment of labour in other branches of industry, through the lessening of the fund out of which that labour would have been rewarded, but the land itself has been injuriously restricted in its application ; so that while the energies that have been bestowed upon its cultivation have been chiefly directed towards extending the growth of certain descriptions of food, our fanners have neglected the production of other articles for which a demand would then have BRITISH AGRICULTURE, 180O-1850 179 arisen, which would in a greater degree have given employment to labour, have enabled the cultivators to pay a higher rent for the use of the land, and in various ways would have added to the sum of the nation's prosperity. It would lead to a digression which might be considered out of place in these pages, if any attempt were made to examine the question of agricultural distress, as to which so much has been said year after year, during a very large portion of the time in which the extension of tillage and the increase of pro- duction, here described, have been going forward ; but we may be allowed to remark, that the parties who, during all that time, embarked their capitals in this branch of industry, must have been actuated by motives altogether different from those which influence the rest of mankind, if they were, year after year, content to accelerate their own ruin by increasing the extent of their operations. While the total number of families in Great Britain increased, between 1811 and 1831, from 2,544,215 to 3,414,175, or at the rate of 34 per cent., the number of families employed in agriculture increased only from 895,998 to 961,134, or at the rate of 7^ per cent. The increased production which is thus seen to have been brought about by a comparatively small addition of labour, has in a great degree resulted from the employment of capital in improving the soil, in draining and manuring, 1 in throwing down a great part of the fences with which our forefathers were accustomed to divide their farms into small patches ; through the use of improved implements of husbandry, and, above alf, through the employment of a better 1 The use of crushed bones as a manure was first introduced in 1800, and the result has been to raise the value of such lands most materially. The increasing demand causes large quantities of bones to be imported from foreign, and sometimes distant, countries. The numerous herds of cattle that roam in a state of nature over the plains of South America, used formerly to be slaughtered for the sake of their hides, tallow, and horns, which were brought to EurojH?. Their bones were left to whiten on the plains, but they are now carefully collected together, and ships are regularly dispatched to be loaded with them for the use of our farmers. Since 1840 an extensive trade has been carried on in an article called Guano the deposits of birds on certain islands in the Pacific and off the coast of Africa ; which substance has been fonnd to possess most important fertilizing properties. The number of tons of this fertilizer imported between 1841-1849 were: Year. Tons. | Year. Tons. 1841 . . . 2,881 1846 . . . 89,203 1842 . 20,398 1847 . . . 82,392 1843 . . 3,002 1848 . . . 71,111 1844 . . . 104,251 1849 . . . 83,438 1845 . . . 283,300 i8o THE PROGRESS OF THE NATION system of cropping by rotation. Nor should we omit to notice, among the most effective causes of this improved condition of agriculture, the help that has been borrowed from men of science. In particular the researches of Davy, undertaken at the instance of the Board of Agriculture, about the beginning of the nineteenth century, and the more recent investigations of Liebeg, may be mentioned as having produced the happiest results, by showing the various resources we can command, through the application of chemical knowledge, for remedying the defects and improving the natural capabilities of different soils. It may be added, that the great agricultural improvements since the peace, while they negative the notion of an uninterrupted series of losses to cultivators, are, in a great degree, the consequence of the stimulus to exertion supplied by low prices. It is much to be regretted that in this country, rich as we are in the possession of facts connected with many branches of social economy, we are almost wholly uninformed with regard to the statistics of agriculture. The knowledge we have upon that most important subject, the quantity of land in cultivation within the kingdom, is entirely due to the industry of an individual whose estimates have never been either confirmed or questioned. What proportion of the cultivated land is applied to the production of any one article of food, it has never been attempted to ascertain. We know every rood of ground that is employed for the cultivation of hops, because of the direct financial interest which the govern- ment has in ascertaining the fact ; but it does not appear to be sufficiently understood how the national interest can be concerned in any kind of knowledge that does not yield money to the exchequer. An endeavour to obtain a part of this knowledge was made about the year 1810 in Scotland, by a spirited individual, the late Sir John Sinclair, by whom the clergy of that part of the island were induced to prepare those accounts of their respective parishes, the collection of which is well known under the name of the Statistical Account of Scotland. The property of this work was generously made over by Sir John to the society established in Scotland for the benefit of the sons and daughters of the clergy ; and the managers of that society have since produced a new Statistical Account of Scotland, which interesting work brings to light many of the improvements which have been so generally made throughout the country. These improve- ments resulted in a general bettering of the condition of the BRITISH AGRICULTURE, 1800-ia5() 181 farmers and labourers, an increase in tho amount of land under cultivation, and an even greater increase in the yield per acre. The size of the farms has tended to increase, more capital has put into them, and they have been cultivated with greater intelligence. A few extracts have been taken at random from the work, and are here inserted to illustrate the various forms, as well as the degree, in which those improvements have shown hemselves. Jttlburgh, Roxburghshire. " Since the period when the last statistical account written, the state of the parish has been much improved ; farms, which were entirely pastoral, now bear luxuriant crops, the fields have been neatly inclosed with hedges, waste ground has been planted, the style of dwelling- houses is now vastly superior, the means of communication have been greatly enlarged, the population has been nearly doubled, and all classes seem to enjoy a large share of the comforts of civilized society." Melrose, Roxburghshire. " The chief circumstance in which the present differs from the past state of the parish, is the general enlargement of the farms. Except in the case of a carrier or miller, who rents a few acres to furnish fodder for his horses, a small farm is nearly unknown. The displacing of the old small tenants was at first viewed with deep regret ; but the introduction of a better and more spirited style of agriculture which immediately followed, the rapid improvement of the country, which in a limited period has raised the rental of this parish from 4000 nearly to 20,000 a year, besides the improved condition of the agricultural labourers, seem to show that it was a change for the better. The land is divided into a limited number of great farms, and the tenants, men of capital and intelligence, are enabled to give the best effect to the virtues of the soil, and the great body of the people live quietly under them as farm servants and hired labourers, having no care but to do their work and receive their wages." A consideration of the Inclosure Bills passed by Parliament, and of the average prices of wheat in England, will give a tolerably correct idea of the progress of agriculture in that part of the kingdom, between 1760 and 1849. Years. Number of Inclosure Acts. Average of Annual Prices of Wheat. s. d. 1760-1769 385 45 10 1770-1779 660 45 1780-1789 246 45 9 1790-1799 469 55 11 1800-1809 847 82 2 1810-1819 853 88 8 1820-1829 -'0:1 58 5 1830-1839 136 56 9 1840-1849 66 55 11 1 82 THE PROGRESS OF THE NATION In the ten years from 1760 to 1769, when the average number of inhabitants of England and Wales was 6,850,000 souls, the quantity of wheat produced was more than sufficient for home use by 1,384,561 quarters an inconsiderable quantity, and so near to the then wants of the people, that the deficient harvests of 1767 and 1768 occasioned the importation of the comparatively large quantity of 834,669 quarters. There were no means employed during that period for ascertaining the prices of grain with the correctness that has since been attained, and those given in the table cannot be received with confidence. If the Eton price then bore the same proportion it has since borne to the average price as computed for advertisement in the London Gazette, which is about 10s. per quarter below that given in the Eton records, the average price of wheat must have been then about 37s. per quarter. At this price agriculture appears to have been considerably stimulated, the number of Inclosure Bills passed by the Legislature having been 385. 1 This stimulus was continued through the next decennary period, when the the number of Inclosure Bills was increased to 660. This second period comprised five years of export and five years of import, the imports preponderating in quantity, but not considerably. The mean number of the population had in the meantime advanced to 7,520,000 souls, and the average price of wheat, as ascertained for insertion in the London Gazette, was 45s. per quarter. In the next period, namely, from 1780 to 1789, the mean number of the inhabitants had reached 8,170,000 souls, but the supply of wheat was brought more nearly to a level with the demand. Owing to the fluctuations of seasons, six of the ten years were years of export, and four were years of importation, but the excess of the quantity brought in over that sent out was no more than 233,502 quarters. The average price for the whole number of ten years was 45s. 9d., having once been as high as 52s. 8d. In two of the exporting years, namely, 1785 and 1789, the average prices for the year were above 50s. per quarter. The number of Inclosure Bills fell off during this period to 246. In the next period of ten years, from 1790 to 1799, England 1 In the year 1689 an Act was passed allowing a bounty of five shillings per quarter upon all British-grown wheat exported when the home price did not exceed 48s. per quarter. This Act was modified in 1773, so that the bounty was not payable after the average price exceeded 44s. per quarter, and in 1815 the bounty was repealed. In point of fact, no bounty could have been claimed in any year after 1792, when the average price for the whole year was only 41s. 9d. IWITISir AGRICULTURE, 1800-1850 183 d to be an exporting country for wheat. In 1792 the ice fell to 41s. 9d., and a considerable quantity was shipped road ; but this w;us the last occasion on which our farmers (Hind relief in foreign markets for an over-abundant stock of grain. Th.- war of the I'rench Revolution immediately followed; and in 1795 a series of deficient harvests began, which forced up the prices of agricultural produce, and caused a great additional umber of Inclosure Bills to be passed. The deficiency was aggravated to a dearth in 1800 and 1801 ; price of wheat was driven up to the then unprecedented eight of 115s. lid. per quarter; and a considerable breadth of land was additionally brought under the plough, the number of Ini -Insure Dills passed during the ten years from 1800 to 1809 :ng t<> S47. A trifling export of wheat in 1808, during which year the average price of that grain was 78s. lid. per quarter, was not the consequence of any commercial demand from other countries, but was occasioned by military operations in the Peninsula. In 1810, the first year of the next decennary period, we experienced the effects of another deficient harvest, and imported a million and a half quarters of wheat. The average price of wheat in 1810 was 103s. 3d. per quarter; but this rate, owing to the then depreciated state of our currency, was not equal to more than about 90s. if paid in gold. In 1812 the price advanced to 122s., but the depreciation of the currency was then still greater ; and the real price was not beyond 5 per quarter a price sufficiently high, however, to cause the application of much additional capital to agricultural pursuits, so that in this year 133 Inclosure Bills were passed, being the largest number on record in any one year. The impulse thus given continued to operate for some time. It will be seen by inspection of the table, that 853 Inclosure Bills received the royal assent in the ten years between 1810 and 1820; but the increased production thus brought about, together with the much diminished cost of transport from foreign countries, caused so great a reaction in the markets for grain, that the average price of wheat for the year 1814 fell to a rate which, measured by the standard price of gold, was not more than 54s. per quarter. In this state of things the cry of distress among the owners and occupiers of land became exceedingly urgent, and the Houses of Parliament so far sympathi/ed with them as to pass an Act in 1815 by which the monopoly of the home market was secured to the British grower of corn until the average price of wheat should 1 84 THE PROGRESS OF THE NATION reach 80s. per quarter, and that of other grain should attain a proportionate elevation. For some time but little opportunity was given for judging of the efficacy of this law. A deficient harvest in 1816 caused prices to rise so high as to render the Act inoperative. In 1817 the harvest was again bad ; during that year and 1818 more than 2,500,000 quarters of wheat were imported, and the prices, although not nominally so high as they had been in previous years, were extremely burdensome to the people, owing to the operation of the restoration of the currency, which was then in progress. The previous occasions of deficient harvests which have been noticed were always followed by the application of additional capital for bringing waste or common-field lands into arable cultivation ; and it may in some measure be owing to the circumstance of those previous inclosures having greatly reduced the quantity of waste land applicable to this purpose, that the number of Inclosure Bills has since been materially diminished. The number of Inclosure Bills passed in the ten years between 1820 and 1830 was only 205, not one-fourth part of the number passed in the preceding period of the like duration a disproportion which is the more remarkable from these circumstances : that the increase of population, which between 1811 and 1821 amounted to 2,645,738, was 3,113,261 between 1821 and 1831 ; and that the foreign supply during the first of these intervals was nearly double that obtained in the latter period. The disproportion between the average prices experienced in the two divisions of time was not so great in reality as in appearance, owing to the depreciation of the currency already noticed ; but still when full allowance has been made for this consideration, it will be found that the fall of price was nearly 25 per cent. The periods of ten years chosen for making the comparison are sufficiently long for avoiding the objection that the seasons were less genial in the one case than in the other; and it would be impossible even without other evidence of the fact, to arrive at any other conclusion than that a larger amount of produce has been continually drawn from a given portion of ground than was obtained in general at the beginning of the century. Between 1830 and 1844, a period of fifteen years, only 202 Inclosure Bills were passed, being on the average nearly 30 per cent, fewer than in the preceding ten years, and only about one-sixth of the yearly number passed between 1810 and 1820. In the me BRITISH AGRICULTURE, 1800-1850 185 meanwhile, the population has advanced with accelerated rapidity, while the importations of foreign wheat have kept pace with that nice. The Select Committee of the House of Commons, which sat in 1813 to inquire into the state of the corn trade, stated in their Report, that through the extension of, and improvements in, cultivation, the agricultural produce of the kingdom had been in- creased one-fourth during the ten years preceding the time of their inquiry. Earl Fitzwilliam, whose acquaintance with the subject of agriculture few persons will question, has expressed unequivocally his belief that the land has of late years been made, by means of better farming, to yield an increased quantity of produce. The following passage, in which this opinion is given, occurs in his ul Address to the Landowners of England on the Corn Laws, published in April, 1835 : "It is somewhere about twenty years since we began to hear prophetic annunciations of this approaching abandonment of the soil. That, in the years which intervened between 1810 and the peace, wheat was extracted by a sort of hot-bed cultivation from soils whose natural sterility has, under the diminished pressure of necessity, and the influence of more genial seasons, rescued them from the plough, I entertain not a doubt ; but I must confess that I have watched in vain for any extensive fulfilment of the prophesy. On the contrary, I am satisfied that the breadth of land under the plough (taking that as the criterion, though it is none, and I only take it in deference to those with whom I am arguing) is greater than it was in 1814, and that the produce of equal surfaces of ploughed land has increased in a ttill greater ratio." This opinion was decidedly contradicted by the witnesses examined before a Committee of the House of Commons in 1833, many of whom averred that owing to a deficient tipplication of capital the productivity of land had diminished. Such a statement could, at most, only be true of certain " cold clay lands " and was certainly not true of land in general. On the contrary, during the last half -century a great revolution has taken place in the manage- ment of land. By proper attention to the rotation of crops, and by the application of capital to lighter descriptions of soil, those soils have been brought to a state which enables the farmer to draw from them a better return than would follow the application of the same amount of labour to the old wheat landa According to the evidence given before the Committee of the House of Commons, almost the only grain produced in the fens of Cambridgeshire consisted of oats. Since then, by draining and manuring, the capability of the soil has been so changed that these fens now 1 86 THE PROGRESS OF THE NATION produce some of the finest wheat that is grown in England ; and this more costly grain now constitutes the main dependence of the farmers in a district where, fourteen years ago, its production was scarcely attempted. In spite of the fact that the Committee of the House of Commons was appointed in 1833 as a concession to the agri- culturalists and those interested in maintaining a protective system, the Report abounds with evidence of increased prosperity. Every- where, the condition of agricultural labourers is stated to be visibly amended ; while towns in agricultural districts, which are dependent upon the farming interests, had uniformly improved in extent, and in every other circumstance which indicates prosperity. Nor had the situation of the landowner been less materially improved, so far at least as his condition depended upon the rent he received for his land. With scarcely any exception, the revenue drawn in the form of rent, from the ownership of the soil, has been at least doubled in every part of Great Britain since 1790. In the county of Essex, farms could be pointed out which were let just before the war of the French Revolution at less than 10s. per acre, and which rose rapidly during the progress of that contest, until, in 1812, the rent paid for them was from 45s. to 50s. per acre. This advance has not, it is true, been maintained since the return of peace : in 1818 the rent was reduced to 35s., and at the present time is only 20s. per acre, which, however, is still more than double that which was paid in 1790. In Berkshire and Wiltshire there are farms which in 1790 were let at 14s. per acre, and which in 1810 produced to the landlord a rent of 70s., being a five-fold advance. These farms were let in 1820 at 50s., and now (1850) pay 30s. per acre, being 114 per cent, advance upon the rent paid in 1790. In Staffordshire there are several farms on one estate which were let in 1790 at 8s. per acre, and which having in the dearest time advanced to 35s., have since been lowered to 20s., an advance, after all, of 150 per cent, within the half-century. The rents here mentioned as being those for which the farms are now let, are not nominal rates from which abatements are periodically made by the landlord, but are regularly paid, notwithstanding the depressed prices at which some kinds of agricultural produce have been sold. In Norfolk, Suffolk, and Warwickshire, the same, or nearly the same, rise has been experienced ; and it is more than probable that it has been general throughout the kingdom. During the same period the prices of most of the articles which constitute the landlord's expenditure have fallen materially ; and if his condition BRITISH AGRICULTURE, 1800-1850 187 be not improved in a corresponding decree, that circumstance must from improvidence or miscalculation, or habits of expensive living beyond what would be warranted by the doubling of income which he has experienced and is still enjoying. Amm;_r the agents employed for the improvement of agriculture re have now to mention the steam-engine. The fens in Cambridge- lire, Lincolnshire, and other eastern counties in which the low lands lown as the Bedford Level occur, were formerly very imperfectly I from their surplus water by means of windmills, and to a jnsiderable extent they are so still. Where this is the case, the inner has sometimes to witness the frustration of all his hopes* for year, almost at the very period of their expected accomplish- icnt. It frequently happens, that when rain falls in large quantities near the time of harvest, there is not a breath of wind move the sails of his mill, and the field in which the yellow lin was waving is speedily converted into a lake. Some of the ind thus circumstanced is among the most fertile in the kingdom, insisting of a bed of decomposed vegetable matter 30 feet in jpth, and yielding crops of from four to five quarters of wheat acre. By the substitution of steam-power for the uncertain ancy of wind, the crop is now secured from the disaster we have icntioned. The expenditure of a few bushels of coals places it at times in the farmer's power to drain his fields of all superfluous loisture, at a comparatively inconsiderable cost. It has been found it an engine of the power of ten horses is sufficient for draining tOOO acres of land, and that on the average of years this work may performed by setting the engine in motion for periods amounting, the aggregate, to 20 days of 12 hours each, or 240 hours in all. sveral engines have been erected for this purpose within the last iree or four years, some of them having the power of 60 or 70 >rees ; each of these large engines is employed in draining from 1000 to 7000 acres of land. The cost of the first establishment these engines is stated to be 1 per acre, and the annual expense jping them at work 2s. Gd. per acre. This plan is found to briii;_' with it the further advantage, that, in the event of long- t'Mitiuued drought, the farmer can, without apprehension, admit the water required for his cattle and for the purpose of irrigation, secure in t! s lie possesses of regulating the degree of moisture, if the drought, as is frequently the case, should be followed by an excess of rain. It is not possible to state the amount of land which has been brought into cultivation under the Inclosure Acts of which mention i88 THE PROGRESS OF THE NATION has been made. In a Report drawn up by a Committee of the House of Commons, which sat in 1797 to inquire into the state of the waste lands, an estimate is given of the number of acres which had been comprised in the Inclosure Bills carried into execution between 1710, when the first Inclosure Bill was passed in England, and the time of the inquiry. If the estimate of this Committee be taken as the basis of a further calculation, it will be found that the whole number of acres brought into cultivation from the beginning of the reign of George in to the end of the year 1849 has been 7,350,577: From 1760-1769. 1770-1779. 1780-1789. 1790-1799. 1800-1809. Total Acres. 704,550 1,207,800 450,180 858,270 1,550,010 From 1810-1819 . 1820-1829. 1830-1839. 1840-1844. ,, 1845-1849. . 7, 350, 577 acres. Acres. 1,560,990 375,150 248,880 120,780 273,967 The proportion brought into use since the commencement of the nineteenth century has, according to this estimate, been 4,129,777 acres, nearly four-fifths of which were so appropriated in the first twenty years. No accurate statement can be made as to the amount of uncultivated land which may be expected to yield crops in the future. Evidence, however, was given by Mr. William Couling before the Select Committee of the House of Commons in 1827, as to the amount of land in the United Kingdom, classified in three divisions as cultivated, uncultivated but improvable, and unprofitable wastes. Mr. Couling, who was a civil engineer and surveyor, made careful inquiries, as a result of which he made the following estimate : Cultivated. Uncultivated. Waste. Total. England .... 25,632,000 3,454,000 3,256,000 32,342,400 Wales .... 3,117,000 530,000 1,105,000 4,752,000 Scotland .... 5,265,000 5,950,000 8,524,000 19,738,930 Ireland .... 12,125,000 4,900,000 2,417,000 19,441,944 Mr. Couling made a further division of the cultivated land into arable and pasture, according to which there were in the United Kingdom 19,135,990 acres of arable and gardens and 27,386,980 acres of meadows, pastures, and marshes. How far the improvable land which has not yet been brought under cultivation will BRITISH AGRICULTURE, 1800-1850 189 ultimately be able to provide for the needs of an increasing popula- tion will to a large extent depend on future improvements in lethods of production. It has been affirmed, that in Wales the id does not produce half of what it is capable of producing ; and it if all England were as well cultivated as Northumberland id Lincoln, it would produce more than double the quantity that now obtained. We have seen that out of 236,343 males, 20 rears of age, who were occupiers of land in England in 1831, the proportion of 94,883 employed no labourers, while the ;maining number of occupiers (141,460) employed among them ly 744,407, being in proportion of 5 labourers to each farmer. The distinction drawn in 1831 between the occupiers of land ?ho do and those who do not employ labourers was not made at ither previous census, so that we have no means of judging by ich an indication of the progress of agricultural improvement ; but is well known that the tendency of late years at least in igland and Scotland has been to enlarge the size of farms, and place them under the charge of men possessed of capital, who ive enjoyed a degree of instruction beyond that which fell to the )t of farmers in those days, the departure of which is deplored by ic poet, " When every rood of ground maintain'd its man." By the employment of means such as have been indicated, there be no doubt that for a much longer period than twenty years, the )il of these islands will continue to yield the largest proportion of le food of the inhabitants ; and when at length the increase of )pulation shall have passed the utmost limit of production, there be no reason to doubt that we shall still obtain, in full ifficiency, the food that we shall require. It has been seen that the meadows and pastures of the United gdom amount to 27,000,000 of acres, or about three-fifths of ic land hitherto brought under cultivation. The whole of this icadow and pasture land, with the exception of that part required for the production of fodder and pasturage for horses used for pleasure or for trading purposes, is used equally with arable land for the production of human food. A very general opinion now prevails, that by means of the axtension of railroads throughout the country, a large proportion of the pasture land here spoken of, as well us that important portion )f the arable laud which at present is employed in raising grain for lorses, will be rendered more directly available than at present for 190 THE PROGRESS OF THE NATION the service of man. It is said that the successful establishment of the railroad between Liverpool and Manchester, a distance of little more than 30 miles, has had the effect of dismissing from that particular employment 1000 horses. The great extent and peculiar nature of the traffic between the two towns here mentioned will not justify the expectation of a similar saving through the establishment, hi other quarters, of railroads of the like extent ; but the saving from this source might certainly be productive of some effect, in placing at a somewhat greater distance, than would other- wise be the case, the time when the United Kingdom will cease to produce the principal part of the food of its inhabitants. In a Report presented by a Committee appointed to inquire into the subject of railroads, it is gravely stated that the effect of con- structing railroads between the principal towns of the kingdom would be to render unnecessary no fewer than a million of horses. 1 A very slight examination of the documents bearing upon this question, within their reach, would have sufficed to preserve the Committee from hazarding so extravagant an assertion. The extent of turnpike-roads in Great Britain, as they existed in 1829, amounted to 24,541 miles; and if the whole of these roads were converted into railroads, and the traffic upon every part of them were fully equal to that already mentioned as the estimate for the Liverpool and Manchester line, the number of horses that would by such means be rendered superfluous would amount to only 785,312. It would be greatly beyond the mark to estimate the saving at one-fourth of this number, or less than one-fifth of the million stated in the Committee's Report. But much more direct means of testing the accuracy of the Committee's estimate were at hand, furnished by detailed returns made from the Tax Office of the number of horses in respect of which assessed duties were charged in 1832, and which, including horses used in trade and that description of farm horses not wholly used in husbandry, upon which the duty is still retained (124,076), amounted to no more than 340,678. However much the railroad system may be ex- tended, it is certain that a very large proportion of these animals must still be kept. Nearly all those employed for pleasure, and for the internal trade of towns, as well as the whole of those used on farms, would be continued. 1 In many cases where railroads have been opened, it has been found that, although the use of horses has been discontinued upon the direct line, the increased traffic has made it necessary to employ, for bringing travellers to the railroad, at least as great a number of horses as had been displaced. BRITISH AGRICULTURE, 1800-1850 191 A further examination of the returns made by the Tax Office proves that the anticipation of the Committee of the House of iuons has not hitherto been realized in any serious degree. In 1823, the first year following the repeal of the duty on horses used in husbandry, and when the railway system had no existence, the number of all kinds of horses chargeable with duty was 305,275, whereas in the latest year to which the statements reach (1848-49) the number chargeable was 317,319, a result which completely refutes the notion of any serious diminution in the number of horses employed by reason of the opening of railroads. There are not any documents from which the number of horses kept in this country can be ascertained. The elements for such a computation, which never were very complete, have of late years been rendered much less so, through the repeal of the taxes levied up in horses used for various employments. These taxes having ed up to 1822, a statement is here given of the number of each description of horses charged to the duty in 1821, with the numbers for some recent years of horses in respect of which the tax is continued : Year ending 5th April, 1821. 1849. No. No. ! Horses used for riding or drawing carriages 174,790 145,846 Horses let to hire .... 1,616 1,859 Rai-i- hm>ps ..... 579 1,098 Horses not exceeding 13 hunds high 11,536 21,736 Hi.rses ridden by farming bailifls 1,010 40 .s ridden by butchers s not wholly used in husbandry 3,631 135,542 3,281 Horses used in trade 129,709 328,704 303,569 s used in husbandry, charged at various-v rates of duty, according to the rent of | the farm, etc., and which have been re- j 832,726 exempt pealed in and since 1822 . . . J Total number upon which duties were charged 1,161,430 303,569 It appears from this table, that of the horses liable to duty there are not more than 180,000, out of which the saving con- templated by the Committee can lie made. But the returns from the Tax Otlice do not include horses used in posting, in stage- 192 THE PROGRESS OF THE NATION coaches, mail-coaches, or hackney-coaches. In Middleton's Survey of Middlesex, the number of such horses was estimated at 100,000 for the whole of England and Wales ; Mr. M'Culloch states, as the result of more recent inquiries, that " if the number of such horses in Great Britain is now estimated at 125,000, we shall be decidedly beyond the mark." CHAPTER XI BRITISH AGRICULTURE FROM 1850 Food supply Growth of imports Prosperity from 1850 to 1875 Heavy fall of prices and agricultural depression Gradual recovery after 1895 Agricultural statistics fTlHE rapid increase in population which has taken place during the last sixty years has already been shown in a previous chapter. This increase has been entirely due to the great expansion of the industrial and distributing centres of the country, and to the success of British manufacturers in the world's markets. A necessary condition of such a development has been a large and expanding supply of food for the artisan and labouring classes, a supply which our agriculturalists have found themselves, at least as regards the staple products, progressively less able to produce. The result has been that the agricultural history of the period is mainly a history of the development of and readjustment to these altered conditions of demand and supply. In the economic life of a nation it is a commonplace to say that every sudden and extensive change, however beneficial in its ultimate effects, must cause a dislocation in the established relations of different classes, and that the process of readjustment to the new conditions generally entails some suffering and distress. This has certainly been true of agriculture. British farmers have had to accustom themselves within a comparatively short period to conditions utterly unlike those which confronted their forefathers. The old routine which with slow assimilation of modifications and improvements had been successfully followed by generations of farmers was, within the space of a few years, thrown out of gear and shown to be at many points inadequate to their needs. Since 1850, therefore, we have to watch first of all the altered conditions which British agriculture was called upon to meet, and how they arose, and also to see in what ways and how far the readjustment has in the end been accomplished. '3 194 THE PROGRESS OF THE NATION The most striking feature of the present position of agriculture, as compared with the position sixty years ago, lies in the very much smaller proportion of home-grown to foreign produce. The figures showing the average annual imports into the United Kingdom of wheat, barley, oats, butter and beef in short groups of years supply ample evidence on this point. Million Cwts. g> . 1 ! o3 O 1 o & "S 0> 1 4 o "S - 1 ^"s 1 "2 .2 So o 1851-1855 14 2-3 2-9 0-4 0-17 1881-1885 58 12-0 16-3 2'4 1-02 1856-1860 18 5-7 4-8 0-5 0-2 1886-1890 56 16-6 15-1 1-8 1-14 I'll 1861-1865 28 6-3 5-9 1-05 0-24 1891-1895 69 21-8 15-4 2-4 ... 2-02 1866-1870 32 7'4 9-0 1-2 0-24 1896-1900 67 20-1 17-0 3-2 3-3 1871-1875 44 11-0 11-6 1-4 0-25 1901-1905 87 24-8 17-2 4-0 4-3 1876-1880 53 12-0 13-0 1-9 073 1906-1908 94 19-2 13-3 4-2 5-6 It is quite clear from this table that the increased demand for food required by the growing numbers and wealth of the popula- tion has been met by a corresponding growth of imports. The remarkable increase in the importation of corn and meat, as shown above, if not directly caused, has at any rate only been rendered possible by the development of steam transport, which has enabled farmers in distant countries to raise large crops in the certainty that, if not required at home, they can be shipped and delivered to any port of the world where there may be a demand for them. In 1849 there were 4,835,280 qrs. of wheat and wheat flour imported into Great Britain. Of this France supplied more than any other country, namely, 742,023 qrs. ; then came Prussia with 618,690 qrs., then the United States of America with 617,131 qrs., and then the Black Sea Provinces with 551,378 qrs. 1 No less than 78 per cent, of the total import came from European countries. So long as ships were dependent on the wind and weather for making port, England must have looked primarily to Europe to satisfy her needs for all such perishable articles as corn, nor, under such circumstances, would it ever have been possible to meet the growing demand for all kinds of food from very distant markets. But with the develop- ment of steam navigation England began to draw upon all the 1 Parl. Papers, 1845-50, p. 111. BRITISH AGRICULTURE FROM 1850 195 world for her supplies. In the period 187175 the average import of wheat had grown, as shown above, to 44,000,000 cwt, and of this no less than 58*7 per cent, was on the average imported from countries outside Europe, the United States of America and Canada being responsible for 4 7 '2 per cent. In the period 1896-1000, while the total import, as shown above, had grown to 67,000,000 cwt., the proportion coming from countries outside Europe had increased to no less than 87 per cent. Following on this increased importation of foreign food-stuffs there has taken place a general lowering of prices. Taking again the annual average in groups of years, the price of wheat per imperial quarter has been : s. d. 1851-1855 1856-1860 1861-1865 1866-1870 1871-1875 1876-1880 53 4 53 5 47 6 54 7 54 8 47 6 1881-1885 1886-1890 1891-1895 1896-1900 1901-1905 1906-1908 s. d. 40 1 31 5 27 11 28 9 27 11 30 3 The period between 1850 and 1875 shows the price of wheat to have remained fairly stable between 54s. 8d. and 47s. 6d., but it should be remembered that even this level was considerably lower than that prevailing during the first twenty years of the century, and somewhat lower than the average of prices between 1820 and 1840. So long, however, as the price of wheat remained in the neighbourhood of 50s. a quarter, it was even then possible for British farmers by progressive improvements in their methods of cultivation to continue their production under satisfactory condi- tions. But after 1875 the question of prices became much more serious. It was found impossible by technical improvements so to increase the yield on ordinary corn-growing land as to give the farmer any hope of profit at prevailing rents. England and Wales. 1851-1855 1856-1860 1861-1865 1866-1870 1871-1875 1876-1880 1881-1885 1886-1890 1891-1895 1896-1900 1901-1905 1906-1908 s. d. 10 1851-1855 10 10$ 1856-1860 11 1 1861-1865 11 9} 1866-1870 13 0} 1871-1875 13 11 1876-1880 13 7i 1881-1885 13 4 1886-1890 13 9i 1891-1895 14 2J, 1896-1900 14 11| 1901-1905 15 0} 1906-1908 Ireland. s. d. 5 11 6 44 6 8 7 2J 7 9* 7 11J 8 3 8 7| 8 10$ 9 3* 9 9| 10 31 196 THE PROGRESS OF THE NATION Not only were prices beginning to fall, but wages had been steadily rising for some time. The table at the foot of p. 195 gives the average rate of agricultural wages in England and Wales and also in Ireland in groups of years. It should be observed that the periods 1871-75 and 1876-80 are not strictly comparable, as the latter figures and those following them are based on a larger number of returns, which make the average rate for England and Wales about 5d. higher and that for Ireland about 5d. lower for the second period than they would have been on the older basis of returns. Allowing for this, however, it will be seen that the rate of wages in Ireland has risen continuously, nearly doubling in the period, and wages in England and Wales, except for a slight fall which took place between 1880 and 1890, have also risen fast. The increase of wages, however, has not been sufficient to countervail the ever-increasing attractions of town life and the development of labour-saving machinery. The number of agri- cultural labourers has diminished very rapidly, as appears from the following census returns for England and Wales : 1 Males. Females. Total. 1851 . 1,544,000 169,000 1,713,000 1861 . 1,540,000 115,000 1,655,000 1871 . 1,371,000 86,000 1,457,000 1881 . 1,288,000 64,000 1,352,000 1891 . 1,234,000 51,000 1,285,000 1901 . 1,153,000 39,000 1,192,000 It is impossible to make many generalizations as to the course of British agriculture which shall be true, or equally true, for all parts of the United Kingdom at the same time. The figures and tables which have already been given are based upon returns made by Government Departments, and may be taken as giving in a summarized form the average or mean of what has occurred in the country considered as a whole. But the changes so indicated have been by no means equally apparent in different parts of the United Kingdom. What is true of one part, or of the country as a whole, may be quite untrue of other parts, or only true of them at a later date. The period between the repeal of the Corn Laws in 1848 and the beginning of the agricultural depression, which first became 1 Census, 1901. BRITISH AGRICULTURE FROM 1850 197 generally felt nearly thirty years later, was one of an almost unparalleled prosperity for farmers. Although wheat did not rise to the famine prices which so constantly recurred in the first half of the century, yet it maintained a consistently high and remunera- tive level, and tended, if anything, to rise rather than to fall. The average price of barley had risen from 29s. 2d. per qr. in 1850-54 to 38s. 8d. in 1870-74, and the average price of oats pei- quarter had risen in the same periods from 20s. 7d. to 25s. Id, without serious annual fluctuations in either case. Comparing the year 1879 with the average for the years 1845-50, we find that the price of butcher's meat had risen 27 per cent, and raw wool had risen 9 per cent. Salt beef, mutton and pork all showed a marked rise. These good prices were maintained in spite of increased supplies from abroad, and were very largely due to the better standard of living in the towns. In 1850 the mass of the people scarcely ever tasted butcher's meat, but rapidly rising wages in the towns led to a great increase in its consumption by the working classes. In 1851 only 86,520 head of cattle were imported. In 1879 the number had risen to 247,768. The most remarkable increase, however, is shown in the imports of bacon and ham which during the same period rose from 1 '.!', 118 cwt. to 4,917,631 cwt., the price in the meantime falling about 10s. per cwt. Meanwhile farming methods underwent considerable improve- ments. The most noticeable of these was the general introduction of reaping machines, one of which was reckoned to have an efficiency equal to that of ten men. Their greatest merit, however, lay in an economy of time at the critical period of harvesting, when the farmer so often requires to get in his crop with the greatest possible speed. A similar machine for cutting hay was ateo introduced. Another but less popular invention was the team plough. The expense of this machine, however, put it out of reach of small farmers, and it was found not to be equally advantageous on all kinds of soil. Hut on large farms with hoary Boil the steam plough has proved its value. With regard to (Adtfvation itself several improved systems of manuring were introduced. Chemical research disco\ it were the valuable properties in tlie old forms of m:iriun . and \\vrc madr with nitrate ition of the total consumption, had very much lr.-s rttecfc upon I 'ri< -us. Besides the poor seasons, fanners li.nl to contrnd \\ilh a rise of wages, a rise which was in no degree the result of increased cr cent. per cent. 204 THE PROGRESS OF THE NATION The price of pork in the same period fell 10 per cent. The price of the different varieties of wool fell between 40 and per cent. As regards dairy produce, the fall between 1874 and 1891 is estimated to have been from 25 to 33 per cent. Potatoes fell about 20 per cent, in the twenty years. The price of hops fluctuated widely but exhibited a falling tendency after 1883 : 1881 1882 1888 1884 1886 1886 1887 1888 s. d. 5 9 per cwt. 1889 10 1890 10 3 1891 6 2 1892 5 7 1893 S 7 1894 4 1895 5 8 d. per cwt. 2 9 9 7 There is no need to go behind these figures to understand why the situation was regarded as so serious. A general fall in price of from 20 to 50 per cent, in the staple articles of agricultural production could have nothing but a disastrous effect upon both farmers and landlords. Mr. Thompson's figures for rent, based on returns from 400,000 acres, are as follow: 1878-1880 1881-1883 1884-1886 1887-1889 s. d. 27 6 26 9 24 11 22 11 1890-1892 1893-1894 1895-1896 s. d. 22 10 21 8 21 1 It is, however, somewhat surprising to find that the number of male agriculturalists declined during this period rather more slowly than they had done in the times of prosperity. Whereas between 1861 and 1871 there was a reduction of 192,000 or 13 per cent., the fall between 1871 and 1881 was only 89,000 or 9 per cent., and between 1881 and 1891 only 83,000 or 77 per cent. Here again, however, the figures cannot be pressed too closely owing to changes in tha^jnethod of enumeration. Between 1879 and 1895 the acreage under wheat in the United Kingdom declined from 3,056,000 acres to 1,456,000 acres or 52 per cent., barley or beer from 2,932,000 to 2,346,000 acres or 20 per cent., whilst oats increased from 3,998,000 to 4,528,000 acres or 13 percent. The total corn crop area was reduced from 10,777,000 to 8,865,000 acres or 18 per cent. By 1895 the average price of agricultural produce had fallen to its lowest point. The difficulty of meeting foreign competition had fallen heavily on both tenants and owners of land. The small BRITISH AGRICULTURE FROM 1850 205 owner suffered moat of all, because, while poeseeeed of very little, if auy, liquid capital, he had no hope of meeting his losses either by a saving in rent or out of his private means. In such cases the land was often allowed to relapse into pasture, or devoted to some other kind of cultivation, or converted wholly to sport. I'.ut in cases where the owner was not the cultivator the farmer was to some extent assisted by securing a reduction in rent. It is quite clear, however, that reductions in rent, although general throughout the country, did not nearly keep pace with the fall in the price of agricultural produce. So much was implied by the Royal Commission which reported in 1897. Nevertheless the fall in rents has been a most important factor in enabling British farmers to adjust themselves to the altered conditions with which they were then faced. The natural tendency has been more and more to shift the burden from the occupier back on to the owner of the soil. But the Commissioners reporting in 1897 were not satisfied with the natural working of economic laws in this respect, and considered that, in order more equally to distribute the burden, the owners of agricultural land should be relieved of some of their rates. The Agricultural Kates Act of 1896 accomplished this by enacting that agricultural land should be assessed for rating purposes at half its real value. How far this monetary relief resulted in a more profitable cultivation of the soil is doubtful, but it may have had some effect in hastening the reduction of rents to a level economically more justifiable. Another and totally different method of dealing with the situation had been adopted in 1892 by the Small Holdings Act of that year, following on the Report of a Select Committee. That Act enabled county councils to acquire land which they could subsequently sell as small holdings to purchasers on deposit of one-fifth of the purchase money, receiving the remaining capital and interest over a period not exceeding fifty years. Lots not exceeding ten acres could, however, be let instead of sold on certain conditions, and there were certain limited facilities for advancing money to purchasers when the county council was satisfied that the purcliaser could not find the money himself. A return of the Board of Agriculture in 1895 showed that only eight county councils had put the Act into operation to the extent of purchasing 483 acres in the whole of Great Britain. The Report of 1897 calls attention to the practical failure of the Act, but does not suggest the causes or the remedy. The chief hindrances to its effective working lay in the inability of the county council to lease holdings over ten acres in size, in 20 6 THE PROGRESS OF THE NATION the absence of powers of compulsory purchase, and in the necessity for energetic and sympathetic administration of the Act by county councillors who had had extensive agricultural experience. But it is no doubt also true that small holders in the United Kingdom have to a great extent been lacking in that spirit of co-operation which is essential to their success, and to which the strength of the small holder in France, Germany and Denmark is largely due. The backwardness of England in this respect has been partly caused by the relatively great number of large estates which renders co- operation between the smaller a more difficult matter. The Small Holdings Act of 1907, of which much was expected, proved equally futile. So far back as changes in statistical methods allow of strict comparison, it would seem that there has been only a trifling increase in the total number of small holdings. In Ireland the period following the potato famine was re- sponsible for a great amount of farm consolidation. But since 1885, at least, the co-operative movement in Ireland has made some headway. In 1907 there were 249 co-operative credit associations in the United Kingdom, of which 32 were in England and Wales, 1 in Scotland, and 216 in Ireland. The total member- ship of all these societies amounted to nearly 21,000. There were also in 1907 in the United Kingdom 296 co-operative societies engaged in distribution and 350 engaged in agricultural production, of which latter 286 were special dairying and farming societies. A third important way in which methods of agriculture have been adapted to meet modern conditions can be seen by reference to crop statistics. Of all cereals wheat had during the depression fallen most in price and consequently, as has been shown, it was the wheat land which, most of all, tended either to fall out of cultivation or be used for another kind of crop. For this reason all deductions based on an examination of figures relating to wheat only are very apt to be misleading. Since 1881 wheat has ceased to be the chief cereal crop of England, and in Scotland the oat crop has always been of far greater importance than that of wheat. Whereas between 1879 and 1895 the average price of wheat had fallen 47 per cent., oats had only fallen 34 per cent. This relative advantage in the price of oats over wheat is the chief reason for its substitution. But wheat land has also gone into other forms of cultivation. One of the most interesting of these is fruit. The acreage under small fruit had risen between 1897 (the first year for which reliable figures are available) and 1907 from 70,000 acres to 81,000 acres, and that under orchards from BRITISH AGRICULTURE FROM 1850 207 148,000 acres in 1873 to 250,000 acres in 1907. Although this acreage is a small proportion of the total under cultivation, fruit farming bears every sign of' being a successful and progressive industry, the development of which has in many cases come most opportunely to the assistance of the fanner. The most general and far-reaching influence which has come to the support of the British farmer is, however, the recent firming up of prices for most agricultural products. It appears that first com and then meat became articles with what is known as a world market. The sudden development of this process was accompanied by the great fall in prices which has been described. So soon, however, as the new countries which were opened up under this stimulus began to find their costs of production rise, while the food demands of the older countries went on expanding, the fall in prices was checked. Since 1895, in fact, the general tendency has been distinctly upwards. The following table shows the average prices for the most important agricultural products since 1895 : -1,5 1 'C ,_; S* -J *& &J i*-^** Year. It 5 " fflJI ft *n ~ |w| 41 B ~~ |l 2 '* 11 Ifi i <-> o _x -^ ^ J> o CL. S5 "S 3* 1 s" 3* dp* ^-'P-i " ~"& ^On PH o 2. " ^^ 8. d. s. d. s. d. S. d. d. 8. 8. 1895 23 1 21 11 14 6 80 47 58 54 93 1896 26 2 22 11 14 9 55 45 53 50 98 1897 30 2 23 6 16 11 70 47 55 59 94 1898 34 27 2 18 5 82 46 52 58 95 1899 25 8 25 7 17 70 49 54 51 103 1900 26 11 24 11 17 7 78 51 59 60 102 1901 26 9 25 2 18 5 78 49 54 63 105 1902 28 1 25 8 20 2 69 54 55 63 102 1903 26 9 22 8 17 2 84 48 58 60 100 1904 28 4 22 4 16 4 90 48 59 57 102 1905 29 8 24 4 17 4 65 47 59 65 107 1906 28 3 24 2 18 4 67 47 60 65 110 1907 30 7 25 1 18 10 88 49 60 63 108 1908 32 25 10 17 10 81 52 58 62 114 Further, there is little doubt that until lately rents have continued to fall slightly. Mr. Thompson's figures unfortunately do not go beyond the century, but show an average fall of about Is. per acre during the period between 1895 and 1900. The gross income from lands returned under Schedule A of the Income Tax show for Great Britain a fall from 42,885,G10 in 1900 to 42,326,989 in 1906. These figures, however, do not exhibit 208 THE PROGRESS OF THE NATION with great certainty changes in the annual value of agricultural land, as they include incomes derived from gardens and many other non-agricultural lands. They are, moreover, liable to fluctuations which are the result of administrative changes. In these different ways, partly by their own efforts and initiative and partly by the working of economic laws, farmers have gone some way already to meet the new circumstances which have arisen . It is impossible to make any definite statistical statement as to the course of farming profits. It is never easy to define the meaning of profits and, in the case of farming, where production is for use and personal consumption as well as for sale, it ia impossible. Indeed it would be very unusual for a farmer to keep a strict profit and loss account, and, if it were attempted, on no two farms would the methods of book-keeping tally or offer any basis for reliable comparison. Without going into such detail, however, it will be generally admitted that the present position, if not one of such prosperity as prevailed during the 'fifties and 'sixties, is a substantial improvement on the subsequent period of difficulty and hardship through which the agricultural community passed in the 'eighties and 'nineties. So far, indeed, as the labourer is concerned, his social and economic status is better now than it had ever been in the preceding century. His wages are higher, the cost of his clothing and food has, until the last decade, continuously declined ; he has a higher standard of health and comfort, while in his old age he is relieved from fear of the workhouse. Moreover, for the more enterprising and industrious there is a better chance of acquiring some measure of the economic independence which the introduction of capitalistic farming and the conversion of the yeoman into a wage earner, had almost entirely destroyed. AGRICULTURAL STATISTICS FOR 1909. Perhaps the most interest- ing feature of the latest Agricultural Statistics of Great Britain is the fact that, although the "farmed area" that is, the acreage returned as under crops or grass was reduced by 28,313 acres, the number of separate occupations increased by 542. As by the reduction of the cultivated area attributable, no doubt, in the main to the ceaseless encroachment of the towns on the country a certain, though unknown, number of individual farms must have disappeared, it is evident that the subdivision of farms indicated by the returns must have been even greater than the actual figures show. The totals in 1909 in Great Britain for each of the four groups of holdings in which the returns are classed were as follow: 1-5 acres, 108,458; 5-50 acres, 232,096; 50-300 BRITISH AGRICULTURE FROM 1850 209 acres, 150,911; and above 300 acres, 17,706. The first two classes show increases, as compared with 1908, of 364 and 277 respectively ; the last two classes show decreases of 9 1 and 8 respectively. While the tendency to divide the larger farms is very marked in Great Britain as a whole, it is not apparent in all parts of the kingdom, for, while small holdings that is, farms of 50 acres or less have increased by 754 in England and by 81 in Wales, there is a decrease of 194 in Scotland, making the present total of small holdings in Great Britain 340,554. Since 1905 there has been a reduction of 2533 in the total number of farms in Great Britain, chiefly among the smallest and the largest classes of holdings. During the same period, 1905-9, the cultivated area was reduced by 103,759 acres, which obviously involves the dis- appearance of a considerable number of holdings. But, allowing for this, the statistics suggest that there has been a general tend- ency towards holdings of medium size since 1905, though it was somewhat modified from 1908 to 1909 by a bias towards the smaller class of holdings, which was not previously apparent. But the fact remains that up to June 1909 the number of small holdings both in England and Scotland had diminished during the previous four years, in the one case by nearly 2000, and in the other by over 800, Wales alone showing a slight increase ; while medium farms increased in England and Scotland. Although urban expansion appears inevitably to result in the continued absorption of the smaller holdings, the preponderance of that class of farm in the agricultural system of the country has not been appreciably affected during the past twenty-five years. In 1885 the returns showed that about 66 per cent, of the farms in Great Britain were not more than 50 acres in size, and the latest returns show that the proportion is now about 6 7 per cent. The total acreage under crops and grass, including bare fallow, was returned in 1909 at 32,183,073 acres, A reduction of 64,849 acres of arable land was partly set off by an addition of 36,536 acres to permanent grass, the net decrease being thus 28,313 acres, or O'l per cent, of the 1908 area. The total area of wheat, barley, and oats in 1909 was 6,409,701 acres, an increase of 06,673 acres, or 1 per cent, from the minimum recorded for these crops in 1908. The recovery of the acreage was due to the large extension of the wheat area, which was only in part set off by a diminution in the area of the oat crop. There was practically no change in the area under barley. The area (1,823,498 acres) 14 210 THE PROGRESS OF THE NATION returned as under wheat was nearly 200,000 acres (12 per cent.) larger than in 1908, and the greatest recorded since 1900. The increase was largely caused by the favourable autumn of 1908 for sowing, while the comparatively high prices for wheat current at that time had no doubt some influence. Additions to the wheat acreage were made in each county of England and Wales and in all but four counties of Scotland, generally at the expense of the oat crop or of clover and rotation grasses. As might be expected, the gains are largest in the eastern and north-eastern divisions of England, nearly 15,000 acres being added in Lincoln, nearly 12,000 acres in Essex, over 9000 acres in Suffolk, and nearly 8000 acres in Norfolk. Large additions were also reported from the West Riding (11,000 acres, or 30 per cent.), the North Riding (7900 acres, 41 per cent.), Lancashire (nearly 7000 acres, 43 per cent.), and Devonshire (over 7000 acres, 17 per cent.). In twenty- one other counties increases of over 3000 acres occurred. The area under barley, as already mentioned, showed practically no variation from the previous year, but the area under oats (2,981,877 acres) was 127,041 acres less than in 1908, and the lowest since 1899. The shrinkage occurred almost entirely in England* The areas in Scotland and Wales were 5076 acres and 3067 acres respectively less than in the previous year, and wece in each case the lowest yet reported. The area under beans in 1909 was 313,864 acres, the largest recorded since 1891, and 18,840 acres larger than in 1908, while the area under peas (183,910 acres) also increased by 20,000 acres since the previous year, and was the largest since 1897. A further extension of the area devoted to potatoes is recorded for 1909, the increase of 13,356 acres bringing the total to 575,461 acres. This is the largest area since 1905, when 608,473 acres were cropped. The total area (1,555,548 acres) of turnips and swedes in 1909 was only 4651 acres above the total for 1908. In England reductions of area were mainly confined to the south-eastern, west-midland, and south-western counties, and included 2250 acres in Devonshire. Among the additions jmay be noted nearly 2000 acres hi Suffolk and over 1200 acres in Norfolk. The mangold crop, however, showed the substantial increase on the year of 28,718 acres, thus more than recovering the reduction in 1908. The total for 1909 (456,490 acres) constitutes a record. The total acreage under hops in 1909 was 32,539 acres, as compared with 38,921 acres in .908 and 44,938 acres in 1907. An area of 6382 acres (16 per cent.) has, therefore, been withdrawn from hops since June 1908, BRITISH AGHKTI/rrHK FROM 1 .-. 2ii and 12,o 9 9 acres since June 1907. The area of 1909 i the lowest ever returned for the crop, and the decrease is the largest recorded, except that of 6421 acres between the years 1886 and 1887. Very striking is the extension of the area devoted to fruit culture. In 1909 there were 87,116 acres of small fruit, com- pared with 84,880 acres in 1908 and 82,175 acres in 1907 ; and 251,330 acres of orchards, as against 250,297 acres in 1908 and 250,176 acres in 1907. The counties mainly contributing to the increase of 223G acres in the small fruit crops were: Kent, which added 1361 acres; Norfolk, 423 acres; Cambridge, 344 acres; and Stitlblk, 127 acres. In Worcester the area was reduced by 120 acres. Strawberries show an extension of nearly 1250 acres, nearly 500 acres being added in Kent, over 300 acres in Cambridge, over 250 acres in Norfolk, and over 100 acres in Hampshire. The more noticeable changes in the area under orchards were additions of 1178 acres in Kent, 530 acres in Cambridge, and 439 acres in Worcester. Allowing for the acreage of small fruit grown in orchards, the total acreage devoted to fruit crops in Great Britain in 1909 appeal's to be about 310,000 acres, the increase since 1908 being 2200 acres. The area under clover, sainfoin, and rotation grasses in 1909 was 4,214,575 acres, being 207,012 acres less than in 1908. Nearly seven-eighths of the reduction took place in the English counties, and among the largest individual losses were 15,000 acres in Lincoln, over 12,000 acres in Suffolk, and over 11,000 acres in both Essex and Norfolk. A further addition of 3G,f>36 acres to the land laid down to permanent grass has to be noted in 1909, bringing the total for Great Britain to 17,452,405 acres. 11,000 acres were added in England, 12,600 acres in Wales, and nearly 13,000 acres in Scotland. In England, however, some reversals of the usual tendency took place. Nearly 7000 acres, previously returned as permanent grass, dis- appeared in the eastern counties, including over 3000 acres in Essex and over 1500 acres in Cambridge. In the south- western counties the permanent grass area was reduced by over 4800 acres, of which about 3000 acres would appear to have returned to the plough. In Lancashire nearly 6500 acres of grass were removed from the category of permanent grass, but much of this was accounted for under the heading <>!' mountain and heath land used for j^ra/ing. The luvudth of jiermiuiont grass mown I'm hay was 172,40:; acres less than in 1908, the whole of the decrease occurring in England. Adding clovers and rotation grasses 212 THE PROGRESS OF THE NATION and permanent grass together, the total area mown for hay amounted in 1909 to 6,813,161 acres, as compared with 7,182,144 acres in 1908, 7,186,970 acres in 1907, and 6,976,482 acres in 1906. The total number of horses returned in 1909 was 1,552,993, being 7322, or 0'5 per cent., more than in 1908. An increase was recorded in each division of England, excepting the north- eastern, but in Wales and Scotland the number returned was practically the same as the previous year. The increase occurred among the class returned as horses used for agricultural purposes, which includes also mares kept for breeding. The number of these was the highest recorded, the total reaching 1,132,014, or 12,690 more than in 1908. In 1906 the total number of cattle in Great Britain first exceeded 7,000,000, but this level was not maintained during the two succeeding seasons. In 1909 an increase of 115,848 over 1908 raised the total to 7,020,982, being the highest on record. The number of sheep has also increased greatly, and last year there were 27,618,419, being the highest recorded since 1892, and nearly half a million more than in 1908. During the last five years the flocks of the country have increased by about two and a half millions, an addition nearly as great and as rapid as that which occurred at the beginning of the 'nineties. The number of pigs returned in 1909 was 2,380,887, as compared with 2,823,482 in 1908, showing a decline of 442,595, or 15' 7 per cent. The decrease was generally attributed by the collecting officers to the enhanced prices of corn, offals, and other feeding stuffs, although, on the other hand, it was stated by some that the increased home demand for pig products tempted pig- owners to slaughter more rapidly, and thus to reduce the number at the time of the enumeration. CHAPTER XII BRITISH MINES AND MINING Coal- Alining, Great Britain's mineral treasures History of coal-mining in first half of nineteenth century Shipments of coal from Tyne, Tees, and Wear, 1801-1849 Coal jirict-s in Newcastle, Sunderland, and London Total shipments of coal, 1819-1849 Approximate amount of coal carried on canals and railways in 1816 Estimated amount of coal used in smelting iron in 1850 " The limitation of the vend " Coal-Mining from IS'iO onwards : Census of Production figures Labour value in coal England's proportion of the world's production Production, export, home consumption of coal, with total value of all exports, and value of coal exports from 1850-1909 Cause of export trade in coal Coal as raw material Coal as cargo Destination of our coal exports Importance of coal exports to our foreign trade Freights Pric of coal since 1850 Jevons on price of coal Declining freights. Tin-Mining. Production of the Cornish tin mines, 1750-1834 Imports and re- exports of Banca tin Exports of British tin, 1820-1849. Tin-Mining from 1850 onwards: Production of white tin from British ores, 1850-1908 Imports and re- exports of tin ore and crude tin, 1850-1909 Price of tin (English bars), 1870-1910 Census of Production figures. Copper- Mining. Production of copper in Cornwall, 1771-1848 Production of copper from British ores, 1820-1908 Imports of copper ore and rcgulus English copper-mining in eighteenth and nineteenth centuries Census of Production figures Prices of tin and copper, 1801-1834 Price of copper, 1880-1910. Lead-Mining. Production of lead from British ores, 1854-1908 Imports and exports of lead ore, red and white lead, and litharge Census of Production figures Price of lead (English pig) from 1771-1909. Zinc. Production from 1860-1908 Imports and exports, 1895-1909 Census of Production figures Price of zinc, 1870-1909. Salt. Different sorts of salt Quantities of white and rock salt sent down river Weaver, 1803-1844 Various duties on salt during first half of nineteenth century Consumption of salt, 1801-1817 Exports of rock salt, 1827-1844 Destina- tions of salt exports, 1844 Exports of salt, 1880-1909. Outjnit of ./j.v//a/-oH.s Minerals in 1907. Ironstone Iron pyrites Oil shale Fireclay clay and shale other than fireclay Limestone Sandstone, including Ganistou All other products Silver and gold production. " 1.1 ROM the very earliest period," writes Porter, " to which record or even tradition can reach, this country has been celebrated for its mineral treasures." It is not intended to carry back our inquiries to the time when the I'hu'uicians traded with " the tin island of i'.rit.iin," described l>y Herodotus under the name of Cassiteridfs, or to discuss whether the rings and money of iron which Caesar states to have been in the possession of the Britons, at the time of the Roman invasion, were really the produce of this country, 214 THE PROGRESS OF THE NATION or whether, as some persons have supposed, they were acquired in barter for tin. Our inquiry into the progress of mining as a source of national wealth must necessarily be limited to a period com- paratively recent, and to statement of results. COAL-MINING, 1800-1850 . To begin with coal the great mainspring of modern industry without which we should still be using the primitive manufacturing contrivances of our ancestors. In Porter's words, " the value of the mineral products of England would be greatly inferior to what it actually is, were it not for the abundant supply of good coal found in various districts of the kingdom. It cannot here be necessary to point out the many advantages which we derive from the possession of our coal mines, the sources of greater riches than ever issued from the mines of Peru, or from the diamond grounds at the base of the ISTeela Mulla mountains. But for our command of fuel, the inventions of Watt and Arkwright would have been of small account, our iron mines must long since have ceased to be worked, and nearly every important branch of manufacture which we now possess must have been rendered impracticable, or at best have been conducted upon a comparatively insignificant scale." " But for the invention of the steam-engine, a large proportion of the coal mines now profitably worked could not have been opened or must have been abandoned." Porter adds an interesting account of the system of coal- mining that prevailed during the early decades of the nineteenth century : "The science of mining in all its branches has made great advances within the present century. It was stated by the Rev. Adam Sedgwick, Woodwardian Professor of Geology in the University of Cambridge, in his examination in 1830 before a Committee of the House of Commons, that ' a great deal of coal appears formerly to have been left under ground, in consequence of a want of general plans or maps of the underground workings ; a number of excavations have taken place, independently of each other, and the consequence is, there is a great number of piers or large barriers between the old coal-works, some of which it may be almost impossible to remove.' It was likewise the custom in working the mines, to leave large pillars of coal, in order to support the roof ; so that at the depth of 100 fathoms, little more than 40 per cent, of the coal was abstracted, and the remainder was given up as lost. In 1795 an attempt was made to substitute wooden pillars for a part of the coal previously left, and this, to a certain extent, was successful. At that time it was not attempted to remove more than one-half of each alternate pillar of coal, still leaving between 40 and BRITISH MINES AND MINING 215 SO per cent, of tin* conl in the mine. In 1810 an improvement in this system was introduced, by means of which every intermediate pillar was win illy iviii..vnl, an. I ,-i part of tin- adjoining pillars was likewise taken away ; and by working thus, about 80 or 90 parts out of every 100 were brought to market. It wu.s in tli' \i-ur 1815 that Sir Humphry Davy brought the safety lamp to use, and in the opinion of Mr. Bnddle, an intelligent and experienced coal- engineer, who was examined in 1830 before the Committees of Lords and Commons concerning the coal trade, 'this operated as a complete renovation to many of the collieries which were then in a state of exhaustion. By its means, combined with the system of artificial propping, every particle of coal can now be got out of the mine before it is abandoned.' " Tho following tables show the amount of shipments of coals made from the Tyne, Tees, and the Wear at various years from 1801 to 1849: Quantity of Coals shipped from Ncwcastle-on-Tyne. Year. Coastwise. To Foreign Ports. i Total. I Tons. Tons. Tons. 1801 . 1810 . 1820 . 1880 . 1810 . 1849 . 1,198,308 1,648,977 2,004,759 2,167,355 2,281,343 2,143,380 183,562 45,733 118,788 197,308 593,911 834,005 1,331,870 1,689,710 2,123,557 2,364,60S 2,875,264 2,977,385 Quantity of Coals shipped from the Port of Sunderland. Year. Coastwise. To Foreign Ports. Total. 1801 1810 1820 18W) 1840 1849 Tons. 612,197 982,388 1,102,327 868 j 328 1,771,215 Tons. 12,607 5,086 38,227 442,987 447,280 ; Tons. 624,804 987,474 1,140,554 1,387,428 1,311,215 2,218,495 Quantity of Coals shipped from the Port of Stockton. Year. Coast reign Total. 1822 1836 1840 1849 1,224 877,941 402. T"iis. SJO 132,842 11 -J, 897 T.-!.-. l.-J'-'l 701,781 1,500,374 f.i5,r_"j 216 THE PROGRESS OF THE NATION The progressive increase in the shipments from the Newcastle coal district, as shown by the foregoing tables, was not the result of any stimulus given by advancing prices. The rates at which coals were sold in London do not afford any correct view of the prices paid to the coal-owners, because freights and charges in- curred in conveying them to the metropolis varied constantly ; and this will be found especially the case, if a comparison is made between years of war and peace. The anxiety of the Legislature to shield the consumers of coals in London from unfair practices on the part of dealers, led to the compulsory registration of prices. So long ago as the reign of Queen Anne, an Act was passed, requiring the shipper of coals to give a certificate with each cargo, setting forth the quantity, quality and price paid for the same ; and this certificate, on the arrival of the ship in London, was delivered to an officer at the Mansion House, for the inspection of the public. The prices in these certificates are stated, up to 1825, for Newcastle chaldrons of 53 cwt. each; from that time until 1832 the imperial chaldron, equal to 25| cwt., was the standard; after 1832 the rates were given per ton weight. To simplify the matter, the prices given below are reduced to those paid per ton. The best quality of coals is given in all cases ; and the period chosen for the quotation is the beginning of June in each year, at which time there is less probability of accidental fluctuations than during the winter season. Prices paid at Newcastle and Sunderland for Coals of the first quality shipped to London Per Ton. Year. s. d. 1801 . . . . 10 4 1805 . . . . 11 6 1810 . . . . 13 1815 . . . . 13 1820 13 Per Ton. Year. s. d. 1825 . . . . 12 8 1830 . . . . 12 4 1835 . . . . 11 1840 . . . . 10 6 1845 8 The following statement of prices paid in London, in July of each year, from 1815 to 1850, will show how materially the inhabit- ants of the capital benefited through the reduction, and subsequent repeal, of the duty on sea-borne coals. It also exhibits the rates of freight and charges between Newcastle and the river Thames : Prices of the best Newcastle Coals at the Coal Exchange, London, in July s. d. 1815 . . . 39 0) Duty 7s. 6d. 1820 . . . 30 7/ per ton. 1825 ... 23 6\ Duty 4s. 1830 . , . 27 6J per ton. s. d. 1835 . . . 20 3 1840 . . . 22 91 Duty 1845 . . . 17 3 1 repealed. 1850 . . . 13 6; 1 BRITISH MINES AND MINING 217 The next table shows that the quantity of sea-borne coals, the produce of our mines, rose from 4,365,040 in 1819 to 11,380,745 tons in 1849, or at the rate of 160 per cent. i tiiy of C'jols shipped Coastwise from Ports of Great Britain to other I'rts in Great Britain, Ireland, Colonies, and Foreign Countries Year. To Great Britain. To Ireland. To British Colonies. To Foreign Countries. To all Parts. 1819 1825 1830 1835 Tons. 3,459,508 4,384,433 6,117,993 Tons. 669,660 695,832 Tons. 71,497 114,264 145,204 189,722 Tons. 164,875 197,234 357,288 546,838 Tons. 4,365,040 5,891,768 6,854,053 1840 1844 1849 7,475,877 7,377,862 8,552,706 299,631 324,425 417,080 1,306,682 1,429,746 2,410,959 9,082,190 9,182,083 11,880,745 The quantity of coals, whose transmission is recorded by the Customs, affords, however, but a very imperfect indication of the progress of coal-mining. The construction first of canals, and then of railroads, had the effect of bringing many places within reach of inland collieries, which were formerly in this respect dependent altogether upon wood for fuel or upon coal supplies brought by sea. So long ago as 1816, it was a matter of complaint on the part of the coal-owners of Northumberland and Durham that they were thus subjected to great and increasing competition, and a deputation from that body was then sent throughout the kingdom to inquire into the quantity of coals passing by inland navigation and by railroads in different parts of the country. In a report made by the members of this deputation it was stated that the quantity thus distributed amounted to 4,078,508 New- castle chaldrons, or 10,808,046 tons, namely In Yorkshire . , Derbyshire , Nottinghamshire , Leicestershire , Warwickshire . , Staffordshire 967,406 chaldrons or 2,568,626 tons 355,554 186,666 66,666' 162,962 800,000 Quantity that passed towards the eastern sea . An equal quantity believed to pass towards the west and south 942,218 494,665 176,665 481,849 795,000 5,404,023 5,404,023 Quantity carried by canals and railways . . 10,808,046 ,, 2i8 THE PROGRESS OF THE NATION On the assumption that four tons of coals were required to melt one ton of ore, and that the quantity of iron produced in this country in 1850 amounted to 2,000,000 tons, it followed that 8,000,000 tons of coals were consumed in the single process of pro- ducing pig or cast iron. To convert this quantity into bar iron and the further manufactures of iron a further consumption of coal, bring- ing the total up to 10,000,000 tons per annum, would be required. Porter discussed the proposal of an excise duty on coal, but dismissed it as impossible owing to " the most determined and general opposition it would meet, as being oppressive to the poor and injurious in various ways to the prosperity of nearly every branch of national industry." Nevertheless the English people did submit for three-quarters of a century to a regulation which had the effect of a very severe tax upon coal. This regulation was called the " limitation of the vend," and existed, with some partial interruptions, from the year 1771. This arrangement was no less than a systematic combination among the owners of collieries having their outlets by the Tyne, the Wear, and the Tees, to raise the price of coal to consumers by a self-imposed restriction as to the quantity supplied. A committee appointed from among the owners held its meetings regularly in the town of Newcastle, where a very costly establishment of clerks and agents was maintained. By this committee, not only was the price fixed at which coals of various qualities might be sold, when sea borne, for consumption within the kingdom, but the quantity was assigned which, during the space of the fortnight following each order or "issue," the individual collieries might ship. The manner in which this com- bination was conducted, and the effect which it could not but have upon the interests of the consumers, will best be understood by describing the course pursued upon the opening of a new colliery. The first thing to be determined in that case was the rank or " basis " to be assigned to the colliery. For this purpose, one referee was appointed by the owners of the colliery, and another by the coal-trade committee, who, taking into view the extent of the royalty or coal-field secured, the size of the pits, the number and power of steam-engines erected, the number of cottages built for workmen, and the general scale of the establishment, fixed therefrom the proportionate quantity the colliery would be per- mitted to furnish towards the general supply, which the directing committee from time to time authorized to be issued. The point to be attained by the owners of the colliery, was to secure for their establishment the largest basis possible ; and with this view it was BRITISH MINES AND MINING 219 common for them to secure a royalty extending over from five to ten times the surface which it was intended to "work, thus burthen- ing themselves with the payment of possibly 5000 per annum, or more, of " dead rent " to the owner of the soil, who, of course, exacted such payment in return for his concession, although his tenants might have no intention of using it. Instead of sinking one or two pits, which would afford ample facility for working the quantity which the mine was destined to yield, a third, and, possibly, a fourth pit were sunk, at an enormous expense, and without the smallest intention of their being used. A like wasteful expenditure was made for the erection of useless steam power, and to complete and give an appearance of consistency to the arrange- ments, instead of building 200 cottages for the workmen, double that number were provided. In this manner a capital of 160,000 to 200,000 might be invested for setting in motion a colliery allowed to raise and sell only such a quantity of coal as might be produced by means of an outlay of one-fourth or one-fifth of that amount. By this wasteful course the end of the colliery owners was attained ; they got their basis fixed if a large concern, as re here supposed say at 50,000, and this basis probably secured for them a sale of L'f>,000 chaldrons during the year, instead of 100,000 chaldrons, which their extended arrangements would have enabled them to raise. The Newcastle committee met once a fortnight, or twenty-six times in the year, and, according to the price in the London market, determined the quantity that might be issued during the following fortnight. If the London price was what is considered high, the issue was increased, and if low diminished. If the "issue" were twenty on the 1000, the colliery here described would have been allowed to sell (20x50) 1000 chaldrons during the ensuing fortnight. The pit and establishment might be equal to the supply of 3000 or 4000 chaldrons; orders might be on the books to that extent or more ; ships might be waiting to receive the largest quantity, but, under " the regulation of the vend," not one bushel beyond the 1000 chaldrons could be shipped until a new issue should be made. By this system the price was kq>t n]> : and as regards the colliery owners, they thought it more for their advantage to sell 25,000 chaldrons at 30s. per chaldron, than to sell 100,000 chaldrons at the price which a free competition would have brought. If, under this system of restriction, any undue profit was obtained, nothing can be more certain than that com- petition for a portion of this undue profit would cause the <>].i>niuo <0 5 t>. t>. oo 00 05 o o 00 00 00 CO 00 00 CO OO CO OJ i i 3 1 i 1 1 1 1 3 -H 3 r- 1 3 to to (O *O t- t^ OO co OS O oo oo OO oo 00 OO oo 00 00 OO Coal . 887 97-1 96-6 103-3 181-5 100-6 95-3 100 110-6 115-2 Sauerbeck (45 articles) . 128-5 139-6 1447 141-0 147-6 1207 113-7 100 94-9 94-0 Exports (52 articles) * 132-5 145-0 145-5 136-3 145-0 125-4 111-3 100 95-9 97-0 Imports (88 articles) f 136-1 138-1 134-3 134-1 120-6 112-8 100 91-7 87-9 * 1851-1855, the average is of 36 articles; 1856-1860, of 39 articles; and from 1861-1875, of 44 articles. t 1856-1860, the average is 83 articles. lilimSH MINES AND MINING 225 Mr. Thomas's monograph and show the relative trend of the price of coal in comparison with the prices of other commodities during the last half of the nineteenth century. The basic number of 100 is taken from an average of the prices during the period 18861890. From these figures it will be seen that the price of coal rose considerably during the last twenty years of the nineteenth century, while the prices of other commodities fell. This tendency towards an abnormal rise in the price of coal was noticed by Jevons as early as 1865, who estimated that the rise in the price of coal from 7s. 6d. in 1794 to 9s. in 1860 meant that comparatively to the other general mass of commodities the price of coal had almost doubled during that time. From this and other inquiries he was led to predict the early exhaustion of our coal supplies ; but these predictions have been happily falsified, and a Government Commission has recently proved conclusively that our coal supplies are practically inexhaustible. Although prices of coal have risen freight has diminished, and it is no exaggeration to say that outward coal freights to what may be recorded normal times, are now not half what they were thirty years ago, and that the price delivered to the buyer abroad, is, on an average, a third less than it was thirty-five years ago. The explanation of this fall in freights is found in the fact that the improvement in the economy of the marine engine measured in coal would be at least 50 per cent, during the last quarter of a century, that is to say, not more than half the quantity IB now required to perform the same work as formerly. The history of iron ore mining will be found in the next chapter on Iron and Steel Manufactures. THE MINOR METALS We now come to the minor metals, namely, tin, copper, lead, zinc. Kecords of the produce of the tin and copper mines of Cornwall were kept with considerable regularity from early times. The following table shows the produce of the Cornish tin mines in five-yearly averages according to the records, from 1750 to the most recent period recorded : Years. Tons. 1750-54 . . 2585 1755-59 . . 2728 1760-64 . . 2610 1765-69 2845 Yrars. Tons. 1780-84 . . 2667 1785-89 . . 3249 1790-94 . . 3405 1795-99 . . 3084 1770-74 . . 2853 ' 1800-04 . . 2676 177.-.-79 2647 : 1805-09. . 2572 Yean. Tons. 1810-14 . . 2339 1815-19 . . 3444 1820-24 . . 3578 1825-29 . . 4595 1830-34 4047 226 THE PROGRESS OF THE NATION The fluctuation shown by these figures is very small, but the increase observable in the produce of the last twenty years is the more remarkable, because, within that time, the produce of the tin mines of Banca was greatly augmented. Until 1817 the mines of Cornwall afforded a considerable supply of this metal to China, the shipments amounting in some years to 800 tons ; but after the restoration of the island to the Dutch, its mines became so productive as to supply the markets of China and India, and to furnish in addition a large quantity of tin for the continent of Europe. The imports and re-exports of foreign (Banca) tin from 1820 to 1849 were as follow: Year. 1820 1825 1830 1835 Imported. Cwt. Re-exported. Cwt. Year. 1,309 3,047 1840 4,213 4,709 1844 15,539 10,426 1849 19,704 23,795 Imported. Cwt. 9,391 12,085 35,826 Re-exported. Cwt. 6,594 19,153 8,940 Notwithstanding the foreign competition, the exports of English tin remained considerable. The exports of British tin were : Year. 1820 1830 Exports. Cwt. 25,852 30,425 Year. 1840 1849 Exports. Cwt. 36,885 35,292 " The English tin mines had long a fancied protection against the foreign producer by an import duty of 50s. per cwt. This duty was reduced in 1842 to 6s. per cwt. : both rates being equally inoperative, since our production of this metal was uniformly greater than our consumption, under which state of things it would be absurd to suppose that any foreign producer could enter into competition with that of our own mines." The progress of the production of tin in England during the latter half of the nineteenth and the beginning of the twentieth centuries is shown by the following figures, which give the pro- ductions of white tin from British ores : 1850 I860 1870 1880 1885 Tons. 6,000 720,000 1890 6,695 871,382 1895 10,200 1,299,505 1900 8,918 813,767 1905 9,331 833,803 1908 Tons. 9,602 6,648 4,268 4,468 5,052 937,760 446,780 587,869 641,603 676,258 There has been of later years a considerable increase in the amount of foreign tin ore imported, although the quantity of crude BRITISH MINES AND MINING 227 tin in blocks, slabs, etc., imported has remained fairly stationary. The following table shows the details : Imports of Tin Imports of Crnde Re-exports of Re-exports of Grade Ore. Tin. Tin Ore. Tin. Tons. Cwt. Tons. Cwt. 1850 33,711 3,800 1860 R8,290 10,160 1870 94,787 603,979 21,946 139,'906 1880 389,967 1,736,096 174,431 770,833 1890 540,769 2,547,416 196,866 1,408,659 1895 4,' 705 149,221 832,028 2,631,038 993 30,483 414,209 1,318,711 1900 7,329 375,910 662,359 ! 4,359,133 921 32,164 395,063 2,620,252 1905 17,806 1,173,232 795,300 5,632,776 2,578 153,771 583,100 4,120,885 1909 24,086 1,621,175 834,500 5,603,844 2,811 171,855 604,720 4,059,984 The most noteworthy features about these figures are the rise in value of tin during the last few years of the series, and the growth of the re-export trade. The rise in values is still further shown by the following figures of the price of tin in London, which have been extracted from a German Annual Report published in Frankfort on the production of the minor metals : 1880 . 1885 . 1890 . 1895 . Average Yearly Price. a. d. 87 7 6 86 12 6 94 3 6 63 7 1 1900 1905 1909 Average Yearly Price. s. d. 133 11 6 143 1 8 134 15 6 of Preliminary Tables issued by the get the following (the figures apply In the fourth series Census of Production we to 1907): TIN OAK (including tin recovered from tin streams). Tons (English). Die-sod ..... 6,600 645,000 16,100 7,000 The figures for manufactures of tin are as follow : Tons. Un wrought (including ingots, blocks, bars, etc.) 13,000 Manufactures . 2,184,000 86,000 2,220,000 Our exports of unwrought tin in 1907 amounted to 8700 tons, or 67 per cent, of the quantity produced in the United Kingdom. 228 THE PROGRESS OF THE NATION while the net imports were 17,000 tons, or about one-third more than the quantity produced in the United Kingdom. Copper is a very important metal in modern industry, owing to its facility for being combined with other metals and thus forming alloys, such as brass and bronze, and also owing to its increasing use in the electrical industries where in many cases it is practically indispensable. In the first half of the nineteenth century the produce of the copper mines of Cornwall increased in a much greater proportion than that of the tin mines, as appears by the following state- ment of the produce of the former, from 1771 to 1786, and from 1796 to 1848: Year. 1771 1775 1780 1785 1796 1800 1805 1810 Tons. . 3,347 Year. 1815 . 3,596 1820 . 2,932 1825 . 4,434 . 4,950 . 5,187 . 6,234 1830 1835 1840 1844 . 5,682 1848 Tons. 6,607 7,364 8,226 10,748 12,270 11,037 11,246 12,870 The productive power of the Cornish mines thus increased more than threefold in the last sixty years of the period. No statement can be given of the total quantity of copper raised in the United Kingdom before 1820; from that year onwards the produce was as under (we have carried Porter's figures up to date) : Tons. 8,127 13,232 19,899 15,968 7,175 2,487,375 1,706,261 551,309 1880 1890 1895 1900 1908 Tons. 3,662 936 679 765 579 253,277 57,650 27,268 59,995 36,935 There has been, it will be seen, a rapid decrease in the quantity produced during the last fifty years. Our imports of the copper ore and regulus over the same series of years were as follow : 1851 I860 1870 1880 Tons. 42,126 97,317 106,632 145,475 2,211,558 2,015,128 2,582,334 1890 1900 1905 1909 Tons. 215,935 100,753 92,689 89,153 3,910,968 1,172,622 983,505 909,723 Copper ore only from 1900 onwards. The Copper Handbook (vol. ix.), by Horace J. Stevens, of Houghton, U.S.A., contains the following interesting account of the English copper mines : BRITISH MINES AND MINIM, 229 "At the Ixigdmung of the eighteenth century the English mines, in Cornwall, were making much the largest part of the world's copper output, and even at that date were of such considerable depth, and with such extensive underground openings, that the problem of disposing of the water was of vital importance. Many good mines were allowed to remain idle, solely because of the expense of keeping them free of water was greater than the profits of operation. The first steam-engine was built for a Cornish mine, the Wheal For, by a Captain Savery, very early in the eighteenth century. It was but a partial success, and the plan was improved on by Newcomen, who erected a pumping engine at the Wbeal Fortune mine, Cornwall, 1720. The first Watt engine, erected at Chacewater, Cornwall, in 1777, proved a great success, and came none too MOB, as the larger mines, deepened by reason of the aid given from Neweomen's pumps, were at a depth where the first crude engines no longer could give satisfactory results. " Although steam power was first applied to copper-mining two centuries ago, it was used only for handling water until after the beginning of the nineteenth century. The first application of steam power to other mining uses was in the first or second decade of the nineteenth century, when a hoisting drum was first actuated by steam. " For the first half of the nineteenth century, Great Britain maintained its position at the head of the world's copper producers, but for British copper mines the latter half of the century was a period of ever-increasing depression, relieved by only occasional years of prosperity. The invention of the Watt engine and its application to pumping machinery enabled the mine operators of Cornwall and Anglesea to penetrate to depths theretofore undreamed of. In 1790 the Dolcoath mine in Cornwall was 600 feet deep ; in 1816 it was down 1368 feet, and in 1830 the Tresavean mine, also of Cornwall, reached the great depth of 1920 feet. As the mines increased in depth rapidly, various improve- ments became necessary. The old method of raising ore in baskets, carried up ladders on the backs of men and women, was replaced by whims, operated first by hand, then by horse power, later by water-wheels, and eventually by steam, the ropes that hoisted ore in wicker baskets being coiled around these whims. A little later the hempen ropes were replaced by wire cables, and the baskets gave way to iron skips and cages. In 1842 the first man-engine was built, for taking miners to and from their work in the deep shaft. Mine surveying was introduced, and machinery employed in the mills, where hand work had been the rule for centuries. The Anglesea mines enjoyed great prosperity for the first quarter of the century, but gave unmistakable signs of exhaustion a few years later, and in the fourth decade ceased to be important factors in the world's copper industry. The smelters of Wales had attained such growth, however, that Swansea still remains the seat of one of the greatest and most diversified smelting industries of the world." Turning again to the Census of Production Report, we find that iu 1 907 the production (exports and imports) of copper ore, regulus. and precipitate were as follows : Production. Exi- Import*. T"ii.-. Tons. Km 10,600 ... 170,400 230 THE PROGRESS OF THE NATION As regards the manufacture of pure copper goods the Report states the production to be as under : Copper Wrought or manufactured (including plates, rods, tubes, wire, etc.) .... Copper Sulphate ...... 4,963,000 897,000 5,860,000 The total production is probably rather greater than this, as some pure copper goods are classified with brass goods. The exports of copper sulphate in 1907 amounted to 45,000 tons (English), or a little over 7 1 per cent, of the quantity manufactured in the United Kingdom. As regards the price of both tin and copper raised in Cornwall during the first half of the nineteenth century, Porter gives the following details : Price per Ton. Year. Total. fp*__ Standard of Im. Copper. s. d. 1801 Tin . 254,722\ Copper 476, 31 3 / 731,035 101 117 1806 Tin . 344,027 \ Copper 730, 845 / 1,074,872 120 10 138 1811 Tin . 337, 336 \ Copper 563.748J 901,078 141 10 126 1816 . Tin . 383,346) Copper 541, 737 / 925,083 114 10 109 1821 Tin . 242, 730 \ Copper 628, 832 / 871,562 77 10 111 1826 Tin . 348,074) Copper 788, 971 / 1,137,045 79 123 1831 Tin . 300, 845 \ Copper 806, 090 j 1,106,935 73 10 100 1834 Tin . 321,860\ Copper 887, 902 J 1,209,762 77 114 Commenting on these prices, he says : " The increase thus shown in the value since the peace (1815), which apparently amounts to more than 30 per cent., is really much beyond that rate. In 1813, the last year of the war with France, the price of tin was 134, and of copper 113 per ton, estimated in a currency depreciated to the extent of 29 per cent." The price of standard copper during the latter part of the BRITISH MINES AND MINING 231 nineteenth century, according to the German Report previously quoted, has been 1880 1885 1890 1895 Average Yearly Price. s. d. 62 14 7 43 11 54 5 3 42 19 7 1900 1905 1909 Average Yearly Price. 8. d. 73 12 6 69 12 58 17 3 As regards lead, another very important metal, Porter is unable to give any information. He states : " There are no means by which to ascertain the progress made at any time in the productiveness of the lead mines of this kingdom. To answer private purposes, he continues, " the individuals by whom some of the most productive of those mines were worked, studiously concealed the amount of metal which they raised. Various conjectural estimates were made as to that amount, but little dependence can be placed upon their accuracy ; and even if we could determine which of those estimates was nearest to the truth, this would afford no help towards forming a comparison between different periods. Neither is any light thrown upon the subject by our custom-house records, since the amount of our exports of lead was, in a great degree, governed by the comparative productiveness of the mines of other countries, and particularly by those of Adra in Spain. The extent to which these were wrought appeared to fluctuate considerably from one year to another." Of course since Porter's day information has been available. Our production of lead since 1854 has been as follows: 1854 I860 1870 1880 Tons. . 64,005 . 63,317 . 73,420 . 56,949 1,497,717 1,412,760 1,452,715 953,895 1890 . 1900 . 1905 . 1908 . Tons. 33,590 24,364 20,646 20,999 449,826 418,960 286,377 288,124 Our imports, exports, and re-export of lead ore (red and white le.it 1 and litharge) have been IiilK>rts. Exports. Re-exports. Tons. Tons. Tons. J 1,432 44,337 1900 . 1905 . 1909 . 21,219 9,397 15,542 :i in, 082 78,423 120,543 1,482 3,263 11,046 365 31,389 >\ ,..! j.:",:. 5,631 232 More information as regards the production of lead in the United Kingdom is provided by the Eeport of the Census of Production. In 1907 our production of lead was 29,000 tons (English), our export 7300 tons, and our import 10,500 tons. The imports of lead in that year amounted to 36 per cent, of the quantity raised in the United Kingdom, and about 25 per cent, of the lead ore raised here was exported. Over 200,000 tons of lead, pig and sheet ore are now imported annually. As to home manufactures, the Census Eeport gives the following details : Tons. Pig lead ..... 111,000 2,083,000 Manufactures Returned by weight . . . 128,000 2,630,000 Returned by value only . . ... 142,000 White lead . 39,000 856,000 5,711,000 The Report adds that it is impossible to state precisely the value of the lead manufacturing industry of the United Kingdom taken as a whole, as it is not known what proportion of the lead manu- factures made in the United Kingdom was produced from imported pig-lead. But the above figure of 5,711,000 may be taken as a close estimate. It should be observed that the figures showing the quantity of pig-lead produced applies only to that sold or warehoused as such, but on the basis of a voluntary inquiry it was estimated that the total quantity of pig-lead in the United Kingdom during the censal year amounted to between 133,000 and 141,000 tons. The price of lead every ten years since 1771 has been as follows (we again quote from the German Eeport) : Year. 1771 1780 1790 1800 1809 1820 1830 1840 There is another important metal of which Porter makes no Average Yearly Price of English Lead in London. Average Yearly Price of English Lead in London. Per ton (2240 lb.). s. d. Year. Per ton (2240 lb.). s. d. . 13 7 6 1850 . 17 10 . 11 2 6 1860 . 22 6 3 . 16 2 6 1870 . 18 13 .21 1880 '. 16 6 3 . 31 3 9 1890 .13 7 10 . 21 10 1900 . 17 3 7 . 12 2 6 1905 . 13 17 7 . 18 2 6 1909 .13 6 OA BRITISH MINES AND MINING 233 mention, namely, zinc. Our production of this metal from British ores since 1860 has been : I860 1870 1880 1890 1900 1905 1908 Tons. 4367 3936 7162 8682 9066 8880 5832 89,636 74,096 123,544 203,U8 188,573 230,880 122,739 while our imports and exports since 1895 of zinc ore were: Year. Imports. Exports. Tons. Tona. 1895 . 87, 4* 147,890 *. .. . 1900 42,068 235,850 13,689 41,554 1905 66,487 352,437 13,215 67,715 1909 73,814 465,021 1,643 7,274 According to the Census of Production the quantity of zinc ore produced, imported, and exported in 1907 was: Production. Tons (English). 17,600 Exports. Tona (English). 11,300 Net Imports. Tons (English). 61,500 The figures for manufactured zinc were : Zinc or Spelter Tons. Crude, in cakes 38,000 Manufactures (including sheet zinc, oxides, etc.) 10,000 917,000 238,000 1,155,000 The average yearly price of zinc (ordinary brands) every ten years in London since 1870 has been: Year. 1870 1880 1890 Average Yearly per Ton. (2240 IK) H. last and out of blast, and the number of tons of iron made at each work in Great Britain. It was there shown that the annual product, exclusive of Ireland, amounted to 1,396,400 tons; the numl'iT <>f furnaces in blast was 402, of which number 162 em- ployed the process of blasting with hot air. The manufacture was in this statement distributed as follows among the various divisions of the kingdom, and an estimate was offered of the quantity of coal used in the manufacture, namely Tons of Iron Tons of Coal Made. Used. Forest of Dean .... 15,500 60,000 South Wales .... 505,000 1,436,000 North . . 26,500 110,000 Northumbrian)! .... 11,000 38,500 Yorkshire . . . .56,000 306,500 Derbyshire .... 31,000 129,000 North Staffordshire . . . 20,500 83,000 South ... 407,150 1,582,000 Shropshire .... 82,750 409,000 Scotland . . . . .241,000 723,000 1,396,400 4,877,000 Coals used in converting to wrought iron . . . 2,000,000 Total . . 6,877,000 The commercial depression, which continued for about four years after Mr. Jessop's statement was compiled, led our iron-masters to diminish the scale of their operations in order thereby to lessen their losses. A statement was drawn up in 1842, under the direc- tion of an association of the Yorkshire and Derbyshire iron-masters, showing the quantity of iron made during the first six months of that year, in Yorkshire, Derbyshire, Staffordshire, Shropshire, South Wales, and Scotland, as under : Tons. Yorkshire 23,471 Derbyshire . . . . . . .18,795 Staffordshire 151,130 Shropshire . . . . . . .40,643 South Wales 158,715 Scotland .... . 135,460 Total . . 623,214 equal to 1,046,428 tons per annum. The quantity made in the above divisions of the kingdom, in 1840, according to Mr. Jessop, was 1,343,400 tons, showing a diminished production at the rate of 296,972 tons, or more than 22 per mit. 1 Mr. Jessop, of Hutterlcy, in Derbyshire. 240 THE PROGRESS OF THE NATION The number of furnaces in and out of blast, and the quantity of iron made in different parts of Great Britain, in each of the years 1847 and 1848, is here given upon what was considered good authority : Furnaces. TroD M&dc In Blast. Out of Blast ! 1847. 1848. 1847. 1848. 1847. 1848. No. No. No. No. Tons. Tons. North Staffordshire 16 14 3 7 65,520 67,080 South ,, 77 112 62 25 320,320 465,920 Shropshire 28 31 6 4 88,400 111,020 Derbyshire 20 20 10 10 95,160 78,000 Yorkshire . 23 20 5 11 67,600 59,800 Newcastle-on-Tyne 24 17 12 15 99,840 94,380 North Wales 5 5 6 9 16,120 22,256 South 151 139 45 57 706,680 631,280 Scotland . 89 94 41 36 539,968 564,000 433 452 190 174 1,999,608 2,093,736 A striking progress was made during the nineteenth century in the exportation of British iron in an unmanufactured state. The quantities supplied to other countries by Great Britain have in- creased since 1801 as follows : Year. Bar Iron. Pig Iron. Castings. 1801 1812 Tons. 3,001 13,196 Tons. 1,588 4 066 Tons, 2 349 1822 1832 1842 1849 1850 1860 1870 1880 33,395 74,024 191,301 376,118 469,434 311,459 321,455 304,214 5,095 17,566 93,851 161,775 141,973 342,566 753,339 1 632 343 4,810 12,495 15,934 16,549 21,093 74,971 233,721 07K 714 1890 ' 222,835 1,145 268 4*>4 171 1900 1910 137,967 141,437* 1.427,525 1,210 728 * Of wrought iron only. One branch of manufacture carried on in Sheffield, the conver- sion of iron into steel, was very greatly extended during the first IRON AND STEEL MANUFACTURES 241 half of the last century, and a considerable part of the output was exported in an unwrought form. The town of Sheffield, in 1835, contained fifty-six furnaces for converting iron into steel ; beside which, there were sixty-two establishments, con taining 554 furnaces, for moulting steel. The original conversion of the metal into blistered steel occasioned the use of about 12,000 tons of coal in the form of coke, and the subsequent processes required about 81,000 tons in addition. Five-sixths of the iron then used for manufacturing purposes in Sheffield was of foreign production; only 2000 out of the 12,000 tons consumed annually being of British origin. The cost of the fuel formed just one-third part of the expense of con- verting and casting steel. The progress of this particular branch of trade may be understood from the following statement of the quantity of unwrought steel exported at various periods, from 1814 to 1849 : Year. Tons. j Year. Tons. 1815 .... 1,221 1835 .... 2,810 1825 .... 533 1845 .... 7,015 1849 .... 8,095 tons. Our principal market for unwrought steel in the first half of the nineteenth century was the United States of America. The quantities sent there at various periods during the thirty-five years from 1815 to 1849 were as follow: Year. Tons. 1815 . . . .774 1825 . 130 Year. Tons. 1835 .... 1,886 1845 .... 3,633 1849 .... 5,216 tons. The increased use of iron in this country during the first half of the nineteenth century was truly extraordinary. The imports of this metal at the beginning of the century amounted to about 40,000 tons yearly, and the quantity made at home was under 150,000 tons. It was given in evidence, by Sir John Guest, before the Committee of 1840 on Import Duties, that in the year 1806 the quantity of iron made in the kingdom was 258,000 tons; that in 18l':'. thu quantity produced was 452,000; in 1825 it had reached 581,000 tons: and in ixi'S thr nuantity was 703,000 tons. Aimtli.-r tivinrndnus impulse was given to the trade by the invent imi and rapid extrusion of railways and steam locomotion. It is probable that by the year 1S4~ in Scotland alone the quantity 16 242 THE PROGRESS OF THE NATION of iron made had risen to not less than half a million tons annually. Accepting Sir John Guest's data and the figures of the parlia- mentary returns for the quantities imported and exported during the period 18061844, we arrive (after a further small deduction for exported hardware) at the following results for home consumption : Year. British Iron Made. Foreign Iron Used. British Iron Exported. Remained for Home Use. Tons. Tons. Tons. Tons. 1806 . 258,000 27,411 36,925 243,857 1825 . 581,000 14,977 34,372 550,625 1835 . 1,000,000 17,571 199,007 798,367 1844 . 1,400,000 21,599 458,745 940,302 This rapid and great increase during the last period shown by these figures was in some part caused by the economy introduced through the use of the hot blast in smelting, a process which materially lowered the cost of iron, and therefore led to its employment for many purposes in which its use was previously unknown. An account of many branches of iron and steel manufactures will be found in a later chapter. IRON AND STEEL, 1850-1910 So great has been the progress, and so revolutionary the changes introduced into the iron and steel trades since 1850, that it is impos- sible to give more than a brief sketch of their development. The modern steel trade is practically a new industry since Porter's day ; for no less than three new distinct processes for making steel have been discovered during the last fifty years. In the following pages our account of the iron and steel trades will include the production of iron ore, pig iron, finished iron, and steel, but certain special engineering trades and the cutlery trade will be dealt with in later chapters. To begin with iron ore. In Porter's time most of the iron and steel produced in this country was made from ores that were obtained from the home supply. During the latter half of the nineteenth century the demand for iron and steel manufactures expanded so rapidly that more and more foreign ores had to be imported. The growth of this import trade is shown in the follow- ing table : IRON AND STEEL MANUFACTURES Year. fOML Value in . 1880 2,632,601 2,; 89, 929 1890. . 4,471,790 3,596,056 1900 6,297,963 5,639,003 1910 7,020,799 6,056,883 The country that sends us the most iron ore is Spain, her contribution amounting to 4,714,744 tons in 1910. Other countries of supply are Sweden, Greece, Italy, and Algeria. The British iron fields and their outputs in 1904 are shown in the following table, which is taken from The Iron Trades of Great Britain, by Mr. J. Stephen Jeans : Districts or Counties. Total. Percentage of the Total Output Tons. 1. Scotland .... 828,314 6-2 _'. ( 'uniterland and Lancashire 1,569,353 11-7 :5. Yorkshire, N. Riding (Cleveland) 5,401,932 40-2 4. Staffordshire . 815,379 8-1 5. Lincolnshire . 1,843,926 137 6. Northamptonshire 1,751,427 13-0 7. Other Counties 1,133,911 8-5 8. Ireland . 81,762 0-6 Total 13,426,004 100-0 The next stage in the production of iron and steel is the manufacture of pig iron, but this can hardly be considered as a trade apart ; for many large firms carry on all the processes of iron and steel manufacture, from the producing of the crude material to the turning out of the finished product. The two principal kinds of pig iron made in Great Britain are (1) forge and foundry, and (2) Bessemer or hematite iron. A third kind known as Spiegeleisen also deserves mention. The forge and foundry iron is by far the oldest kind of pig iron produced in this country. The other two kinds are of comparatively recent dis- covery. Mr. Jeans states that "in 1850 the total production of pig iron throughout the world was under five million tons. Ten years later the output had advanced to 7,400,000 tons, in 1 it had risen to 11,900,000 tons, and in ISSO t.< 18,484,000 tons. I'M 'tween 1880 and 1890 there was an increase of 9J million tons, 244 THE PROGRESS OF THE NATION which compares with an increase of rather over 13f million tons in the previous thirty years. But between 1890 and 1900 the world's increased make of iron was close on 13| million tons, almost equalling the whole increase in the period 18501880." Mr. Jeans adds : " Up to the year 1870 Great Britain produced one-half or more of the total pig iron output of the world. . . . In the year 1903 Great Britain produced 20 per cent., the United States 42 per cent., and Germany 25 per cent." Haematite iron is only produced in six of the principal iron- making districts of Great Britain, the more important being West Cumberland, South Wales, and Scotland. The following table shows the growth of pig iron production in this country since I860: Year. From British Ores. From Foreign Ores. Total. Tons. Tons. Tons. 1860 3,826,752 1870 5,963,515 1880 7,749,233 1890 7,904,214 1900 4,666,942 4,292,749 8,959,791 1908 4,847,448 4,209,403 9,056,851 Sixty years ago the finished iron industry was the most im- portant branch of the iron and steel trades ; but since the develop- ment of modern methods of producing steel, it has diminished in importance. According to Mr. Jeans, " only about twenty-five years ago Great Britain produced well on to three million tons a year. At that time the principal centres of the trade in finished materials were South Staffordshire, the north-east coast of England, and South Wales, each of which produced from 750,000 tons to about a million tons of puddled iron annually." In 1902 and 1903 the total output of such iron had declined to under a million tons. The principal finished iron products of the present time are bar iron, sheets, rounds and squares, hoops, and wire rods. Bar iron repre- sented about 40 per cent, of the total make of finished iron in 1904. Of the principal districts that formerly produced finished iron, South Staffordshire is still of some importance; but the trade in South Wales has practically disappeared. Its place has been well filled, however, by the tin-plate industry. The steel industry, though of course it existed in Porter's IRON AND STEEL MANUFACTURES 245 days, has undergone such revolutionary changes that it can almost be regarded as a new manufacture. Prior to 1850 there was only one process of making steel, namely, the crucible process. Mr. Jeans says that " until thirty-five years ago the British steel industry was carried on almost entirely in Sheffield and its neighbourhood. . . . Until the year 1860 the quantity of steel yearly produced in Great Britain did not exceed 100,000 tons, and the output of the whole world was not twice that quantity annually. The steel then produced was almost wholly of the variety known as crucible, puddled, or cementation, and its cost was heavy, both because it was produced from expensive material Swedish bar iron and because the process of manufacture was long and costly. Up to about 1860 very little steel was produced at a less cost than 20 per ton, and much of the product went up to 50 and 60." The first great change in the conditions of steel-making came in 1856, when the Bessemer process was discovered. The Bessemer process consists of blowing a blast of air through molten iron so as to clear it of all carbon, and then adding sufficient carbon to convert it into steel. The next great invention in the steel trade is known as the open- hearth process. This was discovered by Siemens Brothers between 1864 and 1867, but it was not until 1870 that the industry really began to develop ; since then its progress has been very rapid. In Great Britain the annual output of open-hearth steel exceeds three and a half million tons. One great difference between the Bessemer and the open-hearth process is that while the former takes about fifteen minutes, the latter takes six to eight hours to consummate. The longer period is advantageous ; seeing that it enables various degrees of hardness and temper to be introduced into the open -hearth steel which are not possible with the Bessemer method. The third new process to be inaugurated was the basic process. This was discovered by Mr. Thomas and Mr. Gilchrist in or about the year 1879. The fundamental point in the basic process is that it eliminates phosphorus from impure ores. This had far-reaching results, as there were vast supplies of iron ore in the world, which had hitherto been useless, owing to their containing phosphorus. It affected about two-thirds of the ores in the country, but it was of even more value to Germany and France, as the stores of phosphoric ores possessed by these countries was relatively greater than those possessed by England. In fact, it was the 246 THE PROGRESS OF THE NATION discovery of the basic process that made the modern German steel industry possible. The following table, extracted from Mr. Jeans' valuable book, shows the iron and steel output of leading British districts in 1904: District. Pig Iron. Steel. Puddled Iron. Tons. Tons. Tons. Cleveland ...... 2,234,345 1,229,322 106,880 Scotland 1,339,000 1,020,000 207,350 Wales 779,600 1,068,761 7,000 Durham 981,100 Included in Cleveland Included in Cleveland W. Cumberland 551,300 370,500 Lancashire 522,900 342,100 130,715 ( Included in Lincolnshire < 321,400 S.W. York- nil. 1 shire Derbyshire 292,400 nil. 31,662 Northamptonshire .... 223,900 nil. nil. Notts and Leicester 310,800 nil. nil. Staffordshire ..... 573,100 420,000 338,398 South and West Yorkshire 263,413 533,362 107,997 Other districts .... 385,400 123,226 Totals of United Kingdom 8,778,658 4,984,045 936,228 Our output of steel billets since 1850 is shown by the following figures, which are taken from statistics supplied by the Iron and Coal Trades Review for the use of the National Monetary Commission of the United States : Year. 1875 1880 1885 1890 Tons. 723,605 1,320,561 2,020,450 3,637,381 Year. 1895 1900 1905 1907 Tons. 3,312,115 4,901,054 5,812,282 6,522,748 The average price of pig iron of the same quality in Glasgow in certain years from 1835 to 1849 was as follows: Year. 1835 1836 1837 1838 1839 Per Ton. s. d. 426 6 13 4 12 4 10 450 Year. 1840 . 1841 . 1842 . 1843 (Jan.) 1849 Per Ton. s. d. 3 18 376 2 10 2 15 260 The selling price of English Merchant bar iron in Liverpool IRON AND STEEL MANUFACTURES 247 at the beginning of every ten years from 1806 to 1845 was as under: Year. 1806 1815 1825 Per Ton. s. d. 17 10 13 5 14 Year. 1835 1845 Per Ton. s. d. 6 10 6 10 Mr. Jeans gives the following figures showing the average prices of leading descriptions of iron in Great Britain in 1880, 1890, and 1900: Scotch warrants ,, bars Merchant Mars, Liverpool S. Staffordshire List Iron For 1907 the Census of Production gives the size of our iron and steel trades as : 1880. 1890. 1900. s. d. s. d. s. d. 244 234 2 19 8 6 10 700 8 10 5 15 600 9 10 7 15 950 10 15 Gross Output. Cost of Material Used.* Net Output. Number Em- ployed. Net Output per Person. Iron and steel fac- tories (smeltiir..', founding, and rolling; 105,597,000 74,649,000 30,948,000 262,225 118 * Including payment for work given out to other firms. The net output of iron and steel factories included in this table was valued at 30,948,000, this representing the amount by which the products as a whole exceeded the cost of the materials used and the work done on them by other firms for the principal firms. The actual cost of the raw materials used is not known, since the total of the sums returned as " materials " includes, like the total of the sums returned as "output," iron and sttvl made by one factory and sold to another. CHAPTER XIV MACHINERY, ENGINEERING, SHIPBUILDING, AND ELECTRICAL TRADES 1800-1850. Importance of perfect tools and implements Progress of manu- facturing skill in their production Foreign mechanical inventions perfected and adopted in England Policy of allowing the exportation of machinery Laws for restraining artisans from going abroad Their repeal Value of machinery exported. 1850-1909. The engineering trades Census of Production figures Exports of machinery and mill-work, 1845-1910. The Shipbuilding Industry. The first iron-built vessels Growth of industry, 1850-1910 Causes of growth Steel-built vessels Introduction of steam The com- pound engine Early steam-vessels Turbines Changes in design and structure Shipbuilding centres in the United Kingdom. The Electrical Industry. Age of industry Early experiments The discovery of the dynamo Uses of electricity Electric lighting and the arc lamp The Edi-Swan lamp Brush boom Parliamentary legislation Electric traction The electric motor Electric power Effect on industry and manufactures Towns Some problems of the electrical industry Foreign trade in electrical goods. Locomotive and Wagon Building. Our export trade in railway material, etc. The Explosive Engine. Early types of gas-engine oil-engines The motor trade Our foreign trade in motors Our foreign trade in cycles Possibilities of the explosive engines aeroplanes. 1800-1850 " T N no branch of manufacturing skill," writes Porter, " has more important and rapid progress been made of late years in this country than in the production of manufacturing imple- ments and machinery. The great importance of this to a manu- facturing people scarcely needs to be insisted on. Without superior tools and implements, how many valuable inventions now used, which minister extensively to the advantage and comfort of society, must have remained unapplied, if they had even at all suggested themselves to the minds of the ingenious men by whom they have been conceived ? " Some part of our cotton-spinning machinery was, during the first half of the nineteenth century, of foreign invention ; but as the state of the mechanical arts was not sufficiently advanced for MACHINERY AM) KM , INKKRIM; 249 that purpose in their own countries, the inventors were obliged to resort to English workshops for the means of perfecting their cuiceptions, and as our factories offered at the same time the st and most profitable field for the employment of these machines, oui cotton manufacture fairly profited from the ingenuity which it mainly fostered. One of the most successful spinning frames used in the factories of Lancashire, in the middle of the nineteenth century, was the invention of a citizen of the United States of America. The necessity for the employment of a high degree of skill in the adjustment of machinery for manufacturing purposes, was illustrated by Dr. Ure in his work, The Philosophy of Manufactures, 1'V the following anecdote: V manufacturer of Stockport being, not long ago, about to mount 200 power-looms in his mill, fancied he might save a pound sterling in the price h liy having them made by a neighbour machine-maker, instead of obtain- ing them from Messrs. Sharp & Roberta, in Manchester, the principal con- structors of power-looms. In order to give his fabricator every chance of success, the economist surreptitiously procured iron patterns cast from one of the looms of that Company, which, in its perfect state, costs no more than 9 15s. His 200 looms were accordingly constructed at Stockport, supposed to be facsimiles of those regularly ntade in Manchester, and they were set to work. Hardly a day passed, however, without one part or another breaking down, insomuch that tin; crank or tappet-wheels had to be replaced three times, in almost every loom, in the course of twelve months. The fabric of the cloth was also in- ditr rent. The proprietor, perplexed beyond measure, inquired of a neighbour who worked similar power-looms made by the Manchester machinicians, whether heels likewise went to pieces every other day, and learned, to his mortifica- tion, that not one of them had broken in the course of working, but that the four or five spare ones, originally sent from Manchester along with his 236 re unused and quite at his service. The old proverb of ' Penny :ii'l i'uiui'1 foolish ' never had a better illustration. His weaving factory had been most irregular and unproductive, while that of his neighbour had been uniformly prosperous." The circumstances that have just been mentioned seem naturally to lead to a consideration of the policy which so long prevailed, of prohibiting the exportation of machinery from this country. It may be conceded that, in cases where an individual or a nation is in the possession of superior manufacturing processes whe: :er profits can be realized, it is natural to use every fair means for keeping those advantages out of the bauds of foreign competitors. It is clear that these competitors could have, no just reason for complain ing, if we preferred our own profit to theirs. Neither would the inventors of the machinciy have much cause for 250 THE PROGRESS OF THE NATION complaint, if the Legislature should pass laws under which the manufacturers of this country would be secured in the monopoly of home inventions. Machine-makers have, so far, a contrary interest to the manufacturers, that they are benefited by the extension of the use of their machines, while the apparent ad- vantage of the manufacturers consists in confining that use to themselves. To prohibit the exportation of his wares may there- fore, at first sight, appear to be as great a hardship upon the machinist as it would be upon the weaver of cotton, if his produc- tions were confined to the home market ; but the cases are not in all respects parallel. By the restriction last supposed, the extension of the weaver's trade would be in a great measure limited to the slow natural increase of the people in the country of production ; whereas the confining to that country of a machine, by means of which better or cheaper goods can be made, will be followed by nearly the same effect as if the exportation of the improved machines were allowed, since the greater quantity of goods pro- duced by their means, and for which, in consequence of their superiority or cheapness, a foreign demand would be kept up, must cause a greater number of the machines to be used at home, and it can be of no moment to the maker of those machines, whether his customers reside in the United Kingdom, or in France or Germany. The state of things which has been here supposed cannot, how- ever, have any existence in reality. It has never been found practicable to adopt regulations whereby the exportation of machinery can be wholly prevented. Where the invention is the object of a patent, an accurate and complete drawing and description can be procured by any one without trouble ; and by the transmission of these, any engineer of ordinary capacity can hi most cases construct a machine which will at least answer as a very tolerable substitute for that made under the inspection of the inventor. In more complicated inventions, it mostly happens that the only part of the machine which is difficult of execution is of small dimensions, and it is consequently easy to convey it illicitly out of the kingdom. Under these circumstances, it appears to be the most prudent course to legalize the trade, and thereby to secure for a part of the community a profitable source of employment. Nor would the manufacturers in this kingdom have any right to complain of the facilities thus given to their foreign rivals. The inventions which they would seek to retain for their own advantage have cost them neither labour nor expense. In fact, they can in no case have any plea for such a restriction, except that of the MACHINERY AND ENGINEERING 251 general advantage of the community, and the cases can be but very few in which that plea can be successfully urged. The interest of the bulk of the people must, on the contrary, always be best pro- moted by that policy which gives the utmost freedom to industry, and tends to lower the prices of articles of consumption. Laws which prohibit the communication of facilities and improvements are liable to be imitated by other nations, either in a spirit of retaliation, or possibly from a belief in their wisdom, and both these reasons may be expected to operate most freely when the example has been set by a successful and powerful nation. Let us imagine that the American Congress, impressed with the wisdom of our old system of restrictions, or stung with a feeling of jealousy of our manufacturing superiority, had passed a law forbidding the communication to foreigners of the inventions of American citizens, so that the machines already spoken of as being derived from that country must have been brought into operation there and there only. It is far from being certain that while by the adoption of this course, England would have sustained a considerable injury, the American people would have derived any substantial benefit. In the fair and legitimate course of dealing between two people, it is so far from being true that what one of them gains the other must necessarily lose, that, on the contrary, few things are more certain than that both may be, and almost universally will be, gainers by their transactions. But neither does it follow, that in unprofitable dealings, what one loses must be gain to the other ; both, on the contrary, may lose, and in the long run this is almost sure to be the result. In the case supposed, America would lose an excellent customer for a large amount of her raw produce, and her citizens would consequently be deprived of many articles of English manu- facture, which they cannot procure at so good nor at so cheap a rate elsewhere. The capital required for carrying on the cotton manufacture upon a large scale would be withdrawn by them from other pursuits in which it is profitably embarked, and while a few mi^ht possibly be gainers, the many would be subjected to certain loss. The laws prohibiting the exportation <>f machinery from this country were, however, <^raf Parliament, The principal advantage of this discretionary power vestal in the Board of Trade consisted in its leaving to that Board the power of regulating the matter according to the changing interests of commerce. The policy of restricting this, which might become an important 1 >ranch of trade, was the subject of laborious investigation by Com- mittees of the House of Commons which sat in 1824 and 1825. The concluding paragraph of the report made by the Committee in ls2."i explains the reasons why it was thought expedient to leave the list of prohibitions unrepealed, and shows that the result of their inquiry left no doubt on the minds of the members of the Committee as to the inexpediency of the existing system. England is, beyond all other countries, interested in the most perfect freedom being given to this as well as to every other branch of commerce. Placed beyond all comparison at the head of civiliza- tion as regards manufacturing skill, with capital far more ample than that possessed by any other people, with cheap and inex- haustible supplies of iron and fuel, and with institutions every way favourable to the utmost development of the industry and ingenuity of her citizens, she must always be able at least to maintain her superiority of position where circumstances are in other respects equal ; and be ready to turn to the utmost advantage every im- provement which may reach her in common with less powerful rivals. The first Act passed by the English Parliament for preventing the exportation of machinery is dated in 1696. This Act pro- hibited the exportation of Lee's stocking-frame, a machine which was invented in 1600. The next restriction was passed in 1750, after an interval of more than half a century. This Act was intended for the protection of the woollen and silk manufactures. The first of these branches of industry had previously flourished in England for more than 250 years without this protection. As to the silk manufacture, the tools and utensils employed in this industry wore prohibited from being exported by this Act The silk industry was then only in its infancy, and it never took firm root as one of the branches of the national industry, until mounds and fences raised up by the Legislature for its protect inn had been removed, and it was left to work its way exposed to com petition from the then more accomplished artisan i Another interval of twenty-four issed before any furthei Act of the same nature was passed. The next law, passed in 1774, 254 THE PROGRESS OF THE NATION prohibited the exportation of certain tools used in the cotton and linen manufacture. From that time the system of prohibition appears to have been in great favour with the Legislature ; the Acts which were passed forbidding the exportation of implements having followed each other with rapidity, and descending some of them to objects of a very trifling nature, such as " presses and dies for horn buttons," " engines for covering whips," " tools for pinching of glass " in fact, anything for which it appears to have been thought worth while on the part of any class of manufacturers to seek what they considered protection at the hands of the Legislature through a monopoly of the implements required for the production of their goods. Porter continues : " The subject having again been brought under the consideration of a Committee of the House of Commons, principally at the urgent instance of the members of our chief manufacturing towns, and a report having been made recommending the removal of all remaining restrictions, a clause to that effect was inserted in the Customs Duty Bill, 6 and 7 Victoria, c. 84, and machinery of all kinds may now be as freely exported as any other British manufacture. It is too early yet to judge correctly of the consequences of this measure, which took effect from August, 1843. It has, indeed, been followed by one result which could hardly have been anticipated. The French Government, which had offered as an excuse for augmenting the import duty upon linen yarn, our refusal to allow the exportation of flax-spinning machinery, and the consequent disadvantage at which French spinners were placed, have, now that the repeal is withdrawn, lent a favourable ear to the representations of their machine-makers, and have placed a heavy import duty upon the very article the withholding of which from them was represented as a grievance." Considering the perfection to which the manufacture of textile machinery was brought in this country, the value of machinery exported under the system of restriction was quite insignificant, so far, at least, as undisguised trade is concerned. The following table shows the declared value of the shipments of machinery and mill- work every ten years from 1822 to 1849: Year. 1822 . . . 116,220 1830 . . 207,767 Year. 1840 . . 593,064 1849 . . 700,631 The increase in the amount during the last years of the series was caused mainly by greater shipments to Europe. Before that MACHINERY AND ENGINEERING 255 time, at least one-half of the value of the shipments was made up by the demands of our own colonies and dependencies. How far this condition of things altered will be seen by the following figures, which show the value of machinery shipped to foreign countries in Europe : Year. Year. 1831 . . . 29,030 1845 . . . 596,124 1835 . . . 152,159 1848 . . . 58s[229 1840 . . . 374,036 It would fill many large volumes, adds Porter, to describe the numerous inventions which during the present century have imparted facility to our manufacturing processes, and given perfec- tion to the articles made. It will not be expected, therefore, that any enumeration of those inventions should be attempted in these pages. A description of all the improvements which have been made in steam-machinery alone, in the first half of the nineteenth century, would lead to investigations that could be profitably entered upon only in a treatise on mechanics. 1850-1910 If it was difficult for Porter to give more than a very brief and general account of the progress of the machinery and engineering trades, it is far more difficult to continue the subject from 1850 to the present time. The various branches of the trades are so numerous and their ramifications so intricate, that to describe them with anything like detail would require many volumes. It is also well-nigh impossible to designate the various trades that come under the heading machinery and engineering. The amount of overlapping with other trades is enormous. For instance : are steel framework buildings and girder bridges to be classified as engineering trades, or as building trades ? How far can tool- making be separated from the cutlery trades, and so forth ? There are, however, a few very important industries that are always classified as engineering trades. Such are the shipbuilding trades, the electrical industry, locomotive and railway wagon building, and the cycle and motor industries. Upon those we may touch separately; but, before going into any details, it may be interesting to examine a few general statistics relating t<> the engineering trades as a whole. The following statement has been compiled from the Preliminary Tables issm-.l by the < Vi:>us of 1'roduction and represents the size of these trades in 1907: 256 THE PROGRESS OF THE NATION Work Given Net Output.) jj nt Gross Output. Selling Value. Materials used. Cost. Out. Amount paid to Other Firms. Excess of Column (1) over Columns (2) and (3). Persons Employed. Total. M CO Output per Person Employed. (1) (2) (3) (4) (5) (6) Shipbuilding yards and marine engineering works Private firms j 41,660.000 17,895,000 6,087,000 17,678,000 184,567 96 Shipbuilding Govern- ment yards and lighthouse authori- I ties . . . . ' 6,450,480 3,961,412 2,489,068 25,058 . 0!) Engineering factories (including electrical engineering) 101,599,000 48,323,000 3,851,000 49,425,000 455,561 108 Cycle and motor fac- tories 10,643,000 5,063,000 181,000 5,399,000 46,800 115 Railway carriage and wagon building fac- tories 9,609,000 6,027,000 14,000 3,668,000 28,193 127 169,961,480 81,269,412 10,133,000 78,559,068 740,169 106 If we turn to our foreign trade statistics, we find that our exports of machinery and mill-work at intervals of ten years since 1845 have been : Year. 1845 1855 1865 1875 904,962 2,243,166 5,222,633 9,058,647 Year. 1885 1895 1905 1910 11,086,869 15,150,522 23,260,326 29,271,380 1. SHIPBUILDING. EARLY HISTORY The shipbuilding industry has been established in this country practically since the time of Alfred the Great. The Plantagenets did something to encourage shipbuilding, but the Tudor monarchs Henry vn and still more Henry vra and Elizabeth helped its development a great deal. The industry languished under the early Stuarts, but Cromwell made a notable attempt to develop it, and the famous Navigation Acts were the result of his efforts. It was not until well into the nineteenth century, when iron began to displace wood, that the supremacy of British shipbuilding over its foreign and American rivals became firmly established. Porter gives the following interesting account of the first developments of the use of iron as a material for shipbuilding : "Iron was first used about the year 1810 for the construction of vessels employed in canal and river navigation. In 1820 a steam-vessel called the Aaron Manby was constructed at the Horsley Ironworks, and made the voyage between MACHINERY AND ENGINEERING 257 ic capitals of England and France without unlading any part of her cargo. This vessel was still in good condition in 1845 although twenty-six yearn old, never having required any repairs to her hull. In 1825 a small iron steamboat was I.l.-u-ed on the river Shannon, where she is now employed, in good condition. In 1832, The. Elburkah, an iron steam- vessel, built by Messrs. Macgregor Laird & Co., in Liverpool, made the voyage from that port to the coast of Africa, and twice ascended the river Niger. This successful experiment led to the con- struction of many other iron steam-vessels. One ImiMrr, Mr. John Laird, of '.t m- until a demand for electric light had been created More 1 The Anglo-AineruMU Crush Eli-ctric Li^l't I ' d 1880. 264 THE PROGRESS OF THE NATION Brush companies were not alone in the field ; there were others equally anxious to sell good dynamos and good lamps." The pioneers of electric lighting were further hampered by parliamentary legislation. In 1882 an Electric Lighting Act was passed. The distribution of electricity from a central power station to a number of consumers involved the opening of streets to lay cables, and the opening of streets required parliamentary powers. There were various Acts passed during the 'eighties and 'nineties, all of which were complicated in the extreme. In some cases the electric lighting powers were granted to companies, while in others they were vested in municipalities. In every case, however, the local authority had the power of veto over any one company or neighbouring authority seeking powers to supply electricity in its area. The innovation of electric traction came much later than that of electric lighting. In fact this branch of the industry is still in its infancy. The first system of electric traction was installed at Portrush (Giant's Causeway) in 1883, and various small schemes were inaugurated during the following twenty years. The system, however, essentially belongs to the twentieth century. The last ten years have seen the installation of electric tramways in most of our great cities, as well as the electrification of the London Under- ground Railway and the construction of the " Tubes." " The use of electric power to haul cars," writes Mr. Cowans Whyte, " was first demonstrated by Messrs. Siemens in 1879; but although an electric tramway on the overhead system was one of the features of the Paris Exhibition of 1881, public opinion was destined to take many years to get quite accustomed to ' live ' electric conductors suspended overhead." Electric traction, like electric lighting, is partly in the hands of private companies and partly under municipal control. It was made possible by the discovery of the electric motor. An electric motor is, briefly explained, a dynamo reversed. That is to say, instead of generating current by a revolving armature between field magnates, as is the case with the dynamo, electric current is applied to the dynamo, which has the reverse effect and causes the armature to revolve. This discovery was made very shortly after the invention of the dynamo. The details necessary to applying it to practical purposes were rapidly worked out after the perfection of the dynamo. " The secret of the success of electric traction," according to Mr. Whyte, " lies in the economical way in which the power required for transport purposes is used. . . . While a horse tramway has to spend 80 or more to MACHINERY AND ENGINEERING 265 earn 100, an electric tramway will spend only about 60." AB an offset to this, however, the original capital installation is much higher. The remaining uses of electricity to supply " power " and to transmit messages are perhaps the most important of all. It is the nearness and quantity of the supply of industrial power that has been the most potent factor in the formation of modern industry. In the Middle Ages, when the supply was largely manual, or animal, industry was widely scattered over the whole of society. The individual worker was more or less an industrial unit to himself. Factories were unknown, production was in the hands of craftsmen who at the outside employed but few apprentices. It is true that there were guilds in the Middle Ages, but these were associations to protect the individual worker rather than to co-operate in obtaining more economical working. The advent of steam power, however, revolutionized industrial production. The stoiy of the Industrial Revolution is too well known to economic students to require repeating. Steam power had its limitations. A factory could be supplied with power from one steam-engine, but there, as a rule, the limit was reached. The result of this was the growth of manufacturing towns situated where coal and raw materials could be obtained most easily and cheapest Electric power, however, can be supplied to numerous factories from one central " power station." " The great excellence of electric power lies in the fact that it in ty be transmitted without serious loss over long distances," says Mr. Whyte : " if you use electric power you are not compelled to place your factory at the point where coal is cheapest and may be most suitably used ; you are at liberty to go further afield, planting your factory on an open site, and feeding it with power conveyed from a distant source." The electrical industry is a curious one and has problems to solve peculiar to itself. At the outset it requires a large capital outlay, the generating machinery and the laying of mains through streets is very expensive. To be able to earn a profit on all the cai employed it is necessary to keep all the m.-u-liim-ry constantly running. This is j.i rage electric supply .mup.my is unable to do. For instance, ih.- .i.-Muiml f<>; city of London comes in the winter lu-Uv.rn the hours and six. In any case, the demand for li-htin- purposes comes only for a few hours out of the twenty-four. This means that a large quantity of machinery has to be la-pi idle in readiness for 266 THE PROGRESS OF THE NATION sudden call upon it. To meet this difficulty the companies try to arrange that their various customers should make their demands on the electrical supply at different times. To encourage this differential rates are charged. That is why electric light is so much more expensive than power. Every one wants the light at the same time, while the demand for power is much more constant. For instance, a company may have its machinery running at full pressure to meet the city light " lode," after which it will grant special rates to theatres if they will consume light, as they usually do, for the next three hours, after that power is supplied at cheap rates to newspaper offices for printing between stated times in the small hours of the morning, and then perhaps more cheap power will be given, say, to Smithfield Meat Market, in the later hours of the morning. In this way the machinery is kept running for a longer time. A municipality stands in a more favoured position. As a rule, they dovetail their light and tramway " lodes," which come at different times of the day, and thus are able to keep the machinery more or less constantly running. Statistics showing our foreign trade in electrical goods have only been compiled since the 'nineties, and at various periods were as follows: Imports. Exports. 1897 ..... 242,185 1,446,534 1900 ..... 1,265,946 3,347,556 1905 1,010,304 2,431,744 1910 ..... 1,686,540 4,102,602 The development of telegraph and telephones will be dealt with in a later chapter on the Post Office. Of recent inventions in this branch the most wonderful perhaps is that of Marconi, whose wireless telegraphy is now installed on all the great ocean liners. The manufacture of locomotives and railway material has been established in this country ever since the invention of railways, and English engines have won a special reputation for strength and durability. The export trade in locomotives and railway material is largely due to the fact that so many railways abroad, in the colonies and in India, have been financed in England and are controlled mainly by English directorates. It is difficult to obtain separate figures showing these exports as they are classified under various headings in the Board of Trade returns ; some under machinery, the figures for which we have previously given, some under iron and steel, and some under carriages. The changes in classification MACHINERY AM) ENGINEERING 267 that have occurred from time to time in the statistical abstracts make a comparable series of figures impossible. Another type of engine that came into prominence during the last half of the nineteenth century is the internal combustion or explosive engine. In the earlier forms of explosive engines the motive power was supplied by the explosion of ordinary coal gas and air mixed. Although the explosive engine was first made practicable during the last part of the nineteenth century, various attempts were made by Huyghens, Papin and others to utilize explosive agents, like gunpowder, in working machines; and a Fivnch artisan, Lebon, patented in 1799 an engine in which energy was obtained by exploding charges of coal gas mixed with air on each side of the piston alternately, the explosion being effected by an electric spark. Gas is not the only explosive used in modern combustion engines. Oil is also used. The Diesel oil-engine is well known. The invention of the oil-engine made the modern motor car possible. It is difficult to realize that motor cars have been in general use for only about ten years. It is impossible to trace in a limited space the various stages of the development of the motor car. But the following figures of our imports and exports of motors will give some idea of the growth. The figures were not separately distinguished in the Board of Trade returns until 1904: Vno. Imports. Re-exports. British Exports. i ur . Parts. Can. Prte. Con. Puta. , 1904 . . . 2,080,371 343,569 169,313 27,523 240,758 80,244 1905 . 2,438,002 , 929,121 266,985 58,587 376,230 12.- 1906 . 2,486,337 i 1,885,323 312,303 L09,t91 496,899 828,396 1907 . . 2,080,266 i 2,472,520 1.389.652 2.722.909 246,608 161,561 186,057 197,760 867,647 800,636 467,311 467.W3 1900. . . 3, 223,0.1:3 3,093,550 177,064 216,764 962,431 611,174 1910 . 1,439,962 3,694,86(5 287,714 1,376,886 1,228,641 1 1 The motor industry v, established in France, and French a few years ago were the best in the mark.-:. British ui.-mu- facturers soon began lo catch up, IH.W.-V.T. ami m.\s m;:n\ iuakfl of English cars are the best that cun bo obtained. Tl Inures indicate this; for while uur import* have tended to decline, our exports have been growing. It should be u. 268 THE PROGRESS OF THE NATION that owing to changes in the Board of Trade classification, the figures for cars and for parts may not be strictly comparable, but they are near enough to indicate the general movement. Another and older industry that is allied to the motor trade is the cycle industry. Our foreign trade in cycles since 1895 has been as follows : Cycles and Parts (not Motor Cycles) (In Thousands of s) 1895 1897 1899 1900 1901 1902 1903 Re- British Re- British Imports. * exports, t Exports. Imports.* exports.! Exports. 1,386 1904 83 10 740 527 1,430 1905 130 11 936 287 662 1906 158 16 1,140 195 531 1907 171 10 1,288 176 577 1908 156 13 1,420 145J 35J 718 1909 177 13 1,638 99 23 849 1910 210 21 1,957 * Not stated separately prior to 1897. t Not stated separately prior to 1902. I Prior to 1902 the returns include motor cycles and parts. In 1910 our imports included 206,502 worth, and our exports 1,414,776 worth of parts. For complete machines, Japan, India, and France are our best customers. Our exports of cycles to foreign countries increased from 95,000 in 1905 to 273,792 in 1910; while in that period our exports to British Possessions remained stationary. The large influx of cycles in 1897 was due to the " invasion " of worthless American machines, which was of short duration. In 1907 we produced 590,300 cycles, valued at 3,303,000 (and 3600 motor cycles, valued at 135,000), besides 1,719,000 worth of parts, which shows that, great as our export trade is, our home trade is many times greater. The exported " parts " are, to a considerable extent, merely cycles taken to pieces for convenience in packing and to avoid tariff rates on complete machines, which are higher than on " parts." The invention of the explosive engine has revolutionized many branches of industry. It has done more. Owing to its light weight, as compared with the power produced, it has rendered flight possible. The science of aviation is still in an experimental stage, and is only just approaching a commercial status. Such strides have been made since the first clumsy attempts at flight with heavier than air machines were made less than four years ago that the art of aviation may before long be expected to have practical consequences alike in peace and in war. CHAPTER XV THE MINOR METAL TRADES HARDWARE, GLASS, AND POTTERY Populations of Sheffield ami Birmingham, 1801-1851 Historical accounts of Birmingham industries Metal trades no longer confined to Birmingham Census of Production figures for 1907 Prices of hardware, 1812-1832 Imports and exports of hardware and cutlery, 1805-1910 History of the cutlery trade History of the tin- plate trade Exports of tin plates, 1830-1910 Exports of galvanized plates, 1890- 1910 Exports of wire, 1880-1910 Brass and copper manufactures exports, 1805-1910 Plated goods and jewellery trades Exports of plated goods and jewellery, 1830- 1910 The glass trades in the first half of the nineteenth century Exports and imports of glass since 1860 The modern glass industry History of the pottery trades Census of Production figures Our foreign trade in pottery THERE are many branches of metal manufactures in this country which are of considerable importance from the number of hands to whom they give employment, but of whose progress and size, it was, until the middle of the nineteenth century, difficult to form an accurate judgment. Of these manu- factures the chief are the hardware and cutlery trades, a host of minor metal industries, the plated goods, precious metals and jewellery trades, and the earthenware and glass trades. The raw materials of these articles were, during the first half of the nineteenth century, for the most part produced at home; and as most of the articles were not subjected to duty, there were no means of ascertaining the increase, or otherwise, of their quantity. But the expansion since Porter's time has been proved by the increasing import of their raw materials. It was possible, before the metal trades had grown to their modern size, to obtain some idea of their development by tracing the increase of the population of Birmingham and Sheffield, in which in those days practically all the minor metal trades were concentrated. The census figures to 1851 were as follows: Sheffield. 1801 ; 1811 .... 53,231 1821 .... 65,275 1831 . 91,692 Birmingham. 1801 .... 78,870 1811 . . . 85,756 1821 .... 106,722 1831 . . . 146,986 1841 .... 111,001 1841 1851 .... 135,310 1851 .... 242,260 69 270 THE PROGRESS OF THE NATION Birmingham has long been the seat of numerous metal industries. The following extract from Lewis' Topographical Dictionary of England (1842) gives a brief historical account of the trades of Birmingham from their origin in mediaeval times : " It is not easy to trace with accuracy the origin of the numerous branches of trade and manufacture, which, in addition to those described by Leland, have been subsequently introduced into the town (Birmingham), and from their taste and variety, as well for the high degree of perfection to which they have attained, obtained for this place, from the celebrated Mr. Burke, the appropriate designation of the " Toy-shop of Europe." The toy trade was, it is believed, introduced in the reign of Charles n, the brass foundry in that of William in, and the buckle trade about the same period, the last of which, after exercising the ingenuity of the manufacturer in every variety of form, pattern and material, declined about the year 1812, and is now nearly extinct. The leather trade, which was carried on from a very remote period, has also experienced a very great diminution. It is uncertain at what time the button trade was first intro- duced, but it has continued to flourish from a very distant period, and though very much reduced is still a source of opulence to many, and employment to thousands. The manufacture of firearms commenced towards the close of the seventeenth century, and during the last war (Napoleonic wars) the Government contracts for muskets alone averaged 30,000 per month. Among the almost innumerable branches of trade and manufacture that were being carried on at 1850, are light and heavy steel goods (here called toys), brass and iron foundry, saddlery, military accoutrements, firearms, swords and cutlery of various kinds ; jewellery ; gold, silver, plated and japanned goods ; buttons, medals ; gilt, silver, ivory, bone, and other toys ; glass, wood turnery, metal-rolling, tools and imple- ments of all kinds, mills machinery of all sorts, and steam-engines on every known principle, and so forth." Writing shortly after Lewis, Porter points out that of the articles most commonly manufactured at Birmingham few were produced in extensive factories in which large capitals must be employed for the erection of machinery. "Almost all the small- wares of the district are made by workmen who undertake, each one in his particular line, to execute orders received by the merchants and agents settled in the town. The profitable performance of their contracts, however, calls for the employment of a cheaper kind of power than is at the command of men who like these workmen, have little or no capital." The usual plan was as follows : " A building, containing a great number of rooms of various sizes, is furnished with a steam-engine, working shafts from which are placed in each apartment or workshop, which is likewise furnished with a lathe, benches, and such other con- veniences as are suited to the various branches of manufacture for which the rooms are likely to be needed. When a workman has received an order for the supply of such a quantity of goods THE MINOR METAL TRADI> 271 as will occupy him a week, or a month, or any other given time for their completion, he hires one or more of these rooms, of sizes and with conveniences suited to his particular wants, stipulating for the use of a certain amount of steam power. He thus realizes all the advantage that would accompany the possession of a steam-engine; and as the buildings thus fitted up are numerous, competition on the part of their owners has brought down the charge for the accommodation they offer to the lowest rate that will ensure to them the ordinary rate of profit on the capital employed." " Before the introduction of this system," Porter adds, " the trade of Birmingham was for the most part carried on by men of large capital, who employed journeymen, and gave a considerable credit to the merchants who dealt with them. At present those merchants themselves employ the workmen, who can give no credit, but receive payment in ready money at the end of every week for such part of their goods as they can then deliver in a finished state." This description is still partly applicable to the metal industries of Birmingham and the Midlands. The trades themselves are chiefly concerned with the manufacture of fittings and small articles, as the following quotation from the Board of Trade Inquiry on the Cost of Living of the Working Class l will show : "Apart from the occupations in connexion with the manufacture of small anas, in which Birmingham from its earliest history lias excelled, and apart from jewellery, another trade long associated with the city, there are numerous branches of iron and steel working, usually referred to under the generic name of " the hardware industry," which give employment to a large proportion of the population, both male and female. The employment of female labour IB a striking feature, as women form by far the major portion of the workers in the steel pen industry, in bolt, nut, and screw making, and in the leather goods trades, while they form a large percentage in bronze and brass working, white mi-; il and electro-plate making, the goldsmith and jewellery trades, and other general industries of the town. In this matter of the employment of women it appears from the last census returns that nearly 40 per cent of all women over ten years of age are " occupied," and the percentage of married or widowed women occupied is 19, a relatively high figure. The employment of young children is not very considerable, 12'6 per cent, of boys and 8*3 per cent, of girls aged 10 and under 14 years being returned as "occupi. Although there has been some tendency during recent years to a concentration of small factories into larger establishments, on the assumption of securing certain economies and with a view to attracting Ihuuiciul support, the minor metal trades are still scattered among a number of more or less sm.ill linns. In sonM> cases, such us chaiu-makiug, etc., the work is given out by the 1 Cd. 3864 (1008). 272 THE PROGRESS OF THE NATION piece. The report on the Census of Production (Part IV) states : 1 8 5 outworkers are returned as borne on the books of the employing firms, namely, 1397 in the anchor, chain, nail, etc. trades, 278 in the lock and safe trades, and 130 in the scientific instrument, etc. trades. Since 1850 the growth of these trades has been so rapid that they can no longer be said to be centred in Birmingham. They have spread practically all over the Midlands. Wolverhampton is now a great centre of the metal trades. The latest Census of Production Eeport gives the following details with regard to these trades : Gross Output. Selling Value or Value of Work Done. Materials Used. Cost. Work Given Out. Amount paid to Other Firms. Net Output. Excess of Column (1] over Columns (2) and (3). Persons Employee (except Out- workers) Total. Net Output per Person Employed (excluding Out- workers). (1) (2) (3) (4) (5) (6) & Copper and Brass Factories and Workshops (Smelting, Rolling and Casting) . Brass Factories and Work- 17,040,000 14,059,000 29,000 2,952,000 20,827 142 shops (Finished Goods) Lead, Tin, Zinc, and other 6,315,000 3,138,000 28,000 3,149,000 36,541 86 Metal (except Iron, Copper, Brass, Gold, and Silver), Factories and Workshops . Gold and Silver Refining 9,002,000 7,862,000 10,000 1,130,000 8,194 138 Factories .... Wrought Iron and Steel Tube 51,173,000 50,754,000 15,000 404,000 2,188 185 Factories .... Wire Factories and Work- 6,440,000 4,386,000 2,054,000 20,129 102 shops Cutlerj' Factories and Work- 6,519,000 4,362,000 47,000 2,110,000 17,908 118 1,928,000 722,000 134,000 1,072,000 14,674 73 Tool and Implement Factories and Workshops . Anchor, Chain, Nail, Bolt, 3,665,000 1,554,000 74,000 2,037,000 23,455 87 Rivet, and Screw Factories and Workshops . Lock and Safe Factories and 5,634,000 3,264,000 51,000 2,319,000 27,906 83 Workshops .... Galvanized Sheet, Hardware, 961,000 342,000 9,000 610,000 7,418 82 Hollow-ware, Tinned and Japanned Goods, and Bed- stead Factories and Work- shops . 15,191,000 8,956,000 72,000 6,163,000 69,700 88 Blacksinithing Factories and Workshops .... Small Arms Factories and 2,269,000 899,000 1,370,000 19,848 69 Workshops .... Scientific Instruments, Ap- 671,000 162,000 24,000 485,000 4,450 109 paratus, Appliances, and Accessories Factories and Workshops .... 2,526,000 993,000 26,000 1,507,000 14,122 107 Totals 129,334,000 101,453,000 519,000 27,362,000 287,360 95 The following table, which gives some idea of the prices of iron goods early in the nineteenth century, is derived from a report by Mr. Babbage, who "extracted it from the books of a highly respectable house at Birmingham " : THE MINOR METAL TRA1)1> 273 Description. 1812. 1832. Redaction per cent, in pnc of 1812. s. d. s. d. Anvils .... cwt. 25 14 44 Awls, Liverpool blades . gross 3 6 1 71 Candlesticks, iron, plain ,, ,, screwed 3 lOf 6 4} 2 3* 3 9 41 41 Bed screws, 6 inch, square head grow 7 6 ; .; 40 flat head ,, 8 6 4 8 45 Currycombs, 6 barred . 4 01 1 75 ,, patent, 6 barred ,, 7 li 1 5 80 1 4 71 53 (Jtin looks, single roller . each 7 2' 1 1 11 73 Locks, 11 brass, port, pad . ,, 16 2 6 85 ,, 2J inch, 3-keyeck. ,, 2 2 9 65 Shoe tacks .... gross 5 2 60 ., turned, iron table . ,, 22 6 7 69 Stirrui*. common, tinned, 2 bar dozen 7 2 9 61 Trace chains, iron . . . cwt. 46 9} 15 68 The interval that occurred between the dates here contrasted was twenty years, and it will be seen that during that time, in a pretty extensive list of articles, the price reduction in some cases came to 40 per cent., while on others it went to the almost incredible extent of 80 to 85 per cent. The cost of the material employed had, it is true, fallen very considerably in the interval ; but this can have been but a minor influence in reducing prices, seeing that the first cost of the material forms only a minute portion of the value of the most finished article in the list. 1 1 is unfortunately impossible to obtain figures showing the growth of our hardware trade separately. Until 1900 the returns of our foreign trade in hardware were included with those of cutlery. Our exports and imports of these goods were, so far as returns exist, as follow : Year. 1805 1815 1825 1835 1845 1850 1860 1870 1880 1999 1900 ,'1910 Imports. Exports. Tons. Ism 4,288 ... 472 10,980 1,391,11:2 20,197 1,833,042 20,755 \000 0,878 . 810,627 1,500,409 - 1,10- 1,419,811 The 1900 and 1810 figure* I Iware only. 18 274 THE PROGRESS OF THE NATION CUTLERY We may now turn to another very important industry the cutlery trade. This is one of our oldest industries, so old that the date of its establishment is unknown. It has been localized at Sheffield for centuries, where it was nourishing in the days of Queen Elizabeth. Mr. Frederick Callis 1 in 1903 wrote: " The cutlers were then little better than serfs, working under the most repressive of restrictions and for the scantiest possible remuneration. The selection of Sheffield as the seat of this branch of trade was a very happy one, for it furnished advantages such as few, if any other, places possessed advantages that meant much more in years gone by than they do even to-day. No fewer than five streams flow down the valleys into Sheffield from the hills and moors around, furnishing an abundance of water power. And coal, iron and stone are all within easy reach. Business began with the manufacture of the old " Sheffield thwytel or withel," as Chaucer called it, and passed on to the jack-knife, the spring knife, and other improvements alike in table and spring cutlery. The manufacture of scythes, sickles, shears, and other instruments of husbandry was another important industry. Sheffield was also a great place for manufacturing arrow-heads, and after the invention of gunpowder it became equally celebrated for its firearms. Although the cutlery trade of Sheffield was of great importance during the Middle Ages and onwards to the nineteenth century, it was not until the last half of that century that it began to grow to its modern proportions. The causes that led to this growth are the same that led to the expansion of most of our industries during that period. First and foremost among these causes may be placed the rapid growth in wealth and numbers of the consuming population, next the discovery and application of steam power to industrial uses, and the improvement of machinery generally ; the better education and improved health of the workers contributed to this progress. In spite of this installation of machinery and improved methods of manufacture, it is interesting to note that the higher classes of cutlery are still made by the same methods of hand manufacture that obtained throughout the centuries. This is because this grade of cutlery is made of very hard steel, which breaks the cutting tools that are able to cut the softer steel employed in the 1 British Industries under Free Trade (Fisher Umvin). THE MINOR METAL TRADES 275 manufacture of inferior classes of knives. Sheffield has been kept up to date by German competition ; but except in razors and certain specialities it has easily held its own and maintained its superiority in better class goods. With regard to wages and the conditions of the workers generally in the cutlery trades, the following quotation from Mr. Callis's paper is of interest. He states : " Mr. Howson compared it (i.e. the position of the worker) with what it was in 1847, when his father commenced business, and stated that not only in money wages, but also in the conditions under which the workman does his work, and indeed in all directions, there has been distinct improvement. The introduction of the emery wheel has relieved the cutler of much exhausting labour." Mr. Ibbotson, a Sheffield cutler, who had been a workman himself, stated : " I used to work every day in the week, never taking a holiday or going on the drink, and my wages averaged a guinea a week ! I used to make seven dozen Barlow knifes a day, and was paid sixpence a dozen. By the way from the material that is put into his hands, a cutler can now make eight dozen where I made six dozen." During the last fifty years the " Little Mester," a very ancient institution, has been disappearing. A " Little Mester " was a manufacturer of cutlery in a small way. " He made cheap goods," says Mr. Callis, and " his people worked often amid most insanitary surroundings ; he was dependent upon the sale of his output at the end of the week for the wherewithal to pay even the poor wages he could afford ; and the income of both employer and employed was of a precarious character. The trade," he adds, " is now being concentrated more and more in the hands of men of capital, who own large, light, airy shops, who have the most efficient up-to-date machinery, and who have plenty of capital at command." The various improvements in the manufacture of cutlery, introduced during the last century, principally during the last half, are briefly as follows : The invention of what was known as the "Wharncliffe Knife" in 1820, which revolutionized pen and pocket cutlery. The manufacture of the hollow-ground razor, a German invention which was too tardily adopted by English cutlers. The introduction of various machinery for the manu- facture of cutlery, such as different sorts of hammers, cutting machinery, forging machinery, eta These macliim-s led to serious trouble with the workmen, and were the cause of tin- famous " rattening riots." 276 THE PROGRESS OF THE NATION Our foreign trade in cutlery is only shown as far back as 1900, the first year for which figures were given separately, and is as follows : Imports. Exports. 1900 . . . . 20,696 639,269 1905 ..... 79,178 667,099 1909 ..... 155,599 655,946 1910 . 171,687 812,933 TIN PLATES In striking contrast to the antiquity of the cutlery trade, we have a very modern industry the tin-plate trade. This industry is so modern that Porter makes no mention of it in his book. It dates back, roughly, to the 'sixties, and is localized in South Wales and Monmouthshire. A tin plate, it should be observed, is not made wholly of tin, but consists of a plate of iron coated with a very small surface of tin. The trade developed very fast, principally owing to lack of foreign competition, and the strong demand for tin plates in the United States. The establishment of this industry was a godsend to South Wales, as it replaced the finished iron industry which was being killed by the growth of the steel trade. In the early stages of its development the tin-plate trade lived almost entirely on the American demand. In 1887-1890 the average yearly exports amounted to 399,329 tons of the value of 5,682,641. Of this quantity the United States took as much as 304,695 tons, of the value of 4,278,667. " Three out of four of the British manufacturers' eggs were in the American basket," writes Mr. Llewelyn Williams. 1 " The whole of our exports to other countries only amounted to 94,634 tons, valued at 1,403,974. Seventy-six per cent, of this valuable trade was thus with the United States. The English home market, in the meantime, had been comparatively neglected. Enjoying a practical monopoly of the world's markets, our manufacturers could afford to pick and choose, and they naturally cultivated that market which ensured for them the largest margin of profit." When this market was shut against them by the M'Kinley and Dingley Tariffs of 1800 and 1898, our tin-plate manufacturers felt the blow seriously. So badly was the trade hit that many factories were closed down while others were transported, lock, stock, and barrel, to the United States. This state of affairs led 1 British Industries wider Free Trade (Fisher Unwin). THK MINOR METAL TRADES 277 to the most gloomy forebodings ; prophets were loud in their predictions of the speedy disappearance of the industry. Never ui>l>earance8 so completely falsified. Not only has the tin- jilite trade failed to disappear, but it has quickly risen to a more nourishing condition than ever. Driven from one market our manufacturers turned their attention to others. The home market was developed, other markets were discovered abroad, and the trade generally was soon replaced in the position it had previously occupied. Then came the sequel. Inside the American tariff wall there had been going on a rapid formation of trusts. The tin-plate manufacturers, who had succeeded in shutting out British tin plates, were eclipsed by the Chicago packing interests and the Standard Oil Trust, which wanted to use those tin plates. The result was one of the most humorous situations in tariff legislation. In order to compete in the neutral markets of the world the packers were unable to pay the high price for tin plates that the American manufacturers demanded. And so to get cheap supplies from abroad, that is from Great Britain, they induced the Congress to allow them a rebate of 99 per cent, on all the tin used in the canned goods they exported. Thus the American tariff wall dwindled down to a mere 1 per cent., and the British trade was readmitted to its old market. We import practically no tin platea Our export trade since 1860 is as follows : Year. Tons. 1860 1,500,812 1870 2,362,872 1880 . . 217,71.8 l.jr,7,887 Tear. Tons. 1900 . . 272,877 3,976,796 1905 . . 354,864 4,566,984 1910 . . 482,981 6,545,024 1890 . . 421,797 6,361,477 A trade somewhat similar to the tin-plate trade is the manufacture of galvanized sheets. We do a large foreign trade in these goods, both in the flat and corrugated form, which in con- junction with fencing wire, etc., are shipped in large quantities to our colonies. The figures for galvanized sheets since 1890 are Year. Tons. Year. Tons. 1890 . . ir.0,977 2,'JJS,90J 1905 . . 406,815 4,8'J. 1900 . 847,177 3,788,391 1910 . . T.96,949 7,425,602 Our exports of iron and steel wire, except telegraph wire, since 1880 were Year. f Year. Tons. 1880 . 59,180 . M.201 1,569,54 1890 . . 61,567 1,08" 1010 . . 1 2,818,888 1900 . 38,441 904,142 I 278 THE PROGRESS OF THE NATION There is also a multitude of minor metal industries about whose progress it is impossible to give full detail. Such industries will be found enumerated in the table we have given previously, which has been extracted from the Census of Production report. The quantity and value of brass and copper manufactures ex- ported since 1805, the earliest year of which we have any record, are as under. It is only in this branch that any estimate can be formed of the progress of these manufactures, but there is no reason to doubt that the home demand has at least kept pace with that from foreign countries. Year. Cwt. 1805 85,054 382,740 1815 ..... 124,426 753,604 1825 90,054 485,118 1835 242,095 1,094,749 1845 . ... 372,097 1,694,441 1850 1,978,196 I860 2,999,408 1870 3,066,928 1880 ........ 3,657,041 1890 ........ 5,052,612 1900 . . . . . ... 3,555,859 1910 4,625,417 These figures include copper unwrought, copper ingot cakes, copper wrought or partly wrought, miscellaneous or yellow metal, other sorts, and brass of all sorts. In the middle of the nineteenth century, according to Porter, " the largest shipments of these manufactures were made to India ; the markets of Hindustan, in 1844, took from us 141,237 cwt., valued at 611,109, a quantity nearly double the amount of the shipments to all parts of the world in 1814. France is our next most considerable customer, having in 1844, taken 103,214 cwt., valued at 453,405 ; to the whole of our colonies and dependencies, exclusive of India, we sent only 18,739 cwt., valued at 80,232. The United States took 43,811 cwt, valued at 197,289 ; leaving 81,881 cwt., valued at 394,510, for the supply of the rest of the world." In 1910, out of a total of 1,285,385, we sent 78,768 manufactures of brass to the Netherlands, 82,413 to France, 86,334 to the Argentine, 70,268 to Germany, and 48,045 to Belgium. Copper rose much in industrial importance during the later years of the nineteenth century, owing to the rise of the electrical THE MINOR METAL TRADES 279 industry, which created a large demand for the metal. The growth of this industry is shown in the chapter dealing with machinery. GOLD AND SILVER MANUFACTURES The manufacture of plated goods, which is carried on in ShcllicM, liirmingham, and the Midlands, is one of those branches of industry whose progress cannot be accurately measured. " The quantity exported forms no indication," states Porter, " and in fact there was not in foreign countries any reason equally cogent with that existing in England for the use of plated goods ; for, so far at least as we know, there was not any country in which a duty was levied upon articles of use and luxury made of gold and silver." Touching the state of gold and silver manufactures during the first half of the nineteenth century, Porter writes : " It might be thought that the quantity of gold and silver plate manufactured for use at different periods would afford a good measure of the prosperity of the country ; and we might have supposed that during the last quarter of a century there must have been a marked increase in this employment of the precious metals in this kingdom. Certainly during that interval the use of many utensils made of silver has been adopted by a much more numerous class of society than before, a remark which will be sufficiently corroborated by the fact that within that period it has first been customary to find silver forks at the tables of the generality of taverns. Before the termination of the war in 1815, this article of domestic convenience was uniformly made of steel, except among families in decidedly easy circumstances, or in the first-rate taverns ; whereas at present there is hardly a family to be found above the rank of artisans, whose table is not furnished with forks made of the more costly material. It will be matter for surprise, under these circumstances, to find that the quantity of gold and silver plate made and retained for home use within the kingdom was greater in weight during the eight years that preceded the peace, than it was during the like period from 1830 to 1837 inclusive. During the first period, namely, 1807 to 1814, the quantities so retained for use were of gold plate 50,750 ounces, and of silver plate 8,290,157 ounces; and in the eight years, from 1830 to 1837. the quantities were of p. Id 48,432 ounces, and of silver 7,378,661 ounces. This falling off is the more surprising because of the un]i lly hiirh prices of bullion during a great part of the first of these two | 280 THE PROGRESS OF THE NATION the difference in the money value was rendered much greater than the difference as here stated in the weight." Some suggestions, he adds, have been offered in order to account for a circumstance seemingly so much at variance with every other in- dication of increased means and enjoyments on the part of the people : they are stated here only as suggestions, however, and are not relied on as affording a sufficient or satisfactory solution of the difficulty. " First, it may be questioned whether the fact of the depreciation of paper, while it enhanced the money price of articles made of gold and silver, did not also occasion many persons, as a measure of prudent precaution, so to invest a part of their wealth, and thereby to secure the possession of a certain and tangible property of immediately convertible value. It may be objected that persons so acting were prudent overmuch, and, judging from the course which events have since taken, such an opinion appears well founded ; but anyone who can recall to his recollection the dismal aspect then afforded by the political horizon when every Power in Europe was leagued against us, and the necessary expenditure of the country was carried forward upon a scale which it would have been altogether impossible to have continued for even a few years longer will hesitate before he pronounces such a precaution unwise. Even when the ambitious designs of Napoleon had detached from him and converted into enemies the allies who had pursued with him the object of destroying the power and resources of England, there came no intermission of efforts and sacrifices on our part, but, on the contrary, every ally that we gained in the field helped still further to exhaust our financial means. Let us suppose that the battle of Waterloo had been lost, or even that it had been less decisive in its results, could the public expenditure have been continued on anything like the scale of preceding years, while at the same time faith had been kept with the public creditors? Under such circumstances he would have been looked upon as a man of forethought and wisdom who should have provided himself with a species of convertible property that was independent of the stability of public credit ; and as it is well known that many persons did at that time entertain very gloomy forebodings as to the future condition of this country, it is not unreasonable to suppose that some would be led to the precautionary course that has been here suggested." " There was at the same time another circumstance in operation altogether opposite to, but not incompatible with, what has been stated, which probably led to the same desire of investing THE MINOR METAL TRAD! - 281 money in the purchase of gold and silver plate. The gains of persons engaged, either as owners or tenants, in the cultivation of the soil, had been out of all proportion great, and that for a length of time which gave an appearance of permanency to their prosperity. There are no classes of men so remarkable in this country as its nobility and country gentlemen for the importance which they attach to the possession and transmission of family plate ; and with respect to the farmers, the alteration in their circumstances and character must have caused a great demand on their part for such luxuries. In those days it scarcely required the passing away of a generation in order to see in farmers' dwellings, on the same estates, spoons of wood or of horn give place to others of silver. It must further be considered that luxuries of this class are not of a perishable nature ; that, except for the indulgence of ostentation, they are provided in the same family once for all, and we must not therefore expect that any sudden increase in their quantity will lead to further and equal additions when that immediate demand shall be satisfied. The improvement in the manufacture of plated wares has had a further influence in diminishing the sale of articles subject to the plate duty, although it may have led, and in all probability has led, to the increased consumption of the precious metals. Except in very wealthy families, it is now usual to see many articles, such as candlesticks, plated, where formerly they were of silver or brass," " The combination of these various causes may probably be thought sufficient to account for the fact exhibited by the following table of the comparative decline experienced in this branch of consumption. The year 18 25 is well remembered as a year of great commercial excitement and apparent prosperity, and it is curious to observe the degree in which that excitement acted in promoting the desire of possessing gold and silver utensils." "During the ten years from 1835 to 1845 the quantity retained for use, of both gold and silver articles, has incite Those made of gold are now even greater in quantity than the average of the latter years of the war; but the increase is yet not nearly equal to the increase of population. The quantity of silver plate is still below the average of the years 1807 to 1814. This fact of tli- 1 greater comparati- ;ise of gold as compared with silver plate, virwi-d in connexion with the increasing number of persons who keep a -_:reat number of carriages and servants, would seem to confirm the belief of the tendency of wealth to accumulate in large masses." 282 THE PROGRESS OF THE NATION Number of Ounces of Gold and Silver Plate upon which Duty was Paid and for which Drawback was Allowed, showing the Quantiti/ retained for Home Use, every Five Years, from 5th January 1801 to 5th January 1850 Year ended Duty Paid on Drawback Allowed on Retained for Home Use. 5th January. Gold. Silver. Gold. Silver. Gold. Silver. oz. oz. oz. oz. oz. oz. 1801 5,251 902,966 77 142,705 5,174 760,261 1805 4,854 902,788 21 114,829 4,833 787,959 1810 6,382 1,242,208 53 71,116 6,329 1,171,092 1815 j 6,779 974,245 29 55,948 6,750 918,297 1820 ! 6,037 1,230,104 1,607 116,507 4,430 1,113,597 1825 7,662 1,258,658 38 70,482 7,624 1,188,176 1830 6,441 1,271,322 12 109,907 6,429 1,161,415 1835 6,116 1,050,232 102,251 6,116 947,981 1840 6,875 1,270,390 7 155,923 6,868 1,114,467 1846 7,242 1,025,412 8 170,987 7,234 854,425 1850 7,373 735,865 3 76,759 7,370 659,106 " The declared value of plated goods exported in the years 1831, 1832, and 1833 was no more than 22,295, 20,727, and 24,209 respectively; and about two-thirds of these amounts were sent to different colonies and dependencies of the British Empire, principally to India." " Our makers of plated wares had, and still have to a certain extent, an advantage over all others, from the perfection of the machinery used in this country for rolling metals. The value of articles of this manufacture used in the United Kingdom was estimated in 1850 at 1,200,000 per annum; while in France the consumption did not exceed in value 40,000 sterling per annum, an equal value being also exported from that country, principally to Holland, Belgium, Spain and the Sardinian States^ Germany, the United States of America, and Mexico." The declared value of British-made plate, plated ware, jewellery, and watches exported from the United Kingdom (the ' whole of those articles being included together in the custom-house returns) has been as follows : 1830 1840 1850 1860 1870 190,515 1880 208,614 1890 296,078 *1900 564,160 *1910 190,757 * Excluding watches. 233,498 403,794 458,781 1,019,326 THE MINOR METAL TRADES 283 THE GLASS TRADE The history of the glass trade in England illustrates among other things the tremendous effect upon home consumption which m:iy be produced by taxing and so raising the price of any article, not of absolute necessity. In 1801, with a population of sixteen millions, the quantity of glass used was 325,529 cwt. ; and iu 1833, with a population of twenty-five millions, the quantity was no more than 363,468 cwt.; an increase of less than one- eighth, while the population had increased in the proportion of one- half. The excise duty on glass, which may be compared in its effects with the window tax, was at its highest in 1813 and was not finally repealed until 1845. The quantities of glass made and retained for consumption in Great Britain, between 1789 to 1844, are shown in the following table : Year. Quantities of Glass retained for Home Consumption. Net Revenue of ad Excise. Flint and Plate. Plate. Broad. Crown, or German Sheet Common Bottk Glass. Plate, etc., Imported. 1789 1799 1809 1819 1829 1839 1844 Cwt 18,346 55,987 66,815 Flint 33,314 49,001 82,309 83,712 Cwt 7,555 14,299 26,465 24,405 Cwt 24,194 19,690 11,151 8,250 6,869 8,514 ... Cwt. 81,403 41,571 91,938 84,006 97,134 118,510 116,88 Cwt. 185,296 132,475 263,390 235,975 209,862 252,808 193,108 Cwt 1,114 1,867 88 199 "63 1,671 Feet. 13,502 51 1,763 1,033 2,533 159,448 164,659 349,590 558,216 718,847 653,839 If the first and last years of the series from 1789 to 1844 are compared, it will indeed appear that there is an increase of rather less than 24 per cent. ; but an average of the three years 1789 to 1701 and 1832 to 1834 shows that the annual consumption in the former period was 362,691 cwt. and in the latter period "-lL',172 cwt., exhibiting an actual falling oil' to the extent of 5 per cent. In 1835 a reduction of two- thirds was made in the rate of the excise duty on Hint glass, which was followed by a great immediate increase of consumption. It is principally to the complicated regulations of the excise that this want of progress in our glass manufacture during the early part of the nineteenth century must be attributed. The 284 THE PROGRESS OF THE NATION business of glass-making is one the success of which depends in a peculiar degree upon the right application of scientific principles ; and when it is considered that a departure from any, the minutest, of the many arbitrary regulations then prescribed by Act of Parliament for conducting this manufacture, would subject the party so acting to heavy penalties, there is no cause for wonder that the industry stagnated. The check on consumption was not wholly owing to the regulations whereby improvements were prevented, it was also occasioned, in part, by the excessive amount of the duty imposed, as was proved by the fluctuations in the demand which accompanied the various alterations in the rates of these duties. The pernicious effect of the glass duties was apparent from the contrast exhibited by this manufacture to others, not subjected to similar disadvantages ; and it cannot be necessary, as Porter observes, to do more than point to this contrast as an argument in justification of the abandonment of the impost. There were, however, other reasons, distinct from the above, which rendered the system under which the glass duties were levied peculiarly pernicious. The free progress of invention and improve- ment was by this means prevented, not only in the manufacture of glass, but also in many other arts and sciences to which glass is subsidiary. A manufacturer who by his skill had succeeded before 1845 in making great improvements in the quality of bottle glass, was stopped in his operations by the excise officers, on the plea that the articles which he produced were 1 so good in quality as not to be readily distinguished from flint glass, to which description a higher rate of duty attached ; the danger to the revenue being, that articles made of the less costly or less highly taxed ingredients would be used instead of flint glass. Yet another reason is assigned by Porter for abandoning the duty upon home-made glass. " The ingredients of which glass is composed are exceedingly cheap, and the art is at the same time so simple, and calls for the use of so few accessaries, that it can be successfully followed by almost any person of ordinary aptitude for manual operations, working with simple and uncostly implements." Up to 1845 the glass trade was subjected to serious restrictions, but in that year they were abolished. Thenceforward the manu- facturers of glass, in all its forms, were relieved from the payment of duty and from the interference of revenue officers. Our foreign trade in glass since 1860 has been as follows : THE MINOR METAL TRADES Import* >. Exp oru. Year ( | BottlM. Flint, ete. I ' KUnt, etc. ] 1880 a i e. * A a. 324 189 .->..., ..,. i ^ Aft* . 1461609 900 781 SflO 17A !., ,i 192,007 332 880 248,094 147 Ml 1890 190 218 mitti . . . ou3ti 7-16,747 MpM |M,*780 516,790 MM INJHI 688,998 MMM 901,707 I. 7 ..'..: ' 1,165,426 618,179 148,491 Up 186,418 196,922 mup mjtn BMM MM 244.040 191,847 HMH 232,840 324,780 MM Prior to 1890 the Board of Trade returns did not specify separately the different sorts of glass we imported. Our total imports of glass from 1860 to that date amounted to I860 1870 243,021* 931,467 1880 1890 1,776,472 2,084,865 Not including bottles of green or common glass. The British plate-glass industry is centred at St. Helens, where the great firm of Pilkington Bros, carries on work upon an enor- mous scale. Their success is indicated by the continuous additions to the works, the plant of rival firms having been acquired in order to augment the capacity of these works. Mr. Swinburne, the chief glass manufacturer at Newcastle-on- Tyue, in a report read to the British Association at its meeting in that town in 1 S G 3, said : "There has been no important improvement in the manufacture of glass bottles for the last twenty years. The relations of master and man in the blown, flint and bottle trade amount to a chronic strike . . . and inflict upon the employer a burden which hopelessly fetters him in the race of competition and improvement" This seems to indicate that in 1863 the glass trade of Newcastle was in a dying condition, in consequence of resistance by the workers to improved methods of production. According to the census returns, there were employed in glass manufacture in this country in 1881 12,630 men, which number had increased in 1901 to 30,081. A corresiMmtk'iit of mint wrote, mi Nnvrmln.-! 1 _'", 1907: " In the glass trade, as in other indu-lri.-> that might !> named, economic in production have been intr.lm-i-d >f whii-h \M- in tlii- < "untry hav- not taken proper advantage. One condition of .successful glass manufacture i an ;il>un i - S ffid b H r - _ - , H & is j i.; PI |f^ ill O < *|M o fl O O ; - 3.2 is - C ^ O 5 Q .^ >^ ^ g J5*SO cu g t rc S J M N ~' h (1) (2) (3) (4) (5) (6) China and earthenware factories and work- shops 7,534,000 2,854,000 84,000 4,596,000 67,870 68 Brick and fireclay fac- tories 7,703,000 2,643,000 ... 5,060,000 63,287 80 15,237,000 5,497,000 84,000 9,656,000 131,157 73 With regard to our foreign trade in pottery, in 1874 the export of all kinds of pottery amounted to 1,861,760. This, however, included bricks and other manufactures of clay. In 1883 we exported 2,333,167, but in 1885 only 1,838,163. For 1889 we are able to obtain statistics relating to earthenware, china, and porcelain separately, and the amount exported in that year was 2,089,467, but in 1901 the exports had fallen to 1,731,731, while in 1910 they rose once more to 2,494,677. England is peculiarly rich iu supplies of raw material for the pottery trades, and foreign manufacturers especially are largely dependent on Cornwall and Devon for the supplies of china clay. CHAPTER XVI (A) INTRODUCTION TO THE TEXTILE INDUSTRIES Early history of textile trades Number of power-looms in use in 1835 Persons of different ages employed in textile trades, 1835-1839 Size of our textile trades in 1907 Census of Production figures has long stood pre-eminent for the skill of its inhabitants in manufactures of various kinds. But for that skill it is not possible to conceive that this country could have made the financial efforts which enabled us to carry on the long and imprecedentedly expensive war of the French Eevolution. It has been a common assertion with a very powerful class in the community, so wrote Porter more that sixty years ago, that these efforts were principally, if not entirely, made at the expense of the proprietors of the soil. This position can only be rendered tenable by showing that the condition of those proprietors during the war was one of privation and sacrifice, whereas it is notorious that the direct contrary was the case ; that through the enhanced prices of all kinds of agricultural produce, rents were more than doubled ; and that the landlords were thence enabled to assume a scale of expensive living, to continue which, after the return of a more natural order of things, they had recourse to restrictions upon the importation of food, which were felt as an injury by all other classes. But the spinning-jenny and the steam-engine were the true moving powers of our fleets and armies. During the war, and throughout the first half of the nineteenth century, our manu- facturing prosperity rested mainly on the textile trades. Before dealing with them separately it will be useful to take a panoramic view. The following table of the number of power-looms used in the various manufactures of this country in 1835 was compiled from the returns of the Inspectors of Factories. 288 INTRODUCTION TO THK TMXTIM'. INDUSTRIES 289 Statement of the Number of Power-Looms used in Factories in the United Kingdom, at the end of the year 1835, distinguishing Counties l and the branch of Manufacture in which the same are used COUNTIES. Cotton. Woollejj. Silk. !'!i\. Kind Good Total. Lam-aster 61,176 1,142 366 62,684 Westmoreland 8 ... 8 Chester 22,491 8 414 22,913 Derl.v 8,408 ... 166 .. 2,669 York 4,039 3,770 ... 7,809 Stafford 336 ... 119 . . . 455 Devon 80 80 Essex 106 106 Kent 12 12 Leicester 40 89 129 Middlesex 8 8 Norfolk . 300 300 Soin 74 156 .. 280 Warwii-k .. 25 25 Worcester '"7 ... 7 Gloucester 4 . . . 4 Montgomery Cumberland 186 4 4 186 Durham . 29 29 Northumberland 6 6 Total in England 90,679 5,105 1,714 41 25 97,564 Lanark . 14,069 ... 14,069 Renfrew . 1,339 26 ... 1,M8 Dumbarton 534 534 Bute 94 94 Ayr . . 736 736 Kirkcudbright 90 90 Perth 421 421 Aberdeen 248 142 390 Roxburgh ... 22 ... 22 Total in Scotland . 17,531 22 168 17,721 Waterford 339 339 Wexford 67 67 Kildare 62 ... 52 Dublin 23 ... ... 23 Antrim 340 ... S40 Down 425 425 Armagh 170 100 ... 270 Total in Inland 1.4K. ... ... 100 1,516 SUMMARY * '..ind .... Scotland .... 90,679 17,531 5,105 1,714 41 168 25 97,564 17,721 Ireland .... 1,416 ... ... 100 ... 1,516 United Kingdom 109,626 5,127 1,714 809 25* 116,801 A III I II 14 Lc I itll.1 UMUv* **l w " *'l awv*.*) *-'* to w| ** manufactured are girths, belts, braces, garters, and the like. '9 290 THE PROGRESS OF THE NATION Passing from the factories equipped with power-looms to the hands employed, it was noted by the factory inspectors of that day that the proportion of children employed in the silk-mills was much greater than in the cotton, woollen, or linen mills. The actual proportions in which persons of different ages were employed in each of these four branches of industry, in 1835 and 1839, were as follow: Silk. 21-1 87 30-6 39-6 C 8 to 12 HS:.'5 I Above 18 Cotton. Woollen. Flax. 3-7 67 3-7 9-3 12-0 12-2 29-8 29-8 36-1 57-2 51-5 48-0 100-0 lOO'O 100-0 100-0 {Under 9 years Between 9 and 13 Above 13 18 2-80 4-75 12-35 4-05 22-60 37-52 39-59 44-00 34-19 57-73 48-06 51-95 40-41 100-00 100-00 100-00 100-00 The proportions in which males and females were employed in 1835 and 1839 were: Cotton. Woollen. Flax. Silk. 1835. 1839. 1835. 1839. 1835. 1839. 1835. 1839. Males .... Females .... 45-7 54-3 43-5 56-5 52-5 47-5 48-5 51-5 31-2 68-8 29-6 70-4 32-2 66-8 31-7 68-3 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0 It may be noted also that at this time water and steam power were about equally used in the textile factories. The progress of our textile manufactures will be shown later in detail. But the present position may be summarized now in a very complete manner, thanks to an official census which has recently appeared. In 1907 a census was taken under the Census of Production Act (1906), and the tables issued in the latter half of 1909 and the beginning of 1910 show clearly what contribution each industry makes to the national income. In the textile industries, the manu- facture of cotton goods and the manufacture of woollen and worsted goods are pre-eminent in importance, and their respective positions are shown in the following table : INTRODUCTION TO THE TEXTILE INDUSTRIES 291 Grow Output Cortof Material Used.* Net Output. Number Employed. Net Output per Person. Cotton factories 176,940,000 129,999,000 46,941,000 572,869 82 Woollen and worsted fac- tories 70,331,000 50,879,000 19,452,000 257,017 76 * Including amount paid to other firms for work given out. The lesser textile trades are summarized in our second table, which, taken in conjunction with the previous figures of cotton and woollen production, gives a complete statement of the textile production of the United Kingdom in the year 1907. Gross Cost of xr+OToi Net Number Jig" t Ouput Material Used.* Output Employed. st! Jute, linen, and hemp (Great Britain) 18,667,000 13,647,000 5,020,000 81,703 61 Do. inland spinning 1,773,000 3,152,000 2,621,000 38,195 69 Do. do. weaving 6,093,000 4,717,000 1,376,000 29,797 46 Do. do. making up . 1,265,000 944,000 321,000 3,769 85 Silk 5,204,000 3,454,000 1,750,000 32,036 55 Lace factories and ware- houses .... 10,003,000 6,621,000 3,382,000 34,583 98 8 689,000 5,695,000 2,994,000 47,939 62 Elastic webbing . 848,000 565,000 283,000 4,292 66 Cocoa-nut fibre, horsehair, feather and sundry tex- tiles, factories and work- shops .... 1,162,000 744,000 418,000 5,757 78 Rope, twine, and net . 3,606,000 2,650,000 956,000 12,148 79 Flock and rag . 852,000 693,000 159,000 2,375 67 Bleaching, dyeing, printing, and finishing factories and workshops 17,782,000 7,418,000 10,369,000 102,611 101 Flax scutching factories 91,000 j:;. j 18,000 8,760 18 Velvet and fustian factories 117,000 5,000 112,000 8,443 83 Total 80,152,000 50,328,000 29,829,000 402,408 74 Add Cotton factories 176,940,000 129,999,000 46,941,000 572,869 82 Woollen and worsted fac- tories .... 70,331,000 50,879,000 19,452,000 257,017 76 Total textile trades . 327,423,000 231,201,000 96,222,000 1,232,294 78 * Including amount paid to other firms for work given out These industries thus employ one-and-a-quarter million persons exclusive of outworkers, while the net product of the labour of this vast industrial army amounts to very nearly 100 millions sterling. 292 TH? PROGRESS OF THE NATION This sum represents the additional value given by those engaged in the textile trades to the material on which they work, and is the fund from which wages, salaries, rents, royalties, rates, taxes, depre- ciation, advertisement and sale expenses, and all other similar charges as well as profits have to be defrayed. There is a very marked difference, however, between the various trades as regards the pro- portion which the cost of raw material bears to the total value of the output. For example, in the minor textile trades, as a whole, 400,000 persons operate on 50 million pounds' worth of material, in the cotton trade 573,000 persons deal with 130,000,000 of material. There is, of course, a certain amount of duplication in the figures, and this result is only approximate ; but it does perhaps indicate the greater industrial advancement of the cotton trade com- pared with other textile trades. Lancashire's industry is a machine industry in which economy of labour has been carried to its utmost limit, each operative working on over 200 worth of material. In the silk industry, on the other hand, in spite of the greater cost of the material, each worker deals with barely 100 worth of material. The result is that whereas the gross output of the cotton trade is considerably more than half the total for the textile trades, the cotton figures in column three, which represent the expenses of the trade, are less than one-half of the totals for all textiles. One of the results of the investigation should be of general interest, namely, the attempt to discover the proportion which foreign trade bears to home trade in the respective occupations. Unfortunately, the differences of classification and the limitations of the census figures make this possible in very few cases only, of which the following are the most important : " About one-sixth of the quantity of jute yarn spun in the United Kingdom was exported, and between one-ninth and one-tenth of the linen yarn. About half of the quantity of jute piece goods woven was exported, about 62 per cent, of the plain linen piece goods, about 22 per cent, of the printed, checked, and other fancy linen piece goods, and about 18 per cent of the sail cloth and canvas. The imports of jute yarn were trifling, but the imports of linen yarn were rather more than one-eighth of the quantity produced in the United Kingdom. The imports of piece goods cannot be compared with the quantities produced in the United Kingdom, as no particulars regarding the quantity imported are available." And, again, with regard to the silk trade : "About three-quarters of the total quantity of the broadstuffs (wholly or partly made of silk) produced in the United Kingdom was exported but the imports were nearly five times as great as the home production. The value of the ribbons manufactured in the United Kingdom is insignificant compared with the imports." INTRODUCTION TO THE TEXTILE INDUSTRIES 293 The returns for bleaching, dyeing, etc. factories make it possible to complete an estimate for the respective branches of the cotton trade. The report now estimates the total value of cotton piece goods of all kinds when ready for consumption, exclusive of merchants' and warehousemen's profits, at 95,000,000 sterling. The value of exported piece goods in 1907 was 81,000,000. CHAPTER XVI (fl) COTTON Early history of cotton trade. The Gotten Industry, 1800-1850. Imports of cotton in eighteenth century Early textile machinery Consumption of cotton and exports of cotton goods, 1801-1849 The cotton trade early in the nineteenth century Foreign trade in cotton goods in first half of nineteenth century The advantages of the power-loom Effect of power manufacture on price of cloth Prices in Stockport in 1812 The history of the power - loom Labour conditions in textile trade early in the nineteenth century Quantity of raw cotton consumed in first half of nineteenth century, and quantities of yarn manufactured Persons employed in the early days of the textile trades Wages in cotton trade, 1804-1833 Cotton printing Restrictions on cotton printing Value of cotton manufacture in first half of nineteenth century. The Cotton Industry, 1850-1910. Size and importance of modern cotton industry- American production and exports of cotton, 1790-1903 Lancashire's supplies and con- sumption of cotton Our consumption of cotton, 1781-1908 The world's consumption of cotton in 1910 The Manchester cotton market Wages in the cotton trade The Scottish cotton trade Textile machinery in last half of nineteenth century Machinery in use, 1874-1903 Numbers employed, 1881-1901 Our foreign trade in cotton goods. rise and progress of the cotton manufacture in Great Britain forms perhaps the most extraordinary chapter in the annals of British trade. The birthplace of cotton manufacturing was India, where it probably nourished long before our earliest records. The mechanical inventions which have enabled the Western nations to compete with and greatly surpass the Hindoos had their origin in this country. England, therefore, may be called its second birth- place. The exact period when cotton manufacturing was introduced into this country is unknown ; but it is pretty clear that it was well established in Manchester in 1641. Its growth in the next hundred years was by no means rapid. Up to the year 1760 the machines used were nearly as simple as those in India, though the handlooms were more strongly and perfectly constructed. About that time several inventions were made, notably the spinning-jenny. Small factories were erected, and the steam-engine was patented in 1769. The whole industry was revolutionized. We soon began to export piece goods. In 1785 we shipped to the extent of 864,710, and by 1800 the figures had reached 5,406,504. In 1850 the spindleage had reached 2 1 millions, and in 1911 there are about 294 COTTON 295 57 millions. To show the further growth of our exports of piece goods, it may be mentioned that in 1840 the figures for yarn and cloth were 23,400,000, and that for 1909 the yarn and cloth values were 80,100,000. In 1885 the number of looms was 546,000; in 1911, 742,000. THE COTTON INDUSTRY 1800-1850 In the year 1800, the quantity of cotton imported for use into the United Kingdom was 56,010,732 pounds, having been only 31,447,605 pounds in 1790, and 17,992,882 pounds in 1785. The total value of manufactured cotton goods exported in 1800 was 5,406,501, having been 1,662,369 in 1790. At the earliest of these two dates, Sir Eichard Arkwright's inventions had very recently been thrown open to the public by the setting aside of his patent in the Court of King's Bench. The first steam-engine con- structed for a cotton-mill was made by Watt in 1785, and put to use at Papplewick in Nottinghamshire ; some four years later the application of steam power to the same purpose was first made in Manchester. In the year 1800, the number of such engines in that town had increased to 32, the aggregate power of which was estimated as equal to the labour of 430 horses. This increase shows that a great impulse had been given to the manufacture, which already was considered to be a thing of high national importance. At that time the application of the improved machinery was con- lined to the production of yarn ; for although Dr. Cartwright's power-loom was invented as early as 1787, the first practical use of his machine was in 1801, when a weaving factory was erected by Mr. Monteith, at Pollockshaws, near Glasgow, and furnished with 200 self-acting looms. The progress of the manufacture since that time is shown by the following table, in which are stated the quantity of cotton annually worked up in the kingdom, and the value of our exports of cotton goods : Year. 1801 1811 1821 1831 1841 1849 nuantity of Cotton Wool taken fur Consumption. Value of Goods Exported. Official. i;..;i. . : i>.. ! md. Ibs. 54,20 -I'.' 278 031 775,469,008 7,050,809 12,011,149 112,416,294 ie,M 7,204 38,4t9,47! 296 THE PROGRESS OF THE NATION The quantity taken for consumption in 1801 and 1811 was found by deducting the quantity exported from the quantity im- ported in each year. In the later years, the quantities stated are those actually taken by the manufacturers in the course of each year. The period from the beginning of the century to the return of peace is marked by a striking sluggishness of trade. The effect of the general adoption of Arkwright's invention for spinning had been to treble the manufacture in fifteen years. But there it may almost be said to have stopped, and in fact the quantity of raw material manu- factured in each of the two last years of the war was smaller than that consumed in 1801. No sooner had peace returned, however, than new life was infused into the trade. In five years the quantity of cotton spun was trebled ; in another five years it was four times what it had been in the last year of war ; and at the expiration of another period of equal duration more than five times that quantity passed through the manufacturers' hands. The quantity used in 1835 was fully six and a half times greater than that used in 1813, while in the following nine years there was an increase of two-thirds, or 66 per cent., upon the figures of 1835. The progress of the export trade in cotton goods was more regular throughout the period embraced in the table. Judging from the " official value," under which every yard or pound was estimated at an unvarying rate, it appears that the quantity of these goods exported was nearly three times as great at the close of the war as it had been at the beginning of the century a fact which seems to prove that the capability of the population of this country to command the purchase of this the cheapest kind of clothing, must have dimin- ished, the increased exports having left a much smaller quantity for the use of a population increased in the meanwhile by more than two millions. Later accounts show the actual quantities of the different descriptions of cotton goods exported. In 1820 we exported 113,682,486 yards of white or plain cottons, valued at 5,451,024, 134,688,144 yards of printed or dyed cottons, valued at 7,742,505, 496,580 of hosiery and smallwares, and 23,032,325 pounds of twist and yarn, valued at 2,826,639, the total declared value amounting to 16,516,748. Ten years later our exports were as follows: white or plain cottons 244,799,032 yards (6,562,397); printed and dyed cottons, 199,799,466 yards (7,557,373) ; hosiery and smallwares, 1,175,153 ; twist and yarn, 64,645,342 pounds (4,133,741); total declared value, 19,428,664. Finally, in 1849, we exported 795,112,525 yards of white or plain cottons, COTTON 297 valued at 9,457,721 ; 542,423,591 yards of printed or dyed cottons, valued at 9,337,243 ; 1,276,082 of hosiery and small- wares; and 149,502,281 pounds of twist and yam, valued at 0,, 704,089 in all amounting to 26,775,135. Thus, while the number of yards exported in 1849 is greater by 430 per cent, than the number exported in 1820, the increase in the declared value is only 41' per cent. ; the average price per yard, which hi 1820 was 1 2|d., having fallen in 1844 to 3|d. If, in addition to these values, we take account of the reduction that occurred in the price of raw cotton, we may form some judgment as to the economy which had been introduced into the process of manufacture during the thirty years (1820-1850), and we may also be able to apportion the degrees of that economy which appertain to the spinning and to the weaving branches of the manufacture respectively. It is necessary, however, that for this purpose the average qualities of both cloths and twist should have been the same at both periods, which it is reasonable to suppose might be the case where the markets are so numerous, and the quantities shipped so large. The diminution of value in the twist appears to amount to 59 per cent, and in the cloth to 68 per cent. The following is an interesting statement of the advantages gained by the employment of the power-loom by Mr. Baines, an historian of the cotton trade : " A very good hand-weaver, 25 or 30 years of age, will weave two pieces of 9-8ths shirting per week, each twenty-four yards long, containing 100 ahoots of weft in an inch ; the reed of the cloth being a forty-four Bolton count, and the warp and weft forty hanks to the pound. 'In 1823, a steam-loom weaver, about 15 years of age, attending two looms, could weave seven similar pieces in a week. " In 1826, a steam-loom wearer, about 16 years of age, attending to four looms, could weave twelve similar pieces in a week ; some could weave fifteeii " In 1833, a steam-loom weaver, from 15 to 20 years of age, assisted by a girl about 12 years of age, attending to four looms, could weave eigKbtn similar pirrr- in a wi-ck ; sunn can weave twenty pieces." I n 1 ^ i."> a .-ti-aiii-loMin weaver about 15 years of age, attending to two looms, could \vtav<' 11 ]>i<-a-s of tin- 'h: an- 1 .1 steam-loom w .ivcr 16 to 80 i by a girl about I I \..-irs of age, attending t four looms, amid \vravc -l similar ]>ic--, - m ;i \v Tin: following table shows tin- ! .i<-l' Ihi-M.- improvements had in diminishing tin- \-\ td-n ilih.s; tin- same article a piece of calico known in the trade us , given throughout : 298 THE PROGRESS OF THE NATION Year. Prices paid for Weaving. Prices paid for Cottons. Selling Price of 72| Calicoes. Earnings of the Weavers per Week. s. d. s. d. s. d. s. d. 1814 . 3 2 6 180 14 1820 . 2 1 1 15 9| 14 f 14 } 1825 . 1 8 1 2 to \ 13 |^ 18 6 j 1830 . 1 4 61 083 12 1835 . 1 4 10 099 12 6 1840 . 1 3 6 073 11 1841 . 1 21 G 070 9 9* 1842 . 1 11 5J 059 1843 . 1 H 4| 059 1844 . 1 H 4f 069 11 * Short time, and six weeks "turn out." Previous reductions are shown by the following list, which was given in to the House of Commons in 1812, on occasion of the inquiry then made into the effects of the Orders in Council, issued in 1808, in retaliation of the Berlin and Milan decrees of Napoleon : Prices paid for Weaving Twenty-four Yards of Cambric at Stockport, in Cheshire Year. 1802 1803 1804 1805 25s. 19s. 15s. 18s. Year. 1806 1807 1808 1809 15s. 13s. 12s. 13s. Year. 1810 1811 1812 12s. 10s. 10s. The low wages paid in the later years, when every article of provisions was excessively high in price, and when, even at these insufficient rates, but little employment was to be had, caused great and widespread misery among the manufacturing population. The following statement of the progress of the power-loom is taken from Mr. Baines's History of the Cotton Manufacture, published in the year 1835 : " In 1813 there were not more than 2400 power-looms in use ; yet this was enough to alarm the hand-loom weavers, who, attributing to machinery the distress caused by the Orders in Council and the American war, made riotous opposition to all new machines, and broke the power-looms set up at West Houghton, Middleton, and other places. Nevertheless, the great value of the power-loom having now been proved, it was adopted by many manufacturers, both in England and Scotland : and it will, no doubt, in time supersede the hand-loom. The rapidity with which the power-loom is coming into use is proved by the following table, the particulars of which were stated by R. A. COTTON 299 Slaney, Esq., M.P., in the House of Commons, on the 13th of May 1830, and which rest on the authority of Mr. Kennedy : " Number of Power- Z/oom* in England and Scotland In 1820. In 1829. In England .... 12,150 45,500 In Scotland . . . .2,000 10,000 Total . . 14,150 55,500 "This number would appear to have been somewhat underrated. Dr. Cleland states that, in 1828, the Glasgow manufacturers had in operation, in that city and elsewhere, 10,783 steam-looms, and 2060 more in preparation total, 12,843. He supposes there was an increase of 10 per cent, between 1828 and 1832, which would make the number 14,127 in the Utter year. This is independent of other parts of Scotland, unconnected with Glasgow. In 1833, evidence was given before the Commons' Committee on Manufactures, Commerce, etc., that, in the whole of Scotland, there were 14,970 steam-looms. We may therefore safely take the number of power-looms in Scotland at the present time (1835) at 15,000. " In England, the great increase took place during the years of speculation, 1824 and 1825 ; and comparatively few power-loom mills were built betwixt that time and 1832. But in 1832, 1833, and the former part of 1834, the trade has been rapidly extending ; many mills have been built, and many spinners have added power-loom factories to their spinning-mills. "Mr. W. R. Greg, an extensive spinner and manufacturer at Bury, gave evidence before the Select Committee of the House of Commons on Manufactures, etc., in August, 1833, that the number of power-looms had very materially increased of late years in and about Bury, and also at Stockport, Bolton, Ashton, and in Cheshire. He stated that he did not know any person who was then building a spinning-mill without the addition of a power-loom mill. " Mr. Kennedy's estimate for 1829 was probably too low for England, as well as for Scotland : at all events, there are good reasons for believing that there niu-t now be 85,000 power-looms in England. This conclusion is deduced from a computation of the number of workmen employed in power-loom weaving, founded on actual returns, obtained by the Factory Commissioners from the cotton-mills in Lancashire and Cheshire. It is also supported by the calculations of Mr. Bannatyne, and Messrs. Samuel Greg & Co., the spinners and manu- facturers of Bury. At the present time (1835), the machine-makers of Lancashire are making power-looms with the greatest rapidity, and they cannot be made sufficiently fast to meet tin- demands <>f tin- iii.inuf.u tuivrs. Tin* n-snlt we have urrivt-d at is as follows : 41 E$timated X muter <>f I'ouxr-Loomt in Gnat Britain in 1883 In England . . In Scotlaml . Total . 100,000 "While the numU-i ,i j-uu ' m1 ' looms employed in tin- a>tt.,n maimfactuiv an- l>. li. v,d not to have dimin between 1820 ;ind is:j.|,l-ut ratlu-r to hi "'. '" lllt ' f"rm< ' were estimated by Mr. Kennedy at 240,OtX. In 1SJ3, Mr. < Jrn.i-li.iw, a .pinner 300 THE PROGRESS OF THE NATION and manufacturer of Colne, gave his opinion before the Committee of the Commons on Manufactures, etc., that the number of hand-loom cotton weavers in the kingdom was about 250,000 ; whilst Mr. George Smith, manufacturer, of Manchester, estimated them at only 200,000. In the year 1834, several intelli- gent workmen and manufacturers from Glasgow gave evidence to the Commons' Committee ' On Hand-Loom Weavers,' that there were 45,000 or 50,000 hand- loom cotton- weavers in Scotland alone." From the returns of the Inspectors of Factories, it appears that the total number of self-acting loonis in the United Kingdom employed for weaving cotton at the end of 1835 was 109,626. Power-looms were not at first found generally applicable to the production of fine cloths, or what are called fancy goods. In the Report of the Select Committee of the House of Commons, appointed in the summer of 1834, to examine the numerous petitions presented by the hand-loom weavers, we find a statement given in evidence by Mr. Makin, a manufacturer of Bolton, to the following effect : " I know that there is at present no surplus of weavers. I go nine miles from the seat of my manufacture on one side to get weavers, and I am putting out work nine miles across the country in another part to get weavers ; and if I knew where I could get a certain description of weavers, by going nine miles another way, I should go. But it is a strange fact, that, whilst the demand for hand-loom cloth is greater than the production, yet the wages do not rise ; and in about two months from this time (July, 1834), I know, from the experience of past years, that there will be demands for thousands of weavers more than can be obtained." The fact stated by Mr. Makin, although seemingly at variance with the ordinary law of demand and supply, may admit of this solution ; that, when they could be furnished within a certain limited price, hand-loom cloths met with an extensive sale ; but that, when that limit was passed, other goods of home production, or similar goods of foreign make, came into successful competition with them ; so that the manufacturers were not enabled, by the most extensive demand, to increase the rate of wages paid to the weavers. Much valuable and authentic information respecting the amount of labour employed in the spinning and weaving factories of the kingdom was embodied in the reports of the Commissioners appointed to collect information as to the employment of children in factories, and subsequently by the inspectors appointed under the Act of 1833, for regulating the labour of children. A calculation, made in 1833 and inserted in a Supplementary Report of the Factory Commissioners, was perhaps as near an approximation to the truth as the nature of the subject (the numbers continually fluctuating) allowed. Being founded upon COTT* 301 actual and extensive returns, the statement may be received as substantially correct. It did not include hand-loom weavers, printers, bleachers, dyers, cotton-thread lace-makers (an enormous and growing branch of the cotton manufacture), and many other branches of manufacture, either arising out of, or immediately dependent upon, the spinning of cotton by power. It comprehended those operatives alone who habitually worked in cotton factories. It showed them to number 212,800 i cisons, and to earn annually the enormous sum of ".,777,4:? 4. The total quantity of cotton consumed in the spin- ning of yarn, in Great Britain, in 1832, as stated in Burn's Commercial nux, was 277,260,490 Ib. ; and of this quantity, 27,327,120 Ib. was consumed in Scotland, leaving for the con- sumption of England 249,933,370 Ib. The net loss of cotton in spinning is estimated variously by different individuals. In the calculations of Mr. Kennedy, made use of by him in a paper published in the Transactions of the Manchester Literary and Philosophical Society, it is taken at 1| oz. per Ib. ; while Mont- gomery, in bis Theory and Practice of Cotton-Spinniny, put it at 1| oz., and Burn at If oz. ; but as the amount taken by Mr. Kennedy is that which appears to be generally considered correct, it is adopted in these calculations : "If, then, from the quantity given above, we deduct 1| oz. per Ib., or 23,431,253 Ib., we shall have the total weight of yarn produced 226,502,117 Ib. The average number of hanks in each pound of yarn spun was computed to be 40. Montgomery took the average counts spun in Great Britain at 50, which, taking into account the finer average numbers spun in Scotland than in England, would fix the counts nearly as above stated. The returns made to the Lancashire forms of inquiry, as given in previous tables, show an average of finer counts than 40, but, as the returns were better made from the fine mills, than from the coarse, and from Manchester, where the finer yarn is spun, than from the country, it is evident that lower numbers ought to be taken than those shown in the returns ; and, as the general opinion appears to be in favour of 40, this avenge is adopted. "Three mills, in different situations, and of average capabilities, made a return of the quantity produced by them in the month ending the 4th May, 1833 ; and, as the average counts of the whole were 39'98 hanks to the Ib., and as they also gave the number of hands rm)>l<> nth, and the duration of their labour, they furnished data from which may be easily calculated the total number employed in factories in Kn^land in preparing and spinning cotton. In the mill of th>- fii-t, 311 persons in the spinning d, working 276 hours, produced 18,0001b. of No. 30 to 32, - , (OIK ofNos. If.O t 170. 3 2 THE PROGRESS OF THE NATION " In the second mill, 245 hands, working 270 hours, produced 1,795 Ib. of No. 12, 4,285 Ib. of No. 22, 33,8381b. of No. 40. "And in the third, 110 hands, working 286 hours, produced 16,7001b. of No. 40. " The average counts of the three being, as before stated, 39'98, and the produce 95,018 Ib. The total number of hours worked will therefore be 344x2764-245x270 + 110x286 = 192,554; and the produce of each person per hour 95 ' 018 =0-49,346 Ib. The usual estimate of 300 working days per annum ' 192,544 of 1H hours each, or 69 hours per week, would give 0-49,346x11-5x300 = 226 502 117 1,702,437 Ib. the produce of each person per annum, and ' ' =133,045, the number of persons employed in the preparation and spinning of cotton in England. In the 67,819 persons of whom returns were made to the Commission, there were 42,401 engaged in preparing and spinning cotton, 23,920 in the weaving department, and 1,498 as engineers, mechanics, roller-coverers, etc. If, then, the same proportions are taken as existing in the total number of cotton- workers which are found in the returns made to the Lancashire forms of inquiry, the number of persons engaged in the manufacture of cotton-cloth in factories will be 75,055, and of those employed as engineers, etc., 4,700 ; making, with the 133,045 in the spinning department, a general total of 212,800 persons engaged in cotton-factories. Which total number of 212,800 persons may be divided and distributed, by adopting the proportions given in the returns made to the Lancashire forms of inquiry, so as to show the probable number of persons employed in each of the eight branches or departments of cotton- working, and the aggregate amount of their net earnings per month." 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SrH 1 K 10 qCQ of a .2 a * IjJ S 'i t-~ 'I* CO ^^rHrH i-H f* rH HT ^1 rH ' ~ ' rH rH rH III '^ : ?1 M 3 CO * 0> f O4 -! rH O O W O * CO W OO O f- CO rHOOifi O -1 -r eo oo 00 t>. aoo VI Ji to Zt : '/. || I* -"5 OO^OO^ *O OOi-HOSOO4CO^^OO < !O(>COCOCftOO O> OOifaO O moOO I^-'M^.74I>.I>.OO^'00 1 eo * rH >. rH 04 3 J a" i -9 1 5lH (N o rH 10 rHO rH rH rH f J I. trfl 1 M J CH * - r ; ' _ . a s . . . ||IS? _ S ~ rt| 3 III! ^llj^ 3 .S TJ i. Ji O Oui Knglish wool superior to any that we hud ever produced in this country. Thus stimulated, our manufacturers also applied them- selves to the discovery of superior processes, and in the course 324 THE PROGRESS OF THE NATION of a very few years produced merinos and other stuffs in every respect equal to the fabrics of France. By this means our stuff manufacture received an important impetus. In the five years from 1820 to 1824, while the prohibition to export English wool was still in force, the average annual shipments of that description of woollen goods amounted to 1,064,441 pieces. In the five years following, during which the removal of the restriction occurred, the average annual export of such goods amounted to 1,228,239 pieces; and in the next quinquennial period, from 1830 to 1834, the average rose to 1,505,993 pieces; between 1835 and 1839, the average export was 1,429,057 pieces; and during the five years, 1840 to 1844, it reached 2,128,212 pieces, being exactly double the quantity . exported during the last five years in which the prohibition existed : thus furnishing a satis- factory answer to those persons who predicted, as a necessary consequence of a departure from a restrictive policy, the absolute ruin of that branch of our export trade. The value of woollen goods exported from England in 1700 was about 3,000,000. At the beginning of the nineteenth century, notwithstanding the great extent to which articles made of cotton had been substituted for woollen clothing, the value of our exports of woollen goods amounted to about double that sum. We have not any record of the quantity of goods exported at these periods, but as the price of wool at the end of the eighteenth century was more than double what it had been at the beginning, it is probable that the number of yards and pieces sent away was not much, if at all, greater at the later than it had been at the earlier period. It will be seen from the following table that the value of our exports of woollens did not increase in the first half of the nineteenth century ; but owing to the diminished price of wool, and the great economy that was attained in various manufacturing processes, the quantities, on the whole, considerably increased. The largest export, in point of value, occurred in the year 1815, when, owing to the interruption of intercourse with the United States of America in the two preceding years, the quantities sent to that country were unusually great. The number of pieces exported to all parts in that year was 1,482,643, the number of yards 12,173,515, and the total value 9,381,426, of which 4,378,195 was sent to the United States. WOOL 325 An Account of the Quantities of British Manufactured Woollen Goods Exported every Fifth Year, from 1815 to 1845 Napped Stuffs, Years. Cloths of all sorts. Coatings, Duffels, Kersey- meres. Baizes of all sorts. Woollen or Flannel. etc. Worsted. . Pieces. Pieces. Pieces. Pieces. Pieces. Yards. 1815. 638,369 88,588 92,691 69,687 593,308 7,056,271 1820 . 288,700 59,644 78,944 87,183 828,901 2,569,105 1825 . 384,880 45,268 126,448 47,100 1,188,808 2,959,694 1830 . . 388,269 22,377 34,714 49,164 1,252,512 1,613,099 1835. 619,886 20,083 29,203 47,854 1,673,069 2,067,620 1840. 215,71'i 16,094 27,122 36,044 1,718,617 1,618,477 1845 . 307,791 4,773 24,673 23,583 2,212,906 2,405,811 Blankets Carpets Woollens, Sundries Total and and mixed witn Hosiery. unenume- Declared Blanketing. Carpeting. Cotton. rated. Value. Yards. Yards. Yards. Dozens. 1815. 3,397,187 793,793 926,264 202,900 265,200 9,381,426 1820. 1,288,409 526,124 407,716 59,960 89,337 5,586,138 1825 . 2,162,834 888,324 1,793,301 106,498 45,385 6,185,648 1830 . 2,176,391 672,869 1,099,518 111,146 54,088 4,728,666 1835 . 3,122,341 938,848 1,778,389 207,014 110,688 6,840,511 1840. 2,162,653 758,639 3,628,874 96,946 164,034 5,327,853 1845. 2,479,478 1,006,970 23,831,017 174,061 178,995 7,893,118 An Account of the Quantities of Sheep and Lambs' Wool, Foreign and Colonial, Import e< I into the United Kingdom in the Year 1844, dis- tinguishing the Countries from which they came From many .... New South Wales . Russia .... Van Diemcn's Lain! Italy .... East India Company's Territories . Cape of Good Hope . States of Rio do la Plata . Denmark .... Portugal .... Turkey (indu'ling K^-ypt and Syria) Morocco .... France .... Spain .... Peru .... Carry forward Ib. 21,847,684 12,406,397 5,402,098 4,411,804 2,818,353 2,765,858 2,197,031 2,186,291 1,604,099 1,346,613 1,1" 918,853 821,03'J 62,037,791 326 THE PROGRESS OF THE NATION lb. Brought forward .... 62,037,791 From Belgium 763,161 South Australia 662,268 Gibraltar 372,167 Holland .... 350,196 Prussia . . . 271,485 Morca and Greek Islands .... 252,359 Chile 129,650 Western Australia . . . . 109,243 Other countries (less than 100,000 lb.) . 131,204 Total . . 65,179,524 Of this total quantity imported, 1,924,826 lb. were re- exported, 1,204,334 lb. going to Belgium alone, and 566,434 lb. to the United States. The total value of British woollen manufactures exported from the United Kingdom in the year 1844 amounted to 8,204,836, of which 2,444,789 went to the United States, and 1,031,573 to Germany. China, the British North American Colonies, the East India Company's territories and Ceylon, Holland, Italy, Brazil, and Peru came next in order of importance as markets for British goods. Our exports of woollen manufactures exported in the same year were classified as follows : Cloths of all sorts, 317,073 pieces; trapped coatings, duffels, etc., 4616 pieces; kerseymeres, 28,041 pieces; baizes of all sorts, 22,780 pieces; stuffs, woollen and worsted, 2,492,217 pieces; woollens mixed with cotton, 20,661,259 yards; blankets and blanketing, 3,360,690 yards; flannel, 1,993,895 yards; carpets and carpeting, 924,326 yards; hosiery, namely, stockings, woollen and worsted, 284,390 yards; and sundries consisting of hosiery not otherwise described, etc., to the value of 156,093. To these statistics Porter added "an account of the quantities of British sheep and lambs' wool and woollen yarn exported from the United Kingdom in the year 1844," which shows that of the 8,947,619 lb. of British sheep and lambs' wool sent abroad in that year, 6,862,572 lb. went to Belgium and 1,685,890 lb. to France. The woollen and worsted yarn exported in the year 1844 amounted to 8,271,906 lb., and included 4,614,745 lb. sent to Germany and 1,652,890 lb. sent to Holland. The quantity of mohair imported into the United Kingdom in 1844 was 1,290,771 lb., and 635,357 lb. of "wool of the alpaca and llama tribe " are also noted. In the year 1839 there were 1322 woollen mills at work in WOOL 327 the United Kingdom, 1029 in England, 150 in Wales, 112 in Soot- land, and 31 in Ireland. There were besides 416 worsted mills in England. The persons employed in these mills numbered 86,4 1 1 in England 7H.G72, of whom rather more than half were females, in Wales 1433, 956 of whom were males, in Scotland 5076, half men and half women, and in Ireland 1230, again half men and half women. A great number of children were employed in these mills, particularly in England. If we compare these statistics with those for 1835, we find an increase of 132 factories or 10 per cent, in the four years, and an increase of 15,137 persons or more than 20 per cent. It is not possible to measure, writes Porter, the progress of the woollen industry by means of the export trade, which is of far lees magnitude than the home demand ; nor can we arrive at any precise estimate from the quantities of the raw material which have been procured from abroad, since foreign wool has always formed an uncertain proportion of the material used for our cloth manufactures. Nor again does the growth of the population of particular towns and districts always furnish a certain criterion for forming a judgment upon the subject, because the manufacture, which was at first spread about in a great many different parts of the kingdom, has at different times diminished or ceased in some places, while it has increased in others, and in general the business has been carried on in districts where other branches of industry have been simultaneously prosecuted ; so that it is not possible always to determine the degree in which the increase of manufacturing hands is occasioned by one particular branch or by another. We have not any detail of the quantity of woollen goods exported earlier than 1815, and without such data the simple statement of value affords no precise knowledge of the extent of shipments of goods produced from a material, the qualities of which are so various, and the prices of which have so greatly fluctuated. The following tablo shows the growth in our imports of foreign wool in the first half of tin- crntury : Y.'.ir. Hi. Yar. 1801 . . . 7.:i71,774 1880 . . -.314 isio . . . 10,914,137 1840 . . . 19,710,396 i . . . '.',77r>,605 1849 "6,788,647 In consf a mniimiul ilrj.n s-i.n in tli' 1'i'i'v oJ 1'iitish wool, a Committee of tin- ll.mso of Comm- appointed, in 1828, to inquire into the state of the woollen t :.l a con- 328 THE PROGRESS OF THE NATION siderable amount of evidence on the subject was collected on that occasion. The estimates offered to the Committee were indeed without the sanction of any certain authority ; but as their general accuracy seems to have been acknowledged at the time by many persons practically experienced in this branch of trade, we are justified in availing ourselves of them, in the absence of more precise data. On that occasion a statement made by Mr. Luccock was produced, giving the estimated numbers of sheep kept in England and Wales in the year 1800, and distinguishing the long- woolled from the short-woolled flocks. According to this statement the number of sheep in that year amounted to 19,007,607, and of these the far greater proportion, namely, 14,854,299, were short- woolled sheep. The quantity of wool yielded by these animals was estimated at 393,236 packs of 240 lb., or 94,376,640 Ib. in all, being a very small fraction under 5 lb. for each fleece, taking one with another. Mr. Hubbard, a gentleman of great experience in the wool trade, by whom Mr. Luccock's table was brought forward in 1828, then expressed his belief that the actual number of sheep in England and Wales had increased one-fifth since 1800; that the long- woolled sheep had become more numerous than the short-woolled ; and that the weight of the fleece had so much increased, that, one with another, each sheep yielded more than 5 lb. of wool. Assuming these estimates to be correct, it appears that in 1800 the quantity of wool available for manufacturing purposes, exclusive of that produced in Scotland and Ireland, was Packs. lb. From flocks in England and Wales . 393,236, or 94,376,640 Foreign wool imported .... 8,609,368 Together .... 102,906,008 If between 1800 and 1828 the number of sheep had increased one-fifth, it is probable that by 1849 the increase had at least reached to one-third, and that the whole number in England and Wales then amounted to 25,343,476. Assuming also, that the average weight of each fleece had further increased in the degree estimated by Mr. Hubbard, the whole quantity of wool applicable to manufacturing purposes must have been Packs. lb. From flocks in England and Wales . 607,187 or 145,724,880 Foreign wool imported, 1849 . . . 76,768,647 Together .... 222^493^527 showing an increase since 1800 of more than 115 per cent. WOOL 329 During the first half of the nineteenth century the woollen and worsted industries increased rapidly in Yorkshire. On the other hand, in the early part of the nineteenth century the manufacture of bombazeens, crapes, worsted studs and mixed fabrics called Norwich shawls at Norwich suffered a very great depression. The population of the whole West Biding of Yorkshire rose between 1801 and 1841 from 563,953 to 1,154,101, or 104 per cent. During the first half of the nineteenth century the woollen manufacture underwent various changes. One of the greatest of these changes resulted from improvements in the breed of English sheep, in which it was more the object to obtain a greater weight of carcass than to improve or preserve the quality of the wool The fleece, as we have seen, had become heavier, but, at the same time, the wool of the short-woolled sheep was coarser ; and for the production of cloth of similar quality to that which thirty years before was produced wholly from British wool, it was necessary towards the end of this period to use an admixture of imported wool. This remark applies to South Down sheep, the wool of which was used for baizes, flannel, blanketing, druggets, and low- priced cloths. The proportion of these sheep, however, had much diminished relatively to the number of sheep yielding long or combing-wool, which was employed for the manufacture of stuffs and worsted fabrics. The importation of foreign woollen rags into England for the purpose of re-manufacture had just begun. Mixed with English, or more commonly with Scotch wool of low quality, an inferior cloth was manufactured at a price sufficiently moderate to command a sale for export. By this means a market was obtained for wool of a very low quality, which might otherwise have been left on the hands of the growers. The blanket trade had also shown considerable development, the best blankets were made from unmixed British wool. The town and parish of Dewsbury, at which carpets were made, increased its population between 1801 and 1841 from 11,752 to 23,806, or by 10l> per cent. THE WOOLLEN AND WORSTED INDUSTIJY KKOM 1850 TO THE PKKSKNT DAY The later history of the woollen and worsted trades Jitters considerably from the earlier. Its conditions have almost entirely 330 THE PROGRESS OF THE NATION changed since Porter wrote. The multiplication of merino sheep in Australia and the consequent growth of our imports of fine wool from that country, as well as from South Africa and Argentina, are of first importance in surveying the past sixty years. The Australian fleeces began to appear in the English market before 1830, but only in small quantities. By 1860 Australia, Tasmania, and Cape Colony had become the chief sources of English imports. At the same time South America began to develop its sheep-rearing industry, but from the first its trade was mainly Continental, as it is to-day. Between 1850 and 1870 New Zealand took her place as a great exporter of wool beside Australia and the Cape. Professor Clapham in his valuable book on the woollen industry describes how the New Zealand squatters, by systematic crossing with long-woolled English sheep, produced the cross-bred wool with most successful results. The cross-bred sheep is better suited for slaughtering than the merino, and, with the transport of frozen mutton and the demand for cross-bred wool, sheep rearing in New Zealand became most profitable. Breeding for mutton is now carried on in many parts of Victoria and South Australia ; but the flocks of New South Wales, which produces more than half the Australian wool, are still mainly merino. In Argentina three- quarters of the sheep are cross-bred, and this also is due to the growth of the frozen meat industry, which followed a drop in the price of merino twenty years ago. Taking the whole mass of Australasian, South African and Eiver Plate wools, Professor Clapham estimates that almost exactly a half is now merino and a half cross-bred. Ten or twelve years ago the proportions were two-thirds merino to one-third cross-bred. The same authority has some interesting observations on the present state of the world's wool supplies. In most countries of Europe, though not in Great Britain, a remarkable fall in the stock of sheep took place during the last twenty years of the nineteenth century. Germany contained about twenty million head of sheep in 1880, and less than ten million in 1900. Even in European Russia the fall was considerable ; though in France, which with England and Russia, raises about two-thirds of the wool of Europe, it was not very marked. From 1895 to 1902 a fearful drought afflicted Australia, and swept away about half the flocks. There had been 106 million sheep in the country in 1891; there were but 53 million in 1902. Since then the recovery has been rapid, and the latest return for 1910 gives the Australian total as 115 millions. The Boer War reduced the South African flocks, but the wool has WOOL 331 since improved both in quality and quantity. The trade in sheep and mutton, and, above all, the trade in lamb, have limited the flocks of New Zealand and South America. In Argentina agricul- ture and also disease threaten the industry. The United States contains only about twice as many sheep and lambs as the United Kingdom about sixty millions in fact. "There is thus a con- traction of supplies all the world over," says Professor Clapham, but ho consoles us for the threatened shortage by pointing to the areas suitable for sheap rearing, of which as yet only partial use has been made. To turn to the manufacture of the wool, we find that in East Anvrlia, which was the chief worsted district down to 1800 Worsted is the name of a Norfolk village the industry has almost entirely disappeared. In Devon there are some half-dozen mills ; and some of the finest cloths are still manufactured in (rloucestershire and Somerset. A recent writer on the West of !;ind woollen industry describes how "with the nineteenth century came an age of industrial revolutions, and the cloth trade was the subject of mighty changes. The hand-loom disappeared from the weaver's cottage, replaced by the power-loom at the mill ; in every direction machinery, power-driven, superseded hand labour ; and, as the steam-engine took the place of the water-wheel, the cost of coal, proximity to coal fields, became for the first time an important consideration for manufacturers." Later came changes in the popular demand for cloth. " The old-fashioned broadcloths, the superfines for which the West of England still remains unrivalled, declined from universal favour. The new demand was for a great and constantly changing variety of tweeds and of worsted suitings and serges. The situation of the West Riding of Yorkshire, within easy access of coal fields, gave an immense impetus to her industries from the very commencement of the industrial revolution ; the subsequent changes in fashion gave her an opportunity of which she was not slow to avail herself, and she rapidly became pre- eminent, not for the production of the finest cloth of tin- highest value, but. for her capacity to meet rapiilly and cheaply tin- new Inn tn. I." At tin- present linn-. certain \i-n-. Ib. Ib. M60 74,326,778 14,388,674 I860 148.89fl.577 11,031,479 30,761,867 1870 263,267,709 15,812,598 92,542,384 1880 463,508,963 28,375,407 237,408,589 1890 633,028,131 g8,es&,87 340,712,303 1895 775,379,063 28,494,249 404,935,226 1905 620,350,885 26,648,737 277,864,215 1908 723,820,547 30,746,990 326,312,398 * Including woollen rmgs. In 1850 we also imported woollen manufactures to the value of 535,461 and woollen and worsted yarn to the value of 495,438. Our import of woollen and worsted yarn in 1870 was valued at 1,775,680, and in 1890 at 1,935,061 ; in 1870 our import of woollen manufactures was 3,362,656 and in the latter year 9,021,930. The latest Statistical Abstract gives the import of woollen yarn for 1908 as 22,497,655 Ib. (valued at 2,.".02,940) and the import of woollen manufactures as 72,483,222 11.. (valued at 7,197,116). In 1850 our exports of woollen and worsted manufactures were classified as follows : (a) cloths, coatings, etc., unmixed and mixed, 2 7, .155,1 88 yds. (2,692,492) ; (J) flannels, blankets, blanketing, and baizes, 9,29r,,122 yds. (604,653); (c) worsted stuffs, unmixnl ami mixed, 112,000,812 yds. (4,794,610); (d) carpets and druggets, 1,868,675 yds. (248,019); (e) of all other sorts, 248,916 ; total value, 8,588,690. Ten years later the total value of our woollen and worsted exports was 12, 15 6,99 x. In 1870 the statistics were: (a) 32,404,719 yds. (4,749,1 *>'>) ; ('<> 14,985,389 yds. (l,07K,983); (,. o4 yds. (13,78K/ y.k ( 1. ::'.::, L'79); (e) 6r,.l.72s : tnt:il vain- him iirxt ten y.'irs our woollen rxy-rtH doclinr.l in value, and in 1S79 they only amountril (<> !",* M years later their value was 21 .:',lM,.S!)2. In 1900 our w.K.Il.-n worsted exerts were as follows: woollrn tissues, 50,502,600 yds.; 22 338 THE PROGRESS OF THE NATION worsted tissues, 102,173,500 yds. ; blankets, 857,900 pairs ; carpets and druggets, 8,739,900 yds.; and flannels, 11,699,300 yds. The total value of these exports was 23,796,009. Finally, in 1908, the latest year available, our exports were valued at 28,391,922. In any survey of the woollen and worsted industry the evidence provided in the Census of Production (1907) must find a place, and the following report is of considerable value : The same considera- tions as those already alluded to in dealing with the cotton trade make it impossible to give any figures with regard to the value of the products of the woollen and worsted trades taken as a whole. As regards weaving, however, the following statement of the quantities and values of the principal woven goods made for sale may be regarded as practically complete and free from duplication. Goods made by commission weavers for merchants are, of course, not included, but the quantity is not large. Quantity. Values. Woollen tissues, broad ..... Yards. 137,188,000 35,328,000 47,267,000 7,236,000 126,410,000 2,608,000 3,077,000 47,380,000 26,159,000 Square Yards. 3,859,000* No. 178,000 Pairs. 3,071,000 No. 1,290,000 828,000 14,704,000 1,712,000 8,330,000 723,000 6,534,000 247,000 330,000 1,746,000 3,337,000 606,600* 41,000 1,448,000 227,000 236,000 ,, narrow .... Worsted coatings and trouserings, broad > >i narrow . Worsted stuffs, dress goods, linings, lastings, etc. Damask tapestry and other furniture stuffs Flannels and delaines Rugs, other than travel- J returned in S 1 uare y ards ling rugs . [ re turned by number Blankets Shawls Coverlets, travelling rugs or wrappers . Including a small amount of work done on commission. of the goods included above It will be seen that the value amounted to about 40,250,000. It is unfortunately not possible at present to afford any estimate of the total quantity of woollen or worsted yarn spun, the voluntary information furnished by manufacturers in this industry not having been sufficiently complete for the purpose. The returns show the following total quantities of yarn spun for sale or for stock, with their values : WOOL 339 Quantities. Value*. Ib. Woollen 48,514,000 2,211,000 Worsted Alpaca and mohair .... Other hair and wool . 144,303,000 18,625,000 9,882,000 15,869,000 2,346,000 399,000 * The total value of this yam was returned as about 21,000,000. These figures are exclusive of the quantities of yarn spun and used in the manufacture of other goods for sale by the same firm. The net output of woollen and worsted factories as a whole according to the census taken in 1907 was 19,452,000, this sum representing the total amount by which the value of the products of the industry taken as a whole exceeded the cost of the raw wool and hair and other materials used in their manufacture and the work done on those materials by other firms for the principal firms. The actual cost of these raw materials used is not known, since the total of the sums returned as " materials " includes, like the total of the sums returned as " output," yarn, etc., made by one factory and sold to another. Firms with an output of 27,181,000 in the censal year (or nearly 40 per cent, of the total) reported that their output in the previous twelve months was 25,868,000. The increase of value in 1907 compared with 1906 slightly exceeded 5 per cent. The Census of Production also deals with two other minor industries, which may be included here, namely, flock and rag manufacture, and velvet and fustian cutting. The following statement shows the values of the chief products of the factories engaged in the sorting of rags and the preparation of flocks for bedding and upholstery : Rags, cleaned, sorted, etc., for paper-making purposes . . 217,000 Rags, cleaned, sorted, etc., for textile purposes . . . 420,000 Rags for manure ..... 2,000 Flocks for bedding and upholstery . . 95,000 Other products ....... 118,000 The " other products " are chiefly cotton and wool waste. The value of the goods included above is 852,000 and represent* the value of the total output of flock and rag factories as a whole, but does not include the output of workshops engaged in this trade. The net output of flock and rag factories included in thin Report was 159,000, this sum representing the total amount by which 340 THE PROGRESS OF THE NATION the value of the products of such factories exceeded the cost of the rags purchased and sorted and other materials used. The actual cost of such rags and materials was 693,000. The average number of persons employed in flock and rag factories is returned as 2375, namely, 2208 wage-earners and 167 salaried persons, the total number being further classified according to age and sex : Hales. Under 18 .... 63 Over 18 . . 648 Females. Under 18 .... 202 Over 18 ... 1,462 Velvet and fustian cutting is done almost exclusively on com- mission for firms which send out piece goods to be cut, and consequently the value of the " output " of the trade is the amount received for work done and not the selling value of the goods them- selves. In the few cases where the firms buy goods, cut them, and then sell them, the returns have been compiled on the same basis as that adopted by persons or firms working on commission. The total amount received by the trade as a whole for work done waa 117,000, this representing the additional value given to the goods by the process of cutting. The net output of establishments en- gaged in velvet and fustian cutting was 112,000, this sum representing the total amount by which the value of the work done by the trade as a whole exceeded the cost of the materials purchased and used in connexion with the work done and the amount paid to other firms for work done by them for the principal firms. The cost of the materials, mainly fuel and stiffening materials, was about 4000, and the amount paid to other firms for work done by them for velvet and fustian cutting firms was less than 1000. The average number of persons employed in the velvet and fustian cutting trade is returned as 3443, namely, 3377 wage-earners and 6 6 salaried persons ; many principals of such establishments, however, who themselves work at the trade, have returned themselves as wage-earners. The total number is further distributed according to age and sex : Males. Females. Under 18 . . . 40 ! Under 18 . . . .788 Over 18 751 Over 18 .... 1,864 We may conclude our brief survey with some remarks from an interesting paper by Lord Eversley, who, revisiting Bradford in 1910 after a long absence, bore eloquent testimony to " the immense and unprecedented expansion of the woollen industry." It is not, he points out, one or two branches only which have prospered, as in WOOL 341 past times, but every branch without exception shares in it. He found every mill working at full pressure, many of them overtime, sunn- of them with double shifts. Every able-bodied man and woman willing to work was employed. In many districts there was said to be a shortage of labour. " At Bradford I am amazed at the increase of the town in fifteen years. Not many new mills, I believe, have been erected. But those which existed have been greatly enlarged. New machinery has been erected, and the output has been enormously increased." And he concludes : " What a marvel is this woollen industry of the West Hiding ! Wool comes to it from every part of the world, is worked up into manufactures of all kinds, and is then exported to every other country, finding its customers in spite of hostile tariffs imposed by its jealous rivals for the express purpose of excluding it, and with a result that the working men and women who constitute four-fifths of the whole population have better wages, cheaper food, and shorter hours than in any other part of Europe. What a striking testimony this is to the energy of Yorkshire manufacturers, to the skill of the labourers, and to the policy of Free Trade which is the life and breath of the whole trade ! " CHAPTER XVIII OTHER TEXTILE TRADES SILK, LINEN, JUTE, AND HEMP Progress of silk manufacture during prohibition Effect of repeal of duties Exports of silk goods from 1820 to 1849 Number of mills Introduction of machinery Effects of the Cobden Treaty Foreign trade since 1850 Total output Early linen production and trade Imports of flax Exports of linen from 1850 to 1910 Flax production in Ireland Numbers employed in jute industry Exports and imports of jute History of hemp industry Number of factories Imports of raw hemp THE SILK TRADE 1800-1850 IT is only since about 1830 that the silk manufacture can be said to have been firmly established in this country. Silk goods have, indeed, been made in England since the time of Edward the Third, and at various times measures intended to act for the protection of the manufacturers have been passed by the legislature. With this view, the importation of silk goods manufactured in other countries was strictly prohibited in 1765, and this system continued in force during a long series of years, such goods being expressly excluded from the benefit of the treaty of commerce concluded with France in 1786. By this prohibitory law, the English silk manu- facturers were legally secured in the exclusive possession of the home market, from which, in the then imperfect condition of the manufacture, they would otherwise have been driven by the superior fabrics of foreign looms. Protected trades are, almost invariably, carried on without that regard to economy in the processes which is necessary, in order to provide for their extension, by bringing the protected article within the reach of a larger number of consumers. Hence silk goods came to be looked upon as mere luxuries, the use of which must be confined to the richer classes ; and this state of things was aggravated by taxation. Heavy duties were imposed upon the importation of the raw and thrown silk ; the manufactured goods made of a material, the cost of which was thus enhanced, continued beyond the reach of the multitude, and the manufacturers were consequently liable to considerable and violent vicissitudes OTHER TEXTILE TRADES 343 from every change of fashion. On the other hand, those manu- facturers feeling themselves secure in their legal monopoly of the home market, were without the necessary stimulus to improvement, and additional temptations were consequently held out to the smuggler to introduce the superior prohibited goods of France. The slow progress made in this branch of manufacture in England, under this system of duties and restrictions, may be seen from the following table of the quantities of raw and thrown silk imported at various times into the kingdom, from the year 1765, when the prohibition of foreign silk goods was enacted, until the end of 1844. 1 Average Importation Raw. Waste. Thrown. Total. Ib. Ib. Ib. Ib. 1765-1767, commencement of prohibition 352,000 363,000 715,000 1785-1787, twenty years after prohibition 544,000 ... 837,000 881,000 1801-1812 760,000 ... 350,000 1,110,000 1815-1817, first years of peace, and fifty years after prohibition was commenced 1,095,000 27,000 293,000 1,415,000 1821-1823, last three years prior to the change of system .... 1,970,000 74,000 355,000 2,399,000 Raw. Waste. Thrown. Total. Ib. Ib. Ib. Ib. 1814 1,504,235 29,234 (86,600 2,119,974 1824 3,414,520 133,257 463,271 4,011,048 1834 3,346,751 1,009,932 165,768 4,522,451 1844 3,918,282 1,761,424 405,927 6,085,633 1849 4,411,263 1,375,808 482,108 6,269,179 In 1824 the system was wholly changed. The high duties of as. Gd. per Ib. imposed upon raw silk, and of 14s. 8d. per Ib. upon thrown silk, were reduced; the former to 3d. and the latter to 7a 6d. per Ib. These rates were afterwards further reduced ; that on raw silk to Id., and that on thrown silk to .".s. (Jd. jer Ib. : a regulation of the custom-house permitting the latter duty to be drawn back upon the exportation of the goods into which foreign thrown silk is converted. In 1845 the duties on importation wrrr wholly repealed. In 1824 the system of prohibition against th- imi>ortation of foreign manufartuml silk goods was I.IOSJMV; repealed, and a scale of duties adopted, under which such goods might be imported ; but in order to afford the silk manufacturers 1 Previous to 1829 the waste was in< -ln) .~>0 per cent, of the silk goods shipped from France to England were smuggled. Thus in 1843 4*4,438 Ib. were exported from France to England, and as only _7'i,256 Ib. (57'02 per cent.) were entered at custom-houses in Eng- land, 208,182 Ib. (42*98 per cent) more were actually shipped than entered. The duty received on 3,173,676 Ib. of silk manu- ires during these seventeen years (1827-1843) amounted to 3,136,001, which is at the rate of 19s. 9d. per Ib. During the same period the regular imports from France amounted to 3,179,112 Ib. weight, which is about equal to the whole quantity on which duty was paid. The sum received, if collected upon the whole quantity shipped from France to England, would have been equal to a very small fraction less than 10s. per Ib. The trade of the smuggler would, in all probability, have been prevented, as regards silk goods, if the duty had been fixed at 10s. per Ib., which would still have been a very high protecting duty, and the revenue would have been as great at the lower as it has proved at the higher rate, while the gain to the consumers in England would have been 9s. 9d. per Ib. in the price of the manufactures produced and imported. These amounted to 79,217,862 Ib., including all qualities, which gives a sum of 38,618,708 lost to the great bulk of the com- munity in seventeen years, through the operation of excessive duties levied for the supposed benefit of one branch of our manufactures. THE SILK TRADES -1850-1910 The later history of the British silk industry really begins with the year 1860 the year of the Cobden Treaty, which removed the protective duty of 15 per cent, on foreign silk manufacture*. The immediate effect was disastrous to a great number of firms. Mr Matthew Blair, a well-known authority, writ*: "The silk firms in existence in I860 were nnmrronH, and many >f th.Mii not larg*. On the average they were little pivjawl fur the stirm. The weaker ones w.-ru quickly weeded out. Tin- ttH curtail. -.1 their production : ami as the trad.- wa m-t taking oil' the nlk. i: of the wealthy throwsters retired from tin- business. I'.nt those manufacturers who were in a large way, with capital and modern 350 THE PROGRESS OF THE NATION ideas, although hard hit by the Cobden Treaty, were not destroyed, and many of them are still to the front. The trade, if not so large as formerly, is founded on a far more secure economic basis." It was the thrown silk branch of the trade which suffered. Spun silk, which was then in its infancy, is now a large and profitable industry. " Viewed as a whole," writes Mr. Blair, " the silk trade of the country has not decreased, but is larger to-day than ever it was, and we may also say that it is more lucrative." The introduction of the factory system, and the extension of power-loom weaving, which destroyed domestic weaving, are regarded by some as unfortunate developments. The principal silk manufacturing towns in England have been Coventry, Macclesfield, Congleton, Leek, Derby, London (Spitalfields), Manchester, Middleton, and Nottingham. At the best period some 150,000 looms found employment. In 1872 the number was reduced to 65,000, of which 12,500 were power-looms. Spitalfields in its best days kept 24,000 hand-looms occupied ; Manchester once had 20,000 looms weaving silk. The spun silk industry, to which we have referred, was developed in the Yorkshire and Lancashire textile centres Bradford, Halifax, Rochdale, etc. In 1870 there were 696 silk factories in the United Kingdom employing 48,124 persons (13,987 males and 34,137 females). In 1890 there were 623 factories employing 41,277 persons (13,470 males and 27,807 females). The number of persons employed in 1901 was 31,555 (8966 males and 22,589 females). In 1907 there were still less, according to the Statistical Abstract, 28,873 (8776 males and 20,097 females). The Census of Pro- duction, however, gives the average number of persons employed in that year as 32,036, namely, 30,541 wage-earners and 1495 salaried persons, and further classifies them according to age and sex : Males. Under 18 . . . 2,109 Over 18 ... 7,872 Females. Under 18 . . . 5,603 Over 18 . . . 16,452 In considering our foreign trade it must be remembered that the opening of the Suez Canal in 1869 enormously affected our imports of raw silk. Before the Canal was opened, the bulk of the oriental silk used on the Continent came round by the Cape of Good Hope, and London was a convenient entrepot ; but with the Suez Canal open, these goods were naturally entered at Trieste, Genoa and Marseilles, and Lyons became the centre of the European industry. The effect of this is seen in the statistics of our imports of raw silk : OTHER TEXTILE TRADES 351 Year. 1850 1865 1875 1890 1910 Ib. 4,942,407 7,732,450 10,184,855 4,487,837 3,443,722 1,961,281 1,392,460 996,565 589,872 Our imports of silk manufactures have been as follow: Year. 1854 . . . 1,923,511 1860 . . . 2,799,137 1865 . . . 7,825,709 1875 . . . 12,264,532 18bO . . . 13,324,935 Year. 1885 . . . 10,268,690 1890 . . . 11,318,883 1895 . . . 15,237,298 1900 . . . 15,376,634 1910 . . . 13,521,021 The total value of our exports of silk manufactures every ten years since 1850 has been as follows: Year. 1850 .... 1,040,985 1860 .... 1,587,303 1870 .... 1,450,397 Year. 1890 .... 2,229,365 1900 .... 2,063,562 1910 .... 2,278,943 1880 . . . . 2,030,659 The returns for 1850 and 1860 give the total quantities of broad piece-goods, handkerchiefs, and shawls and ribbons exported thus : 1850 1,185,723 lb. 1860 1,307,298 The later returns give the quantities of broad piece-goods alone. These are us follow : Exports of Broad Piece-Goods Y.-ar. Yds. 1870 .... 3,854,028 740,212 1880 .... 6,218,510 1,012,720 1890 .... 9,507,367 1,271,412 1900 .... 10,246,700 964,234 1910 .... 11,612,184 1,167,623 The following table shows our exports of thrown silk, twist, and yarn from 1850 to 1909: Year. lb. 1850 .... 544,342 196,380 1860 .... 897,402 826,107 1870 .... ... 1,154,364 1880 . . . . ... 3,591 1890 .... 831,945 482 1900 .... 1,1 '.', 900 425,647 1910 ! 1,467,711' 511,908 From 1868, when we exported thrown silk, twist, am! yarn to the amount of 1,229,126, there is a gradual decline in the value of our annual exports. 352 THE PROGRESS OF THE NATION The report on silk factories in the Census of Production (1907) is based on returns from factories engaged principally in the throw- ing, spinning and weaving of silk, as distinct from those engaged solely in the dyeing, bleaching and finishing of silk and other goods, or from those engaged in the manufacture of hosiery, silk net, and silk embroidery. The report points out that the value of the gross output of all factories is in excess of the value of the output of the trade considered as a unit, since net silk or spun silk yarn made at one factory is sold to another to be woven, and woven goods made at one factory are sold to others to be made up into neckties, hand- kerchiefs, etc. The quantities and values of net silk yarn (or thrown silk) and spun silk yarn spun for sale or for stock were as follow : lb. Thrown silk (net silk yarn) . . 414,000 397,000 Spun silk yarn .... 2,306,000 940,000 Exports of thrown silk in 1907 amounted to 34,000 lb., valued at 37,000, free on board, and of spun silk yarn, 1,036,000 lb., valued at 364,000. The remainder of the make of yarns above shown is partly included in the quantities and values of other goods made in silk factories, and partly represents yarns sold to hosiery, net, and other factories not included. The make of yarns indicated above is exclusive of the yarns made and used in the same factory in the manufacture of broadstuffs, ribbons, etc., and no estimate is given as to the total make of spun silk yarn. The total make of net silk yarn (or thrown silk) is roughly estimated at between 800,000 and 1,000,000 lb. The net imports of "kmibs, noils, and waste" (the raw material for spun silk yarn) in 1907 were 6,865,000 lb. The following statement shows the quantity and value of the output of broadstufts and the values of ribbons, other silk manu- factures, and other goods made in silk factories, exclusive of goods made by commission weavers and goods made into neckties, hand- kerchiefs, etc., by the weaving firms ; it is free from duplication. Broadstuffs Yards. Wholly of silk (net or spun) . . . 9,890,000 824,000 Of silk mixed with other materials . . . 7,397,000 696 000 Ribbons Wholly of silk or of silk mixed with other materials^ / 121,000 Other manufactures of silk, mixed or not with other Recorded materials (including smallwarcs) . . . J- y J 1,056,000 Cotton and woollen manufactures . . . Qn j 328,000 Other products . J 33,000 The value of the goods included above amounted to 3,058,000. The following goods were also manufactured either from piece- goods woven by other firms and included in the foregoing statement 353 OTHER TEXTILE TRADES (and consequently to that extent duplicated), or by firms who the silk out of which they were made: Madr-up jjooda N.tkties ....... 379,000 H-iinlki-r.-lii.-fs, scarTes, moftlert, etc. (not in ta piece) . 291,000 Of these sums, neckties valued at 92,000 and handkerchiefs, etc., valued at :'.!', 000 appear to have heen made from broads i n-tunieJ as such by other firms making returns to the Census Olh'co; while neckties valued at 187,000, and handkerchiefs, eUx, valued at 259,000 were made by weaving firms, and although it is not certain that they were in every such case made of tissues woveu by the firm it appears probable that the great bulk of them was so made and that the tissues used in their manufacture are additional to those included in the previous statement. There are also included in the returns three further items : Raw silk (wound), 57,000 ; tope, noils, and shorts, 32,000; and silk spooled, 78,000. Th<- whole or nearly the whole of these goods was no doubt sold to other firms in the trade and these sums are, therefore, almost entirely duplicated in other headings of output. The amount received for " work done on commission " was 72,000, made up as follows: Silk throwing ...... 14,000 Silk spinning ...... 16,000 Silk weaving ...... 16,000 Bleaching and dyeing silk yarn . . . 15,000 Other work ...... 11,000 Allowing for the yarns sold to hosiery and other factories not included in this report, the value of the products of silk factories taken as a whole is estimated at between 3J and 4J millions sterling. The following statement compares as far as possible the production of broadstuffs, ribbons, etc., with the imports and exports in 1907 : Production. Exports in 1907. Net Imports* in 1907. BrtNulstuffs Yard*. Yb. Tank. Wholly of silk Mixed with other materials 9,890,000 7,307,000 7,044,000 5,974,000 6,002,000 16,469,000 RiM>ons. wholly of silk or of silk mixed with other materials .... 121,000 )00 2,409,000 Other manufactures of silk (mixed or not 1,626,000 4*5,000 900,000 * i.. import* less re-exports. About three-quarters of the total quantity of limadifcuffe (wholly or partly made of silk) produced in Lhe United Kingdom were ex- 23 354 THE PROGRESS OF THE NATION ported, but the imports were nearly five times as great as the home production. The value of the ribbons manufactured in the United Kingdom is insignificant compared with the imports. The net output of silk factories included in this report was 1,750,000, this sum representing the total amount by which the value of the products of those factories, taken as a whole, exceeded the cost of the materials used in their manufacture and the amount paid for work done on those materials by other firms for the principal firms. The actual cost of the materials is not known, since the total of the sums returned as " materials " includes, like the total of the sums returned as " output," yarn and breadstuff's made by one factory and used by another. THE LINEN INDUSTRY, 1800-1850 The linen manufacture has very long been prosecuted in England, and about the end of the seventeenth century was in- directly encouraged in Ireland by an act of legislative oppression, such as it would not be possible to enforce in this country at the present day. The woollen manufacturers of England, alarmed at the rapid progress then being made in Ireland in that branch of industry, induced the Houses of Parliament to interfere with the king (William in) for its suppression. In his answer to their address, the king made the following promise : " I shall do all that in me lies to discourage the woollen manufacture in Ireland, and encourage the linen manufacture, and to promote the trade of England." Nor was this an empty promise. Through the inter- ference of the king with the Irish Houses of Parliament, an Act was passed prohibiting the exportation of all woollen goods from Ireland, except to England ; an exception which could not operate to the relief of the Irish manufacturer, since prohibitory duties were already laid against their importation into this country. As some compensation for this act of injustice, various regulations were at different times made for the encouragement of the linen manufacture in Ireland; although it is doubtful whether those regulations, in reality, effected anything towards the establishment of the manufacture upon a healthy footing. Among other modes of encouragement, a bounty was paid upon the exportation of linen from Ireland. This was in force for more than a century, and only ceased in 1830. It is not possible to trace, with any certainty, the growth of the linen manufacture in either part of the kingdom. Cotton and silk being productions of foreign growth, the quantities which pass through OTHER TEXTILE TRADES 355 our custom-houses form, of course, a correct measure of the growth of those manufactures as far as quantity is concerned ; but flax is a production of our own soil, us well as an article of foreign commerce, and the quantity imported from abroad gives therefore only an imperfect test of the quantity of linen produced in our looms. The following table shows the exports of linen goods from Ireland from 1800 to 1825: Year. To Great Britain. To Foreign Parts. Total. Yards. Yards. Yard*. 1800 . 31,978,039 2,585,829 34,503,868 1810 . 32,534,545 4,313,725 36,898,270 1815 . 37,986,359 5,496,206 43,482,565 1820 . 40,318,270 3,294,948 43,613,218 1825 . 52,559,678 2,553,587 55,113,265 It will be seen from the next table that a large proportion of the linen exported from Ireland to Great Britain was re-exported to foreign countries : British and frith Linen and Sailcloth Exported from the United Kingdom, 1820-1833 Year. British Linen. Irish Linen. British Sailcloth. Irish Sailcloth. Yards. Yards. Ells. Ells. 1820 . 24,066,914 12,455,419 1,226,335 18,117 1825 . 33,643,655 16,023,268 1,879,506 51,104 1830 . 46,232,243 13,244,269 1,922,211 32,550 1833 . 51,393,420 9,561,277 2,229,777 48,035 The accounts subsequent to 1833 do not distinguish Irish from British linens. The exports from the United Kingdom of all kinds of linen goods and of flax yarn in 1834, 1840, and 1849 are shown in the following table : Linen Exported from the United Kingdom, 1834-1849 Entered by the Yard. Thread, Taites, and tin,. 11 Linen Yarn. Total Year. amall- Dtcland Yards. Declared Value. wares. Declared Pounds. Declared Value. Value. Value. 1834 . 67,834,30.1 2,357,991 85,: 1,58:' 136,312 2,579,658 1840 . 1849 . 89,373,431 111,259,183 3,194,827 3,209,539 lll,2t;i 284,291 /J.876 17,264,OS3| 732,066 4,1 -28,964 4,225,895 1 35<5 THE PROGRESS OF THE NATION It was not until quite the end of the eighteenth century that iiax spinning-mills were first erected in the north of England and in Scotland. Before that time the operation of spinning was altogether performed by women in their own dwellings. Up to 1814 the yarn spun in mills was sold to weavers, or to dealers, who acted as middlemen between spinners and weavers ; but in that year some spinners became also manufacturers of linen. In Scotland this branch of manufacture was comparatively small before the peace of 1815. In 1814 the quantity of flax imported into Dundee for use in the manufactories did not exceed 3000 tons ; but in the year ended May 31, 1831, the import was more than 15,000 tons, besides upwards of 3000 tons of hemp. Two years later the imports had further increased to 18,777 tons of flax and 3380 tons of hemp. The quantity of linen, sailcloth and bagging into which this material was made and which was shipped from Dundee in the same year amounted to sixty million yards, being prob- ably equal to the entire shipments made from the whole of Ireland. The length of a pound of yarn of average fineness was in 1813 and 1814 only 3330 yards, but in 1833 yarn of the average quality contained 11,170 yards. During that time the price of such average yarn had fallen from 29s. 5d. to 10s. 9d. per bundle ; so that, taking the quantity into the account, the price of yarn has fallen in twenty years to one-ninth of the price which it bore at the close of the war, the price of the raw material having fallen in the same time about one-half. The improvements made in the operation of flax-spinning in England are evident from the fact that we became large exporters of linen-yarn to Ireland, and even to France. The earliest shipments to the latter country were made in 1833, and amounted to only 76,512 lb., but the quantity rapidly increased until 1842, when it reached 22,202,292 lb. In that year the French government, yielding to the representations of their flax- spinners, materially raised the rates of import duty, and our declared exports fell to 13,824,285 lb. in 1843, and 13,546,758 lb. in 1844. It is said that the services of the smuggler were engaged to make good in part the difference in the quantity, and it is quite certain that the linen manufacture of France suffered very seriously from the increased price of their material, which diminished their export trade in linen goods, and limited their sales at home. This country had previously been a constant importer of linen-yarn. In 1827 our weavers used very nearly four millions of pounds of foreign yarn, but in each subsequent year this quantity was diminished, until in 1834 it amounted only to about one million and a half of pounds, OTHER TEXTILE TRADI'.s 357 and in 1844 hardly exceeded one million of pounds. Onr principal foreign customer for linen fabrics was the United States of America : the exports to that country in 1844 amounting to 27,811,411 yards, the declared value of which was 872,414. The annual quantity of Max imported and consumed in tbe United Kingdom between 1820 and 1824 (when the duty payable was at the rate of 10 14s. 6 d. per cwt on dressed Hax and 5d. on undressed flax) varied from 376,170 cwt. to 739,651 cwt. In 1825 the duty was reduced to 4d. per cwt. upon dressed and undressed flax, and the import immediately rose to 1,018,8."7 cwt. In the three following years the duty was reduced to 3d., 2d., and Id. per cwt, and the import resumed its normal but accelerated growth. In 1830 it amounted to 955,112 cwt, in 1840 to 1.256.322 ewt, and in 1845, when flax was first admitted free, to 1.418.323 cwt. In 1849 the import was 1,806,786 cwt In the year 1835 there were 347 flax factories in the United Kingdom 152 in England (64 of which were in the West Biding of Yorkshire, 2 1 in Dorset, 1 8 in Lancashire, and 1 :.) in Somerset), 170 in Scotland, and 2~i in Ireland. The English factories employed 16,193 persons (6015 males and 10,178 females), the Scotch 13,409 (3392 males and 10,017 females), and the Irish 3681 (988 males and 2693 females). After this time the Irish industry, whose chief seat is Belfast, began to forge ahead and soon beat its British rivals. THE LINEN INDUSTRY 1850-1910 The outbreak of the Crimean War in 1853 was the first evil which befell the linen industry in this period. The supplies of Ku-sian flax were necessarily interrupted during the war, but by 1860 the trade had recovered its normal conditions. In 1861 the American War broke out, and as the United States were our largest customers, its first effects on this trade were disastrous. The enormous rise in the price of cotton, however, created a great demand for linen, and under this stimuli: h linm industry expanded enormously. Between 1861 and 1868 thr n spindle? in In-land roee fr.>m .V.2,9Sl to 89 D im-r.-a of 301,292 spindles ..r The return to normal i-uiiditi !il uimatmally, ail.-n.l.'.l by a large number of failures. A-aiu in 1 870 the ini.lt- WHS for a short time affected by the Frai '"ut the return to jicace wa.s followed by a period of gi ' '" (1 " f i.r 'an in 1880 and the number of spindles declined. In 1850 358 THE PROGRESS OF THE NATION Ireland had 396,000 spindles, England had 265,000 spindles, and Scotland 303, 000. l In 1856 England attained its maximum with 441,000. Since that time its spindles have decreased, until now the English linen trade seems to be near vanishing point with less than 50,000 spindles. Scotland reached its maximum in 1871 with 317,000 spindles now it has 160,000; while Ireland's share has increased by a larger number than the other two have lost. In 1874 Ireland had 906,000 spindles in operation; in 1888 it had 803,000. Sir William Crawford in a valuable paper entitled "Irish Linen" (1910) estimates the present number of spindles in Ireland at 935,411, belonging to some fifty different companies, of which seventeen are in Belfast. He also writes : " An average-sized flax-spinning mill may contain 20,000 spindles, and a mill of that size would give employment to about 750 persons. It would to-day cost 6 to 8 per spindle to erect it ; that means 120,000 to 160,000. The workers are employed in the proportion of two or three females to one male. A few children of both sexes, and of twelve to fourteen years of age, are employed as learners, who work and go to school on alternate days. About 75 are spent in turning 100 of flax into yarn, another 75 in turning that yarn into brown linen, and about 50 in turning that brown linen into white goods ready for market. Thus on 100 worth of flax about 200 is spent, chiefly in wages, and the finished product is worth 300. The flax used in Irish mills is the produce chiefly of four countries Ireland, Belgium, Holland, and Russia." In linen weaving also Ireland has far outstripped England and Scotland. At the present time she has 36,000 power-looms, owned by a hundred companies. Of these 21,000 are working in Belfast, 13,000 in other parts of Ulster, and 2000 scattered in small factories in Dublin, Cork, Dundalk, and Drogheda. Scotland has 17,000 power-looms, and England 4400 using linen yarn. Eight weaving factories in Belfast and eight in other parts of Ireland are attached to spinning-mills, but that system is not growing. In 1872, 9000 looms were attached to mills; now the number is a few hundred less. The growth, or extension, has been in factories separate from mills; in 1872 they were 9000; now they are 27,000 looms. To quote Sir William Crawford again: " A power-loom factory for the weaving of light and narrow linens will cost 40 or 50 per loom. A factory for making wide damask or sheetings will cost 100 and up to 200 per loom. Generally speaking, one weaver attends to two looms, but for wide goods there is a weaver to each loom. Women attend to the looms weaving narrow and light cloth, and women also sometimes attend to looms making wide and heavy cloth, but many of such looms are attended to by men. Wages are paid by piece-work, and the same scale applies to men and women. The light end of the work is done by women, the heavy end by men, 1 Parliamentary Paper No. 745 lor 1850. OTHER TEXTILE TRADES 359 and between the two by either sex. The wages of tenters and other skilled men are comparatively high. The number of all persons employed in and about a weaving factory is somewhere about as many as the looms it contains." For our foreign trade statistics we may turn to the " Statistical Abstract for the United Kingdom." The following table shows the movement of our foreign trade in linen manufactures in the last sixty years : Linen Exports from the United Kingdom 1850. 1870. 1890. 1010. Linen yarn, amount (Ibs. ) 18,220,688 37,239,814 15,312,600 18,548,900 value (s) . 881,312 2,237,492 866,893 1,196,948 Piece goods, amount (yds.) 129,106,753 226,470,696 184,039,800 230,568, j ,, ,, value (s) . 8,947,682 7,248,345 5,356,183 6,115,414 Thread for sewing, amount (Ibs. ) 5,360,120 2,878,631 2,949,000 2,738,900 i> value (s) . ... ... 853,985 342,208 In the year 1860 we imported 3,836,770 of flax, dressed and undressed (1,464,810 cwt.). In 1870 our import was only 50,985 cwt., valued at 132,466. In 1890 we imported 1,581,849 cwt. of flax (2,655,500) and in 1910 1,389,580 cwt. (3,186,321). The Census of Production (1907) provides some additional statistics. The total make of linen and flax tow yarns in the United Kingdom in 1907 is estimated to have been between 154 and 162 million pounds weight, and its value to have been nearly 8 millions sterling. The following is a statement showing the quantity and value of linen piece goods manufactured in the United Kingdom : Linen piece goods (including union and other mixed fabrics) Yards. Plain, unbleached or bleached . 267,855,000 Checked, printed or dyed, and damask or diaper . . . 63,847,000 Sailcloth and canvas (including goods made therefrom, whether waterproof. .1 or not) . . 24,279,000 Total value of liuen piece goods . 9,869,000 This statement unhides the total make of linen piece goods with the exception of some linen cloth woven and made up int.. household articles and articles of clothing by the same firms. The selling value of such articles made by weaving firms was 820,000. It is probable that the. bulk of th.-s,- arti.-l.-s were mu.le pi woven by the firm, and that this cloth is additional t<> that im-1 in the above statement. Its value is estimated to have lci-i; 6,215,000 360 THE PROGRESS OF THE NATION 600,000 and 700,000. The total output of articles of linen or union cloth made up in linen factories in the United Kingdom was as follows : Handkerchiefs Plain ...... 446,000 Printed, embroidered, etc. ... 150,000 Household articles ..... 1,441,000 Articles of clothing ..... 73,000 The total value of these goods amounted to 2,110,000, but this sum does not represent the total value of all handkerchiefs, household articles, etc., made in the United Kingdom as it does not include the value of similar goods made in factories not connected with linen weaving mills. In addition, the value of work done for the trade and of goods not of linen made-up in making-up departments of linen factories was returned to the Census Office as 27,000. About 62 per cent, of the plain linen piece goods and 22 per cent, of the printed, checked and other fancy linen piece goods were exported. Finally, we have statistics of the bleaching, dyeing, etc. factories : Linen yarn Bleaching, dyeing, printing, and Ibs. finishing .... 141,178,000 243,000 Linen piece-goods yds. Bleaching and finishing . . . 104,056,000 382,000 Dyeing and printing . . . 29,940,000 78,000 Finishing only .... (value only) 54,000 Returns were also obtained by the census authorities from flax scutching factories, which are with one exception confined to Ireland. The following table shows the quantity and value of the output included in the returns: Tons. Flax scutched for sale . . . .670 31,000 Tow . . . . . .680 8,000 Amount received for scutching done for other persons or firms . . . .... 52,000 Total . . 91,000 The usual practice of the trade is to scutch on commission, and the above figures consequently do not indicate the amount of flax scutched. As, however, the usual price received for scutching flax appears to have been one shilling per stone of fourteen pounds, the quantity of flax scutched on commission as shown by the returns would seem to have been about 6500 tons, and the total quantity scutched to have been about 7850 tons. These returns are admittedly unreliable. OTHER TEXTILE TRADES 361 According to the Report of the Department of Agriculture and Technical Instruction for 1 fluid on the Agricultural Statistics of Ireland for 1908, the total quantity of flax produced in 1907 was 11,046 tons, and in 1908 7922 tons. The ilinn IJHIMJUI between these figures and those returned to the Census Office are, no doubt, partly to be explained by the fact that the returns luade to the Census Office cover parts of the years 1907 and 1908, but is also attributable to the imperfect nature of the returns themselves. It is not possible to make a comparison of production with imports, since "flax dressed or undressed" is included in one heading in the import list. The net output of flax scutching mills as a whole was shown by the returns to be 68,000, this sum representing the total amount by which the value of the flax and tow scutched for sale and the amount received for scutch- ing done on commission exceeded the value of the materials used. The actual cost of materials was 23,000. Flax scutching is carried on principally in the winter half- year. Returns were received in respect of the persons employed on the last Wednesdays in January, April, July, and October; 408 persons were employed during one quarter only; 2488 during two quarters (recorded in January and October); 693 during three quarters; and 171 during four quarters. The total number of persons engaged in the flax scutching trade, as shown by the returns, was therefore 3760, namely, 3721 wage-earners and 39 salaried persons. The small number of salaried persons is due to occupiers of mills who themselves worked returning themselves as wage-earners, whilst farmers owning flax scutching mills appear in most cases to have excluded themselves from their returns. The total number of persons employed is distributed according to age and sex as follows : Males. Under 18 ... 223 Over 18 . 2,453 !' Mil -. Under 18 ... 94 Over 18 . WO THK -In:; iM't The jute industry is .f inn-ln-n -mwlh, ami nr I nor l.Mi.p MMJ iM.iirr.l 1-y IWt.-r. I'irM.'us to the year Muiuil parcels of jute were si-nt t" Kumpe by the tewt India Conij.any, and these were dik-tly used for making door-mats. The manufacturers of Abin-. Then suddenly in the middle of September it shot up to over 18 10s., but fell again to about 16 5a at the end of that month, from whence it rose steadily through October, and reached its highest point of 21 5s. in the middle of Noveml>er, whence it iU-< -lined to 19 15s. at the end of the year." Tluit these movements were somewhat exceptional, however, will le s-cn l'n>in tin- following extract from the Dundee Prices Current and Trade Report, which says: " Though shipment jute had firmed up in value in the course of August month, dear prices \\vre not entertained fot a moment. September was begun with jute gradually tending dearer, and. buyers declining to follow. A surprise, amounting to consternation, was sprung on the trade without the slightest warning, ami on a day that few were likely to obtain the news. The first of the district forecast returns came through disclosing a considerable shortage. When the significance of the intelligence was fully realized, speculators commenced buying, and in four days First Marks advanced from 15 10s. to 18 15s. Subsequently the Director of Agriculture stated that the final forecast would not necessarily agree with the district returns, but this was not until after the harm had been done." In 1874 the world's crop of jute was a million and three-quarter bales. Its subsequent increase maybe seen from the following table: Total Crop of Jute 1874 1884 1894 1,750, 000 bales 3,750,000 6,250,000 The following jute statistics for the past ten years, compiled by Messrs. M'Nicoll, Pirie & Co., of Dundee, affords a very complete history of the trade during that period. Between 1899 and 1909 the total out-turn of raw jute increased from 5,400,000 bales to 8,800,000 bales. The consumption in various parts of the world meanwhile showed the following variations : Season. Exports to Europe. Exports to America. Indian Mill Consumption. Bales. Bales. Bales. 1899-1900 2,149,875 443,560 1,100,000 1900-1901 3,002,708 521,015 2,500,000 1901-1902 3,596,926 2,600,000 1902-1903 2,812,640 438,414 2,800,000 1903-1904 3,221,353 .186 3,000,000 1904-1906 1905-1906 2,983,942 3,530,841 592^849 8,250,000 3,400,000 1906-1907 1907-1908 1908-1909 3, 952, '.ill 3,655,228 3,676,070 586,687 608,129 951 3,700,000 8,905,000 8,700,000 366 THE PROGRESS OF THE NATION The exports to Europe and America have fluctuated rather widely, while with the exception of a slight falling off in 1908-1909 the Indian mill consumption has steadily increased throughout the period. The American demand, which contracted in 1907, expanded in the next twelve months to a record amount, having more than doubled within the ten years. The price of raw jute shows very striking variations, having been as low as 11 per ton at the beginning of 1902, while in June 1906 it rose to 28 5s. The following table shows the average price at Dundee for the same ten years of jute, yarns, and cloth, and also the number of bales imported at Dundee after deducting the exports : Season. Net Receipts at Dundee. , A Jute. Per Ton. iverage Price ( Yarns. f , Cloth. Bales. s. d. s. d. d. 1899-1900 849,632 14 14 7 1 6A 2 1900-1901 1,014,491 13 13 5 1 7 2A 1901-1902 1,266,088 12 1 3A Iff 1902-1903 993,882 13 15 1 *A lit 1903-1904 1,122,090 13 10 2 1 *A l*t 1904-1905 966,893 16 5 1 7 2 1905-1906 .... 1,278,334 19 14 7 1 HI* HI 1906-1907 .... 1,301,423 24 17 4 2 6fJ 3 1907-1908 .... 1 239,881 16 12 11 1 8* 2H 1908-1909 .... 1,176,164 15 6 6 w 1 1 5A **4 8 2 The season of 19061907 was the year of greatest production, for the imports were larger than for any other year, and the average price of raw jute, of yarns, and of cloth was much higher than for any other year of the period. The following table shows our imports of raw jute from 1854 to 1910: Year. 1854 1860 1870 1880 1890 1900' 1910" Cwt. 481,733 816,787 2,376,690 Tons. 231,945 369,958 280,919 296,720 553,993 660,913 2,326,910 4,018,800 4,921,991 4,134,389 4,670,265 * Not including " unenumerated vegetable substances (applicable to the same uses as hemp or flax) " Year. 1900 1909 Tons. 6,484 4,747 98,257 64,935 OTHER TEXTILE TRADES A parliamentary return of our jute exports in 1872 showed that our largest exports of jute manufactures were to Germany United States Atlantic ,, Pacific Brazil . Holland Argentine Republic Yards. 22,552,478 19,829,125 4,292,098 9,061,024 4,108,478 3,253,760 399,494 320,461 76,860 134,638 78,153 52,095 Our total exports of jute manufactures in that year was 84,452,457 yards, valued at 1,486,484. Our largest exports of jute yarn were to lb. Spain 4,842,592 96,222 Holland 2,866,952 Germany 1,684,272 United States Atlantic . . 1,526,619 Pacific . . . 14,429 54,448 33,521 28,189 278 Our total exports of jute yarn amounted to 12,715,969 lb., valued at 261,239. According to the Statistical Abstract, our total export of jute yarn and manufactures in 1910 were Jute yarn Piece goods Other sorts 58,852,700 lb., valued at 697,741 176,435,800yds., 2,062,322 152,905 Some comparison with previous years is shown in the following table : Jute Exports, 1895-1910 1895. 1902. 1910. Jute yarn 855,854 529,858 697,741 Piece goods 2,168,912 1,908,236 I,MM& Other sorts 60,767 75,006 152,905 THE HEMP INDUSTRY The word hemp is derived from the Anglo-Saxon henep, called by the botanists Cannabis saliva. The earliest mention of our subject would appear to be in the Biblical records when Hainan prepared a gallows for the hanging of Mordecai. It is, how. 368 THE PROGRESS OF THE NATION more than probable that Hainan's rope was not made of hemp at all, but of flax, for the former is not known to grow in Egypt or the neighbouring countries, whereas the latter is indigenous. It is an annual plant, in appearance when growing very much like a nettle. The usual height of the Russian hemp is from six to eight feet ; the stems look like the common and well-known "Jerusalem" artichoke. The inside of the stems consists of a hardish woodeny tube filled with pith, and the outside is a green integument or skin, which is the hemp itself. When the plant is full grown and the flower is forming the stalks are pulled up and dried on the fields. The canes are then retted,"- i.e. steeped in stagnant or running water for about two or three weeks, according to the temperature of the atmosphere. A less time is needed in stagnant than in running water, this process having the effect of rotting the inner part of the canes and permitting the refuse and outer part to be beaten off more readily. It at the same time renders the fibre more supple and mellow. The plants are next taken up in handfuls by workmen and beaten on wooden benches with mallets so as to break up the inner pith. Then they are taken up in handfuls at a time and beaten downwards with wooden bars like policemen's truncheons. In this way the adhering pith is knocked away and the fibre remains. It is then sorted into different lengths, baled, and made ready for export. A century or so ago, when there were no steamboats or railways, and the climate in Russia was more severe than it generally is nowadays, the shipping ports being frozen from November till May, it was necessary for foreign countries to import enough hemp before the navigation closed to last the trade until it reopened in the spring. This necessitated imports into London of large quantities of hemp, which were gradually distributed to the rope- makers ; and so a system of finance grew up and became customary, which endures to this day in a modified form, although the condi- tions of supply are so vastly altered. It is said that the amount of hemp grown annually in Russia reaches 240,000 tons; of course, the greater part of this is consumed in Russia itself, which contains a very large number of spinning mills. There is an enormous traffic on the large rivers. There are said, for instance, to be at least a thousand tug steamers on the Volga alone, all engaged in towing barges with cargoes of the various grains and other products of the country to the shipping ports. Russia protects her own hemp against the import of other varieties of " hemp " by extremely onerous duties. In old days all the hemp had to come to OTHER TEXTILE TRADES 369 Petersburg and Riga by water. When the barges arrived at the wharves where the heinp was to be stored, some one of the merchant's staff would be sent to sort the hemp into different grades, for up to this point it was all in bulk unselected. At that time the trade was mainly in the hands of English houses, and it was thought sufficient to grade the hemp into three kinds, called clean, outshot, and pass. 1 There are two species of hemp, usually known as "Polish" and "Russian," the latter being grown mainly in the Eastern and the former in the Western provinces of Russia. The Polish is a much softer fibre than the " Russian," and is chiefly used for twine-making and weaving into sacks, sail- cloth, etc., etc. The Russian is used for cordage. The same grading was originally used for Polish as for Russian qualities. That was sufficient formerly ; to-day, space forbids our giving the titles of the thirty or forty different degrees into which the simple " clean, outshot, and pass " have been subdivided for market purposes. Here we have, in short, the life-story of what is properly called hemp ; but there is a fibre from Manila also called hemp for want of a better name, which from small beginnings of about 1000 bales in Mid-Victorian times, has increased till in 1908 there were over a million bales, of eight to the ton, exported from the Philippine Islands, a dependency of the United States. Of this amount America and Great Britain take about half each. The Continent also takes a certain quantity yearly, but that is chieHy re-exported from London. This Manila hemp is the product of a tree, the Musa textilis, a species of banana, which grows branchless to about 20 feet in height. The entire stem is a mass of straight fibre glued together by a natural gum. When wanted, the trees are cut down and divided into longitudinal sections. These are steeped in water for a certain period, dried and beaten so that the fibres become disintegrated, then bleached more or less by exposure to the sun, and finally graded and packed for export in bales of 2j cwt. There are eight or ten grades, varying according to colour and fineness of fibre, and varying in value from about Did down to 1 1 ." i*-r ton. Tin- :' all tin-si! are called quilot. used if fashion bids for making hats in imitation of Panamas and sueh-likc, and also for making trawl twine for fisherfolk. 1 Outshot, from the (Jenn.ui .tti.--h\us iiut good enough for clean, an^l th- paw not good enough for outahot ; chietly ;i nritua "f K-ngth, in i>lont,ll\ tin- short was also soft. 370 THE PROGRESS OF THE NATION New Zealand also furnishes a considerable quantity of fibre (about 30,000 tons a year), divided between England and America. This is also called hemp. It is derived from an agave (bot. Phorimum tenax). Its long, fleshy, thick leaves are a mass of fibres. The outer skin being scraped off discloses these fibres in a solid mass, which is treated in the manner described above. The plant in appearance is very much like the yucca, but very much larger. The yucca is well known in all large gardens as an ornamental border plant. The New Zealand hemp is often called flax, because the first parcels sent here were made from the young short leaves of the plant, the fibre of which was very similar to flax, very strong and quite white. Apparently it was not profitable to produce it, for very little was sent over. Of this fine white flax the robes worn by the Maori natives are made. Italy also furnishes a large quantity of hemp, much superior to Russian growth, though originally sprung from Russian seed. There are many grades of this hemp. Its fineness and tenacity of fibre, as also its length, cause it to be favoured in twine and small rope-making, and for use on board ship as lead lines and halliards. India grows considerable quantities and varieties of hemp, and supplies Belgium and other countries as well as Great Britain with a large portion of their consumption. The United States grow some hemp in Kentucky, but not enough for their wants ; they therefore take large imports of Russian, Italian, and Indian fibre. There are many other species of this universally necessary product. Central America, China, Java, Turkey, all pour their surplus stocks into this country. Nor must it be forgotten that nearly the whole of the Continent derives its supply of soft hemps from Russia. Most of the continental nations grow a certain quantity for their own use, but export practically nothing. The manufacture of hempen rope has been carried on in various parts of the country from early times and particularly in shipping towns. Rope-making machinery was introduced at the end of the eighteenth century ; previously rope was made, as it is still in some parts, by hand. Sir Henry Wood, in his work on Industrial England in the Middle of the Eighteenth Century, tells us that the manufacture of rope, cordage and fishing nets was the staple industry of Bridport in Dorsetshire from a very early date. The raw material was the hemp which was grown in large quantities in the county. The importation of hemp and hemp yarn from Holland and Russia caused the industry to decline, and the OTHER TEXTILE TRADES 37i manufacture was also developed elsewhere. The making of twine and of nets has, however, continued to the present day, when it still offers one of the few surviving examples of a domestic industry. The making of sailcloth is by some said to have been introduced into England about 1681 by Bonhomme, a French emigrant; but it was an established industry in Ipswich a hundred years before that date. In the middle of the seventeenth century Suffolk sailcloth had a considerable reputation, and so had the cloth made in the West country at Bristol, Weyinouth, and else- where. Both in Suffolk and the West country it was made from locally grown hemp, of which large quantities were raised. Canvas, as its name implies (cannabis, hemp) was at first made solely from hemp. Later flax was used. To a small extent hemp was used originally for table linen and sheets, and even for shirts. The number of hemp factories in the United Kingdom in 1870 was 35, employing in all 3150 persons (1442 males and 1708 females). In 1890 there were 105 factories, employing 10,572 persons (4644 males and 5928 females). The later returns giving the number employed (Statistical Abstract, 1910) group flax, jute, hemp and China grass factories together thus : Year. Males. Females. Total. 1895 9,118 5,450 14,568 1898 10,486 6,519 17,005 1904 11,079 7,509 18,588 1907 12,843 8,181 21,034 On the other hand the Census of Production (1907) gives the average number of persons (other than outworkers) employed in jut*-, hemp and linen factories in the United Kingdom on the last Wednesdays in January, April, July, and October of the year as 153,464, namely, 149,845 wage-earners and 3619 salaried persons, and further classifies them as follows : Mil,*. UlI'l.T IX Over 18 . 11,317 37,902 Fr male*. Under 18 . . - 21.410 . . 82,886 Tin; total make of hemp :iml hump U>v, Kingdom in 1907 is roughly estimated in the Census of Product ion (1907) at ;:, million pounds weight, and is valued at 1$ million sterling. 372 The following table shows our imports of raw hemp from 1854 to 1910: Year. 1854 1860 1870 1880 1890 1900 1910 Cwt. 729,564 1,817,905 768,033 1,147,193 1,079,608 2,034,326 1,248,634 1,781,730 1,854,079 J, 923,610 Tons. 100,188 3,251,255 124,003 3,031,495 CHAPTER XIX LEATHER, BOOTS AND SHOES Leather. Antiquity of leather Tanning industry early in nineteenth century th of tanning industry Imports of raw hides, 1876-1910 Countries tht send us hides Policy of American Beef Trust Our foreign trade in leather. Boot and Shoe Trades. Present size, Census of Production figures Difficulties of estimating the size of the boot and shoe trades Growth of boot and shoe trades during the nineteenth century Boot-making machinery American competition Modern boots and shoes Our foreign trade in boots and shoes. T EATHER in some form or other has been used by mankind [_j from the remotest ages. In Ancient Egypt, in the Roman Empire, and in the civilized states of the Middle Ages the tanned hides of animals were in general use. It follows therefore that the art of tanning was of very ancient origin, and like many ancient industries it remained almost unimproved and unchanged through the centuries. But it took on a fresh lease of life and progressed vigorously during the nineteenth century, more especially in the latter half. Mr. J. T. Day, the editor of the Shoe and Leather Record, in a published essay has pointed out that when the Corn Laws were repealed tanning was a scattered industry. " Every important town and many large villages, especially if they were near to oak timber and a stream, boasted a tanyard. These yards were in the hands of men who had been born in the business, as their fathers had been before them. Many of them ranked with the country gentry and they not infrequently had considerable landed interests. Tanning was an eminently respectable trade, as it implied the possession of either large capital or good credit on account of the long time taken to turn the hides into leather." Mr. I);iy points out another fact to be remembered in relation to the tanning trade. Its basis is the utilixation of a by-pnxluet. "Hides and skins (except valuable I not taken from animal until the animal is wanted for food. Tin- tanner is th< fore in a position of comparative, helplessness as to the supply of 374 THE PROGRESS OF THE NATION his chief raw material." The local tanner had to rely upon local hides, and when altered conditions diverted his natural supply he was nonplussed. In the old days tanning was a trade which descended from father to son ; and Mr. Day adds : " Even under modern conditions the hereditary tanner has a strange advantage which I merely put on record without attempting to explain." The English tanners were therefore highly conservative, and even after large importations of foreign leather began to take place under the new industrial conditions it was some time before they began to bring their business methods up to date. The demand for leather caused by the boot and shoe trades and the other industries that used it as a raw material, became so great in the second half of the nineteenth century that British tanners were unable to supply more than a part of the demand by leather manufactured from British hides. They were obliged to import foreign hides and these imports are shown below in five-yearly averages since 1876 : Years. 1876-1880 1881-1885 1886-1890 1891-1895 Cwt. 1,123,542 1,169,325 1,159,480 1,030,660 Years. 1896-1900 1901-1905 1906-1910 Cwt. 1,200,228 895,658 1,099,251 The most noticeable feature of the above figures is the fact that with the exception of the five years 19011905, there has been very little increase or decrease in our imports of raw hides (wet and dry). The exceptionally low figures for the quinquennium 19011905 are probably due to the extremely bad times our boot and shoe trades were experiencing just then. The countries that send us the most raw hides one would naturally expect to be the great meat exporting countries, namely, Argentina, the United States, and Australia and New Zealand. We give below our imports of raw wet hides from the principal exporting countries for the last five years : 1906. 1907. 1908. 1909. 1910. Cwt. Cwt. Cwt. Cwt. Cwt. Italy .... 88,659 100,612 121,065 152,952 128,750 Argentina 117,706 118,381 99,150 45,698 121,144 Germany 21,747 34,430 80,899 97,078 75,584 Australia 22,082 30,117 44,567 57,927 81,743 The figures of our imports from the United States for the LEATHER, BOOTS AND SHOES 375 same years are 2704 cwt, 3803 cwt., 11,202 cwt., 3507 cwt, and i:.,l:;-l rwt. respectively. These figures require interpretation. The smallest .f ..ur im ports of hides from the United States would strike the casual observer as curious, but it should be remembered t-hiit, a In - (quantity of hides come iu on the backs of cattle. Thus while in 1910 our imports of hides from the United Suites amounted to 15,134 cwt. our re-exports to that country amounted to the enormous total of 101,691 cwt. The explanation of this phenomenon is attributed by some to the fact that the Chicago Beef Trust only exports cattle on con- dition that their hides are returned to America. The growing power of this Trust in the Argentine, where it pursues the same policy, may perhaps account in part for the decline in our receipts of hides from that country. The deficiency has been made up by increased imports from Italy, Australia and Germany, and our tanners have not been seriously handicapped by lack of raw material. Our foreign trade in leather (dressed and undressed) since 1876 is as under. The figures are five-yearly averages : Years. Imports. Re-exports. British Export*. Cwt. Cwt Owt . 1876-1880 491,000 119,265 164,443 ; I88i-i88. r 671,000 121,055 176,732 ! 1886-1890 821,000 166,470 152,556 i 1891-1895 1,072,000 204,790 144,148 : 159ti-1900 1,801,000 230,000 149,839 1901-1905 1,179,000 148,652 155,116 ! 1906-1910 1,172,000 133,252 214,281 It will be seen that our imports of leather reached their highest point during the quinquennium 1896-1900, while they have remained practically stationary during the last ten years. Our (i.xjiurts on the other hand gradually declined until the five yean 1891-1895, from whence they have risen to the record height of 214,281 cwt. in the last quinquennium. The Census of Production (1907) gives the gross output of our leather factories (tanning and dressing) as 17,551,000, while the net output amounted to 3,621,000. The number of persona cmjilnyed was J7,-~'N, and the net output per person empl came to 1. ">.">. Along with most of our industries the boot and shoe trades developed very rapidly during tlu> latter part of the nineteenth 376 THE PROGRESS OF THE NATION century. Some idea of their present magnitude is given by the Census of Production tables which supply the following particulars : Gross Work Net Output. Persons Net Output Output. Materials givfii out. Excess of Employed per Person Selling Value used. Amount Col. 1 (except Out- employed or Value of Cost. paid to other over Cols. workers). (excluding Work doiie. Firms. 2 and 3. Total. Outworkers). (1) (2) (3) (4) (5) (6) 22,959,000 13,893,000 101,000 8,965,000 126,564 71 The estimation of the size of our boot and shoe trades was probably one of the most difficult tasks of the census authorities. Besides the large factories which manufacture boots and shoes on a wholesale scale, there are a host of small cobblers who live chiefly by repairing boots and shoes, but also make new ones for customers. In the report attached to the census tables further details with regard to the quantity of boots and shoes manu- factured in 1907 are given. They are as follow: Quantity. Value. Pairs. Boots, shoes, and slippers 97,762,000 20,023,000 Clogs ... 1,441,000 165,000 Leggings and gaiters . Socks for boots and shoes !, Recorded by f 109,000 45,000 Leather laces Other products . 1 value only. 1 38,000 29,000 20,409,000 In addition to the total value given above 1,908,000 was included in the returns as received for repair work. The report states that " the returns are substantially complete as regards boot factories where power is employed," but the census had not power to compel a large number of workshops where men only are em- ployed to make returns. " The figures given above," continues the report, " do not include the output of a large number of (a) work- shops where the occupier works alone (as is generally the case with the village shoemaker) ; (6) workshops attached to retail shops where a few men are engaged in repair work or a few special be- spoke orders ; and (c) independent repairing shops where a few men work together. It is believed that these omissions have not LEATHER, BOOTS AND SHOES 377 seriously affected the validity of the figures relating to the produc- tion of new boots, shoes and slippers, but there is little doubt that a considerable sum paid by customers for repairs has escaped re- cord. There is no information at the disposal of the Census Office which would enable an estimate to be made of the total amount paid for the repairing of boots, shoes and clogs and slippers, and tin; fact that large numbers of the working classes do their own repairs makes even a rough calculation impossible." Touching the growth of these trades during the last half of the nineteenth century, Mr. John T. Day, editor of the Shoe and her Record, wrote in the year 1903: "In 1846 the industry was in much the same position as the better class tailoring is to- day. People were measured for their boots, which were made by hand, by or under the direction of the bootmaker who took the measure. There were a few so-called factories in Stafford and Northampton, and a few more scattered about the country. But these were not factories in the modern sense of the term. They were shops whose leather was cut up by hand and given out to bootmakers working in their own homes, to make up by hand. The whole family was usually employed, the women and girls closing the uppers and the men performing the harder and more skilful work of joining the uppers to the soles and heels. . . . The introduction of the sewing-machine modified this system. The manufacturers bought sewing-machines and the women were taken into the factories to make the uppers, but the main work was still a home industry so far as the men were concerned. . . . " In the early 'sixties riveted boots were introduced. These were made on heavy cast-iron lasts, which could not be con- veniently carried to and from the workmen's homes, so factory accommodation was enlarged, and with some difficulty sufficient men were induced to leave their home workshops and enter the factories. Almost at the same time a sewing-machine was invented which would sew on the soles of boots, and this was the. beginning of the revolution of the industry. More men had to go into the factories, but a great deal of the labour was still performed at home. The work known as the 'finishing' of both machine sewn and riveted work remained a home industry, and the "Id hand-sewn in of bootmaking was also continued and is also continued so far as it has survived as a home employment." The sole sewing-machine above mentioned was known in this country as the Blake machine and was of American inven: No machines were sold, as they were let out on the royalty sy.; 378 THE PROGRESS OF THE NATION Mr. Day adds : " The supply of machinery is a practical monopoly in America, where the United States Shoe Machinery Company of Boston levies royalties estimated to average five cents a pair on every pair of boots and shoes made in the United States, their royalty income amounting it is said to a million dollars a month." The history of the invention of shoemaking machinery is romantic. It was indirectly caused by the American Civil War. So many skilled men were withdrawn from industry during the fight that shoes could no longer be made by hand in sufficient quantities. The pressure of necessity set the sharp minds of the Americans to work, and the sole-making machine was the result. The invention of boot-making machinery in America placed British manufacturers at a serious disadvantage when competing with their American rivals. But according to Mr. Day, the American " was quite curiously unaware that in the course of about thirty years he had so improved his methods of manufacture that his productive labour was costing him (in some cases) less per dozen by 50 per cent, than it was costing the British shoe manufacturer for the same work." A new method of making boots was introduced during the last few years of the nineteenth century. The modern boot is what is known as a welted boot. In 1893 the great middle-class trade was furnished with a boot sewn on the Blake machine. In 1903 the same class of trade was supplied with what is known as Good- year or machine-welted boots at approximately the same price. " This welted boot is made precisely on the same principle as the old-fashioned hand-sewn boot of thirty years ago, which may still be obtained of a few fashionable West-end bootmakers by people who can afford to pay the price it commands. Its exact equivalent made by machinery is now within reach of all, and it has largely supplanted what is known as the ordinary machine-sewn boot." As is usually the case, competition either kills out the weaker or stimulates them to new efforts. This is what happened to our boot and shoe trades. Threatened by the American the Britisher began to bethink him of new methods and new modes of manu- facture. Perceiving the advantage his rival had in superior machinery, he proceeded to fight him with his own weapons and English boot and shoe manufacturers erected factories equipped with the latest types of American machinery. The result was highly satisfactory. The British manufacturer not only held his own but succeeded in developing his trade to an extent that would have been deemed impossible a few decades earlier. A detailed analysis of our foreign trade in boots and shoes LEATHER, BOOTS AND SHOES 379 shows how the incidents mentioned above are reflected in the trade turns. The e\ Jim t trade in leather boots and shoes has for the post 311 years shown a very satisfactory development During 1910 our exports of these goods were by far the largest on record, both as regards quantities and values. In that year we sent out no fewer than 1,086,638 dozen pairs, which was 246,668 dozen pairs more than in the previous record year, 1909, and 322,431 dozen pairs better than in the good year, 1907. The following table shows our foreign trade in leather boots and shoes for the past forty years. The net imports (imports less re-exports) can only be given for the last fifteen years. Export* and Imjtorts of Leather Boots and Shoes Five- Year Averages. Exports. Imports. Excess of Export*. Pairs. Pairs. Pairs. 1865-1869 4,523,316 1870-1874 5,751,516 1875-1879 5,294,268 1880-1884 6,356,460 1,262,784 gross 1885-1889 7,250,880 1,885,868 ,, 1890-1894 8,217,216 1,338,552 1895-1899 7,930,268 1,883,148 net 6,047,120 1900-1904 6,.M3,lttO 2,686,920 5,826,240 1905-1909 9,479,808 2,155,896 7,823,912 After 1894 there was for some years a heavy increase in imports. In 1894 the net imports amounted to 1,263,672 pairs, but in the next two years there were great jumps, and in 1901 the increase culminated in the net importation of 3,302,064 pairs. This, of course, was largely due to the skill and enterprise of American boot manufacturers. The result of the stimulus given to British manu- facturers was apparent in 1902, when the net imports fell away by 623,040 pairs from the high-water mark of 19U1. In the succeeding year, 1903, there was a further fall of 92,:552 pah's, aii'l in I'.MI.J another drop of 300,408 pairs a decreased importa- tion in three years of 1,015,800 pairs. By 1909 the net imports had shrunk to 2,057,904 pairs, or 1,24-1. 1 on pairs lowt-r than I wt-iv in 11)01. At the same time, the exports hud -mwn hup-ly, from 8, 1 42,:. 10 pairs in 1901 to 13,' I pairs in 1910. The result is shown in the above table. \\ for the last ten years exhibit un increase of 9iiu',G-18 pairs in the exports, a decrease of 531,024 in the net imjiorts, and a consequent increase of 1,497,072 pairs in the excess of exports over im^rta. THE PROGRESS OF THE NATION The rate of progress during the past decade has, therefore, been highly satisfactory from the point of view of our boot manufacturers. As is well known, a great part of our exports of boots goes to British possessions, but a detailed examination of the records for the last few years discloses a remarkable and persistent change in the direction of our progress. The Annual Statement of Trade, which gives full particulars of the countries to which our goods go, showed for the four years ending with 1908 the record : Exports of Leather Boots and Shoes following surprising To Foreign Countries. To British Possessions. Total. Pairs. Pairs. Pairs. 1905 . 1,123,908 8,164,842 9,288,732 1906 . 1,417,824 7,989,864 9,407,688 1907 . 1,695,468 7,746,828 9,442,296 1908 . 1,872,600 7,297,764 9,170,364 A constant increase. A constant decrease. In these four years our trade with the British possessions fell by 867,060 pairs, while our trade with foreign countries rose by 748,692 pairs. It is plain that British boot manufacturers would have fared badly indeed had it not been for the very substantial growth of their sales to foreign countries a growth which amounts to more than 66 per cent. A substantial part of this new business has been done with European countries. Here are our sales to four European countries : Year. Germany. Holland. i Belgium. France. Total. Pairs. Pairs. Pairs. Pairs. Pairs. 1905 . . 56,136 264,984 59,520 174,156 554,796 1906 . 82,104 275,280 82,848 246,324 686,556 1907 . 117,07-2 314,808 145,782 313,008 810,670 1908 . 124,812 290,232 155,068 385,332 955,444 In the four years our shipments to these European countries show an increase of 400,648 pairs. As we have seen above, the im- provement in our business with all foreign countries during this period has amounted to 748,692 pairs, so that considerably more than half of this has been done with our four neighbours. Since the reduction of the United States tariff on imported footwear British shoe manufacturers have succeeded in obtaining LEATHER, BOOTS AND SHOES 381 orders for shoes in America. Several large consignments are known to have been sent from Northampton and Leicester, and from the reports which have reached this country the goods are giving satis- faction, as there is no doubt British-made boots have a reputation for hard wear all the world over. Now our manufacturers have adopted all the best points in connexion with American shoemaking, there is no doubt that the open market for the world's best productions in leather has given them an advantage in the choice and quality of materials, which is telling even in " the camp of the enemy." So far, the trade returns do not separately schedule the shoes sent to the United States ; however, as the value of exported foot- wear sent to " other countries " outside those usually specially enumerated has risen from 145,430 to 197,475 for the first quarters of 1909-1910 respectively, it is safe to assume that the advance is due to the unexpected American demand. It is more than likely that quite a fair proportion of these manufactured shoes actually contain American upper stock in the shape of box calf or glazed goat, so that British boot manufacturers have thus ample proof of the folly of any attempt to penalize foreign trade for the sake of a problematic benefit to colonial trade. The two great branches of our commerce are complementary. Our commercial history shows that at times as in the 'seventies an absolute decline of our total trade with foreigners has been partly neutralized by a rise in our trade with the Imperial Dominions. On the other hand, the ten years ending with 1908 witnessed a profoundly important movement in the opposite direction. It would be difficult to find a more complete reversal of the prophecies made by certain alarmists at the beginning of the twentieth century, than the above figures. It was freely stated by many public men thut our boot and shoe trades were " going," and that the feet of the honest Briton would in a few years be shod in boots of alien manufacture. It is a remarkable tribute to the enterprise of the English manufacturer that, faced with the com- petition of the keen-witted American backed up with the most modern machinery, he was able, after a brief pause, not only to hold his own, but to increase his trade considerably, in spite of th- tariff walls raised by the American ami other foreign Governments. CHAPTER XX HOSIERY, LACE, HATS AND GLOVES The Hosiery Trade, 1800-1850. Early seats of hosiery manufacture Early estimates of stocking frames Lee's stocking frame Production of hosiery, numbers employed, wages, etc., in 1833 Bobbin-net trade Improvements in machinery Fancy productions Warp lace. 1850-1910. Mr. Thomas Henderson on development of hosiery trade Amount of persons employed in hosiery trade in Leicester Hosiery a female industry "Twist fever" Effect of American Civil War Lace trade Numbers employed, and wages Stocking making Census figures of employment in hosiery trades Census of Production figures Our foreign trade in hosiery and lace. Hats and Gloves, Our foreign trade in hats and gloves, 1856-1910 Census of Production figures. THE HOSIERY AND LACE TKADES, 1800-1850 PORTER found it impossible to make any very satisfactory estimate of the growth and progress of the manufacture of hosiery. The art of knitting is said by some to have been brought from Spain about the time of Henry vm, but others ascribe the honour to Scotland about the year 1500. Of course at that time all the knitting was done by hand on pins, and probably the only articles made would be hose, gloves, etc. The knowledge and practice of the art doubtless extended rapidly over the United Kingdom, and in 1589 the Rev. William Lee of Woodbridge, Nottinghamshire, invented the knitting (or stocking) frame, by which stockings and other articles were worked on a machine with a straight row of needles making several stitches by one movement. Lee not only made the first machine to produce unshaped web, but afterwards so improved it that he was able to turn out shaped work which would follow the curves of the foot and calf. Of course, his work required to be seamed before it was ready for the wearer, but the progress he made was nevertheless very great, and the ingenuity he displayed is thrown into strong relief when we remember that it was not till more than 200 years afterwards that succeeding inventors discovered how to make 382 HOSIERY, I ACK, HATS AND GLOVES 383 a stocking frame which would produce seamless work. Indeed, Lee's frame, which was invented in 1589, was virtually nnim- proved by any other inventor until, 179 years later, the Derbyshire farmer, Jedediah Strutt, modified it so as to produce ribbed work. Strutt built up a fine business, and his grandson was made a peer Lord Belper ; but it is a sad thought that Lee, the father of the trade, received no adequate reward for the benefits he conferred on his countrymen. Yet Lee founded an industry which has now an annual output of well over eight millions sterling, and gives employment to more than fifty thousand persons. It now produces not only the original " hose," or clothing for the legs, but all kinds of underwear for men, women, and children, as well as Cardigan jackets, fancy vesta, jerseys, sweaters, shawls, ladies' and children's woollen goods, and other similar articles. All articles which are made by a knitting process come within the sphere of the industry, and it has been computed that no fewer than five thousand different descriptions of goods are now produced by firms in the hosiery trade. Naturally, however, stockings and socks constitute the most important section of the trade, forming, roughly, one-half of our total production and one-half of our exports of these goods. The greater part of our knowledge of the early history of the trade is due to Mr. Felkin, a merchant of Nottingham and a recognized authority. The chief seats of the hosiery manufacture in 1850 were (and the statement holds good to-day) the counties of Derby, Nottingham, and Leicester, in the last named of which nearly all the frames in which wool was employed were to be found, while Nottingham contained the largest number of frames for the production of cotton hosiery. The use of silk in this branch of manufacture was almost wholly confine* 1 to Derby and Nottingham. Blackner estimated that in 1812 there were 29,590 stocking frames at work in all the branchea Thirty years before that time the number had been estimated at 20,000. If we are to judge from the localities as- signed to the frames in 1812, it would appear that rather more than one-third wore employed in producing cotton hose, and that about one-half wore used for woollen goods, but no very accurate estimate of the proportions can ! formed fi<>in tin- locality of the machines. In 1 *::;, a meeting was h"M >f delegates from the frame-work knitters, when a resolution was f>i: dividing the seat of the hosiery manufacture into districts, with the view of obtaining, among other things, exact details of the number and description of frames, the amount of labour employed in them. 384 THE PROGRESS OF THE NATION and such further particulars as might enable the workmen to co-operate for the more effectual protection and advancement of their interests. The resolution thus formed was not, indeed, carried into effect in the manner nor with the objects proposed ; but it attracted the attention of Mr. Felkin to the subject, who drew up an estimate of the extent of the manufacture in its various branches, which was believed to present a sufficiently accurate approximation to the condition of the trade at that time to answer all practical purposes. Mr. Felkin's estimate for 1833 will be found on page 385 (Table A). At the meeting of the British Association at York, in 1844, Mr. Felkin read a very elaborate report on the hosiery trade and the condition of the frame-work knitters. The survey and census upon which Mr. Felkin founded his report, were made in the spring and summer of 1844, as far as respects the midland counties of England, by agents whom he employed for that purpose. The estimate for the remaining parts of the kingdom, which were adopted and considered correct by Mr. Felkin, will be found on page 386 (Table B). The quantity of cotton hosiery goods made in 1833 was estimated by Mr. Felkin to have increased more than 50 per cent. in the preceding twenty years an opinion which agrees with the fact that the use of cotton stockings had during that time been superseding those of woollen to a great extent among the women. It will also be seen from the statement of Mr. Felkin, that the number of frames employed for making cotton goods, which in 1812 was about one-third the whole number employed, formed about one-half in 1833, or 16,300 out of 33,000 frames. The making of stockings at this date was altogether a domestic manufacture, being carried on in the dwellings of the workmen. Some of these persons possessed frames, which were their own property, but the greater part used frames which belonged to the master-manufacturers, by whom the workmen were employed, and who were paid by those workmen an annual rent, varying from forty shillings to five pounds, according to the size and capability of the frame. The bobbin-net manufacture grew up entirely in the nineteenth century, and in a comparatively small number of years became an object of national importance, finding employment for between 150,000 and 200,000 persons, whose wages amounted to 2,500,000 per annum, as stated in a memorial addressed in June, 1834, to the Lords of the Treasury by the principal merchants and manufacturers engaged in the bobbin-net trade. The first successful attempt at producing, by means of HOSIERY, LACE, HATS AND GLOVES 385 o o -> = J o 1 _> O IO O (M to 1-1 O O> CO o j" A r>- 1 ' 1-1 Soo-j fl o _ IPiiill iSsiii^i 5 *""" ^3 a" -? S^ Otfl 1 O cd ** o n - t^ . 1 .PHS^ S-3 g "H e 8 E * o d - J c c a J6^ *_- 25 I y- -' ^5-5 "- sjsrs t . 5 O) O rH oco so .Es O 00 t- 00 of > iQ > >53 c S ja a oS S C^i . i >i 1901 12,882 32,785 Carpet, rug, felt man ufacture 1881 9,241 7,661 ii i 1891 ,485 7,408 II 9 1901 7,150 B,SU Fancy goods, etc. j 1881 1,811 17,115 ii ii 1891 5,315 18,968 ii ii 1901 3,521 16,215 In 1870 there were 129 hosiery factories in the United King- dom, employing 9692 persons (4594 males and 5098 females). In 1890 there were as many as 257 and the persons employed numbered 24,838 (9208 males and 15,630 females). The number of persons employed in 1901 was 38,549 (9587 males and 28,962 females); and in 1907 the number was 39,971 (9609 males and 30,362 females). The Census of Production (1907) gives theaverage number of persons (other than outworkers) employed in hosiery factories in that year as 47,939, namely, 44,724 wage-earnera and 3215 salaried persons, and further classifies them thus: Males. ''' :i: ' : '- UnderlS . . . 1,816 Under 18 Over 18 . . . . 10,435 Over 18 . . . '^,332 In addition the average number of outworkers was 4950 (543 males and 4407 females). In 1870 there were 224 lace factories in tin- Tinted Kingdom employing 8370 persons (5998 males and L':J72 females). In 1890 394 THE PROGRESS OF THE NATION the number was 403, and the persons employed numbered 16,930 (9820 males and 7110 females). The total number thus employed in 1901 was 17,902 (10,462 males and 7440 females), and in 1907 21,024 (12,843 males and 8181 females). The Census of Pro- duction (1907) gives the average number of persons employed (other than outworkers) in lace factories and warehouses as 34,583, namely, 31,839 wage-earners and 2744 salaried persons, and further classi- fies them according to age and sex : Males. Under 18 . . . 2,520 Over 18 . . . . 13,420 Females. Under 18 . . . 4,953 Over 18 . . . . 13,690 In addition the number of outworkers is given as 4113 (91 males and 4022 females). Before proceeding to examine our imports and exports of hosiery, it may be well to examine the return of the Census of Production for the year 1907, as given at page 45 of the Preliminary Tables, Part III. This is as follows : British Production of Hosiery 1 in 1907 Underwear (including shirts, pants, vests, bodices, spencers, combinations, etc.) 2,672,000 Fancy hosiery (including Cardigan jackets, fancy vests, jerseys, sweaters, shawls, ladies' and children's wool goods, etc. ) .... 869,000 Gloves. ......... 256,000 Hose, half-hose, socks, and three-quarter hose .... 4,326,000 Yarns of wool, cotton, etc. ..... . 244,000 Women and girls' clothing and millinery ... . 128,000 Elastic web and elastic hosiery .... . 78,000 Other products . . . . . . . .44,000 Total value of goods made tor sale . . .8,617,000 From this it will be seen that the bulk of the production consists of stockings and socks and underwear, though fancy hosiery forms a not inconsiderable section. It is to be remembered that the return includes silk hosiery, though it appears probable that this is almost a negligible proportion of the total output. This output also in- cludes 244,000 worth of yarns which were probably partly sold to other firms, and worked up into the finished goods appearing elsewhere in the table. Making allowance for this, the Director of the Census says (on page 13) that "the total value of the products of hosiery factories may be estimated at a sum lying between 8,400,000 and 8,600,000." Taking, therefore, 8| millions sterling as the gross production of the trade, we can now consider the import and export records without danger of losing our sense of proportion : 1 Of wool, cotton, and silk. HOSIERY, LACE, HATS AND GLOVES 395 British Foreign Trade in Woollen and Cotton Hosiery, excluding Glove* (in thousand* of pound*) Exjwrta. Net y Import* eari. (Cotton Woollen. Cotton. Total. only).t 1861-1865 348 443* 791 66; 1866-1870 286 756 1,042 1871-1875 288 1,026 1,314 116* 1876-1880 294 866 1,160 202 1881-1885 420 1,102 1,522 240 1886-1890 794 768 1,562 365 1891-1895 759 450 1,209 857 1896-1900 856 874 1,230 374 1901-1905 1,007 461 1,468 741 1906-1910 1,415 493 1,908 1,311 * t'uur years 1862-1865, as the exports were separately entered only since 1862. t Imports of woollen hosiery have only been recorded daring the last seven yean. * Gross imi>orts in these years ; net imports would probably be 10,000 sterling leas. The table does not include gloves, since the import and export records of these have only been kept for two or three years, and are not complete at that. It will be seen that the progress of the woollen section of the industry lias been eminently satisfactory, but that the same cannot be said of the cotton section. In the early 'sixties the woollen exports were considerably less than the cotton, and in the early 'seventies they were little more than one-fourth of the cotton exports. But after the early 'eighties woollen exports i, r rew, and cotton exports fell so heavily that the woollen section is now three times as large as the cotton section of the export trade. Cotton hosiery exports have shown an improving tendency during the last fifteen years, but this goes against a very large increase in the net imports, and it is abundantly clear that our makers of cotton hosiery have to learn from the Germans the lesson which our boot manufacturers long ago learned from the Americana They must find out the machinery and methods which have enabled the Germans to make such progress in cotton hosiery. At present no injury has been done to the home trade, for our r\poiis of woollen and cotton hosiery aiv still consi.lenil.lv larger than our net imports, but the steady growth of the cotton iniiorts during tin- past ten v didoes that our nianufactun-rs must bestir themselves if ti. to retain their grip on this part of th.- trade. Our factory-owners may be reminded, too, that the world-trade in cotton hosiery is large enough to be well worth a struggle for an adequate sha; the imports of the United States alone have averaged JCl.o'JH.UUU a 396 THE PROGRESS OF THE NATION year for the five years ending with 1910, and the supply of these is at present almost monopolized by the Germans. In the foreign trade table given above no account is taken of the net imports of woollen hosiery, since these have only been re- corded for the past seven years. It may, however, be instructive to see how they compare during this period with the exports : British Foreign Trade in Woollen Hosiery (in thousands of pounds) 1904. 1905. 1906. 1907. 1908. 1909. 1910. Exports Net imports 1,032 207 1,191 402 1,269 271 1,486 267 1,277 300 1,367 352 1,675 465 Excess of exports 825 789 998 1,219 977 1,015 1,210 The woollen branch of the trade is, therefore, quite healthy, and in this we apparently have no cause for serious fear of any foreign competition ; but in the cotton branch our imports largely exceed our exports a state of affairs by no means creditable to British manufacturers. For there is no more reason why the Germans should be impregnable in the cotton than in the woollen branch, and the fact that they are far from being impregnable in woollen goods is proved by the following record for the last five years : Exports of Woollen Hosiery (in thousands of pounds) 1906. 1907. 1908. 1909. 1910. From Germany .... From Britain 1,926 1,269 1,794 1,486 1,509 1,277 1,390 1,367 1,567 1,675 German excess British excess .... 657 308 232 23 108 Here is a record of steady progress, a large German superiority being gradually pulled down and converted into a British superiority. And what our makers have done in woollen goods they might, with more energy and enterprise, repeat in cotton goods. The lace trade developed very rapidly during the last half of the nineteenth century. During the last thirty years our gross imports from abroad have increased nearly five-fold ; but in the same time our re-exports of this lace received from abroad have grown nearly forty-fold. A considerable proportion of the ship- ments received from abroad consists of English lace which has been sent to Germany and Switzerland to be worked upon, improved HOSIERY, LACE, HATS AND GLOVES 397 in value, and returned to us in due course part of it to be sold here, and part to be shipped again and sold to other foreign nations as re-exported foreign lace. Indeed, the large extent of the re- export trade is perhaps the most striking feature of the British commerce in lace, and our re-exports are now much greater than our exports of British-made lace used to be twenty-five or thirty years ago. Coincidently with this increase we have witnessed an enormous growth in the shipments of lace produced in the United Kingdom, and during the past twenty years the two branches of the trade have made progress which is in the highest degree satisfactory. The record for the past forty years is as follows : Britain's Foreign Trails in Lace (in thousands of pounds) Lace Imports, of Cotton, Silk, and other Materials. British Exports. U w B Five-Year . 5~ Averages. it - 2 i 4 H si s M Of Cottor A I 5 3 I K\. MM OTer Net 1871-1875 643 ... 1,074 ... 1876-1880 468 1,832 1881-1885 757 53 704 2,538 1886-1890 1,016 99 917 2,102 204 2,306 1,389 1891-1895 1,077 145 932 1,964 225 2,189 1,163 1896-1900 1,401 510 891 2,290 146 2,478 1,584 1901-1905 2,828 1,108 1.61B 8,279 89 :>,.:>; 1 ,*:.:: 1906-1910 3,423 1,947 1,476 4,330 122 4,452 2,976 * Imports for Home Consumption. Most of our imports come from Germany and France, and though these arrivals from abroad have grown persistently since the late 'seventies, it will be noted how rapid and persistent the increase in re-exports has been. Of the shipments received here we now re-ship and sell abroad more than half, so that less than half of the goods landed here are retained for home consumption. It should, however, be mentioned that imports have been steadily falling since 1906 ; and re-exports, too, though not in the same pro]>ortion. During these five years the tendency has been for us to retain a smaller ami smaller amount for sale in the home market; and though this is satisfac- tory from the point of view of the home in unifacturer, it is to be regretted that the valuable re-export trade shows a marked dtv'. Some curious features of the re-ex jxirt trade are to be noted wheu we consider the silk branch of the trade only, for during the 398 THE PROGRESS OF THE NATION past five years we have re-sold to oversea customers a greater quantity of foreign silk lace than has been landed on these shores during the same period. Thus, in 1907 we imported 276,000 worth, but re-exported 446,000 worth, and in 1908 the respective figures were 286,000 and 577,000. It is plain, therefore, that considerable quantities of foreign silk lace which reach us almost entirely from France must remain in English warehouses for several years and then be shipped and re- sold to oversea buyers. The move- ments will perhaps be made clearer by the following table : Imports and Re-Exports of Silk Lace (in thousands of pounds') Excess of Year. Imports. Re-Exports. Imports. Re-Exports. 1901 678 376 302 1902 904 663 241 1903 830 671 159 1904 792 631 161 1905 544 641 97 1906 287 127 160 1907 276 446 170 1908 286 577 291 1909 258 188 70 1910 257 200 57 ... It will be noticed that up to 1904 a considerable, though diminish- ing, quantity was retained in this country, but during the succeed- ing six years the aggregate imports were 1,908,000, while the aggregate re-exports were 2,179,000. The conclusion seems un- avoidable that in the earlier years of this century heavy stocks had been accumulated that could not be worked off in this country, and that these have been gradually disposed of to oversea buyers during the past six years. In so remarkable a trade it is difficult to fix, even approximately, the extent of the home consumption of foreign silk lace, but anyone who considers the foregoing table attentively will probably conclude that it could not have been, during the past five years, anything like so large as the shipments of British-made silk lace, which have averaged 122,000 a year for that period. It will be observed, too, from the table (p. 397), that the exports of the British article have taken a most satisfactory jump upwards during the last decade. In this connexion it should be remembered that the census returns the home production of " silk net and lace and articles thereof " as HOSIERY, LACE, HATS AND GLOVES 399 452,000 in 1907. The Director of the Census, however, states that this figure does not include hand-made lace ; which, of course, is included in the foreign trade records quoted above. It is, however, in the cotton article that our lace manufacturers arc diictly int.-n-stcd, and it will be instructive to inquire where our enormously larger exports of the last few years have gone to. This is the more important seeing that our makers of cotton lace are so overwhelmingly dependent on the export trade for the Director of the Census of Production states that about seven-tenths of our total production was shipped abroad during the year 1907 : Distribution of Exports of British Lace (in thousand* of pounds) Five- Year Of Cotton. Of Silk. ToUL 1 Averages. To To British To To British To To British Foreign Countries. Posses- sions. Foreign Countries. Posse*- A 'ii-. Foreign Countries. POMW- sions. 1891-1895 . 1,574 390 177 48 1,751 438 1896-1900 . 1,774 555 125 21 1,899 576 1901-1905 . 2,501 778 72 17 2,573 795 1906-1910 . 3,464 866 101 21 3,55 887 I The record shows that in cotton lace our sales to foreigners during the past twenty years have increased by something less than two millions sterling, as compared with a growth of about half-a-million in our business with imperial customers. Among all our customers, foreign or imperial, the United States is the best, Germany being a very good second. But, as previously indicated, a large part of the shipments to Germany goes there merely to be improved in value and returned to us. After these two customers rank Canada and France (about on an equality), and then comes Australia, Argentine Republic, and Belgium, though the demand from the last country has shown a serious fall during the last three years. HATS AND GLOVES It is difficult to obtain any record of the development of tin- hat and glove trades in this country other than that at forded by the foreign trade returns. The Census of Trodm-lion, it in true, gives figures showing the size of these trades in 1907, but of < affords no help in true in u r their d< v.-l..],:M"nt. IWliT himself makes no mention of them. 400 THE PROGRESS OF THE NATION Both the felt and straw hats produced by our manufacturers are world-famous for quality, and there is probably not a civilized country to which they do not go in greater or lesser quantities. Among European nations the Norwegians, Swedes, Danes, Germans, Dutch, Belgians, French, and Spaniards all buy our wares in quantities sufficiently large to be separately specified in the Board of Trade records, and it is highly probable that the other European countries are customers also, though in a lesser degree. Among our extra-European foreign customers the United States, Argentina, and Japan figure prominently ; while some of the British possessions (notably Canada) are handsome buyers. An export trade which is thus widely and fairly evenly spread is not unduly dependent on the fiscal or other vagaries of any one country or even group of countries, and to this firmness of basis is probably due the absence of any violent fluctuations in the export records of the industry. That these records have, on the whole, been tolerably satisfactory is clear from the following statement : Average Exports and Net Imports of Hats (of Felt, Straw, and Other Materials) Years. Exports. Net Imports. Excess of Exports. Quantity. Value. Quantity. Value. Quantity. Value. Thousand Thousand Thousand Thousand Thousand Thousand Dozen. . Dozen. . Dozen. 1856-1860 141 262 1861-1865 232 428 1866-1870 296 503 1871-1875 605 877 1876-1880 853 1,023 1881-1885 1,081 1,168 1886-1890 1,269 1,215 1891-1895 1,253 1,160 * 138 * 1,022 1896-1900 1,097 1,106 * 155 * 941 1901-1905 l,019f l,214t 329 300 690 914 1906-1910 1,161 1,619 314 363 847 1,256 * Cannot be stated. f Including trimmed hats in 1895 and after, trimmed hats. All the import figures include In examining the records it will be noticed that down to the 'nineties the exports showed an unchecked growth both in quantity and in value. Afterwards, however, there was a decline in the number of dozens shipped, while in the five years just completed their value rose 400,000 higher than it had ever been before. HOSIERY, LACE, HATS AND GLOVES 401 The movement in values was partly caused by the general fall and rise of prices, but it was due much more to a change in the character of the goods. Thus in the late 'nineties only 443,000 dozens consisted of felt hats valued at more than 30s. per dozen, the remainder being mostly straw hats at less than 13s. per dozen. But in the past five years there were 536,000 dozens of felt hats worth about 37s. per dozen, the remainder being mostly straw goods at less than 18s. per dozen. In other words, we have done better business in 30s. goods than in 13s. goods. In comparing the imports with the exports, it has to be re- membered that while we ship principally felt and straw hate, we import principally hats of " other sorts." It will be noted that during the last ten years imports have fallen in number and risen in value. This has mainly resulted from the progress of the " Panama," which reaches us mostly from Colombia, Peru, and Ecuador. These hats which are classed by the Board of Trade among " other sorts " are of relatively high value, and their popularity in recent years accounts for about three-fourths of the growth in the value of our net imports during the past decade. In spite of this, however, it will be seen that our excess of exports at 1,256,000 is now greater than it has ever been before. Let us now see how our increased exports for the past decade have been distributed : Export* of Hat* Analysed Five- Year Averages. To Foreign Countries. To British Possessions. To All Countries. , f 1900-1904 11 ' ' \1905-1909 Increase -f or decrease - OfStr / 1900-1904 U 905-1909 Increase + or decrease - Other Sor* . $* Increase + or decrease - O^dTbUb.flgtlSJ Increase + or decrease - T:. mad l>../.n. 160 230 Th- mt ! 6*. 339 in Th MMd m 281 260 Tl. Ml 1 4*. 416 416 T' M . d l> M 450 490 Tbottaod . 755 HI + 61 + 140 - 121 ... + 40 + 140 78 106 ;. 104 494 417 8(1 849 572 528 416 458 + 38 + 89 77 - 2 49 + 87 84 :' 28 1- 60 11 87 + 26 16 71 20 1 + 19 + 82 . :,:. + 45 364 rj'j 633 786 7H 72 m M 1,043 1,469 + 108 | I'll | f.:i + M . -.; 26 4O2 THE PROGRESS OF THE NATION In all three sections of the trade the sales to foreigners have made remarkable progress and more especially in felt and straw goods, which together made up more than seven-eighths of the ex- ports in the latter five years. Both felt and straw hatters have in this period been entirely dependent on foreign customers for all the improvements shown in the volume and value of their oversea business. The extremely poor showing made by the colonies in this comparison is very disappointing, though it must be admitted that imperial customers have provided a very welcome set-off by their much larger purchases of " other sorts " of hats. The rapid growth in exports of these " other sorts " is more especially satis- factory when viewed in conjunction with the following figures from the Census of Production report : Production, Exports, Net Imports, 1907. 1907. 1907. Thousand Thousand Thousand Dozen. Dozen. Dozen. Felt 1,363 534 34 Straw 1,432 536 28 Other Sorts 198 55 225 The fact that the exports increased from 55,000 dozen in 1907 to 124,000 dozen in 1910 seems to indicate that the home pro- duction of " other sorts " of hats has grown largely since the census year. If we now turn to the trade in leather gloves we find very different conditions, for our imports of these articles have always been extremely large while our export trade in them is of very recent growth. Indeed the exports have only been recorded by the Board of Trade since the year 1903, but we shall find that all the indications point to very substantial progress. During the eight years since 1903 the exports have grown as follows: - Four Years, 1903-1906. Four Years, 1907-1910. Quantity, pairs Value, s 2,140,000 260,000 2,648,000 340,000 The goods exported are of high-class quality, the value having increased from 27s. 6d. per dozen pairs in 1903 to more than 30s. HOSIERY, LACE, HATS AND GLOVES 403 in 1910. But it is in the net imports that the strongest evidence of the progress of the home manufacturer is to be found. The following shows the imports retained for home consumption: Average Net Import* of Leather Glove* Five- Year Averages. Quantity. Thousand Pain. Value. Thousand s. 1891-1895 1896-1900 1901-1905 m,469 20,925 17 883 1,898 1,842 i i . i 1906-1910 13,306 1,217 Decrease in 20 years 8,163 681 Allowing for the increase of population during the past twenty years, and for the much greater spending power of the upper artisan and lower middle classes, it is difficult to believe that the consump- tion of leather gloves has very seriously declined during the two decades. Some decline there has certainly been, but the Census of Production figures seem to indicate that a substantial proportion of these 8,163,000 pairs formerly supplied by importers is now supplied by our own manufacturers. Here are the census returns, from page 20 of the Preliminary Tables, Part VI: Leather Gloves, 1907 . Production. Pairs. 7,164,000 Exports. Pairs. 2,664,000 Net Imports. Pairs. 10,788,000 From this it is tolerably clear that highly satisfactory progress must have been made by our own manufacturers since the early 'nineties when the average net imports were 8,163,000 pairs than they are now. CHAPTER XXI PAPER AND PRINTING TRADES Paper. Introduction of machinery into paper-making Excise duties on paper early in the nineteenth century Progress of the trade since 1860 Esparto grass Wood pulp Our foreign trade in paper. Pricing. The size of our printing trade Census of Production figures The introduction of machinery into the printing trades early in the nineteenth century The evolution of the power press and of the linotype machine The development of photography and the cheapening of illustrations Our foreign trade in books and printed matter. THE PAPER TKADE PAPEK has been manufactured in this country for many centuries, although in the early and middle ages the favourite writing materials were either vellum or parch- ment. The invention of printing caused a great and growing demand for paper from the sixteenth century onwards. With the era of newspapers and popular education the demand expanded enormously. But invention fortunately kept pace, and in the second half of the nineteenth century improvements were made in every sort of machinery, while cheap paper is now manufactured on a huge scale from grass, wood, and other materials. The best paper is still made by hand. Various sorts of paper-making machinery were invented towards the end of the eighteenth century; and as steam power was applied generally to industry the paper trade was practically transformed. With the advent of the newspaper and the increased demand for paper that resulted, the trade began to develop rapidly. Its progress was seriously retarded, however, by the numerous excise duties that were imposed in this country on paper. The returns made in consequence of these excise duties were however of statistical value as showing to some extent the growth of the trade, and about them Porter writes : " The manufacture of paper is carried on in certain localities, whence it is distributed over every part of the kingdom, so that English-made paper finds its way to Scotland and Ireland. PAPER AND PRINTING TRADES 405 The parliamentary volumes do not contain any statement of the quantity of paper brought to charge with the excise earlier than 180.S in the present century, which year is therefore inserted in the iolli>\ving Comparison, instead of 1801." Year. rounds of Paper Charged with Duty. Amount of Revenue. Revenue Paid breach Individual. Duty per 11). on First- class Paper. Ib. d. d. 1803 31,699,637 394,824 53 3 1811 38,225,167 477,414 (ji 3 1821 48,204,927 579,867 N 3 1831 62,738,000 728,860 7j 3 1841 97,103,548 637,354 59 U The duty on paper was first imposed in 1711 by the Act 1 Anne, c. 19, which recites, as a reason for the tax, "the necessity of raising large supplies of money to carry on the war," and surely it required a case of strong necessity to justify the imposition of a tax which tended so directly to impede the progress of knowledge among the people. That it must have had this effect is evident from the statement here given. While the duty on first-class paper, which includes writing and printing paper, was continued at 3d. per Ib., the increased quantity used was, considering the increase of the population, very insignificant. The quantity used at the different periods, if equally divided among the population, would have been Year. Ib. I Year. 1803. . T92 for each individual. 1831 1811 . . 2-06 1838 1821 . 2-27 1839 Ib. 2*54 for each individual. 3-47 3-58 The reduction of the duty took effect only in October, 1836, and could not be expected to have produced its full effects for some years thereafter. The degree in which it has stimulated consump- tion may be seen from the quantities used every five years from is:; 5 to 1849, namely: Year. 1835 1840 Ib. 74,042,650 97,237,368 Yrar. 1849 Ik ; 7,070 US,] B 863 Previous to ls:;ii the paper duty was char-- -1 on two clanee or qualities, of which the first rl.-i.-s ]iid :'d. :unl the wj-.md clam ld. per Ib. The higher rate was subsequently abolished an.l tin- duty charged on the lower only. 406 THE PROGRESS OF THE NATION The number of licences taken out by paper manufacturers was as follows : Year. England. Scotland. Ireland. Total. 1801 413 33) No account kept 1811 527 48 / in Ireland. 1821 564 55 47 666 1831 507 54 59 620 1841 370 49 48 466 1845 381 45 47 473 1849 349 48 40 437 The price per ream of printing paper, of one particular descrip- tion, was Year. s. d. 1S01 . . . 36 1808 . . . 40 1811 . . . 35 1821 27 6 Year. s. d. 1831 . . . 24 1841 . . . 17 1843 (January) . 15 6 The effect of high duties in limiting the use of books may be inferred from the rapid extension caused to the sale of almanacs through the repeal of the stamp-duty of Is. 3d. It was stated in the report of the Commissioners of Excise Inquiry, that two hundred new almanacs were started immediately upon the repeal, of some of which upwards of 250,000 copies were sold within a short period, although the old ones maintained their ground ; and Moore's Almanack for the year 1835 is stated to have actually doubled its former sales. Some part of the increased manufacture of paper must be ascribed to the great reduction made, in 1836, in the stamp-duty on newspapers. The year 1860 marks the birth of a new era in paper-making. In that year the paper-duties were finally removed by Mr. Glad- stone, and about the same time a substitute for rags as a raw material for the manufacture of paper was found. The supply of raw material (i.e. rags) had for several years previously been causing grave anxiety to paper manufacturers. The demand was increasing by leaps and bounds, and strenuous efforts were made to find a substitute for rags. At last one was found in esparto grass. Mr. A. Dykes Spicer, in his valuable book upon The Paper Trade, writes : " Nothing satisfactory was found to tide the paper-makers over the troublous years of 1860, 1861, and 1862. It was the discovery of the uses of esparto grass which brought the crisis to an end. No sooner was it introduced into this country and put to practical purpose, than it was found to supply the impetus necessary to revive the English paper trade and enable it to face foreign competition on more equal terms." Esparto grass is found within the PAPER AND PRINTING TRADES 407 area known as the Esparto Zone (32 and 41 north latitude) includ- ing the southern part of Spain and the northern border of Africa. The manufacture of paper from esparto grass is chiefly carried on in England. Mr. Spicer writes: "Since Mr. Koutledge in 1861 patented his process for treating esparto, it has been the peculiar raw iiKilcri.il used by England for her paper-making. Plant was erected and owing to cheap freights it was possible to introduce esparto at a low rate. But the real cause why this country alone has made use of esparto is the fact that England is the home of the chemical industries, and esparto requiring a very large amount of chemicals could easily be turned into pulp where this material was cheap." In spite of the discovery and application of esparto grass to paper-making the demand for paper was so great that the new supplies were insufficient to satisfy it. A further source of raw material had to be found. "A new raw material," writes Mr. Spicer, " which had always appeared to possess great possibilities was wood. As early as 1800, when Koope published his book on paper, the use of wood pulp was discussed ; but at that period it could not be made to compete successfully against rags. . . . The first patent for beating wood by chemical methods and thus ob- taining a more lasting and durable paper from wood pulp was taken out by B. G. Tilghman, a chemist of Philadelphia, in 1867." In 1879 large mills for manufacturing wood-pulp paper were erected at Ilford, near London, and still larger ones worked on the same principle were erected at Northfleet in 1884. It was in the last decade of the nineteenth century that wood pulp began to be largely used. The cheap modern newspaper and the cheap editions of the " classics " were rendered possible by the introduction of this cheap paper. Much of the paper so made is very inferior and will probably crumble to dust in no great length of time. Our foreign trade in paper for the last twenty-five years, in five-yearly averages, has been as under : Average. Import*. Exports. ,-wt. owt. 1886-1890 1,907,000 871,000 1891-1895 8,098,000 870,000 1896-1900 5,106,000 999,000 1901-1905 7,086,000 1.17rt,000 1906-1910 9,582,000 1,954,000 The figures for imports include paper, imprinti-d, printed or coated, strawboard, millboard, and wood-pulp board, whilr those for 408 THE PROGRESS OF THE NATION exports comprise writing or printing paper and envelopes, paper- hangings, and all other sorts of paper. Prior to 1896 paperhangings were not included in these figures. The rapid growth of our imports of paper during the last three decades has been largely due to the increased imports of wood-pulp board. In 1895, the first year in which wood-pulp board was specified separately, our imports amounted to 171,548 cwt. ; by 1900 they had risen to 467,926; in 1905 they were 1,178,564 cwt.; while in 1910 they amounted to 1,338,264. THE PRINTING TRADES Few of our industries have undergone a more complete revolu- tion during the last fifty years than the printing trades. In olden times printing was a costly art owing to the amount of care and labour required to produce even a few sheets of printed matter. Nowadays our printing trades are among the biggest of our industries. The Census of Production gives their size together with that of some subsidiary industries in 1907 as under : i|l Hi? i* it St si! S|-B 1|'S[| Svi ~ l-ld " o"! * = o| l|| III I if* fill |ss 3% pi O "3 3 GE "3 --sS 8 si m e< fi*i (1) (2) ! Printing and bookbinding fac- tories and workshops Private firms and companies 24,597,000 9,309,000 15,288,000 172,677 89 Factories engaged in the print- ing and publishing of news- papers and other periodicals . 13,237,000 4,614,000 8,623,000 45,303 190 Typefounding, stereotyping, en- graving, and die-sinking fac- tories and workshops 928,000 290,000 638,000 6,269 102 Manufactured stationery, fac- tories and workshops Private firms and companies 4,186,000 2,319,000 1,867,000 25,156 74 Cardboard box factories and workshops .... 2,011,000 954,000 1,057,000 20,379 52 Pen, pencil, and artists' materials factories and workshops 729,000 242,000 487,000 6,307 77 45,688,000 17,728,000 27,960,000 276,091 It will be seen that the largest group comprises printing and bookbinding factories. From these factories come the flood of cheap literature that caters for the popular reader, and it is curious PAPER AND PRINTING TRADES 409 that with such large scale production the net output per person should l)e as low as 89. In the newspaper factories it reaches 100, although here it should be remembered that the salaries of th- editorial and publishing skiffs, etc., are not deducted. The output of the typefounding ;md stereotyping factories and workshops may seem unduly small, but it relates only to separate establish- ments, the stereotyping, etc., done by newspapers and other periodicals not being included in this total. The great change that revolutionized methods of printing in this and other countries came fairly late in the nineteenth century when modern high-speed printing was introduced. A very interest- ing survey of the progress of the printing trades during the latter half of the nineteenth century is given by Mr. John Southward in his book The Progress of Printing and the Graphic Arts during the Victorian Era. Mr. Southward goes into many details ; but to record briefly the history of the printing trades it will perhaps be simpler to take each of the various branches of the industry separately. By far the largest branch is that of "jobbing" printing, which is included in the first item given in the above table. The main cause of the development of this branch of the trade was the introduction into England of the small platen machine in 1866. This machine was the invention of an American named Gordon, and it enabled much more rapid and effective printing to be done than was possible with the hand presses that were used previously. As regards the progress of newspaper printing, two inventions have done more than anything else to render the modern scale of pro- duction possible. One was the invention of the linotype machine, and the other the gradual application of the rotary principle of printing to the power press. The principal presses used during the first few decades of the nineteenth century were identical in principle with that used by Gutenberg in 1450. One of the Earls of Stanhope (Charles Mahon) made considerable improve- ments in the printing press early in the nineteenth century, and ;m American, George Clymer, introduced an improved press called the " Columbia " in 181 7. The first power press was con- structed by Frederick Koenig, a German printer of Leipzig, who emigrated to London in 1806. Koenig's invention attracted attention of Mr. .James Walt. Times, who ordered a roach and in 1S14 Th>- 7V //'..- had the honour <>f heiivj the first newspaper to be printed by modern machinery. Improvements were made in Koenig's machine by Edward Cowper, an Englishman. In 1857 the Hoe ma-1iine. an American press, and the proto- 410 THE PROGRESS OF THE NATION type of the modern high-speed newspaper machine, was invented by Col. Richard M. Hoe of New York. It was first used in this country to print Lloyd's News. The first printing done from a roll of paper instead of on flat sheets was done in 1862, and this method again was first used by Mr. James Walter of Tlie Times. William Bullock, an engineer of Philadelphia, discovered the advantages of rotary printing in 1865. The combination and perfection of the above discoveries has led to the modern newspaper printing press, which is capable of printing, cutting, folding and counting thousands of copies per hour. The linotype machine was the first practical form of composing machine, although earlier attempts had been made notable among which was that of Young and Delcambre in 1840, and that of Mackie in 1858. It would be difficult to exaggerate the important effect this discovery had upon the printing trades, more especially as regards newspaper printing. The old method of composing by hand was both tedious and expensive, but with the linotype not only was much time saved, but the final appearance of the printed matter is becoming equal if not superior to that obtained from hand-set type. A branch of the printing trades that sprang into great promin- ence during the last decade or so of the nineteenth century was the reproduction of cheap illustrations. Of course the beautiful art of engraving on wood, steel, and copper had been long practised, and few moderns can match the older masters. But modern art for the million is another matter. It was the discovery of photography, however, that at last has made the daily and rapid reproduction of persons, scenes, and occurrences possible in the daily newspapers. The first attempts at photography were made as early as 1727, when one Schultze published the results of his experiments proving the darkening by light of a silver salt. No real advances were made, however, until 1727, when one of the sons of the famous Josiah Wedgwood, the great chemist and potter, first printed on paper or leather impregnated with chloride of silver under sil- houettes. Mr. A. J. Newton, in a valuable series of articles which appeared in the Lithographic Artists' and Process Workers' Quarterly, gave in considerable detail the various stages in the evolution of photo-mechanical illustration. One of the main advances was made by Daguerre in 1839, who originated and gave his name to the daguerrotypes that were so popular in the 'forties of the last century. In the same years Fox Talbot invented the calotype. In 1862 dry plates were first used and were placed on the market, and in 1873 H. W. Vogel found the means of rendering plates sensitive to PAPER AND PRINTING TRAD! 4 n coloured rays. In the year 1864, J. W. Swan improved very greatly the carbon process and patented methods of producing engravings which anticipated to some extent the very latest methods of photogravure. An important adjunct to the satis- factory reproduction of photographs was the " screen." The process of reproduction is complicated ; but, roughly stated, the " screen " is placed between the plate in the camera and the object to be photo- graphed. When the photograph is taken this has the effect of dividing the negative into a number of fine points, and from this a plate or block can be constructed. Mr. Newton states " that Fox Talbot first mentioned the screen in his patent of 1852, and described its use for zinc and stone as well as steel" Numerous improved screens were made at later dates in the nineteenth century. "The introduction into commerce of the perfect cross line screen," continues Mr. Newton, " and the gradual dissemination of the correct principles that underly its use, has probably done more for the spread of ' process ' than anything else." One very recent discovery in the reproduction of illustrations deserves mention, namely, the invention of the three-colour process. " The first suggestion of the possibility of the modern three-colour photography," says Mr. Newton, " was made by Clerk Maxwell, who, in 1861, working Young's hypothesis that there are three fundamental colour sensations, produced photographs of coloured ribbons, which were only imperfect because there were no plates at that time sensitive to green and red light" The rapid and cheap production of illustrations has done much to alter the appearance of books and newspapers, and the twentieth century has witnessed an innovation known as illustrative journalism which bids fair to last. Our foreign trade in books during the past forty years has been as under : Imports. Exports. 1871-1875 867,589 1876-1880 .... 919,461 1881-1885 .... ,161,678 1886-1890 .... ,281,566 1891-1895 .... 282,909 ,277,523 1896-1900 .... 256,739 r.96 1901-1905 .... 2S3,176 ,788,434 1906-1910 .... "17.046 2,103,168 * Includes maps prior to 1902. These figures show that, like most branches of manufacture, our book trade thrives in the open air of free competition. CHAPTER XXII THE CHEMICAL AND SOAP TRADES The Chemical Trades. Some founders of the chemical trades The alkali industry and the manufacture of bleaching powder Census of Production figures Our foreign trade in chemicals Situation of the chemical industries Difficulties of early chemical manufacturers The Alkali Act Chemical manures Combinations among chemical manufacturers The United Alkali Co. Various other combines. The Soap Trades. The soap trades early in the nineteenth century and their modern growth Exports of soap, 1853-1910 Consumption of soap Imports of soap Quantity manufactured in the United Kingdom. THE chemical trades of this country are now so large and occupy so important a place in our industries, that it is difficult to recall the time, only a century ago, when practically no chemicals were manufactured on a commercial scale. The historic discoveries of Priestly, Lavoisier and others in the eighteenth century were merely first steps that afterwards lead to the growth of our present vast industries. Science and discovery come first, then the practical inventor and the enterprizing capitalist. The history of the foundation of the chemical trades may be considered romantic even for a period when so many giant industries were growing up under tremendous difficulties. Perhaps the most famous among the pioneers of the chemical trades are William Gossage, J. C. Gamble, James Muspratt, Andreas Kurtz, and James Shanks. Gossage did much to develop the alkali trade. "On the 24th December 1836," writes Mr. Fenwick Allen in his book on Some Founders of the Chemical Industry, " he specified his condensing towers, and wherever the Leblauc process has been established a Gossage condensing tower has been one of the features of the plant." Gossage was also one of the first to turn the science of metallurgy to practical uses, and did much to improve the methods of copper smelting. Gamble was a chemical manu- facturer at St. Helens and was one of the early manufacturers of sulphuric acid, bleaching powder, alum, and Glauber's salts. The Napoleonic Wars, although they caused such acute suffering in England at the time, had in one way a stimulating effect on the early history of our chemical trades. Foreign chemists of great ability found the turmoil of war on the Continent too disturbing for THE CHEMICAL AND SOAP TRADES 413 the safe establishment of a trade, and as a result they came over to England to perfect their inventions. Notable among these desirable aliens was Andreas Kurtz, a native of Keutlingen, who had studied in Paris under Lavoisier. Kurtz set up a small factory at Thames Bank in 1816, and devoted his attention mainly to soap- boiling. In 1820 he removed to Manchester where he remained for ten years, and made many important discoveries about colours. Afterwards he removed to St Helens and became an alkali manu- facturer. The alkali industry has now risen to great importance ; and Sir Alfred Mond, a partner of the famous firm of Brunner, Mond & Co., has given a short account of its growth in British In'l-ti-ies under Free Trade. He writes: " The manufacture of alkalis and bleaching powder, the former of which includes the production of soda ash, soda crystals, caustic soda, and bicarbonate of soda, has long been one of the staple industries of England ; in fact, although the first manufacturing process on a large scale was invented by the Frenchman Le Blanc, the industry was taken up and developed in England in advance of all other European countries. In this industry, as in the case of many others, England had an early predominance of manufacture, which was largely due to the favourable conditions obtaining as regards raw materials (which conditions still prevail, although not to the same extent as formerly) ; also to her greater freedom from disturbance due to war or political upheavals, and to the fact that she possessed larger resources both in the way of capital, skilled workmen and energetic manufacturers than those of any other European country." It is not altogether easy to collect statistics on the development of the English alkali trade of an absolutely reliable nature, and although Sir Alfred Mond's figures were carefully compiled they must (he warns us), particularly as regards the earlier and historic portion, be considered rather as estimates. " For the production of alkalis in England, commencing with the year 1850, the following table gives the percentage increase or decrease of production up to the year 1902 : 1850-1863 . Increase 80-5 percent 1864-1868 . ,. lO'O 1869-1873 ... 13-6 1874-1878 1879-1883 . 43>f 1888 1889-1898 l " { 1894-1898 . h r " 1902 . . 7'6 414 THE PROGRESS OF THE NATION " These figures show a very large increase indeed in the period 1850 to 1863, the kind of increase which one would naturally expect in the earlier stages of an industry, but which from the very nature of things could not be expected to continue on the same scale as the consumption became more normal. Still, there is a steady increase up to the period 1894 to 1898. The period of 1898 to 1902 shows a slight decrease in production, though not to any alarming extent; in fact, on comparing the figures of 1850 with the figures of 1902, one finds that the total production has quadrupled during that period." " The explanation of the decrease before mentioned is recognized by any one connected with the trade as due to the very large diminution of exports of English alkalis to America. This result was due partly to the increased duties on alkalis imposed in 1897, but mainly to the rapid development of the manufacture of alkalis in America, and undoubtedly contributed one of the severest blows the English alkali trade received during the many years of its existence. There can be no doubt that the increase of the then existing duty of 1894 to a higher figure in 1897 diminished the exportation of English alkalis to the United States; but long before then alkalis were being manufactured in America by the ammonia-soda process in increasing quantity, and the development of this industry, in a country which is in every respect favourably situated for the production of alkalis, was bound in time to affect our exports to America. The same result is seen to some extent in European countries such as France, Belgium, Germany, Austria and Russia, and merely illustrates the fact that, given suitable conditions, industrial countries of modern times naturally develop their own resources and supply themselves with products which they had before imported mainly from Great Britain." The manufacture of bleaching powder is another very large branch of the chemical trades, and Sir Alfred Mond writes : " With regard to the production of bleaching powder, this product which is always classed with alkalis, and is manufactured in con- junction with them as far as the Leblanc process and electrolysis is concerned, is of relatively much smaller importance, as the total tonnage produced is much less than that of the alkalis we have already dealt with. The bleaching industry has been very seriously affected by the revolution caused in the paper trade by the introduction of wood pulp, and more especially wood pulp bleached with sulphurous acid, which has very largely diminished the con- sumption of bleaching powder in its most important outlet, namely, THE CHEMICAL AND SOAP TRADES 415 paper-making. As a consequence of this change in the requirements of the paper industry, the consumption of bleaching powder has remained practically constant since 1881." The size of our chemical and soap trades in 1907 as given in the Census of Production tables is as follows : Gross Output. Cost of Material used.* Net Output Number K:,: ployed. Net Output Chemicals, coal-tar products, drags and perfumery fac- tories and workshops . Paint, colour, and varnish 23,447,000 13,983,000 9,464,000 51,088 185 factories .... Soan and candle factories Seed-crushing factories . Oil factories (other than seed- 8,380,000 11,723,000 12,838,000 5,711,000 8,925,000 11,588,000 2,669,000 2,798,000 1,330,000 13,476 17,889 7,629 198 156 174 crushing) .... Fertilizer, glue, sheep-dip, 6,072,000 5,060,000 1,012,000 5,276 192 and disinfectant factories, and workshops . Match and firelighter factories 5,690,000 8,756,000 1,934,000 12,028 161 and workshops . 851,000 443,000 408,000 4,229 96 Ink, gum, and sealing-wax factories .... 799,000 382,000 417,000 1,310 818 Total 69,890,000 49,858,000 20,032,000 112,925 177 * Including amount paid to other firms for work given out Many proprietary articles are included above, and the expense of many soap and other advertisements with which we are all too familiar is met out of the twenty millions quoted in column three. The proportion of the cost of material used to the gross output also varies considerably. In the chemical trades proper it is fairly low about 60 per cent. but in seed-crushing factories, oil factories, and paint, colour, and varnish factories it is much larger, and in some cases amounts to about 90 per cent, of the gross output With regard to the chemical trades, an interesting table, which compares the production and exports of certain sorts of chemicals, is given in the report. From it we learn that in 1907 Great Britain produced 1,437,000 cwt. of aluminous sulphates (including alum), of which 192,000 cwt. were ex]>orted. In the same year we produced 2,181,000 cwt. of He.irhin- po\vd-r. <>f which 1,078,000 cwt. were exported, while our net imports ;iniount<-d .>nly to 176,000 cwt. In the case of coal-tar dye, on th.- oth.M h.-nnl, we exported 51,000 cwt. out of a total production of 139,000 cwt., but imported 322,000 cwt., which is considerably more than double 416 THE PROGRESS OF THE NATION our home production. It is possible that in the course of a few years the patent law of 1907 will cause a very different result in this industry, which has hitherto been almost a German monopoly. Exports of soda compounds (except chromates, cyanides, borax, and soda), leading products of the competing alkali manufacturers, Brunner, Mond, & Co. and the United Alkali Company, are also quoted. In 1907 we produced 13,631,000 cwt., of which 5,704,000 cwt. were exported, while our imports amounted to the insignificant total of 340,000 cwt. If we turn to the records of our foreign trade in chemicals, we find that the various statistical abstracts of the United Kingdom enable us, so far as the export records are concerned, to give tables covering a period of forty years. In doing so, we shall divide into seven sections the products at present classed by the Board of Trade under the head of manufactured " chemicals, drugs, dyes, and colours." Of these seven, two have shown so serious a decline that the exports are now much smaller than they were forty years ago, and another has shown no material progress for the past twenty years. These three sections may be considered first, and they are as follows : Average Exports of Manufactured Chemicals Years. Soda Compounds. Bleaching Materials. Coal Products (not Dyes). 1870-1874 2,253,000 315,000 358,000 1875-1879 2,141,000 319,000 470,000 1880-1884 2,154,000 456,000 785,000 1885-1889 1,740,000 556,000 844,000 1890-1894 2,006,000 537,000 1,366,000 1895-1899 1,223,000 382,000 1,629,000 1900-1904 1,230,000 272,000 1,399,000 1905-1909 1,641,000 200,000 1,466,000 As regards soda compounds (which were formerly entered as " alkali "), the comparison might have been carried back another fifteen years. The average exports for 1855-59 were 720,000 ; for 1860-64, 848,000 ; for 1865-69, 1,448,000 ; and for 1870-74, 2,253,000 so that up to forty years ago there had been a rapid and highly satisfactory growth. The value then began to decline, and though there have been temporary revivals, the value of the exports has never since reached the level achieved in 187074. This, of course, is partly, and even largely, due to the fall in prices ; for the average quantity exported in 1875-79 was 1,179,000 cwt. THE CHEMICAL AND SOAP TRADES 417 in excess of the average quantity for 1870-74, and the succeeding live years (1880-84) showed a continued rise amounting to a further 1 1 59,000 cwt. In other words, we exported in 1870-74, 4,450,000 cwt. of soda compounds for 2,253,000, and in 1880-84 we exported 6,788,000 cwt. for 2,154,000. But it is to be noted that since 1880-84, when the exports were 6,788,000 cwt., there was a fall in every quinquennium down to 1900-4, when the average exports were only 4,137,000 cwt In the last period, 1905-9, there was a substantial increase to 5,178,000 cwt., but even this is about a million cwt. lower than the average quantity for the fifteen years 1880-1894. Much the same may be said about the next column bleaching materials. Here the average exports of 544,000 cwt. in 1870-74 brought about the same price as the average exports of 1,003,000 cwt. in 1875-79. There was a further rise in the next five years to 1,572,000 cwt., but since that time there has been a steady decline in every quinquennium, so that the exports for 1905-9 averaged only 943,000 cwt. or 629,000 cwt. below the high-water mark of 1880-84. As regards the third column ("coal products, not dyes "), it is not possible to give any indication as to quantities, but the table shows that, so far as values are concerned, there has been no material improvement in the past twenty years. The next sections to be dealt with give the following results : Average Exports of Manufactured Chemicals Tears. Fertilizers. Medicines. Painters' Colours and Material*. 1870-1874 586,000 681,000 1,036,000 1875-1879 891,000 719,000 1,130,000 1880-1884 1,851,000 901,000 1,256,000 1885-1889 1,776,000 886,000 1,369,000 1890-1894 2,192,000 1,009000 1,505.000 1895-1899 2,065,000 1,113,000 1,667,000 1900-1904 2,681,000 1,358,000 2,024,000 1905-1909 3,885,000 1,602,000 2,873,000 Here is a much more satisfactory record, especially in the case of fertilizers. In this section the beet progress during the last fifteen years has been shown in the exj>ort of sulphate of ammonia. In 1895-99 the exports of 2,065,000 were made upof 1,263,000 sulphate of ammonia, and 802,000 in other sorts of fi-rtilizere: while in 1905-9 the respective values were 2,678,000 sulphate of ammonia and 1,207,000 other sorts of fertilizers. During this j>criod 27 THE PROGRESS OF THE NATION the growth in exports was more than a 100 per cent, for sulphate and about 5 per cent, for other sorts of fertilizers. Part of the improve- ment in sulphate of ammonia is due to a rise in price, but neverthe- less the quantity shipped went up from 134,271 tons in 1895-99 to 224,058 tons in 19059 ; and in the same period shipments of other sorts of fertilizers grew from 260,676 tons to 410,880 tons. The export of medicines shows a moderate but very steady improvement over the forty years. In this case there are no records of quantities. In painters' colours and materials the growth has also been very steady, an increase being shown in every one of the quin- quennial periods. Eecords of the quantities of these goods have only been kept for the past seven years, but during this period an increase has been shown in nearly every year. The quantity exported was 1,707,000 cwt. in 1903, 1,677,000 cwt. in 1904, 1,787,000 cwt. in 1905, 1,949,000 cwt. in 1906, 1,994,000 cwt. in 1907, 1,991,000 cwt. in 1908, and 2,142,000 cwt. in 1909. The slight drop in 1908 (when our general trade suffered so heavily) and the substantial increase shown in 1909 over 1908 and 1907 must both be regarded as highly satisfactory to this branch of the trade. There now remains only one section, that of miscellaneous chemical exports, and to this we add a column giving the total exports of all chemical manufactures : Average Exports of Manufactured Chemicals Fears Other Products. Total British and Irish Exports. 1870-1874 1,716,000 6,945,000 1875-1879 1,997,000 7,667,000 1880-1884 2,277,000 9,680,000 1885-1889 2,258,000 9,429,000 1890-1894 2,980,000 11,595,000 1895-1899 3,742,000 11,821,000 1900-1904 4,085,000 13,044,000 1905-1909 4,870,000 16,037,000 The column of "other products" includes dye stuffs, sulphate of copper, and saltpetre. The exports of dye stuffs, products of coal tar, were 203,000 in 1890-94, 242,000 in 1894-99, 196,000 in 1900-4, and 176,000 in 1905-9 ; while exports of dye stuffs of other sorts were 270,000 in 1890-94, 218,000 in 1905-9, 136,000 in 1900-4, and 161,000 in 1905-9. It is impossible to say how the quantities of these exports have fluctuated. In sulphate of copper the exports have increased in value from THE CHEMICAL AND SOAP TRADES 419 835,000 in 1895-99 to 1,019,000 in 1900-4 and 1,178,000 in 1905-9 ; the respective quantities being 48,793 tone, 49,187 tons, and 52,060 tons. Saltpetre (British prepared) exports were 28,432 cwt. (value 31,000) in 1895-99, 29,307 cwt. (value 31,000) in 1900-4, and 32,084 cwt. (value 40,000) in 1905-9. From the second column in the last table it will be seen that British progress in the exportation of chemicals, drugs, dyes, and colours, taken as a whole, has not been altogether unsatisfactory. During the past forty years we have increased these exports from 6,945,000 per annum to 16,037,000 per annum. In that period the mean population has risen from about thirty-two to forty- four millions, so that the growth of exports has done much more than keep pace with the growth of population. To be exact, the exports in 1870-74 were 4s. 4d. per capita, and in 1905-9 7s. 4d. per capita. This, of course, is much less than the progress shown in some of our other industries, but there are indications justifying a more hopeful outlook for the near future. It should not be forgotten that after the boom of 1907, when our exports of steel and iron goods fell by 9,000,000, other metals by nearly 3,000,000, cotton manufactures by nearly 14,000,000, and woollen by nearly 6,000,000, chemical exports fell off less than 1,000,000, and in 1909 they had again risen to within 246,000 of the high level reached in 1907. It may be interesting to compare the exports with the net imports for the past fifteen years it is not possible to do so accurately over a more extended period : l-'.j-ports and Net Imfiorts of Manufactured Chemical*, etc. 1895-1899. 1900-1904. 1905-1909. Exports .... Net imports* 11,821,000 6,260,000 18,044,000 7,211,000 1,037,000 8,796,000 Excess of exports 5,661,000 5,833,000 7,241,000 Imports less re-exports. In this connexion it may be remarked that last year, when our exports were only 240,000 lower than in 1907, the net imports were 1,142,000 below those of n><7. Unquestionably the chemical industry presents indications that it has recently entered upon a period of renewed vigour. The chemical trades are chiefly situated in Lancashire and 420 THE PROGRESS OF THE NATION Cheshire. Chester, St. Helens, Northwich and Widnes are all concerned largely in chemical manufacture. Widnes in 1849 contained only from three to four thousand inhabitants, yet in 1861 the population had risen to 6905 and in 1881 to 24,905. Some idea of the earlier growth of the alkali trade in Lancashire is given by the following table, which has been extracted from Mr. Fenwick Allen's book referred to previously : Production. In 1852. In 1872. Alkali .... 26,343 tons. 93,600 tons. Soda crystals . . . 3,500 ,, 8,840 ,, Bicarbonate of soda . . 1,200 ,, 11,700 ,, Bleaching powder . . 1,250 8,060 ,, At first chemical manufacturers, when their plants were in a crude state, met with strong and very natural opposition from persons resident near their works. According to Mr. Allen, " the works at Widnes increased so rapidly, the amount of uncondensed vapour was so large, and the volume of smoke so dense, that not- withstanding the long stretch of river over which the vapours were carried by the westerly winds, which are the winds during which the principal damage is done, the plantations, and even the farm lands on the Euncorn side toward Norton Priory, received very great injury. Sir Eichard Brooke moved in the matter, and in the other manufacturing districts found many who sympathized with his complaints. A Eoyal Commission was appointed, and the Alkali Act of 1863 was the result." The manufacture of chemical manure is an important branch of the chemical trades. The famous Liebig was largely instrumental in the foundation of this branch of the industry. Mr. Allen writes : " When Liebig was making his researches and working out his theories in agricultural chemistry, and when he thought he had discovered the secret of the refertilization of the soil, the principal thing being to restore to the soil, as manure, the inorganic con- stituents which it was found by the analysis of the ashes of the vegetation had been taken out of the soil by the plant, he got James Muspratt to carry out his ideas by manufacturing certain manures. This manufacture was carried on at Newton, about the years 1843-1844." The nature of chemical production lends itself to combination among producers, and the history of the chemical trades during the last twenty-five years of the nineteenth century is largely one of the formation of combines. In the alkali trade the great combine is the United Alkali Company. Mr. H. W. Macrosty in his book THE CHEMICAL AND SOAP TRADES 421 on The Trust Movement in British Industry ascribes the origin of this company to over-competition and unsuccessful attempts to reconcile conflicting interests. " In the autumn of 1890," he writes, " the company was registered and orders for chemicals were placed in abundance for 1891 at the union prices, which were on the basis of the average of the preceding six years, that is, the old combina- tion prices. Forty-eight firms were included, of which three were salt makers fourteen were situated at Widnes, nine at St. Helens, nine on Tyneside, four in Scotland, three in Ireland, three at Runcorn, two in Flint, and one at Bristol ; the salt works were two at Port Clarence and one at Fleetwood." Another great and continuously prosperous alkali manufacturing firm, outside the 1'nited Alkali Company, is Messrs. Brunner, Mond & Co., of Winnington and Northwich, which manufactures alkali by the ammonia process and not by the Leblanc. Other branches of the chemical trades have had their combines. In the borax trade the Borax Consolidated is the largest. Mr. Macrosty writes : " Borax Consolidated was formed in January 1899 to put an end to competition which had reduced prices 50 per cent." In the dye trades the principal combines are The British Dyewoods & Chemical Co., The United Indigo Co. (of Manchester), and The Yorkshire Dyeware and Chemical Co. In the manufacture of explosives the Nobel Dynamite Trust, Messrs. Curtis & Harvey, and Messrs. Kynoch are perhaps the biggest. It should be added that British combines have often been floated for financial purposes and frequently to the detriment both of consumers and investors. SOAP Another great industry which is closely allied to, if not a part of, the chemical trades is the manufacture of soap. Although, of course, it was not made in anything like the scale it is nowadays, soap was manufactured largely during the first half of the nineteenth century. Porter gives the following interesting account of the manufacture of soap in those days : " The consumption of soap is in some degree dependi -nt on tin- growth of manufacture-, since it is extensively employ,. ,1 in many processes, and in this country is increasingly BO employe! ; the actual consumption for personal :md household purposes cannot therefore be accurately known without fust ascertain- ing the quantity otherw -.1 of, no mrt : ci:lar ! itciin-ut of which has been given in any parliamentary papers. An all" made for the duty on soap used in the silk, woollen, cotton and linen manufactures ; hut these do not compri.se the whole of the inaniifac:uring processes into which soap enters. It is, besides, impossible to make any true estimate of the quantity used generally, 422 THE PROGRESS OF THE NATION because of the intervention of the contraband maker. It is known that frauds upon the revenue are thus committed to a great extent, not so much perhaps as was done before the reduction of the duty in 1833 ; but the degree in which that reduction was calculated to affect the fraudulent maker by reducing his profits, has been since in part countervailed by simplifications in the process, which have lessened at once the expenses of the manufacture and the chances of detection. That frauds to a great extent are committed by the surreptitious production of soap, may be believed from the fact, that there are fifty persons in England who each take out an annual licence, the charge for which is 4, and who do not pay duty to the excise on a greater quantity than one ton in the course of the year, leaving room for suspicion that the licence is used as a cover for fraudulent processes. There are besides great numbers of persons who make soap secretly, and without taking out any licence, and who consequently pay no duty whatever. The manufacture can be successfully carried on in any cellar or small room, with very inartificial apparatus ; and, so long as the rate of the duty offers any temptation, it is much to be feared that there will always be persons in whom the desire of gain will be strong enough to lead them to engage in such secret manufacture. 1 "... The excise regulations, which it may be presumed are necessary for the protection of the revenue, so entirely prevent improvement in the processes, that the quality of soap made in foreign countries, where no such regulations are imposed, is invariably superior to that of English soap, and, unless to our own colonies and dependencies, we cannot be said to have any export demand for British-made soap. We pay an import duty on the chief ingredient used in the manufacture, which is not returned on that part which is exported, and our duties are so regulated that our manufacturers are in a great degree restricted to the employment of a material which is not calculated to produce soap of the finest quality. The manufacturers of Marseilles use almost exclusively vegetable oil, while ours are chiefly restricted to the use of tallow, which produces an article so inferor in quality that the preference is given in foreign countries to almost any soap over that made in this kingdom ; and this is especially the case where the article is used in manufacturing processes. " After these remarks it will be understood that the following statement regarding the use of soap is not to be taken as correct, although it is as much so as public documents will admit. Number of Amount of Number of Year. Pounds of Soap Consumed. Rate of Duty. Quantity. Duty Contributed per Head. Licensed Makers. ; 1801 52,947,037 f2Jd. per Ib. hard) Ufd. ,, soft j Ib. 4-84 s. d. 11J 624 1811 73,527,760 Ditto. . . 5-83 1 1! 522 1821 92,941,326 f3d. per Ib. hard ) [ifd. soft j * '* 363 1831 103,121,577 Ditto. . . 6-23 1 6f 532 1841 170,280,641 / l^d. per Ib. hard \ Q . 9n {Id. soft j 1 If 344 1845 190,187,163 Ditto. . . 9-65 1 2| 356 The excise duty ou soap was not levied in Ireland. Hard Soap. Duty Collected. cwt. 1,652,796 1,214,805 1,662,255 1,221,757 1,814,284 1,333,498 Soft Soap. 172,300 84,427 169,882 83,242 186,248 91,261 THE CHEMICAL AND SOAP TRADES 423 " The progressive decrease in the number of licensed makers, until they are r<>w little more than one-half as many as in 1801, is a very remarkable circum- stance, and one for which it is difficult to assign a sufficient reason." The excise duty, to which Porter refers, was removed in 1853. According to Mr. A. H. Scott, an authority on the soap industry, the quantities of soap manufactured and the amounts collected during the three years preceding the abolition of the duty were as follows : Soap Charged vntlt Excise Duty, 1850-1852 i860 1851 1852 1850 1851 1852 Mr. Scott adds : " The Board of Trade returns during the same period do not show the export of soap separately, but include candles as well. It is safe to assume that at least two-fifths of the quantities exported consisted of candles at that time. From the date of the abolition of the excise duty the returns are given for soap only, whilst up to the end of 1852 soap and candles are recorded together. The following set of figures represent the Board of Trade returns compiled in periods of ten years each, and show quantities and values exported from 1833 to 1902 inclusive, the figures up to 1852 being for soap and candles combined: Export* of Soap and Candles, 1833-1852 Cwt. 1833-1842 . . . 1,672,117 3,377,168 1843-1852 . . . 1,448,434 2,710,042 Exports of Soap Only, 1853-1910 Cwt. 1853-1862 . . . 1,874,467 2,482,349 1872 . . . ...770 1873-1882 . . . 3,082,265 1883-1892 . 4,70! r.,046,486 1902 . , 8,366,259 1903-1910 . 9,827,377 11,094,860 i )n the face of them these figures appear as if the weights nnd the, cash value were disproportionate. But it must be remembered Unit, in 1853 tallow averaged from 4'J to 47 per Urn, whilst in 424 THE PROGRESS OF THE NATION recent years the value came down to average from 20 to 30 per ton, and in 1897 touched the lowest price, namely, below 20 per ton. Other raw materials used in the manufacture of soap also became cheaper in proportion, and as a consequence the sale price of soap fell" Taking the Board of Trade returns for the year 1852, we find that 1,814,284 cwt. of hard soap was manufactured in the United Kingdom, out of which 65,000 cwt. was exported, leaving for home consumption 1,750,284 cwt. which was consumed by an aggregate population of, roughly speaking, 28,000,000 people. Assuming for the sake of comparison that no greater con- sumption per capita has since taken place, the manufacture of soap for home consumption for the last three census years should stand as follows : Population. Quantity. 1883 . . . 36,000,000 2,257,560 cwt. 1890 . . . 38,000,000 2,413,380 1902 . . . 42,000,000 2,643,820 Or taking the year 1902, the soap manufactured for home con- sumption and export in this one, year only shows : Home consumption .... 2,643,820 cwt. Export ...... 1,048,778 3,692,598 ,, which is equal to the exports of soap from 1833 to 1855, including candles, namely, for a period of twenty years. The amount of soap and soap-stock imported into the United Kingdom is only a small percentage of the total amount consumed. Our imports for the last few years were as follow : 1905, 500,430 ; 1906, 522,169; 1907, 632,720; 1908, 536,449; 1909, 451,410; and 1910, 454,038. In 1902 the soap manufactured for home consumption in the United Kingdom was estimated at about 2,600,000 cwt., and the Board of Trade returns for the same year show exports of 874,214 cwt., making a total of 3,474,214 cwt. Hence the imports during 1900 of 191,233 cwt. are only equal to 7^ per cent, of the soap manufactured in the United Kingdom or to 22 per cent, of the soap exported from the United Kingdom. The size of our soap trades, according to the Census of Production, will be found in a previous table on page 415. CHAPTER XXIII TIMBER, AND THE BUILDING TRADE Imported timber Amounts in different years Sources of supply Census of Production figures The building trade Its importance Peculiar conditions deter- mining it Unemployment in The supply of labour Ferro-concrete By-laws AMONG raw materials other than food, timber and coal are perhaps the most indispensable. As Porter remarks : " The use, at different epochs, of timber, an article of such general application, exhibits forcibly the comparative progress and industry of a people. The quantity of ' timber eight inches square and upwards,' of colonial and foreign growth, used in the United Kingdom between 1801 and 1845, was Year. Colonial. Foreign. Total. Loads. Loads. Loads. 1801 . 3,099 158,770 161,869 1811 .... 154,282 124,766 279,048 1821 .... 317,563 99,202 416,765 1831 .... 127,199 418,879 546,078 1841 .... 613,679 131,479 745,158 1845 .... 797,490 282,028 1,079,518 These quantities are exclusive of all kinds except square timber. It would be useless to bring forward the like statements with regard to all the forms under which wood is imported, such as deals, battens, and staves, the quantities of which will most probably vary nearly in the same proportions as timber. "It results from these figures that the increase has been . ,, , ,.. . fpcr cent., the increase of) Between 1801 and 1811, 7'-' J13A per cent. \ jxjpulation having been ) 1811 and 18'Jl. J9 1821 and 1831, 31 1831 and 1841, 36 r.;\ Comparing 1801 with 1841, it will be seen, th;:t while the increase of the population is 64 per cent., the use of imported timber has increased 360 per cent. The great increase, beyond that 4*5 426 THE PROGRESS OF THE NATION of all former years, in the consumption of 1845, ia evidently the result of diminished duties in concurrence with a period of great and general prosperity." Since the year 1845, as Table II shows, the importation of TABLE II. Imports (in quantities) Loads. 1840. 1860. 1860. 1870. 1880. 1890. 1900. 1909. (a) Not sawn or split From foreign countries . From British - 249,774 690,956 possessions Total (a) . . 618,405 584,153 868,179 1,275,109 1,430,174 1,989,851 2,283,171 3,091,148 3,428,061 (6) Sawn or split From foreign countries . From British 359,073 768,424 possessions Total (6) . . 435,105 684,382 794,178 1,452,806 2,926,131 4,357,064 4,778,676 6,632,710 5,721,901 (c) Teak . . . (d) Staves . (e) Mahogany (tons) 18,558 82,587 35,650 76,869 44,710 71,673 32,732 143,796 156,003 42,859 [ 39,842 145,279 89,593 126,339 76,202 timber has gone on steadily increasing. Table III shows the different classes into which imported woods, and other raw materials TABLE III. Quantity and Value, of Imported Timber and other Materials employed in the Building Trade Wood and Timber. 18 30. 19 )9. Quantity. Value. Quantity. Value. Hewn Fir . . . loads 2,009,541 3,276,361 3,181,626 4,107,504 Oak ... , 142,154 809,893 156,540 961,563 Teak ... , 60,182 680,162 33,857 540,109 Unenumerated . . 66,294 238,158 56,038 184,662 Sawn or split Fir ... , 4,520,624 10,614,783 5,564,787 14,815,499 Unenumerated . , 258,052 478,396 157,114 654,125 Staves ... , 156,003 669,243 126,339 546,187 Furniture woods and hard woods Mahogany . . . tons 39,842 360,965 76,202 609,352 Unenumerated . ,, 82,519 633,801 196,702 1,182,578 Cabinet and joiners' work . 616,479 Girders, beams, joists, and pillars . . . tons 71,833 512,000 60,413 374,797 Bricks , ... 2.554,000 8,570 Slates for roofing . ,, 31,878 106,115 Stones, slabs, and marble ., 443,901 664,118 1,106,646 1,134,647 TIMBER. AND THE BUILDING TRADE 427 employed in construction, fall, and also indicates the rise in the value of wood which is naturally to be looked for with the steady increase in the world demand. Scientific forestry has only recently been applied in any country with the exception of France : in many there has been a reckless destruction of supplies of which the effect is likely to be reflected in steadily rising prices. Sources of Supply. Table IV shows the different sources of our supply in each decade from 1870-1900. In 1902 no less than one-sixth of our total importation came from Canada, which sent us 78,000 loads (hewn) and 1,639,000 loads (sawn). The decline in our imports from the States, on the other hand, is noticeable. Sweden, Russia, and Canada now send us most. TABLE IV. (1) Hewn Fir Timber (in loads) 1870. 1880. 1890. 1900. 178,002 331,012 301,668 579,351 238,610 308,702 337,313 528,966 150,346 338,943 326,833 344,156 141,361 225,964 231,463 240,098 61,774 293,117 530,385 842,368 ... 89,327 61,462 46,382 94,953 137,017 97,445 57,129 342,487 262,663 121,867 57,375 1,581 13,191 1,155 2,793 1,209,314 1,910,609 2,009,541 2,787,945 (2) Sawn or Split Fir Timber 488,455 966,513 1,153,437 1,697,034 884,702 1,066,394 1,448,234 1,853,688 438,866 366,400 388,358 484,633 20,907 63,973 75,181 94,478 17,894 171,049 289,400 657,418 sa 781,045 1, 158,653 1,154,571 1,605,425 2,879 -J.Mio 11,443 8,960 14,748 3,795,842 l,MO,ti:M tf,40l,G;it; Russia . Sweden . Norway Germany France . Portugal Spain United States British North America Other countries Total . Russia . Sweden . Norway . Germany United States British North America Other countries Total . At any time we have in this country a supply >!' soft wood that varies between a maximum sulticic-nt for six months' needs, and a minimum suHiciont for one month and thive-<|iuir Soft and Hard Woods. Timber, it should be pointed out, falls into two classes soft and hard wood. Soft wood (which is far the more important in point of quantity) is employed for all constructive and building purposes : hard wood for cabinet-making. 428 THE PROGRESS OF THE NATION the fittings of ships, etc. It was also formerly used in shipbuilding, but has now of course been superseded. Supplies of soft wood come in between May and November when the export ports are not frozen, that is to say. Hard wood, which comes from British Honduras (mahogany), Mexico, West Africa, and Burma and Siam (teak), is imported all the year round. In the case of the heavy woods, as long as two years may elapse between their felling in the forest and arrival at the sawmills. As an illustration of the rise in price, it was given in evidence before the Commission on Wood Supplies that Swedish standard deals which cost 9 ten years before, cost 12 10s. in 1902. The Census of Production gives the following information about the timber trade and some similar industries : TABLE V ^S^ |-g s^^'tr s s*^ O-jl. 3 g g O - c M *" -4-i ^~ O : H^ ?*" .^ 13 W X ^ bo-12 'i's Tf, C t>- - -*H C3 o 1 |-| |^| f |J| t-> >? 5 -uT' r "K t, sj o ^ jj m G3 |^| : |f| sljf, So NM 525 ft .s Timber factories and workshops . . 16,166,000 9,914,000 6,252,000 74,564 83 Furniture, house fur- nishings, and uphol- stery factories and workshops (a) Private firms and companies . 17,969,000 8,635,000 9,334,000 91,412 101 Wooden crate, case, box, and trunk factories and workshops . . 2,942,000 1,796,000 1,146,000 12,459 92 Total . 37 ; 077,000 20,345,000 16,732,000 178,435 276 It appears that 91,412 men were employed in furniture, house furnishing, and upholstering factories and workshops as against 74,564 in the timber trade. The total net output was 9,334,000 in the former branch as against 6,252,000 in the latter, and the output per head was 101 compared with 83 in timber factories and workshops. The Building Trade. Timber is chiefly important as raw material for the building trade ; but in arguing from statistics referring to either as to the level of prosperity it must be remembered that, as was put in evidence before the Labour Commission by a TIMBER, AND THE BUILDING TRADE 429 representative of the building trade : " We are the last to feel the effects of a depression, and the last to feel the effects of revival : always the last." In fact, " the trade is dependent on general prosperity : it will therefore be found that an increase or decrease of employment in this trade follows rather than coincides with a similar movement in the general average." (Public Health and Social Conditions, Cd. 4671.) Statistics of the Trade. Adequate material for comparing the conditions of the trade now with those prevailing half a century ago, do not exist: but the following table (Table VI) shows (1) the number of inhabited houses at each census year and the rate of increase since 1851 ; (2) the numbers employed in the trade in the same periods. TABLE VI. Tlie Building Trade Number of Increase Census Year. Males Km ployed in Building Trade Number of Inhabited Houses. Number of Houses Building. Number of Uninhabited Houses. j>er cent in Number of IJuildings Constructed or under X iOUC* Construction 1801 1,575,923 57,476 1811 1,797,504 16J207 51,020 1821 2,088,156 19,274 69,707 1881 2,481,544 24,759 119,915 1841 2,943,945 27,444 173,247 1851 463,491 3,278,039 26,571 153,404 16-0 1861 472,103 3,739,505 27,305 184,694 14-3 1871 581,903 4,259,117 37,803 261,345 15-4 1881 685,112 4,831,519 46,414 386,676 15-5 1891 698,839 5,451,497 38,887 372,184 lit 1901 952,093 6,260,852 61,909 448,982 15-5 The building trade and works of construction, together with the allied trades grouped under the general term, is numerically among the largest occupations. In 1901 it employed 1,042,864 males, i.e. 8 '6 per cent, of the male population of England and Wales above the age of ten. Conditions of the Trade. It is at once the most widespread and the least localized of occupations. Generally speaking it is true, as Mr. Charles Booth has observed, that the building trade is " the most conspicuous example of a great industry carried on in almost complete dependence on a local demand." Owing to the increased cost of raw materials and of labour in London, a large amount of London work is now sent up from the provinces : 430 THE PROGRESS OF THE NATION stone- work, for example, and joinery is largely done in the provinces at provincial rates. At the same time, no less than one-fourth of the whole population engaged in the trade is returned as belonging to Greater London. While the building trade contributed a fifth of all the cases of unemployment investigated by Distress Committees, between 50 and 75 per cent, of the unemployed who applied between 19051908 in Greater London registered themselves as builders. Unemployment in the Trade. The building trade is not only the most widespread of occupations ; it is the one which expands most rapidly in good times, when it attracts great numbers of general and casual labourers. Here, no doubt, lies part of the explanation of the high rate of unemployment from which the trade suffers. Apart from the effect of cyclical fluctuations affecting all trades, and which, as has been seen, reach the building trade late and hold it long, it is at all times highly seasonal in its character. In June and July it is slack ; in November, December, January and February there is little doing. In the winter, weather prevents outdoor work, and then, as in the height of the summer season, there is little renovating, painting, etc., to be done. Spring and autumn, on the other hand, see great activity. At these busy times the contractors employ a very much larger number of men, casually engaged, than can be maintained throughout the year ; and a considerable proportion of these men are not in any sense skilled builders, painters, plumbers, or whatever the branch may be. The Supply of Labour. They are merely labourers : and the supply of such men is in excess of the demand except at times of rush. Again, " the artisan in the building trade is faced by the fact that the old apprenticeship system " (by which a supply of skilled men was ensured) " is disappearing, and nothing has arisen to replace it." Moreover, the whole conditions of the trade are in process of transformation by the increasing substitution of ferro-concrete for stone-work. Ferro-concrete. " Fifty years ago flitched plates, and not long afterwards pollard iron joists, began to be used, replacing the old timber edifices. Then about twenty years since, Bessemer steel, in the form both of stanchions and girders, began to come in, followed not long afterwards by the use of coke-brize and other forms of concrete. The danger of the use of iron by itself in building construction, owing to its liability to warp in great heat, is not experienced where the steel, as in the new process, is encased in concrete, and the two together are considered to have TIMBER, AND THE BUILDING TRADE 431 greater resisting power than even brick or stone ". . . . (see Dearie. Problems of Unemployment : The London Building Trade). The power of resistance is, of course, extremely important in the case of large buildings; and it is to them that the new process, which is making rapid strides, has mainly been applied. Ferro- concrete is fire-proof: it is still a question whether it is permanently damp-proof. li>l'lau'x. At present a special licence is needed before it can be applied to walls in London : and in general, in London and districts where the model by-laws (based upon the London Building Act of 1907) are in force, regulations as to materials, thickness of walls, etc., at present much impede the use of the new forms. Building in England generally is regulated solely by local enactment: and none of these regulations go so far in the positive direction as those which regulate sanitary fittings in New York or provision for protection against fire in France. CHAPTER XXIV FOOD SUPPLIES AND CONSUMPTION Statistics of consumption Changes in 50 years : (a) Conditions governing our food supply ; (6) Variety ; (c) Standard of consumption Working-class budgets Certain staple foods Wheat Other cereals Meat Fish Poultry Dairy Produce Groceries Tea Coffee Sugar Cocoa Confectionery, etc. Fruit and vegetables W KITING about 1850 Porter had to point out: "There are no means provided by which the consumption of the prime necessaries of life in this country can be traced at different periods. It is only with respect to those few articles of native production which have been subjected to the payment of duties that any provision has ever been made for ascertaining their quantity ; and as the chief articles of food and clothing, when of native production, have never been directly taxed in England, we have always been ignorant in this respect regarding the quantities produced." Indeed, with regard to consumption in general, there was a complete lack of any statistical material. The compilation of any such returns was opposed by the same irrational prejudice which had been roused, at the close of the preceding century, by proposals for an enumeration of the people. Any estimate of national consumption was impossible, except in the case of dutiable articles ; and Porter had, beyond that, to content himself with giving family budgets for certain establishments that had come under his own notice. As he says, and as is clear, " the want of this information has been found greatly inconvenient, both by statesmen and by writers on subjects of social economy, the latter of whom have frequently had recourse to the expedient of computations founded on insufficient data, which have therefore given an unsatisfactory character to their writings." The issue of the Statistical Abstract in each year since 1840 renders available accurate information as to the food-stuffs im- ported into this country ; and a table can be given showing the amount of that imported food consumed per head of the population (Table I). It is, however, still the case that " there are no FOOD SUPPLIES AND CONSUMPTION 433 official statistics dealing with home production." Certain informa- tion can be drawn from the report of the Census of Production now being issued; but it is as yet far from complete either as to matter or method. Moreover, in spite of several inquiries recently undertaken, we do not yet possess the budgets for different classes of the population which are needful from the point of view of the social student. But in seeking to estimate the progress of the nation it is possible to formulate certain broad general con- clusions with regard to our food. TABLE I. Consumption of Imported Food per Head of . Population Principal Articles. 1-40. 1850. 1860. 1870. 1880. 1890. 1900. 1909. Bacon and Ham Ib. 0-01 1-41 1-98 15-89 13-55 19-50 14-06 Beef (salted and fresh) . , 4-7 11-67 15-49 Mutton (fresh) , 4-93 9-22 11-83 Butter 1 05 1-30 4-15 7-39 5-83 9-05 9-93 Cheese , 0-92 1-38 3-67 5-63 6-23 7-21 5-80 Cocoa , 0-08 0-11 0-20 0-30 0-54 0-92 1-19 Coffee , 1-08 MS 0-98 0-92 0-75 0-71 0-66 Eggs No. 3-63 3-84 13-90 21-58 32-91 49-18 46-95 Potatoes Ib. 0-01 5-48 2-80 3-49 5-73 23-98 10-37 Sugar (raw) ,, 15-20 24-79 41-40 53-98 44-99 85-53 85-77 ,, (refine! i 5-83 9-42 28-22 79-55 Tea 1-22 1-86 3-81 4-57 5-17 6-07 6-30 Wheat . 12- 1 7 81-76 122-90 289-48 179-70 186-22 242-93 1. Conditions of Food Supply. Porter's survey appeared at a time when the conditions governing our food supply were in process of transformation. England was rapidly establishing her export trade and tending more and more to divert her energies from the production of her own food, for which she was but moderately adapted, to the production of manufactured articles, for which she possessed great differential advantages. This is not the place for any consideration of the effects, whether immediate or remote, of the adoption of a Free Trade policy : but it must be noted as the factor determining the conditions on which the food supply of a small island with a rapidly-growing industrial population depends. A glance at the table of food imports shows that there is hardly a single article of common consumption for which we are not mainly dependent for supplies from abroad (Table II), supplies which now come from every portion of the habitable globe. '1. Variety. Connected with this is another notable fact, the immense increase in variety in our food. This is again testified by even the most condensed list of our various food imports. 28 434 THE PROGRESS OF THE NATION Tfl CO co m CO CO OS OS CO T 1 l^ CM in CO CD O -* CO OS *< rH O tv. CO CO OS >. CO Tf OS CO 05 CM t- * OS I-H rH OO os t^ CO MI rH CO OS t^ eo i-H 05 CO OS^ OS i-H CM o m i^. T* CM O t^- CO CO O CM CM os I-H eo co"eN"of O . ^* CO eo ; CO O CO CM ^ co" -^ OO CO m m Ttl CO CO US CO I-H CO t-~ CN OO CO MI OS rH CM CO t>. CN in CM CO O CO CO co os oo OS OS OS CM m o CO (N T(< CO CM m o rH OS <0 CO o o OS I-H SS Tjl rH CO CM t O OO CO I*- <* OO CN CO rH CM CO CM CM CO - os os m co m os CD~oT - cT CO OS I-H . 00 rH CO in" OO -* CM co"icT co" t^ CO t co" O 00 oo" - CM 00 i-H o in T* CO CO CO ... S ' ca IK> lll)() 16 6 7 1,855,000 ' 3,923,000 42-3 1,656,000 3,448,000 41-63 1!>00 496 9,012,000 18 3 5 4,128,000 8,163,000 J9-5 8,898,000 5,842,000 34-43 1905 565 9,664,000 17 2 1 5,038,000 8,932,000 35-4 3,811,000 7,336,000 . 38-50 1909 321 5,566,000 17 6 S) 6,141,000 10,293,000 33-5 4,762,000 7,839,000 32'93 1 i Practically all the cattle come from the United States, the only other country which sends live cattle being Canada. It is a signi- ficant feature of this table that the import of cattle has been very largely superseded by the import of fresh and frozen beef, which comes from Argentina, the change being a sign of the growing home demand in the United States itself. While prices of frozen meat have steadily fallen, the price of American cattle touched bottom five years ago, and has since been on the up-grade. It is highly satisfactory that the decline has occurred in those kinds of meat which are consumed by the poorer classes of the country. FOOD SUPPLIES AND CONSUMPTION TABLE X 441 Number of Oxen, Bulls, Cows, . ft7A and Calves imported. 1880. 1890. 1900. From Sweden ami Norway . . 4,746 11,693 10,015 Germany . . . . 53,644 26,889 Denmark .... 8,097 65,196 75,95S Holland 5,925 38,770 1 35,212 Portugal . . . . I 24,574 16,258 4,401 Spain ' 27,890 23,187 8,071 United States 156,490 384, 63i- 350,209 Argentina .... 653 38,562 Channel Islands . . 2,712 2,676 2,328 1,826 Canada .... not stated 47,977 121,312 104,839 ,, Other countries . . . 7,796 1,588 7 209 Total . 204,884 J89.724 642,596 495,645 TABLE XI Imports of Meat 1840. 1850. 1860. 1870. Lave oxen No. prohibited 66,462 104,569 202,172 ,, sheep ....,, 143,498 320,219 669,905 Bacon and hams . . . c\vt. 6,181 192,118 826,106 567,164 Beef (fresh, salted, and preserved) ., 29,779 117,384 262,194 215,748 Mutton ,, ,, ,, Pork 29,532 211,254 17:5,325 257,014 Ki-h 126,415 87,320 483,515 768,387 KMt 1880. 1890. 1900. 1909. Live oxen No. 389,724 490,333 810,483 sheet. , 941,121 382,833 8,131 n and hams . . . cwt. 5,334,648 5,000,016 7,443,908 5,754,492 Beef (fresh, salteil, and preserved) , 1,017,956 2,680,417 4,839,093 6,583,559 Mutton .. ,, 3,457,812 4,886,867 !'"rk 409,267 300,106 944,123 686,938 Fish , 1,843,434 ,, (fresh) .... 1,317,260 859,827 1,737,811 (salted, etc. ) D.787.1 ;: 866.984 1.310.399 If we turn to the figures showing our imports of salted and preserved meats we get another story (Table XII). In (ill these cases prices have risen very rapidly since 1905. Our imports of bacon come in about equal quantities from Denmark and the Unitnl States, while our imports of hams and preserved and salted meat come almost entirely from the United States. Thus the influence of rising prices in America can be traced in every one of those classes of meat which we get from that country. 442 THE PROGRESS OF THE NATION TABLB XII Bacon. Hams. Beef, Preserved and Salted. >> Year. 'c a! 1 QJ 3 Its -.3 3 Is* P.O * 1 ^ I 1 4S I P 1 in Cwt. 8. Cwt. 8. Cwt. 8. 1880 . . 5,335,000*1 10,986,000 41-2 1890 . . 5,000,000* i 9,847,000 39-5 275,000 382,000 27-9 1900 . . 5,641,000 i 11,774,000 41-74 1,803,000 4,222,000 46-84 711,000 1,714,000 48-25 1905 . . 5,499,000 12,775,000 46-46 1,318,000 3,118,00.) 47-31 741,000 I.w2,00n 53 -C 1909 . . 4,625,000 13,802,000 59-68 1,129,000 3,113,000 55-14 443,000 1,548,000 69-8 * Includes hams. Under these circumstances, it is, however, surprising that imports of preserved meat which include the tinned products of the notorious beef trust have not diminished more rapidly. But tinned meats are a speciality, and apparently high prices have less influence than a scare such as that created in 1906 by the publica- tion of Mr. Upton Sinclair's book, which gave a very gruesome picture of the methods of the Chicago packers. The effect of The Jungle on public opinion and taste may perhaps be seen in the following table of imports of preserved beef : Year. 1905 1906 1907 Cwt. 598,030 296,301 160,386 Year. 1908 1909 Cwt. 271,781 333,022 There are only four countries in the world which export beef and mutton on a large scale, namely, the United States, Argentina, New Zealand, and Australia. In each case at least 90 per cent, of their exports come to this country. The United States exported in 1 9 8 1,796,018 cwt. of fresh and frozen beef, of which 1,446,121 cwt. came to this country, while the Argentine Eepublic exported about three and a half million cwt. of chilled beef, and about one and a half million cwt. of frozen mutton, practically all of which came to England. New Zealand exported 2,120,303 cwt. of chilled meat, chiefly mutton, in 1908, and Australia 818,818 cwt. of frozen mutton and lamb, of which about two million cwt. and six hundred thousand cwt. respectively came to this country. So long as England con- tinues to hold a virtual monopoly of the world's surplus meat supply, and so long as other agricultural products, such as wheat, etc., do not dispute possession with cattle and sheep for the vast acres of Argen- tina and Australasia, so long will prices favour the British consumer. FOOD SUPPLIES AND CONSUMPTION 443 Fish. A comparative table (Table XI) showing the imports of fish is found on page 441. With regard to the fish landed on our own coasts, no early figures are available. In 1902,17,902,000 cwt. of fish were landed in this way : the amount imported was approximately 2,500,000 cwt. The gross output of the fish-curing industry was in 1908 estimated at 3,636,000. In recent years there has been a rapid development of steam trawlers, and Grimsby has become the largest fish market in the world. Dairy Produce. Our importation of dairy produce from 1840 downwards is shown in Table XIII. Our import of butter has increased more than twenty times between 18401909, and that of eggs in the same proportion ; while we take in ten times as much cheese as we did in 1840. TABLE XIIL Imported Dairy Produce 1840. 1850. 1860. 1870. Butter . . . cwt. Margarine . . . ,, L'l.et-sr Margarine Cheese . ,, Eggs . (No., thousands) 252,661 226,462 96,149 830,579 347,803 105,689 810,112 883,2 167,695 1,159,210 1,041,281 439,842 1880. 1890. 1900. 1909. Butter . . . cwt. Margarine . . . ,, Cheese . . . ,, Margarine Cheese . ,, Eggs . (No., thousands) 2,326,305 1,775,'997 747,409 2,027,717 2,144^074 1.234J949 3,378,516 920,412 2,705,878 12,132 2,025,849 4,062,812 868,292 2,390,090 1,706 2,125,252 According to an estimate submitted to the Commission on Food Supplies in time of War, we import about twice as many eggs as we produce at home. In 1902 the number produced in the United Kingdom was estimated at 1,241,500,000 (worth 4,574,583), while the number imported from the Colonies and abroad amounted to 2,271,661,560. We produce not quite half the butter which we use; and practically all our milk; but over 60 per cent of our cheese comes from abroad, mainly from the United States. The gross output of the firms engaged in the production of butter, cheese, and margarine in this country was estimated at 10,102,000 for 1908. 444 THE PROGRESS OF THE NATION TABLE XIV. Dairy Produce Period 1898-1902. Home Production. Imported. Total. Percentage of Imports to Total. Milk .... Cheese Butter. 620,000 gals. 1,366 cwt. 3,211 ,, 201 gals. 2,520 cwt. 3,638 620,201 gals. 3,886 cwt. 6,849 03 64-8 53-1 (From Royal Commission on Food Supplies, Cd. 2643.) With regard to poultry, it is estimated that there were, in 1865, 21,963,027 fowls on farms, etc., in the United Kingdom; in 1902, 29,136,312 or an increase of 7,173,285. Groceries. The consumption of all kinds of groceries has increased: and practically all the supply comes in from abroad. Nor are any very large stocks retained at any time. As a witness before the Commission on Food Supplies pointed out, " London is fed weekly." THE TEA TRADE Although tea may not be a necessary of life in the strict economic sense, it is so widely consumed that it can at any rate be considered one of the prime comforts of life for all classes in this country. Tea first made its appearance in England in the middle of the seventeenth century, but, of course, the price at that time was so high as to prohibit its consumption by any but the very wealthy. As Porter points out : " The history of the tea trade affords abundant proof of the effect produced on consumption by alterations in the rate of duties. In 1784 the duty was Is. per pound, and 67 per cent, on the value, and the quantity consumed was no more than 4,948,983 Ib. In the following year the rate was reduced to 12| per cent, on the value, and the consumption rose in that and the two following years as under : 1785 1786 1787 10,856,578 Ib. 12,359,380 ,, 17,047,054 ,, Similar effects had followed reductions in the duty at former periods. In 1746 a reduction equal to about 2s. per pound caused an increase in the quantity to more than three times that on which duty had been paid in 1745. In 1768 an abatement of Is. per FOOD SUPPLIES AN!) CONSUMPTION 445 l>ound on black tea caused the consumption to increase immediately 80 per cent., and when in 1773 the shilling duty was reimposed, the consumption fell back to its former scala Till 1838, the trade was held as a monopoly in the hands of the East India Company, and the consumption was checked not only by the high duty and the enhancement of the price by reason of the monopoly, but also by the mode of taking the duty according to the sale price, by which means the monopoly was made to work the twofold injury of increasing l>oth the price and the rate of duty. On the opening of the trade in 1833 it was justly anticipated that the market price of tea would fall, and consequently that the produce of an ad 'valorem duty would fall likewise, for which reason the ad valorem rate was changed for such a fixed duty as, calculating from the consumption of previous years, would yield to the Exchequer an amount of revenue equal to that received in those years." The following table shows the rapid increase in consumption subsequent to 1833 : TABLE XV Year. Number of Pounds consumed. Rate of Duty. Population of I'nitad Kingdom. Average Consumption. Contribution* per Head to Revenue. 11). Ib. OX. s. d. 1801 . 1 30 per cent under 2*. 6dL\ per Ib. , and 50 per cent. !- ^ above J 16,338,102 1 3-75 1 9i 1811 . -' '."'-' '."' 1 98 per cent on value 18,647,720 1 1-10 4 >} 1821 . 22,892,913 (96 per cent under 2s. per\ Ib., and 100 per cent > I above / 21,193,468 1 0-52 | ,; 1831 . 29,97,lol Saiin- as l--_'l 24,029,702 4 3-93 2 9 1841 . 96,676,667 2a. Id. per Ib. 26,711,694 1 6-96 2 11 The consumption of tea, as measured by the statistics showing the amount of imports retained for home consumption, has steadily and rapidly increased since 1840. In 1850 we retained over 50 million Ib. ; in 1890 over 190 millions; and in 1909 over 280 millions. (Cf. Table II.) The duty which in 1840 was 2s. a Ib., was according to the Budget of 1908-9 fixed at 5d. The yield to the customs by the tea duty has been as follows : TAIJI.K XVI 1840 1850 1860 1870 5,47! 5,404,874 2,643,296 1880 1890 nog 1910 c -.338 4,490,506 6,264,516 5,930,008 THE PROGRESS OF THE NATION This steady increase in consumption is not confined to this country, though the Anglo-Saxons consume more than any other race for which statistics are available. We stand second in the list with an average consumption of Q '03 Ib. per head ; Australasia coming first with 7'1 and Canada third with 4-0 Ib. China tea the first tea to be introduced into England has been grown and drunk from time immemorial in China. The Japanese variety is also of ancient date. The Indian and Ceylon teas are of comparatively recent origin, and were first cultivated in the 'forties of the last century. Although the tea plant is believed to be indigenous to Assam and the Shan States, and can be found growing wild in some of the Indian jungles, no attempt was made to cultivate it, and the early pioneers of the Indian and Ceylon tea estates actually imported tea plants from China. These alien plants did not flourish at first, and it was not until they had crossed themselves with the wild tea plants growing in the jungles near by that satisfactory results were obtained. The Indian tea plant, as we know it, is a hybrid i.e. a cross between the culti- vated China and the wild Indian variety. The new Indian and Ceylon teas have been steadily sup- planting the old China teas in the public taste, as the following figures, which have been very kindly supplied by Messrs. Appleton, Machin, & Smiles, indicate : TABLE XVII Amount Indian. China, etc. Ceylon. Total. per Head of Popu- lation. Ib. Ib. Ib. Ib. Ib. 1866 4,584,000 97,681,000 102,265,000 3-42 1876 25,740,000 123,364,000 149,104,000 4-49 1886 68,420,000 104,226,000 * 6,245, 000 178,891,000 4-92 1896 122,941,000 24,549,936 80,294,475 227,785,509 573 1906 159,210,992 18,947,478 91.941,425 270,099,895 6-18 1907 162,491,142 24,421,400 87,077,551 273,990,093 6-20 1908 157,441,706 25,013,028 92,960,405 275,415,319 6-18 1909 160,147,000 28,269,000 95,134,000 283,550,000 6'30 * Ceylon tea is included with the Indian tea prior to 1886. A rise in the price of tea seems not improbable, in view of the fact that the very high prices to be obtained for rubber FOOD SUPPLIES AND CONSUMPTION 447 arc likely to cause rubber to be a more profitable product than tea in Ceylon. COFFEE Although coffee-houses flourished in London long before tea- rooms, yet after tea really got hold of the public taste it rapidly outstripped coffee as a popular drink. Coffee, unlike tea, is not a native of the Far East ; it is supposed to have come originally from Kaffa, in Abyssinia. Although it was introduced into Arabia at the beginning of the fifteenth century, it did not find its way across Europe to England until a century later. The first coffee-house in London was opened in the days of Cromwell, in 1652. These establishments rapidly grew in the public favour, and in Charles n's time as many as three thousand were supposed to exist in London alone. It was in one of these coffee-houses, situated in Lombard Street, and owned by one Edward Lloyd, that the present Corporation of Lloyd's had its origin. The London shipping merchants used to meet there to discuss business matters, and out of their informal discussions the vast marine insurance organization grew up. The Dutch sent coffee plants to Java in 1650, and in 1723 coffee was first planted in Martinique, from whence it gradually spread to the mainland of South America. South America, and Brazil in particular, now produces by far the greater part of the world's coffee supply, and true Mocha coffee is very hard to obtain. Coffee has probably been subject to more adulteration than either tea or cocoa. In George i's time an Act was passed to prevent " divers evil disposed persons who at the time of, or soon after, the roasting of coffee made use of water, grease, butter, or such-like materials whereby the same is rendered unwholesome." Since that time there have been a whole series of Acts dealing with the adulteration of coffee. Among the various substances used for the purpose, chicory is the best known and the most respectable, but cereals, sawdust, bark, cacao husks, acorns, figs, lupine, peas, etc., have all played their part, and even the lately discovered soya bean has been adapted. In England, coilee is comparatively little drunk ; less now than at the beginning of the century. Thus in IS.". 1 the average consumption per JUNK 1 was 1 Ib. 5'40 ox.; in 1000 it was only '71 Ib. Compare this with MK* average con- sumption in Holland 18'42 ll>. JMT In-ad; or the United States, 11 '07 Ib. It does not enter into the English working-man's 448 THE PROGRESS OF THE NATION budget at all. As Porter points out, no commodity of general use has been subjected to such varying duties as coffee. For instance, as the table shows, in 1801 there was a duty of Is. 6d. per Ib. ; in 1841 that had been reduced to 6d. ; and at the present time coffee is taxed at 14s. per cwt. TABLE XVIII Rate of Duty Sum Year. Number of per Pound Pounds on British Consumed. Plantation Population of Great Britain. Average Consumption. Contributed per Head to the Coffee. Revenue. Ib. s. d. Ib. oz. d. 1801 750,861 1 6 10,942,646 1-09 U 1811 6,390,122 7 12,596,803 8-12 4 1821 7,327,283 1 14,391,631 8-01 6 1831 21,842,264 6 16,262,301 1 5-49 8 1841 27,298,322 6 18,532,335 1 7-55 10i ' It appears from the above statement, that when the duty amounted to Is. 6d. per Ib., the use of coffee was confined altogether to the rich. The quantity used throughout the kingdom scarcely exceeded, on the average, 1 oz. for each inhabitant in the year, and the revenue derived was altogether insignificant. In the interval between 1801 and 1811 the rate of duty was reduced from Is. 6d. to 7d. per Ib., whereupon the consumption rose 750 per cent., and the revenue derived was increased more than three-fold. During the next decennary period the duty was again advanced to Is. per Ib., by which means the progressive increase was checked so as to render the consumption actually less in 1821, taking the increased population into account, than it was in 1811. In 1825 the duty was again reduced to one-half the previous rate, and we see that in 1831 the consumption was consequently increased 14 J millions of Ibs., or nearly 200 per cent., the average consumption of each individual being raised from 8 to 21 oz. per annum, while the revenue was increased by 100,000. The yield to the customs, which was 921,551 in 1840, was in 1870 only 347,755 ; in 1909-1910 it was 530,457. Although 819,558 cwt. were imported in 1909, only 264,972 cwt. were retained for home consumption. And this figure represents the average consumption of the past ten years. The principal sources of our supply are as follow : FOOD SUPPLIES AND CONSUMPTION TABLE XIX. Home Consumption of Coffee 449 British MI Indian. Brazilian. Colombian. Costa Rica, Guatemala, etc. Other Sorts. Total. 1908 . 1909 . Tons. 2,579 2,618 Tons. 2,536 2,418 foM 1,275 1,006 Tons. 7,720 7,874 Tons. 1,353 1,233 Tons. 15,468 15,149 From these figures it will be seen that the countries which send the most coffee here are Costa Rica and Guatemala. Of the 7874 tons that came from Costa Rica and Guatemala in 1909, 5525 tons came from the first and 2349 from the second. Costa Rican colfee is of a very fine quality, and correspondingly expensive. Eugland is Costa Rica's best customer with regard to coffee iii fact, over half the Costa Rican coffee crop comes to this country. That is to say, such coffee as is drunk in England is of very good quality. SUGAR Any tiling like a full treatment of the many political and other controversies that have, at various times, raged over the commodity sugar would occupy a whole chapter. The customs policy of the country with regard to it has been subject to marked fluctuations. In 1801 there was a duty of 20s. per cwt. ; in 1811 this was raised to 27s.; in 1874 all duty was repealed. A war duty was imposed in 1900; in 1908-1909 this was reduced to a rate of 1 Od. per cwt. or over, according to the degree of polarization ; the same being imposed on molasses and glucose in its liquid form. On solid glucose the duty was Is. 2d. per cwt. Porter held that " while it is necessary to raise any consider- able revenue, and so long as it shall be thought advisable to do so by means of indirect taxation, it would be difficult to point out any uitk-le better fitted for the purpose than sugar. Without being me of the absolute necessaries of life, long habit has in this country led almost every class to the daily use of it, so that there is no people in Europe by whom it is consumed to anything like the same extent. It is besides, from its bulk, in proportion to its value, not likely to be clandestinely imported. If it were attempted to subject it to such a rate of duty as would convert it into an object of temptation to the smuggler, the legitimate consumption would fall off to such a degree as would render the attempt on the part of the government altogether abortive. The action of the smuggler, 29 450 THE PROGRESS OF THE NATION wiiich, with regard to many articles such as tobacco and spirits may be considered to form the natural limit to taxation, affords therefore no criterion in the case of sugar, but we may find in the foregoing computations a sufficiently significant indication that the rate of duty, although now somewhat lower than it was during the war, is still too high ; and that by making a great reduction in that rate we may, under ordinary circumstances, so increase the con- sumption as not merely to give an impulse to trade, but also to increase the revenue. Confining the inquiry to Great Britain, it appears that if we take population as an element in the com- putation, the revenue did not gain by the increased rates imposed in 1805":- TABLE XX Year. Population. Net Revenue. Rate of Duty. Tax per Head. s. d. 1801 10,942,646 2,782,232 20s. per cwt. 5 1 1811 12,596,803 3,339,218 27s. 5 3i 1821 14,391,631 3,660,567 27s. 5 1$ 1831 16,539,318 4,219,049 24s. 5 li 1841 18,532,335 4,686,241 24s. and 5 per cent. 5 Of In 1909 the yield to the customs from a lOd. duty was 2,960,202. Importations which had amounted to 4 million cwt. of raw sugar in 1840, reached in that year a total of over 16 millions raw, 3 millions molasses, and nearly 19 millions refined sugar. TABLE XXI. Food Imports : Groceries 1840. 1850. 1860. 1870. Cocoa. . . lb. Coffee . . cw *' Sugar (raw). . ,, (molasses) . ,, (refined and caiidy),, Tea . . . lb. 3,499,746 70,250,766 4,035,845 457,657 28,021,882 4,478,252 50,803,152 6,291,535 904,950 50,512,384 9,009,860 82,767,746 8,817,277 345,011 88,946,532 14,793,950 1,606,267 12,798.631 795,111 1,710,176 141,020,767 Confectionery . . cwt. 1880. 1890. 1900. 1909. 23,511,101 30,585,633 60 508 284 88 704 898 Coffee . . . cwt. Sugar (raw). . . ,, ,, (molasses) . . ,, ,, (refined and candy),, Tea .... U>. 1,546,451 17,001,613 211,541 3,036,074 206,971,570 864,454 15,717,476 1,563,687 9,976,665 223,494,511 759,656 13,234,934 1,347,931 19,248,187 300,230,857 829,558 16,302,696 3,089,244 18,887,438 341 658,157 Confectioner)' . . cwt. 206,590 99,427 172,294 671,424 FOOD SUPPLIES AND CONSUMPTION 451 Table XXII shows the gross output of factories handling sugar in this country, amounting in 1908 to 12,315,000. TABLK XXII. Sugar and Glvcote Amount. United Kingdom. Value. United Kingdom. Sugar (refined) Over 98' polarization Not over 98 polarization Cwt. 8,794,000 2,506,000 7,256,000 1,739,000 11,300,000 8,995,000 Molaas-8 (iuvi-rt su^ar, etc.) Glucose .... Caramel .... Sugar (ground) . Imported syrup (refined) . Waste and by-products 3,310,000 1,229,000 1,927,000 687,000 40,000 273,000 55,000 65,000 273,000 12,315,000 The larger proportion of the imported sugar is beet sugar. The 170,000 cwt. of cane sugar imported annually is almost exclusively used in brewing, and represents but a small fraction of the total imports. It was indeed only with the introduction of beet sugar TAIH.K XXIII (Census of Production, 1908) Cocoa, Coi. . and Fniit Amount. I'uit.-d Kingdom. Value. United Kingdom. Ocoa or chocolate, ground, prepared ami Cwt manufactured ...... .000 2,737,000 Cocoa hus- ..... 49,000 It, 000 Cocoa butter 88,000 304,000 SiiRiir '-"II !" :iii.-ry including chocolate) Marmalade, jams, and fruit jollies . 3,833,000 2,712,000 8,198,000 3,819,000 Fruit, ciiniii'd or Uittlcd ..... 85,000 169,000 Other preserved fruit ..... 101,000 309,000 Bread, M.vuits. p.i.-ti . ... 114,000 linnlxiu.s and crark.-rs ..... 56,000 IVkles .-Hid v.- k 'ftahlfs, in salt or vinegar. 58,000 Grocers' sundries ...... '00 Other products 328,000 Total value 452 THE PROGRESS OF THE NATION I 1C O Ci i o I-H (N oo eo i-- I-H t r> o +> :-g g a 1882 .... 8,530,819 8,530,819 1891 .... 9,390,141t 9,390,141 1901 .... 23,190 13,718,438 13,741,628 1911 .... 23,088 12,767,217 12,790,305 * Not specified separately earlier than 1901. t Exclusive of additional duties collected for local authorities, which, however, were very small in amount. The following figures, which are extracted from Mr. Baker's book, show the number of licences taken out by brewers in the United Kingdom between 1899 and 1903 : Year. Brewers' for sale. Brewers' not for sale. Total. 1899 6,888 14,009 20,897 1900 6,447 12,734 19,181 1901 6,110 12,410 18,520 1902 5,898 11,872 17,770 1903 5,692 11,752 17,444 BEER, WINE, SPIRITS, AND TOBACCO 459 The brewing trade has met with varying fortune during the last thirty years. The height of its prosperity was during the years 1 s 1)8-99, when the price of some brewery securities touched fabulous heights. The boom, however, was largely fictitious, being based on absurd over-valuations of the monopoly given by the State in the form <>f licences. This monopoly enabled the "tied house" system to be developed. Many large breweries were converted into Joint Stock Companies whose stock proved to have been heavily " watered," aim when the lean years came and the English drink bill began to decline in consequence of war taxation, the brewing trade fell upon evil days. The ordinary and preference shares of nearly all the breweries which had speculated in tied houses collapsed, and thou- sands were ruined. Many even of the debenture holders suffered heavily. Nevertheless the quality of British beer and stout has been maintained by Bass, Guinness, and other leading firms. The extent of our export trade in beer and ale during the last fifty years is shown in the following table : Barrels. 1860 .... 534,827 1,868,144 1870 .... 521,199 1,881,673 1880 .... 412,192 1,733,505 1890 .... 508,221 1,874,886 1900 .... 510,843 1,760,552 1910 .... 590,346 1,798,185 It will lie seen that the quantity exported has remained fairly constant. A large and important trade that is subsidiary to brewing is the malt trade. The maltster supplies the brewer with one of tin- most important of his raw materials. Malt, which is made from barley, has long been used for brewing in this country, but the consumption fell off materially during the end of the eighteenth and the beginning of the nineteenth centuries, when compared with the numbers of the people ; but it would not be correct to attribute this circumstance wholly to the effect of taxation, although there can be no doubt that the consumption was materially checked by the duty imposed. The introduction of tea and coffee into extensive use throughout the kingdom must necessarily have interfered with the consumption of beer, and the same effect must have followed the increased use of spirits, only a small proportion of which is distilled from malted grain. The consumption of malt at various periods duriiiL,' the first half of the nineteenth century in the I'nited Kingdom was as follows : 460 THE PROGRESS OF THE NATION Year. 1801 1811 1821 1831 1838 1840 1841 Number of Bushels consumed. Rate of Duty per Bushel. Population. Average Consump- tion. Contribution per head to Revenue. Bushels. s. d. Bushels. B. (1. 19,643,345 16,338,101 1-20 i n 29,676,827 18,547,720 1-60 6 10 29,393,411 21,193,458 1-38 4 11J 39,252,269 27 24,029,702 1-63 4 2 40,505,566 2 7 25,907,096 1-56 4 42,456,862 2 7 26,443,495 1-60 4 1* 36,164,285 2 7 26,711,694 1-35 3 5f In the eighteenth century the consumption of rnalt in England was greater, in proportion to the population, than at any subsequent time. The average consumption of each individual in each decennary year, from 1740 to 1790, was as follows: 1740 1750 1760 1770 1780 1790 Bushels. 378 4-85 4-29 3-38 3-94 2-57 Rate of Duty, s. d. 6if per bushel. A great increase of consumption during the fifteen years from 1835 to 1850 was occasioned by the repeal of the duty on beer, which, while it existed, was, in fact, an additional duty on malt. The number of bushels used, and the proportion when compared with the population from 1830 to 1845, were as follow: Consumption Bushels used. per Head. Bushels. 1830 . . . 32,962,454 1-37 1835 .... 42,892,054 170 1840 .... 42,456,807 T60 1845 .... 36,546,088 1-30 The quantity of malt, sugar, and other important ingredients used in brewing since 1880 has been as under: Sugar (including Rice, Rice Grits, Years. Malt and Corn. equivalents of Syrups, Glucose, Flaked Rice, Maize Grits, Hops. Hop Sub- stitutes. and Saccharine). Flaked Maize, etc. Bushels. cwt. cwt. Ib. Ib. 1880-1881 . 1,125,342 ... 1890-1891 . 55,698,523 2,025,659 1900-1901 . 56,792,028 2,859,091 1,325,754 1909-1910 . 50,068,856 2,910,076 1,293,738 61,739,796 4,053 HKF.K. WINK. sriRHX AM) TOBACCO 461 WINE Wine. ..wing chiefly to its costliness in this country caused by the heavy duties imposed, has never been consumed by the working classes. The nobility and gentry drank very heavily in the eighteenth and the early part of the nineteenth century, port and claret being their favourite wines. But after the first few decades of the nineteenth century the quantity of wine drunk began to decrease steadily. The quantity of all descriptions of wine used in the United Kingdom at different periods from 1801 to 1841 was as follows, distinguishing Great Britain from Ireland : Great Britain. Ireland. Y.ar. Callous. Average Consump- tion. Duty per Head. Gallons. Average Consump- tion. Duty ier Head. gals. s. d. gals. s. d. 1801 5,838,592 0-533 3 7f 1,038,118 0-207 9 1811 4,884,062 0-387 3 5| 745,660 0-125 10; 1821 4,180,474 0-290 2 6 520,584 0-076 7 1831 5,454,737 0-335 1 7* 757,527 0-096 5 1838 6,504,038 0-364 1 9} 696,838 0-086 Q ;. 1841 5,582,385 0-301 1 7} 602,575 0-073 4| The average consumption, and the amount of duty contributed pur head, in the whole kingdom, in the same years, were 1 Average anip- tion. Duty P.T Year. Head. i Average Consump- tion. Duty per Head. gals. 8. d. *. s. d. 1801 . 0-431 2 8} ; 1831 . 0-366 1 ."1 1811 . 0-304 2 74 ' 1841 . . . 0-267 1 4i 1821 . 0-221 1 10} A i;il>le <>n the next page shows the rates of duty per imperial gallon between I SOI ami 1841. As stated before, the consumption of wine in tho eighteenth century \vas nnu-h greater in proportion t<- tin- population than in the nineteenth. In 1700 the average annual consumption of each individual in England and Wales amounted to a very small fraction 462 THE PROGRESS OF THE NATION Year. Great Britain. Ireland. French. Other Kinds. French. Other Kinds. s. d. s. d. s. d. s. d. 1801 . 1811 . 1821 . 1831 . 10 2 13 8* 13 9 5 6 6 9J 9 ij 9 ll 5 6 6 li 10 6 13 9 5 6 3 11 7 OJ 9 1J 5 6 1841 . 5 6 56 56 5 6 below an imperial gallon, while in the middle of the nineteenth century it scarcely exceeded one-fourth of that quantity. It appears from official accounts printed by the French govern- ment in the early part of the nineteenth century, that the quantity of wine made in France in years of ordinary or average production amounted to 924,000,000 imperial gallons. Of this quantity 24,530,000 gallons were exported to foreign countries, only a very small proportion of which was consumed in this kingdom. In former times the taste of Englishmen led them to a far greater proportionate use of French wine, but by the ill-judged Methuen Treaty, concluded in 1703, whereby we bound ourselves to impose 50 per cent, higher duties on the wine of France than on that of Portugal, a great change in this respect was gradually brought about, so that the consumption of French wine was in time reduced to a quantity altogether insignificant. The Methuen Treaty ceased to operate in 1831, and thenceforward the duty charged upon wines the growth of all foreign countries was equalized, and the propor- tionate consumption of French wine increased in consequence ; and further encouragement was given by the Cobden Treaty of 1860, which reduced the duties on .light wines. From that time cheap claret, Moselle and hock came more and more into fashion, port and sherry declining in favour. The quantity of French wine of all qualities sold for consump- tion in the United Kingdom from 1815 to 1845, and the rates of duty chargeable, were as follow : Year. Gallons. Per Gallon. Year. Gallons, i Per Gallon. j 1815 . 1825 . 200,918 525,579 H. d. 13 8* 1835 . 1845 . i s. d. 271,661 5 6 469,001 5 6 I ' BEER, WINE, SPIRITS, AND TOBACCO 463 The increased rate of consumption in the later years of the series amounted to no more than one gallon per annum among sixty people. The following figures show the imports of wine into the United Kingdom every ten years from 1850 to 1910 : Wine Quantity Year. Imports. Value. Average Im- port Value per Gallon. retained for Home Con- sumption per Head of Population. gals. s. d. gals. 1850 . 9,304,312 ... 1860 . 12,475,001 4,200,929 6 5 1870 . 17,774,782 4,817,294 5 5 .. 1880 . 17,385,496 ! 6,465,944 7 3 45 . 16,194,107 5,886,867 7 3 40 1900 . 16,803,829 5,192,909 6 2 38 1910 . 13,734,640 4,248,814 6 2 28 It will be seen that our imports of wine since 1870 have de- clined actually, as well as relatively. The decrease in consumption that was noticeable for the first half of the nineteenth century was continued during the second, after the temporary stimulus given by the French Treaty. England has also a fairly large re-export trade in wine. The figures are as under. The quantity of wine retained for home consumption is shown as well : Quantity retained for Re-Export*. Home Consumption. Gallons. Gallons. . 2,275,306 6,718,585 . 1,682,524 15,079,854 . 1,451,400 750,828 . 1,308,035 924,175 1860. 1870. 1880 . 1890 . 1900 . 1910 . 994,033 797,809 15,816,097 12,671,952 In 1009, out of a total import of L 2,334,473 gftUoOB, 1 I.:'..'!:5,742 gallons came from foreign countries, while the remaining 1,000,731 gallons came from the British Empire. Our imports of wine from France were highest and amounted to 3,647,0."7 gallons; but the iish imports came very close and amounted to 3,252,222 gallons. Portugal sent us 2,978,284 Dillons; (let-many, 818,608 gallons; :i Australia, 4 ( . '0,, S US gallons: and Victoria, gallons. In 1909, 1,251,715 gallons of sparkling wines in bottles were im- 464 THE PROGRESS OF THE NATION ported, and of this total 1,037,025 gallons were champagne, the remainder being made up of 98,769 gallons of Saumur, 11,676 gallons Burgundy, 24,385 gallons of hock, 66,617 gallons of Moselle, and 13,243 gallons of other sorts. The customs duty on wine produces less revenue now than in 1850, despite an enormous in- crease in wealth and population. Year. 1850 1860 1870 1880 1,767,516 1,634,287 1,476,404 1,391,212 Year. 1890 1900 1910 1,302,160 1,488,453 1,235,876 SPIRITS The worst evils and the worst consequences of intemperance lunacy, crime, and pauperism spring mainly from spirit drink- ing, and indeed the "free trade legislation" of 1830 favouring beer was partly designed in order to counteract the growth of spirit drinking. The growing taste for Irish and still more for Scotch whisky is partly responsible, no doubt, for the decline which we have noticed in the consumption of wine and beer. But the extra tax on spirits imposed by the 1909 Budget had a counteracting effect. Gin is less popular than formerly, when the gin palaces of East London were so notorious. The best brandy and rum have always been imported into this country, the former from France and the latter from the British West Indies and British Guiana. The following table from Porter's Progress of the Nation shows the consumption of spirits at various years in the first half of the nineteenth century: Year. Number of Gallons. Rate of Duty per Gallon. Population. Average Con- sumption. Contribution per Head to Revenue. gals. s. d. gals. s. d. 1802 9,338,036 16,560,864 0-56 2 3 1812 9,213,795 18,812,294 0-49 3 9J United Kingdom 1821 1831 1838 9,822,573 21,845,408 26,486,543 21,193,458 24,029,702 25,907,096 0-46 0-90 1-02 2 11J 4 3i 4 2} 1840 21,859,337 26,443,495 0-82 3 Hi 1841 20,642,333 26,711,694 0-77 3 10i Porter, writing on the consumption of spirits in Ireland early in the nineteenth century, refers the falling off in the con- BEER, WINE, SPIRITS, AND TOBACCO 465 sumption of spirits in Ireland in the years 1840 and 1841 to one of the most remarkable events of his day. " It resulted entirely from the efforts of one man," the Rev. Theobald Mathew, a Catholic clergyman, who availed himself of his power of in- fluencing his fellow -men to produce a sudden change in the habits of vast numbers, reclaiming them for a time from the vice of drunkenness and its accompanying evils to an extent which only the clearest evidence could have induced us to think possible. " Father Mathew, to use the name by which he is generally known, aware of the command over themselves which many of his country- men have occasionally exhibited in keeping their vows to abstain for some limited time from the use of intoxicating liquors, led vast numbers of them to pledge themselves so to abstain, not indeed for all future time, but until they should formally signify to him their intention of recurring to the use of whisky." The extent of his influence was shown by the following figures, giving the quantity of spirits distilled in Ireland, and the revenue collected thereon, in of the five years from 1837 to 1841 : Year. Gallons. Duty. 1837 11,235,635 1,310,824 1838 12,296,342 1,434,573 1839 10,815,709 1,261,832 1840 7,401,051 936,126 1841 6,485,443 864,726 " The consumption of colonial and foreign spirits in Scotland and Ireland," continues Porter, " has at all times been small in comparison with the use of those articles in England." By 1845 home-made spirits had almost wholly taken the place of rum and brandy in Scotland ami Ireland. Of 2,277,970 gallons of rum and 1,186,104 gallons of foreign spirits on which consumption duty was paid in 1841, there were 2,217,073 gallons of rum and 1,1 L'7>' H u'-illons of brandy and Geneva used in England. The diminished consumption of foreign spirits observable in 1812 was occasioned by the war at that time carried on with all the countries of Europe, which for some time wholly shut out from our ports the produce of France and Holland. When trade was resumed, it was kept down by heavy duties protecting home- made spirits. In 1SU-J, with a duty of lls. 4$d. per imperial gallon, the average consumption of each person in England some- 30 466 THE PROGRESS OF THE NATION what exceeded one-fifth of a gallon; while in 1841, with a duty of 22s. lOd. per gallon, the average consumption was scarcely more than one-third of that quantity. The evil, said Porter, was " partially counteracted through the agency of contraband traders," but this temptation to smuggling was diminished in 1846, when the duty on foreign spirits was reduced from 22s. lOd. to 15s. per gallon. The revenue derived from the consumption of foreign spirits amounted in 1800 to 1,382,718, when the rate of duty was lls. Id. per imperial gallon. In 1841, with that rate advanced to 22s. lOd. per gallon, the revenue amounted to no more than 1,354,079 ; the sum which it should have yielded, according to the increased rate and the additional population, was 3,840,279, being 2,465,767 or 179 per cent, beyond the amount really collected. The effect of the reduction in 1846 was quickly felt. From 1,073,778 gallons of foreign spirits in 1845 the consump- tion rose to 2,214,275 in 1849; and the revenue grew from 1,225,869 to 1,659,659. The quantities of rum and foreign spirits imported in ten-yearly periods between 1802 and 1841 was as under: Bum Year. [ Gallons. Rate of Average Contribution Duty per ! Population. Con- per Head to Gallon. | sumption. the Revenue. ft. d. ; gals. s. d. / 1802 3,310,065 ... 16,560,864 0'20 1 8J United I Kingdom | 1812 1821 1831 3,775,169 2,324,315 3,624,597 ' 18,812,294 0-20 21,193,458 O'll i 24,029,702 0'15 2 8 1 6 1 4 I 1841 2,277,970 ! 26,711,694 0'09 9 Foreign Spirits Rate of Average Contribution Year. Gallons. Duty per ; Gallon. Consumption per Head. per Head to the Revenue. s. d. gals. s. d. f 1802 2,431,577 ... 0-150 1 8i United Kingdom j 1812 1821 1831 195,693 ... 0-010 1,013,400 ... 0-049 1,268,198 22 6 0'050 3J llf i 14 I 1841 1,186,104 22 10 0-044 1 i 1 BEER, WINE, SPIRITS, AND TOBACCO 467 The records of the quantity of .spirits manufactured in this country have only been kept since 1880. The figures are as under : Spirits (British) Year ended 31*t December. Quantity Made. Quantity Exported. Quantity retained for Home Consumption. Quantity of British Spirits retained in Bond at the end of the Year. Potable.* Methylated. 1880 . 1890 . 1900 . 1910 . Proof gals. 43,508,180 57,228,031 40,974,601 Proof gals. 2,718,688 3,922,628 6,219,782 10,323,638 Proof gals. 29,04 Proof gals. 7,303 Proof gals. 86,318,857 158,858,410 149,524,683 29,410,431 37,125,241 24,027,082 2,118,708 5,028,738 6,594,307 * Includes the quantities shipped to foreign countries as merchandise as well aa those taken for ships' stores. As in the case of beer the quantity of spirits made during the last ten years has decreased. The reason for this decrease is the same in both cases, namely, the more temperate habits of the English nation during the present century which have been encouraged by the increased duties, medical advice, and the im- provement of other beverages. The same phenomenon is observ- able in the quantity of imported spirits retained for consumption in this country, as the following figures indicate : Spirits (Potable). Imported and Retained for Home Consumption Year. Rum. Brandy. Other Imported Total. Average per Head of Spirits. Population. gals. gals. gals. gals. gals. 1860 . 'S.801 1,461,552 331,570 5,521,923 1870 . 3,851,149 3,522,439 1,065,798 8,489,884 0'27 1880 . 4,636,662 3,245,291 644,059 8,526,012 0-25 1890 . 4,536,666 2,640,164 1,787,376 8,964,206 0-J4 1900 . 4,460,698 , 2,620.- 1,682,852 8,763,810 0-21 1908 . 2,806,692 1,456,659 955,627 5,218,978 0-12 There is a large export and re-export trade in from this country. The principal article exported being whisky. 468 THE PROGRESS OF THE NATION Our exports in ten-yearly periods from 1860 to 1910 were as under : Year. Exports. Re-exports. 1860 1870 1880 1890 1900 Proof gals. 2,058,269 1,457,265 2,060,193 3,658,658 5,721,434 Proof gals. 4,549,139 3,470,987 3,079,968 1,833,225 1,263,441 1910 9,799,753 1,202,444 While our export trade in spirits has increased, it is noticeable that our re-export trade has diminished rapidly. The amount of revenue derived from the spirit duty during the past fifty years has been as under : Year. Customs. Excise. Total. I860 2,523,654 9,778,960 12,302,614 1870 4,191,400 10,969,189 15,160,589 1880 4,682,927 13,631,785 18,314,612 1890 4,681,225 13,860,002 18,541,227 1900 4,987,787 20,124,003 25,111,790 1910 4,298,484 18,751,206 23,049,690 The rapid increase in the yield of the excise revenue, while the customs revenue has decreased slightly, speaks well for the efficiency of the British spirit industry. TOBACCO Tobacco is now so generally consumed, and the habit of smok- ing so firmly ingrained, that it is difficult to imagine that only about three and a half centuries ago Europeans were ignorant of its existence. As is well known, tobacco is an American plant, and tradition links the name of Sir Walter Ealeigh with its discovery. As is often the case, tradition is not strictly accurate. To Sir Francis Drake, and not Sir Walter Raleigh, probably, belongs the honour of its introduction in 1585 from Virginia into England. Hernandez de Toledo had brought it to Spain and Portugal a quarter of a century earlier, and it was not long before the new habit of smoking spread over most of Europe and into parts of Asia as well. HI1 R, WINE, SPIRITS, AND TOBACCO 469 In spite of royal and other attempts to discourage smoking notable among which is James i's famous "counterblast against tobacco" MiiLrlisli rapidly acquired the habit, and now, although not such great smokers as many other nations, consume some 90 million Ib. annually. Although tobacco is American in its origin, and the United States is still by far the largest tobacco grower, the plant is successfully cultivated in other countries but not in the United Kingdom, though some experiments have been made in Ireland. The following figures, which are averages for the years 1900 to 190.S, indicate the quantities and value of the tobacco produced by the chief tobacco-growing countries : Production of Tobacco cwt. United States . 11,964,000 7,312,000 India . . 5,690,000" 5,000,000 Cuba . 3,568,000 491,000 Russia . . 3,500,000* 1,611,000 Dutch East ln.ii. . 1,032,000 3,450,000 Germany . 1,902,000 688,000 Brazil . 1,248,000 670,000 Japan . 900,000 722,000 Hungary 817,000 1,053,000 Turkey 750,000 383,000 France 609,000 343,000 Philippines . 540,000 334,000 * Doubtful estimates. Tin-so figures show very clearly from which countries the higher grades of tobacco come. For instance, the 7 million odd cwt. grown in the United States were worth about 12 million pounds, while the five hundred thousand cwt. grown in Cuba were worth three and a half million pounds ; for it is Cuba, of course, that supplies the rich men of the world with their cigars. It is not until the nineteenth century, however, that any statistics are available as to the consumption of tobacco. The i|uantity of tobacco upon which consumption duty was paid at the middle of the nineteenth century was considerably less, taking the kingdom throughout, and making allowance for the increased population, than at the beginning of that century. This was clearly attributable to the increase made in the rate of duty. The falling ott' in the consumption was principally experienced in Ireland, \\heie the smoking of tohacco had long been a chief luxury among the working classes, and where, considering the few 470 THE PROGRESS OF THE NATIOiN comforts that usually fall to their lot, its diminution betokened a great degree of privation. In Great Britain, where the condition of the people generally was more satisfactory than in Ireland, the consumption per head remained about what it was at the beginning of the century, and the contribution to the revenue was conse- quently more in agreement with the increased rate of the duty. The following figures show the consumption of, and duty on, tobacco from 1801 to 1841 in ten-yearly periods: Year. Pounds Weight consumed. Duty per Pound. Amount of Duty. Average Yearly Con- sumption. Average Contribution to the Revenue. Ib. s. d. oz. s. d. 1801 10,514,998 1 7& i 923,855 15-37 1 8i 1811 14,923,243 2 m 1,710,848 18-95 2 8i 1821 12,983,198 4 2,600,415 14-43 3 7g 1831 15,350,018 3 2,338,107 14-84 2 9 1841 16,830,593 2,716,217 14-52 2 1H It is made evident by these figures that the duty of 4s. per Ib. was excessive. The advance to that rate from 2s. 2d. caused a diminished comsumption to the extent of one-fourth, and the revenue per head which, had the consumption not been lessened, would have been 4s. 10d., amounted to only 3s. 7|d. We next give similar figures for Ireland and the United Kingdom : 1 1 | Year. i Pounds "Weight consumed. Duty per Pound. Amount of Duty. Average Yearly Con-" sumption. Average Contribution to the Revenue. i Ib. s. d. oz. s. d. {1801 6,389,754 1 O^s 285,482 18-95 1 0| 1811 6,453,024 1 7 552,082 17-35 1 10J 1821 2,614,954 3 528,168 6-15 1 7* 1831 4,183,823 3 626,485 8-61 1841 5,478,767 3 863,946 10-71 2 f 1801 16,904,752 1,209,337 16-05 1 5f TT -f A 1811 21,376,267 2,262,930 18-44 2 5| United 1 , QOT Kingdom 1 1 ^ ooi 15,598,152 19,533,841 ; 3,122,583 i 2,964,930 11-77 12-85 2 ll| 2 5i I 1841 22,309,360 3,580,164 13-36 2 8 Owing to the enormous duties on tobacco (whicli have recently been increased, and are by weight not by value), tobacco has always been a favourite article of contraband, and smuggling still goes on. BEER, WINK. SPIRITS, AND TOBACCO 471 According to a French statistician, the amount of tobacco consumed per head of the population of the principal countries of the world in 1910 is as under: Holland . United States Argentina . Belgium Germany . Australia . 7-48 4-62 3-80 3-03 3-27 3-08 Austria Canada France Russia United Kingdom Ib. 2-97 2-31 2-07 2-00 2-02 If these French estimates can be relied upon and the British figure comes from the Board of Trade the United Kingdom stands very low on the list of the nations that are large smokers. This may be ascribed partly to the duties on tobacco and partly to the popularity of the pipe, partly to the fact that English women hardly smoke at all. The pipe is not only healthier than cigars, it is also far more economical ; for the same weight of tobacco lasts the pipe smoker far longer than the man who puffs away cigars and cigarettes. All our tobacco is imported, and 90 per cent, of it still comes from the United States, the most popular kinds being Kentucky and Virginia tobaccos. Holland supplies about 5 per cent., Turkey and Germany about 1 per cent. each. The best cigars come from Cuba, and as the duty is by weight it is a negligible part of the price. The price of tobacco in England, apart from duties, has, on the whole, risen during the last sixty years, more especially at the beginning and end of the period, as the following figures of nine- yearly average prices will show. They are taken from tables published by Messrs. W. 0. Muller & Co. : Virginia. Kentucky. Years. Imt. Stalk. Leaf. Stalk. Per Ib. Per Ib. Per Ib. Perlb. d. .1. d. d. d. d. d. d. 1842-1850 21- 61 4 - 71 2i - &l Aj - ft 1851-1859 1860-1868 5|- 8J 81-11* 7 -14$ 12J-17J 4 4 :.?! -10 1869-1877 5J 11 7J-12i 4j -H 7, -11: 1878-1886 44-14J 6 -14* - 9t 61 1887-1895 4J-164 44-174 3 r- 9 Sf-10* 1896-1904 1905-1908 5^-134 6J-14 3 4^ - 6J 34- 8* :- 7} 54- 8| 472 THE PROGRESS OF THE NATION The later rise may be partly due to the Imperial Tobacco Company, which was formed in 1902. The history of the forma- tion of this company is one of the most romantic in the annals of modern commerce. About 1900 the American Tobacco Trust, which had completely subjugated the American market, began to invade the English market. They commenced operations by buying the business of Messrs. Ogden. This invasion of their preserves seriously alarmed British tobacco manufacturers, and about fifteen of the largest amongst whom W. D. & H. 0. Wills, Limited, John Player & Sons, Limited, F. & J. Smith were conspicuous formed the Imperial Tobacco Company (of Great Britain and Ireland), with a capital of 15,000,000. After this move, the battle began in earnest, and both sides tried to outbid one another by the cutting of prices and distribution of bonuses among retailers. Ultimately an agreement was come to, the main features of which were that the Imperial Tobacco Company was to remain unmolested in the English market, while the American Combine was freed from their competition in foreign markets. CHAPTER XXVI A VIEW OF OUR FOREIGN COMMERCE AND NAVIGA- TION IN THE FIRST HALF OF THE NINETEENTH CENTURY ! Dependence of various countries upon each other for comforts and convenient Peculiar advantages of England for prosecuting foreign commerce Effect of ware and commercial systems upon foreign trade Growing importance of its commerce to England Influence of extended markets in preventing ruinous fluctuations The corn laws Progress of foreign and colonial trade, from 1801 to 1849 Course of trade with various countries Opening of East India and China trades Discriminating duties on sugar on coffee on timber Continental system Return of peace Free Trade petition of London merchants Relaxation of Navigation Acts Reciprocity treaties Registered tonnage Ships built Ships entered and cleared, 1801-1849. TI1HERE are but few countries so circumstanced with regard to their natural capabilities of soil and climate as to be inde- pendent of all other countries for the supply of many of those productions which have become necessary to the comfort, if indeed they be not indispensable requisites to the well-being, of their inhabitants. England is assuredly not one of those countries, and foreign commerce is to its inhabitants a thing of social, if not of physical, necessity. But for our traffic in foreign productions, even the home trade of England would lack a great part of its activity, because, as regards what is yielded by our own soil, each part of th- kingdom is nearly independent of every other part. The south has no need to draw its supplies of grain from the north, nor does the west require to receive the cattle bred in the east. With respect to our min.-ials, u great part even of these are found in different and distant parts of the island; so that in almost < case that part of the produce of our industry which exceeds in each particular branch the wants of the population engaged for its supply must seek a market in other countries, and be there exchanged for 1 Reprinted with tomo nl>''>r. visions from Porter's Progreu of the Nation, 1851 edition. 473 474 THE PROGRESS OF THE NATION such articles of convenience as Nature refuses to yield to us in sufficient cheapness or abundance from our own soil. The geographical position and capabilities of England furnish her with advantages for the prosecution of this foreign commerce far greater than are possessed by any other country of equal extent. To these advantages we have added a spirit of industry, fostered by our free institutions, and a degree of commercial enterprise, beyond those of any other people either ancient or modern, with, perhaps, the recent exception of the United States of America. But although the amount of our foreign trade is greater than that of any other country, it by no means follows that it is as great as it should be, or that the home market should furnish a more important array of customers than all other civilized communities, even when we include with the latter the inhabitants of our many colonies and populous dependencies, whose direct trade we so long reserved to ourselves. The argument in favour of the greater comparative value to a country of its home than of its foreign trade, which has been founded upon the greater economy and celerity with which the operations of the former are conducted, is far from being always correct when applied to England. The trading communication between the south and east coasts of Great Britain and the north and west shores of many European countries, is kept up with greater facility and economy than the traffic between some of our distant counties. The time and money expended in conveying a bale of goods from Manchester to London, by canal or by the ordinary road, are greater than are required for its conveyance from London to Eotterdam ; and the charge made for the cartage of a puncheon of rum from the West India Docks to Westminster ex- ceeds the charge that would be made for conveying the same puncheon of rum from those docks to Hamburg. Even in those branches of foreign commerce where from the length of the voyage a considerable time must elapse between the shipment of goods, their reception and sale abroad, and the transmission of returns to the hands of the shipper, a remedy for the evil of delay has been found in the operation of commercial bankers, whose dealings consist in the purchase and sale of bills of exchange, and are founded upon the varying necessities of different individual traders. In this country, limited as it is in geographical extent, with a population to all appearance fast overtaking the capability of the soil to yield the necessary amount of food, we have a motive which every year becomes more and more cogent for giving the greatest FOREIGN COMMERCE AND NAVIGATION 475 possible facilities to our commercial intercourse with other countries. We have seen that, in the twenty years that elapsed between 1811 and 1831, the increase in the total number of families in Great Britain was 869,960, or at the rate of 34 per cent, upon the numbers of 1811, while the increase in the number of families employed in agriculture was only 65,136, or but little more than 2 per cent. ; the remainder, amounting to 804,824 families, having betaken themselves t<> trading and manufacturing employments. The census returns for 1841 were still more decisive, as they showed a positive diminution in the number of persons employed in agriculture in that year as compared with 1831 from 1,243,057 to 1,207,989. We cannot reasonably expect that the soil can always be made to yield increasing harvests to meet the constant augmentation of the population, nor that the labours of our artisans, whose additional numbers must be reckoned yearly by hundreds of thousands, can continue to find profitable employment in a sphere thus made narrower from year to year. The onward progress of our popula- tion cannot be checked without reverses which would plunge the greater part of the nation into a state of misery painful to contemplate, and on the other hand such a check can only be averted by a great, a rapid, and a permanent extension of commercial relations with countries whose inhabitants, being in different circumstances, may be willing to exchange the products of their soil for the results of our manufacturing industry. We have happily now (1844 to 1850) entered upon such a course of commercial legislation as, when fully carried out, must realize advantages in this direction which are more and more becom- ing' matters of necessity to this country. That the system of free trcifJe, by which expression is meant unrestricted intercourse with foreign countries, in which no one country shall be placed, by regu- lations or differential duties, at a disadvantage with any other, and no customs duty shall bu levied for any purpose whatever save the necessary one of revenue a system in which the fallacy of pro- tection shall be utterly disowned and abolished that this system must be progressively carried out by us to its utmost limit, is now seen to be among the most settled of certainties. To persons who have observed the effects of such relaxations in our tariff as have already been carried into effect, the result <>i' ^wh a perfecting of the system a is here described cannot be at all doubtful. That the capital, skill, and energy possessed and exercised by the inhabitants of these islands will, when unfettered, carry us forward 476 THE PROGRESS OF THE NATION to a degree of commercial and manufacturing prosperity of which the world has hitherto seen no example, it required little boldness to foretell ; and that this prosperity will be attained to a very high degree, although the example of England should fail to convince the governments of other countries, and to be followed by them, does not admit of any doubt. But it is not conceivable that our example, which, on all other occasions has furnished motives of action, shall cease to do so ; and it cannot but add greatly to the feeling of gratification called forth by the changes now in progress, to believe that the sum of our prosperity shall be increased through the advancement of the general happiness. Shall we, then, too greatly flatter ourselves if we hope that the nations of the world, too long divided by hatred in war, and jealousy in peace, shall be brought to see and act upon the conviction that the happiness and prosperity of each must tend to increase the happiness and prosperity of each and all other nations ? In seasons of general prosperity, when the productive classes are fully and profitably employed, it is always found that a stimulus is given to consumption, and it very frequently has happened that the effective demand for manufactured goods thus created has excited increased production to a degree beyond what has been immediately required. When circumstances change, and a check is given to consumption, those persons who have been led thus to apply an additional amount of capital and labour, are exposed to considerable losses, and it must be obvious that the danger of encountering the evil is greater in proportion as the market which they supply is circumscribed. If limited to one country, which is suffering under circumstances of depression, the distress of the producers must be highly aggravated, but if they are accustomed to carry on commercial dealings with many foreign lands, it is not probable that all will be at the same time under depression ; the evil, as far as the producers are concerned, will be easily remedied, and a small reduction in the price of their goods will then cause such an increased demand in foreign countries as will greatly palliate, if it do not remedy, the mischief arising from fluctuations in the home demand. The amount and progress of the foreign and colonial trade of the United Kingdom in each year from 1801 to 1849, with the exception of 1813, the records of which year were burned with the custom-house, are given in the following abstract : FOREIGN COMMERCE AND NAVIGATION 477 Statement of the Amount of the Foreign and Colonial Trade of Hie United Kingdom, specifying the Official Value of foreign and Colonial Merchandise imported and re-exported, and the. Official and Heal or Declared Value of British and Irith Produce and Manufactures exported in each Year from 1801 to 1849 OFFICIAL VALUE. Real or Declared Value of w . r Imports of Exports of Exports of Foreign and Foreign and British and Iris). r.riti-hiiii.i Ir-i, Produce Colonial Colonial Produce and and Manufacture* Merchandise. Merchandise. Manufactures. Exported. i i. 1801 ... 31,786,282 10,836,966 24,927,684 39,730,659* 1802 . : 29,826,210 12,677,431 25,632,549 45,102,330* 1803 . . . 26,622,696 8,032,643 20,467,531 36,127,787* 1804 . . . 27,819,552 8,988,741 22,687,309 37,135,746* 1805 . . . 28,561,270 7,643,120 23,376,941 38,077,144 1806 . . . 26,899,658 \ 7,717,555 25,861,879 40,874,983 1807 . . . 26,734,425 7,624,812 ' 23,391,214 37,245,877 1808 . . . 26,795,540 6,776,775 24,611,215 37,275,102 1809 . . . 31,750,557 12,750,358 33,542,274 47,371,393 1810 . . . 39,301,612 9,357,435 34,061,901 48,438,680 1811 . . . ^8,510,186 6,117,720 22,681,400 32,890,712 1812 . . . 26,163,431 9,533,065 29,508,508 41,716,964 Records dest royed by fire. 1814 ... 33,755,264 19,865,981 34,207,253 45,494,219 1815 ... 32,987,396 15,748,554 42,875,996 51,603,028 1816 . ! 27,431.604 13,480,780 j 35,717,070 41,657,873 1817 . . . 30,834,299 10,292,684 40,111,427 41,761,132 1818 . . . 36,885,182 10,859,817 42,700,521 46,603,249 1819 . . . 30,776,810 9,904,818 33,534,176 35,208,321 1820 . . . 32,438,650 10,555,912 38,395,625 36,424,652 1821 . . . 30,792,760 ' 10,629,689 40,831,744 36,659,630 1822 . . . 30,500,094 9,227,589 44,236,533 36,968,964 1823 . . . 35,798,707 8,603,904 43,804,872 35,458,048 1824 . . . 37,ftf.2,9ar> 10,204,785 48,735,551 38,396,300 44,137,482 9,169,494 47,166,020 38,877,388 1826 . . . 37,686,113 10,076,286 40,965,735 31,536,723 1827 . . . 44,887,774 9,830,728 52,219,280 37,181,885 1828 . . . 45,028,805 9,946,545 52,797,455 36,812,756 1829 . . . 43,981,317 10,622,402 56,213,041 35,842,623 1830 . . . 46,245,241 8,550,437 61,140,864 38,271,597 1831 . . . 49,713,889 10,745,071 60,683,933 37,164,872 1832 ... 44,586,741 11,044,869 65,026,702 36,450,594 1833 . . . 45,952,551 ! 9,883,753 69,989,339 39,667,847 1834 . . . 49,362,811 11,562,036 73,831,550 41,649,191 1835 . . . 48,911,542 12,797,724 78,376,731 47,872,270 1886 . . . 57,023,867 12,391,711 85,229,837 58,368,571 1837 . . . ." t,7:;7, 301 iU,622 72,548,047 42,069,245 1838 . . . 61,268,320 ' 12,711,318 92,459/231 50,000,970 1839 . . . 62,004,000 12,795,990 97,402,726 . r >M,'j:j:!,.'. x < ! 1840 . . . 67,432,964 13,774,306 102,705,372 51,406,430 1841 . . . 64,377,962 14,723,151 102,180,517 51,634,623 1842 . . . 65,204,729 13,584,158 100,260,101 47,381,023 1843 . . . 70,093,353 13,956,113 117,877,278 52,278,449 1844 . . . 14,397,246 131,564,503 :>,.'" 1. ..".'_' 1845 . . . 85,281,958 16,280,870 134,599,116 60,111,081 1846 . . . 75,953,875 16,296,162 132,288,345 57,786,875 1847 . . . 90,921,866 20,036.160 126,130,986 - 1848 . . . '.' 18,368,113 > 132,617,681 52,849,445 1849 . . . 1 Of), 874,607 25,561,890 164,589,504 63,596,025 * The declared value of British and Irish produce, etc., exported in the years 1801 to 1804, applies to Great Britain only, the real value of exports from Ireland not haviii.: recorded earlier than 1H05. The exports from Inland :u--, li\vrv<-:, inconsiderable. 478 THE PROGRESS OF THE NATION The rates of valuation employed for computing the amounts given under the head of official value were fixed in the year 1694, and have not since been altered, so that the sums thus stated must not be supposed to give any accurate exhibition of the value of goods imported and exported. This system of valuation has been preserved in the public accounts, because it has been supposed to afford a correct measure of the comparative quantity of merchandise which has made up the sum of our annual commercial dealings with other countries. It is, perhaps, impossible to ascertain with absolute correctness the value of all the foreign and colonial merchandise imported, because of the great range of qualities and consequently of value as regards many of the principal articles of commerce, which value cannot be accurately estimated before the goods are landed and submitted to inspection ; it would, however, be not only possible but easy of accomplishment, to arrive at a satisfactory approximation to the truth, if some competent persons in various lines of business were employed every year to affix an average value to the different descriptions of goods that had been imported in the course of the preceding year, which average value should be used by the computers at the custom-house for ascertain- ing the amount of the year's commercial dealings. The fallacy of the present system will be at once apparent if the amounts given as the official value of imports and exports in any one year are brought into comparison. On the supposition of the correctness of the custom-house valuations, our foreign and colonial trade must long since have proved the ruin of our merchants, since the value assigned to the exports is enormously greater than that given to the imports. To instance the first and last years of the series in the following table, the loss of the country in 1801 must have amounted to 3,478,388, and in 1849 to 84,226,787. The adoption of a* second method for recording the value of the exports of British and Irish produce and manufactures, according to the declaration of the exporters, affords better means for judging as to the actual progress of our foreign trade, since it is certain that, taking one year with another, the amount of the shipments so made must be brought back to us together with the ordinary rate of profit. If the foregoing table be taken in this way as the test of the progress of our foreign trade, during the present century, it will be seen that, from 1819 to the year 1835, little or none was made that, in fact, the amount of our foreign trade had not then been equal to that which was carried on during some of the years when we were at war with nearly all Europe, nor to that of the FOKKK.N COMMERCE AND NAVIGATION 479 i. H ** ir 00 00 CO 1-1 O < i-< O 9 ^l OO 94 rH ?. i-i"^" 10000* c^'^ Ou-)C >: >r>-t'OO 99lOtM*^Oi v^MlO WO flOOTCOOlcR MdiO W 7 ^-T ..- T ioosj--. " 71 -o _= l w . s a . -. V .-. : 7 . -. --i ao OO S 5 o 5 CO M tO C-. I - O i-" -f IN CO O O OO O OO . .^.X . . .-i M -on n i^ o oo t^ ^ FiH CJk O O M C4 t Ok CO CO ^ A A O t^ rt ' - /' ^- l^ -O O ;O A f l~ -% OS op ^ C*J *-~. ^. T* T^J r? ico^ioooocaiaaoo 480 THE PROGRESS OF THE NATION . 2 H ^ iigis^iiisiiiii^iSsisi ss^sss^^s^ssss^sssssss Jill* 1||f~ S2^g,tSSSS^S^Sg8Sg^?S -J3 9 g ^ u ^ S8fsSS3:o!2c;o^!12SSwS21S5il O -^ ^.ow^^o^o^^oo>o^iatf.^t>. .>-s s iiiilSiSsSsllliliiSSlS *^iS gIiiSISiissSiiiS52iis all I^Jg^ sliSisilSIlliillssllSS 1 S 'o 5 w iSiSsliSSiiiSilllSslSI ^6 ^^^^^-*>0^^^00.^ M ^ c** CO^MSc-jSS^ScjS^O-oSl-^^^S ^ lii f5S ^ 2c3SS-5!^SSSSS^M^3n =Q r H<*ooci*>cOi-lOOCO' 'Bo ^ lSil5iisiiSSSilSl 1 1 I 1 I I I 1 OS o i ^IMOOOOCOOJ-'J'-.Ocb^Oi-IOCOr-lrHOSO-^ilSO ii Hli'SllSSi^Iiil?iislSs 5 g^ ||||||SSgg2|||K^|g|g| M W U-5Ot OlOSOOCCOOit- OOOaToiCSO 1 ! IF Ir-lcTcTr I S^ iSSiilisilSISlsSgSSsSS 11 illHiSiiiililslilllilS (Q CD co a oTcToT^ c^fof f lirifith and Irish Produce and Manu- fact fr,,i,t the United Kingdom, sperifying the various Countries to ichich the same were Exported, in various years from 1827 to 1845 Countries. 1827. 1830. im. Russia . Sweden Norway Denmark Prussia Ui-niianv ...... Holland > Belgium > France . Portugal, Proper ...... ,, Azores ....... 1,408,970 14781 89.129 104,916 174,388 4,654,618 2,404,561 446,952 1,400,044 "(3 IS7 1,489,538 40,488 63,926 118,813 177,923 4,463,605 2,022,458 475,884 1,106,695 23,01 1,752,775 106,156 79^78 107,979 188,273 4,602,966 j 2,648,402 1 818,487 1,453,636 1,554,326 49,717 . Spain and the Balearic Islands .... ,, Canaries ili:ir Italy and the Italian Islands .... Malta . .... 39.916 225,414 18,88] 1,045,266 1,942,752 200,949 38,444 607,068 0,630 292,760 3,251,379 189,186 10,082 405,065 94,808 602,580 2,426,171 136,925 Ionian Islands ....... Turkey and Continental Greece \ More a :md (Iri'L-k Islands j 37,196 531,704 68,M8 (1,139,616 t 9,694 107,804 1,381,669 28,834 Egypt (Ports on the Mediterranean) Trii>oli. Hurbary, and Morocco .... Western Coast of Africa 53,624 8,201 155,759 216,558 110,227 1,138 252,123 330,036 269,225 39,040 292.540 :f2,6921 Eastern Coast of Africa African Ports on the Red Sea .... Ascension Island . 76 1,710 '" 575 v 'f Bourtmn ....... Madagascar ........ 41,430 127 88,916 10,041 31,187 195,713 161,029 196,559 6,049 East India < 'ompany's Territories and Ceylon 3,662,012 610,637 3,895,530 3,192,692 1,074,708 Sumatra, Java, & other Islands of the Indian Seas I'hilijijiini- Inlands ...... 120,747 66,900 162,102 71,220 858,892 129,743 New South Wales, Van Diemen's Land, andl Swan ! j 339,958 314,677 696.345 Nw Zealand and South Sea Islands . ,, Wt-Mt Indie- ... Hayti OaM and othrr iirs . I'niti'.l Stit.-s ot AiiMTira ' 172 1,807,350 3,583,222 7.981 140,878 7,018,272 692,800 1,396 10,401 1,857,133 2,888,448 821,793 618,029 6,132,346 978,441 -.<>* 2,158,158 3.187.540 B9f,7W 787.043 10.668.466 402,820 Texas (tuatemala Columbia I'.ra/il ... ' 1,948 213,972 _',109 2i6,7.M 182,242 8,0,77 do l.n l'lat,-i ('hil- . . 164,880 400,184 682,172 640,eaa mju 606,17'-. IVru ..... Falkland ' South \S ' ....... For. the N.W. Const St. Helena '9,884 17,530 21,006 >- 29,124 Cape Verd Islands 4,547 1,480 1987 1,257 Isle of Bourbon 250 Madagascar ..... ... 7,998 Mauritius . 325,812 244,922 285,650 345,059 Arabia . 2,115 5,082 11,009 16,067 Aden . . Persia . ..... East India Company's Territories & Ceylon 6,023,192 5,169,888 7,695,666 6,703,778 China 524,198 969,381 2,305,617 2,394,827 Sumatra, Java, and other Islands of the) Indian Seas j" 349,521 306,132 376,918 515,473 Philippine Islands 325,463 47,019 92,517 115,515 New South Wales, Van Diemen's Land,! and Swan River j 2,004,385 916,164 744,482 1,201,076 New Zealand and South Sea Islands 47,240 42,788 47,512 43,045 Ports of Siam ... British North American Colonies 2,847,913 2,333,525 3,070,861 3,555,954 ,, West Indies 3,574,970 2,591,425 2,451,477 2,789,211 Hayti ... ... 251,979 141,896 174,457 215,072 Cuba and other Foreign West Indies 863,520 711,938 999,474 1,249,015 United States of America 5,283,020 3,528,807 7,938,079 7,142,839 Mexico 465,330 374,969 494,095 547,130 Texas 6,574 3,906 4,824 Guatemala '2,373 ... B Columbia 359,743 231,711 264,688 New Granada, Venezuela, and Equador . ... 390,149 Brazil 2,625,853 1,756,805 2,113,538 2,493,306 States of the Rio de la Plata . 614,047 969,791 784,564 592.279 Chile 1,334,873 950,466 807,633 1,077;615 Peru 799,991 684,313 658,380 878,708 Falkland Islands 384 93 814 South Whale Fishery .... IS Foreign Settlements on the N.W. Coast) of America ) 12,611 1,077 Isles of Guernsey, Jersey, Alderney,& Man 357,214 364,350 389,760 378,934 Total 51,406,430 47,381,023 58,584,292 60,111,082 FOREIGN COMMERCE AND NAVIGATION 485 An A'Tuimt of the Declared Value of British and Irish Produce and Manu- facture Exported from the United Kingdom, specifying the various Countries to which Exported, in the Years 1847, and 1849 Countries. 1847. I-': 1 . Russia, Northern Ports 1,700,733 Ports within the Black Sea .... l ; ; H'> Sweden 17..:;r;7 Norway ];.-. i! 1 .' Denmark (including Iceland) 253 701 Prussia 668,988 enburg-Schwerin ]<,f, ]i,i Hanovvr 1 ;7.:;:,7 Oldenbnrg and Kniphansen -jii nn Hanseatic Towns 6,007,366 Heligoland 250 Holland 3,017 423 Belgium 1,059,456 Channel Islands 542,191 France Portugal. Proper 880,916 Azores 42.980 ,, Madeira 33,853 Spain, Continental, and the Balearic Islands . . 77". 7. ' ,, Canary Islands 80,680 Gibraltar 4,845 Italy, with the adjacent coast of the Asiatic, and the Islands, viz. : Sardinian Territ<>ru . . . 355,366 Dnchy of Tuscany . ... < 77i Papal Territories . . . . 181,894 Naples and Sicily . ... 686,090 Austrian Territories . ... 687,008 Malta and GOTO . . ... 196.8M Ionian Islands ... ... 148,43 Kingdom of Greece 288,918 Turkish Dominions, exclusive of Wallachia, Mol-> iavia, Syria, and F-^ypt ....]" 4JW.44J Wallachia and Moldavia -J13,547 Syria and Palestine !]:'.._-...: Kgypt, Ports on the Mediterranean . . . . 588,808 601 Algeria 13,881 Morocco 16,231 Western Coast of Africa 518,490 Colonial Territory of the Cajw oi (Jood Hope . . 688.208 Eastern Coast of Africa ... . African Ports on the Red Sea . . ' Cape V-rd M.m.U .... . . I 4,145 Ascension anliti(Mil troubles of that country were at an end, and if a more rational system of commercial policy than has hitherto been pursued were adopted by the Spanish government, our trade with Spain must increase in a most important degree. Still that trade is at present much greater in reality than it is in appearance ; a large part of the goods exported from this country to Gibraltar and to igal being afterwards introduced clandestinely into the Spanish provinces. The extent of the contraband trade carried on at ( Jibraltar is strikingly exhibited by the fact, that the annual i in] MM t, it inn <>t' tobacco into that colony amounts to from six to eight millions of pounds; nearly the whole of which is purchased by smugglers, and introduced by them clandestinely into in. The value of our exports to the whole of the West Coast of Africa averaged, during the five years ending with 1844, the sum of 482,326 per annum. More than one-half of this amount was taken by the British settlements on the Gambia, Sierra Leone, Cape Coast Castle, and Accrali, leaving little more than 200,000 for tin- iviii;Miiiiiur part., of the country, embracing, between the river (lamhia and Angola, nearly four thousand miles of coast, and containing upon a moderate estimate 30,000,000 of inhabitants. people must not be considered, as regards commercial objects, in the same light as those who enjoy a greater degree of civilization ; but the experience of the last forty years atlbrds sufficient proof of the value which the trade with the negro population might be made to assume. In 1808 the whole quantity of palm oil imported did not exceed 200 tons; in 1836 it amounted to 13,850 tons; in 1844 to I'd,::;!' tons; and in 1849 to 44,666 tons. Thirty years ago African timber was unknown to us, and our annual importations have sine.; amounted [.. more than 20,000 loads. This increase has taken place, too, under the most unfavourable circumstances. The whole country is disor^ani/ed, and, except in the immediate vicinity of the towns, the land lies waste and uncultivated, the wretched natives living under constant dread of 1 icing carried oil' into slavery. Tho legitimate trade .if our vessels when on the African coast is continually impeded by the appearance of slave-traders, on the arrival of which, the natives quit all other occupations and proceed mi ni:iraudiiiL r expeditions, to seize the meml-crs of some neighbour- ing tribe, ami .-ell them a,s slaves. I'ntil a sutlicient number of these poor creatures is collected tu crowd the vessel of the slave- 488 THE PROGRESS OF THE NATION trader all other occupations are stopped ; and it is not merely the loss of time and consequent expenses thus occasioned that are to be deplored, but the great waste of life among the crews of the English traders while uselessly detained upon an unhealthy coast. Every- where are to be seen the baleful effects of this traffic, producing desolation where Nature has been prodigal of her gifts. According to Mr. Laird, one of the most intelligent travellers to that region, " The Delta of the Niger alone, if cleared and cultivated, would support a population in proportion to its area far exceeding any- thing known in Europe. Its square surface is equal to the whole of Ireland ; it is intersected in all directions by navigable branches of the parent stream, forming so many natural channels for com- munication : it is altogether composed of the richest alluvial soil, which now teems with a rank luxurious vegetation, comprising all the varieties of the palm-tree, besides teak-wood, cedar, ebony, mahogany, and dye-woods : the sugar-cane grows wild in the bush, and the palm-nut rots upon the ground unheeded and neglected. The population of this Delta I should consider does not exceed half a million." If the population of this region and there are many others to which the same description might be applied were weaned from their present habits of violence, and if advantage were taken of their desire for obtaining some kinds of European manufactures, to engage them in the cultivation of the soil, can it be believed that our commercial dealings with them would continue, as it is at present, scarcely greater in amount than the value of the eggs brought annually from Ireland to the single port of Liverpool ? Among the objects to which the industry of Africans could be profitably applied, perhaps the most important is the article of cotton. Its cultivation does not call for any great amount of labour ; the returns are speedily obtained ; the market for it is continually being extended ; and, as regards this country, it is a matter of very high importance that the million of persons who are dependent for their daily subsistence upon the regular supply of that material, should have the chances of disappointment lessened, as far as possible, by extending the number of the producers, and multiplying the regions in which they are found. There is reason to believe that the goods exported from the United Kingdom to our North American colonies do not all remain for the consumption of the colonists, but that a portion is conveyed across the St. Lawrence into the territory of the United States. On the other hand, some shipments made apparently to the United FOREIGN COMMERCE AND NAVIGATION 489 States, accompany English settlers, who proceed through the States to their ultimate destination in Upper Canada ; but the value in both these cases must be comparatively unimportant. Of the exports to the British West Indies, some part is shipped in transitu, and goes for consumption to Cuba, and to ports on the Mosquito coast. The whole amount assigned to Turkey does not properly belong to our trade with that country, some part being sent forward to Asia Minor and Persia. With regard to the exports to our West Indian colonies, it may further be observed, that the value of late years has materially fallen off, which fact is probably owing, hi part, to the peculiar nature of the population, for the supply of which given quantities of stores and clothing were formerly required, without reference to their cost in this country ; so that the reduction in price of the generality of articles which make up the sum of our exports has not been followed by much, if any, increased con- sumption. Besides this, goods were in former years sent to Jamaica, intended for the supply of the neighbouring continent, to which shipments are now made direct from this country. It will be seen that the value of our exports to India and China did not experience any increase until after the partial opening i,f the trade in 1814. Since that time, and particularly since 1 si'ti, a considerable improvement has taken place in the amount of our commerce witli India ; so that, contrasting its amount in 1849 with that in 1814, there is found an increase of more than 190 per cent. The recent opening of the trade with ( 'hina is calculated to add still more importantly to the value of our commerce with that quarter of the world. Although this trade at first might be accompanied by losses to those who engaged in it without : _,' the requisite degree of knowledge, it could not be doubted that a few years' experience on the part of our merchant-; would enahle them to draw very great advantages from commercial intercourse with a people so enterprising and so keenly alive to the benefits resulting from foreign trade as the Chinese arc now allowed to lie. Already the consumers in this country have heneiiiod ly the opening of the trade with China, in the greatly diminished price of an article of general and daily consumption ; and there is every reason to hope that the individual skill and enterprise now directed to this trade will succeed in making continual additions to its amount, until it hears ;i : viable. pro{x>rtion than it has hitherto done to the trading capabilities of the inhabitants <>f that, thickly-populated country. This trade was thrown open on the expiration of the East India Year. 842,852 1842 . 969,381 1,074,708 1843 . 1,456,180 1,326,388 1844 . . 2,305,617 678,375 1845 . . 2,394,827 1,204,356 1846 . . 1,791,439 851,969 1847 . . 1,503,969 524,198 1848 . . 1,445,959 862,570 1849 . . 1,537,109 490 THE PROGRESS OF THE NATION Company's Charter in April, 1834. Since that time the declared value of English manufactures exported to China has been Year. 1834 .... 1835 .... 1836 .... 1837 .... 1838 .... 1839 .... 1840 .... 1841 .... Previously to 1834, no distinction had been made in the custom- house records between the exports to India and those made to China, nor will this deficiency of information be supplied by the statement of the amount of shipping employed in the trade, because a great part of the trading intercourse of British subjects with China is carried on through the intermediate ports of India ; and this was the case to a greater degree formerly than it is at present. The discriminating duties which, until lately, have been charged upon certain articles of East India produce, naturally tended to prevent increase in that branch of our trade. A wiser policy is now recognized and followed, and will no doubt be productive of solid advantages to the people of this country, as well as to the natives of Hindustan. The capabilities of that vast region are hitherto but very imperfectly known in Europe ; and, indeed, until the Act of 1833, which prohibited the East India Company from trading, and gave to British-born subjects the right to settle for commercial and agricultural purposes in British India, there was but little inducement to cultivate that field of inquiry. There is, perhaps, no one circumstance that would tend so much to increase the commerce of India as the opening of good roads. The course of the great rivers is at present available, at least during part of the year, for the conveyance of Indian products towards the coast ; but this means of transport is of but little avail for the return trade ; and even the partial facility of water conveyance is confined to only a small part of the peninsula. Good roads would be practicable at all periods of the year, and in every part of the country ; and would be equally available for the transmission of English goods to the inner and upper provinces of India, as for the conveyance of their products to the coast. This improvement is especially needed in some of the cotton-yielding districts, where the present expensive mode of conveyance upon the backs of oxen acts most injuriously, FOREIGN COMMERCE AND NAVIGATION 491 . by enhancing the cost of an article which it is of the utmost im- portance to our Lancashire manufacturers to receive as abundantly and at as cheap a rate as possible. As a political measure, the construction of roads in India would prove highly advantageous. Their cost would be quickly and amply repaid by the improving revenues of the country, and by the grateful feelings that would be raised on the part of the native population. The inhabitant of Western Europe, who has always been accustomed to have brought t<> Ins door every article that he can desire, and that his means can purchase, can have but a faint idea of the various privations ex- perienced by great multitudes of the inhabitants of Hindustan, and it may he confidently added that a Government which should place within tin- reach of the poor cultivators an ample supply of salt an article, the obtaining of which never costs us a thought would be sure to receive the blessings of millions. A discriminating duty at the rate of 28s. per cwt., or 50 per rent., was, until lately, imposed upon coffee, the growth of the British possessions in India, for the presumed benefit of the planters in our Western colonies. Until 1825, this discriminating duty amounted to 56s. per cwt., but was at that time comparatively but little felt, because, owing to the excessive duty levied upon all descriptions of coffee, the consumption of the kingdom was below the supply obtained from our West India colonies, and as the surplus had to seek a market in foreign countries, the prices of every description of coffee were necessarily governed by the demands of the world in general. In the year just mentioned the duties previ- ously levied upon all kinds of coffee were reduced to one-half. The produce of the British plantations in America, thenceforward until 1842, was admitted to consumption at the rate of 6d. per lb., or f6s. ]>er cwt. East India coffee from British possessions was charged !>d. per lb., or 84s. per cwt., and all other kinds were charird 1 s. :>d., or 140s. per cwt., amounting to a prohibition against their consumption. In 1 S42, the duty on coffee from all British poss> was reduced to 4d. per lh., and all other cotfee was admitted at 8d. per lb. until 1K44, when the duty on foreign coffee ti Gd. per lh. The consnmence of the reduction in 1825 was to increase the annual consumption of cotfee from about 8,000,000 lh. in 1S24 to 22,000,000 lb. in !*::<>, which increase, as Illicit he 8Xpe urred alum.-! cntiicly with the j.rodi; our \\V-1 India coloni- >, and as the |...v. ,-r !' product i,.i> in ; colon it-.- is limited, and hy this im-n-ascd demand coiisuni|.i ion hail overtaken that limit, the price of West India was driven up 492 THE PROGRESS OF THE NATION to a rate so high that the difference of 28s. per cwt. did not prevent the use of an increased quantity of the produce of our Indian possessions. The price of fine Jamaica coffee, which at the time the duty was reduced about 90s. per cwt., advanced, through the de- mands of the consumers, to 125s. per cwt., but without producing any increased production. The quantity annually imported of British plantation coffee, in the five years that preceded the reduction of the duty in 1825, averaged 30,280,360 lb., and the average quantity imported in the five years from 1832 to 1836 reached only 19,812,160 lb., being a reduction of 34 per cent, in the supply, notwithstanding an advance of 39 per cent, in price, thus proving beyond all cavil the inability of the West India planters to keep pace with the wants of the English consumers. In September 1835 our tariff was so far modified, that coffee imported from the British possessions in India, if accompanied by a certificate of its being the actual produce of those possessions, was admitted to con- sumption, on payment of the same rate of duty as British plantation coffee. The quantity of East India coffee taken for consumption while the duty remained at 9d. per lb., advanced, because of the increasing price of West India coffee, as already noticed, from about 300,000 lb. per annum to about 1,500,000 lb. The assimila- tion of the rates of duty did not take effect until two-thirds of 1835 had elapsed, but in that year the consumption of East India coffee advanced to 5,596,791 lb., and in 1837 reached 9,114,793 lb. A few years must necessarily elapse before the production of coffee can be increased in any particular place ; but experience has proved that there was good reason to expect that the stimulus thus afforded would not be checked in our Eastern, as it has been in our Western possessions, through natural causes, and that continually growing supplies might be furnished, until the English public should no longer be forced to pay a monopoly price for this agreeable beverage. That time has now arrived. The importations of coffee from our own possessions has gone beyond the wants of the consumers, and the protecting duty still offered by the tariff has ceased to operate in favour of the colonial grower. The quantities received from Ceylon, which in 1835 were under 2,000,000 lb., exceeded 35,000,000 lb. in 1849. If the sound principles, that no duties should be levied except for purposes of revenue, and that it is both unjust and unwise to tax the whole community for the supposed benefit of a part, were recognized and fully acted upon, there can be no doubt of the ad- vantages that would result to the country at large, through all its FOREIGN COMMERCE AND NAVIGATION 493 various interests, by the increased activity that wmild be imparted to its foreign commerce. Much has been done during the last few years, beyond what has been already particularly noticed, to simplify our tariff and to reduce or abolish duties charged upon the raw materials of manufacture, and there is every reason for believing that the subsequent extension of our foreign trade has been mainly owing to that cause. There is still something to be done in this way. The two great monopolies of corn and timber, the first maintained for the assumed benefit of the possessors of land, the second conceded to the clamour of a of ship-owners, were, when the third edition of this work appeared in 1846, the chief remaining obstacles to the growth of our commercial relations with European nations. The most grievous of those two monopolies, that which condemned the people to pay more for their food than was paid by the inhabitants of other coun- tries, has at length been swept away, and there are strong grounds for believing that the duty on timber, which is essentially a raw material of the greatest importance to every branch of manufacture, must shortly be wholly abolished also. It is a mistake to suppose, as generally is done, that the high discriiiiiiuiting duty upon timber was originally imposed for the benefit either of the North American colonists, or of the English ship-owners ; neither the one nor the other of those parties was thought of in the business any further than as they might be made the means of relieving the consumers of timber in this country from the evil consequences resulting to them through our exclusion from ports in the Baltic. The discriminating duty was not intended to have been continued after the necessity out of which it arose should have passed away with the return of peace. The duty upon a load (fifty cubic feet) of European timber, which at the beginning of the war had been 6s. 8d., was raised by inconsiderable steps to 27s. 2d., in 1800; this rate was doubled in 1811, and in 1813 the duty was further advanced to 65a Colonial timber was admitted free of duty up In 1 7US, when it was subjected to .'> per cent, advalornn ; li'iui iso:; tn ism; t| H . ad valorem rate was changed to a specific duty of about 2a per load, and in the latter year was again alto- gether removed. In ISi'l, in consequence of the recommendations of Commit te. -< ,,on colonial timber a duty was imposed of 10s. per load, and those rates were continued to the year 1840, when la. (id. j*?r load was added to them respectively. In < > iun.T 1 S4:! the 494 THE PROGRESS OF THE NATION duties were reduced to 25s. per load on foreign timber, and 32s. per load on foreign deals, and to Is. per load on timber, and 2s. per load on deals the produce of British possessions. Further modifications of the duties upon foreign timber were adopted in the session of 1846, so that on the 5th of April 1847 unsawn wood was ad- mitted at 20s., and deals and battens at 26s. per load; which rates were further reduced on the 5th of April 1848 to 15s. and 20s. respectively. The colonial timber trade cannot be said to have existed before 1803. In the fifteen years that occurred from 1788 to 1802, while our importations of European fir timber amounted to nearly 3,000,000 loads, we imported from the American colonies only 19,429 loads. In 1803 the quantity so imported was 10,113 loads, but from that time it increased rapidly ; first from the stimulus of high prices occasioned by the events of the war, and afterwards in consequence of the greater preference given to colonial timber by our tariff. The price of Memel timber, which in 1802 had been 78s. per load, with a duty of 16s. 10d., advanced in 1807 to 150s., and in 1809 to 320s., the duty having in the mean- time been raised to 27s. 2d., as above stated. Under these circum- stances, it might perhaps be wise to stimulate the importation of colonial timber ; but so soon as the return of peace again opened to us our old channels of supply, there could be no good reason for burthening the people with a heavy tax, only a small part of which found its way to the Exchequer, and all that could with propriety have been asked by the parties who had embarked their capitals in the new trade was a reasonable term during which they might with- draw from its prosecution. That the changes here noticed in our duties for protection have not been productive of evil to the colonial wood trade is made evident by the quantities since imported from our American posses- sions, and from foreign countries : Year. Colonial. Foreign. Imported. Loads. Loads. Loads. 1843 922,087 395,558 1,317,645 1844 941,221 544,136 1,485,357 1845 1,281,974 675,840 1,957,814 1846 1,214,442 810,497 2,024,939 1847 1,086,070 809,752 1,895,822 1848 1,102,254 701,080 1,803,334 1849 1,047,320 580,372 1,627,692 mitEIGN COMMERCE AND NAVIGATION 495 In every civilized country timber is an article of consumption of th(3 very first necessity, and where, as in this country, our forests do not supply it in the necessary abundance, its importation should be rendered as free as possible. If, through the necessities of the Government, it should be found necessary to tax this, which may be called one of the chief raw materials of manufacture, without which, in fact, scarcely any other manufacture could be carried on, it would be some consolation to know that the tax answered its legitimate purpose, and perhaps stood in the place of some other equally objectionable impost. Owing, however, to the discriminating duties in favour of the timber of our Northern colonies, a sum at least equal to the amount that now finds its way under this head to the Exchequer is lost to the public, its only use being to afford employment to a number of old and worn-out ships, which it would be more advantageous to the country to buy, and then break them up and sell their materials for fuel, than it would be to continue the present modified system. Owing to the mode employed up to 1833 for calculating the duties upon planks, deals, and battens, which were taxed by the great hundred in classes, according to certain specified limits of dimension, it was not easy to estimate the actual quantity of wood brought for consumption into the country. Such an estimate was carefully made at the custom-house with reference to the importa- tions of 1833, and from this it appears that the quantity imported that year, expressed in loads, amounted to 1,163,518, and the duty collected to 1,285,379, being at the average rate of 22s. IJ-d. per load. If the duty upon tin; whole of this quantity had been charged at the rate imposed upon European timber, the proportion brought from the colonies would no doubt have been reduced, and the sup- plies from the Baltic must have been proportionally increased, by which means the price in the countries of production would have been raised, and this circumstance would so far have acted in diminution of the advantage accruing to the country through the greater receipts at the Exchequer ; but when an ample allowance has been made on this account, it will be found that the loss to the public at large, through adherence to the present system, amounted to nearly or quite one million and a half of money in that one year. The importations in the years that have since elapsed have been much greater than those of 183;i, and the loss was consequently for some years still more than the sum here mentioned. It is the opinion of well-informed men, who were examined before the Select Committee of the House of Commons which sat in 1835 to consider 496 THE PROGRESS OF THE NATION this subject, that by a return to a more wholesome state of the trade, the price in the countries of production in Europe would be raised only temporarily, the supply of growing timber in those countries being equal to any demand that could possibly arise by that means. But if these gentlemen should have taken too sanguine a view of the capabilities of the various countries to which we have hitherto and formerly resorted for a supply of timber, there are other dis- tricts to be explored into which the woodman's axe has never yet penetrated, with a view to the supply of Western Europe, whence we may draw supplies for ages to come of a quality equal to every- thing that can be wished, and adapted to purposes which it is now difficult to satisfy. From the forests of Albania, as well as those of Circassia, and all the coasts of the Black Sea and the banks of the Danube, we may if political, and still more, if fiscal obstacles are removed draw inexhaustible supplies of the finest wood, in- cluding oak of the largest size, and at prices more advantageous than any other countries have offered, at least in modern times. Under these circumstances, we are, without any adequate or legitimate motive, shutting against our manufacturers markets which were formerly, and would be again, of considerable importance to them, and are at the same time giving advantages to our manufacturing rivals, of which they are by no means slow to avail themselves. 1 The official value of goods imported has a nearer agreement with the actual value than has been maintained between the official and the actual values of British manufactured goods exported. The greater part of our importations consists of produce in its raw or unmanufactured state, or of products in a state of preparation which has not called for any great amount of labour, and as to which there is, consequently, but little room for economizing the cost. Our ex- ports, on the contrary, consist in great part of goods upon the pre- paration or manufacture of which a great amount of labour has been expended ; and as the mechanical inventions of the last fifty years have introduced the most important degrees of economy into nearly every process of manufacture, the prices of such goods fixed 180 years ago have become exceedingly wide of their true value. The error which might thus have been exhibited by the custom-house returns, 1 The full merits of this very important question may be learned by consulting the evidence given before the Committee of 1835, referred to in the text, and also from an article in the fourth number of the British and Foreign Qiuirterly Review, which was written by one of the most intelligent witnesses examined on that occasion the late Mr. J. D. Hume. FOREIGN COMMERCE AND NAVIGATION 497 has been roc lifted by the plan of obliging the merchants at the time of shipment to declare the real value of British goods exported. The only course effectual for correcting the error in valuation in the case of f. -reign goods imported, would be to contrast the quantities so brought in:., tin- country at various periods. Such an account it is impossible to ] -resent; if even it were procurable, its bulk would prevent its tion in these pages, and to render it a faithful record it would ! necessary to accompany it by many voluminous explanatory statements. The opening of the present century found this country involved in war, lmt at the end of 1801 the Peace of Amiens was signed, and Meet \v;is immediately seen ; for the value of British goods ex- ported in 1802 exceeded by more than 5,000,000, or 13 per cent., tli. value exported in 1801. The recurrence of war in 1803 put an end to this improvement, and brought our exports below the aim >unt of 1801. We have not the means of analysing our foreign commerce in any year earlier than 1805, but in that and the two following yi ars it will be remarked that very nearly one-third of our foreign export trade was carried on with the United States of America. Under the then existing circumstances of the country, with the ports of the Continent shut against us as completely as the power of Napoleon enabled him to accomplish that object, this trade was of peculiar importance to us, not only because it gave employment to our manufacturing population, but also because it provi.le.il us with the means of meeting the foreign expenditure of ;overnment occasioned by the operations of the war. The mer- chants of the United States were at that time accustomed to sell their produce in the continental markets to a much greater amount than their purchases in those markets; while, in their dealing with i hi- count ry, the practice was directly the reverse, and they had every \ear a large balance to pay to this country. The means of liquidat- or kilance were furnished by the excess of their continental uMint of which was paid to the agents of the English government for hills upon the Treasury, which came as a remittance to ourexpoitingni'-chanis, and thus were funds placed at the disposal of our armies, and the payment of subsidies was accomplished which must otherwise have drained this country of every guinea which it possessed. At the end of 1806, Napoleon aimed an additional and severe blow at this country by means of his famous l.crlin decree, whereby he declared all the juts of (Ireat I'.ritain in a state ..f 'nlockade, and forbade all trading with us or in the articles of our produce and manufactures, declaring such to be subject to seizure and condemnation wherever 32 498 THE PROGRESS OF THE NATION they were found, and forbidding the importation into the countries under his control, which then included nearly all continental Europe, of any goods of such kinds as were included among the home or colonial productions of this country, unless they should be accompanied by certificates showing their origin to have been other than British. The consequent measures of retaliation adopted by the English government were so far from averting the evil consequences of this Berlin decree, that they proved directly and immediately injurious to our trade, in a greater degree than all the efforts of the enemy would probably have succeeded in accomplishing. Our Orders in Council, issued in the course of 1807, served indeed only to give efficacy to the paper blockade of Napoleon, against which the whole trading community of the world would have been arrayed but for the not- able expedient of the English government. By these Orders in Council it was declared, as the only condition upon which neutrals might trade with countries not at peace with Great Britain, that the vessels in which that trade was carried on should touch at some port in this country, there to pay such amount of customs duties as should be imposed by the British government, and any vessel found to have on board the certificate of origin required by the French government was declared lawful prize. In answer to these Orders in Council, Napoleon issued his decree from Milan, dated 27th September 1807, in which it was declared that any ship that should have paid any tax to the British government, or that had submitted to be searched by any British authorities, was thereby denationalized, and became good and lawful prize ; and in order to give full effect to this decree, it was provided that any person on board a foreign vessel arriving at a port in France, who should notify to the authorities the fact of such vessel having visited an English port, or of its having submitted to be searched, should be entitled to receive one-third of the net value realized from the sale of the vessel and cargo. Further to circum- vent the designs of the French government, a system of providing neutral vessels with forged papers, by means of which they might elude the vigilance of the French authorities, was encouraged by the English government ; and thus in spite of all the hazard attending this course of very questionable morality, a considerable amount of trade was carried on in vessels bearing the flag of Pappenburg, Oldenburg, and other petty continental powers. Such an expedient was clearly not one which the government of the United States of America could adopt for the prosecution of trade with Europe ; and finding that the American flag was thus effectually excluded from the ports of the Continent, that government interdicted altogether the trade of its KWEIGN COMMERCE AM) NAVIGATION 499 subjects with either of the belligerents, first, by blockading her own I Tts, and next, by a law forbidding intercourse with the belligerents, while it allowed of trade with other parts of the world, and which provided for the renewal of trading relations with either of the inter- dicted nations which should rescind its obnoxious regulations. The return to wisdom, in this respect, was first evinced by France, and war was declared against this country by the United States. It will be clear, from the preceding recital, that the great advan- tages which we had derived from our trade with America, as already described, must have ceased when the blockade of their ports was enforced ; and accordingly we find that the amount of our exports be- i Mine altogether inadequate to meet our public expenditure abroad, the foreign exchanges turned ruinously against this country, and the drain of the precious metuls was such that the price of gold rose from 80s. per oz., at which price it had been stationary during the six preceding yean, to 91s. per oz. in 1809, to 97s. 6d. in 1811, to 105s. in 1812, and 110s. in 1813; these prices being respectively 14, L'i, '2'>, .nul 29 per cent, above the Mint price of 77s. 10d. per /. I Hiring this period the evil consequences of this state of things was ivated by the great quantities of foreign goods, beyond the wants of the consumers, that were accumulated in our warehouses, and for which no market could be found. These goods were either actually the property of English merchants, having been received in return for manufactures exported, or were virtually so through advances made to the owners, in addition to the freight, insurance, and other charges which had been incurred upon them. Such of our manu- facturers as had the means of doing so, had accumulated large stocks of goods in their stores, but one after another their means of employ- ing workmen fell oil', so that in the beginning of 1811 the state of distress among all the trading classes had arisen to a most alarming height ; meetings were held in the city of London to consider as to the course to be pursued to mitigate the evil, and a Select Committee of the House of Commons was appointed with the same view. The distress was partially alleviated by the issue of Exchequer hills on loan to the merchants, hut effectual relief was not obtained until the tide of prosperity began to turn away from the ruler of Fiance, ami the continental nations casting oft' the shackles in which he had bound them, leagued together in alliance with England, for the recovery of their independence: their ports were then of course open to our commerce, and the ^ Is which had been accumulatim: in our docks and warehou- di.-trihut Mini,' purchasers. The desire of obtaining British manufactured goods and colonial 500 THE PROGRESS OF THE NATION produce was exhibited on the part of the inhabitants of the Continent in a remarkable manner during the years which immediately fol- lowed the promulgation of the Berlin decree. The scheme for the destruction of our trade was not confined to France, but was adopted likewise by the governments of Austria, Prussia, the States of the Germanic Confederation, Russia, Holland, and the Italian States, then leagued with France against this country ; and neither trouble nor precaution was spared in order to ensure its complete adoption. So great, however, was the desire of obtaining the prohibited articles, that all the efforts of the French Commissioners were of little avail, and the export trade of the country was maintained during the years in which the continental system was enforced, at a level nearly as high as it had previously acquired. The well-informed author 1 of a pamphlet, published in 1835, entitled England, Ireland, and America, says, when speaking on this subject : " It would be amusing, and full of romantic interest, to detail some of the ten thousand justifiable arts invented to thwart this unnatural coalition, which, of necessity, converted almost every citizen of Europe into a smuggler. Bourienne, who was himself one of the Commissioners appointed to enforce these prohibitions at Hamburg, gives some interesting anecdotes in his Memoirs under this head. The writer is acquainted with a merchant who was interested in a house that employed 500 horses in transporting British goods, many of which were landed in Sclavonia, and thence conveyed overland to France, at a charge of about 28 per cwt., more than fifty times the present freight of merchandise to Calcutta ! " In the plenitude of his power, Napoleon was unable to prevent the clandestine intro- duction and sale of English goods in the very capital of his empire ; he was, besides, led occasionally to relax the system so far as to grant licences for the introduction of British and colonial goods. Those licences, which were given to some favoured individuals among his staff and court, were sold to the merchants ; and it has been stated that as much as a million of francs 40,000 has been realized from the sale of one of these commercial indulgences. It has been often brought as matter for reproach against the ministry of that day, that in the negotiations at Vienna, which followed the downfall of Napoleon, the commercial interests of this country were heedlessly abandoned. It can hardly be denied that the minister by whom England was represented at the Congress of Vienna, knew but little, and cared as little, about commercial matters ; and that certain of the better-informed 1 Richard Cobden. FOREIGN COMMERCE AND NAVIGATION 501 diplomatists of other countries were not backward to take advantage of his ignorance and supineness. Conquests, which offered wide and improving tit-Ms for commercial and manufacturing enterprise, were uiven u}) as it were through complaisance; and the whole subject of trade was abandoned, apparently lest the pursuit of what might be called our selfish interest should tarnish the laurels we had gathered in the fields of slaughter. The amount of the sacrifices thus made it would be impossible to estimate; but at however hi^h an amount they may be reckoned, it is probable that we have since sufiered far more through our long persistence in a system of restriction and prohibition. This, although it might have been comparatively inoperative during the period of war, could not fail to be viewed with jealousy and anger so soon as peace enabled other nations to turn their attention to foreign commerce. The pertinacity with which we so long adhered to our navigation laws, and the numerous anti-social vices that were sutVered to deform our tariff, were calculated to foster this spirit of jealousy on the part of others, and to provoke them to acts of retaliation, from which we, as the most commercial nation, were sure to be the greatest sufferers. The ministry of that time was supported in this adherence to a system of restriction by many men -1 units who dreaded lest its relaxation might be followed by personal loss to themselves ; and it was their endeavour, in which they too well succeeded, to persuade the Government and the lature that any change of system must tend to destroy the foreign commerce of the country. It has been, unfortunately, the common practice in this country, when legislating upon commercial matters, to consider the interests of the merchants actually engaged in its prosecution, and not the advantage of the trade itself, which is always best promoted by attention to the interests of the consumers, rather than by assisting the merchants to obtain, by means of what is called protection, an unnatural rate of profit. The narrow views which have been explained were not uni- versally held ly mercantile men. In the year 1820 a considerable number of the most wealthy and enterprising houses in London joined in a petition to the House of Commons, embodying principle^, ihe justice and liberality of which will assure to them the &- at all times of enlightened men, and reference will long be made to this petition as to the deliberate opinions of practical and rienced merchants upuii points which they are peculiarly titted to understand. 5O2 This petition was in the following terms : "To the Honourable the House of Commons of the United Kingdom of Great Britain and Ireland " The humble Petition of the undersigned Merchants of the city of London, "Sheweth, That foreign commerce is eminently conducive to the wealth and prosperity of a country by enabling it to import the commodities for the production of which the soil, climate, capital, and industry of other countries are best calculated, and to export in payment those articles for which its own situation is better adapted. " That freedom from restraint is calculated to give the utmost extension to foreign trade, and the best direction to the capital and industry of the country. "That the maxim of buying in the cheapest market, and selling in the dearest, which regulates every merchant in his individual dealings, is strictly applicable as the best rule for the trade of the whole nation. "That a policy founded on those principles would render the commerce of the world an interchange of mutual advantages, and diffuse an increase of wealth and enjoyments among the inhabitants of each state. "That, unfortunately, a policy .the very reverse of this has been, and is, more or less, adopted and acted upon by the Government of this and of every other country, each trying to exclude the productions of other countries, with the specious and well-meant design of encouraging its own productions ; thus inflicting on the bulk of its subjects, who are consumers, the necessity of submitting to privations in the quantity or quality of commodities ; and thus rendering what ought to be the source of mutual benefit and of harmony among states, a constantly-recurring occasion of jealousy and hostility. "That the prevailing prejudices in favour of the protective or restrictive system may he traced to the erroneous supposition that every importation of foreign commodities occasions a diminution or discouragement of our own production to the same extent ; whereas it may be clearly shown, that although the particular description of production which could not stand against un- restrained foreign competition would be discouraged ; yet as no importation could be continued for any length of time without a corresponding exportation, direct or indirect, there would be an encouragement, for the purpose of that exportation, of some other production to which our situation might be better suited ; thus affording at least an equal, and probably a greater, and certainly a more beneficial employment to our own capital and labour. " That of the numerous protective and prohibitory duties of our commercial code, it may be proved, that while all operate as a heavy tax on the community at large, very few are of any ultimate benefit to the classes in whose favour they were originally instituted, and none to the extent of the loss occasioned by them to other classes. " That among the other evils of the restrictive or protective system, not the least is, that the artificial protection of one branch of industry or source of production against foreign competition, is set up as a ground of claim by other branches for similar protection ; so that if the reasoning upon which restrictive or prohibitory regulations are founded were followed out consistently, it would not stop short of excluding us from all foreign commerce whatsoever. And the same train of argument, which, with corresponding prohibitions and protective duties, should exclude us from foreign trade, might be brought forward to justify the re-enactment of restrictions upon the interchange of FOREIGN COMMERCE AND NAVIGATION 503 productions (unconnected with public revenue) among the kingdoms composing the union, or among the counties of the same kingdom. " That an investigation of the effects of the restrictive system, at this time, is peculiarly called for, as it may, in the opinion of the Petitioners, lead to a strong 'presumption that the distress which now so generally prevails is con- siderably aggravated by that system ; and that some relief may be obtained by the earliest practicable removal of such of the restraints as may be shown to be moat injurious to the capital and industry of the community, and to be attended with no compensating benefit to the public revenue. " That a declaration against the anti-commercial principles of our restrictive system is of the more importance at the present juncture, inasmuch as in several instances of recent occurrence, the merchants and manufacturers in foreign states have assailed their respective governments with applications for further protection or prohibitory duties and regulations, urging the authority and example of this country, against which they are almost exclusively directed, as a sanction for the policy of such measures. And certainly, if the reasoning upon which our restrictions have been defended is worth anything, it will apply in behalf of the regulations of foreign states against us. They insist upon our superiority in capital and machinery, as we do upon their comparative exemption from taxation, and with equal foundation. " That nothing would more tend to counteract the commercial hostility of foreign states than the adoption of a more enlightened and more conciliatory policy on the part of this country. " That although, as a matter of mere diplomacy, it may sometime* answer to hold out the removal of particular prohibitions, or high duties, as depending upon corresponding concessions by other states in our favour, it does not follow that we should iitniiiiiiin our restrictions in cases where the desired concessions on their part cannot be obtained. Our restrictions would not be the les* prejudicial to our own capital and industry, because other governments persisted in preserving impolitic regulations. " That, upon the whole, the most liberal would prove to be the most politic course on such occasions. "That, independent of the direct benefit to be derived by this country on | occasion of such concession or relaxation, a great incidental object would be gained by the recognition of a sound principle or standard to which all subsequent arrangements might be referred, and bj- the salutary influence which a promulgation of such just views by the legislature, and by the nation at large, could not fail to have on the policy of other states. " That in thus declaring, as your Petitioners do, their conviction of the impolicy and injustice of the restrictive system, and in desiring every practicable relaxation of it, they have in view only such parts of it as are not connected, or are only subordinately so, with the public revenue. As long as the necessity for the present amount of revenue subsists, your Petitioners cannot expect so important a branch of it as the customs to lie giv.-n up, nor to be materially diminished, unless some substitute, less objectionable, be suggested. But it is against every restrictive regulation <>f trade n il to the revenue against all duties merely protective from foreign com; '"tit ion and against the excess of such duties as are partly for the purpose of revenue, and partly f.>r that of protection, that the prayer of the present Petition is respectfully submitted to the wisdom of Parliament. " Your Petitioners therefore humbly pray, that your honourable House will 504 THE PROGRESS OF THE NATION be pleased to take the subject into consideration, and to adopt such measures as may be calculated to give greater freedom to foreign commerce, and thereby to increase the resources of the State." With the single exception of the passage printed in italics, the foregoing petition is highly honourable to the accomplished economist 1 by whom it is understood to have been drawn up, and to the many eminent merchants by whom it was subscribed. It may be fairly admitted that the light which it has thrown on, and the attention which it has been the means of drawing towards, the subject, have tended in a powerful manner to bring about the successive relaxations which, since its presentation to Parlia- ment, have been made in our commercial code. The degree of success by which it has thus been followed, must make it a matter of great regret that it should contain anything capable of being perverted to an opposite end. The author of the petition would be among the first to disclaim the advocacy of any dis- ingenuous diplomacy, fortifying himself in this disclaimer by the whole tenor of the document, and especially by the qualifying clause that follows the objectionable paragraph. It is unfortunate, however, that the course of proceeding which it suggests has in many instances been since adopted by the English government. It has been seen on these occasions that, by the relaxation of some restriction, or the abolition of some protective duty, a positive good would arise to the trade of this country ; but it has been seen, at the same time, that this reform would be also beneficial to the commerce of some other country ; and it has been thought desirable to render the relaxation doubly profitable to ourselves, by making it the equivalent for some corresponding relaxation in favour of English commerce on the part of the country that would participate in the improvement. From some cause or other probably the misconception of our motives, or the fear of being overreached it has generally happened that it has been thought unwise to grant the price we have demanded for the alteration, and we, having made our relaxation dependent upon the payment of that price, no longer feel ourselves at liberty to persevere to our own profit in a course which we should otherwise be glad to adopt. When communities in general are become more en- lightened to the principles that should regulate commerce, such negotiations as that above described can never occur. Commercial treaties will then be unknown, because each country will be led to adopt plans that will be of advantage to itself, unchecked by 1 Thomas Tooke. FOREIGN COMMERCE AND NAVIGATION 505 the consideration that some part of that advantage may be shared by others ; and not only so, but will be induced the more readily to pursue those plans for the very reason that others will participate in the benefit, assured that the prosperity of its neighbours must always have a beneficial influence upon its own condition. The part of our restrictive system which was viewed with the greatest favour among all classes, was embodied in the measure generally known under the name of the Navigation Act. The foundation of this Act was laid during the Protectorate, and the system was perfected by the 12 Charles II, chap. 18. This Act provided, that no merchandise of either Asia, Africa, or America should be imported into Great Britain in any but English-built si lips, navigated by an English commander, and having at least three-fourths of their crew English. Besides this exclusive right imparted to British shipping, discriminating duties were imposed, so that goods which might still be imported in foreign ships from Europe were in that case more highly taxed than if imported under the English flag. The system here described continued to be steadily and pertinaciously maintained during moi;e than 160 years, and was looked upon as a monument of wisdom and prudence, to which was mainly attributable the degree of commercial greatness hich we had attained. May we not hope that, with the present amount of our knowledge, it would be difficult to arrive at any such conclusion, or to believe that the trade of any country could pos.sihly be promoted by compelling the merchants to employ dear instead of cheap ships ? The earliest deviation from the Navigation Act that was sanctioned by Parliament, arose out of the v with the United States of America, in 1815. The States, soon after the establishment of their independence, had passed a Cation law in favour of their shipping, similar in all its main provisions to the English law; and it affords an instructive lesson, that the practical carrying out of this restrictive system to its fullest extent by the two nations was found to be so unproductive of all good effect, as to call for its mutual abandonment. By this treaty, the ships of the two countries were placed reciprocally upon tin- same footing in the JH.MS of Kn.u'land ;l nd the United States, and all discriminating duties rhar_rralle uj>on the goods which they conveyed were mutually repealed. It adds -jtc.-itly to tin- value of this concession, that it was made by no disciple of free-trade doctrines, but was forced ],y the \.-iv consequences of the system itself, from a ( iovci -nmcnt strenuously opposed to all change in the direction of relaxation. From that moment it became easy to 506 THE PROGRESS OF THE NATION foretell the abandonment of our long-cherished system of protection, since every country that desired to remove the disadvantage under which we had placed its trade or shipping, had it thenceforward in its power, by adopting our plans in the spirit of retaliation, to compel us to a relaxation of our code. It is worthy of remark that, amidst all the complaints that have been made by British shipowners, of the abandonment of their interests by their Govern- ment, it has never been attempted to question the propriety of the American treaty, nor to complain of its results. With the exception here noticed, the restrictive system was continued in full force until 1822, when Mr. Wallace, then President of the Board of Trade, introduced five Bills which effected a very important alteration. Of these Bills (3 Geo. iv, cc. 41, 42, 43, 44, and 46) the object of the first was to repeal various obsolete statutes that were enacted in relation to foreign commerce before the passing of the Navigation Act. The second Bill repealed various laws dating from the Navigation Act downwards, including those parts of the Navigation Act itself which enacted that goods of the growth, produce, or manufacture of Asia, Africa, or America, should not be imported into this country, except in British ships navigated as already described, and that no goods of foreign growth, production, or manufacture, shall be brought into England from Europe in any foreign ship, except from the place of their produc- tion, or from the ports whence they are usually brought, and in ships belonging to the countries of production or accustomed ship- ment. The third Bill was intituled " An Act for the encouragement of navigation and commerce, by regulating the importation of goods and merchandise, so far as relates to the countries or places from whence, and the ships in which, such importation shall be made." By this Act, certain enumerated goods were allowed to be brought to this country from any port in Europe, in ships belonging to the port of shipment. Ships belonging to Holland, which, by the Navigation Act, had been forbidden to enter English ports with cargo, were placed upon the same footing as the ships of other countries. South American produce, which, before the passing of this Act, could be brought only from certain ports of Spain and Portugal, were now permitted to be imported direct from the places of growth in ships of the country, the only exception to this concession being against places to which British ships were not admitted for the purposes of trade. The regulation of the trade between our possessions in America and the West Indies, and other places in the same quarters, was the object of the fourth Bill. FOREIGN COMMERCE AND NAVIGATION 507 It permitted the importation, subject to specified duties, into tin ports, of various articles from any foreign country in rica, or port in the West Indies, either in British vessels, or in vessels belonging to the country or place of shipment, and the goods so imported might be again exported to any colony, or to the United Kingdom. The fifth Bill also applied to the regulation of the trade of our Western colonies. By its principal provision it was made lawful to export, in British ships, from any colony to any foreign port in Europe or Africa, any goods that have been legally imported into the colony, or which were of its own growth or manufacture ; and it was further made lawful to export certain enumerated articles, in British ships, to any such colony from any foreign port in Europe or Africa. By means of these relaxations, the colonists were enabled to draw their supplies from any country in Europe, Africa, or America, and to send their produce in return to such markets as should hold out the greatest inducements. In the year following that in which these Acts were passed, a notification was made to our Government by Prussia, that unless and until some relaxation of our system was made in favour of the ships of that country, heavy retaliatory duties would be imposed upon English shipping that should enter any Prussian port It is surprising, considering the successful stand made eight years before by the United States, that so long a time should have been allowed to elapse before the continental nations proceeded to force us into tin- adoption of a more liberal course, by making us in turn the victims of our anti-social system. The adoption of this natural policy on the part of Prussia would assuredly have been soon followed by a similar movement in other countries, and our merchants and shipowners became immediately clamorous for the interference of the Government to obtain the removal of the duties imposed by Prussia. It was under these circumstances that what an- called the Reciprocity Acts (4 Geo. iv, c. 77, and 5 Geo. iv, c. 1 ) were passed. These Acts authorized His Majesty, by Order in Council, to permit the importation and exportation of goods in foreign vessels, on payment of the same duties as were chargeable when imported in British vessels, in favour of all such countries as should not levy discriiuinatiuu r duties upon goods ini]>orted into those countries in British ve.-sds ; ami further to levy upon vessels of such countries, when frequenting British ports, the tonnage dutie> as an; chargeable on British vessels. A power was, on the other hand, given to the y these Acts of Parliament. to impose additional duties upon goods aud shipping against any 508 THE PROGRESS OF THE NATION countries which should levy higher duties in the case of the employment of British vessels in the trade with those countries. The concessions thus made met with only a feeble opposition, the principal Act having passed the Commons by a majority of 5 to 1. Under the authority of these Acts of Parliament reciprocity treaties were concluded with most foreign countries. A great depreciation has undoubtedly taken place in the value of ships in this country. If, while the prices of all other kinds of property had undergone reduction, the price of ships had been exempted from alteration, it would have been extraordinary, and a circumstance by no means favourable to commerce. It is not possible to estimate proportionally the degree in which this general abatement of prices has affected shipping. One ship differs from another in those qualities which determine its marketable value ; and not only so, but each ship is continually undergoing a change in those qualities. It may be fairly presumed, however, that the general fall of prices has not borne harder upon the owners of ships than upon the holders of other kinds of property, since we find from public documents, as shown in this volume, that the number and tonnage of vessels built since that fall became matter of complaint, have been greater than they were during years which are now pointed out as periods of prosperity by the shipping interest. The materials of which ships are built all participated in the fall wood, hemp, iron, copper, sail-cloth, every article that can be mentioned as portions of a ship or of her stores, had become cheaper, and as new ships could be profitably employed upon lower terms than those built in dearer times, the owners of the latter were of course compelled to accept less remunerative rates of freight. Their value in the market was, of course, affected by the same circumstance, and as no man likes to see his property made less valuable, their owners became discontented. Overlooking the obvious cause of depression, and seeing that not only were they underbid by the owners of British ships built with cheaper materials, but also by the foreign shipowner, whose vessel was built still more cheaply, they forgot the circumstances which had in a manner compelled the Government to relax our navigation laws, and attributed their losses and disappointments to the reciprocity treaties. With this feeling a deputation of shipowners waited upon Mr. Huskisson, when President of the Board of Trade, to remonstrate against the injustice of the new system, which obliged them to enter unprotected into competition with foreign shipping built and navigated so much more cheaply than their own. To meet this FOKKIGN COMMl.KCK AND NAVIGATION 509 complaint in the manner that appeared most obviously fair to all parties. Mr. Hu-k ; -> n proposed to grant k> the huilders of ships in this rouiMry ;-. drawback equal to the full amount of any duty that h;ul been paid upon the materials used in their construction ami equipment. For very obvious reasons, this proposal was not favourably received by the complainants, \vho dreaded lest the Govern- ment, by acting upon Mr. Huskisson's suggestion, should give a fresh stimulus to shipbuilding at home, and raise up new competitors, who would be able to rival them successfully in every branch of commerce. There is not any class of persons in this country, with the exception perhaps of the landowners, which has made such loud and continued complaints of distress as the shipowners have done since the peace in 1815. These gentlemen form a numerous, wealthy, and influential body, and acting as they do, in concert, with an organized committee to watch over their interests, they b;ivc always been able to command attention to their representa- tions, and occasionally to defeat such measures of Government as were seemingly opposed to their interests. It is not intended to question here the importance, in a political point of view, of our mercantile marine; that importance has always been considered so that if a sacrifice were needed on the part of the nation, in order to keep up the number and efficiency of our trading-vessels, there would be little question as to the propriety of such a course. In admitting this, it is by no means intended to allow that any such sacrifice is necessary, or that the activity of our merchants would not furnish an adequate amount of employment in those branches of commerce, where British vessels can be advantageously employed, without the necessity for inciting them by discriminating dutie.^ t" embark in any course of trade which may tend to injure other classes of the community. If this position be correct, it would be difficult to show why ships, the tools merely with which merchants work, should be more considered than the traffic itself for the conveyance of which they are constructed, why they should be looked upon, as they generally have been in this country, not as the means of commerce, but as its end. It' it, were not for political considerations, no one could have questioned that the true interests of commerce would require that hould employ the ships of any country which would best and eheajH-st perform the oHice of conveying merchandise to and from our shores. It is, indeed, no longer doubtful whether, all res' lions imposed on our foreign commerce in favour of our own flag being abolished through the repeal iu 1S4!> of mir navigation laws, 5io THE PROGRESS OF THE NATION English vessels are able successfully nay, triumphantly to compete with the ships of every other country. It is a fact, that in our trade with the United States of America, a continually- increasing proportion of British tonnage has of late years been employed. In 1821, the proportion of British vessels which entered the ports of the United States was 71 per cent., compared with the American tonnage employed in the foreign trade of the States; while, in 1835, that proportion was increased to 39 per cent., which proportion was maintained in 1844, and increased in 1849, to 55 per cent.: the actual numbers in each of the twenty-eight years, from 1821 to 1849, have been as follow : Year. 1821 . 1822 . 1823 . 1824 . 1825 . 1826 . 1827 . 1828 . 1829 . 1830 . 1831 . 1832 . 1833 . 1834 . 1835 . The increase in British shipping between the first and the last years of the series is 2584 per cent. ; but the increase in American shipping during the same time has been nearly 248 per cent. ; and in the face of this positive increase of employment we have not heard any complaints from American shipowners against the system of reciprocity under which the far greater proportionate increase of British shipping has occurred. If all the foreign tonnage that entered the ports of the United States in each of the years 1821, 1835, and 1849 were compared with the American tonnage in those years respectively, it would be found that, in 1821, the proportion was 10'65 ; whilst, in 1835, it was 47'42 of foreign to 100 American, and in 1849, it was 64'36. If, then, we compare in the same way the British and foreign tonnage that entered the ports of the United Kingdom in the same years, it will be found, that in the former year the proportion was 27 per cent.; while, in 1835, it was 35 per cent., and in 1849, 41'67 per cent. If we then turn to the halcyon days of British ship- British Tons. American Tons. Year. 55,188 765,098 1836 70,669 787,961 1837 89,553 775,271 1838 67,351 850,033 1839 63,036 880,754 1840 69,295 942,206 1841 99,114 918,361 1842 104,167 868,381 1843 86,377 872,949 1844 87,231 967,227 1845 215,887 922,952 1846 288,841 949,622 1847 383,487 1,111,441 1848 453,495 1,074,670 1849 529,922 1,352,653 British American Tons. Tons. 544,774 1,255,384 543,020 1,299,720 484,702 1,302,974 495,353 1,491,279 582,424 1,576,946 615,623 1,631,909 599,502 1,510,111 453,894 1,443,523 766,747 1,977,438 753,882 2,035,486 813,287 2,151,114 993,210 2,101,359 1,177,104 2,393,482 1,482,707 2,658,321 FORKK;N COMMKRCE AND NAVIGATION 511 owners the days to which they are accustomed to refer as the period of their greatest prosperity we shall find that this j.r<-i>' ; ; i\ w;:s eertainly not occasioned by the absence of competi- tion on the part of foreign vessels; for in each of the years as to which the records have been preserved, which occurred between the beginning of the century and the termination of the war, the proportion of foreign to British shipping which entered our ports was far greater than it is at present : In 1801 for 100 tons British, there were 84 '56 tons foreign. 1802 36-02 1803 1801 1805 1806 1809 1810 57-19 67-11 72-58 67-77 80-88 131-27 In whichever way we estimate the amount of our foreign and colonial commerce, whether by the " official value " of the custom- house, or the declared value of the exporters, we shall acquire a very imperfect test of its importance. It is not according to the money value of the goods, but according to the amount of industry which has been set in motion for their production, that we should estimate our exports ; while, on the other hand, it is the quantity and not the money value of the foreign productions that we receive in return, that forms the true measure of the sum of enjoyment which they occasion to the country. The amount of tonnage employed for the conveyance of these products from and to our shores forms, perhaps, a much better measure of the progress of our foreign trade than any computations of their cost in money. If, then. we i .ml rast the amount of shipping that entered and left our ports in the two years 1802 and 1836, we find that in the former year it amounted to rather less than half the tonnage employed in ls::r, ; UK; numbers being 3 ,448,060 and 7,061,060 .rly. In 1 sl 4, the first year of peace, the tonnage em- ployed amounted to no more than 3,764,428; but since that time the quantity has progressively increased, somewhat slowly at first, hut more raj. idly of late years. The average of the five s 1814 to 1818, was 4,147,257 tons. The averages during subsequent periods have been as follow: 1819 to 1823 4,200,332 ton*. ., 1824 1828 5,332,! 5,916,311 f- ., lv;j ,, 1838 7,056,097 6 1839 ,, 1844 9,514, I*! 5 1845 1849 13,216,620 512 The actual numbers in each of the last five years of the series were : Year. 1845 1846 1847 Tons. 12,077,305 12,415,586 14,279,196 Year. 1848 1849 Tons. 13,306,626 14,004,388 The number and tonnage of registered ships belonging to the United Kingdom and its dependencies in various years from 1803 (the earliest year to which the record extends) down to 1849 show expansion mainly in the last decade. In comparing the amount of tonnage that existed during the war with the amount since on the registry, it must be borne in mind, that in the former period a considerable part of our mercantile marine was employed in the public service, for the conveyance of troops and warlike stores, and that during a time of peace a smaller number of ships will suffice for carrying on a given amount of traffic than are required during war, when they are liable to detention for convoy. In addition to these circumstances, we must bear in mind the fact already mentioned, that where steam-vessels are employed, the celerity of their movements occasions a great saving in the tonnage required. Vessels belonging to the United Kingdom and its Dependencies Year. United Kingdom and Possessions in Europe. Colonies. Total. Ships. Tons. Ships. Tons. Ships. Tons. 1803 18,068 1,986,076 2,825 181,787 20,893 2,167,863 1810 20,253 2,210,661 3,450 215,383 23,703 2,426,044 *18H 21,550 2,414,170 2,868 202,795 24,418 2,616,965 1815 21,869 2,447,831 2,991 203,445 24,860 2,681,276 1816 22,026 2,504,290 3,775 279,643 25,801 2,783,933 1820 21,969 2,439,029 3,405 209,564 25,374 2,648,593 1825 20,701 2,328,807 3,579 214,875 24,280 2,553,682 1826 20,968 2,411,461 3,657 224,183 24,625 2,635,644 t!827 19,524 2,181,138 3,675 279,362 23,199 2,460,500 1828 19,646 2,193,300 4,449 324,891 24,095 2,518,191 1830 19,174 2,201,592 4,547 330,227 23,721 2,531,819 1835 20,300 2,360,303 5,211 423,458 25,511 2,783,761 1840 20,685 2,584,408 6,308 543,276 26,993 3,127,684 1845 24,388 3,123,180 7,429 590,881 31,817 3,714,061 1849 25,902 3,485,958 8,188 658,157 34,090 4,144,115 * The records of 1812 and 1813 were destroyed at the burning of the custom-house. f The new Registry Act (6 Geo. iv, c. 110) came into operation this year ; previously to that time many vessels which had been lost from time to time were continued in the registry, no evidence of their loss having been produced. The number and tonnage of merchant vessels built and registered in the British dominions in various years, from 1801 to 1849, are given in a table on the following page. FOREIGN COMMERCE AND NAVIGATION 513 It will be seen that the amount of new vessels was very much greater during the years 1825 to 1849 than it was during the former part of the century. The casualties to which ships are liable are evidently greater during war than in peace ; and we should assuredly have required, on that account, to build a larger number between 1801 and 1813 than subsequently, but for the number of foreign trading vessels captured between those years and admitted to the privileges of a British register. There is not any Statement of the Number and Tonnage of Vessels Built and Registered in the United Kingdom and its Dependencies in various Years since 1801 United Kingdom, Year. and Possessions Colonies. British Empire. in Europe. Ships. Tons. Ships. Tons. Ships. Tons. 1801 ... 1,065 122,593 1810 685 84,891 1814 706 86,075 158 11,874 864 97,949 1815 912 102,903 271 25,637 1,183 128,540 1816 852 84,676 422 32,725 1,274 117,401 1820 635 68,142 248 16,440 883 84,582 1825 1,003 124,029 536 80,895 1,539 204,924 1830 750 77,411 367 32,719 1,117 110,180 1835 916 121,722 455 63,230 1,371 184,952 1840 1,406 216,949 771 143,288 2,177 360,237 1845 890 124,919 638 90,696 1,528 215,615 1849 771 121,266 608 109,518 1,379 230,784 * The returns for the colonies not having been all received when this account was made up, the numbers for 1849 cannot be accurately given, and are below the truth. existing account of the actual number so admitted in each of the years, but a parliamentary return gives the number and tonnage of foreign-built vessels thus privileged, which continued in existence on the 30th September of each year, from 1792 to 1812: these vessels form part of the tonnage included in the statement already given. Statement of the Number and Tonnage of Prize Ships admitted to British Registry, which continue'/ in existence on the 30th of September of each Year from 1801 to 1812 Year. Ships. Tons. Year. BUp, Tons. 1801 j,:;-.' 369,563 1807 2,764 377.519 1802 2,827 358,577 1808 3,222 448,758 1803 2,984 307,370 1809 :5,547 UI3.327 1804 2,533 837,443 1810 3,903 534,346 1805 839,763 1811 4,023 f.36,240 1806 2,564 342,248 1812 3,899 513,044 33 5*4 THE PROGRESS OF THE NATION It is a singular fact, that notwithstanding the importance which has always been assigned to the subject of the employment of shipping in this country, there are not any public documents in existence from which a perfect account can be compiled of the number of vessels and their tonnage that entered the ports of the United Kingdom, and cleared from the same in the years that occurred between 1801 and 1814. In this latter year the custom- house of London was destroyed by fire, and for all information Statement of tJie Number and Tonnage of Vessels, British and Foreign, that entered the Ports of the United Kingdom, exclusive of the intercourse between Great Britain and Ireland, and of the Coasting Trade, in various Years from 1801 to 1849, so far as the same can be made up from records at the Custom-house ir< w AIUJQ. Year. British. Foreign. Total. Ships. Tons. Ships. Tons. Ships. Tons. 1801 4,987 922,594 5,497 780,155 10,484 1,702,749 1810 5,154 896,001 6,876 1,176,243 12,030 2,072,244 1815 8,880 1,372,108 5,314 746,985 14,194 2,119,093 1820 11,285 1,668,060 3,472 447,611 14,757 2,115,671 1830 13,548 2,180,042 5,359 758,828 18,907 2,938,870 1835 14,295 2,442,734 6,005 866,990 20,300 3,309,724 1840 17,883 3,197,501 10,198 1,460,294 28,081 4,657,795 1845 21,001 4,310,639 11,651 1,735,079 32,652 6,045,718 1849 23,646 4,884,210 13,426 2,035,690 37,072 6,919,900 Statement of the Number and Tonnage of Vessels, British and Foreign, that cleared from the Ports of the United Kingdom, exclusive of the inter- course between Great Britain and Ireland, and of tlie Coasting Trade, at various Years from 1802 to 1849, so far as the same can be made up from records at the Custom-house OUTWARDS. Year. British. Foreign. Total. Ships. Tons. Ships. Tons. Ships. Tons. 1802 7,471 1,177,224 3,332 457,580 10,803 1,634,804 1810 3,969 860,632 6,641 1,138,527 10,610 1,999,159 1815 8,892 1,398,688 4,701 751,377 13,593 1,150,065 1820 10,102 1,549,508 2.969 433,328 13,071 1,982,836 1830 12,747 2,102,147 5,158 758,368 17,905 2,860,515 1835 13,948 2,419,941 6,047 905,270 19,995 3,325,211 1840 17,633 3,292,984 10,440 1,488,888 28,073 4,781,872 1845 20,231 4,235,451 12,296 1,796,136 32,527 6,031,587 1849 22,328 4,785,428 15,275 2,299,060 37,603 7,084,488 FOREIGN COMMERCE AND NAVIGATION 515 connected with that hranch of the public service, which refers to years preceding tli.ii vml, we are obliged to depend upon returns that ha, l s 1 I, 1835, and 1849 : 5i6 THE PROGRESS OF THE NATION s O .C oo ? 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"H.2 tf S 1 c [ O2 3 * ., -4J HH Q ^ ^q .g .S g . r^ . g _, a) Tfe- 2 -w 2 co.Sg^?- ^073 H 2 3 S 3-if ""* o w 'g '~ i 'i ji s H * 3 II? 8"s "(I'll Ic-s's s'i 'tf'i i 111 9-| S g'S -ir^ fi |||3 "l|| ll if II III lll'illill WPQD^s^ofcO W 22 t SH W <1 r5 CHAPTER XXVII BRITISH FOREIGN TRADE (IMPORTS AND EXPORTS), 1850-1910 Imports *nd exports, 1850-1870 Second period, 1870-1890 Third period, 1890- 1910 Mr. Chamberlain's Protectionist campaign with its statistical basis Exports of coal and machinery The excess of imports Food and raw material Our chief foreign and colonial customers Our chief imports and exports, 1860-1910 THE preceding chapter, written by Porter and republished (with a certain number of abbreviations) as it appeared in the edition of 1851, gives a retrospect of the foreign trade of Great Britain for the first half of the nineteenth century. At the Board of Trade Porter had seen the movements he described, had helped to collect and reform the statistics which he set forth, and had developed his opinions and theories in the course of his administrative work. Shortly after his death the Statistical Abstract for the United Kingdom began to be published, and this invaluable annual publication gives the "declared real value" of our imports and exports (as well as the quantities of some principal articles), from the year 1850 for exports and from the year 1854 for imports onwards to the present time. The first two decades of Free Trade, 1850 to 1870, beginning with the repeal of the Corn Laws and Navigation Acts and marked by the two great Free Trade budgets of 1853 and 1860, exhibit an extraordinary expansion and elasticity. Thanks to improved machinery and a lowering of prices, in which other nations did not share, production was rapidly cheapened in all directions; the efficiency of labour increased even more rapidly than wages, and the profits of manufacturers and merchants kept pace with the rapidly improving conditions of labourers and artisans. In fact, trade and revenue were advancing by leaps and l-minds. while, the public rn>immy which had been learned in hard tiin* iriintained with such i i^.ur and con- siMc.ncy, that (exrepi during the < 'rim. MM \\ ;ui i-..n- taut surpluses of revenue were available for reducing taxes and relieving the 5i8 THE PROGRESS OF THE NATION consumer of many burdensome duties. Taking these first twenty years, we find that the total exports of British produce rose from a value of 71 millions sterling in 1850 to 97 millions in 1854, 135 millions in 1860, and 199 millions in 1870. Meanwhile the re-exports (i.e. the exports of foreign and colonial produce which indicate the volume of our highly-profitable emporium trade) were valued at 18 millions in 1854, 28 millions in 1860, and 44 millions in 1870. Our total imports from abroad (representing the payment for these exports as well as for shipping services and interest on capital invested abroad) were valued at 152 millions in 1854, 210 millions in 1860, and 303 millions in 1870. The greater our surplus wealth, the greater is the overflow in the shape of investments abroad and in the colonies. As these capital investments have increased, and as British shipping has increased, during the last half-century the greater must be the gap between imports and exports. In other words, the amount by which British imports exceed British exports measures the interest on our investments and the payments received by Britisli shippers for performing more than half the sea transportation of the world. The next period of twenty years from 1870 to 1890 com- mences with the war between France and Germany by which prices were at first unnaturally stimulated and British manufacturers reaped a golden harvest. The natural depression followed this inflation of values. In 1875 many commercial failures occurred. In 1878 the City of Glasgow Bank came to grief, and the depression in Germany led to a protectionist agitation and a higher tariff. At the same time Victoria and Canada adopted protectionist tariffs. In the early 'eighties the Kussian, Austrian, and German tariffs were further increased, while that of the United States was reduced. The Transvaal gold discoveries of 1885 did not prevent a severe depression of trade with much unemployment (accompanied by a " fair trade " movement) in the following year. In these years no great changes or improvements took place in taxation. Some further reductions in the tariff were effected, but in the late 'seventies the income-tax began to rise in consequence of several small wars. In 1875 our imports stood at 374 millions, our exports of British produce at 223 millions, and our re-exports at 58 millions. In 1880 the corresponding figures were 411, 223, and 63 millions respectively. In 1890 our total imports were valued at 421 millions sterling, exports of Britisli produce were 263 millions, and re-exports 64 millions. These twenty years showed a steady increase of prosperity, but there was no such sensational expansion BRITISH FOREIGN TRADE 519 in foreign trade as that which marked the first twenty years of Free Trade. The record of the last of our three periods, from 1890 to 1910, t raordinarily interesting as a study alike in commercial policy and in commercial statistics. It began with the M'Kinley Tariff, saw further progress in the demonitizatiou of silver and four great wars between Japan and China, between the United States and Spain, between Great Britain and the Boer Republics, between Russia and Japan. In 1 894 the high Republican Tariff of M'Kinley was lowered by the Wilson (Democratic) Tariff. But the Republicans, returning to otlicp in 1897, carried the Dingley Tariff, which was the high- water mark of Protection in the United States. In the following year Sir Wilfrid lender's Liberal Government in Canada retorted by according a preferential tariff with lower duties to Great Britain. About this time Mr. Chamberlain was mooting the idea of an imperial zollverein on a more or less Free Trade basis, but his schemes interrupted by the Boer War, which broke out in the autumn of 1899, lasting for two years and eight months. The war cost us 250 millions of money. It began at a moment of splendid trade and high credit. It was followed by several years of trade depression and unemployment. The capital lost could not easily be replaced, and Government securities fell 20 per cent., railways and most other stocks following suit. A small protective duty on corn (iinj>osed during the war), which was thought to be unpopular, was removed immediately afterwards. Mr. Chamberlain, who had hoped to use this tax for the purpose of bargaining with the Colonies, left the Cabinet and began to preach throughout the country a policy of colonial preference, which he gradually associated with the more popular doctrine of protection for home manufactures. He founded his proposals upon a statistical comparison of the years 1 STL' and 1 !)e convinced. The food taxes were especially unpopular, and he general elections of 1906 gave an overwhelming 520 THE PROGRESS OF THE NATION majority to the Liberal and Free Trade party. The Tariff E-eform League continued its operations, but was again defeated in the two general elections of 1910. Meanwhile at the end of 1907 the great trade boom was terminated by a crisis in the United States. It was followed by a severe depression, and the same causes that helped Mr. Chamberlain in 1902 to start a protectionist crusade produced a great anti-protectionist movement in the United States, which culminated in the Democratic victories of 1909 and the conversion of Mr. Taft to the advocacy of reciprocity with Canada and of a lower tariff with a view to reduce the cost of living. The following table from the Fiscal Blue Book, compiled by the Board of Trade for Mr. Balfour's Government in 1903, shows the statistical basis upon which Mr. Chamberlain conducted his cam- paign, and at the same time supplies the total imports and the total exports of British produce for the first twelve years of our period. We have added a fifth column to show our emporium trade : Imports and Exports (in million pounds') " Imports of Exports of Exports of Years. Total Imports. Manufactured and partly Manufactured Total Exports of British Produce. British Manu- factured and partly Manu- Foreign and Colonial Goods. factured Goods. Produce. 1872 355 63 256 233 58 1890 421 98 263 228 64 1891 435 97 247 213 61 1892 424 98 227 195 64 1893 405 98 218 188 58 1894 408 101 216 183 57 1895 417 107 226 195 59 1896 442 117 240 208 56 1897 451 123 234 199 59 1898 471 125 233 198 60 1899 485 135 255* 213* 65 1900 523 145 283' 224* 63 1901 522 142 271* 221* 67 1902 528 148 278* 227* 65 * These figures exclude the value of ships and new boats exported with their machinery, which were recorded for the first time in 1899. These exports fluctuated widely from four millions in 1903 and 1904 to ten millions in 1907 and 1908. At the commencement of the so-called Tariff Eeform movement in 1902, the opponents of Cobdenism (though generally anxious to encourage exports and discourage imports) professed to look with disfavour upon two branches of the export trade coal and machinery because these exports supplied our rural manufacturers BRITISH FOREIGN TRADE 521 abroad with the means of competition. Very little opposition was, however, made to the removal of the export duty on coal, which had been very unpopular in the coal-mining districts, and the idea of reimposing the old export duty on machinery was never pressed, as it would have antagonized a very important section of manufac- turers who, in fact, desired import duties on machinery in order to enable them to raise their prices in the home market Neverthe- less, in the first Fiscal Blue Book coal and machinery were treated British Exports (in thousand pounds sterling) of Coal, Machinery, and other Articles, 1870-1902 Y.-ar. Coal, Coke, etc. Machinery and Miinv..ik. All other Articles except Ships. Total Value of all British Exports, [exclusive of Ships]. 1870 . 5,638 5,293 188,656 199,587 1871 . 6,246 :..'."-., 210,854 223,066 . 10,442 8,201 237,614 256,257 1873 . 13,189 10,020 231,956 255,165 1-71 . 11,984 9,791 217,783 239,558 l-7f. . 9,658 9,059 204,749 228,466 1876 . 8,905 7,210 184,524 200,639 1-77 7,844 6,723 184,326 198,898 - . 7,330 7,498 178,021 192,849 1879 . 7,207 7,279 177,046 191,582 1880 . 8,373 9,264 205,423 223,060 1881 . B.7W :.'.",<) 215,277 234,023 . 9,564 11,446 220,457 241,467 18S3 . 10,646 13,022 216,124 239,792 '. . 10,851 12,717 209,457 233,025 B . 10.-. 10,715 191,767 213,115 1886 . 9,837 9,702 193,186 - 12. 725 1^7 . 10.170 10,623 201,121 221,914 1888 11. 12.494 210,696 234,535 . 11.782 1 1.672 2 1H.481 248,935 1890 . 19,020 16,411 228,100 263,581 1891 18,895 ir.. 2 13, 270 217,236 . 16,811 l'!,069 197,336 07.811 1893 . 14. 13,200 190,684 218,260 1894 . 17,372 135 185,199 216,006 . 1%4M 1 1.236 196,458 224,128 1896 . LftjiM 16,05i> 240,146 1807 . 16,' 15,181 234,220 1898 . LM 17,306 If7, 23:5,359 1899 . ,OM 1S372 213,830 256,296 1 900 . 88,- 19,620 282,604 1901 . 17,812 222. 27U . 581 18,755 231,216 .-.52 522 THE PROGRESS OF THE NATION separately, and it was shown that the exports of both had increased enormously since 1850. From 1850 to 1871 they grew simultane- ously at approximately the same rate. In 1850 coal exports were valued at 1,284,000, and exports of machinery at 1,042,000. By 1857 they had risen to over three millions, and by 1864 to over four millions apiece. From 1870 to 1902 we may give the full table (p. 521) as it appears in the first Fiscal Blue Book (Cd. 1761 of 1903). It may here be observed that coal exports are especially desirable for the following reasons : 1. Our coal fields have been shown by royal commissions to be practically inexhaustible. 2. But invention, by harnessing the tides or in other ways, may supersede coal or greatly reduce its use and saleable value. 3. A much greater part of the value of coal is due to the wages of British labour than is the case with most of our manufactured articles. 4. The export trade in coal supplies our ships with the one bulky article which we have to give in return for the many bulky articles which we buy. To discourage coal exports is to discourage British shipping and raise freights. In 1902 various uninstructed writers and speakers expressed the greatest alarm about the annual excess of imports over exports, although, had their reading of the figures been correct, it would have meant that the people of the United Kingdom were receiving far more for their exports than they were really worth. A careful examination of the facts by Sir Kobert Giffen in 1882 and 1898, and again by the Board of Trade in 1902, has, however, made the matter clear. The excess value of British imports over British exports mounted from 132 millions sterling in 1893 to 184 millions sterling in 1902, and the average for the ten years was 161 millions. In most of these years we imported more gold than we exported, and the average annual excess of gold imports over gold exports was 6 millions sterling. Taking the excess at 160 millions, about 90 millions is on account of the earnings of our carrying trade both shipowners and underwriters. This great sum of course does not enter into the returns of foreign trade. Another 90 millions, according to the estimate of Sir Kobert Giffen in 1898, was repre- sented by interest on investments abroad, against which, however, was to be set our new capital invested abroad every year. For just as the interest on investment comes in commodity imports (chiefly of food and raw materials), so our new capital exported BRITISH FOREIGN TRADE 523 abroad goes in the form of commodity exports (chiefly of railway material, machinery, and other manufactured articles), so that the excess of imports over exports is swollen by the interest on our investments and reduced by our new investments. Supposing the shipping and investment imports to remain stationary, it is certain Lliat an in< -reuse of imports will involve an increase of exports and versa. It follows, therefore, that a tariff policy which checks imports is bound to reduce exports also, since the one pays for the We must now examine the records of our foreign trade from 1002 to 1910, adding Mr. Chamberlain's index year of 1872 and the corresponding figures of the succeeding years, in order to show how his principle of going thirty years back works out in the liirht of cjrrht additional years' experience. As his purpose in so l"in<; was to show the failure of British exports to expand, it is "iily fair to continue his table in order to see how far the event has verified his prediction. If his views and forecasts were correct, we ought to see the steady decay and ruin of our chief industries in a steady decline of exports. Let us now look at the figures : 1 . Total Imports into the United Kingdom (in millions sterling) Year. 1872 354 1873 371 1874 370 1875 373 1876 . 375 Year. 1902 528 1903 542 1904 551 1905 565 1906 . 607 1877 394 1907 645 1878 368 1908 592 1879 362 1909 624 1880 411 1910 679 H.I- ports of British produce from tfie United Kingdom (in millions sterling) . 1872 1873 . Year. 1902 288 1903 . M 1874 liS'.i 1904 300 1875 '2-2:\ 190. r i 329 1876 200 1906 375 1877 198 1907 426 1878 192 1908 377 1879 191 1909 378 1880 1910 430 The general effect \sill not lie in the least altered by breaking up the figures or by subtracting particular items. It will be seen 524 that from 1906 to 1910 the exports from the United Kingdom averaged in pounds sterling just about double the exports in the corresponding period 1876 to 1880, although in the selected year, 1902, for special reasons the increase measured by gold values was quite trifling. If the system of ten-yearly averages be adopted, and the growth of population as well as changes in the value of gold be allowed for, it will be found that the years 1900 to 1910 compared with the years 1870 to 1880 show a highly satisfactory and very remarkable expansion. And this comparison is a fair one, as each of the decennial periods included years of severe depression and of great prosperity in trade. Further, if our re-export trade in foreign and colonial produce were included, our progress would appear still more remarkable. The leading exports and their fluctuations have been dealt with under separate chapters dealing with particular industries ; but it will be useful here to reproduce from the Fiscal Blue Book the data collected in 1903 in regard to the principal external sources of supply on which we depend for our food and raw material. The table on page 525 shows the principal countries from which the food supplies of the United Kingdom (other than those produced at home) were drawn in the year 1902. With the variations of the harvests throughout the world there are, of course, immense variations in the exportable surpluses of corn, so that the positions of the United States, Russia, India, Argentina, etc., change from year to year. In connexion with this subject, the Fiscal Blue Book gave some elaborate tables and memoranda on the subject of import duties and their effects upon price in countries which import food-stuffs. As to consumption, it was shown that between 1883 and 1902 the imports of wheat and flour into the United Kingdom varied between 207 Ib. per head of the population in 1886, and 306 Ib. in 1895, the general tendency being to increase gradually. In France the imports fluctuated from 10 Ib. to 120 Ib. per head, the tendency being for the imports to decline. In Germany the imports rose with fluctuations, the lowest figure being 14 Ib. per head in 1887, and the highest 86 Ib. per head in 1901. From 1898 to 1901, when the German import duty on wheat was 7s. 7d. per qr., the average price of wheat in Germany was higher by 6s. 6d. in 1898, 8s. Id. in 1899, 5s. 9d. in 1900, and 8s. 6d. in 1901. In the case of France in years of small importations when the home crop was almost sufficient for home consumption, the average price in France exceeded the average BRITISH FOREIGN TRADE 525 Imports of Food-stuffs into the United Kingdom in the Year 1902 [Value in Thousands of Pounds] ArticU*. fan a qboBVM British I',,-,--,,!.. Total. Principal Source* of Supply. ( Wheat. United States (14,496), Canada (3,194), India (2,938), Russia (2,147), Argentine Re- Wheat and flour 27,453 8,553 36,006 public (1,464). Flour. United States (7,217), Canada (870), Austria-Hungary . (392). Barley 7,107 25 7,182 Russia (2,564), Rumania (1,277), Asiatic Turkey (1,170). Oats 4,856 185 5,041 Russia (2,863), Germany (796), Rumania (471). Maize 11,607 106 11,713 Rumania (4,805), Argentine Re- public (3,551). Ki'v, rice meal, 645 1,342 1,987 India, mainly Burma (1,282). and flour Meat. United States (19,636), Argentine Republic (4,685), Meat (including animals fur fiuuh 88,352 8,737 47,089 Denmark (4,236), New Zealand (3,915), Canada (1,721). Animals for food. United States IlKXl^ I (6,507), Canada (1,731). Fish 1,316 4,106 United States (1,099*), Canada (1,074), Norway (576). Butter . . 17,993 2,684 20,527 Denmark (9,302), France (2,233), Russia (2,196), Canada (1,347). Cheesf 1,979 4,433 6,412 Canada (4,302), United States (962), Holland (668). Etfg* 6,099 210 6,309 Russia (1,510), Denmark (1,366), Germany (1,261). Fruit 11,545 1,306 12,851 Si>ain(3 ( 907), United States(l,374), Greece (1,222), Canada (606). Vegetables 3,299 776 4,075 France (1,141), Channel Islands (764), Holland (401). Sugar 13,792 940 14,732 Umiiany (9,329), France (1,853), British West India Islands (496). Tea . 810 7,977 8,787 India (4,803), Ceylon (3,134), China (457). Raw Cocoa. British West India Islands (586), Portugal (357), i and 1,841 750 2,591 Ecuador (215). chocolate Chocolate. France (502), Holland I (341). Condensed milk 1,804 3 1,807 i land (751t), Norway (198). Total of above 151,969 39,195 191,164 article* Per cent 79-5 20-5 100-0 * Mainly tinned salmon. f Value of condensed milk eT]ortMl from Switzerland to the United Kingdom iu the year 1901. The figures fur 1902 are not available. 526 THE PROGRESS OF THE NATION Countries from which our Principal Raw Materials were Imported into the United Kingdom in the Year 1902 [Value in Thousands of Pounds] Articles. Foreign Countries. British Possessions Total. Principal Countries from which Imported. Raw cotton 40,565 584 41,149 United States (29,284), Egypt (9,938), Brazil (1,088), India (567). Raw wool (sheep 3,566 16,670 20,236 Australia (9,739), New Zealand or lambs, al- (3,799), Cape Colony (2,094) 5aca and the British East Indies (666). ama tribe) (Flax. Russia (240). Flax and hemp 3,407 857 4,264 j Hemp. Philippine and Ladrone Islands (2,064), New Zealand I (474), Italy (377). Russia (308). Jute 46 5,255 5,301 India (5,254). Wood and timber 18,858 6,327 25,185 Russia (6,149), Canada (4,888), Sweden (4,563), United States (3,729), Norway (1,822). f Oils. British West Africa (1, 253), United States (904), Spain (387). Oil Seeds. British East Indies Oils, oil seeds, 9,385 5,511 14,896 (2,717), Egypt (2,419), Argen- nuts, &c. tine Republic (1,865). fc Nuts. British West Africa (292), British East Indies (including I Ceylon) (214). f Petroleum. United States (3, 542), Petroleum and 6,097 100 6,197 Russia (1,405). paraffin 1 Paraffin. United States (903). Caoutchouc 4,908 272 5,180 Brazil (3,621). Iron ore . 4,886 93 4,979 Spain (4,005). Copper ore, re- 2,684 788 3,472 Spain (1,145), Chile (541), United gulus, and States (428), Cape of Good Hope precipitate (339), Peru (290). Tin . . ' . 938 3,864 4,802 Straits Settlements (3,297), Chile (675), Australia (386). Dyeing and tan- 2,551 1,255 3,806 Germany and Holland (1,134), ning stuffs British East Indies (954). Paper-making 3,125 260 3,385 Norway (1,039), Sweden (945). materials Unmanufactured 3,889 1 3,890 United States (3, 356). tobacco Raw hides 1,943 498 2,441 Germany, Holland, and Belgium (803), Italy (299), France (266), Argentine Republic (160), Ben- gal (103). Total of above 106,848 42,335 149,183 articles Per cent. . 71-6 28-4 100-0 BRITISH FOREIGN TRADE 527 in England by considerably less than the duty. But in every year but one when French imports of wheat and flour exceeded 30 Ib. per head the difference in price exceeded the duty. There is much less variation from year to year as regards our supplies of raw materials, than as regards our supplies of food. The table on page 526 gives our chief sources of supply in 19U2. Nearly all our principal industries, it will be seen, depend largely or entirely for their raw materials upon foreign and colonial supplies. We may conclude this chapter with some observations and statistics upon the destination of our exports, and the course of our foreign trade in the second half of the nineteenth century. Nearly all the customers of the United Kingdom have improved, but they have not improved steadily or equally. In 1854 our total exports were valued at 116 millions, of which 79 millions' worth went to foreign countries, and 37 millions' worth to British possessions. In 1872, out of 315 millions, foreign countries took 249 millions and British possessions 66. In 1892, out of 291 millions, foreign countries took 210 and British possessions 81. In 1902, out of 343 millions (excluding ships), foreign countries took 227 millions and British possessions 116 millions. Taking annual averages for quinquennial periods, we find that the foreign share of our export trade (excluding re-exports) rose to 74 in the early 'seventies, whereas from 1880 to 1900 it averaged from 65 to 66 per cent. At first the United States was our largest customer, but it was superseded by India, and later also by ('id-many. The following is a list of our leading customers in 1910, with their respective imports from the United Kingdom : India (lennany United Slates . 45,000,000 37,000,000 31,000,000 Australia Franco 27,000,000 22,000,000 19,000,000 Finally, it will be instructive to show the comparative importance of our leading impnrts and expert* with tin- changes that have occurn-.l since 1860. Fur thin purpose the Hoard of Tra.l.- returns f,>r 1X60, 1880, 1900 and 1910 have been examined with the following results: 528 THE PROGRESS OF THE NATION 1860. 1880. 1900. 1910. Thousand Thousand Thousand Thousand s. s. s. s. 1. Cotton, raw . 35,756 42,772 40,982 71,716 2. Corn .... 31,671 62,857 62,992 77,298 3. Sugar .... 12,427 22,894 19,256 24,579 4. Wool .... 11,031 26,375 24,073 37,362 5. Silk, raw 9,936 3,130 916 589 6. Timber .... 9,282 15,898 27,875 26,198 7. Tea 6,911 11,613 10,686 11,390 8. Oil 6,057 5,090 8,605 5,297 9. Wine .... 4,200 6,465 5,192 6,532 10. Butter .... 4,078 12,141 17,450 24,493 11. Tallow .... 4,014 2,311 2,835 4,194 12. Flax .... 3,836 3,544 2,263 3,186 13. Copper .... 3,350 5,153 10,173 7,383 14. Hides .... 3,314 3,879 8,465 12,881 15. Silk manufactures . 2,636 13,324 15,370 12,908 16. Coffee .... 2,543 6,861 2,544 2,355 17. Spirits .... 2,066 2,096 2,064 1,522 18. Tobacco 1,777 2,877 4,799 4,624 19. Rice .... 1,026 3,755 2,408 2,644 20. Iron in bars . 659 1,214 656 693 Total imports of all kinds . 210,530 411,229 523,075 678,440 Appended is a list showing in their order of importance the first twenty articles imported in 1910: Thousand Thousand s. s. Grain and flour 77,298 Hides . . . 12,881 Raw cotton 71,716 Tea 11,390 Meat and animals for food 48,879 Chemicals 11,259 Oil seeds, etc. . 37,587 Leather .... 11,825 Wool .... 37,362 Cotton fabrics . 10,874 Timber .... 26,198 Wool fabrics 9,599 Metals and manufactures Iron and steel and manu- thereof (except iron and factures 9,093 steel) .... 24,699 Copper .... 7,383 Sugar .... 24,579 Paper .... 6,413 Butter .... 24,493 Iron ore .... 6,261 Silk 12,908 It will be observed that the majority of these articles are either food or raw materials, and that there have been many interesting changes since 1860 in the nature of our imports. But, it should be noted, some of the variations shown above are due to changes in price. A clear idea of these price changes is afforded by The Economist Index Number, the basic number of which (2200) BRITISH FOREIGN TRADE 529 ilculated on the average of the prices for 1845-1850 of twenty- two representative commodities. In January 1860 the Index Number stood at L'71: 1 ., in 1880 at 2577, and in 1900 at 2145, while in 1010 the figure was 2417. From these figures it may be inferred that the import values between 1880 and 1900 were depressed by a general fall in prices, while the figures of 1860 and of 1910 are subject to a discount. most noticeable thing about the above tables is that since 1860, wine, tallow, flax, coffee, spirits, tobacco, rice, and iron bars have disappeared from the list of our twenty largest imports, while meat (and animals for food), chemicals, leather, cotton fabrics, iron and steel manufactures, woollen fabrics, paper, and iron ore have taken their place. The growing importance of our imports of food is also very striking. Our payments for corn (chiefly wheat) have gone up by leaps and bounds since 1860, in spite of the fall in prices. Our imports of butter in 1910 were more than six times as large as in 1860, if values only are considered. Meat first began to figure in our import returns in the 'eighties when refrigerators and fold storage began to be developed. Since then it has grown in importance until it ranks third among our imports. Our imports of sugar have, as shown by the above figures, almost exactly doubled in the fifty years, but when it is added that the sugar Index Number, which stood at 114 in 1860, fell to 70 in 1880, and to 31 in 1900, but rose to 35 in 1910, it will be seen that the quantity of su^r imported rose much faster than the values. Wine and spirits show a slight increase over the period, which is more than accounted for by the rise in price the actual quantity imported having slightly decreased. Our imports of tea have gone up hy leaps and bounds owing to the heavy fall in price during the pant fifty years. This is chiefly due to the reduction of the tea duty from about 5s. to 5d. The most important group of our imports, after food, is com- posed of the raw textile materials, cotton, wool, silk, and flax. Raw cotton, which headed the list in 1860, gave place to wheat, and fell to the second position in 1880, where it has remained ever MII Index Number for raw cotton rose from 86 in 1860 to 1 10 in 1880, but fell to ii9 in 1900, and rose again to l."4 in 1910 an abnormal figure owing to the American cotton shortage. Wool shows a very big increase between 1860 and 1880, and as tin; Index Xumher decreased from 130 to 1 1 in the same rp, the increased <|u;mtity imjxuted must have been greater still. Our imports of raw wool decreased slightly in value between 1880 34 530 THE PROGRESS OF THE NATION and 1900, but there has been a big increase during the present century. The value of our imports of flax has remained fairly stationary, though the quantity has increased considerably, as the Index Number fell from 121 in 1860 to 78 in 1880, and 97 in 1910. We now present a similar list of the twenty largest exports. The details are as under : 1 1860. 1880. 1900. 1910. Thousand Thousand Thousand Thousand s. s. s. s. 1. Cotton manufactures 42,141 63,662 62,009 91,326 2. Woollen manufactures . 12,156 17,265 15,682 25,079 3. Iron and steel 12,154 28,390 31,623 43,002 4. Cotton yarn . 9,870 11,901 7,741 13,344 5. Linen manufactures 4,804 5,836 5,224 6,115 6. Wool and woollen yarn . 4,720 4,531 8,113 9,947 7. Haberdashery and - millinery . 4,004 3,874 1,534 1,090 8. Machinery 3,837 9,263 19,619 29,296 9. Hardware and cutlery . 3,770 3,520 4,163 6,424 10. Coal .... 3,316 8,372 38,619 37,812 11. Copper .... 2,999 3,657 2,924 3,344 12. Apparel 2,156 3,212 7,978 12,717 13. Leather (except boots and shoes) . 2,128 2,254 | 2,396 4,688 14. Beer and ale . 1,868 1,452 1,760 1,793 15. Linen yarn 1,801 978 934 1,197 16. Silk manufactures . . j 1,587 i 2,030 | 1,637 1,765 17. Earthenware and porcelain 1,450 2,065 3,071 4,349 18. Silk twist and yarn 826 683 425 469 19. Chemical products 593 2,384 13,154 18,571 20. Paper .... 450 1,106 1,648 3,118 Total exports of all kinds . 135,891 223,060 291,191 430,589 The following were the twenty chief articles exported from this country in 1910 : Thousand s. Thousand s. Cotton manufactures Iron and steel . 91,326 43,002 Vehicles (including railway wagons) 7,453 Coal. 37,812 Cutlery and hardware 6,424 Machinery 29,296 Linen manufactures 6,115 Woollen manufactures 25,079 Oil seeds, etc. . 5,030 Chemical manufactures 18,571 Leather 4,688 Cotton yarn 13,344 Earthenware, etc. 4,349 Apparel . Metals (not iron and steel) 12,717 Electrical goods Copper 4,117 3,344 and manufactures thereof 10,360 Paper 3,118 Wool and woollen yarn 9,947 Silk . 2,276 BRITISH FOREIGN TRADE 531 While our imports are mainly food and raw materials, our exports are mostly manufactured goods. Since 1860 haberdashery and millinery, beer and ale, linen yarn and silk twist and yarn have disappeared from the list of our twenty largest exports. Their place has been taken by vehicles (including railway wagons, motor cars, etc.), oils, seeds, etc., and electrical goods, while a new section has been introduced into the Board of Trade classification showing the manufactures of various metals. Our exports of textiles form the largest group. Cotton 'manufactures, woollen manufactures, cotton yarn, linen manufactures, wool and woollen goods, haber- dashery and millinery, apparel, linen yarn and silk manufactures are contained in this section. Cotton manufactures maintain their place easily at the head of the list, their apparent stagnation between 1880 and 1900 being due to a fall in price the Index Number for cotton cloth having fallen from 95 to 83 in that period. Our e\i -or:.-- of coal have increased enormously during the past half- century, having risen from the tenth place on our list to the third. This may be ascribed to the growth of our " tramp " mercantile marine, which finds coal an extremely useful outward cargo. In fact, it is largely owing to the bulk of coal which makes it especially useful as a cargo for a merchant vessel that would otherwise have to proceed in ballast or not go at all that our shipping trade has been able to expand so marvellously. Iron and steel goods have risen from the third to the second place on our list over the fifty years, while chemical goods have come into much greater prominence. Two comparatively new trades the iimtMi and electrical industries secured the eleventh and sixteenth places in the British export list for 19-10. CHAPTER XXVIII PROGRESS OF BRITISH SHIPPING 1800-1850. Early days of steam navigation Steam-vessels built and registered in the United Kingdom and British colonies, 1814-1844 Steam-vessels belonging to British Empire, 1814-1844 Early days of steam navigation on the Thames Steam- vessels entered and cleared in coasting and foreign trade, 1820-1844. 1850-1910. Tonnage of vessels registered as belonging to United Kingdom, 1850-1910 Tonnage of British vessels entered and cleared in foreign trade, 1851-1910 Where British tonnage is employed Development of Far Eastern and Indian trade The Suez Canal Australian trade The Atlantic traffic European and Mediterranean trade South African trade South American trade The development of our coasting trade Numbers employed on British ships, distinguishing British subjects and foreigners. history of England's maritime greatness goes back to the Middle Ages ; but it was not until the beginning of last century or thereabouts that any adequate statistics were available to exhibit the size of our mercantile marine. Porter was at great pains to collect a large amount of information showing the growth of our shipping industry during the first half of the nineteenth century. He also gathered some interesting facts to illustrate the first stages of the history of steam navigation. Our account of this early progress is drawn largely from his pages. The application of steam power to navigation, although proposed in the middle of the eighteenth century by Jonathan Hulls, and attempted in France, in the United States of America, and on the Forth and Clyde Canal between the years 1781 and 1790, was not successfully accomplished until after the beginning of the present century. The first practical application of this important improve- ment was made by Fulton, who, putting in execution the instruction he had gained from Mr. Miller, of Dalswinton, by witnessing his experiments in the Forth and Clyde Canal, established a steamboat in 1806 or 1807 which plied successfully on the river Hudson, between New York and Albany a distance of 160 miles. The first steamboat that was worked for hire in this kingdom was the Comet, a small vessel of 40 feet keel and 10| feet beam, with an engine of three horse-power, which plied with passengers on the Clyde in 1811 ; two years later the Elizabeth, of eight horse-power, PROGRESS OF KKITISII SHIPPING 533 and the Ulyd*\ of fourteen horse-power, were placed on the same river. Since that time the progress of this invention has been very rapid. Ft <>m a return m;ide by the Registrar-General of Shipping, it appears that in the year 1844 there were employed at different ports in the United Kingdom, and her colonies, 988 steam-vessels, the aggregate burden of which was li'fi.075 tons, namely: Y. Mbk Tons. In the Ports of England . . . 679 ,, Scotland . . .137 Ireland . . .81 In Guernsey, Jersey, etc. . . .3 In the Coloni.-.-s . . .88 75,047 20,666 17,519 445 11,998 988 125,675 These were exclusive of vessels belonging to Government. The number and tonnage of steam-vessels built and registered in the Unitml Kingdom and the British colonies, every ten years from 1814 to 1844, have been as follow: XUam-ve&sels built and registered in the United Kingdom and the British Colonies 1814 I 1824 1834 1844 England. Scotland. Ireland. United Kingdom. Plantations. Total. en 5 H 1 4 1 ' v '. IV< 'A d Vessels. 2 2 Vessels. 1 J 4 I : r- : 5 5 10 13 285 547 l,67f. 2,456 2 807 B 17 36 65 285 2,234 ." . 1 '_' - 6,113 1 3 8 387 628 817 6 17 39 73 672 2,234 5,756 B,9M Tli< progress every ten years from the first introduction of steamships was a* under : Steam-vessels belonging to the British Empire, every Ten Years, 1814 to 1844 KnglamJ. Scotland. 1834 ' -:>,u\- I:;T DoM Ireland. gj^H 409 1 114 11,733 etc. ;n Total. m 6,6416 462 11.'- >- 4fi6 -.;... i .' 534 THE PROGRESS OF THE NATION Porter adds the following interesting account of the early days of steam navigation on the Thames : " It is scarcely half a century ago since tilt-boats for the conveyance of passengers to and from London to Gravesend were, in shape and speed, just what the Trinity-house ballast-lighters are at present, and taking four tides and more for the completion of the voyage. They were succeeded by the Dundee boats, which were, as fast sailers, both the wonder and admiration of all who witnessed the improvement. They, however, were of the most inconvenient nature, as the passengers were frequently not only called upon to embark in the middle of the night, in order to have the first of the flood, and after tacking and beating about, together with sometimes too much wind, sometimes too little wind, or none at all, besides being huddled in a low inconvenient cabin, were frequently, after being six or eight hours on the water, compelled to land at Woolwich, Blackwall, or Greenwich, and then have to find their way in the best manner they could to the metropolis. At length the progress of science introduced steam for the ferry, which, however, at first, generally took from five to seven hours to arrive in London, a length of time it was considered a desideratum to lessen. On Sunday last the Diamond started from the Gravesend pier at 4 p.m., landed her passengers in London and returned, and at 9 minutes before 8 o'clock was again at her moorings off the town pier : thus performing the two voyages, a distance of 64 miles, in 3 hours and 40 minutes, including stoppages. It should have been stated that the vessel had the advantage of a favourable tide, both in ascending and descending the river." The number of passengers conveyed between London and Gravesend by steam-packets in 1835 was ascertained by the col- lector of the pier-dues at the latter town to have been 670,452, not one in a hundred of whom would have been induced to make use of the Dundee boats just described. It was stated in evidence before a Committee of the House of Commons in 1836, that at least 1,057,000 passengers, including those to and from Gravesend, pass Blackwall in steam-vessels every year. The number of pas- sengers conveyed by the Hull and Selby steam-packets in the twelve months which preceded the opening of the Leeds and Selby Eailway was 33,882, whereas in the twelve months that followed that event the number conveyed was 62,105. The table next given is interesting, because it exhibits a statistical history of steam navigation, as applied to commercial purposes in this country, from its first adoption to the end of 1844. The figures do not include vessels arriving and departing in ballast, or with passengers, which are not required to enter at the custom-house. Steam-vessels were not employed in this kingdom for conveying goods coastwise previous to 1820, and, except for carrying passengers, such vessels were not engaged in foreign trade earlier than 1822. PROGRESS OF BRITISH SHIPPING 535 Ircount of the Number and Tonnage of Steam-vessels, including their repeated Voyages, which entered the Ports of the United Kingdom and cleared from the same in every Ten Years from 1820 to 1844; dis- tinguishing the Vessels employed in the Coasting Trade from those engaged in Foreign Voyages, and separating Foreign from British Vessels Year. 1 .N \s ABD6. Coasting Trade. Foreign Trade. BritUh. MM*. Foreign. ToUl. VYs..,.;,. T.JT.-. v~*. Tons. Vessel*. TOM. Vessels. 9tm 1 VJ, I 1824 . 18S4 . 1844 . 9 888 I'MiTT 16,669 605 1S4.073 1,781,762 MIMia 139 988 3,124 10,898 L4,7tO 607,649 8 12 668 ':U2 3,184 86,917 146 1,000 MV 11,206 149,884 mjm OUTWARDS. 1820 . ,1884 . . 1834 . 1844 . 1,107 9,972 16,600 147,623 i,74t,ey> 3,270,499 208 890 3,083 16,798 137,1. : 491,115 8 67 689 416 12,018 85,178 S18 968 3,632 18,211 149,826 678,291 In 1850 the net tonnage of vessels registered by Lloyd's as belonging Jo the United Kingdom was 3,565,133 net tons, in 1910 it was 11,555,663 net tons. These figures by themselves show how greatly our shipping developed during the last half of the nine- teenth century a development that counts as remarkable even during that period of rapidly-growing industries. The growth of our mercantile marine between 1850 and 1910 is indicated by the following figures, which show the total number and net tonnage of vessels registered as belonging to the United Kingdom (with Jersey, Guernsey, and the Isle of Man) every ten years from 1850tol909 : Vo< Sailing. Staam. Total. No. N.-t Tonnage. No. Net Tonnage. No. Tonnage. Net Tons. Net '1 Net Tons. i *:.o . 24,797 8,896,669 1,1-7 168,474 16,984 3,56. I860 . 25,663 4,204,360 2,000 454,827 I7.MI 4,658,687 1870 . 4,577,865 3,178 1,112,934 M,M7 5,690,789 1880 . 19,938 3,851,045 5,247 25,185 6,574,613 1890 . 14,181 ..021 7,410 5,042,517 21,591 7,978,638 1900. 10,773 2,096,498 7,207,610 19,988 9,304,108 1910. 9,090 1,112,944 1,205,062 10,442,719 21,090 11.555,663 536 THE PROGRESS OF THE NATION As might be expected the noticeable feature about the above table is the decrease in the number of sailing ships on the Eegister and the increase in the number of steamers. The figures also indicate very clearly the increase in the size of ships, for in 1860 there were 27,663 vessels of 4,658,687 tons on the Register, while in 1910 the number of vessels had decreased to 21,090 but the net tonnage had increased to 11,555,663 tons. The development of the large ship is dealt with at greater length in a section on shipbuilding in the chapter on the machinery and engineering trades. Coming next to the proportion of British ships employed in our oversea trade, we find that numbers entered and cleared at British ports give some idea of the growth of our shipping. The following are the figures : Net Tonnage of British Vessels entered and cleared (with cargoes and in ballast) at Ports in the United Kingdom for Ports in Foreign Countries and British Possessions Entered. Cleared. Sailing. ' Steam. Total. Sailing. Steam. Total. 1851-1860 1861-1870 1871-1880 1881-1890 1891-1900 1901-1910 1,731,691 28,072,810 675,818 35,716,988 1 5,873,168 9,987,752 16,272,467 23,527,108 29,804,501 36,392,806 1,816,749 646,807 28,270,734 36,022,652 5,976,612 10,121,746 16,699,528 24,090,862 30,087,482 36,668,459 It will be observed that the period of greatest growth was during the 'seventies and 'eighties of the last century, and, of course, there has been a large decrease in the number of sailing vessels entered and cleared with a corresponding increase in the number of steamers. The number of vessels entered and cleared at British ports, however, only gives a partial idea of where British tonnage is employed. Much of it is employed entirely abroad. The following figures have been extracted from the Board of Trade tables to illus- trate the progress of merchant shipping in the United Kingdom and the principal maritime countries of the world. They show the total entrances and clearances for the years 1890 and 1908 of all the merchant shipping of the great maritime powers, distinguish- ing that of the United Kingdom, the British Empire, and foreign countries. PROGRESS OF BRITISH SHIPPING 537 ,907 net tons in 190S that is more than doubled. The entrances and clearances of British vessels increased from 171,U,SU,240 net tons in 1890 to 283,589,610 in 1908 an increase of about ]>er cent. A rough idea of the British tonnage trading between the I'nited Kingdom and foreign countries, and the tonnage trading entirely let\\ven :''>:>'i-n countries, can be obtained by doubling the amount of British tonnage entered and cleared in (he I'nited King- dom and subtracting this total from the total amount of liritish tonnage entered and cleared of all th maritime powers. It is, of course, necessary to double the figures tm the Cnited K dom, as, when statistics oi . u; i.mces and clearances are taken for 538 THE PROGRESS OF THE NATION one country, one end of the voyage only is recorded. This method is, however, very rough, as on a long voyage a vessel may be entered and cleared at as many as half a dozen countries. If we do this for 1890 figures we find that out of a total of 171,080,240 net tons of British ships entered and cleared there were 107,946,224 net tons of entrances and clearances of vessels trading between foreign countries and British ports, while the entrances and clearances of British vessels trading mainly abroad amounted to 63,134,016 net tons. In 1908 we find that the entrances and clearances of British vessels trading between home ports and foreign countries amounted to 155,739,544 net tons, while the entrances and clearances of British vessels trading chiefly between foreign countries, amounted to 127,850,066 net tons. If we work out the proportion of our tonnage that was trading chiefly between foreign countries we find that in 1890 about 37 per cent, traded mainly abroad while in 1908 the proportion had risen to about 45 per cent. These figures are extremely satisfactory as they show that British ships are gaining a larger and larger share of the world's commerce. But, on the other hand, it should be noted that the proportion of foreign vessels entered and cleared at British ports increased from 27'4 per cent, in 1890 to 40 '8 per cent, in 1908. This increase can partly be explained by the growth of the big foreign shipping lines notably the German lines that use English ports as ports of call. The increase in the number of British entrances and clearances indicated by the above figures is stupendous, though in some cases the relative increase is of course less than in the case of foreign vessels. Much light is thrown on the expansion of our maritime com- merce by the history of the great shipping lines that trade in various parts of the world, and a brief survey of the growth of some of our bigger lines may be of interest. Let us first take our trade to the Mediterranean, India, and the Far East. Ever since the formation of the East India Company and our conquest of India our trade with India had been growing in importance, and with the advent of the steamship it is not surprising that attempts were made to establish steam communication with that country. " Soon after steam navigation began to attract attention in Great Britain," says Mr. Feuwick Allen in his book The History of Steam Naviga- tion, "a public meeting was held in London (1822) for the purpose of forming a steamship company to trade between England and India." The first route selected was that via the Cape of Good Hope, the old trade route to India. The first steamboat to make PROGRESS OF BRITISH SHIPPING 539 thin voyage was the Enterprise, owned by the East India Company, and about, this early experiment Porter writes: "The voyage made in 1 8 '2 6 by the Enterprise to Calcutta was considered a failure and doubtless had for a time considerable influence in deterring our merchants from undertaking distant steam voyages." Other experi- n u i its of the same kind were, however, made and with perfect success. A Committee of the House of Commons was appointed in June 1837 to inquire into the best means of establishing a communica- tion by steam with India by way of the Red Sea. The inquiry thus begun was cut short by the sudden termination of the session, but the evidence collected by the committee contained information of great interest, tending to show the advantages to commerce that must result from so great an acceleration of correspondence. It was stated to this committee by Sir John Hobhouse, then President of the Board of Control, that in August 1834 the Directors of the East India Company, acting in furtherance of a recommendation made by a Committee of the House of Commons, which sat in that year, sent directions to the Governor- General of India to dispatch a steamship at stated periods from Bombay to Siit-/. In order still further to expedite the transmission of mails between India and England, the Governor of Bombay, and subse- quently the home authorities in England, established a dromedary post from Bagdad to Damascus, and thence to Beyrout, on the coast of the Mediterranean, to which port the voyage of the steam- vessel that before plied to Alexandria was extended. In 1836, as a result of this improvement, the overland mails began to bring di.-[ai< -h - from London to Bombay in from seven to nine weeks, and in 1837 a regular monthly steam communication was estab- lished via the Red Sea by arrangement between the Government and tin- East India Company, the route being London to Marseilles, Marseilles to Malta and Suez, Suez to Mocha, and Mocha to Bombay. The mail communications between this kingdom and its eastern empire continued on the above footing until IS41, when the (lovrrnmrnt entered into a contract for the conveyance of the mails between England and K^ypt, with tin- Peninsular and Oriental Steam Navigation Company, which undertook further to employ powerful steam-vessels for the carrying of letters and passengers between Sue/, Ceylon, Madras, and I'.-ilcu:- ids th-- expenses of which the East India Company undertook to contribute 20,000 540 THE PROGRESS OF THE NATION per annum for five years. When this arrangement had been for some time in operation, a further extension of the plan was found necessary, and an agreement was made to the effect that the Govern- ment should contribute 50,000 per annum towards the expense of the line of steam-packets between Bombay and Suez, 115,000 per annum for the service between Calcutta and Suez, and 45,000 for the service betwen Ceylon and Hong-Kong, making in all 210,000, of which sum one-third, or 70,000, was repaid by the East India Company. " There is reason for believing," continues Porter, " that the passage by the Mediterranean route to India may be further facilitated by the construction of a railroad between Cairo and Suez, which would open a more direct communication than the dromedary post already mentioned. The isthmus has been surveyed for this object by an English engineer, and a considerable part of the materials for the railway has been collected by the Pacha of Egypt. When finished, the distance between Cairo and Suez (80 miles) might be traversed in four hours. The traffic between these places is at present con- siderable in the articles of coffee, drugs, and grain. If the time consumed in passing across the desert were reduced, as it might then be, to four hours, and the charge for conveyance were moderate, the trade would assuredly be much increased, and other goods would find their way from India to Europe by the same means. Silk, spices, gums, shawls, and various other articles which are valuable in proportion to their bulk, would be sent by this route rather than round by the Cape of Good Hope, because the saving of time would more than compensate for the difference in the expense. Another project, the cutting of a ship - canal between the Mediterranean and the Arabian Gulf, has been seriously proposed, and surveys have been made which seem to show the reasonableness of the proposal. Such a shortening of the route between Europe and Asia must be followed by consequences the importance of which to this commercial country it would not be easy to estimate." The Suez Canal, opened in 1869, was, as Porter predicted, one of the most potent factors in stimulating our trade with the Far East. The British India Steam Navigation Company had the honour of sending the first steamer through the canal, and their vessel, the India, was the first steamer to arrive in England via Suez carrying British produce. The record of vessels that passed through the Suez Canal every ten years since 1870 is as follows : PKCHIKESS OF 1MITISH SHIPPING 541 No. of Vessels. QMH Tonnage. Net Tonnage (Suez Canal measurement). Mean Net Tonnage per total 1870 . 486 654,915 436,609 898 1880 . 2,026 4,344,520 3,057,422 1,509 > . 1,889 9,749,129 6,890,094 2,038 1900 . . . 3,441 13,699,237 9,738,152 g,8M 1910 . 4,533 23,054,901 16,581,898 3,658 The figures showing the meau net tonnage per vessel are exceptionally interesting, as they afford a very good indication of the growth in the size of the world's shipping. The nationalities of vessels passing through the canal have been distinguished in the returns since 1882, and the British tonnage that passed through irious years since is as under : No. Tonnage. 1882 2,565 4,126,253 1890 ...... 2,522 5,331,095 1900 . . ... 1,935 5,605,421 1908 2,233 8,302,802 The growth of the Peninsular and Oriental Steam Navigation Company affords some idea of the development of steam navigation to India and the East. The company was started in 1834 and established a service with India via the Mediterranean and Red Sea. But, of course, before the cutting of the Suez Canal, passengers and merchandise had to journey over some 100 miles of desert. This was known as the overland route. In 1852 the P. & 0. started its Australian services, and sigce that date its growth has been constant. Other important shipping companies trading with India and the Far East are the British India Steam Navigation Company, the Orient Company, Messrs. Shaw, Savill, and Albion, the White Star Line (Ismay, Imrie, & Co.), Messrs. Bibby Bros., and Messrs. T. and -f. Hrocklebauk. The following figures, showing the entrances and clearances of British and Colonial vessels with India and the other important countries in the Far East, indicate the growth of our shipping industry in the Orient: India. Australia. New Zealand. Japan. Tons. N.tTons. Net Tons. 1880 . 71'.-. 1890 . .',256 1.1 Jr., 972 1900 . 7,03'.' 1. Ml, 860 r,M8,lM 1908 . 10,7!'. 6,318,621 2,591,947 % 12,803,724 542 THE PROGRESS OF THE NATION The first attempt to establish a steamship service across the Atlantic was in 1832, when an Act of Parliament was passed in- corporating the Valentia Transatlantic Steam Navigation Company. The proposal was to establish a service from Valentia on the west coast of Ireland to New York ; the ships to coal if necessary at the Canaries. This early scheme fell through, however, from lack of public support. The early steamship voyages across the Atlantic are described in the section on shipbuilding. The City of Dublin Steam Packet Company was among the pioneers of early Atlantic Steam Navigation, and in 1838 their steamer the Royal William completed the passage from Liverpool to New York in nineteen days and the homeward passage in fourteen and a half days. The Cunard Company has been connected with the trans- atlantic steam navigation almost from the first, for it was in 1840 that the company's first steamer the Britannia made her maiden voyage across the Atlantic. Since then the Cunard Company has maintained a regular service of boats and has gained a high reputa- tion for efficiency and speed. Their early struggles with their great American rivals, the Collins Line, are extremely interesting but too lengthy to be detailed here. The other leading transatlantic line, the White Star, which is now partly under American control, was founded in the middle of last century, and was first concerned with Australian trade during the " gold rush " of the 'fifties. It was not until 1867, when Mr. Thomas Ismay became managing owner, that the company began to compete for the North Atlantic traffic. In 1902 Mr. J. Pierpoint Morgan formed his great shipping combine, and the White Star Line was one of the companies that he pur- chased. His attempt, however, proved a financial failure. The White Star maintains the British flag. Another important Atlantic shipping company is the Allan Line. Its service commenced in 1859, and its vessels run chiefly to Canada. Two other big North Atlantic shipping companies are the Canadian Pacific Railway and the Dominion Line. United States. i Canada. Newfoundland. Net Tons. Net Tons. Net Tons. I860 ! 4,067,632 363,749 1870 i 9,247,169 1,142,481* 307,721 1880 j 15,807,135 2,348,372 553,549 1890 I 16,272,680 5,002,333 590,006 1900 I 24,883,543 5,528,002 1,140,394 1908 i 31,140,437 6,555,096 1,029,072 * Figures for Ontario, Quebec, New Brunswick, and Nova Scotia only. PROGRESS OF BRITISH SHIPPIV, 543 The entrances and clearances of British shipping in the United States of America, Canada and Newfoundland since 1860 have been as shown in the foregoing table, and indicate the growth of British shipping in the North Atlantic. British boats have, of course, long traded with Europe and the Mediterranean. With the advent of the steamship this ancient trade naturally grew very rapidly, as the following figures of entrances and clearances of British shipping at the principal European maritime countries show: Russia in Ktirope. Norway. Sweden. Denmark. Germany. 1880 . 1890 . 1900 . 1908 . 6,423^570 6,296,974 7,220,167 Net Tons. 471,979 781,18 672,644 928,672* Net Tons. 928,553 2,207.114 1,694,157 1,349,850 Net Tons. "17, 426 932,918 919,609 1,036,620 Net Tons. 4,984,473 7,406,231 7,854,999 11,286,750 Holland. Belgium. France. Portugal. Spain. Italy. - ' . 1890 . 1000 . 1908 . Net Tons. 3,409,791 5,665,958 7,881,065 8,601,213 Net Tons. j:*,704 6,167,174 7,564,392 12,403,161 Net Tons. 10,161,902 12,736,319 15,544,595 20,759,395 Net Tons. 3,622,177 5,656,908 11,348,078 13,791,7l9f Net Tons. Net Tons. 3,377,513 8,039,759 7,036,278 7,854,981 7,768,85 10,796,417 13,89,867 1907 figure*. t 1905 figures. The Cape of Good Hope and South Africa generally have long su] 'plied a valuable trade route to British shipping. The Union- Castle (Donald Carrie & Co.) and Messrs. J. T. Rennie & Sons are both well-known lines running to the Cape. The West African trade is rim-fly in t,l 10 hands of the Elder Dempster Line (African Steamship Company). The growth of this trade is shown by the entrances and clearances of British shipping at the Cape of Good Hope and Natal which are as under : 1880 1890 1900 1908 Cape of Good Hope. 1,376,905 2,599,127 8,588,713 5, 006, 827 t Natal. 355,528 926,831 2,546,485 4,203,261 * Inclusive of the tonnage of Iran sj torts carrying stores, bat exclusive of the tonnage of those conveying troops. tThe figures in 1906 ami subsequent years were compiled hy the Smith African Customs Statistical Bureau, and exclude vessels trading with Natal previously in. luded. These particulars are therefore not strictly comparable with those for earlier yean. 544 THE PROGRESS OF THE NATION Our trade with South and Central America, Mexico and the West Indies has of late been expanding rapidly. For many years past not only has a large amount of British capital been profit- ably sunk in Argentina, Brazil, Chile, etc., but a large portion of the foreign commerce of the whole South American continent is carried in British ships. To mention a few of the lines that trade with South America only, we have the Booth Line, the Elder Dempster Line, the Eoyal Mail Steam Packet Co., Nelson Line, and a host of other important companies. The following are the entrances and clearances of British ships with Chile and Argentina, and they afford some idea of the growth of our trade with South America : Chile. Argentina. 1880 .... 1,917,341 848,235 1890 .... 2,702,378 4,998,090 1900 .... 3,003,403 3,917,001 1907 .... 6,732,679 7,068,816 One of the most important branches of British shipping is, of course, the coasting trade. Unfortunately, as Porter observes, the custom-house does not contain any records from which the amount of our coasting trade in general can be ascertained for any period earlier than 1824. From 1825 to 1845 the tonnage of coasting vessels that entered inwards at ports in Great Britain from other ports in Great Britain every ten years, including their repeated voyages, has been as follows : Tons. 1825 ...... 8,651,783 1835 ...... 9,054,769 1845 . ... 10,974,831 A large amount of this tonnage was engaged in the conveyance of coals coastwise between different parts of the kingdom. The arrivals in the port of London alone in 1834 and 1844 were Ships. Tons of Coals. 1834 7,404 2,080,547 1844 ... . 9,466 2,563,166 During the second half of the nineteenth century our coasting trade, of course, developed very greatly. The following figures show the total net tonnage of British vessels entered and cleared coast- wise at ports in the United Kingdom. The figures are ten-yearly averages. PROGRESS OF BRITISH SHIPPING 545 Entered. Cleared. Average Sailing. Steam. Total. Siling. Steam. Total. Net Tons. Net Tons. Net Tons. ! Net Ton*. Net Tons. Net Tons. 1851-1860 14,255,242 1861-1870 17,616,800 1871-1880 22,687,800 21,791,970 1881-1890 '1891-1900 1901-1910 7,982,637 4,731,338 44,017,869 50,928,954 27,260,142 52,000,506 55, 660, 292 i 7,082,903 4,686,028 40,413,420 50,130,180 25,120,143 47,496,323 54,816,208 1 N.B. Tonnage entered and cleared at Irish ports was included in the returns for the first time in 1856. * Since 1891 the returns are for vessels entered and cleared in cargoes and in ballast, but prior to that date with cargoes only. The following information showing the number and nationality of persons employed on British vessels may be of interest : Number of British and Foreign persons employed in British vessels, exclusive of vessels employed in rivers and for inland navigation * * 1 | g *fl "S* $ fi n'S^f s? o o &n"S, iiJ .ts e^^ 'fill "3 1 If Year. s 11 si cSS.^g' Sl* 1 I" 8 -! I- m'O fc. _ 7? C. ~**3 fl t^^ 00 III 3 3 o a s'2 1 ^3o a J o-ffl ^ > fi 3 E 11 9 | ^ '- isfri 1 X. M* a E -8 B A to 1 1860 157,312 14,280 171,592 9-08 Cannot be stated. 1870 177,951 18,011 195,962 10-12 Do. 1880 169,692 ^3,280 192,972 13-72 Do. 1890 ; 186,147 27,227 213,374 14-63 22,734 236,018 1900 174,532 86,893 211,425 21-14 36,023 247,448 1908 196,834 34,785 '231,569 17-65 44,152 276,721 The proportion of foreigners to British subjects employed on British ships increased very rapidly from 1860 until it reached its maximum of 22'88 in 1903, since which date it has steadily declined. 35 CHAPTER XXIX INTERNAL COMMUNICATION Introductory Roads Canals Railways : railway statistics The gauge Speed Competition Receipts Expenditure I. INTRODUCTORY THERE is probably no department of public affairs which shows more remarkable and rapid progress than that of internal communication. This is true whether our standard be 1800 or 1850. When we review the facilities for travel and transport of all kinds existing in Great Britain at the present day, and compare them with the conditions prevailing in 1850, it is amazing to find Porter writing : " There is not any circumstance connected with the internal condition of England which more strongly excites the admiration and envy of foreigners than the degree of perfection to which we have brought our means of internal communication. The skill and labour that have been applied to this object are among the chief exciting causes of that high degree of activity which characterizes and pervades the productive classes in every part of the country. The perfection to which we have carried the means of transporting persons and property from one part of the kingdom to another has indeed become one of our national characteristics." And our in- dustrious predecessor could add, with just pride, " We have done more than any other nation of Europe for facilitating communications from and to every nook and corner of the land," at a time when travelling was still for the most part accomplished by stage-coach, and goods conveyed either by pack-horse or canal-boat : when the performance of the journey from High Wycombe to London by an express train in an hour and three-quarters was regarded as a feat, and it was held to be a matter for congratulation that " there is not any spot south of the county of Durham at a greater distance than fifteen miles from water conveyance." 546 INTERNAL COMMUNICATION 547 Such satisfaction may help us to realize the vast strides made in the last half-century. At the same time, a generation that is witnessing the conquest of the air may feel that what has been accomplished will prove less sensational to what is to come. 2. ROADS Ruskin said that "all social progress resolves itself into the making of roads." When Porter wrote, the main roads of England had recently been reconstructed on scientific principles due to John Loudon M'Adain. New roads were being created and their surface im- proved. This was, of course, of great importance at a time when most persons moved about the country by coach or carriage, for the improvement in the roads rendered a more rapid rate of progression feasible. Porter notes, " On all the principal roads communicating with London, the rate of travelling by the turnpike roads is now nearly or quite ten miles an hour, nor is it in celerity alone that improvement has been made. It might have been supposed that, to attain so high a degree of speed, the personal safety of passengers would be further endangered, but the very contrary is the fact, so that, notwithstanding the rapidity with which we are whirled along, the number of accidents is actually lessened, a result produced by the better construction of the carriages, the greater perfection of the harness, . . . and, more than all, by the superior character of the drivers a steady, well- conducted, and sober class of persons having taken the place of men with habits and characters the very reverse." These main or turnpike roads were controlled by Turnpike Trusts and Highway Boards, constituted in different districts .by Act of Parliament, and maintained by means of tolls levied for that purpose, in accordance with ancient usage, upon those travelling vcr them. Toll-gates or toll-bars were placed at intervals to collect these dues. The unpopularity of the tolls was testified by the disturbances which broke out in Wales in 1843 under the name of the " Rebecca Riots." Bauds of people, often amounting to as many as five hundred, and frequently disguised as women, broke down the turnpikes at night. A strong military force was required to put the riots down. Popular feeling was on the side of the rioters, and the Commission appointed to inquire dealt lightly with the offenders. Tolls were first abolished in Ireland, the last 548 THE PROGRESS OF THE NATION there in 1857. In England 27 toll-bars near London and 81 on the north side were abolished in 1864: in the next year 61 on the south side were swept away. But in 1871 there was still a toll-house every six or eight miles in most parts of the country, and about five thousand men were employed as collectors. Every toll-bar had its board showing the rates for carts, horses, cows, etc. The Koads and Bridges Act of 1878 abolished tolls in Scotland, the last disappearing from that country in 1883 ; but it was not until 1889 that the system of tolls in Great Britain was finally superseded by the present mode of arrangement. The only survival of the old method is seen in the bridge-tolls (abolished in London in 18781879) and pier-tolls levied in many parts of the country. The Highways Act of 1870 assigned one-half of the cost of maintenance of main roads, which then ceased to be turnpike roads, to the county, to be met by a county rate. The Local Government Act of 1888 levied the whole burden of their upkeep upon the county. To-day the administration of roads, maintenance, paving, drainage, cleansing, repair, etc., belongs to the sanitary authorities, that is, to the councils of municipal boroughs acting under the Public Health Acts of 1872 and the Highways Act, and generally to the councils of urban districts other than boroughs, to the metro- politan sanitary authorities, and to the sanitary, highway, and other authorities in rural areas. These said sanitary authorities are responsible for a larger share of local rates than any other group of local authorities and for an increasing proportion of those rates. In 19051906 the cost of the upkeep of roads in rural districts (exclusive of main roads), made up more than a half of the total expenditure of rural district councils. In 1905-1906 the sanitary authorities generally spent 7,500,000 on the upkeep of highways outside London. Kecently the question of roads and their upkeep has acquired a new importance from the advent of the motor-car. As the Chancellor of the Exchequer declared, in introducing the Budget in 1908, "It is quite clear that our present system of road-making is inadequate for the demands which are increasingly made upon it by the new form of traction." In 1909 the number of private motors was estimated at 55,000, and this total, as well as that of public omnibuses and taximeter cabs, is increasing daily. In some districts the destruction wrought by pleasure cars has doubled the cost of road maintenance, and the motor licence duties have not compensated ratepayers for their losses. INTERNAL COMMUNICATION 549 3. CANALS iVrhaps the most important means of transport, especially coal transport, existing in the beginning and middle of the last century, was provided by canala The great period of canal construction in England dates from the undertakings of the Duke of Bridgewater and his engineer, James Brindley, who, " to the last illiterate, hardly able to write, and quite unable to spell," nevertheless became " the father of inland navigation." In spite of strong opposition from the turn- pike trustees canal construction spread. The Duke expended ^JL'0,000 on works from which he soon derived an annual income of 80,000 ; and the superior facilities for goods traffic afforded by canals, as well as the high dividends to be made from them, caused what almost amounted to a canal mania in the last decades of the century. In 1792 eighteen canals were promoted, and 45 Acts of 1 'a rl lament for the construction of canals were presented between 1792 and 1794. Shares went up to a very high price. Canals paid by dividends and charged heavy rates. For half a century indeed canals had everything their own way. Between 1800 and 1850 more than thirty separate canals were cut, covering over 600 miles in length ; and the total mileage of the navigable canals used for the transport of goods and produce was estimated at over 1800 miles. In 1906, when the Royal Commission on Canals was appointed, though there were 3900 miles of canals the greater part of the system was of very little use for traffic, and part of it actually in disuse. Many canals are now being run at a loss. The reason of this changed aspect of things is partly that railway development ollered a better, quicker, and more advantageous moans of transport. For long the canals resisted the railways; but, instead of attempting to undersell them, as they might have done at a stage when the railways were burdened with the heavy capital charges, they ruined themselves l>y exorbitant rates. When they did lower their rates it was too late. In the period 1840-1860 many canals found themselves unable to pay expenses and practically forced the railway companies to buy them uj>. In 184 a the control of canals by the railway companies was expressly sanctioned by Parliament, and in the two following years a great deal of canal mileage came into their possession. In many casi-8 the investment proved far 1'ioni ].i<- titable many companies are maintaining canals at a loss. An 550 THE PROGRESS OF THE NATION example may be given of the canals owned by the Great Western Railway for the half-year ending December 31, 1904, indicating loss of over three thousand pounds for the half-year. In 1883 there were no less than 1717 miles of canal under railway control. TABLE I. Canals Canal. Capital. Expenses. Revenue. Brecon 61,247 Bridgewater and Taunton 73,989 1,663 728 Grand Western . 30,629 164 118 Kennet and Avon 209,434 4,653 2,145 Swansea 148,861 2,103 2,883 Monmouthshire . 1,519 897 Stratford-on-Avon 172,538 1,164 756 Stourbridge Extension 49,436 462 757 Total 746,134 11,728 8,284 That the canals have been unable to maintain themselves against the competition of the railways is true. Even the Leeds and Liverpool, a comparatively flourishing one, paid only 1 per cent, in 1907. The reason for their failure to maintain them- selves is found in the superiority of railroad transport. England possesses few navigable rivers, while the inequalities of the land and its extremely hilly character place great natural difficulties in the way of an efficient canal system. Other real causes for the decline of canals are the number of locks and the time occupied in getting through them. On the waterways of England and Wales there are no fewer than 2377 locks, or one lock for every mile and a quarter. The Rochdale Canal, 344 miles long, has 92 locks between Manchester and Sowerby Bridge. The average capitalized cost of each lock is 1360, and it takes a boat four minutes to get through. On the system there are, moreover, 45 canal tunnels over 100 yards long ; at any time the rate of progress on a canal is slow. For a journey of 190 miles each way, one way with load and the return journey without, the canal boat will take 15 days. Each boat has two men and a horse, and will carry between 20 and 40 tons. A train will do the distance in 5 hours. As Mr. Pratt observes : " The spreading of the total volume of trade over a larger area ; the introduction of men of smaller capital, who can do with a few hundredweights or a few tons of raw material to serve immediate wants, but could not afford or find room for a boat-load ; the absolute necessity that small stocks INTERNAL COMMUNICATION 551 thus kept on hand should be replenished promptly, so that they may not get too low ; and the increased facilities in the way both of quick conveyance and of direct delivery alike to manufacturers (with their private sidings) and to general traders, have all had a most powerful effect in diverting the stream of traffic from the waterways to the railways." Nevertheless, the majority of the Royal Commission recom- mended (1909), that, in view of the great canal system in existence, covering the whole country, and capable of being utilized to great advantage for certain kinds of traffic, means should be employed to stimulate the employment of canals. As to their proposals there is much difference of opinion. Parliament has not yet dealt with the question. 4. RAILWAYS " The public railways of England," said Porter, " are strictly creations of the present century. It was in 1801 that the first Act of Parliament for the construction of a work of this kind received the sanction of the Legislature." In 1835 there was but one passenger line in England and another, 7 miles long, in Scotland. In the course of the next twenty years, however, all this was changed, and even in 1834 the Poor Law Commissioners could, with some reason, anticipate, from this source alone, the entire absorption of all the surplus labour of the country at no distant date. In 1836 eight thousand labourers were engaged in the construction of the London and Birmingham line, and new lines were being planned in every direction. 1845 saw an outburst of extraordinary speculation in railways, seven hundred millions was in that year forthcoming for railway schemes alone. The columns of Punch at this period give some idea of the lengths to which people were carried by the railway mania. In 1847 over-speculation was followed by a disastrous crisis; but real progress had already been made and steadily continued. The total number of miles of railway completed and in use in the Knited Kingdom, to July 1845, was 2264, of which there were on the wide gauge of 7 feet, 274 miles, the remainder, with the exception of 57 miles in Ireland and :*l! miles in Scotland, of an intermediate width, were all on the gauge of 4 feet 8i inches. The total receipts for passengers, goods, and cattle upon the lines which made returns t<> the Board of Trade \v. 1 passengers and 2,333,373 goods and cattle. These figures may be usefully contrasted with recent returns. 552 THE PROGRESS OF THE NATION S 3 "3 CO rH iO ^ Oi CO k^i O> l* C 1 ^ to Oi C^ "^ ^ Tficf*coc2^C5'3i^oci r^-cooo co i-i T? rH omcocoos o COOCOCO COOOCOrH T M i OOOit^^COCOCOrHSOCOCM (N-H.N g a| CO CO t- O i2 lO C*^ O OO ^ l3 T * CO O5 ^5 GOCiC^Ot^-C^OOiOC^OO O5 C^ 1C i i CC C^ m CO i-H f* CO CO O CO lO I-H ^i CO rH Oi *O O CO ^O (T^ * rH O M Oi l>- ^ rH CO r t GO lO CO ^ Oi t*^ CD CO CO ^J 1 m co os TJI c^ t^ o co in OA co t > I s * m ^3 ^ co w I-H oo r-t i-H rH rH Tj* i-H ^1 rH rH -a 2 = S . _ bo _w o* i 5$ oo ^o ov co so (N Tt* ^H (Nmcoco TfGO'NO^^fin^OrH^O OSO^Ci OOrHIMOi Oltn co O (N -^ Tjl COC^rH(M!M c^coot o o o -r i^ rt Tj<"r-rco"co"od t>^Tt< ^ji as IN I-H :co"rH'oo~t^' ^ c^ in as oo ^ r * oo o in o * co 73 co co OscoOl~-OO"S>inooOCOrH I-HCOI-HCO rH(MrHhC i-H o6~OS CO"l*f I Ol O OS OS OO CO r-* t* ^1 03 CO OO OO P3 IN S 2J a I-H co o t- co m o o m m co oooooooo r ior^nco^rr^^-??io-^' 1 1 1 1>- OSCOCOOO t OSCOl~ O O IB! g l o i i m i 1 1-~ c^ T>< co t co r~. o- .S"g asosTj(cbi^rtOs-^t-inco *** =aw-w :^1- H^c*-4*>ctoo in ^ CO CO * CO CO i I ^iigiiisiiiiiiii o >-H co C)C * c 33 ' Scst-^Sooo^ j^h^ccP^pgafe ^ a -j a K o -1 J^t ^ 5"^^"o-5P 4;2^''S 5 "3 J rH INTERNAL < 'o M M UNICAT1ON 553 TABLK III. Comparative Railway Statistics for the United Kingdom From 1850 to 1908 Total Number Year. Length or Line open for Traffic. of Passengers carriea (exclusive of Season Ticket Weight of Goods and Minerals. Conreyed. Total Capital Paid Up. Holders). Miles. No. Tons. 1850 6,621 72,854,422 240,270,745 1860 10,433 163,435,678 89,857,719 848,130,127 1870 15,537 336,545,397 529,908,673 1880 17,933 603,885,025 235,305,629 728,816,848 1890 20,073 817,744,046 303,119,427 897,472,026 1900 81,805 1,142,276,686 424,929,513 1,176,001,890 1908 23,205 1,278,115,488 491,595,056 1,810,538,212 *! &O.T3 *o ~ * fs^-l* Year. Gross Receipts. Working K.\l" n~. -. Net Receipts. .2 aj IJ*1 .= ~ - . 13,204,669 1860 . t.,622 13,187,368 14,579,254 4-'l9 47 1S70 21,715,525 23,362,618 4-41 48 1880 . 65,491,625 33,601,124 31,890,501 4-38 51 1890 . 79,948,702 43,188,556 36,760,146 4-10 54 1900 . 104,801,858 64,743,520 40,058,338 3-41 62 1908 119,894,327 76,407,801 43,486,526 3-32 M io III gives certain comparative statistics for 1860, 1860, 1870, 1880, 1890, 1900, and 1908, and shows clearly the remarkable progress made. The standard gauge of England, Wales, and Scotland is now 1 f-et 8 inches. Stephenson built the Liverpool and Manchester railway on this gauge as that employed for normal coal carts in the Tyneside district, where the earliest form of railway started. Until 1838 all lines conformed to this gauge. Then. h'>\vr\n. th.- Great Western li iilw.iv was built with a gauge of 7 feet, from the designs of P>nn:i-l. After long discussion and trial of the differcm gauges, a Parli:uiifiitary ('oniniissii.n was ;ijp]x.intol in 1846. The Cauge Regulation I'.ill of the sumo year provides that (1) no new line was to be constructed on the broad gau_''- ; (2) in certain places mixed gauges should In- laid down. The report of the Commission had been distinctly favourable to the broad gauge, l>ut the Hill of 184G marked its doom. It was not, however, until May 1892 that 554 THE PROGRESS OF THE NATION the broad gauge lines were finally converted to the statutory gauge of 4 feet 8^ inches. It is now almost unanimously agreed that the broad gauge was better adapted for high speed, and more stable at high speed. Its defect was a higher cost of construction. But the main reason of its conversion was that in England, at the time of the Gauge Commission, there were 274 miles of broad gauge line, and 1901 miles of narrow gauge line. It was obvious that all must in time be of one gauge, hence the broad, being very much in a minority, must be converted. However, if 7 feet was too broad, 4 feet 8j inches is certainly too narrow. Many have suggested 6 feet as about the best, and this occurs in parts of the U.S.A. The gauge of Irish railways is 5 feet 3 inches, not 4 feet 8^ inches. Speed of Trains. For the best express trains an average start-to-stop speed of 5057 miles an hour is maintained on the main lines. Some rise to 59, and two trains per day are timed at over 6 miles per hour. At the same time it should be noted that the weight of trains has increased enormously since 1850, owing to increased comfort of travel, institution of corridor trains, dining and sleeping-cars, etc. The fares, however, have not gone up ; they remain at about Id. per mile third class. It is noteworthy in this connexion that while the railways are doing far more work than they did even ten years ago, net profits have declined when looked at in proportion to capital expenditure. (See Table IV.) This change is due to the increase of working expenses, the main items being the increased price of material especially of coal and the increase of wages. The 23,000 miles of railway working in the United Kingdom in 1907 were constructed at a cost of about 1294 millions an average cost of 50,000 per mile. This cost is higher than that of any other system in the world, but it must be remembered that British railways have a higher average of double track than those of any other country. On December 31, 1907, the number of persons employed by the railway companies of the United Kingdom was 621,341. Competition. The railways compete with each other from London to almost every important town in the country, and between very many of the provincial towns. In fact there is hardly a large town with only one railway company. This system of competing lines is most extensive in Scotland, and least so in Ireland, where it is almost non-existent. It should be noticed that while previous to 1907 or so, competition was the rule, now the companies are working more and more together, and it was a INTERNAL COMMUNICATION 555 j * a ul O OO O IOIO -r oo co * CO n IA ^| 00 00 I-" i-iOOO -0 i- o eo f* O 8S s + 1 1 i i 1 1-1 1 + 7*0 ^ I o o o o 000 o o o III o o | II 1 r ^H i-i ^- 00 l-H . . CD 00 * OO -)_*.-.- ~s ri W o eo^ | t"i * Oi i- *r (L, ** ^ 1 1 8- : : : : n: aa "fl -. H - 1 |l T3 o .1 -1 -S s : a - "^ fl fl .2 .2 3 ? *0 18- 15 -= ^ tf t 1 v '^. &fi cc 'is ll . -.9 | .9 8'S. 59 ^ o e -2 | & o i *c * ^^ t" o Mileage Of whii'h double or Track Mileage (inch fl a * ~- -^-0 fci33 *-c .r-= u?l * <-> .<-> o a a a 3 5 3 O iiii E-"<0-J Receipt* Passenger trail! Goods traffic Miscellaneous J "5 a 2L M j2 o . . e fc Proportion of net ea Dividend paid on 01 556 THE PROGRESS OF THE NATION Number of Miles Travelled by Trains. "3 1 ill" |S2 3 i Gross Receipts from Passenger and Goods Traffic 1908 09 2f=3So 102,949,621 12,689,248 4,255,458 119,894,327 o"3 -a oo' e S-o a> c oc ~'g S H 132,173,341 20,071,928 6,472,909 158,718,168 c5 ii ^ cS_IOi-l *" ,pl | n H i s 423,418,881 28,995,613 12,067,983 464,481,977 Receipts (Gross) from Goods Traffic. iflll ^ C>1 rH -^ IO 58,888,347 Goods Traffic. S S J Tons. 86,401,485 12,813,320 3,955,710 103,170,515 c i X -f i*. 1 | a 9 c i-i 3 3 ^ I CO"CO"CM" CO 10 388,424,541 i| SS w 8 *_ i| a l OO 00 rH co^co^oo ^2S35" CO_CM_CO^ 1 s" Passenger Traffic. l^nuny OT J9q JO U08t!8g ' 1C 1-- SO toeo^t- i g a 1 H M C J* ft 1 S .2- a if ill "8S I S Ix 1 t> m |2 > ~ g SjM m " 1,139,577,140 109,489,938 29,048,410 1,278,115,488 lljil o" "" 9,048,674 |g !*. s o's'sB .2 "O "3 CL S S2 S 3 :-' H & " 1,083,751,470 104,734,361 24,651,992 1,213,137,823 ^ g C . SCSO i i-l _rH_IO_ > CO ^ ^-Tco"i-r 10" 00 i-< CD O c-d we . Cb o O5 ^^ "o ^ CM CO CO_ CM_ 1 *" 1 CM CO 1 J g g |lsl So Sjgfe^^ lfl 4,518,873 g l * 1 "s CO 10 tH ffi'Ss S""* 1 ^ I i 1 s- i.sl| s 5_ E 1- - CO ~1 "'""' 1 S ti HOtux 3 I^ U !S J (juareAinba ui sJhnpig Sajpnjoai 'q^Suaq I'eiox |! i co" IO .& C -M C 00 co_ o_ 2,715,382 Length of Line in Miles 1 -mox Tt< CO 00 CO wTco'oo' co" CM 1 '"'o "III 3,271,163 CO J -9,^ !S III CM Q jo 9[qno(j o"i-r rH CO CM" England and Wales . Scotland .... Ireland .... Total United Kingdom . England & Wales Scotland . Ireland Total United Kingdom INTERNAL COMMUNICATION 557 signilir.mt fact that, in 1908, the Great Northern Railway, Great Eastern Hallway, and Great Central Railway sought to amalgamate, although Parliament would not allow the formation of a company having a monopoly in such a large district as would have thus been formed. In the same way the amalgamation of the Glasgow and South- western and the (English) Midland was strongly opposed. In England, as in America, there has never been any strong move- ment in favour of railway nationalization. On the contrary, Parliament and the courts while fixing rates have endeavoured to encourage competition and discourage amalgamation. As before pointed out, a large number of canals are owned by the railway companies. Many companies also own steamship lines and docks. Thus the South -Eastern and Chatham Railway, the London and South- Western, the London, Brighton, and South Coast, and the Great Eastern own fleets plying to and from continental ports and the docks from which they depart. The Great Western Railway has steamers for Ireland and the Channel Islands ; the London and North-Western and Midland have steamers for Ireland and the Isle of Man ; these three lines respectively own the harbours of Fishgnurd, Holyhead, and Heysham. The Lancashire and Yorkshire Railway has boats plying to the Isle of Man. The North-Eastern, Lancashire and Yorkshire, and Great Central Railways have fleets that ply from Hull, drimsbyand Goole to Holland and Belgium. In fact, almost all the steamship lines between Britain and the European continent and Ireland are railway owned. The railways have almost invari- ably erected hotels at all important stations. No account of the available means of internal communication would be complete which neglected to mark the immense growth of tramways, electric and other light railways, especially in recent years. Table V, showing the comparative number of passengers conveyed by different rail- ways in 1909, shows the immense traffic for which some of these city lines are responsible, notably in London. The Metropolitan Uailway, indeed, is fourth on the list, with 76,667,797 passengers in the course of the year. In 1895 the total length of tramways and light railways in the United Kingdom was 982 milea In 190?' it was . iiiili-s. In 1 *'"> the net rvrripts u -0, and tho total nunilHT of passengers 001,700,461. Ill 11)09 the net rcct-ijiLs were 4,595,779, and the total numb. sengers 2,659,981,136. 558 THE PROGRESS OF THE NATION O 01 I o % cT o 10 iiSSSESSSlsi S||Sg|ggg 5 >O O O C Ot^-OCSlOOOOCOCOCOlO OS CO rH CO CO CO CO OS O OS CO CO US O OS to O OO OS - *> CO t^ CO Co .arH *-*-*"* CO CO CO (N CO W rH OS 1 CO O i 1 i 1 O O COTJ< CO i-H O rH O r^ 06" c-ooooiftmcoooo Ot^OOOOlOOSO-^OIMi-t cs a co t t^ CO co r-i > s ^> >> O "3 INTERNAL COMMUNICATION 559 TAHI.K VI. Comparative Statement of Receipts and Expenditure of Rail- toays earning upwards of 100,000 per annum ENGLAND AND WALES. YEAR ENDING DECEMBER 31, 1909. Receipts. Expenditure. Net Receipts. London and North-Western 15,413,943 9,859,591 5,554,352 Great Western 13,751,873 8,667,423 5,084,450 Midland 12,194,297 7,572,395 4,621,902 North-Eastern 10,237,558 6,475,617 3,761,941 Great Northern ..... 6,117,705 3,935,539 2,182,166 Lancashire and Yorkshire . 5,952,244 3,606,712 2,345,532 Great Eastern ..... 5,892,275 3,716,278 2,175,997 London and Soath-Western . 5,550,002 3,495,845 1,754,157 South -Eastern and Chatham 4,725,835 2,991,156 1,734,679 Great Central 4,338,040 2,832,144 1,505,896 London, Brighton, and South Coast 8,394,070 1,964,849 1,433,221 'Cheshire Lines 1,077,939 859,250 218,689 TatfVale 1,006,536 572,235 434,301 North Staffordshire .... 977,901 598,310 379,591 Barry ....... 800,213 486,449 313,764 Metropolitan 770,243 308,147 462,096 Hull and Barnsley .... 656,280 384,302 271,978 London, Tilbury, and Southend . 613,901 371,329 242,572 Metropolitan District .... 552,929 300,768 252,161 Cardiff 516,557 828,347 188,210 Fnrness 497,170 269,324 227,846 North London ..... 458,899 278,303 180,596 Rhymney 363,279 213,165 150,114 ( '.imbriau ...... 324,579 203,024 121,655 Northern, Piccadilly, and Krompton 310,334 143,546 166,788 il London 305,424 178,925 126,499 Alexandra (Newport and South Wales) Docks and Railway .... 276,697 160,501 116,196 Charing Cross, Huston, and Hampstead 210,321 116,084 94,237 Baker Street and Waterloo . 180,088 84,868 95,220 md South London 179,448 81,250 98,198 Brecon and Merthyr Tydfil Junction . >rt and Carlisle .... 124,529 114,494 78,164 63,185 46,365 51,309 SCOTLAND. YEAR KNDIKO JTTLT 81, 1909. North British ..... 4 796,533 2,641,290 2,155,243 Caledonian 4,355,817 2,366,029 1,989,788 Glasgow and South W. Highland 1,761,944 545,803 1,016,552 .182 745,392 238,621 Great North of Scotland 507,542 258,653 S89 1KKLAND. Yi \i: i - MI;KK .11. 1909. Great Southern and Western 1,479,771 MM 626,375 Great Northern .... 1,025,193 424,867 Midland Great Western . . . 608,33 1 364,470 243,864 Dublin and South -Eastern . 266,360 165,163 101,197 Belfast and County Down . .008 92,306 63,302 * The Cheshire lines' figures refer to the year tiiding December 81, 1908. CHAPTER XXX THE POST OFFICE Historical The penny post Post-office revenue and expenditure Post-office savings banks Telegraphs and telephones THE remarkable development of the means of transit and communication, which the century has witnessed in con- nexion with railways, tramways, steamships, etc., is equally striking in respect of the conveyance of letters, messages, and news. Porter wrote after Sir Eowland Hill had, as the result of strenuous agitation, induced a somewhat unwilling government and Post- master-General to accept his views, but before the great results that followed from the introduction of the penny post could be fully estimated. On November 12, 1839, he tells us, a Treasury Order was issued, under an Act passed in the previous August, which directed that all letters should be charged by weight instead of according to the number of sheets or enclosures, and that, on and after the 5th of December in that year, the single postage rates between places in the United Kingdom which exceeded fourpence should be reduced to that uniform rate; on the 10th of January 1840 the uniform rate of one penny per half -ounce came into general operation, and on 6th May following prepayment by the use of stamps was begun. Before the introduction of stamps, the postage was not pre- paid. The postman had to collect the postage on each letter as he delivered it- an extremely expensive and cumbersome plan. The rates were very heavy. Between London and Birmingham a single sheet was 9d. ; a sheet with an enclosure, Is. 6d. A letter to Edinburgh cost Is. Id. Within the London area letters took fifteen hours in transmission. There is an instance, from the year 1839, of a parcel which cost the recipient no less than 4 for delivery. Although the post office had a legal monopoly, the revenue had made no progress between 1816 and 1839, and a great proportion of letters were smuggled for lower rates. The right of franking, abolished by Ptowland Hill's efforts, possessed by all members of the Upper and Lower House, accounted for no 'I'MK POST OFFICE 561 less than five million letters a year, to say nothing of packages of the most miscellaneous description, varying from a hat to a piano. Mr. Sydney Buxton (Finance and Politics, vol. i. p. 1404) gives an interesting quotation from the Life of Lord Campbell The noble lord wrote that " the loss of consequence from ceasing to be able to frank a letter for a lady or, in travelling, for the waiter at an inn, gave great disgust to many members of both Houses, and made some of them openly declare that there was no longer any use in being in Parliament ! " Hill's reforms were opposed at the time on the ground that the revenue must suffer by the reduction in the exorbitant rates then charged ; and he himself did not urge in favour of the penny post that it would primarily be of advantage to the Exchequer. His vit-w was that any loss thus sustained which he estimated as inconsiderable would be counterbalanced by the stoppage in the illicit conveyance of letters and the stimulus to trade that must result from the cheap rate. His prophecy was soon proved correct. The post office acquired a real monopoly, and its business increased rapidly and continuously. In 1839 the number of letters delivered in the United Kingdom was 90 millions odd; in 1843 it had risen to 265 millions. In years it nearly quadrupled itself, for in 1873 the number of is delivered had risen to 907 millions or 28 per head of population; and in 1909 1910 it reached the enormous total of J.. '-17,10 0,0 00 or 70 letters per head of population (cf. Table I). TABI.B I. Pott Office V. xr. Nunibc ~ 9 u gfc H r of Le (in mi ~ ttersde lions). o 1 3 livered i . .-T = 1 & l Number of Letters delivered per Head of Population. Number of Post Cards delivered (in millions). & 4 &b I -r 14 -j P B 4 D I i! 1839 1843 . 1871 1873 1881 1891-1892. 1901-1902. 1907-1908. 1909-1910. n 218} MI 7^1 756 981 1516 2084V M4SA 2517A 9 23* 61 80 8-1 105 146} -MV. 9MA 256ft 10} 23* 52 66 67 79 105 H8 A 164',', 173,-. 99 265 642 867 907 1165 1767} 2461 > M6M 2947A 31 38 64 70 70 19 23 36 49 54 53 9 u 11 22 38 21-8 J7-0 28-0 34-0 47-0 59-0 <:' 65-0 104 205* ::-",V :-''. 745A 25} 45,', MA 84A 6 11 ISA :!'Y, 36A 1-23 241| 444, MA MM Half[*nny post intnxluc. 562 THE PROGRESS OF THE NATION There was, as a matter of fact, a decline in gross revenue in the years immediately following the reforms in the postal system, but time has more than justified them. Between 1816 and 1839 the revenue derived from the post office was practically stationary. In 1816 the net revenue was 1,537,505, in 1826 it was 1,589,762, in 1836 1,645,835, in 1839 1,649,088. In 1840 it fell to 495,514. From that figure, however, it steadily though slowly rose. Table II gives a general review of post-office receipts and expenditure; in 1909-1910 the net receipts amounted to 4,337,000. TABLE II REVENUE Year. Postal Revenue. Extra Receipts. Telegraph Revenue. Extra Receipts. Packet Service. Total Revenue. 1839 . 2,212,781 (Porter) 1846 . 1,769,593 (Porter) 1859-1860 3,310,000 1869-1870 4,670,000 100,000 4,770,000 1879-1880 6,350,000 1,420,000 7,770,000 1889-1890 9,450,000 36,525 2,320,000 13,016 4,122 11,823,663 1899-1900 13,800,000 3,350,000 16,650,000 1909-1910 23,030,000 EXPENDITURE Year. Post Office. Packet Service. Telegraphs. Total Expenditure. 1839 . 2,116,798 1846 . 1,035,221 1859-1860 1,947^058 989,486 2,936,544 1869-1870 2,316,000 1,221,553 60,000 3,597,553 1879-1880 3,333,000 772,820 1,107,000 5,212,820 1889-1890 5,463,205 664,000 2,172,455 8,299,660 1899-1900 8,480,000 760,000 3,504,837 12,744,837 1909-1910 ! 18,693,000 In 1871 the halfpenny postage was introduced, and post cards, at first only sold with the printed stamp, first issued. Table I shows the immense development of this department ; while its volume is surpassed by the numbers of newspapers, book-packets, circulars and samples also sent under a halfpenny stamp. In 1909-1910 they amounted to no less than 1,173,800,000. Another important and increasing branch of post-office business THE POST OFFICE 563 is the issue of money and postal orders. The money order office was instituted in 1792. In 1909-1910 money orders to the value of t:; 9, 738,631 and postal orders to the value of 45,557,000 were issued in the United Kingdom, exclusive of money orders issued for payment abroad and in the Colonies, Post-Office Savings Banks. In 1861 the post-office savings banks were instituted, which, as Mr. Buxton says, " have not only done very much to increase thrift and saving but have given to successive governments a means they did not previously possess of creating large amounts of terminable annuities, and thus greatly facilitating the redemption of debt." Interest on deposits was fixed at 2 per cent., from which rate it has never varied. The minimum limit of deposit has remained at Is., but the maximum was raised from 150 to 200 in 1891. The amount of deposits was 15,099,000 in 1870, 33,745,000 in 1880, 67,635,000 in 1890, 135,500,000 in 1900. Telegraphic Service. The first telegraph was worked so early as 1837 ; but telegraphic installation proceeded very slowly in the next decade. In 1847, however, the Queen's Speech was, for the first time, transmitted to the provinces by electric telegraph ; and the news of the coup d'ttat in 1851 reached London only two hours after its occurrence, for by that time there was a submarine cable working between England and France. The first Atlantic cable, laid in 1858, proved a failure; and eight years passed before telegraphic communication was successfully established between England and America. By 1868 telegraphs extended all over the country, and the principal towns were served by th'-in. Since the lines were owned by various companies the quality, extent and rate of the service varied very much from one locality to another : in the less accessible parts of the country the delivery was slow, expensive, and unreliable. In large towns, for example, local telegrams were delivered at a charge of 6d. per 20 words; messages of the same length within a radius of 100 miles cost Is., up to 200 miles 2s. Between (Jrr.-it Britain and Ireland the charge for a message was 4s. In rural districts the cost of rage, uncertain in amount and often extortionate, had to be added. By this time the success of the post office as a business concern was established. Over 800 million letters were delivered annually and the business showed a net profit of over 1,000,000. The uniformity, certainty and clii-ajuii'ss of the j>ostal strong arguments, from the consumer's jjoint of view, in favour of post-office telegraphs. A Select Committee of the House reported 564 THE PROGRESS OF THE NATION favourably. The cost of acquiring the existing telegraphic plant, etc., which had been estimated at four millions, had risen to seven millions by the time the purchase was completed, and a large additional capital outlay was required in order to make the service efficient and complete. In the course of the years succeeding the transfer the annual expenditure continued to expand, and in 1888 Mr. Buxton wrote that " the business is now carried on at a considerable annual loss." In 1870 the government supplied a telegraph office to every 6000 of population, whereas the companies had only served every 13,000. In 1884 there was a loss of 36,000 which together with 326,000 of interest made a deficit of 362,000, and this had risen to 472,000 in 1885, after the introduction in the previous year of sixpenny telegrams. In 1899- 1900 the expenditure on the telegraph service was 3,504,837; the receipts 3,350,000, but the real annual loss on the service is estimated at close on a million. In 19071908 eight stations for the transmission of messages by wireless telegraphy on Marconi's system were acquired by the post office. In that year 3266 radio-telegrams were sent out to ships, and 27,727 inward messages received. Another direction in which great progress has recently been made is the laying of underground wires for telegraphic com- munication. The cable stations on the west coast are now connected with London underground ; there are two lines to Birmingham, and the underground line to the north is complete as far as Edinburgh. Telephone. An important feature in recent commercial progress is the development of the telephone. So far as Great Britain is concerned the telephone service has been largely used only in the last ten or fifteen years ; and at the present date it is tolerably certain that this country is not keeping pace in the rate of telephone development with many others. At the same time, to quote from a recent publication, " so important a part is the telephone playing, and so increasingly vital a part is it destined to play, in commercial progress, that the proper development or otherwise of the industry must infallibly leave its mark in each country (in the shape of increased vigour or decline) on that progress in so far as it relies upon this most efficient and rapid of all means of communication." In 1889 the three principal telephone companies then existing amalgamated to form the National Telephone Company. The number of lines was about 28,000. In 1910 the National system had 503,643 lines out of the total 601,269 in Great Britain and Ireland; 5000 belonging to two municipal services and 92,626 to THE POST OFFK I, 565 the service which had in 1802 been set up by the General Poet Otlice. Since 1896 the trunk service all over the country has been under its control, and in spite of the real difficulties which had to be faced in its extension, it is rapidly progressing. In 1897 there were 5 million messages per annum on the long-distance lines; in 1910 there were over 26 millions; in the same period the revenue per mile of circuit has risen from 4 8s. to 6 12s. The service, purchased in 1896 for less than half a million, now represents a capital of over 5 millions. Against any defects in the speed, etc., of the service as compared with that of America, must be set its comparative cheapness to the consumer. A 200-mile call for which the fee in England is about 2s., costs 5s. in the States. At the close of 1911 the whole telephone service of the country passed under post-office management. The effect of nationalization on the service and upon subscriber's rates, remains to be seen. It may be noted, however, that while the capital expenditure of the National Telephone Company is 3 1 per station, that of the post office is 52, and that, under present arrange- ments, the inclusive rates granted to the National subscribers involve a loss to the company. TABLK III. Post-Office Telephone* and Telegraph* 1894-1895. 1908-1909. Total length of line (in miles) Total length of wire (in miles) No. of oQicee instruments staff .... telegrams . telephone subscribers ,, trunk calls 36,085 219,584 i,a 27,489 138,738 73,943,900 1,235 57,858 1,046,912 18,575 137,081 207,947 B,lMtfOM 61,349 23,502,024 . ; : () Telegraphs (6) Telephones 2,517,784 81,201 3,029,855 1,515,784 Total receipts . 2,598,985 4,545,639 Kxi'KxmruRK. (a) Salari<- ....... (/) Construction, Maintenance, etc. 1,873,475 845,224 3,066,963 .',608 Total expenditure fj,718,699 5,639,571 566 THE PROGRESS OF THE NATION Table III, showing the receipts and expenditure of the two post-office services of telegraphs and telephones (which have been amalgamated), indicates that the department is at present being managed at a loss. In 19081909 the receipts were 4,545,639, the expenditure 5,639,571, i.e. there was an annual loss of over a million. In 1910 the number of inhabitants per telephone in Great Britain and Ireland was 68. In Germany the proportion was 65, in Sweden and in Denmark 30, in Norway 39, in France 186, in Russia 1022, United States 11. The proportion is of course much higher in many towns. The following are the principal urban systems : TABLE IV Number of Telephones. Population per Telephone. 1910. 1911. London 104,208 181,011 36 Glasgow 43,928 42,855 24 Liverpool, Birkenhead 26,849 27,783 37 Manchester, Salford 21,209 23,462 47 Birmingham 13,479 14,336 64 Edinburgh, Leith 10,889 11,791 44 Hull . 10,800 11,060 24 Leeds . 9,072 9,365 55 Looking at the rate of increase, Great Britain stands last among the larger states. In Japan, Austria and Russia telephone development is in its infancy, so that " any noticeable progress sends up the average in a way that would be impossible in a well- telephoned country." CHAPTER XXXI THE COINAGE SYSTEM OF GREAT BRITAIN AND THE EMPIRE Bad state of the coinage at the beginning of the nineteenth century Disappear- ance of coin Bank tokens Moneys coined, 1801 to 1910 Diminished weight of silver coins Proposal of double standard Copper coinage, 1821 to 1910 History of coinage after 1850 India and the Colonies THE condition of our coined money during the early years of the nineteenth century was most unsatisfactory. Of silver coin issued from the Mint there was scarcely any. The shillings and sixpences that passed from hand to hand by common consent were almost all of them blank pieces of silver, intrinsically worth less than half the sums at which they were current Guineas, half-guineas, and gold pieces of the value of seven shillings, were occasionally seen ; but the rapid advance in the market-price of gold, after the suspension of specie payments in 1797, at length effectually drove all coins of that metal from circulation. The place of guineas was supplied by bank-notes, of the denominations of one and two pounds; and to provide the community with the means for carrying on the smaller transactions of daily traffic, different expedients were successively adopted. At first, Spanish dollars stamped with a diminutive impress of the King's head were issued by Government, at the rate of 4s. 6d. each; but these soon di-sipp'-an-d, ami the Hank <>f England was authorized to issue " tokens," and put into circulation pieces of the respective nominal values of Is. 6d., of .">.<., ami of 5s. The last of those tokens consisted of Spanish dollars, the original imprest upon which was removed, and a different one given by means of a powerful press. The smaller tokens those of 3s. and Is. 6d. were intrinsically so far below their nominal value, that they remained in circulation until called in ; but the dollars, or five shillings tokens, were so much nearer in value to their nominal rate, that on a further advance in the market price of silver 367 568 THE PROGRESS OF THE NATION bullion, it became necessary to raise their nominal value 10 per cent., causing them to pass for 5s. 6d. each. From 1831 to 1856 Gold and Silver Money coined at the Mint from 1801 to 1910 Year. Gold. Silver. Total. Year. Gold. Silver. Total. 1801 450,242 53 450,295 1856 6,002,114 462,528 6,464,642 1802 437,018 62 437,080 1857 4,859,860 373,230 5,233,090 1803 596,444 72 596,516 1858 1,231,023 445,896 1,676,919 1804 718,397 77 718,474 1859 2,649,509 647,064 3,296,573 1805 54,668 183 54,851 1860 3,121,709 218,403 3,340,112 1806 405,105 nil. 405,105 1861 8,190,170 209,484 8,399,654 1807 nil. 108 108 1862 7,836,413 148,518 7,984,931 1808 371,744 nil. 371,744 1863 6,997,212 161,172 7,158,384 1809 298,946 115 299,061 1864 9,535,597 535,194 10,070,791 1810 316,935 121 317,056 1865 2,367,614 501,732 2,869,346 1811 312,263 nil. 312,263 1866 5,076,676 493,416 5,570,092 1812 nil. 52 52 1867 496,397 193,842 690,239 1813 519,722 90 519,812 1868 1,653,384 301,356 1,954,740 1814 nil. 161 161 1869 7,372,204 76,428 8,448,632 1815 nil. nil. 1870 2,313,384 336,798 2,650,182 1816 1,805,251 1,805,251 1871 9,919,656 701,514 10,621,170 1817 4,275,337 2,436,298 6,711,635 1872 15,261,442 1,243,836 16,505,278 1818 2,862,373 576,279 3,438,652 1873 3,384.568 1,081,674 4,466,242 1819 3,574 1,267,273 1,270,817 1874 1,461,565 890,604 2,352,169 1820 949,516 847,717 1,797,233 1875 243,264 594,000 837,264 1821 9,520,758 433,686 9,954,444 1876 4,696,648 222,354 4,919,002 1822 5,356,787 31,430 5,388,217 1877 981,468 420,948 1,402,416 1823 759,748 285,272 1,045,020 1878 1,158,780 613,998 1 772,778 1824 4,065,075 282,070 4,347,145 1879 35,050 549,054 '584,104 1825 4,580,919 417,535 4,998,454 1880 4,150,052 761,508 4,911,560 1826 5,896,461 608,606 6,505,067 1881 997,128 997,128 1827 2,512,636 33,020 2,545,656 1882 209,880 209,880 1828 1,008,559 16,288 1,024,847 1883 1,403,713 1,274,328 2,678,041 1829 2,446,754 108,260 2,555,014 1884 2,324,015 658,548 2,982,563 1830 2,387,881 151 2,388,032 1885 2,973,487 720,918 3,694,405 1831 587,949 33,696 621,645. 1886 417,384 417,304 1832 3,730,757 145 3,730,902 1887 1,908,686 861,498 2,770,184 1833 1,225,269 145 1,225,414 1888 2,032,900 756,578 2,789,478 1834 66,949 432,775 499,724 1889 7,500,700 2,178,888 9,679,588 1835 1,109,718 146,665 1,256,383 1890 7,680,200 1,694,688 9,374,888 1836 1,787,782 497,719 2,285,501 1891 6,723,600 1,000,548 7,724,148 1837 1,253,088 75,385 1,328,473 1892 13,907,800 849,932 14,757,732 1838 2,855,364 174,042 3,029,406 1893 9,266,300 1,008,971 10,275,271 1839 504,310 390,654 894,964 1894 5,678,100 942,856 6,620,956 1840 207,900 207,900 1895 3,810,636 1,196,168 5,006,804 1841 378,472 89.496 867,968 1896 4,808,860 1,235,161 6,044,021 1842 5,977,051 192,654 6,169,705 1897 1,778,437 982,001 2,760,438 1843 6,607,849 239,580 6,847,429 1898 5,780,446 1,312,306 7,092,752 1844 3,563,949 610,632 4,174,581 1899 9,011,011 1,616,246 10,627,257 1845 4,244,609 647,658 4,892,267 1900 13,103,793 2,013,381 15,117,174 1846 4,334,912 559,548 4,894,460 1901 2,599,000 914,201 3,513,201 1847 5,158,440 125,730 5,284,170 1902 6,908,000 937,202 7,845,202 1848 2,451,999 35,442 2,487,441 1903 10,144,000 558,247 10,702,247 1849 2,177,955 119,592 2,297,547 1904 11,042,000 605,801 11,647,801 1850 1,491,836 129,096 1,620,932 1905 6,500,000 510,491 7,010,491 1851 4,400,411 87,868 4,488,279 1906 12,165,000 1,705,070 13,870,070 1852 8,742,270 189,596 8,931,866 1907 20,951,000 2,019,828 22,970,828 1853 11,952,391 701,544 12,653,935 1908 14,600,000 815,751 15,415,751 1854 4,152,183 140,480 4,292,663 1909 13,800,000 1,389,599 15,189,599 1855 9,008,663 195,510 9,204,173 1910 25,300,000 2,520,591 27,820,591 THE COINAGE SYSTIM 569 (at the suggestion of Joseph Hume) fourj>enny pieces or groats were struck ; but the threepenny bit was eventually preferred. It is too small, however, to be a favourite, just as the old copper twopenny pieces were inconveniently large. With the exception of an insignificant amount of small coins struck for the purpose of distribution as alms by the King, and known as Maundy Money from the circumstance of its being given away on Maundy Monday there was not any silver coinage In the State until 1816. Previous to that year, 12 oz. of standard silver, containing 11 oz. 2 dwts. of pure silver, and 18 dwts. alloy, were by law to be coined into 62 shillings; but in that yeur an Act was passed, making gold coin only legal tender in all payments of more than 40s., and providing that the pound, or twelve ounces troy of standard silver, should be coined into 66 shillings, giving to the State, as seignorage, the difference between the market price of silver of the Mint standard and 5s. 6d. per ounce. Before the passing of this Act (56 Geo. HI, c. 68), silver coin of standard weight and fineness was a legal tender to the amount of 25. "The market price of silver has not been such since the year 1816 as to afford any temptation for melting or exporting silver coins issued at this rate of depreciation." l It has been proposed at various times that we should adopt a double standard, and make silver as well as gold a legal tender to any amount. Under such a state of the law, wrote Porter, it would be necessary again to coin silver money of standard fineness at the Mint rate of 5s. 2d. per ounce ; and if, owing to any sudden mercantile demand, or such a commercial derangement as we have too often witnessed, it should ever become profitable . l*>rt silver, we might then be subjected to very great incon- venience. On the other hand, it must be allowed that, if such an option as that supposed were given namely, that of paying in whichever coin might best suit the debtor, the Bank of England, in meo'iiii^ :i foreign demand, might occasionally realize large profits, from which it is ;it present shut out; but tin's i.s tin- only advantage that can be anticipated from the establishment of a double standard, ami it would surely be unwise to incur the risk of the general iaoonvenieuce for the Hake of a profit that might possibly result to a private body. <'].}KT coin ia issued from the Mint at the rate of 224 per ton, or more than 100 per cent, above its market value; there can hardly be expected, therefore, to -mse any temptation for its 1 Porter iu 1 850. 570 THE PROGRESS OF THE NATION conversion to any other purpose. The copper coinage (twopennies, pennies, halfpennies, and farthings) which was issued in 1797, in place of the old defaced Tower halfpence, was of the intrinsic value of 149 6s. 8d. per ton; but as the market value of the metal rose in 1806 to 200 per ton, it was afterwards thought advisable to adopt the rate above mentioned. The value of copper coin issued after the peace up to 1849 was as follows: Year. Copper. Year. Copper. Year. Copper. Year. Copper. 1815 to 1820 nil. 1843 10,080 1866 50,624 1889 66,950 1821 2,800 1844 6,944 1867 33,301 1890 90,285 1822 43,355 1845 6,944 1868 16,328 1891 89,535 1823 32.480 1846 6,496 1869 20,832 1892 58,556 1824 nil. 1847 8,960 1870 32,704 1893 46,664 1825 9,408 1848 2,688 1871 7,616 1894 33,485 1826 50,400 1849 1,792 1872 47,413 1895 40,995 1827 19,712 1850 448 1873 46,218 1896 122,860 1828 2,464 1851 3,584 1874 65,632 1897 107,230 1829 1,568 1852 4,312 1875 69,813 1898 84,555 1830 2,464 1853 10,190 1876 61,450 1899 139,065 1831 7,392 1854 61,538 1877 51,146 1900 168,295 1832 448 1855 41,091 1878 17,024 1901 120,280 1833 nil. 1856 11,418 1879 44,651 1902 148,499 1834 3,136 1857 6,720 1880 19,264 ; 1903 113,895 1835 2,688 1858 13,440 1881 39,349 , 1904 77,895 1836 1,792 1859 8,512 1882 42,560 1905 100,325 1837 4,592 1860 37,990 1883 33,450 1906 184,520 1838 1,568 1861 273,578 1884 69,290 1907 227,550 1839 5,040 1862 352,800 1885 57,568 1908 155,580 1840 3,136 1863 151,648 1886 51,669 1909 121,811 1841 3,808 1864 18,069 1887 45,173 1910 151,452 1842 nil. 1865 57,493 1888 39,499 Previous to the copper coinage made in 1797 the country was inundated from one end to the other by coins put into circulation as halfpence, struck by tradesmen or other private adventurers. The encouragement to this course was found in the then existing state of the small coinage. The halfpence put into circulation by private parties were some of them creditable specimens of the art of coining ; and all of them, although intrinsi- cally below their nominal value, were yet considerably nearer to it than the halfpence otherwise circulating. When the State undertook, in 1797, to issue new copper coins, the circulation of these private tokens was prohibited. But they were revived in many towns and again prohibited by Statute in 1812. In 1860 bronze was substituted for copper, and the weight was reduced. The pound avoirdupois of bronze was divided into 48 pennies, which are legal tender up to one shilling. Otherwise there has been no change THE COINAGE SYSTKM 571 in the metallic currency. Silver is legal tender to the value of 2, and in.ld tn any amount. In 1870 an Act was passed "to con- solidate anil amend the law relating to the coinage and to Her .sty's Mint." But as regards coinage and the standard of quality or fineness, weight and legal tender, this Act practically maintained the previously existing law. The provisions as to light coin were amended by an Act of 1889, providing that light gold coin issued before 1837, which had been reduced in weight by fair wear and tear, might be exchanged at the Mint for good weight coin. Under the Act of 1870 the Crown is authorized to determine the size of coins and their denominations, to determine the minimum weight at which a coin may remain legal tender, etc. It was also authorized to establish a branch of the Mint in, and extend the provisions of the Act to, any British possession. The regulation of the Mint was placed under the Treasury, and the office of the Master of the Mint (established in the reign of Henry i) was amalgamated with that of Chancellor of the Exchequer, the Deputy- Master and other offices being appointed by the Treasury. The custody of the standard trial plates of gold and silver as well as of the standard weights and measures, was vested in the Board of Trade. THE INDIAN CURRENCY Besides the British currency, which circulates at home and in the colonies, we are also responsible for the currency of India. A lard ruiiee weighing 180 grs. (of which 165 grs. were of fine silver and 15 of alloy) was adopted by the East India Company in 1835, and for a long time its value stood at about two shillings. From 1841 a gold mohur, equivalent to 15 rupees, was put into circulation and was coined in biuall quantities till 1891. But this ;uir in 1826 would be found to embody all the principal arguments, and to have reference to the same set of circumstances, as formed the staple of the pamphlets written in 18.">7. The measure adopted in 1797 of restricting the I'.uuk of 576 THE PROGRESS OF THE NATION England from paying its notes in specie, while it continued in operation, placed the currency of this country under circumstances wholly dissimilar to those that have attended it either before or since. The peculiar operation of these circumstances was besides fc considerably exaggerated by the events of the war, and by the peculiar character given to that war during the seven years that preceded the peace of Paris. For these reasons, it is difficult to make the condition of the currency, as marked by the price of gold and the rate of the foreign exchanges at that time, the sole test of the soundness of the practice pursued by those who managed and controlled the issue of our paper currency. During the greater part of the period alluded to, more obstacles were opposed to the prosecution of our foreign trade than were ever at any other time put in action. Our goods were excluded from almost every port on the continent of Europe, and the difficulties that attended the importation of goods abroad were such as materially to enhance the cost of nearly every article brought here for consumption. At the same time, the demand for some kinds of foreign productions was increased by the purchases of warlike stores on the part of Govern- ment, which purchases were necessarily made without reference to prices. As an instance of this, hemp may be mentioned. In 1793, just before the breaking out of the war, the price had been 22 per ton ; it advanced progressively between that time and the Peace of Amiens to 86 per ton, but in 1802 fell to 32 per ton. On the renewal of hostilities the price again advanced, and in 1808 and 1809 reached 118 per ton. In 1815, after the second over- throw of Napoleon, the price fell to 34, and afterwards went con- siderably lower. On the other hand, all those descriptions of goods which were produced by us, or which necessarily came here from our colonies or elsewhere, in quantities beyond our own wants, were greatly depressed in price. At the same time, the prices on the Continent of the goods so abundant, and so depressed in our markets, were exorbitantly high. Gold and silver were the only articles of merchandise which could safely be taken in exchange for the goods of which we were purchasers from the Continent, and the vessels in which those were brought returned from our ports in ballast, while the prices of colonial produce and British manufactured goods were such as would have rendered their introduction into continental ports profitable to a most exaggerated degree. These circumstances, acting in conjunction with the Bank Eestriction Act, under which the directors of that establishment were relieved from the dangers that would otherwise have attended any departure from prudence PAPER CURRENCY AND BANKING, 1800-1850 577 in the management of its issues, caused such an enhancement in the price of the precious metals, when measured by the paper cur- rency, as forced all our metallic money out of circulation. In times of war, when armies are to be kept in motion, gold especially is greatly in requisition. The difference in value of Bank of Englan^ notes and gold, estimated at the Mint price during the years from 1803 to 1808, was no more than 2 13s. 2d. per cent. In the seven following years, that excess in value of gold was raised in the following degrees : Year. a. d. Year. s. d. 1809 . . 14 7 7 per cent. 1813 . . 39 4 1 per cent. 1810 . . 8 7 ^ 1811 . . 20 2 7 1812 25 16 8 1814 . . 14 7 7 1815 13 9 6 The fall iu the price of gold which occurred in 1814 was brought about by a reversal of the circumstances that have been explained above. Trade again flowed through its natural channels ; we found anxious customers for goods with which our warehouses had been overloaded ; prices which for those goods had been ruin- ously depressed, rose greatly and rapidly ; our exports became suddenly so much greater than our imports, that gold flowed back into this country with greater rapidity than it had previously left us ; and if at this time the currency had been managed with the smallest approach to prudence and ability, the prices of gold and bank-notes might have been brought into agreement without pro- ducing any of those commercial disasters which have usually attended such an adjustment. The calculations just given are founded upon the prices of gold in the month of August in each year. In December 1814 the influx of gold had brought down its price to 4 6s. 6d. per ounce, or 9 19s. 5d. per cent, above the Mint price, although tin: issues of the Bank of England had been increased from .t!L':' v s44,050, the amount in eireulation at the end of 1813, when gold \\.i C-" 1 Os. per ounce, or 29 4s. Id. per cent. above the Mint j.rir,., to 28,232,730. Is it possible to doubt, with these figu ITS lu-f us, that if the directors of tin- I'.unk had contented themselves with maintaining their circulation even at the high level of I)i- -rniln-r 1 s l :'. the price of the precious metals would have fallen to the level of our Mint priee. ami that the gold and silver that flowed into our cotfere would have remained in culation without our being called upon to uiuirivo the difficulties and losses which accompanied the resumj-iion of sjeoie payments when that measure could no longer be deferred ? 37 578 THE PROGRESS OF THE NATION A different course was followed. The government, having large financial operations to make in winding up the accounts of the war, thought it most profitable to effect those operations in a redundant paper currency ; the Bank Eestriction Act was renewed from time to time to the great profit of that establishment, but to the manifest disadvantage of all other classes ; an opportunity, the best that could possibly have been hoped for whereby to extricate ourselves from a false and dangerous position, was allowed to escape unimproved, and the gold which had sought our shores was again driven away by a redundant inconvertible paper currency. The conduct of the Bank of England in those days exhibited a most lamentable want of intelligence. Being aware of the approach of the time at which the restriction which had been so profitable must cease, the directors of that establishment made a large provision of bullion, which, as it could not be demanded in payment for their notes, remained in their coffers uninfluenced by the rate of foreign exchanges, or the market price of gold. Had this provision been accompanied by a corresponding diminution of their issues, the directors might safely have pursued the course which they after- wards unsuccessfully adopted in anticipation of the termination of their Eestriction Act ; but no such prudence was allowed to in- fluence their conduct, and when in April and September, 1817, notices were given to pay off in specie, first the notes in circulation dated prior to 1816, and afterwards those issued before 1817, the amount of the circulation was unusually large, and the price of gold fully 3 per cent, above that of bank-notes. Under these circum- stances, the gold was withdrawn from the bank coffers, so that in August, 1819, they were nearly exhausted, and it was necessary to hurry through Parliament an Act restricting the directors from acting any further in conformity with the notices they had given. In the same year (1819), the Act, commonly known as Peel's Act, was passed, which provided for the gradual resumption of specie payments. Under the provisions of this law, the Bank restriction was continued until February 1820, from which time till October in the same year, the public was entitled to demand pay- ment of notes in bullion at the rate of 4 Is. per ounce. From October 1820 to May 1821 payment might be demanded in bullion at the rate of 3 19s. 6d. per ounce; from May 1821 to May 1823, bullion might be demanded at the Mint price of 3 1 7s. 1 O^d. per ounce ; and from the last-mentioned date, the current gold coin of the realm might be demanded. The pro- visions of this Act, as regarded the periods named, were anticipated, PAPER CURRENCY AND BANKING, 1800-1850 579 and on the 1st of May 1821 the bank had placed itself in a tion to meet ;ill of its outstanding engagements that should be demanded in spt Perhaps there never was in the whole history of legislature in this country any measure of internal policy which occasioned such warm and long-continued controversy as this Act for the resumption of 8j>ecie payments. After a quarter of a century the measure was still assailed with virulence by many, who attributed to it every cloud which during all that time had obscured the commercial horizon, and scarcely a session was suffered to pass without some attempt being made to induce the legislature to consent to its repeal. But Peel's Bill in reality did nothing more than establish certain steps or gradations through which we should pass in order to arrive at that which had always been contemplated and declared to be the settled purpose of the legislature, and at what in fact would have become law by the simple efflux of the time fixed in the Bank Restriction Acts. The question of a return to cash payments was really only a question of time. And yet the advocates of an inconvertible currency frequently asserted that, if the statesmen and economists, by whom the return to cash payments was advocated in 1819, could have foreseen the consequences of that measure, they would have forborne to give to it the sanction of their approval. In par- ticular, David Ricardo was repeatedly held up as having recanted the opinion expressed by him, that the fall in prices to be brought about by returning to a metallic standard would be no more than the difference between the market and the Mint prices of gold, which at the passing of Peel's Bill did not exceed 4 percent. There is, in truth, no warrant whatever for this assertion, which, like many other figments, was repeated until it acquired the authority of truth. Ricardo never did assert, and never could have asserted, that when we should return to specie payments, prices would^never fall more than 4 per cent, below their level at the time the Bill was under discussion. It would have been as reasonable to atlinn that if, instead of returning to the old standard price of gold, ." l?s. 10d. per ounce, the legislature had tixed the standard at the actual market price of the time, no fluctuation in j -rices would ever have occurred in future. Between .him and Au lx:;G there was a progressive rise in the market value of go- amounting, in the. whole, to .">5 per cent., and during all that time we were acting with a currency Iwused upon gold at the same standard. Will it be contended that if during the same period our 580 THE PROGRESS OF THE NATION currency had consisted of inconvertible paper promises, a like fluctuation in prices would have been impossible ? Is it not, on the contrary, probable that the fluctuation would have been much more violent ? It is precisely when prices are low that the advocates of extended issues of paper money are the most clamor- ous, their single object being to enhance the nominal value of their goods. They do not, or will not see, that it is only during the period in which the advance is going forward they can experience the advantages which they anticipate. When the rise shall have fully taken place, and prices shall have adjusted themselves, there will no longer be any benefit ; but, on -ihe other hand, there will be considerable and constant danger of a fall, which may be occasioned by various circumstances that would be inoperative under a different condition of things. In truth there is no safety from commercial disasters ; in other words, there can be no permanent prosperity for the trading and producing classes, but in low and moderate, and therefore, steady prices. It is generally held that the commercial crisis or " panic," as it is usually called, which occurred towards the end of 1825, was brought on by the conjoint operations of the Government and the Bank of England. It was the object of the Government, when peace was fully established, to make money abundant, and conse- quently cheap, in order to carry through various arrangements whereby the permanent charge upon the public income might be lessened. By the means adopted to this end, the market rate of interest was so far reduced at the beginning of 1822, that the 5 per cent, annuities were raised to 6 or 8 per cent, above par, under which circumstances more than 140,000,000 of that stock was converted into an annuity at 4 per cent., on terms by which the annual charge to the public was reduced by 1,122,000. In 1824 the Chancellor of the Exchequer was enabled to effect a further saving of 380,000 per annum, by the conversion of 76,000,000 of 4 per cent, into 3 per cent, annuities. If the fall in the rate of interest by which the Minister was enabled to effect those operations had occurred through natural causes, there could be no question as to the propriety of the step, but brought about as they were by means of the unnatural and forced extension of bank issues, it is hardly to be doubted that the mischief resulting from that extension has been productive of more loss to various classes of the community than can have been com- pensated to the nation at large by the saving. With a reckless disregard of consequences to a degree which can be attributed only P.MM.K (VKKF.NCY AND BANKING, 1800-1850 581 t<> wan: nf knowledge, the directors of the Bank of England forced thru- paper ini<> circulation, by proffering facilities to all classes of the community. Money was lent upon the mortgage of land and upon the deposit of stock, in addition to liberal advances to com- mercial men, through the more legitimate channels of issue; and the directors, at the same time, permanently crippled their means of controlling the currency by investing a large proportion of their issues in the purchase of an annuity for a term of years, known as tin- Dead Weight Annuity, an investment which must always be least marketable at those periods when it would be most desirable that the Bank should have all its resources at command. By these means speculation- was excited, the business transactions of the country were multiplied unnaturally, and by the general rise of prices thus occasioned, our markets became overstocked with foreign produce, while the export trade was checked ; the quantity of mer- cantile paper thrown into circulation aggravated the evil Aeen the beginning of 1822 and the month of April 1825 the Bank had increased its circulation to the extent of four millions. At the latter date it was possessed of bullion and coin to the value of ten millions, but, from that period to the following November, the drain upon its coffers was so rapid that no more than Cl ,.'500,000 of that amount remained. Alarmed at this unequivocal indication, the directors suddenly diminished the circulation to the extent of 3,500,000 : a general feeling of distrust then took place of the undue confidence, which had previously pervaded the whole country; the notes of country bankers were returned upon them to such a degree that great numbers failed ; a run upon several London tankers was followed by the stoppage of some of those establish ments ; commercial distress of the most frightful descrip- tion ensued ; and such was the want of confidence, that wealthiest merchants were driven to make heavy sacrifices of pro- perty in order to provide for their immediate engagements. To use the memorable expression of Mr. Huskisson, " the country was within twenty-four hours of a state of barter." In this state of tilings there was no longer any i-vil to be apprehended from increas- ing the ] and the hank directors came forward with promptitude and liberality to the assistance of the trading classes, by lending money upon almost every description of property that could lie otl'ercd, and hy discounting lulls without adhering to those rules hy which tl. ordinarily heen u'uided in conducting thia of their husiness. i ;iid the 29th of 1 i, the amount of mercantile hills under discount at 582 THE PROGRESS OF THE NATION the Bank of England was increased from four millions to fifteen millions ; the number of bills discounted on one particular day having been four thousand two hundred. The efforts thus made were assisted by a circumstance purely accidental. A box con- taining one-pound notes which had been overlooked at the time when the Bank called in all its notes under five pounds, was dis- covered at the lucky moment, and in the opinion of Mr. Harman, one of the directors, the timely issue of these notes " worked wonders it saved the credit of the country." On the 3rd of December 1825, the amount of Bank of England notes in circula- tion had been only 17,477,000; but on the 31st of that month was increased, by the means here mentioned, to 25,700,000. This great increase was rendered necessary in order to replace the notes of country bankers that had been suddenly withdrawn from circulation, and to counteract the tendency to hoarding always in- dulged by the timid in periods of embarrassment ; it was consequently not followed by any undue rise of prices, which had been suddenly thrown down in the previous convulsion ; the foreign exchanges again turned in our favour, and the gold which, by the previous mismanagement had been forced abroad, again came back. The value of coin and bullion in the Bank in the last weeks of February, May, August, and November, 1825, respectively, was 2,300,000, 4,300,000, 6,600,000, and 8,900,000 ; in the February fol- lowing it amounted to 10,000,000. The notes of the Bank in circulation in the same weeks fell gradually from 24,900,000 in February 1826 to 19,900,000 in November. At the close of 1826 the currency was therefore once more restored to an appear- ance of soundness. At the time of its occurrence, this commercial crisis was attri- buted by many persons to the increase of paper money, put into circulation by the country banks ; and in the parliamentary in- quiries that followed, the principal object aimed at was the regulation of private banks of issue. The establishment by the Bank of England of branches in different parts of England, was suggested and^recommended to that establishment by Lord Liverpool, then at the head of the Government, as a means of controlling the issues of private bankers, and in part also of substituting a more secure description of paper for that which circulated throughout the country. The principal aim of Parliament and the Government, on that occasion, was not so much the regulation of the currency, by means which would prevent the recurrence of the evils resulting from over issues, as it was to provide for the ultimate security of PAPER CURRENCY AND BANKING, 1800-1850 583 the holders of notes. They committed the mistake too commonly made of confounding currency with solvency, and of imagining that if the issuers of notes had sufficient capital to meet, at some time or other, the whole of their engagements, no other evil was to be apprehended. At the same time, provision was made by Parliament for the establishing of joint-stock banks, which should be banks of issue ; hut this bring considered an invasion of the privileges of the Bank of England in favour of which establishment no other bank having more than six partners was thought to be entitled legally to issue notes a compromise was made with that establishment, and joint- stock banks of issue were not permitted to carry on their business nearer to London than sixty-five miles. At the time when encouragement was given to the formation of joint-stock banks, Parliament took measures for withdrawing from circulation all notes of a lower denomination than 5 ; the granting of stamps for smaller notes was immediately stopped, and from the 5th of April 1829 it was declared illegal for any banker to issue such. The policy of this measure met at the time with general concurrence. establishing of joint-stock banks as substitutes for other banks of issue, which could offer less satisfactory security for the amount of their engagements, has yielded great advantages to the public. But it may well be doubted, whether those advantages are in all respects such as were in contemplation at the time of their formation. Some of the numerous joint-stock banks, established since 1826, are not new establishments, but extensions of private hank. 1 - previously in operation; others of them do not issue their own notes, but circulate the notes of the Bank of England, under an agreement with that corporation, which gives to them certain facilites in the way of discounts. This fact is well known, h.v. been stated in evidence before parliamentary committees; but it is not so well known that, in making these arrangements, the Bank of Englaid not only gave permission to the other parties to send hills for discount up to a certain sum, hut stipulated that the sum so re- quired should always reach at least to that amount; i :hus for the extension of the issue of its own paper, whatever the wants of the commercial world or the rates of the foreign exchanges. It is not with >od grace that the P.ank directors, while thus acting eomjtlain of the e\ other j.-int-st-'-k associa- tions, their rivals in the country districts. T! doubt that a competition of this kind might have an injurious effect, and that 584 THE PROGRESS OF THE NATION the spirit of competition renders all parties less prudent than they might otherwise be in acting upon those indications which should govern the amount of the circulation. In the event of that circu- lation proving redundant, the adoption of a prudent course by one or more establishments, in contracting their issues, might only offer inducements to others to endeavour to turn that course to their own peculiar advantage, by filling up the void. The advantage to the country of confining to one establishment the power of issuing paper-money has of late years been very strongly insisted on by a principal advocate and apologist of the Bank of England. In his zeal for the interests of the establishment with which he is con- nected, that gentleman has not allowed himself to express a doubt as to the body which shall be entrusted with so important a function. The one bank of issue in his estimation is, without doubt, to be the joint-stock association with which he is connected. There is, however, a third alternative, which has been ably advo- cated by the late Mr. Ricardo, 1 and more recently by Mr. Clay, 2 Colonel Torrens, 3 and Mr. S. Ricardo, 4 that of the establishment of a national bank, " under the management of competent function- aries, qualified by the possession, not of bank stock, but of economical science ; appointed, not by the holders of bank stock, but by the Government ; responsible, not to their co- proprietors, but to Parliament; and having for their first object and primary duty the protection, not of their own corporate property, but of the general interest of the nation." 5 The shock given to mercantile credit, and the losses encoun- tered by commercial men, in 1825, were of a nature and DO an extent not likely to be immediately forgotten. The lesson of prudence which they taught was enforced by the withdrawal of small notes from circulation, and for a considerable time speculation at least in any extensive degree was unseen. But it is the common effect of long-continued security to beget imprudence. The years which followed the panic of 1825 were marked, as W3 have seen, by a progressive extension of our chief branches of industry ; the operations of trade and manufactures were, with some fhictua- 1 Plan for the Establishment of a National Bank, by David Ricardo, M.P., 1824. 2 Speech, on moving for a Committee on Joint-Stock Banks, with Reflections, etc. , by W. Clay, M.P., 1836. 3 Letter to Lord Melbourne, on the recent Derangement in the Money Market, and on Bank Reform, by R. Torrens, 1837. 4 A National Bank the Remedy for the Evils attendant upon our present system of Paper Currency, by Samson Ricardo, 1838. 5 Torrens' Letter, 2nd edition, p. (54. PAPER CURRENCY AND BANKING, 1800-1850 585 tions, accompanied by a degree of general prosperity which naturally udered the desire for increasing them, and this desire being met, in the middle of 1833, by some relaxation in the currency, prices began to rise. The circulation of the Bank of England, which throughout 1832 had been, on the average, 18,139,000, was increased to 19,060,000 in the first half of 1833, and to 19,201,000 in the second half of that year; and this increase, taken in conjunction with the presumed extension of issues on the part of joint-stock and private bankers an extension which was rendered practicable only through the greater circulation of Bank of England notes was quite sufficient to give a new stimulus to commercial dealings. It is a point that has given rise to much controversy, whether under the regime of a circulating medium, convertible at pleasure into gold, any issues of paper can be made and kept out to an excess that will tend to raise the general prices of goods. Nor is the point at all settled among writers of the greatest authority upon the subject. By those who deny the possibility of such a result it is urged, that at times when the currency has been full to redundancy the prices of many important articles of consump- tion have fallen, and that, on the other hand, while the circulation has been undergoing a process of contraction the prices of some goods have risen. The reasoning upon the subject, in the Report of the Bullion Committee of 1810, having been offered when the notes of the Bank of England were inconvertible, cannot be held applicable to an altered condition of things. In the words of that Report " An increase in the quantity of the local currency of a particular country will raise prices in that country exactly in the same manner as an increase in the general supply of precious metals raises prices all over the world." Many circumstances may arise to occasion the rise or fall in the prices of some kind of goods, but a general alteration of prices can only be occasioned by a permanent alteration in the amount of circulating money. An increase in the quantity of specie, arising from the greater productiveness of the mines, would raise juices in all countries alike, and would therefore occasion no serious derangement, nor l>e followed hy any revulsion ; whereas, a rise occasional l.y the undue extension of a local and inconvertible currency, will l>c confined to the country in which it is issued, and must derange its commercial relations with foreign markets. It must lie, then-fur.-, at all times an interesting and a valuable i|iiestion to determine, under >u<-h ciicu instances, whether prices are actually rising or falling, or stationary ; and to ascertain 586 THE PROGRESS OF THE NATION the degree of such rise or fall, as an indication of the state of the currency. A rise or fall thus caused will generally perhaps always precede a variation in the foreign exchanges ; and if ascertained, and a timely remedy were applied, the evil might be corrected before it could reach a point that would be indicated by any such disturbance of foreign trade as would affect the rates of exchange. 1 From a table of index numbers taking for its basis or index the prices of 50 articles of commerce for the first week of January 1833, it appears that during the first six months of that year prices re- mained steady. But in the month of July there occurred a sudden rise of 3f per cent., which was increased to 7 per cent, in August, and to 1 per cent, in September ; from which time prices were again remarkably steady at that higher level until the middle of the following year. Another rapid advance was then experienced, which continued until February 1835, when prices had reached to 16 per cent, above the index price of January 1833. At this further advance there was again considerable steadiness for six months, when a fresh impulse was given, which carried the average price rapidly upward, with an unvaried progression, until August 1836. It will be seen that the average was then very nearly 35 per cent, higher than in the beginning of 1833. The measures adopted by the Bank of England in July and September 1836, of raising the rate of their discounts from 4 to 4^- and then to 5 per cent., and further, of throwing discredit upon a class of mercantile bills which at that time represented a very large part of the floated commercial engagements of the country, acted instantaneously upon the prices of goods, and a fall began which was more rapid than the rise which has been described. Thomas Tooke, the author of the History of Prices held that the abundance or scarcity of circulating money has little or no influence upon prices, but that these are regulated by the wants and capabilities of the great body of the consumers, who cannot at any time be expected to use more of any articles because they may have a greater facility in raising money for commercial purposes. In support of this position it is urged that, while prices generally were advancing, grain which, in respect of the amount of money in- volved in buying and selling it, is perhaps of more importance than all the other articles that together form the sum of our commercial 1 Porter here introduced a digression on the theory of index numbers, which is omitted, along with sorce elaborate tables showing prices and rates of exchange between 1833 and 1837. PAPER CURRENCY AND BANKING, 1800-1850 587 dealings, was as constantly and regularly falling in price. There can be no doubt of the fact ; but there cannot, on the other hand, be any doubt that this fall iu the price of the principal article of food was the effect of natural causes, which causes could not fail to have produced their natural effect in driving down the price, unless checked by such an issue of paper money as could only have been kept in circulation under a system of restriction from specie payments. The objection raised by the accomplished author of the History of Prices is no doubt true in the long run, where no bank restriction is allowed to interfere. It is no doubt true that, in the end, the prices of all commodities are governed by the wants and capabilities of the consumers taken in conjunction with the cost of production. But this is not the question at issue. That question is whether, as a consequence a natural and almost a necessary consequence of any excessive amount of currency, a speculative demand for goods is not created, one of the evils attendant upon which is, that it cannot be sustained, but when the immediate cause through which it was produced is withdrawn, gives place to a revul- sion ? Owing to the stimulus given to production, and the check offered to consumption both of which are necessary consequences of high prices that revulsion, when it arrives, finds us with glutted markets, and with a mass of commercial engagements greater than the ordinary wants of trade should occasion : the consequences of which state of things it cannot be necessary to describe. The fact adduced that, while the prices of imported articles rose, grain became cheaper in a greater ratio, may be considered, under a restrictive system of corn-laws, as one cause of that general enhance- ment of prices. Owing to the custom which prevailed in our grain markets of making sales at a short period of credit, a smaller sum of currency was needed for carrying on the trade in corn than would have been required for the purchase and sale of an equal value of foreign goods, where longer credits were usually given. The amount of money engaged in the corn trade was, however, so great, that any material fall in the price of corn must have had an effect uj>on the currency equivalent to an increased emission of hank -notes. ^ ith our foreign corn trade free, this consequence will n 3 ,, ,, 16 ,, 4 28 5 45 If we adopt these proportions as the basis for our calculations, it will be found that 1000 quarters, when the supply is just equal to the wants of the consumers, will sell the price being 50s. per quarter for 2,500 If the harvest should prove deficient one-tenth, the remaining nine- tenths, represented by 900 quarters, would sell, at 65s., for . . 2,925 A deficiency of one-fifth would leave 800 quarters, which, at 90s., would produce ....... 3,600 A deficiency of three-tenths would leave 700 quarters, which, the price being advanced to 130s., would produce .... 4,550 A deficiency of four- tenths, leaving 600 quarters for sale at 190s., would produce ........ 5,700 A deficiency of one-half would raise the price to 275s., at which rate 500 quarters would sell for . . . . . 6,875 No means have hitherto been devised for ascertaining the actual produce of corn in the country, and it is superfluous to say that the above computation can be at the best only a reasonable estimate. Mr. Tooke is of opinion that it is not very wide of the truth, " from observations of the repeated occurrence of the fact, that the price of corn in this country has risen from 100 to 200 per cent, and upwards, when the utmost computed deficiency of the crops has not been more than between one-sixth and one-third of an average." On the other hand we have seen, through the con- secutive occurrence cf three favourable harvests in 1833, 1834, and 1835, that the price of wheat has fallen from 55s. 5d. to 36s. Od. per quarter, although, during the whole of those years, every branch of industry throughout the country was in full activity, and all classes of the people were in full enjoyment of the means of living. It is to the circumstances that affect the labourers and artisans of the country that we must look for the causes that influence the greater or less consumption of corn. The classes who PAPER CURRENCY AND BANKING, 1800-1 850 589 arc more at ease in their circumstances subsist in a far greater e.e upon more costly kinds of food, and do not consume more bread than ordinary in years of abundance. This may not be the case with those who are in less comfortable circumstances; but with regard to them even it is certain that, when bread is cheap, they do not increase their use of it so as to absorb a proportion of their earnings equal to that which they so expend in scarce or ordinary seasons, but employ a greater part of their wages in the purchase of comforts ; and this consideration renders it clear why, as above stated, so large an amount of money is not paid for an increased as is paid for a diminished supply of this first necessary "f life; and also why, in a time of scarcity, the mass of the town population being driven towards the more exclusive use of bread which will still be the cheapest food upon which they will subsist the demand for other articles of consumption and convenience will be lessened, and their prices consequently diminished. Wherever the system of virtually excluding the farming pro- duce of other countries is suffered to exist, the occurrence of a harvest of more than average productiveness should act as the signal to those who have the control of the currency to be more particularly on their guard against the consequences of redundancy, which should be prevented by a timely lessening of the sum in circulittii.n. This doctrine may not be very palatable to those who, depending upon the produce of the soil, may see as its practical effect only a further depression in the price of grain. On every occasion that has arisen since the return of the Bank to specie payments, when an abundant harvest has caused great depression in the prices of com, it has been the fashion to attribute the con- sequent " agricultural distress " to a deficiency of circulating money, and a clamour has been raised against the law which prevents the issue in England of notes under 5. If, on such occasions, the wish of these advocates for a greater abundance of paper money had been gratified, there is but little ground for believing that they would have really been benefited as they desired to be, at the use of tin- i niaiiiing classes of the community, because the same system which tended to raise the price <>f what they had to sell would equally have raised the prices of all ; lired t> buy ; and as the enhancement of prices would in all cases be principally the effect of speculative demand, there is reason for believing that speculators would not choose, as an object for purchase, an article which was known to be held in undue abundance, while articles were to be found against which so strong an objection 590 THE PROGRESS OF THE NATION Year. Circulation England. Bullion in the Bank of England. Bank of England. Private Banks. Joint-Stock Banks. Total. 1838 March . 18,987,000 7,005,472 3,921,039 29,913,511 10,126,000 ,, June 19,047,000 7,383,247 4,362,256 30,792,503 9,722,000 Sept. 19,359,000 7,083,811 4,281,151 30,723,962 9,437,000 ,, Dec. 18,469,000 7,599,942 4,625,546 30,694,488 9,362,000 1839 March . 18,298,000 7,642,104 4,617,363 30,557,467 7,073,000 ,, June 18,101,000 7,610,708 4,665,110 30,376,818 4,344,000 Sept. 17,960,000 6,917,657 4,167,313 29,044,970 2,816,000 Dec. ., . 16,732,000 7,251,678 4,170,767 28,154,445 2,887,000 1840 March 16,818,000 6,893,012 3,940,232 27,651,244 4,360,000 ,, June 16,871,000 6,973,613 4,138,618 27,983,231 4,434,000 ,, Sept. 17,263,000 6,350,801 3,630,285 27,244,086 4,453,000 ,, Dec. 16,446,000 6,575,838 3,798,155 26,819,993 3,511,000 1841 March . 16,537,000 6,322,579 3,644,258 26,503,837 4,339,000 ,, June 16,632,000 6,444,395 3,807,055 26,883,450 5,098,000 Sept. 17,481,000 5,768,136 3,311,941 26,561,077 4,975,000 Dec. 16,972,000 5,718,211 3,217,812 25,908,023 4,486,000 1842 March . 16,952,000 5,299,455 2,990,986 25,242,441 7,006,000 ,, June 17,795,000 4,995,594 2,850,532 25,641,126 7,846,000 Sept. 19,714,000 5,098,259 2,819,749 27,632,008 9,816,000 ,, Dec. 19,562,000 5,085,885 3,001,590 27,649,475 11,054,000 1843 March 19,539,000 4,716,506 2,862,986 27,118,492 11,420,000 ,, June 18,411,000 4,503,478 2,863,779 25,778,257 11,873,000 Sept. 19,132,000 4,288,180 2,763,302 26,183,482 12,250,000 Dec. 18,791,000 4,533,048 3,161,033 26,485,081 12,996,000 1844 March . 21,122,000 4,983,646 3,502,363 29,608,009 15,784,000 ,, Jane 21,327,000 4,743,057 3,665,104 29,735,161 15,900,000 Sept. 20,954,405 4,338,569 3,158,290 28,451,264 15,022,256 ,, Dec. 20,107,905 4,442,808 3,059,434 27,610,147 14,878,416 1845 March . 19,724,130 4,452,961 3,147,797 27,324,888 15,471,410 ,, June 20,214,435 4,399,110 3,131,097 27,744,642 16,051,610 Sept. 20,359,495 4,355,485 3,142,226 27,857,206 14,068,820 Dec. 20,257,415 4,481,246 3,162,340 27,901,001 12,675,925 1846 March . 19,620,000 4,515,354 3,176,655 27,312,009 13,987,535 June 19,564,030 4,457,140 3,128,190 27,149,360 16,015,659 Sept. 20,230,290 4,390,274 3,111,622 27,732,186 16,224,352 Dec. 19,641,560 4,526,006 3,138,498 27,306,064 15,066,691 1847 March . 19,524,270 4,542,057 3,248,528 27,314,855 11,015,583 ,, June 17,911,430 4,386,282 3,088,442 25,386,154 10,526,405 Sept. 18,605,600 4,175,774 2,954,284 25,735,658 8,782,703 Dec. 17,956,150 3,528,273 2,410,222 23,894,645 12,236,526 1848 March . 17,684,600 3,598,279 2,572,343 23,855,222 15,210,866 ,, June 17,484,890 3,628,346 2,573,630 23,686,866 13,646,055 Sept. 17,549,020 3,485,319 2,471,965 23,506,304 13,678,493 Dec. 17,129,630 3,500,607 2,567,114 23,197,351 15,000,676 1849 March . 17,945,910 3,466,975 2,590,876 24,003,761 15,197,684 ,, June 17,934,390 3,515,557 | 2,661,306 24,111,253 15,120,811 Sept. 18,131,060 3,462,306 2,577,234 24,170,600 15,254,383 Dec. 18,318,270 3,539,754 2,601,159 24,459,183 17,080,642 PAPER CURRENCY AND BANKING, 1800-1850 591 would not apply ; and for this reason the rise in the prices of agricultural produce, if experienced at all, would be so in a less degree than the prices of other commodities, a result which would l>e highly detrimental to agriculturists. If the suggestion that has been here thrown out is entitled to any consideration, it is clear that, to enable us to judge with correctness whether the currency be at any time redundant or otherwise, we require to ascertain other facts than that of the amount of bank-notes in circulation. There is, perhaps, no single circumstance more pregnant with instruction on this subject than a general rise or fall of prices when viewed and adjusted in com- bination with local or temporary causes of disturbances. With this end in view it would be highly instructive if tables of prices were made and recorded, at short intervals, accompanied by remarks explanatory of any peculiarities which may be thought to offer disturbance to the correctness of their result. By this is meant not a mere record of the prices of goods, such as would be afforded by a collection of prices-current, but a calculation which would atl'ord, on inspection, a correct comparative view of the average fluctuations that should occur. The circulation of notes payable to bearer in England, and the amount of bullion in the Bank of England, at the end of each 'luitrter, during the years 1838 to 1849, is shown in the foregoing table (p. 590). In 1849, the last year of this series, the circulation of notes in Scotland and Ireland in each quarter was as follows : Year and Quarter. Scotland. Ireland. 1849 March 2,935,120 4,401,760 ,, June B.880,901 4,046,473 ,, S.-|it'-!ll!nT ..... 8,139,414 4,133,928 ,, December 3,212,448 4,634,503 The Scotch banking system Jitters from, and is independent of, the English. The Bank of Scotland was found. -d in Ki95. Its monopoly expired in 1716, nine years after the Act <>f t'nion. Shortly afterwards, in 17-7, the I.'oy.-il Hank of Scotland received a charter. This corporation originated the system of cash credits, which is a characteristic feature of Scotch bunking. A cash credit is a drawing account on which a customer may operate, paying interest on the daily balance at his debit instead of receiving interest 592 THE PROGRESS OF THE NATION on the daily balance at his credit. Other banks started up and issued notes in unlimited quantities of all denominations until a restrictive Act was passed in 1765. In 1797 the Scotch banks followed the example of the Bank of England and suspended specie payments. After the crisis of 1825 when one-pound notes were prohibited in England they were retained in Scotland, where they are still preferred to sovereigns. In 1845 Scotch bank-note issues were restricted and regulated on the model of the English Act of 1844 ; but neither their notes nor the notes of the Bank of England were made legal tender in Scotland. Besides the Bank of Scotland and the Eoyal Bank of Scotland, six other Scotch banks have the right of issue, namely, the British Linen, the Commercial, the National, the Union, the Clydesdale, and the North of Scotland. The Bank of Ireland was established in 1782 on the model of the Bank of England. In 1825, when the English and Irish exchequers were united, the Irish currency was made identical with the English. The Bank Act of 1845 was applied to Ireland and Scotland simultaneously with very slight differences. The Bank of Ireland is the Government's bank, and performs for Ireland functions similar to that which the Bank of England performs for England and Wales. An Act was passed in 1844 renewing for ten years the charter of the Bank of England. By this Act, which was represented by Sir Robert Peel as "the complement of the Act of 1819," great changes were introduced into the system by which it had previously been attempted to regulate the currency of the country. The privilege of issuing paper money within a circle of sixty miles' radius round London was continued exclusively to the Bank of England, but with the following restrictions : The establishment was divided into two departments wholly distinct from each other, placed under separate officers, and keeping separate accounts. One of these departments was continued for the ordinary purposes of banking, while the other was created for the single purpose of regulating the issue of notes, the amount of which was in no case ever to exceed fourteen millions of pounds in addition to the actual amount of gold and silver bullion lodged by the banking depart- ment in the department of issue. The sum of 14,000,000 which the bank is thus authorized to issue beyond the value of bullion in its coffers is made up of 11,000,000, the amount of its capital which has been lent permanently to Government, at 3 per cent, interest, and 3,000,000 of public securities, bearing interest, which the bank of issue is empowered to hold for that purpose. Under PAPER CURRENCY AND BANKING, 1800-1850 593 this system the Bank must always keep in its vaults gold or silver l bullion equivalent to all its notes in excess of 14,000,000, for which uncovered sum the public holds, through the Government, the best possible security that of the property of the Bank. No ( I nest ion as to the solvency of the establishment can therefore ever arise, while it is hardly possible to conceive that a drain upon the -are of the Bank should ever be carried so far as to reduce its landing notes to so low a level as 14,000,000. The safety of the Bank, as well as that of the public, may be considered as secured, so far as the question of credit is at stake. It remains, however, to be proved whether, under all circumstances that may arise, the security of the public is thus equally well attained as respects the management of the currency ; and there are not want- ing men of great practical experience in such questions, who have expressed strong doubts upon this subject. It would be out of place to enter upon the controversy here. Those who desire to kmiw the opinions to which reference has been made, will naturally consult the writings of the accomplished men who have published their reasonings upon the subject, particularly those of Mr. Tooke and Mr. Lloyd, who take opposite views regarding it, and the series of articles on " Currency and Banking," published in the Economist weekly paper, between March and May 1845. It must be evident that any attempt to regulate the currency by controlling the issues of the Bank of England, must fail of its ohjert unless an equal control were exercised over the issues of private .-Hid joint-stock banks. It was accordingly provided by the Act of 1844 that " no person other than a banker, who on the 6th >f May 1 S44 was lawfully issuing his own notes, shall make or issue bank-notes in any part of the United Kingdom." The privilege of such issue was thus continued to the banks which then possessed it; hut the amount of notes that might he issued was restricted to tin. amount which constituted their actual issues upon the average of the two preceding years. Further, the most perfect publicity was provided as regards the amount of issues by weekly publications in tin- London Gazette. 1 Under the Act the holding of silver must not exceed one fourth of the gold. But in practice for many years the Bank has kept all its bullion in gold. CHAPTER XXXIII PROGRESS OF BANKING, 1850-1900 Working of the Bank Charter Act and of the bank rate during crises Develop- ment of joint-stock banks Amalgamations and combinations The crises of 1847, 1857, 1866, 1890, and 1907 Paid-up capital and deposits PEEL'S great Bank Charter Act of 1844 has proved a wonderful success, though on three occasions (the railway crisis of 1847, the American crisis of 1857, and the Overend-Gurney crisis of 1866) it was found necessary to suspend cash payments in order to relieve the monetary pressure. In 1857 the Bank reserves being reduced to 581,000, and the minimum rate of discount 10 per cent., the Government authorized suspension. Two millions of uncovered notes were issued, and the panic ceased. On Black Friday, May 11, 1866, following the Overeud-Gurney failure, there was such a run on the banks that suspension was again resorted to, and the Bank of England was authorized to issue five millions of uncovered notes. In the Baring crisis of 1890 the bank rate was raised to 6 per cent., and proved effective. In the American crisis of October- November 1907 the rate was raised to 5 per cent, on October 31, to 6 per cent, on November 4, to 7 per cent, on November 7, on which date the total bullion in the Bank was 28,700,000, and the proportion 3 5 '2 per cent. Thenceforth gold flowed in steadily from twenty-four different countries, and by the end of January the rate had been reduced to 4 per cent. ; the total bullion- was 38,500,000, and the proportion 5 6 '6. Considering the strain and drain, this achievement was a splendid demonstration of the soundness of our system, which makes London the gold centre of the world. It is a system whose special merit is free trade in gold with an economical concentration of gold reserves in a central institution. Since Porter wrote, British banking has developed in a marvel- lous way, and the organization of credit in London is admittedly the most complex and perfect system the world has ever seen. Bank of England notes now play a very subordinate part in the mechanism of credit. They are merely a section of the 594 PROGRESS OF BANKING, 1850-1900 595 ordinary currency, ehietly useful in the operations of the Bank of England and as bank reserves and till money. The cheque is the almost universal means of payment for sums in excess of one pound. It is cheap, safe, and convenient, but is not money, because it is subject to dishonour if the drawer is insolvent. Otherwise it is superior to bank-notes, for it can be mad-- in any amount by a stroke of the pen, and is in itself a pt and record of payment The London Clearing-house, founded in 1775, is a voluntary association of the great London banks by which the balances between banks are adjusted day by day, and an enormous expenditure of labour saved by the mutual exchange and crossing off of liabilities. In 1854 Joint-Stock Banks were admitted to the clearing - house. The Bank of England is ;i member, but " on one side only." It presents through the clearing-house all drafts on clearing bankers paid into it by its customers ; but the clearing bankers do not present through the clearing-house drafts on the Bank of England paid into them by their customers. Such drafts are paid direct to the credit of their accounts at the Bank of England. In another way the Bank of England is complementary to the Clearing House, because the ments of the London Clearing-house are made in account with the Bank of England. Our present banking system has for the most part grown up in the latter half of the twentieth century. In 1851, when the dition of Porter's Progress appeared, the great joint-stock banks in their infancy ; for only seven years had elapsed since the passing of the " Bank Charter Act" of 1844, which enlarged and defined the rights of joint-stock banks, while it restricted the privileges of the Bank of England. The Act was really a currency <>r its object the securing of the note issue of the Bank of England. The general circulation of bank-notes was restrained; but in other respects a greater measure of freedom was conferred upon joint-stock banks. In this country hanks have been re- markably free from legislate and public control, except as regards the issue of paper cunvnry ; and it is largely because t from this fatal rock by the 1844 A>i. and so wen: led to develop the die. pie, that t) ress has ra.-ily kept pace with the growth in our trade and commerce. The secret of success undoubtedly lies in tin- cheque system, which combines ].< v with an r\traoid:' jree of venirnre and security. In almost all cases in which large sums are transferred, cheques have superseded bauk-uutes. Notes are 596 THE PROGRESS OF THE NATION only employed where the credit of the individual is unknown, or where by custom or by law cheques may not be employed. But the note circulation of the Bank of England has not decreased, for the bank-note is now treated as a bullion certificate, and the joint-stock banks hold a large proportion of their reserves in the form of Bank of England notes. On the other hand, the notes of the country banks which have the right of issue under the Act of 1844 have sunk to a small figure much below the amount authorized a fact which clearly proves that bank-notes are not now required by the public to even so great an extent as in 1844. The outstanding note issues of all the English banks other than the Bank of England, which are entitled to issue notes, are now under 250,000, although the number of banks having the right of note issue has not decreased to the extent anticipated by the framers of the 1844 Act. Indeed, it was anticipated that all country banks' note issues would have lapsed long before this. True, the circulation of the Bank of England has increased, but the actual amount in the hands of the public is very much smaller, the excess being held by the joint-stock banks. Until 1833 the only banks allowed to operate within sixty-five miles of London were the private banks. The " Bank Charter Act " of that year, however, did not exclude joint-stock banks within this area, though it prohibited them from issuing notes. But it was not until some time had elapsed that the general right of banking in London was realized, and even then the right was controverted. The Bank of England attempted to have this flaw in their Charter, as they considered it, removed, but without success ; and to make the position clear, the 1844 Act expressly permitted the formation of joint-stock banks within the sixty-five mile limit, provided they did not issue notes. Several of the great London banks were formed as soon as it was realized that the 1833 Act did not exclude joint- stock banks from operating in the metropolis. The London City and Midland, London County and Westminster, and London Joint- Stock Banks were all established in 1836. At first the joint- stock banks were not very popular, but they soon won their way to public favour. For some time they confined themselves entirely to London, where business activity allowed them full scope ; but gradually they found it profitable to extend into the provinces, both by opening branches and by amalgamation with existing pro- vincial banks. The old private bankers naturally resented the intrusion of the joint-stock banks, but successful opposition was out of the question. Most of the private banks which remain PROGRESS OF BANKING, 1 50-1900 597 depend almost entirely upon family custom. In some cases private banks have been absorbed by the joint-stock banks. In others a now stuck bank has been created by an amalgamation of several private banks. Barclay's, for instance, was formed as recently as 189G by a combination of several important London and provincial private banks. In 1832 there were sixty-two private banks in the metropolis and of these only four or five remain. The extension into the provinces of the great London banks has not altogether pleased the customers of the old provincial banks, who say that their facilities have been reduced and that the money of the district is drawn away for employment in financial transactions in London. The customer, it is said, does not get as much con- sideration from the branch of a big London bank as he was wont to receive from the country banker. So strong is this feeling in certain districts that quite recently a wealthy Lancashire bank, which had agreed to amalgamation with a large London establish- ment, cancelled the agreement (by mutual consent) on account of the very strong disapproval manifested by its customers. On the other hand, the opening of numerous branches, though a doubtful policy as far as the bank's profits are concerned, has extended banking facilities to the small trader and the general public ; and on the whole there has been a gain in facilities as well as in security to the community at large. The strength of the present banking system is the result of long experience. In the old days before that experience was gained, the fabric of credit was at times severely shaken. In times of depression small banks constantly came to grief. There were crises in 18:iG, 1847, 1857, 1866, which brought serious disaster. More recently, in 1890 and 1907, English banking successfully withstood severe tests. The earlier panics, as we have seen, were the result of over-trading and specula- tion either at home or abroad, and in all of them some of the weaker members of the hanking community went down under the strain. The crisis of 1847 was really a railway crisis, resulting from wild speculation in the shares of railway companies. The popular demand was met by fraudulent prospectuses, and when the inevitable crash came the money market fell into confusion. The position was aggravated by the had harvests of 1 s Mi, in conse- quence of which unusually heavy imports of foreign wheat were required. This led to large exports of gold at a most inopportune moment. I'nluckily at the same time, the Government was negotiating for a loan, but the Bunk o -id, rather than raise its rate to the disadvantage of its most important customer, allowed 598 THE PROGRESS OF THE NATION its reserves to fall very low. Owing to the scarcity, wheat had been forced up to famine prices ; but in September the market broke suddenly and a large number of failures followed, with a consequent loss of confidence in business circles. The Bank then raised its rate and restricted loan accommodation, thus precipitating a panic. Several banks failed, and the situation became so strained that the Bank, in order to prevent suspension of all business, found that money must be lent. Thereupon the reserve fell rapidly until its amount was only 15 per cent, of the deposits. A deputation of city merchants then asked that the Bank Act might be suspended, and though the Chancellor of the Exchequer at first refused, the permission was shortly afterwards granted, and the bank was authorized to issue notes against securities in excess of the legal amount. The panic was over at once, for as soon as it was known that money was obtainable there was no longer a disposition to hoard gold. The 1857 panic originated in America, where 150 bank failures followed the downfall of the Ohio Land and Trust Company. Sensational panics, slumps, and bear operations occurred in American stock and share markets ; and, as eighty millions of American railroad shares were owned in this country, there is no wonder that the 1857 panic spread to Great Britain. Large credit failures occurred, and a severe strain was imposed on the Bank of England by the necessity of heavy gold exports. On this occasion the Bank Act was again suspended, and 6,776,000 of notes were issued in excess of the statutory limit. 1 From 6 per cent, in October 8, 1857, the directors of the Bank had actually raised their rate to 10 per cent, on November 9. Yet two days later just before the suspension of the Bank Charter Act the reserve stood at only 1,462,000. The 1866 panic is attributed partly to the cessation of the American cotton supplies the Lancashire cotton famine < owing to the Civil War in the United States. But the losses and dis- locations so caused would not alone have brought about such a downfall of credit. As usual, bad banking and wild speculation, preceded the crash which culminated in the stoppage of Overend, Gurney & Co. The Companies Act of 1 8 6 2 had been followed by the notation of hundreds of companies, including new banks and discount houses. Many of these companies were not financially sound, and failed under the pressure of the high bank rates which began in the autumn of 1865. The official rate was raised to 1 Then 14,475,000. PROGRESS OF BANKING, 1850-1900 599 8 per cent, iu January, and February saw severe liquidation on the Stock Exchange. The Joint-Stock Discount Company and Barned's Bank in Liverpool failed in April 1866, and panic conditions followed. The Bank rate rose to 9 per cent, on May 9, and on the following day, Overend, Gurney & Co. a firm of world-wide reputation failed for 10,000,000. The effect of this unexpected calamity was terrible, and the panic in the city was declared by the Chancellor of the Exchequer to be without a parallel. Business was at a standstill, and the banks were besieged by mobs of panic-stricken depositors. But the Bank of England had learnt from experience, and advances were freely made. The Bank Act was suspended by a letter from the Premier and the Chancellor of the Exchequer to the Governor on the day following the failure of Overend, Gurney & Co., but though the reserve as shown by the weekly return of June 1, had fallen to less than 860,000, the provisions of the Act were not broken. This is the last occasion on which the Bank Act of 1844 has been suspended. Since that time the national wealth and resources have increased prodigiously, the Bank's reserve has been gradually enlarged, and panics have not been allowed to develop. The crisis of 1890 was brought about through the failure of the great city house of Baring to meet its maturing liabilities. The trouble was due to excessive speculation and over-investment in Argentina, a rich but ill-governed country, which disappointed and ruined many of those interested in its premature development. Happily this serious crisis never developed into a panic; for, tii hi ing that a collapse was inevitable, Baring's laid the position before the Court of the Bank of England, who were then able to prepare for a gradual liquidation and to announce a scheme of arrangement as soon as the failure was known. In October 1907 the failure of the Knickerbocker Trust in New York led to a suspension of cash payments by all the American Banks, resulting in a wholesale breakdown of credit in the United States. Gold shipments were made from Kurope at an alarming pace, and, owing to its free market for gold, London had to provide the bulk of the specie. In -train was terrific, but it was met with splendid success by the Hank of England, whose power of attract in-_ r p>ld fr<>m all parts of tin- world by means of a hi^h l>ank rate proved more - ;han ever. Although in the month of November 1907 more than tifu-en million sterling left England, the P.aiik, hy raising its l>mk rate to 7 per cent., was able to replenish it- mMftf from 6oo THE PROGRESS OF THE NATION continental and other foreign centres. The strain, of course, fell entirely on the Bank of England, but the smallness of the effect on the general monetary conditions in England is a striking testimony to the strength of the English banking system. Trade, however, throughout the world was thrown into a severe depression, from which the recovery was very slow. Paid-up Capital Da te. England and Wales. Scotland. Ireland. 31st Dec., 1877 48,091,000 10,046,000 6,809,000 1878 47,976,000 8,897,000 6,809,000 1879 48,097,000 9,047,000 6,884,000 1880 50,076,000 9,047,000 6,984,000 1881 50,891,000 9,052,000 6,984,000 1882 51,851,000 9,052,000 7,024,000 1883 52,505,000 9,052,000 7,130,000 1884 53,690,000 9,052,000 7,156,000 1885 53,780,000 9,052,000 6,919,000 1886 53,529,000 9,052,000 6,910,000 1887 53,663,000 9,052,000 6,916,000 1888 53,866,000 9,052,000 6,948,000 1889 53,750,000 9,052,000 6,959,000 1890 56,768,000 9,052,000 7,059,000 1891 58,159,000 9,052,000 7,059,000 1892 58,641,000 9,052,000 7,065,000 1893 58,357,000 9,302,000 7,073,000 1894 58,459,000 9,302,000 7,101,000 1895 58,683,000 9,302,000 7,109,000 1896 59,756,000 9,302,000 7,109,000 1897 60,000,000 9,302,000 7,114,000 1898 60,284,000 9,313,000 7,125,000 1899 60,444,000 9,313,000 7,141,000 1900 61,034,000 9,310,000 7,209,000 1901 61,184,000 9,302,000 7,209,000 1902 62,089,000 9,316,000 7,236,000 1903 63,143,000 9,316,000 7,303,000 1904 62,597,000 9,316,000 7,309,000 1905 62,735,000 9,316,000 7,309,000 1906 62,675,000 9,316,000 7,309,000 1907 62,754,000 9,241,000 7,309,000 1908 63,287,000 9,241,000 7,309,000 1909 62,014,000 9,241,000 7,309,000 1910 62,069,000 9,241,000 7,309,000 It is difficult to obtain any consolidated figures relating to English joint-stock banking in the early days ; but since 1877 a continuous record of the position is provided by The Economist Banking Supplements. In the first tabular summary showing the figures as at the end of December 1877, the paid-up capital of the banks is given as 48,000,000, the reserves 16,500,000, and the amount of deposits just under 240,000,000. Since then PROGRESS OF BANKING,, ia50-1900 60 1 tli growth of deposits has been enormous, and reserves have also increased. Hut the capital has not risen in anything like the same proportion, and in the last few years, owing to the number of amalgamations, has shown a tendency to decrease. At the end of 1910 the capital of the banks was 62,000,000, the reserves were .".6,000,000, and the deposits 777,000,000, these Bank Deposits n Bneland and D4te - Wale.. Scotland. Ireland. "1 31st Dec., 1877 . . . . 239,694,000 78,474,000 19,104,000 1878 . . . . 1 828,902,000 67,424,000 18,200,000 1879 .... i>4;<,67:>,000 74,376,000 17,685,000 1880 . . . . 258,636,000 77,733,000 17,571,000 1881 .... 272,163,000 79,824,000 17,822,000 1882 286 085 000 80,236,000 27,689 000 1883 .... 300,139,000 83,' 199^ 000 27!681,'000 1884 .... 317,959,000 83,440,000 26,950,000 1885 . . . . 323,250,000 81,772,000 33,020,000 1886 .... 327,696,000 80,552,000 34,484,000 1887 .... 335,959,000 82,428,000 14, V*, 1888 .... 361,809,000 84,525,000 36,104,000 1889 . . . . 386,675,000 88,264,000 37,848,000 1890 .... 408,478,000 71,610,000 38,521,000 1891 .... 127,886,000 92,368,000 39,451,000 1892 . 430 696 000 92,607,000 40,642,000 1893 .... 427,3:>f.,000 :'!.::. M 40,499,000 1894 .... 456,113,000 '.<.".. _'./ - 42,652,000 i895 . . . . 522,022,000 94,592,000 44,390,000 1896 .... 549,969,000 95,695,000 45,552,000 1897 . . . . ; 576,895,000 IS,0M, i 1898 591,963,000 M,t,< 45,900,000 1899 . . . . 014,674,000 102,754,000 48,154,000 1900 .... 030,524,000 107,154,000 49,449,000 1901 . . . . 033,183,000 107,321,000 49,117,000 1902 .... 665,539,000 106,861,000 50,247,000 1903 . . . . 644,863,000 104,342,000 51,469,000 1904 .... 655,937,000 101,902,000 BMC,OM 1905 .... 679,567,000 100,643,000 B :.::-.. M 1906 .... 698,226,000 105,215,000 M,697,OI 1907 .... 697,727,000 108,723,000 57,497,000 1908 .... 736,187,000 105,787,000 :.:'.-:.::."< ,, 1909 .... 746,033,000 106,736,000 60,468,000 1910 .... 776,650,000 106,652,000 'S.OOO figures including the Hank of England. Against these deposits the banks held 2.'U,000,000 in cash or money at call and short notice, 172,000,000 was invested more than one-half in British Government Securities and over f>05,000,000 was employed in discounts and advances. The al\e tables compiled from The Economic Supplement, show the relative growth of capital and deposits since 1877. 602 THE PROGRESS OF THE NATION These statistics are necessarily somewhat incomplete for the earlier years, as the publication of joint-stock balance-sheets was then very unsatisfactory. In 1877 only 50 banks out of about 120 were included, in the second year 71, and in the third 73. The statements then became more complete, and owing to greater uniformity in the balance-sheets the figures were more consistent. By 1886 only 5 banks out of the total were omitted, and by 1888 the figures were complete for all the banks of England and Wales. The Scottish bank returns were complete in 1878, but in the following year the figures were affected by the failure of the City of Glasgow Bank. The Irish bank figures in the early years represented only about 45 per cent, of the real total, but they gradually improved and were complete after 1886, when the returns of the Bank of Ireland were obtained for the first time. In the tables on pages 600601 the figures of England and Wales include those of the Bank of England, but not those of private banks. None of these published any balance-sheets until 1892 when 3 7 were available. After this the number decreased very rapidly as the banks were absorbed by various large joint-stock banks. Thus the rapid increase in the deposits of the joint-stock banks in the last few years is very largely due to the addition of the deposits of the private banks. CHAPTER XXXIV INSURANCE Crowth of insurance business Marino insurance Lloyd's Fire insurance Km plovers' liability Life insurance Scientific exactitude The enormous volume of business II i^reat changes have occurred in banking since the middle of the nineteenth century, the development of insurance has been still more remarkable. It represents, in fact, a veritable re- volution in business and finance. Porter had very little to say on the subject ; but it is impossible now to pass it over in a survey of material progress. Great insurance companies like the Alliance liave become immensely powerful as underwriters and investors in new issues of capital. A good insurance manager pays as much attention to the investment of his funds as to the enlargement of his business. The theory of insurance has developed with the practice. I'.roadly, it may be described as a scientific development of mutual assistance by which risks are provided against and the great losses of a few met out of small contributions by the many. The theory of chance and probabilities has been worked out to a nicety in the life insurance branch. In the other two great branches of provision against fire and shipwreck, the risks are less easily measured. Besides these three older branches of the business, modern insurance has many ramifications. Personal accidents, disease, invalidity, burglary and many other risks can be covered by paying an annual premium. The adoption of legislation making employers liabl< the consequence of accidents to their workmen <>i>ened another wide field, ;md in many cases this new burden could hardly have been borne by industry without the aid of insuranee. Within the last few years employers' liability provisions have been extended to clerks, domestic servants, and many other occupations, and in every case the immediate application of insurance has followed. Fire, marine, accident and most other insurance contracts are entered into for a period of one year only, so that either jarty may terminate the 603 604 THE PROGRESS OF THE NATION agreement at the end of that time. Marine contracts, of course, differ in this respect, as the voyage of the vessel generally con- stitutes the period of risk. With life insurance, however, the case is different. Here the term is the duration of a human life, and consequently the risk can only be undertaken by a corporate body which cannot die. It is in life insurance that the most scientific development is seen, for it has been found that the mortality of human lives varies so little over a long period in a particular com- munity that the experience of the past can be applied to gauge the future with wonderful accuracy. Marine insurance seems to be the oldest of all forms of insurance ; but its principles and even the wording of its contracts have probably changed least, and the joint-stock principle has been applied less to it than to the other common forms of insurance. The most famous organization in the world for marine insurance is Lloyd's (originally a committee meeting in Lloyd's coffee-house), which also governs the relations between ship-owners and marine underwriters, and superintends the registry of ships. But Lloyd's policies do not cover marine risks alone. In recent years there has been a vast expansion in the business of the " room," and Lloyd's brokers and underwriters are now prepared to deal with risks of fire, earthquakes, strikes, wars, general elections, or any imaginable calamity involving pecuniary loss which is capable of being insured against. Fire insurance, although perhaps the simplest branch of the business, was hardly practised at all until after the great fire of 1666, when underwriting was undertaken by individuals on a small scale. The first mention of any fire insurance office occurs in 1681 when a small partnership apparently conducted this business at the back of the Eoyal Exchange. Soon after this, one or two fire offices were formed ; and one, " The Hand in Hand," founded in 1696, survives to this day. Several date from the early part of the eighteenth century, and many were formed in the South Sea Bubble. The collapse of the "Bubble" swept away most, and also checked the formation of new companies. The Eoyal Exchange and London Insurance Company, however, were both established in 1720 and survived the crisis. Fire insurance received little encouragement from the Government in its early years. Fire policies were subject to heavy stamp duties (raised in 1816 to 3s. per cent.), and not finally repealed until 1869, when the tax was reduced to the nominal amount of Id. per policy. The growth of the amount insured against fire was used by INSURANCE 605 r as a means of mcamiring the growth in the amount of real and personal properly, the figures being obtained from the stamp- duty payments on the sums insured. The principle of the stamp duty was rightly condemned by Porter, but its removal makes it impossible to form any idea of the amount now insured against fire in Kngland and Wales. The tax was repealed in 1869 and we have extended the comparison as far as possible in the following figures: 1783 . . 135,000,000 1840 . . . 645,000,000 1800 . . . 200,000,000 1860 . . . 1,000,000,000 1820 . . . 427,000,000 1868 . . . 1,430,000,000 Some property was exempt from the duty, and the returns are therefore rather below than above the correct amount. Since 1868.no estimate of the total property insured has been made, but as fire insurance companies have to contribute towards the expenses of the London Fire Brigade in respect of the amount insured by them in the administrative county of London, we may show the growth of the sums assured in this area as follows : 1866 . . . 316,000,000 i 1878 . . . 605,000,000 1871 . . . 440,000,000 1907 . . . 1,039,000,000 is a striking rate of progress, but it is now, of course, no guide whatever to the rate of growth in the value of property. Insurance against fire is now universal, and the severe competition among insurance offices together with the increased securities against fire has led to continual improvements in the position of the insured. Lower rates, better terms and more liberal settlements are the Its. Early in the history of fire insurance, the usual rate for privatf houses was 4 or 5 per cent., and it may well seem iricivdiMe that the present-day rate of Is. 6d. per cent, can meet risk, provide commission, pay all expenses, and yet leave a profit for the fire office. The explanation lies, of course, in the mormon* nnmlxjr of insurances which are effected and the almost entiiv prevention of serious fires. Kritish lire offices, as a whole, have undoubtedly hiv-ii \\vll managed. Few bad failures have occurred ; their business has extended all over the world, and the reputation they have built up has enabled them to more ihan hold their own against the native olliees of practically any nation. In other brain-he- of insurance, some even of our best companies have had to take up new risks of insuraneu without the knowledge and experience acquired in regard to tires, and through a too keen com- petition premiums have often been to- low. These errors correct 606 THE PROGRESS OF THE NATION themselves in time, but meanwhile the insured obtains the benefit of the insurance at less than its proper cost, and the shareholder suffers. The employers' liability business, for instance, is at present returning no profits in the aggregate ; many of the individual offices are working at a loss, and must continue to do so until their books have been cleared of unremunerative risks. In the Post Magazine of November 5, 1910, a summary of the results of all the British offices transacting employers' liability business appeared. The figures were given of thirty-four tariff companies and twenty non-tariff companies, and showed that in the case of the tariff companies, out of premiums of 1,936,324 the amount of claims was 1,250,845, or 64*6 per cent. Commission absorbed 253,645, or 13'1 per cent., and expenses of management 436,985, representing 22*62 per cent., leaving a total deficit on balance of 6151. In the figures of the individual companies, the results varied, ranging from a profit margin of 40 per cent, of the premium income on an extremely small business to a deficit of 21'7 per cent, of the premium income on quite a large business. The non-tariff companies' results were in the aggregate even less satisfactory. The total premiums were 472,678, out of which claims absorbed 350,816, no less that 74'2 per cent. Commission took 70,009, or 14'8 per cent, expenses 106,042, or 22'4 per cent., so that on balance there was a deficit of 54,189, or 11*4 per cent, of the premiums. These companies were on the average very much smaller and their results were even more diverse. One of the companies showed a profit margin of 56 per cent, of the premiums on a small business, while another showed a loss of 91 per cent, of the premiums. These unsatisfactory results are partly explained by the fact that the losses under employers' liability contracts are not necessarily liquidated, as fire losses are, in the year in which they are incurred ; for in cases of total disablement the employe receives an annuity for the rest of life. A portion of the premiums of each year must therefore be reserved to cover the outstanding claims, but at present many companies are reserving too little. The position, however, is less serious than might appear, as most of the companies endeavour wherever possible to settle claims by means of an immediate payment. Attempts are already being made to apply actuarial principles to this class of insurance. Just as in life insurance, so here past experience should form the most reliable guide to the future, and when more experience has been gained the premiums may be calculated on more scientific bases and adequate reserves accumu- INSURANCE 607 lated against future liabilities. A step in this direction was taken in the Employers' Liability Companies Act of 1907, which laid down the principles on which employers' liability companies might estimate their unpaid claims. This Act also prescribed the form on which these companies were to render their accounts, and made it obligatory on them to deposit their accounts with the Board of Trade in the manner which had worked so successfully with regard to life insurance under the Acts of 1871 and 1872. When wo turn to the consideration of life insurance we find that the companies are working in the sphere of an exact science. So much experience is available that the application of mathematics provides a means of estimating the probable results of the future with the closest accuracy. The contrast with the past is truly remarkable. The principle of life assurance as we now know it enters so intimately into ordinary business life, and the majority of the companies conducting it are so firmly established, that few realize the vicissitudes with which the earlier companies had to contend. Life assurance is based upon credit and trust as much as, if not more than, banking, though the depositor in a bank has a right to demand his money at any time, while the policy-holder in a life of lire must continue to pay his premium throughout the whole or the greater part of his life, trusting that after many years the office will carry out its contract. That he is able to rely on such fulfil- ment is because life assurance has been raised to an exact science, and protective legislation ensures that the position of every life company shall be open to the examination of all. In the early days, however, the pioneers worked entirely in the dark. Some honest societies failed because their principles were unsound, others failed because their founders hardly expected other- wise. The business lent itself readily to fraud, for after collecting a conside.raMe sum in premiums the promoters could assist the spreading of unfavourable rumours and frighten the majority of policy-holders into allowing their policies to lapse. In those days there was no sun .hie or return of premiums, and the rogues would pocket the pr< The first society which rose to fame was the Arnica! >!<> Society for a Perpetual Assurance, founded in 1706. It was the fourth company to be formed on the mutual contribution principle. Though very defective in its working, its basis was sound, and at tin beginning of I 7 iM, after the bursting of the South SIM Bubble, it was the only life office in Great Britain; but the London Assurance Corporation and the Koyal Exchange Assurance Corporation, both established in the excitement of 1720, 608 THE PROGRESS OF THE NATION began to accept life risks early in 1721. The premiums at this time were not dependent on the age, the usual rate for a year being 5 per cent, for a year, this then being the customary charge for marine risks. At this period more attention began to be paid to the question of rates, and the eighteenth century saw great progress in mortality investigation and research. But it was not until 1762, when the Equitable was finally established, that the knowledge gained was put into practice, and the old, inefficient methods swept away by the competition of the new society. In 1760, before the foundation of the Equitable, the amount of life assurance in force was very small. Mr. Cornelius Walford in his comprehensive essay on the History of Life Assurance in the United Kingdom, has computed the total sums then insured at 350,000, including assurances by private persons estimated at 30,000. The rates quoted by the Equitable were based upon tables formed upon the bills of mortality for London and Breslau, and were much lower than those of the other offices, though two years later it was deemed advisable to raise them. This society's deed of settlement contained a clause providing for a periodical investigation of the liabilities, and the first of these took place in 1776. This is remarkable in that it was the first life office valuation ever made. Bonuses first arose out of the fact that the premiums charged were too high, and, therefore, the surplus rightly belonged to the policy-holders. The method of distribution was for a long time very unequal, but the expansion of the business was not interrupted, because the bonuses were rather like lottery prizes. The Equitable continued to expand, reaching its maximum size about 1840, when it had over 14,000,000 of insurances in force. After this, owing to the competition of younger offices and the result of a change in its method of distri- bution, its business fell away. Towards the end of the eighteenth century many new societies were formed, and several works upon mortality statistics appeared. One of the most famous of these was Dr. Price's Observations on Reversionary Payments, which ran to several editions, and contained the Northampton table of mortality, which was adopted by the Equitable, and followed by many other offices. But for this fact the table would probably not have been so famous. It remained the standard until it was proved to have been founded on fallacious principles, and displaced by Milne's Carlisle table in 1815. The great multiplication of new life offices in the early part of the nineteenth century brought them more and more before the public eye, and various Acts were passed control- INSURANCE 609 their formation and operations, though, even then, their methods were not generally understood. In 1838 Professor De Morgan published what was for a long while the standard work on life contingencies and probabilities. In that treatise he wrote : " There is nothing in the commercial world which approaches, even remotely, the security of a well-established Life Office," and the testimony of De Morgan did much to satisfy the general public that life assurance was being conducted upon sound principles. During the nineteenth century actuarial science was brought practically to perfection, and successive mortality investigations were made from large numbers of lives. Previously the individual offices had prepared tables from their own experience, but in 1843 the Registrar-General constructed what is now known as the "English Life Table No. 1," based upon the deaths in the whole kingdom. In the same year a life table was prepared by a Com- mittee of Actuaries from the returns of lives insured in a group of British offices. This was known as the " Seventeen Offices Table," from the number of offices which contributed their experience. Since then, larger and better investigations have been made, each showing that the general health of the people is constantly im- proving. Legislation culminated in the Acts of 187072 (for the Act of 1909 modified the previous Act very slightly). By the 1872 Act every company had to make a return of its business to the Board of Trade, and periodically cause an investigation to be made into its affairs by an actuary. The period is now fixed at a minimum of five years. Sums Assured. Account* Deposited daring Revenue. Assets. Industrial. Ordinary. 1883 21,265,086 165,034,633 1890 . . 86,203,873 443,362,228 J7.510.195 203,610,042 1895 . . 144,142,569 529,184,344 33,954,245 240,397,860 1900 . . 181,135,538 <;iti,911,783 41,813,166 300,703,768 . . 241,866,981 897,627,128 : 49,362,998 366,717,138 1906 . . 251,533,949 713,491,783 51,671,982 384,398,398 1907 . . 27,469,613 726,875,009 54,214,221 395,754,177 1908 . . i 278,444,501 757,048,167 U,S57,9M 413,754,644 1909 285,807,599 767,644,459 57,385,002 429,299,886 1910 292,689,157 782,198,531 00,677 447,342,644 The returns to the Board of Trade enable us to determine with fair accuracy the growth in the volume of life assurance business in 39 6 io THE PROGRESS OF THE NATION recent years, for the figures are summarized in the Blue Books. As the valuation figures are furnished only at the periodical investi- gations, the foregoing table does not give the amount of sums assured at the end of the particular year, for the table includes some returns made up at an earlier date. For the purpose of showing the rate of progress, however, the figures are useful. In the first two columns are the amounts of insurance in force, less reassurances, and though the increase is not quite even, for the reasons given above, it is quite evident that life insurance has progressed at a very rapid rate during the last twenty years. For some time life offices have been enjoying a period of cheap investments, and their funds are earning a rate of interest con- siderably in excess of that assumed in arriving at their liabilities. Consequently, they may look forward to increasing surpluses from interest earnings. The position of the leading British life offices cannot be questioned, and though in larger countries there may be companies which boast greater sums assured and higher accumulated funds, no country in the world has insurance companies which can compare with ours in stability, resources, and the excellence of their management. As the big companies are more and more inclined to absorb smaller companies, and to combine different branches of insurance, their power in the investment market is continually growing, and they now take a leading part in the underwriting and purchase of new issues. CHAPTER XXXVi PUBLIC REVENUE AND EXPENDITURE, 1800-1850 Financial condition at the cloae of the eighteenth century Triple assessment Income tax imi>oaed Repealed Enormous Government expenditure Fallacious show of prosperity Misery of the working classes Their diminished command of the necessaries of life Effect of mechanical inventions in supporting the country under difficulties Gigantic expenditure during the French War Consequent exhaustion Gloomy forebodings of ]>olitical writers in former times Amount of debt, 1793-1816 Yearly income and expenditure, 1792-1849 Debts contracted, 1801-1821 Sinking fund Dead- weight annuity Conversion of perpetual into terminable annuities Expenditure beyond income during the war Income beyond expenditure since Plans of finance budgets Civil Lost from 1701-1849 Crown revenues Pensions Miscellaneous services Salaries in Public Departments Reductions between 1815 and 1835 IN order to give an intelligible account of the financial state of the kingdom at the beginning of the nineteenth century, it is necessary to explain briefly the system which had been brought into operation by Mr. Pitt during the preceding three years. In November, 1797, that minister had recourse to what he was pleased to call " a perfectly new and solid system of finance." The public expenditure of that year amounted to 25 millions, of which sum only 6| millions were provided for by existing unmortgaged taxes, leaving 19 millions to be raised by extraordinary means. In the then condition of the money market it was felt to be impossible to borrow such an amount in the ordinary manner, that is, providing by new taxes for the jiymeut of only the permanent annual burthen erience for their guidance, our ancestors, in former but not very remote times, gave way to gloomy forebodings as to their future pros; which we cannot but smile, wln'ii thinking of the conn ;uv clVoris which called them forth. Some of those forebodings have been recorded by Sir John Sinclair, in his work on the public revenue "t" this kin_ r >loui. A few jiassnges upon the. subject, taken lYom that work. 616 THE PROGRESS OF THE NATION and with the dates at which they were written, may not be without interest. " 1736. The vast load of debt under which the nation still groans is the true source of all those calamities and gloomy prospects of which we have so much reason to complain. To this has been owing that multiplicity of burthensoine taxes which have more than doubled the price of the common necessaries of life within a few years past, and thereby distressed the poor labourer and manu- facturer, disabled the farmer to pay his rent, and put even gentlemen of plentiful estates under the greatest difficulties to make a tolerable provision for their families. The Craftsman, No. 502, 14th February, 1736." At the time this gloomy picture was drawn the public debt did not exceed 50,000,000, and the annual charge on that account was somewhat under 2,000,000, being considerably below the sums added to the public burthens in the single year 1814. "1749. Our parliamentary aids, from the year 1740 exclusively, to the year 1748 inclusively, amount to 55,522,159 16s. 3d., a sum that will appear in- credible to future generations, and is so almost to the present. Till we have paid a good part of our debt, and restored our country in some measure to her former wealth and power, it will be difficult to maintain the dignity of Great Britain, to make her respected abroad, and secure from injuries or even affronts on the part of her neighbours. Some Reflections on the present State of the Nation, by Henry St. John, Lord Bolingbroke." The debt, to the effects of which so much evil is here attributed, was still under 80,000,000, and the annual interest scarcely more than 3,000,000. " 1756. It has been a generally received notion among political arithmeticians, that we may increase our debt to 100,000,000, but they acknowledge that it must then cease, by the debtor becoming bankrupt. Letters by Samuel Hannay, Esq." In the few years that preceded the publication of Mr. Hannay's letters the debt had been somewhat diminished, so that it amounted to about 75,000,000, and the annual charge on the country to 2,400,000. " 1761, The first instance of a debt contracted upon parliamentary security, occurs in the reign of Henry vi. The commencement of this pernicious practice deserves to be noted ; a practice the more likely to become pernicious the more a nation advances in opulence and credit. The ruinous effects of it are now become apparent, and threaten the very existence of the nation. Hume's History of England, 8vo edition, 1778, vol. iii. p. 215." The public burthens had by this time so far exceeded the possible limit assigned by Mr. Hannay, that the debt amounted to nearly 150,000,000, and the annual interest to 4,800,000. PUBLIC REVENUE AND EXPENDITURE, 1800-1850 617 The amount was somewhat reduced between that period and the breaking out of the American War, when a succession of loans again became necessary. On winding up the accounts of that contest, the debt amounted to 268,000,000, and the annual charge to 9,500,000. On the 5th of January, 1793, just before the I'l'^inning of the war of the French Revolution, the debt continued nearly the same as at the beginning of the peace (the exact amount of funded and unfunded debt, including the value of terminable annuities, was 261,735,059, and the annual charge was '.'. 471,iJ7.".). From that time to the Peace of Amiens hardly a year passed without witnessing some increase to the national burthens, so that at Midsummer, 1802, the capital of the funded and unfunded debt amounted to 637,000,000. On the r-th of January, 1816, the capital was 885,186,323, and the annual charge was 32,457,141. The following abstract exhibits the movements of public income and expenditure, at intervals from 1792 to 1849, including the annual charge for the public debt, and the amounts raised by loans and the funding of Exchequer Bills. Abstract of Public Income and Expenditure in the United Kingdom, in various Years front. 1792 to 1849 Income. Expenditure. Amount received on Sums applied Year. BMBM pai.i; j^ 1 ^ Total Amount Interest paid on Public SrSSSSS^&S* the C p h roduce ^f^^f raised for Public Use*. Debt, Funded and Unfunded. beyond the amount of Loans, etc., in Expended in the Year. redeemed in the Year. the Year. 1 A 1792. ' 19,268,814 19,268,814 9,707,333 2,421,081 10,869,128 1800. ; 34,146,684 23,030,620 57,170,113 17,381,601 ... 50,821,207 ! 1810. 67,144,542 7,792,444 74,030,980 X4, 240,940 ... 70.806,648 1815. 72,210,612 20.241.8fi7 92,452,319 31,676,074 HJBO^UO 1816 . ; 02,204,640 614,069 - :.-,-*. r.o;, 32,038,761 06,100,771 1817. 62,066,913 .'.J ii.'o '] :, 81,430,246 1,S20,'814 66,281,238 54,282,068 31,167,840 1.018.01W 64,467,247 1830. 60,060,010 60,010 29,118,868 1,036,406 4'.'.'C-,1 |IV 184IJ . 47,607,605 47,607,606 8,010 i^MMM 1846 . 68,000.354 63,000,364 >.-.;::< IH 4,148,891 .''H.:; '.tin.; 1840. 62,061,740 374.608 63,320,317 28,823,901 21,074 60,874,000 An extraordinary degree of delusion is observable in the pro- ceedings of the different finance ministers by whom the support of the sinking fund was advocated during the war. It has been pretended that the purchases made by means of that fund had the effect of keeping up the market value of the public debt, and 6i8 THE PROGRESS OF THE NATION thereby enabled the minister to contract loans upon more ad- vantageous terms than, without this machinery, would have been possible. It may well be doubted, however, whether the re-purchase in this manner, from tune to time, of parts only of that surplus portion of the public debt which was created for the express purpose of such operations, had any real effect in raising the price of the remaining portion of the public securities in other words, whether the price, thus factitiously acted upon, of the larger amount of debt, was at any time greater than the price would have been of the smaller amount of debt that would have existed if the sinking fund had not been created, the purchases of the Commissioners never having in fact accomplished more than the repurchase of the so- needlessly-created part of the debt. It has been further urged in defence of the sinking fund, that the prospect which it enabled the minister to hold out of the speedy redemption of the whole debt had the effect of reconciling the people to the payment of a larger amount of taxes than they would otherwise have been willing to pay. Allowing that the effect here stated was produced, we may still doubt the wisdom of that Government which is obliged to resort to a juggle in order to reconcile the people to its measures, and especially when, as in the case under examination, the delusion was so expensive and likely to prove so permanently injurious in its nature. The average rate at which 3 per cent, stock was created between 1793 and 1801 was 57 7s. 6d. of money for 100 stock, and the average market price during that period was 61 17s. 6d. for 100 stock. The loss to the public upon the additional sum borrowed in order that it might be redeemed during that period, which was 49,655,531, amounted to 4 per cent., or 2,234,500. Between 1803 and the termination of the war, the average price at which loans were contracted was 60 7s. 6d. per 100 stock, and the average market price during that time was 62 17s. 6d. per 100. The loss was, therefore, 2 f per cent, upon the sum redeemed during that time, 176,173,250, or 4,404,331, making together an amount of 6,638,831 absolutely lost to the public by these opera- tions. This amount, reckoned at the average price of the various loans, is equivalent to a capital of more than eleven millions of 3 per cent, stock, with which the country is now additionally burthened through the measure of borrowing in a depressed market more money than was wanted in order to its being repaid when the market for public securities was certain to be higher. The fallacy attending this system is now so fully recognized that it is not likely PUBLIC REVENUE AND EXPENDITURE, 1KOO-1850 619 any minister will in future make .1 show of redeeming debt at the moment when circumstances compel him actually to increase its amount for that purpose. Another error of a still more important nature, involved in this system, remains to be noticed. The absurdity of borrowing money in order to extinguish debt could never have been seriously adopted I nit with the anticipation of the good effects that might be drawn from such a course after the necessity for further borrowing should cease, when it might be beneficial to apply towards the redemption of the debt the high scale of taxation which that system rendered practicable. There never could have existed any doubt of the fact, that whenever the necessity for borrowing should cease, the market value of the public funds would advance greatly, and would there- fore in an equal degree limit the redeeming power of the surplus income, however arising. The knowledge of this fact should have led the ministers, by whom successive additions were made to the public debt, to the adoption of a course which would have enabled them to turn this rise of prices to the advantage of the public, in- stead of its being, as it has proved, productive of loss, and this end would certainly have been accomplished, if at the expense of a small present sacrifice the loans had been contracted at a high rate of interest, instead of their having been contracted, as for the most {art they were, in 3 per cent, annuities. It is presumable that, if the borrowing had been restricted to the sums actually wanted from to time, without thought of a sinking fund, the public might possibly have had to pay at the outside a quarter per cent, more of annual interest than they actually paid. At this rate the deficiency of income compared with expenditure, between 1793 and 1815, which amounted, as will be shown in the next table, to 425,482,761, would have occasioned an addition to the capital of the debt to the amount of 4 Df., 20 0,554 of 5 per cent, stock, the annual interest of which would have been 22,763,327, instead of a nominal capital of ."47,:J02,704, with the annual additional charge of 20,690,871. At the close of the war the nominal capital of the debt would have then amounted to 724,285,729, and the annual charge to ",000, instead of 816.:; 1 1 ,<.r.\S of capital, and -\204 of annual char^r, which was the state of the unredeemed public debt on the "ah of January, 1816. The Govern- ment would then have been in the most favourable position for taking advantage of the lowering of the rate of interest which was certain to follow, and many years before the present time the whole of the 5 per cent, annuities might have been converted, without 620 THE PROGRESS OF THE NATION any addition to the capital, into annuities of the same amount, bearing interest at the rate of 3 per cent., or perhaps lower. Assuming, however, that the reduction would not have gone lower than 3 per cent., and taking into consideration the surplus revenue which has been actually applied to the redemption of debt between 5th January 1816 and 5th January 1837, which, as will be seen, amounted to 46,086,321, the funded debt existing on 5th January 1837 would have amounted to 678,199,408, and the annual charge to 23,736,979, instead of its actual amount, 761,422,570, and its actual annual charge, 29,234,873 ; showing that the loss entailed on the country by the plan pursued, of funding the debt in stock bearing a nominal low rate of interest, was 83,223,162 of capital, and 5,497,894 of annual charge. The charge of inconsistency on the part of our finance ministers is fully deserved by their adoption of two measures hav- ing for their objects results exactly opposed to each other. These measures are, first, the creation of what is called the dead- weight annuity, and secondly, the conversion of perpetual annuities into annuities for lives or for terms of years ; the effect of the first being to bring present relief at the expense of future years, while the second increases the present burthen with the view of relieving posterity. It is unnecessary here to inquire which of these two modes of proceeding is preferable. Under different circumstances either of them might be wise or prudent, but it is quite impossible that at the same time, and consequently under the same circumstances, both could be either wise or prudent, and the minister and legislators by whom the plans were proposed and sanctioned must be allowed to have stultified themselves by the operations. Of the two courses that is assuredly the most generous under which the parties by whom it is adopted^subject themselves to additional burthen in order to lighten the load for their successors, and indeed it would seem no more than an act of justice on the part of those by whom the debt was contracted to adopt every means fairly within their power for its extinction. It is singular that, with so much experience and so much of scientific acquirement that might have been brought to the correct elucidation of this subject, the tables first adopted for the creation of terminable annuities were incorrect, to a degree which entailed a heavy loss upon the public. The system was established in 1808, and during the first year of its operation annuities were granted to the amount of 58,506 10s. per annum. Of that amount there continued payable 23,251 per annum at the beginning of 1827, PUBLIC REVENUE AND KXl'KNDITURE, 1800-1850 621 when, to adopt the calculation of the actuary of the national debt, as given in a report to the Chancellor of the Exchequer, the public had already sustained a loss of more than 10,000 by the transac- tions, besides having the above annual sum of 23,251 still to pay for an indefinite term. In this report of Mr. Finlaison, he states that the loss to the public through miscalculation in these tables was then (April, 1827) proceeding at the rate of 8000 per week, and during the three preceding months had exceeded 95,000. The discovery of this blunder had been made and pressed upon the attention of the finance minister as early as 1819, but no active steps were taken to remedy it until 1828, and even then the rates at which annuities were granted upon the lives of aged persons were, after a time, found to be so unduly profitable to the purchasers, that the Government was again obliged to interfere, and to limit the ages upon which life annuities could be obtained. It is quite impossible that any similar series of blunders could have been committed by any private persons or association of indi- viduals, whose vigilance would have been sufficiently preserved by their private interest ; and it is disgraceful that the Government, which could at all times command the assistance of the most ac- complished actuaries, should have fallen into them. It is yet more disgraceful that, after the evil had been discovered and pressed upon its notice, so many years were suffered to elapse before any step was taken to put a stop to the waste of public money. It would require a voluminous account to explain all the fiiiiiucial operations of the Government during the period embraced in the foregoing statements. In the earlier years of that time, while- on the one hand the minister was annually borrowing immense sums for the public service, an expensive machinery was, as we have seen, cm] 'Wed t> keep up a show of diminishing the debt, and by this means the people were brought to view with some degree of ('mulacency the most ruinous addition to their burthens, under the tat inn of the relief which, through the magical effect of the sinking fund, was to be experienced by them in future years. The establishment and support of the sinking fund was long considered as a masterstroke of human wisdom. I Living since had sufficient opportunity for considering its effects, we have arrived at a different lusinii, and can no longer see any wisdom in the plan of lM>rn>wiiig larger sums than were wanted, and paying in consequence more d.-ai'ly t'ur the loan of what was actually required, in order to lay out the surplus t> accumulate into a fund for buying up the debt at a higher price than that at which it was contra* 622 THE PROGRESS OF THE NATION In the fourth report of the Select Committee on Public Income and Expenditure, which was printed by order of the House of Commons in 1828, there are three statements showing the difference between the public receipts and disbursements in the ten years ended 5th January 1802, the fourteen years ended 5th January 1816, and the twelve years ended 5th January 1828. It appears from this statement, that during the ten years from 1792 to 1802 The public Expenditure exceeded the Income . . . 189,153,451 Between 1802 and 1816, the excess of Expenditure was . 236,329,310 Excess of Expenditure during 24 years of war was . . 425,482,761 During 34 years of peace, between 1816 and 1850, the excess of Income over Expenditure was 45,779,046 At this rate it would require 316 years of peace to cancel the debt incurred during 24 years of war, or 13 years for 1 ; but the comparison is even more unfavourable than this, because at the time of borrowing the rate of interest is high, and the value of public securities low, whereas at the time of liquidation the reverse of these circumstances is experienced, so that on the most favour- able supposition it requires 15 years of saving in peace to repair the evil consequences of one year of war expenditure ; at which rate, our successors who may be living about the close of the 22nd century might, if during all that time the nation should remain at peace, find themselves relieved from that portion of the public debt which has been contracted since 1792. During the period here under review the accounts accompany- ing the budgets were in many ways defective. They omitted interest on debt and other permanent charges, and nothing was stated regarding the produce of the permanent taxes, forming what is called the consolidated fund, except the amount of its surplus or deficiency, as the case may be, after providing for the permanent charge upon it. The Budget, as it is the practice to call this annual exposition, explains on the one hand the sums required for the public service during the year, under the different heads of Navy, Army, Ordnance, and Miscellaneous Services, together with any incidental charges which may apply to the year ; and on the other hand are given the ways and means for meeting the same. These ways and means consist of the surplus (if any) of the con- solidated fund, the annual duties, and such incidental receipts as come in aid of the national resources. PUBLIC m:\KNrK AND BXPRNDTT0RE, isoo-isso 623 It was long before the country could be relieved from the crushing burthen of taxation imposed during the war in the form of customs and excise duties upon commodities; for in the year 1816, the first year of the peace, Parliament insisted upon' repealing the whole of the two shilling income-tax. However, between 1821 and I the taxes repealed exceeded those imposed by more than 1 7 millions. In the next ten years the net relief amounted to about 4 millions, and between 1841 and 1849, with the aid of an income-tax calculated at first to yield 5 millions, taxes on con- sumption were repealed or reduced to the extent of 8^ millions. The successive reductions of customs and excise produced such great increases of consumption that the small and reduced customs and excise tnrin" of 1849 produced 34,622,284 against a total of "iily 19,.SoO,867 for the much larger and oppressive list of 1801. It is calculated that after allowing for an increase of 77 per cent, in the number of consumers, the increase of con- sumption accounted for 9 millions sterling of the customs and ,819,000 6,947,000 4,864,000 1,530,000 1841 . 3r>,. r ,77,000 7,135,000 4,482,000 455,000 . 34,622,000 6,867,000 9,712,000 832,000 I'uder the head of stamps were included tin- probate and y duties. In 1801 the total capital subject to legacy duty h then ran L, r ed from 1 to 6 per cent.) was only .".,.",41,000. In lSUf the Liruiluation was raised to 10 i< -i < nt. In 1816, the year of jHjace, the capital subject to duty was 24 millions, and in 18-18 it was 44 millions. Upon these duties 1'urter made the following remarks and criticisms: "It i- in tin- nature of the*.- dulle* t.. tli;ui almost any o! iin.iv-iidaMe. If a heavy tax is laid upon wnir. ..r ujxni male servant.-, or any similar object, every one has it in his power to avoid the payment, by foregoing 624 THE PROGRESS OF THE NATION the use of the taxed article ; but as every one must die, and must leave his property behind him, and as few persons, comparatively, like to quit the world without making such a disposition of their possessions as is dictated by a sense of justice, or by feelings of friendship and affection, the cases will be few in number wherein property of even moderate amount, which devolves by suc- cession, is not brought within the operation of these duties. The motive of saving to their families the amount of the legacy duty, which might otherwise influence some persons to omit making any testamentary disposition of their property, is removed by the regulation which subjects property in such cases to a much higher rate of probate duty (generally 50 per cent.) than is chargeable when a will is proved. If we except those duties which operate in the nature of moral restraints such, for instance, as the duty upon spirituous liquors, when not sufficiently high to excite smuggling there are not any taxes to the effects of which some social evil may not be ascribed. It has been objected to the probate and legacy duties, that, falling inevitably upon capital, they impair the funds applicable to the maintenance of labour, and thereby diminish the future production of the country. ' If,' says Mr. Bicardo, ' a legacy of 1000 be subject to a tax of 100, the legatee considers his legacy as only 900, and feels no particular motive to save the 100 duty from his expenditure, and thus the capital of the country is diminished ; but if he had really received 1000, and had been required to pay 100 as a tax on income, on wine, on horses, or on servants, he would probably have diminished, or rather not increased, his ex- penditure by that sum, and the capital of the country would have been unimpaired.' a " It might, on the other hand, be suggested, that, while these duties are accompanied by the advantage which generally attends direct taxation, namely, that a much larger part of their produce than of the produce of taxes indirectly collected finds its way into the public treasury, they are likewise free from the evil effect commonly ascribed to direct taxation, that it engenders irritation, and is regarded as a greater burthen by the public than the payment of duties to a greater amount upon consumable commodities. The legacy and probate duties are in truth not felt as a tax, and it is this circumstance which has exposed them to the objection urged by Mr. Kicardo. Another and apparently a much better-founded objection to them, as levied in this country, might be brought forward, namely, the partiality shown in excluding from their operation that description of property which, from its greater comparative value and security, is called real property. This partiality has always been felt as a grievance, and the sense of injustice which it is calculated to awaken is of more moment than any temporary irritation that may accompany the demand for money taxes, which soon passes away, and will be felt only by those persons who have given little or no consideration to the subject." The partiality complained of here was redressed by Mr. Gladstone shortly after Porter's death. Among the reductions effected from 1831 inclusive, several are of duties which were partial and unjust in their operation, while others were highly impolitic in their tendency, and prevented the extension of certain branches of industry. Among the former may 1 Principles of Political Economy and Taxation, p. 166, third edition. PUBLIC REVENUE AND EXPENDITURE, 1800-1850 625 lie iiMMiiioned the duty upon coals carried coastwise, which acted in aggravation of the natural disadvantage experienced by the in- habitants of those parts of the country to which fuel was conveyed at a great expense, while the districts in which coal abounds, and where, consequently, its cost is small, were exempt from the tax. Among the duties to which the charge of impolicy is applied was that upon printed cottons, the evil effects of which have been sutliciently explained in a former section. The discriminating duties upon sugar and coffee, the produce of British possessions in India, have also been removed, a measure which could not fail to have the best effects upon our commerce with that part of the world, and a long list of articles, the revenue derived from which was insignificant in amount, but hurtful in its effects upon various branches of the national industry, have either been removed from the tariff or the duties upon them reduced to rates that are merely nominal. The custom-house accounts exhibited in 1842 a list of 190 articles upon which duties were levied, independent of such as were not considered worth enumerating, but were described as " all other articles," and the duties upon which, in that year, amounted to It is a curious fact, that out of this long array, the net produce of the duties upon which amounted, in 1840, to L>:'..:U 1 ,8 1 3, the large proportion of 93* per cent, or 21,872,508, was collected upon eighteen articles, as shown in the following list. By extending the list so as to comprise all articles which yield annually 10,000 and upwards, it will be found to comprehend, altogether, only forty-live articles, yielding 22, 742,601, or 97|per cent, of the whole. There are left 145 articles together with all the unenurnerated ones yielding altogether 599,212 or 2| per cent, of the customs revenue. Tea 3,472,864 Sugar and Molasaea . . 4,650,016 Tobacco .... 3,588,192 British Plantation and Foreign| 2 44Q fl42 Sj.irits / ' Win- 1,791,646 Tinier Itl Coffee 921,550 Cotton Wool .... 648,937 Butter 19,503,272 Tallow 186,283 Silk Manufactured Goods Currants Sheep's Wool Corn .... Rai.sins .... Seeds .... Cheese . 240,627 201 132,689 1,156,639 138,203 19; U? 2,369,236 19,503,272 21,872,508 40 626 THE PROGRESS OF THE NATION Pepper .... Dye and Hard Woods Turpentine Oils Lemons and Oranges . Hides .... Furs Iron ..... . 70,593 . 67,304 . 85,194 . 87,869 . 62,814 . 41,442 . 20,914 . 21 819 Skins .... Woollen Manufactures Glass Raw and Waste Silk . Linen .... Nuts Nutmegs .... Brimstone .... . 19,026 . 20,615 . 20,048 . 17,658 . 13,712 . 13,874 . 15,040 . 11,198 Indigo .... Licorice Juice ... . 39,825 26 534 Madder and Madder Roots . 16,818 . 20,944 oa Qm Bice Bark Ecrcrs . . 34,610 . 20,751 34,374 171,933 698,160 Bristles . Cork Wood Platting for Hate . 29,121 . 24,795 . 11,900 870,093 21,872,508 698,160 22,742,601 Is it possible to conceive any better use that could have been made of a surplus of revenue to the extent of 600,000, than in repealing all this long array of comparatively unproductive duties, which could but exercise a prejudicial effect upon commerce ? l Some part of those unproductive duties were imposed for what is called the protection of our manufactures, and some others because of the excise duties charged upon the like articles of English manufacture. It must surely be bad policy for this country to set the example of charging duties for the protection of domestic industry. Such duties must long ago have become wholly in- operative, through the perfection and economy which have been attained in our manufactories ; and if perchance this should not be the case with every minute branch of skilful employment, we ought to have learned, from the experience of former relaxations, 1 In the last edition of 1851, Porter adds : "Since 1842 the customs duties have been repealed on cotton wool, sheep's wool, various seeds, turpentine, oils, hides, furs, iron, indigo, bark, bristles, cork wood, skins, woollen manufactures, raw and waste silk, linen, brimstone, madder and madder roots ; and the then existing rates have been re- duced on sugar and molasses, foreign spirits, timber, butter, tallow, silk manufactures, currants, corn, raisins, and cheese, all included in the above list." A similar examination of the custom-house accounts for 1849 shows the following result of these important changes, namely, that upon 12 articles, yielding each more than 100,000, the revenue has amounted to 95 per cent, of the whole ; that upon 14 articles, yielding each between 10,000 and 100,000, the proportion was beyond 2 per cent., while all other articles, the revenue from each of which was less than 10,000, yielded less than 2 per cent, of the yearly amount, which, notwithstanding the abolition and reduction of duties since 1840, to the extent of 7,479,685, or 32 '88 per cent, yielded in 1849 within 473,738, or about 2 per cent. (2'08) of the revenue of 1840. PUBLIC REVENUE AND EXPENDITURE, 1800-1850 627 that the true and certain way to ensure improvement is to throw down the mounds of protection. If even, against all probability and all experience, some few sickly and exotic branches of employ- ment should leave the country, the sacrifice would be small indeed in comparison with the good to be attained through the practical carrying out of a principle from the universal adoption of which we have so much to gain, but which never will be generally adopted by other countries, so long as their prohibitory or protective duties are countenanced by the provisions however inoperative of our tariff Where excise duties are charged upon articles of English pro- duction, it is assuredly only justice to the home manufacturer to levy equivalent duties upon the admission of the like articles from foreign countries ; but in such cases it were well to inquire whether the sums received afford a sufficient compensation for the evils always attendant upon duties levied in manufactories. The excise duty on vinegar made in the United Kingdom amounted to no more, in 1836, than 26,313 Is. Id., and the protecting duty on foreign vinegar to 1351 15s. 10 d. The duties being now re- moved, the manufacturers are allowed to carry on their processes freed from the restrictive rules of revenue officers, and it cannot be doubted that they must always produce vinegar at a price which will ensure to them the supply of the home market, while our trade with France has been increased in a manner which tends to secure for us the good wishes and co-operation of one of the largest and most influential classes of proprietors in that country. The imposition of an excise duty on vinegar was long justified on the plea of care for the health of the public, which was to be pro- tected by means of the revenue officers, who would prevent the use of any deleterious ingredients in our vinegar-yards, a plea which will scarcely meet with supporters at the present day, since it is known that no surveillance will suffice to prevent illegal mixtures, where it is to the interest of manufacturers to make them. The Government has, since 1840, acted upon the suggestion here thrown out, of repealing many of the comparatively unproductive customs duties which then swelled the tar ill', and we see that the money collected upon the remaining more important articles amply compensates for the amount given uji. It would have been a favourable circumstance for commerce, and consequently for the progress of social improvement, if govern- 628 THE PROGRESS OF THE NATION ments had never imposed any duties upon foreign productions, except with the single object of obtaining revenue. Duties of regulation, whatever may have been the motives for their adoption, have always in their ultimate effects been productive of more evil than good, a fact which has been kept out of view principally because the good, which is frequently very doubtful at best, is enjoyed by individuals through whom it is rendered apparent, while the evil has partly consisted in the absence or rather the prevention of good, and has operated silently but most injuriously upon the welfare of the community at large. Duties have too frequently been imposed in the spirit of retaliation, an unwise and unworthy spirit, whether adopted by individuals or by nations, and which has long ago been thus ably exposed by Dr. Franklin : " Suppose a country, X, with three manufactures, as cloth, silk, iron, supply- ing three other countries, A, B, C, but is desirous of increasing the vent and raising the price of cloth in favour of her own clothiers. In order to do this, she forbids the importation of foreign cloths from A. A, in return, forbids silk from X. Then the silk-workers complain of a decay of trade. And X, to content them, forbids silks from B. B, in return, forbids iron-ware from X. Then the iron-workers complain of decay. And X forbids the importation of iron from C. C, in return, forbids cloth from X. What is got by all these prohibitions ? Answer. All four find their common stock of the enjoyments and conveniences of life diminished." In levying duties of regulation, governments legislate for the benefit of the producers only of the country, leaving out of sight the interests of the consumers the universal class all of whom are thus placed at a disadvantage for the supposed profit of a few among their number. The minister acts, without doubt, in accord- ance with the feeling of the majority, when, in return for the imposition by a foreign government of any duty which tends to limit the trade of some of the producers in his own country, he attempts to punish the offending nation by aiming a similar blow at some branch of its industry. The doctrine of " an eye for an eye and a tooth for a tooth " is never more fully nor more fatally acted upon than in commercial legislation, although in the present day, and in our own country, the evil tendency of this anti-social spirit has been demonstrated until it has become hardly possible PUBLIC REVENUE AND EXPENDITURE, 1800-1850 629 for any one to hazard an argument in its favour. 1 We may not, in every case, have imposed retaliatory duties precisely in the manner supposed by Dr. Franklin, but our adherence to the principle involved in them is still but too apparent, and especially appears whenever it is proposed to remove or relax any duty upon importation. In these cases, without considering whether such a relaxation will be beneficial to ourselves, and then adopting it accordingly, we have, until the last four years (1846-1850), sought to render the measure subservient to another object, that of pro- ducing a corresponding relaxation on the part of the foreign country of production in favour of some branch of our national industry. In this endeavour we but seldom proved successful. The feeling of commercial rivalry too generally disposes governments to imagine that any proposals to such an effect must have some covert and selfish aim ; and, having once rendered our proposed relaxation contingent upon some corresponding proceeding on the part of another country, the refusal of our offers was allowed to bind us to the continuance of a course known and felt to be prejudicial to ourselves. Would it not have shown greater wisdom and magnanimity in us to take our measures independently of the conduct of others, in the full assurance that the course of events must soon have led to the willing adoption of principles from which foreign governments might have been deterred solely through misapprehension of our motives ? The commercial greatness of this country was achieved under the prevalence of a system of restriction and monopoly favoured by circumstances altogether ditlerent from those in which the States of Europe are placed at this time. We have become convinced that a rigid perseverance in that system of exclusiveness, if even it were practicable, would now be no longer profitable, and have been at much pains to produce this conviction in the minds of other people, both by means of the Press and by negotiations, but we too long left comparatively untried the strongest argument that could be used in favour of our altered views that afforded by our unreserved adoption of a more liberal policy. The success that accompanied our restrictive regulations has been, not unreasonably perhaps, mistaken for their effect, and it was required from us that we should give to the world a practical illustration of our conversion before we could expect to produce a conviction of our sincerity. The necessity for our adopting such a course was shown v.-rv I'mcihly during the 1 Thw passage appears in both tho two last editions of Porter's Progress of the Nation. 630 THE PROGRESS OF THE NATION discussions in the American Congress which preceded its adoption of the tariff in 1824, and which are thus described in the dispatch of our minister at Washington to Canning, dated 30th May in that year : " ' The example of Great Britain,' says Mr. Addington, ' has been adduced as the main support of the arguments used on either side, both parties admitting with equal zeal and admiration the fact of her unrivalled prosperity, but each ascribing it to those grounds which best suited their own line of reasoning. The recent measures adopted by her for the liberalization of her external commercial system, and her emancipation from her ancient system of restriction, are pretty generally ascribed by the advocates of the tariff to a desire to inveigle other nations into an imitation of her example, with the intention, as soon as they shall have embarked sufficiently deeply in her schemes, of turning short round upon them, and resuming to their detriment her old system of protection and prohibition. This scheme, they affirm, Great Britain will, by her superior means, be enabled to execute without hazard to herself.' " The following passage taken from Addington's letter on the same occasion will show how practically mischievous to ourselves are the restrictions which we lay upon the importation of foreign produce : " I have only to add, that had no restrictions on the importation of foreign grain existed in Europe generally, and especially in Great Britain, I have little doubt that the tariff would never have passed through either House of Congress, since the great agricultural States, and Pennsylvania especially, the main mover of the question, would have been indifferent if not opposed to its enactment." In examining the details of the public expenditure, we cannot fail to be struck with the exceedingly great proportion that is absorbed by the expense attending the naval and military force which circumstances have made it necessary for us to maintain. In the last year of the war (1814) the sums expended for the army, navy, and ordnance service, amounted to 71,686,707, and if to this sum is added the interest of the debt, all of which had been incurred in the prosecution of wars, it will be seen that these branches of expenditure amounted, in that one year, to 101,738,072, a large part of which was expended in foreign countries, and consequently was abstracted from the capital of the nation. The drain upon our resources which had been thus in operation for a continuous series of years affords alone quite sufficient explanation of the state of exhaustion in which the country was placed during the first few years that followed the restoration of peace, without our being required to ascribe any part PUBLIC REVENUE AND EXPENDITURE, 1800-1850 631 of the evil to the cause so vaguely assigned at the time, namely the transition from war to peace. In an opposite state of circum- stances; where the transition should be from peace to war, it is easy to conceive that such a destruction of property might be encountered as would bring on a considerable derangement of the commercial dealings of the country, but that the return of peace, accompanied as it is by a remission of taxes, and by the opening of various channels that had before been closed against our trade, should produce evils of the nature alluded to, appears little better than a practical contradiction. The country did, indeed, at that time exhibit all the signs of exhaustion, and the single fact of that exhaustion appearing after the restoration of peace was received as sutlicient proof that it was caused by the cessation of war. The ceasing of a war demand for various articles consumed by the army, >r which were exported to provide payment of our loans and sul.sidies to foreign countries, may have occasioned loss to the comparatively small number of individuals who had supplied the Government, or had conducted certain branches of the export hade; but those persons, and those departments of business must have been insignificant when compared with the great mass of our commercial dealers, who must have benefited by the change. Had we not been placed by the lavish expenditure of the latter years of the war in a state unfavourable for taking advantage of the beneficial alteration in the years immediately following the final overthrow of Napoleon, they must have been to us years of the highest prosperity. The prices of those articles generally, of which \ve were buyers, fell, while on the contrary the goods which we had to offer in exchange rose in value. During the ten years between 1805 and 1814 the Government expenditure exceeded 800,000,000 ; and although some considerable part of this amount doubtless came back to individuals, and prevented that expenditure from being altogether a loss of capital to the country, the part which found its way to foreign lands, without producing any immediate return, was greater than we could bear without suffering, and was, in all reasonable probability, the cause of the difficulties which bore so hard upon our merchants in the few following years, and before the benign influence of peace had adequately remedied the evil. The following statement shows the amount expended in each year from 1801 to 1S4!. under the heads of navy, army, and ordnance expenses: 632 THE PROGRESS OF THE NATION Amount Expended from 1801 to 1849 Year. Navy. Army. Ordnance. Total. 1801 .... 17,266,135 17,752,947 2,197,186 37,216,268 1802. 12,037,162 11,836,407 1,142,839 25,016,408 1803 .... 8,072,878 13,488,080 2,029,799 23,590,757 1804 .... 11,921,551 17,927,422 4,046,054 33,895,027 1805 .... 14,493,843 19,790,181 5,105,426 39,389,450 1806 .... 16,143,628 19,294,982 5,250,376 40,688,986 1807 .... 16,896,661 19,373,101 4,260,079 40,529,841 1808 .... 17,685,390 21,916,198 5,148,852 44,750,440 1809 .... 19,372,061 23,910,222 4,928,674 48,210,957 1810 .... 20,021,512 23,038,479 4,808,745 47,868,736 1811 .... 19,202,679 29,] 60, 530 4,495,816 52,859,025 1812. '20,370,339 31,004,701 5,240,537 56,615,577 1813. 21,833,522 44,241,285 5,241,628 71,316,435 1814. 22,124,437 45,259,377 4,302,893 71,686,707 1815 .... 16,073,870 35,321,544 3,248,759 54,644,173 1816 .... 9,516,325 15,027,898 2,748,841 27,293,064 1817 .... 6,473,063 9,718,066 1,417,648 17,608,777 1818. 6,521,714 7,785,979 1,247,197 15,554,890 1819 .... 6,395,553 8,998,037 1,243,639 16,637,229 1820 .... 6,387,799 8,944,814 1,092,292 16,424,905 1821 .... 6,107,280 9,138,845 1,183,727 16,429,852 1822. 5,042,642 7,698,974 1,007,821 13,749,437 1823 .... 5,613,151 7,351,992 1,364,328 14,329,471 1824 .... 6,161,818 7,573,026 1,407,308 15,142,152 1825 5,849,119 7,579,631 1,567,087 14,995,837 1826 .... 6,540,634 8,297,361 1,869,606 16,707,601 1827 .... 6,444,727 7,876,682 1,914,403 16,205,812 1828 .... 5,667,970 8,084,043 1,446,972 15,198,985 1829 .... 5,902,339 7,709,372 1,569,150 15.180,861 1830 .... 5,309,606 6,991,163 1,613,908 13^914,677 1831 .... 5,689,859 7,216,293 1,472,944 14,379,096 1832. 4,882,835 7,129,874 1,792,317 13,805,026 1833 .... 4,360,235 6,590,062 1,314,806 12,265,103 1834. 4,503,909 6,493,925 1,068,223 12,066,057 1835 .... 4,099,430 6,406,143 4,151,914 11,657,487 1836 .... 4,205,726 6,473,183 1,434,059 12,112,968 1837. 4,750,658 6,521,716 1,444,523 12,716,897 1838 .... 4,520,428 6,815,641 1,384,681 12,720,750 1839 .... 5,490,204 6,542,662 1,951,210 13,984,076 1840 .... 5,597,511 6,890,267 1,631,640 14,119,418 1841 .... 6,489,074 6,418,422 1,815,132 14,722,628 1842. 6,640,163 5,987,921 2,174,673 14,802,757 1843 .... 6,606,057 5,997,156 1,910,704 14,513,917 1844 .... 5,858,219 6,178,714 1,924,311 13,961,244 1845 .... 6,809,872 6,744,589 2,109,707 15,664,168 1846 .... 7,803,464 6,699,699 2,361,534 16,864,697 4847. 8,013,873 7,540,405 2,947,869 18,502,147 1848 .... 7,922,287 6,647,284 3,076,124 17,645,695 1849 .... 6,942,397 6,549,109 2,332,031 15,823,537 According to this table, the total cost of armaments and war up to the middle of the nineteenth century exceeded 1200 millions of money ; 5 2 \ per cent, of which was expended in the fourteen PUBLIC REVENUE AND K\ IMNDITURE, 1800-1850 633 years of war, while the remaining 47 i per cent, has been incurred in the thirty-five years of peace, namely : 14 Yean, 1801 to 1814. 35 Yean, 1815 to 1849. Total 49 Yean, 1801 to 1849. Navy Army Ordnance Total .... 237,441,798 337,993,912 58,198,904 221,163,813 289,940,492 61,241,088 458,605,611 627,934,404 119,439,992 633,634,614 572,346,893 1,205,980,007 The average annual expenditure under these three heads was, in the fourteen years ending with 1814, 45,259,615: in the thirty-five years ending with 1849 it declined to 16,352,725. If we confine the comparison of the expenditure for national defence to the six years ending with 1836, it will be found that the average amount in this latter period was 12,714,289, or less by 72 per cent, than it was previous to 1814. In the sixteen years between 1815 and 1830 the average annual expenditure for naval and military purposes was 18,751,108, compared with which the cost in the six years ending with 1836 exhibits a saving of 32 per cent. In the six years from 1809 to 1814 the expenditure for army, navy, and ordnance services was 348,557,538, being an annual average of 58,092,906. 1 One source of public expenditure which bore very hard upon our national resources during the war consisted of the amount of loans and subsidies paid to foreign countries. The aggregate sum thus abstracted from the national resources in the twenty-two years from 179.3 to 1814 amounted to 46,289,459, of which about two-thirds, 30,582,259, were expended in the ten years that preceded 1814. Almost every country and principality in Km ope received one or more of these loans and subsidies, besides arms, munitions, clothing, and stores from the British Government. The remaining branches of public expenditure that call for notice are the Civil List, or the provision made by Parliament for the support and dignity of the Crown, including the salaries and 1 The armaments of 1810, during the greatest and most desperate of all OUT wan, cost, it will be observe], much lexs than the armament* of 1910, a year of profound peace. Civil List. Miscellaneous Services. 1,181,305 2,141,552 1,235,879 3,867,592 1,057,000 2,216,081 510,000 2,144,345 392,165 2,726,147 396,600 3,911,231 634 THE PROGRESS OF THE NATION 7 expenses of the various great officers of state, and the annual votes made for miscellaneous services. The sums disbursed under these two heads in every tenth year from 1805 to 1845, and in 1849, were as follow: 1805 .... 1815 .... 1825 .... 1835 .... 1845 .... 1849 .... The history of the Civil List first dates from the accession of Queen Anne in 1701, when, in consideration of an annuity of 700,000 settled upon the Queen for her life, the proceeds of the Crown lands and of certain excise duties, which had been granted by Parliament to Charles n and his successors, were surrended to the public. The sum here mentioned was applied to defray the expenses of the Queen and her household, to pay the salaries of her ambassadors and other representatives in foreign countries, and to provide for the administration of justice at home, as well as some other minor charges which had previously been defrayed by the Crown out of the revenues that were relinquished. This arrange- ment ceased at the death of the Queen, when the hereditary revenues reverted to the Crown ; but the precedent made by Queen Anne, as here described, has since been followed at the accession of each succeeding monarch. At the beginning of the reign of George m the Civil List was fixed at 800,000 per annum, to which sum additions were made from time to time, partly on the ground of the general enhancement of prices caused by the depreciation of the currency : the sums paid on this account from the consolidated fund in each year from 1801 to the accession of George iv, in 1820, may be known from the foregoing table. By the arrange- ment made between George iv and the Parliament in 1820, some part of the charge upon the Civil List was transferred to the consolidated fund, and the payments on the former account were fixed at 850,000 per annum. On the accession of William iv a fresh distribution of these charges was made, expenses which had no immediate connexion with the royal dignity were transferred to the consolidated fund, and the Civil List was voted under five different classes, amounting in the aggregate to 510,000 per annum, as follows : ITBI.IC KFVKNUE AND KXl'KNDITURE, 1800-1850 635 1st Claw. For the King's Privy Pun*, 60,000 ; for the Queen, 50,000 . . . 110,000 2nd ,, Salaries of the Royal Household . . 130,000 Expenses of the Household . . 171,500 4th . S i iccial and Home Secret Service* . 23,200 '.th Pensions ..... 75,000 510,000 <)n the accession of Queen Victoria, a Committee of the House of Commons was appointed to inquire into the subject of this branch of the public expenditure; and in compliance with the report and recommendation of that committee, an Act was passed in which the principle adopted in 1830 has been preserved, and the Civil List was fixed at 385,000 per annum, with a power to the Crown to grant pensions to an amount not exceeding 1200 in any one year. The heads of the arrangement were 1st Class. For the Queen's Privy Puree . . 60,000 Jinl ,, Salaries of Queen's Household and Retired Allowances .... 131,260 3rd ,, Expenses of the Royal Household . 172,500 4th ,, Royal Bounty, Alms, and Special Services 13,200 5th ,, Pensions to the extent of 1200 per annum .... 6th ,, Unappropriated Moneys . . . 8,040 385,000 It would appear from a return that was laid upon the table of the House of Lords in December 1837, that during the three reigns of George the Third, George the Fourth, and William the Fourth, the public gained considerably by the arrangements that have been here described. In the first of these reigns, which embraced a period of 59 years, the sum paid to the Civil List, including 3,395,062 granted at various times for the discharge of debts contracted on that account, amounted to 56,975,451, while the amount of the King's hereditary and temporary revenues Driven ii] i t<> the public realized 75,138,695, showing a gain to the public, of 1 8,1 (;:'-._' U. In tin- reign of George iv, which oecu])ieil about 1 J. years, the payments to the Crown were 8,847,987, and the receipts by the public 1 9.7:'.2,7:!2. showing a saving of 10,884,745 ; and in the seven years which comprised the reign of William iv the payments were 3,561,59::. while the reeripts were i!l'l.!M o that the public appears to have gained, by the, arrangement with the late kin;.:, I S. .".". 1 ,745. The saving effected during the reign of the three kings amounted, 636 THE PROGRESS OF THE NATION according to this return, to 37,399,784. The increasing receipts from the ceded revenues have of late years made the bargain more favourable to the public than formerly, but it must be kept in mind that many charges once borne by the Crown and now defrayed by the public are not included in this statement. The Crown is entitled to certain revenues as Duke of Lancaster, and (while there is no heir apparent) as Duke of Cornwall also ; which revenues have not hitherto been relinquished to the public. The difference observable between the amount of the Civil List granted at the beginning of his reign to William iv, and that established in 1837, was occasioned, first, by the absence at that time of a consort, and next, by economies made regarding pensions. The sums included in the foregoing table under the head of Miscellaneous Services comprise a great variety of objects, and necessarily differ materially from year to year. The nature of these services will be sufficiently indicated by the following abstract, which is taken from the Finance Accounts for 1845: Civil Contingencies ....... 78,380 14 5 Public Works and Buildings, including New Houses of Parliament 372,928 15 6 Salaries and Expenses of Public Departments . . . 754,30418 2 Law and Justice ... .... 653,144 13 2 Education, Science, and Art ..... 288,176 15 8 Colonial and Consular Services ..... 292,025 Oil Superannuations and Retired Allowances .... 170,489 14 11 Special and Temporary Objects . . . . 116,6961010 2,726,147 3 7 No statement has been made public of the amount paid for salaries in the various departments of the public service during the years that elapsed prior to 1815. During the war that branch of expenditure had gone on at a constantly increasing rate of progression, and in the year just mentioned had reached the sum of 3,763,100. It will be seen from the following statement that in the twenty years that followed, reductions to the amount of 2 6 per cent, were made. These reductions would have been greater, but for the annual allowances it was considered just to make to persons whose offices were abolished, and who entered the public service upon the faith of such a provision being made. The charge for salaries in the various public departments of PUBLIC REVENUE AND I X PI NDITURE, 1800-1850 637 the kingdom in each year, from 1815 to 1835, was as follows : Year. 1815 1818 1817 1818 1819 1820 1821 1822 1823 1824 um Y-ar. 3,768,100 1826 3,745,478 1827 3,633,981 1828 3,601,720 1829 3,587,1^ 1830 3,564,594 1881 3,562,528 1832 3,453,211 1833 3,368,218 1834 3,281,693 1835 3,260,370 3,285,022 3,248,719 3,204,398 3,185,334 3,120,034 3,055,512 2,934,144 2,853,503 2,828,562 2,786,278 The number of persons employed in the various departments (exclusive of army, navy, etc.), and the amount of salaries paid in each department in the years 1815 and 1835, are shown in the following table, from which it appears that the reduction since the war came to 3787 persons and 976,822, being about 14 per cent, in the number and 26 per cent, in the amount. It appears from a statement presented to Parliament in 1828, but which exhibits several omissions and cannot be received with much confidence, that the reduction in the twelve years from 1815 to 7 embraced 1686 persons and 413,532, or 6 per cent, in number and 1 1 per cent, in amount : according to which statement there were reductions made in the eight years from 1827 to 1835 amounting to 2101 persons and 563,290 of annual charge, or 8 per cent, in number and nearly 17 per cent, in amount. The reductions between 1815 and 1835 would have appeared much more considerable, but for the addition of 3913 persons forming the preventive coastguard under the Commissioners of the Customs, whose salaries, amounting to 259,916 per annum, had before been paid out of the Navy Estimates. 638 THE PROGRESS OF THE NATION , 11 OO f cT co"cTc- . *"* Q . !> ** c 5J S o> 1 1* SrtSSeNcocococo'"' OS i-H CO CO O g| |8gg|||S | ^cloolscisci EoS^^is S II rH ""I no CH CO CO ; (^ i5 OJ CO O5 N CO CO * ^ CN kO OS OO ** rf II ** 1O G> r-t ^> rH CO *C5 CO ^H O ?O O> f o"t~-T to" "fl | to CO .*2 . '3 .!-< oQ 3) B 1 1 . t>~ . & . | P ' 60 ^ o "" . ' "I.." '' ' "S S ** "* cf^ t to 1 > O O ;r- fl 5 S Q g '-a S* -o '3 8 -w el's "03 ..1 H S-^c . . > . n*f.'tgoc> cs O a3 - ^2 o "o S i!! "I = : ^-^ll^ ^ rs 03 tt o C3 ^* r ~^ *"* O Crt ^ / s fTl *** ^ oSgoOo 'o ^^- ||?|||| .J .^ll. -^cS S-73 S 03 Stj'o^"' >>>>S'M'3 o^Stry^^s^fci^: oo'ds^ y o~ >' 00 oo pi eo o co ; A CO 1-1 A 0000 OAA PI A WO -0 PJ 00 O CO CO ^ O CO COOQPtPiAOO^iOO i-i PI CO CO'^i* ; O CO to 00 11 tO IO r-i tO 11 PI PI OO eo" 0^ to ? CO PI cS CO P P A n CO A 00 1- 1-1 CO -* PI rl PI t OO OO OnuAMeO-*-* d oo o" Ci 4> OO CD bO 1"^ ^H 00 I^AOOt--OiOOO M tO-i-t<~OOeOCOtD'>i 5 PI 00 11 ~ * API I- i 10 tO ri TJ. tO o si co : ri -^ i.-. (0 eo t>T (N 3 i a f..o.... .. . ... 3 o 2 5 | S - -5 .a .3 . o . b* . . a . ^ co g ^ S ^ C3 en . I -I J 6 -H . | . . 3 5 o ^ :2 , s .5 . . . .1 3 ."8 / . . .6 . 8 Se . g . JB 3 M "3 ~ S "* Q 1 *u oo._^^-S 5 . -o . . . .^ .- .-_ .^g -"i'2ji-|j S I|1 t le-ll llH llSa g 'e^J2 -7: cso^ > gs ?^^-j2 lues ! 5 1; -8 S v-fo w S oOo ..>.* >>t "3 ?a STH'H Ba-S-'l-5.2'S .2 .s i: iprt^^-2,a5>S| ~ 3 * *t? 2~ x ^: j= 'C - i 'tl = > -= 1 'C"3o<35 5a-2 i <55W!>tn'<1>.3W c_/'_t,>HC-,OG'< D*!-i AH < o CO sa CHAPTER XXXVI NATIONAL EXPENDITURE AND DEBT, 1850-1910 National expenditure in 1851 Movements of revenue and debt from 1867 General survey of expenditure The national debt The army expenditure Naval expenditure Civil services IN 1851, the year when Porter's last edition was published, the total national expenditure (including 4,237,577 for collecting the revenue) was 54,745,176. The largest item of ex- penditure then was the charge for interest and management of the national debt, 28,117,584. Then came the Army and Ordnance, 8,955,061; the Civil List and Civil Charges, 6,997,071; and finally the Navy, 6,437,883. At that time the taxpayer was in a fortunate position ; for, while on the one hand, as a consequence of the Eeform Bill of 1832 and the purification of the tariff, the old system of robbery and corruption was being rapidly swept away ; on the other hand, the poorer classes were not yet organized or powerful, nor had the great contractors yet fastened a policy of constant expansion upon the Admiralty and the War Office. Leading statesmen on both sides were always for economy in opposition, and were not easily induced to adopt extravagant schemes when in office. But for this spirit it would have been impossible to remove such enormous burdens of taxation from the people without imposing very heavy direct imposts. In 1874, when Mr. Gladstone offered to repeal the income-tax, the taxes on consumption were probably no heavier than now, while the taxes on property were very much lighter. In the succeeding chapter we shall survey the commercial policy and the movements of taxation from 1840 to 1910. The two outstanding events in the history of expenditure are the Crimean War and the South African War. The first added to the debt and for a time raised the expenditure. But the opposi- tion to extravagance was at that time very strong, and ultimately prevailed. When the South African War broke out, public and 640 NATIONAL KXI'I-ADITUn; AM) 1)KHT. 1860-1910 641 private waste were already enormous, and thenceforward the flood- gates of expenditure were opened wide. If we turn to details we find that, starting in 1857, after the Crimean War, the army estimates were much enlarged during decade, but thereafter remained at much about the same li'jure for forty years. They began to grow just before the South an War, ami when that was over an alarming increase in 1/oth the size and the cost of the establishment was demanded and sanctioned, despite the protests of the Liberal party then in opposition. The cost of the Civil Services has risen as the natural consequence of multiplied and enlarged activities in all directions, and the advance has been especially heavy during the last twenty years. But the civil estimates include large grants for education, poor law, the improvement of roads and health, and many other services which conduce to national well-being. It stands on a very different economic level from armaments, which represent the workings of international discord and jealousy. In the last thirty-two years the cost of the navy has almost trebled, and no less than 12 millions were added between 1909 and 1911. With a tailing birth-rate and a slowly increasing population, the increase of unproductive expenditure is becoming an intolerable burden. Year. Army. Civil >! 1 ' . ' National Debt and . t!,, r ice*. Port Office and Revenue. ToUl National Expendi- ture, t National Expendi- tan i--r Head of the Total Nprtfc tto*. - 1867-1888 !S78 1(07-1888 i-..; !,-. 1007-1908 1908-1000 1908-1910 14,406,000 tl7.419.000 18.28.-J.OUO 19.390,000 S7.I1 27,238,000 10,500.000 11.160,000 12,325,000 31,141 ::.M*-.'p 35.S 10,147.000 11,194,000 15,824,000 19,852,000 S8.446.000 82,1 41,663,000 (8,627,000 28,572,000 '.4,000 29,500,000 ".000 8,000 4,369.000 4,883,000 7.776,000 10,749,000 14,310,000 .i.OOO 08,129,000 71,237,000 80,880,000 \ 148.479,000 . d. J 7 6 266 274 276 2 11 332 884 864 luding the total expenditure of the Port Office, Outturns ami Inland Revenue DeparUnaoU. ludw 2,000,000 for Abyawnian War. ludea 3,500,000 vote of credit for Kuwo-Turkish War. The total figures, it is true, are swollen Ky p. expenditure, which is laore than covered \>y revenue from stamps, etc. ( )winir In the immensely in ivased vote for tin- (.'ivil Se: and the Navy, the estimated exi>endinire oi lit 1 u 1 ( .l 1 1 showed an enormous jump of nearly fourteen millions beyond the actual expenditure of the tinain ending March :'!. 1'Jll'. and the budget of 1911 showed another upward hmmd "f nine millions to the 642 THE PROGRESS OF THE NATION gigantic total of 180,984,000. The remarkable thing is that Mr. Lloyd George's budget of 1909 has proved such a tremendous engine that the revenue has expanded as rapidly as the expenditure. But the taxation of wealth is already leading to evasion of income- tax, as well as to steady sales of consols, under which Government securities have been falling for several years, in spite of peace, prosperity, and an active sinking fund. A clear idea of the changes in the levels of national expenditure will be obtained by comparing the figures of 1897-1898, before the Boer War, with those of 1909- 1910 twelve years later. We take, first of all, the Consolidated Fund Services, which fall into two divisions, the first being set apart for the National Debt. This service again subdivides under four heads : I A. National Debt Services 1897-1898. 1909-1910. Difference. (a) Funded Debt 1. Interest 16,063,920 15,490,800 - 573,120 2. Terminable annuities 7,261,160 3,526,140 -3,735,020 (6) Unfunded Debt- Interest . 139,300 1,567,110 + 1,427,810 (c) Management of the Debt 174,310 173,610 700 (d) New Sinking Fund . 1,361,310 1,000,000 - 361,310 Total 25,000,000 21,757,660 -3,242,340 It may be mentioned that, in spite of the reduction of interest from 2 to 2 per cent., which occurred in the interval, taxpayers were paying in 1907 a debt charge 4| millions greater than ten years previously. And if the interest on Works Debt had been added, the showing would have been much worse. But the Liberal Government has made large reductions of debt, and even in 1910 with a reduced charge there was still a substantial and operative sinking fund provided for in Mr. Lloyd George's Budget. The new sinking fund was interfered with in 1909-1910 by the rejection of the Budget in the House of Lords ; in the following year it amounted to 4,112,961. The second division of the Consolidated Fund Service comprises the items given in a table on the following page. King George's Civil List (which covers about half the charge on taxpayers for supporting the King and the royal household) exceeds by more than 60,000 that of Queen Victoria, and is practically a reproduction of that of King Edward. A curious feature of the NATIONAL EXPENDITURE AND DEBT, 1850-1910 643 Ii;. Other Consolidated Fund Services 1897-1898. 1909-1910. DUhifMt (a) Civil li>; . 408,289 470,000 + 61,711 (6) Annuities and pensions 291,109 285,270 - 25,839 (c) Salaries and allowance* 79,50 72,330 - 7,230 (d) Courts of Justice 512,483 518,560 + 6,077 (e) Miscellaneous sen-ices 344,553 827,890 - 17,163 (..') Expenses under Coinage Acts 1891 and 1893 250,000 -250,000 Total 1,885,994 1,653,550 - 282,444 new settlement was the release of the King from income-tax, which had been paid by Queen Victoria and King Edward ever since its introduction by Sir Robert PeeL An addition to the Consolidated Fund Services appears for the first time in 1910-1911 under the head of Development and Road Improvement Funds, which are administered by the Development Commissioners (to assist agri- cultural education and experiments, horse-breeding, etc.) and by the Road Board. The total sum applied to these purposes in the year was 1,362,641. The second branch of expenditure is classified under the head of Supply Services, and here the outlay is entirely under the control and purview of Parliament and of the Government. The first three items, of course, command special attention, for it is on their movement that the increase of taxation mainly depends. II. Supply Services 1897-1898. 1909-1910. DitlVn -iir,-. (1) Army Services . (2) Naval Services . 19,330,000 20,850,000 27,-J36,000 35,807,000 + 7,906,000 4-14,957,000 Total Army and Navy (3) Miscellaneous Civil Services (4) Customs .... Iiilin. In 1886 the figure was 742 millions. Then another period of debt reductions commenced which lasted till 1899. On March 31 of that year the National Debt was only 635 millions. The following table gives the growth of Works Debt and of National Debt from 1893-1894 to 1904-1905. It has been extracted from Table VII on paj^e 1 4 of the Statistical Abstract for the United Kingdom. The first column shows how the sinking fund was destroy* -d. Tin- second shows the real growth of the National Debt. 'Return showing the aggicgate gross lial-iliti ! tin Si. I'.Uo (Cd. 6X06). 646 THE PROGRESS OF THE NATION Capital Liabilities Aggregate Gross Lia- owing to borrowing bilities of the State, under various Acts, including Works Debt. . . . 2 667 ... 3 659 ... 3 652 ... 4 645 ... 3 638 ... 7 635* . 9 638 ... 14 703 ... 20 765 . . 27 798f . 31 794 . 39 796 * The lowest point since the Napoleonic wars. t The highest point since 1870. 1893-1894 1894-1895 1895-1896 1896-1897 1897-1898 1898-1899 1899-1900 1900-1901 1901-1902 1902-1903 1903-1904 1904-1905 The heavy borrowings for the Boer War, together with capital issues for military, naval, and other works, wiped out the savings of thirty-five years, raising the debt to 798 millions in 1903. The following table gives (1) the gross liabilities, and (2) the net increase or reduction in each financial year from 1892 to 1898 (before the Boer War), and from 1903 to 1911 (after the Boer War): Net Increase ( + ) Financial Year ending 31st March, Aggregrate Gross Liabilities on or Decrease ( - ) of Aggregate 1st April. Gross Liabilities in the Year. 1892 677,069,062 - 5,949,125 1893 671,119,937 - 3,829,222 1894 677,290,715 - 8,289,163 1895 659,001,552 - 6,715,186 1896 652,286,366 - 7,114,841 1897 645,171,525 - 6,354,018 1898 638,817,507 - 3,423,773 1903 798,349,190 - 3,851,090 1904 794,498,100 + 2,238,391 1905 796,736,491 - 7,746,304 1906 788,990,187 - 9,825,483 1907 779,164,704 -16,838,653 1908 762,326,051 - 8,204,742 1909 754,121,309 - 8,204,742 1910 762,463,625* + 8,342,315 1911 733,072,610 -29,391,015 * Increase caused by financial dislocation following rejection of budget by House of Lords. It will be seen that, thanks to the vigorous policy of Mr. Asquith in cutting down capital expenditure and so increasing the NATIONAL EXPENDITURE AND DEBT, 1850-1910 647 real surplus for the reduction of debt (which policy was assisted by large surpluses of revenue), over sixty-three millions of National Debt were cancelled nearly one-third of the total added during the Boer War. This is far the most striking achievement in the history of the National Debt, under the beneficent double operation of the old and new sinking funds. THE NATIONAL EXPENDITURE ON THE ARMY From 1841 until the Crimean War the expenditure upon the army (including ordnance) remained almost stationary at about nine millions a year ; but the revenue grew rapidly with the expansion of commerce and wealth under the influence of Free Trade, the taxes becoming at once fewer in number, less burden- some, and more productive. The Crimean War of course changed all this, doubling the income-tax and leaving forty millions of debt behind it ; yet it is remarkable how much more easily we bore our share of the cost than our French allies or our Russian foes. In 1857, however, the inevitable reaction after war brought com- mercial failures and severe unemployment as the winter came on. But what happened as the immediate result of peace is particularly instructive. The original estimates for 1856 were Army, 34,998,000; Navy, 19,876,000; but as peace was concluded in May, the actual sums spent were 20,811,000 and 13,459,000. Next year, when Parliament met, Lord Palmerston and his colleagues were believed to be in favour of retaining the war taxes, so that they might keep military and naval expenditure at a high level. Neither Europe nor Asia appeared inclined for peace, and it might have been thought that the moment was ill-suited for any movement in the direction of reduced armaments. But there were strong men in the House of Commons, and the three leading statesmen outside the Government Lord John Russell, Mr. hisraeli, and Mr. Gladstone joined hands in the struggle for ((. noniy, and, undismayed by the threatening aspect of affairs in it her countries, pressed their opinions with a determination and a courage which more modern statesmen seldom display. Mr. l>isr;irli began the campaign by announcing that he would move resolutions against the continuance of war taxation. " By so doing," he said, " 1 think we shall give a great impetus to salutary economy, and shall in a most significant manner express our opinion that it is not advisable that England should become what is called ' a great military nation.' " Mr. Gladstone proposed 648 THE PROGRESS OF THE NATION to " grapple with " the estimates, " not by nibbling at them here and there, but by a general motion taking the sense of the House upon the expediency of saddling the country with such a charge." Lord John Russell quoted the precedent of 1816, when the estimates were withdrawn and reduced, and insisted on the need for " low establishments in time of peace.'' The three statesmen carried the House with them, and their policy was practically accepted by the Government ; for the army and navy estimates of 1857 only totalled 20,699,000. Then came the Indian Mutiny and the China War, followed by the rising of Italy against Austria, and once more economy was banished. An invasion scare, artfully worked up, and supported by Palmerston, also helped to bring up the army estimates to 14,970,000 in 1860 and to 600,000 more next year. Even Mr. Gladstone's vehement opposition within the Cabinet, backed by Cobden and Bright outside, could not prevent the commencement of a costly and utterly futile fortification scheme financed by a loan. But this panic, like others, died down, and Mr. Gladstone's influence then prevailed, with the striking effect shown in the following figures, giving the total cost of the army in the years 18621865 : 1862 1863 16,854,000 16,264,000 1864. 1865. . 14,723,000 . 14,382,000 The great Chancellor of the Exchequer was then at his best, and successive budgets showed huge surpluses and generous re- missions of taxation. As a natural consequence trade flourished, wages rose, and pauperism declined. Thenceforward until the early 'nineties the policy of low establishments in time of peace, as ex- pounded by Cobden, Disraeli and Gladstone, was more or less maintained with the consent of both political parties. Lord Card well's reorganization of the army in 1870 gave increased efficiency at a lower cost. Moreover, his reforms inspired confidence, so that even the Franco-German War created no panic. A small addition to the army was naturally made, but our military expenditure went down again to 14,729,000 in 1873, and in 1874 to 14,426,000, or a figure lower than the sum spent on the much inferior force of 1863. These figures are surely enough to disprove the contention, now so often accepted as an axiom, that a high level of expenditure, when once established, cannot be reduced. For it was done thirty-five years ago, leaving the army in a better and stronger condition than before, and it could be done again. NATIONAL KXPFADITI KK AM) DEm\ 1860-1910 649 After Mr. Gladstone came Mr. Disraeli, and as his name is associated with a "spirited foreign policy," historians might expect to find a heavy increase in the cost of military establish- ments. But the inventor of the word Imperialism, though he had a weakness for display, took care to provide himself with a frugal- ininded < 'hanc.-Ilor of the Exchequer, and for the first years of his hip kej>t the cost of the army between 13 and 14 millions in fact, the two services together cost much less than either does now. Foreign complications, it is true, beset his ad in n towards the close of its existence, and produced their usual results in swollen estimates. Nevertheless, in 1881 Mr. < .ludstone's second administration brought the cost of the army luck to 14,080,000. This, however, was the last time that the War Office contented iteelf with fourteen millions ; the gradual rise in cost during twelve'years may be traced in the following table: Year. Army Expenditure. Secretary for War. \-14 ... 13,495,000 Mr. Oathorne Hardy 1875 ... 13,991,000 > 1876 ... 14,200,000 1877 ... 14,479,000 1878 ... 14,281,000 Colonel Stanley 1879 ... 16,945,000 1880 ... 15,025,000 Mr. Childers 1881 ... 14,680,000 - 1882 ... 15,788,000 Lord Hartington 1883 ... 15,133,000 1884 ... 16,095,000 M 1885 .... 18,600,000 Mr. W. H. Smith In more ways than one the year 1884 constitutes a turning- point in national finance. It marked the close of the old regime, instituted by Sir Robert Peel, and continued by Mr. Gladstone, of frugality and financial reforms. The tariff had been reformed, but in a sense very different I'loin that in which those words are now used ; hundreds of duties had been swept away, and the yield of tin- few which survive*! had increased enormously. England had become the freest and cheapest market in the world, and London the commercial and banking centre of the world. The year 1884 also saw the first naval scare of modern times, ingeniously organ- ized by Mr. W. T. Stead and Mr. Arnold in tin; /'all Mall Gazett. As a consequence, the income-tax, which h.id I.een a^ low as lid. in 1875, was gradual 1\ :<> 8d., and the reduction of indirect 650 THE PROGRESS OF THE NATION taxation upon the comforts of the poor ceased. But the mania for war expenditure in time of peace had not yet seized the War Office in any violent form. The beginnings were modest. The Egyptian policy required a garrison of 6000 men, and the military burden of India was aggravated for no particular reason by a large increase of the garrison. Many wise Anglo-Indians shook their heads at the time, and declared that India would have been happier, stronger, and more contented if the money had been used to diminish taxes, or to improve education, sanitation, and police. The number of men provided for in our own army estimates gradually rose from about 140,000 to 156,000, at which figure they stood when Sir H. Campbell-Bannerman was War Secretary i.e. from 1892 to 1895. The army estimates for 1886 were also introduced by Sir H. Campbell-Bannerman ; but Mr. Gladstone's third Administra- tion only lasted till August, and Mr. W. H. Smith became War Secretary. In the autumn of 1887 a sharp contention arose between the spending departments and Lord Randolph Churchill, who as Chancellor of the Exchequer endeavoured to enforce a scheme of retrenchment in the hope of being able to provide in his budget for a free breakfast-table. His resignation was not followed by any expansion in the army expenditure, which, indeed, after being above 18 millions in 1887 and 1888, dropped below 16 millions in 1889, and then settled down at 17 millions odd in the six following years. Here are the official figures of army expenditure from 1886 to 1895 : 1886 . . . 17,027,000 1887 . . . 18,429,000 1888 . . . 18,167,000 1891 .... 17,550,000 1892. . . . 17,258,000 1893. . . . 17,541,000 1889 . . . 15,919,000 1894. . . . 17,939,000 1890 . . . 17,345,000 1895. . . . 17,899,000 The end of this period saw the beginning of " borrowing for works." The Admiralty at first was the principal offender, but in 1893 the War Office chimed in and began to borrow about half a million a year under the Barracks Act of 1890. We are now reaching the epoch of disaster in the history of our military peace establishment. The present dilemma of the Chancellor of the Exchequer in his search for a social service fund, the disgust of income-tax payers, the complaints of the numerous interests hit by the sugar duties or land taxes, or by increased duties on beer, tobacco, etc., or the low state of national credit, are all traceable, in whole or in part, to the failure (or refusal) of the War Office and Admiralty to return after the war to anything NATIONAL EXPENDITrHK AND DKKT. 1850-1910 651 like the scale of expenditure which preceded the war. If Mr. Haldane's estimates, for example, had heen the same as those of Sir H. Campbell- I'Hiiiicrin.iii in the spring of 1895, Mr. Lloyd George could have repealed the sugar duties and have provided for old-age pensions without recourse to the land taxes or death duties. If Mr. M'Kenna had only asked for the sum that satisfied Lord Spencer thirteen years ago the income-tax might stand at eightpence, and there would be plenty to spare for other purposes. Millions of capital that are being vainly consumed in piling up armaments would be restored to the channels of industry, wages and profits would rise, pauperism would diminish, ample funds would be set free for improving the health and intelligence of the nation. And unless Peel and Gladstone and Disraeli were extravagantly and ridiculously wrong, the real military strength of the nation and its real preparedness for war would be increased instead of being diminished by a reduction of our overgrown establish - ments ;md a return to a normal level of peace expenditure. As Sir William Harcourt once observed, it is positively unsafe, from the standpoint of a possible great war, to keep the instrument of taxation " at concert pitch " in ordinary times ; the strength of the nation, in war as well as in peace, depends upon the soundness of its finances. The estimates for 1895-1896 were 17,983,000, an addition of 97,000 for barracks and so forth being more than counter- balanced by reductions on forage and provisions. But the pro- fligate system of supplementary estimates had come into action. A supplementary estimate for 70,000 was taken by Lord Lans- downe, the new War Secretary, in August, and another for 601,000 was required in the following February. The actual expenditure on the army for the year ending March :U, 1896, the ; of L<>nl Salisbury's Administration, was 18,459,000, compared with 17,899,000 in the last complete year of the il ull ! allotted to the army and navy was arrived at by the 1'nnie Minister and the Chancellor of tin* Exchequer in consultation with their leading colleagues. When that amount had l>een decided, its allocation was entrusted to the First Lord and the Secretary for War, who en- deavoured, according to their capacity and industry, with the assistance 656 THE PROGRESS OF THE NATION of their expert advisers, to see that it was laid out to the best ad- vantage. The old function of the paid expert was to assist in securing efficiency and economy in the administration of the sums allocated by the Government and the House of Commons. It was for them, as trustees of the nation and representatives of the taxpayers, to decide what should be the scale of taxation and expenditure. But now the expert claims to be the master instead of the servant of the public. He " runs " the First Lord and Secretary for War, bullies the Cabinet, and if his views are not fully adopted fills columns of the Press with plaints against economy. The burden of armaments is virtuously deplored and persistently increased. The first need of the army and of the War Office is the abolition of the system of social patronage and jobbery by which favoured persons too often receive posts for which they are wholly unsuited, while mere merit and efficiency are left out in the cold. If Parlia- ment had the will and ministers the courage there would be no difficulty in effecting important retrenchments in the army. A military establishment can be reduced far more readily than a civil one, because of the short service system. The annual number of recruits is very large indeed compared with the total force, and an immense waste of money and energy is involved in taking so large a number every year ; for the percentage of those who have to be dismissed on physical grounds is much larger than it would be if the numbers of the army had not been so much enlarged. The rise and fall of the army estimates depend mainly upon the numbers of men voted, though in order to return to the pay vote of 1897 1898 it would be necessary to vote a somewhat smaller force,' owing to the fact that the common soldier is rather better paid now than then. The following table of the numbers of regulars voted, the pay vote, and the total is extracted from War Office statements : Year. Vote A. Numbers. Vote I. Pay of Army. Total Army Expenditure. 1896-1897 156,174 5,996,827 18,156,520 1901-1902 450,000 22,573,953 92,660,874 1903-1904 235,761 11,233,931 36,728,618 1904-1905 227,000 10,521,393 28,895,624 1905-1906 221,300 9,844,833 28,478,863 1906-1907 204,100 9,611,566 28,501,421 1907-1908 190,000 9,421,235 27,141,642 1908-1909 185,000 9,422,000 27,459,000 1909-1910 183,200 8,527,000 27,435,000 1910-1911 184,200 8,733,000 27,760,000 1911-1912 186,400 8,648,000 27,690,000 NATIONAL EXPENDITURE AND DEBT, 1850-1910 657 The above table brings out very plainly bow it is that the army cost 50 per cent more after the war than it did before the war. Instead of reducing the war establishment by 300,000 men the Government reduced it by 260,000, leaving the hard-pressed t i\|ayer to provide for more soldiers than before. These additional men cost seven or eight millions sterling a year, so that there is no longer any mystery about the necessity of keeping on war taxes. If Parliament allows war establishments in time of peace, it must, of course, acquiesce in war taxation. Unfortunately, another criticism that is forced upon one by an examination of these figures is that the taxpayers have been deprived by Mr. Haldane of the greater part of the benefits which they should have received, in spite of the fact that the new Territorial Force is much better trained and f.ir more efficient than the old Volunteers. As several of the votes have been rearranged, the army expenditure of ten years ago cannot be compared in every detail with the present. However, some of the main items can be set out : Lord Lansdownc's Mr. Haldane's Army Expenditure in 1896-1897. Army Expenditure in 1907-1908. 1910-1911 Estimates. 1. Total 18,156,520 27,141,642 7,760,000 2. Numbers of regular army . 150,174 190,000 184,200 3. Pay vote . 5,996,827 9,421,235 8,733,000 t. Militia . 533,902 727,943 833,000 :"i. Imperial Yeomanry . 5. Volunteer corns 74,278 885,952 407,108\ 1,487,051/ 2,60,000 7. Supplies and clothing rks . 3,377,709 980,748 4,463,710 2,351,775 4,930,000 2,598,000 9. War Office 243,037 563,959 429,000 Territorial F The increase in the Works Vote is due to a curtailment of tin- loan system, under which money was frittered away on barracks and fortifications, many of which have since been abandoned. The army estimates now are eight or nine millions 1 than before the Boer War. The addition repreaentH inter. -i ..n some throe hundred millions sterling of National Debt. "Looking to the future," wrote Mr. Haldane, " it is, I am convinced, impos to make further diminutions in army ex|>onditure on a em: scale unless we first of all reduce the number of troops set abroad." Reductions in the South African garrison have * something, but there are still some ten thousand men thuru main- 4* 658 THE PROGRESS OF THE NATION tained at the expense of British taxpayers in a large self-governing colony, which ought to be contributing to the cost of imperial defence. The normal cost of a battalion at home is 60,000, and 20 per cent, should be allowed for the extra cost of maintenance in South Africa, where living is very expensive. We may conclude our account of army finance with a table, which gives the army estimates for 19111912 by votes: VOTE A. VOTE I. VOTE II. VOTE III. VOTE IV. VOTE VI. Year. Numbers. Pay, etc., of the Army. Medical Services. Special Reserves. Territorial Forces. Quartering, Transport, and Remounts. 1911-1912 (estimate) . 186,400 8,648,000 437,000 742,000 2,766,000 1,641,000 VOTE VII. VOTE VIII. VOTE IX. VOTE X. VOTE V. VOTE XI. Year. Supplies and Clothing. Ordnance Establish- ments and General Stores. Armaments and Engineer Stores. Works. Educa- tional Establish- ments. Miscella- neous. 1911-1912 (estimate) . 4,295.000 581,000 1,472,000 2,591,000 147,000 73,000 VOTE XII. VOTE XIII. VOTE XIV. VOTE XV. Year. War Office and Army Accounts Depart- ments. Non- Effective Charges Officers. Non- Effective Charges N.C.O.'s and Men. Superan- nuation, etc., Allowances. Losses Irrecover- able. Total. 1911-1912 (estimate) . 436,000 1,808,000 1,900,000 153,000 27,690,000 EXPENDITUKE ON THE NAVY From 1857 to 1887 naval expenditure was almost stationary, and at the last-named date the British navy cost only two-thirds as much as the army. In the next decade it overhauled the army. Between 1897 and 1907 (the disastrous decade which included the Boer War) naval expenditure rose from 22 to 31 millions, while military expenditure rose from 18 to 28 millions. Yet common prudence would suggest that expansion in one department should be offset by economy in the other. The cost of our army depends, or is supposed to depend, on the work it has to do in India, Africa, etc. and its size bears no relation to the conscript armies of continental nations. But the size and cost of the navy are regulated professedly by the size or estimated fighting strength NATIONAL F.M'KNDITI Id. AND ni'.HT. 1860-1910 659 of the navies belonging to other nations. In the earlier part of the nineteenth century, it was practically an accepted maxim on both sides of the Channel that the British fleet should stand to the French fleet in the proportion of three to two. As Cobden once showed, by a series of statistical proofs covering the period from 1816 to I860, " in comparing the expenditure of the two countries, it will be observed that they almost invariably rise and fall together." Thus, if we added to our fleet, France added to hers, in the belief that her diplomatic position would be weakened if she submitted to a smaller proportion than two or three. Under a restless and unconstitutional emperor like Napoleon the Third, France played a rather aggressive and domineering role in Europe. She drove Austria out of Italy, invaded Mexico, and finally declared war on Prussia. It was only natural, therefore, that British states- men should take care to maintain an ample margin of naval supremacy, and this margin all parties held to be a superiority of about 50 per cent, on paper. Occasional outbursts of panic and meat made very little impression upon our Governments. Statesmen kept their heads. The leading newspapers were con- ducted witli prudence and moderation, and up to 1885 the naval s seldom exceeded 1(H millions. In fact, at that time, the navy cost less than the army, and about one-third of what it costs now. Twenty-five years ago, however, an agitation was fomented by Mr. Stead and others, who protested that our naval expenditure was not large enough. It was declared that a re- adjustment of the naval balance had become necessary, and eventually the formula of the two-Power standard was invented in order to give a plausible excuse for naval expansion. So our expenditure began to rise. The 13 millions point was passed in lssr>, and in 1SS9, with a million transferred from the army vote, the figure nearly reached 17 millions. This increase, of course, invited France to fresh efforts, and the French vote rose from 8 to 10 millions in IS!L', while Russia was spending a little over 5 millions. Great Britain, however, went on forcing the pace, and <>ur estimates went forward hy leaps and hounds, passing 20 millions in isl'T.and L'.~ millions in 1S9!. In that the l-'iench vote reached 1 *J millions, at which fiuru:. remained practically stationary, llussia now joined in the race, increasing her naval votes from ('> millions in 1897 to 11 in 1901. We may now see what was our own expenditure just before the South African War, with the numbers of mm and Khip- buildiug contracts, as given in th .ates, whieh did not 66o THE PROGRESS OF THE NATION include appropriations in aid or expenditure out of borrowed money. Navy Expenditure Before the War Year. Numbers. Shipbuilding Contracts. Total Expenditure. 1896-1897 . 1897-1898 . 1898-1899 . 91,507 96,925 103,330 5,292,911 3,553,649 4,864,295 22,271,902 20,848,863 23,880,875 The South African War broke out in October, 1899. The ill- feeling aroused by that war on the Continent, and the fear of intervention by the European Powers while our troops were in Africa, led to further sensational additions to the navy. In- cluding the amounts borrowed for new works, the expenditure reached the unparalleled figure of 31 millions in 1900, or three times as much as had been demanded when Lord Goschen, the First Lord, served his apprenticeship at the Admiralty as Mr. Goschen in 1871. Immense sums, borrowed with fatal facility, were sunk in docks, basins, dredging, and other works, in all parts of the world, many of which have been abandoned as useless, or admitted to be unnecessary. This, we may add, is the usual result of spending money which is borrowed and not raised immediately by taxation. The Admiralty and the War Office are only the biggest examples of the relation between waste and borrowing. Town councils have often frittered away the money which they have obtained from loans in the same way, though not to the same extent, as the Admiralty and the War Office. In the four years of war our naval expenditure, excluding loans for works, was as follows : Year. Numbers. Shipbuilding Contracts. Naval Expenditure. 1899-1900 . 108,595 5,111,279 25,731,220 1900-1901 . 112,429 6,931,654 29,999,529 1901-1902 . 117,116 6,794,326 30,981,315 1902-1903 . 121,870 7,601,950 31,003,977 With the establishment of peace in South Africa, with the return of the army to Great Britain, and with the dying down NATIONAL EXPENDITURE AND DEBT, 1850-1910 661 of the anli-Kn^lish sentiment on the Continent, it might have been supposed that our naval outlay would decline, as foreign perils disappeared Important and favourable changes also occurred in the international situation. In 1904 the war between Russia and Japan resulted in the extinction of the Russian navy, and so made the two-Power standard a meaningless formula. An entente cordiale waa next effected with France, and two long-standing differences were finally settled by the French recognition of our position in Egypt, and by ours of the French position in Morocco. In the Far East an alliance with Japan brought another strong fleet into partnership with our own, and relieved us of all possible anxiety in the Pacific Ocean. Our natural friendship with the United States was improved by diplomacy. On the continent of Asia all possibilities of difference with Russia were, removed by an agreement with the Russian Government, and although many people in England disliked the idea of association with a despotic Power, no one could deny that the agreement made for peace, and might have been used in the interests of economy. These four events, all reassuring, had paved the way for a reduc- tion in naval armaments. Economy in armaments was earnestly preached by the Liberal leaders right down to the general election of 1000. And indeed to a slight, a very slight extent this policy was put into execution by the Admiralty in the last year of Mr l'.;ilt'"ur and again under Sir Henry Campbell-Bannerman ; for it decided to reduce both the Mediterranean and China Squadrons, recalling eight out of the fourteen battleships in the Mediterranean and all the four battleships from the Far East. Thus the fighting strength of the home fleet was immensely augmented. A second change in the policy of the Admiralty stopped a considerable source of expense, even if it did not actually add to our ti^htin^ strength in home waters. This change was the decision to give up the practice of maintaining great numbers of cruisers in every part of the world. Many of these "protected cruisers" were recalled and "scrapped." A further change of policy withdrew one of our naval squadrons from the other side of the Atlantic, its place being taken by a squadron of armoured cruisers with its base in Ureat Britain, which now and then crossee the ocean. As a result of this, the West Indian dockyards have been abandoned, and a considerable saving effected. These economies, however, have been far more than swallowed up in new expenditure on construction. What prodigious and un- 662 THE PROGRESS OF THE NATION paralleled sums have been expended on new ships will appear from the naval estimates of the last nine years : Navy Expenditure after the War Year. Numbers. Shipbuilding Contracts. Total Expenditure. 1903-1904 125,948 10,832,371 35,709,477 1904-1905 130,490 10,071,514 36,859,681 1905-1906 127,667 7,781,483 33,151,841 1906-1907 127,431 8,338,514 31,472,087 1907-1908 127,228 7,452,262 31,251,156 1908-1909 127,909 7,174,464 32,181,309 1909-1910 127,968 9,137,848 35,734,015 1910-1911* 131,000 12,395,400 40,603,700 1911-1912* 134,000 14,365,300 44,392,500 * Estimate. Why is it, then, with these facts before us, that our navy has not been put upon a peace footing, maintained, of course, in full efficiency, but yet not continually in a state of provocative expansion and restless increase ? The official answer is found in the rise of a new naval Power. Until a few years ago the German Government contented itself with the possession of the most powerful and best organized army in the world ; but more recently, alarmed, perhaps, by the close alliance between the two great military nations on the Eastern and Western frontiers, and also by the " isolation " which is supposed to be the result of a malign British diplomacy, it has turned its thoughts to sea power. One cause, no doubt, is the unfortunate seizure of the Bundesrath during the Boer War, and another our frequently declared policy of maintaining the right to capture or destroy private property at sea during war. But the German Emperor is mainly responsible for the Big Navy policy, for it does not appear to be popular either with the military caste or with the masses of the people, and all sections of the German people seem to be united in a determination not to contribute the new taxation which the augmentation of the navy requires. Under the Naval Act, German naval construction has been paid for mainly out of borrowed money ; but even so, the total expenditure of Germany in 1911 is only about twenty-two millions, and her navy can hardly be considered to have attained more than one-third the strength of the British navy. Since that time the cost of our navy has been augmented far more than the cost of hers. How far the panic which raged in a section of the London Press during 1908 and NATIONAL MXrr.NDril'RE AND DKHT. 1850-1910 663 1909 waa organized for political purposes, and how far it was assisted by parties interested in the lucrative contracts which are put out every year by the Admiralty, cannot be examined here. The curious thing to note is that the whole basis of alarmisin and of the vast additions to expenditure made during the last three years was the Dreadnought theory. The Dread- noughts are merely enlarged battleships bigger than the King Edward type but not essentially different. Naval experts disagree as to whether three King Edwards (costing the same) would be more likely to vanquish or to be vanquished by two Dreadnoughts. But the idea that the Dreadnoughts have superseded the King Edwards, or that the super- Dreadnoughts have superseded the Dread- noughts, has obviously been started for the purpose of inducing Parliament to approve of estimates which go far beyond reason. Dreadnoughts were intended to supersede other ships, but the Board of Admiralty, which started them, deserved the severest censure ; l for by so doing it would have enabled any Power which chose to spend as much as we did on construction to overtake us in a few years. In the summer of 1911, according to official figures, the British navy was four times as strong as the German in cruisers and double as strong in battleships. In comparison with France our predominance was still more marked. To return to the policy of monster battleships. In view of the development of submarines, mines, and torpedoes, numbers, apart from pattern and size, count more and more ; for sub- marines and mines and torpedo boats are no respecters of size or pattern, and " every serviceable ship that carries a good gun may tire a decisive shot." Again, it must be reckoned on our side that we ran still build faster than the Germans, and that we have more slips available for the largest vessels; so v.r can continue our policy of building from year to year, making alterations and improvements in the design of each successive ship. One of the foremost admirals in the tleet wrote to The Economist during the German panic, deprecating the increased expenditure and ridiculing the mania for Dreadnoughts. It is a natural tendency of the human mind to admire mere size in buildings, ships, and everything else. Then the more costly the job in ironmongery the better pleased arc tin- armament firms whose 'As a matter of fact, the "inventors" of the Dreadnoiik-lit -r.- * Iv-Mi-wl heroes by the same journalists, who declared that the Dreadnought* had superseded the rest of the fleet ! 664 designers are constantly employed on new devices. A portion of the Admiral's letter may usefully be quoted : " When the Dreadnought was declared by writers in the newspapers to have made all existing ships obsolete or prematurely obsolescent, it was pointed out that she in her turn might soon be exposed to a similar fate. A few figures will show how this could be. The Dreadnought had an official displacement of 17,900 tons. She was soon followed by the Bellerophon class, with 18,600 tons displacement. Next came the St. Vincent class of 19,250 tons. Later we have the Neptune, with a displacement of 20,000 tons or more. As two ships, said to be of 26,000 tons, are being built for the United States navy, we ought if we still accept the doctrine to which we owe the introduction of the Dread- nought to assume that the not yet completed Neptune has already been made obsolete or prematurely obsolescent by the American ships. We are likely to be committed to what Sir William White calls the ' perpetuation on an increasing scale of size and cost of so-called Dreadnoughts.' There is reason for apprehending that a couple of millions of pounds sterling will be deliberately expended on the construction of each of several ships, which in accordance with our own widely propagated creed can be, and will be, rendered almost obsolete before they take the water. This, moreover, does not allow for the increase in expenditure caused by the necessity of making new docks big enough to admit the new ships, enlarging old docks and basin entrances, or deepening channels. " It has lately been stated, on good authority, that ' many naval officers consider the King Edwards to be superior to the Dreadnought in offensive and defensive power.' The King Edwards are earlier, smaller, and less costly. It may be taken as certain that a still larger number of naval officers believe that the sum of money expended in producing the Dreadnought and her successors, if utilized in a different way, would increase the effective strength of our battle- ship force much more. It is not necessary to assume that the Dreadnoughts are not powerful ships, but it may be maintained that we could have a more powerful group of ships for the sum that they are costing us or an equally powerful group for a smaller sum. In naval affairs it is specially desirable that means should be proportionate to ends. The substance of a nation may be expended, and largely wasted, in providing not that which is necessary for the work to be done, but that which cannot be utilised to its full capacity. We ought not, of course, to delay the completion of ships already begun or designed, as it would be absurd to say that they are useless. It is, nevertheless, very desirable that a searching investigation into the real utility of the Dreadnought type, should be made. At present this at least may be said with confidence there is no proof that the group of which the type is composed is at all more capable of defeating the battleships of a hostile fleet than a group of far less costly individuals." As the Dreadnought theory, in connexion with a dangerously exaggerated standard of naval supremacy, is responsible for the continuous and increasing strain upon our finances, shown by the high rates of income-tax and death duties, the importance of the above criticism needs no emphasis. But the financial burden of NATIONAL KXl'KNDITrm AM) DEBT, 1850-1910 665 uaval competition is already so oppressive that international action for the proportional limitation of armaments cannot long be delayed. THK CIVIL SERVICE AND REVENUE DEPARTMENTS, FROM 1850 As we have pointed out before, there was an enormous increase in the cost of government during the second half of the nineteenth century and in the new century the movement has been accelerated. Generally speaking, the people get a quid pro quo in the shape of comfort or increased efficiency for that portion of the taxes which is paid to the Local Government Board, the Boards of Education, Agriculture, and Trade. Every penny spent on the army and navy is economic waste, and if war could be abolished the abandonment of these services would be sheer gain. But most, if not all, of the services we are now considering are essential to civilization ; and many of them (such as the provision of education and roads, a postal service, telegraphs and telephones) are absolutely necessary if the nation is to prosper in its agriculture, manufactures, and commerce. If the whole world lived together in brotherly affection, and all disputes between nations were settled in courts of law, the expenditure on local and civil government would be more likely to increase than to diminish. At the same time there is undoubtedly a tendency to be too lavish with j.ulilic money, and there is mm h avoidable waste in our civil departments as well as in our local expenditure. Administrators of public money hold the most in and rcs]K)usible of all trusteeships. If an expenditure is not absolutely necessary its utility and productive character must be proved to demonstration, and it must also be shown that the scheme can be carried out without imposing an undue strain upon the public credit and resources. Great Britain may be the richest country in the world, but no state is rich except by comparison \vith the greater poverty of its neighbours. Nine families out of ten are poor. Most of them, but not all, have just enough to live on. I '.ut their savings are very small, and they have very little to fall hack upon. The tenth family is very comfortably oil. on the !_'<, and if this "emerged" tenth were able and willing to provide the whole revenue, a government might almost be pardoned if it extended the scope of its functions and enlarged its grants liberally. But apart from the ]*>litieal evils which would llourish in a state supported only by a small well-to-do fraction of its citizens, a modern state, with an elaborate system of education, aii enormously costly arrangement for the incarceration of criminals, 666 THE PROGRESS OF THE NATION lunatics, and paupers, immense forces of police in addition to a mighty machinery designed and maintained regardless of expense for the purpose of menacing the security of other nations and safeguarding its own, cannot possibly rely upon the rich alone. As we have already seen, the cost of the civil service has in- creased even more rapidly than that of the army or the navy, the figures for the fifty years from 1857-1907 being as follows: Civil Service, in- Revenue cluding Other Departments Consolidated Fund and Post Services. Office. 1857 10,147,000 4,359,000 1867 11,194,000 4,883,000 1877 15,624,000 7,776,000 1887 19,852,000 10,749,000 1897 23,446,000 14,310,000 1907 32,152,000 20,749,000 There has thus been a steady increase in the burden of the Civil Service from 1857 to 1897, and in the last ten years of the table an increase of nearly nine millions, or, including the revenue departments, which are grouped with the Civil Service estimates, an increase from 37,756,000 to 52,901,000. Taking, however, the Miscellaneous Civil Services alone, the charge has risen from just over 20 millions in 1897-1898 to 30,180,000 in 1907- 1908, and to no less than 43,098,000 for 1910-1911. But in addition to the sums provided annually, very considerable sums are spent under the authority of various permanent Acts of Parliament. These are the " Other Consolidated Fund Charges." They include provision for the Sovereign's Civil List, for the salaries and pensions of the judges, and various other charges. Apart from two or three pensions for distinguished military or naval services, the whole of this expenditure is civil in character. The figures are as follows : Other Consolidated Fund Charges 1897-1898 ...... 1,886,000* 1907-1908 ...... 1,972,000 * This figure is swollen by a charge of 250,000 for expenses under the Coinage Acts 1891 and 1893. It is unfortunate that these charges are not discussed with the Civil Service estimates, but at present no estimate of the Con- solidated Fund Charges is laid before Parliament, except in the NATIONAL FXl'F.\I)ITrHK AM) DI.IH. 1860-1910 667 budget statement of the Chancellor of the Exchequer. This is one of the weak points in the financial control exercised by the House of Commons. Several of these charges would certainly be critici/ed if members generally were aware of their existence, and though none of them can be repudiated, many of them lapse in the ordinary course of nature, and their renewal might be prevented. \V have not, however, yet reached the limit of civil ex- penditure. Another large item consists of the revenue derived from certain taxes set aside for the benefit of the local authorities. These taxes are imposed by the authority of Parliament ; they are collected by officials under the control of Parliament, and the .ut' so obtained is then distributed among the local authorities in the manner prescribed by Act of Parliament In effect, these taxes are a portion of the imperial revenue, and their distribution should properly be treated as imperial expenditure. This course is now being followed as a consequence of the reform instituted by Mr. Asquith. These assigned taxes do not, however, constitute the whole of the imperial subsidy to local needs. In addition, direct grants amounting to over a million sterling are paid out of the Consolidated Fund. Taking the two elements together, we obtain the following figures as the total contribution from the imperial taxes to local finance : 1897-1898 9,402,000 1907-1908 ...... 11,155,000 \\Y h;ive now collected all the items of civil expenditure, but before bringing them together it is necessary to make certain de- ductions. Under the peculiar system of account-keeping maintained by the Government, certain military and naval charges are borne upon civil votes. Whenever the First Commissioner of Works is called upon to do any building for the Admiralty or the War Office, it is charged upon the vote for the Board of Works, and are as civil expenditure. The same confusion occurs with the stationery supplied to the army and navy by the Stationery De- partment, and with the services rendered by the 1'oet Office. The Minis to 'he deducted on the head of naval and military expenditure eluirird toeivil votes were, in 1897-1898, 601 .1 L'J and in 1!>07- 1908, 822,000. Inducting these HU m s from the variou civil r\|>enditure enumerated above, we have the following result J Total Ctril Expenditure of the United Kingdom 1898 ..... ",000 1907-1908 .... 63,174,000 668 THE PROGRESS OF THE NATION This result shows that in a period of ten years our civil ex- penditure increased by nearly 40 per cent., and the actual addition made came to 17,000,000 a year. COMPARATIVE ANALYSIS OF EXPENDITURE IN 1897 AND 1907 In order to see where the increase occurred in these figures it is proposed to analyse the sums which have been quoted. The analysis follows the classification of the Appropriation Accounts as far as possible, for though the form in which these accounts are drawn up makes it difficult to separate the cost of the various departments for many appear under more than one head it would be impossible to rearrange the details of the two large volumes. The account is further confused by the appropriations in aid which accrue to many of the departments. These are in the nature of county court fees, proceeds of sale of stores, etc., the money sometimes being paid by the public and sometimes by other Government departments. The appropriation accounts quote the gross expenditure and also the appropriations in aid received under each head. The difference between these represents the sum to be provided by Parliament, and is to some extent comparable with the estimates for the coming year, though the latter are too often added to later in the session by the supplementary estimates. Summary 1897-1898. 1907-1908. Estimates, 1910-1911. I. Public Works and Buildings 1,888,680 2,716,400 3,452,294 II. Salaries and Expenses of Civil Depart ments .... 2,097,932 2,886,564 3,455,545 III. Law and Justice 3,628,681 3,854,402 4,442,611 IV. Education, Science, and Art 11,525,818 17,163,278 18,651,483 V. Foreign and Colonial Services 1,160,212 2,042,364 1,862,190 VI. Non-Effective and Charitable Services 747,639 810,377 *10,073,049 VII. Miscellaneous . 355,859 512,707 748,274 VIII. Revenue Departments 14,265,009 20,843,581 23,382,656 Total 35,669,830 50,829,673 66,068,102 Includes Old-age Pensions, 9 millions. Apart altogether from Old-age Pensions, which is a steadily increasing item, there are some considerable advances. As between NATIONAL EXPENDITURE AND DEBT, 1850-1910 669 1897 and 1907, the largest increases are in education and the revenue departments, which between them account for 12 millions of the 16 millions increase. Other items to which attention should be given are those in respect of public buildings, which show an increase of nearly 50 per cent, the expenses proper of the civil departments, which have risen 47 per cent, the cost of the colonial and foreign services, and miscellaneous expenses. PUBLIC WORKS AND BUILDINGS The first class is that of public works and buildings. Many of these items are for departments, like the post office, which figure in the returns elsewhere. Apart, however, from the confusion, there seems to be great and growing extravagance in public buildings. Clou L Public Work* and Bwldingt 1909-1910 1897-1898. 1907-190*. (Net Estimate). Royal Parks and Pleasure Gardens natic and Consular Buildings Revenue Department Buildings Grea 101,323 23,402 139,972 71,87 128,500 87,100 Britain) 345,782 834,024 720,000 I'll!. lie Buildings (Great Britain) . 284,025 504,340 670,000 ysof the United Kingdom . Rates on Government Property . 204,585 394,743 189,589 624,251 200,076 654,500 puMii- Works and Buildings (Ireland) 195,058 171,454 251,017 mjn& 59,411 88 495 Total (including other public buildings) 1,888,880 2,718,400 3,164,784 The. entry fur rates on Government property shows an increase out of proportion to the sum spent on buildings, but it has to be remembered that Government property has increased in every one of the intermediate years. The expenditure on public buildings shows the largest proportionate increase It may be plead*--! that Great r.ritain is not lavish in its public buildings compared with some other countries, and in the case of the Government depart- ments eHiciency may have su fit-red from inadequate housing and the scattered location of inde]emlont offices, and sometimes even of branches of the same department. N- iea that every civil or municipal ntltcer must live in a palace has been sadly overdone. 6/o THE PROGRESS OF THE NATION Class II. Salaries and Expenses of Civil Departments Service. 1897-1893. 1907-1908. 1911-1912 (Net Estimate). House of Lords Offices .... 3,897 19,951 28,559 House of Commons Offices .... 16,516 35,250 49,000 Treasury and Subordinate Departments 89,187 99,473 105,738 Home Office ...... 118,279 194,930 234,517 Foreign Office 70,852 62,877 67,225 Colonial Office ...... 41,911 62,629 59,616 Privy Council Office 11,821 10,160 10,533 Board of Trade 178,674 269,006 520,716 Mercantile Services 44,215 92,634 107,100 Board of Agriculture and Fisheries 103,714 235,853 194,914 Charity Commission 40,232 30,261 30,558 Civil Service Commission , 40,183 37,679 45,516 Exchequer and Audit Department 58,866 61,652 64,560 Friendly Societies Registry .... 7,514 8,513 9,910 Local Government Board .... 181,575 226,179 277,951 Lunacy Commission (England) . 13,828 15,782 18,342 National Debt Office 13,702 12,356 13,355 Public Record Office 22,465 24,189 26,030 Public Works Loan Commission . 1,795 1,390 36 Registrar-General's Office (England) 38,665 38,302 182,023 Stationery and Printing .... 580,639 736,875 793,650 Office of Woods, Forests, and Land Revenue 19,456 20,046 22,908 Office of Public Works .... 54,427 85,290 125,930 Secret Service 25,825 43,877 50,000 Government Chemist ... 19,088 SCOTLAND Office of the Secretary for Scotland 11,942 34,916 35,583 Fishery Board for Scotland .... 30,476 17,419 24,529 Lunacy Commission, Scotland 5,360 6,130 6,203 Registrar-General's Office, Scotland 4,964 3,895 37,871 Local Government Board for Scotland . 11,375 15,768 19,741 IRELAND Household of the Lord-Lieutenant of Ireland 4,770 4,557 4,682 Chief Secretary for Ireland .... 41,539 27,051 28,622 Department of Agriculture and Technical Instruction, Ireland .... 201,229 426,609 Charitable Donations and Bequests Office, Ireland ....... 1,872 2,025 2,020 Local Government Board, Ireland 136,804 71,274 107,514 Public Record Office, Ireland 5,771 5,456 7,583 Public Works Office, Ireland 36,414 39,276 44,470 Registrar-General's Office, Ireland 15,784 11,933 29,020 Valuation and Boundary Survey, Ireland . 12,623 19,481 44,581 2,097,932 2,886,564 3,876,803 SALARIES AND EXPENSES OF CIVIL DEPARTMENTS The second group contains the expenditure of the administrative departments. The three millions to be voted under this head are, in fact, the cost of running the permanent civil service, and those NATIONAL EXl'KM)ITriU; AM) DKIVI. 1850-1910 671 who hold with the dictum that the best Government is that which spends moat lavishly would )i;iMv find an outlet for their spend- thrift propensities in a great addition to this sum. Every fresh frm of Government activity, every new department created means an addition to the cost of these civil neiits, and, as will be seen from the table on the previous page, the total expenditure has nearly doubled in the fourteen years covered by the figures. The estimates of 97 for the Mint and 8 for the Bankruptcy Department of the Board of Trade are omitted from the table, as the receipts and fees of these departments exceed the cost ; in fact, they contribute no balance to the Exchequer. The votes are in- cluded so as to bring the departments before the House of Commons. egards England, it will be seen that large increases are recorded iii the case of the Home Office, the Board of Agriculture, the Local Government Board, the Stationery Office, and, in particular, in the Board of Trade, which has been compelled to undertake an enormous number of new or additional duties in connexion with labour. The Home Office has had to add greatly to its staff on account of the work put upon it by recent Factory and \Yorkshop Acts and other industrial legislation. A comparison of 1897 with 1907 in regard to factory inspection yields the following result : 1897-1898. 1907-1908. Inspection of factories and workshops Salaries, etc. 88,078 65,272 Travelling, ct . . 9,212 Fees to surgeons, etc. . . 3,396 9,708 Cost of prosecuti. -iis, iM'juiries, and arbitral 674 3,104 Incidental expenses . . 757 976 52,117 81,407 The remainder of the increase is due to contributions towards the maintenance of certified inebriates' reformatories under the Act of 1898 (absorbing a sum of 26,000) and a sum of 11,000 the cost of the Aliens Act of 1905 9206 being the salaries, fees, and allowances to officers. In view of the admitted failure of the Aliens Act as a real safeguard against the admission of undesirable persons, it would seem that 1 1 ,000 is a large sum to pay to keep out a few poor refugees. The m< Tease in the Local (5ov. rnment Board Vote is incurred in respect of the general staff and of the district auditors. The increase in the salaries of the well spent if it improves their supervision over tin lure of authorities. In the Board of Trade, which shows the largest in- 672 THE PROGRESS OF THE NATION crease of all the departments, the additional expenditure is mainly incurred in two departments namely, the Commercial, Labour, and Statistical Department, and the Patent Office. Since the first fiscal inquiry, initiated by Mr. Balfour, the Board of Trade has engaged in a series of important investigations, and has enlarged its statistical functions to meet the demand for more information on the leading social and economic questions of the day. The cost of this develop- ment increased the sum spent by the Labour Department from 19,000 to 47,500. The Patent Office has shown a similar increase, owing to the greater trouble taken in the investigation and recording of patents. Salaries and wages in this department have risen from 57,000 to 110,000. The increase of 50,000 in the Board of Trade estimate includes the cost of the Census of Pro- duction Office, whose reports have been freely used in this book. Whether the census was worth undertaking is however arguable, for there are limits to expenditure of this kind. The Civil Service Departments of Ireland and Scotland naturally show smaller advances. The most important of the sums is that for the Agricultural Board of Ireland; but the work which has been done in arresting Ireland's agricultural decline and developing its resources is a more productive undertaking than many which could show a credit balance in their account. LAW, JUSTICE, AND POLICE The third class includes expenditure on law and justice, so far as this comes within the province of the central administration. It is of some interest to note how the increase in this section between 1897 and 1907, which amounts to about 550,000, is distributed among the three kingdoms : 1897-1898. 1907-1908. England 1,378,326 1,509,100 Scotland ........ 211,087 208,587 Ireland 2,039,268 2,136,715 United Kingdom 3,628,681 3,854,402 Thus England's expenditure has increased by 20'8 per cent., Scotland's by 7 '6 per cent., and Ireland's by 12 '3 per cent. Ireland's immense share is due to the fact that the Eoyal Irish Constabulary NATIONAL EXPENDITURE AND 1)1 HT, 185O-1910 673 charge on the United Kingdom, and also to the Irish Land Commission. The detailed items which comprise these totals are as follows : Clou III. Law and Justice Serrice. 1897-1898. 1907-1908. ENGLAND Law Charges, England. Miscellaneous Legal Expenses Supreme Court of Judicature 62,873 41,725 819,214 71,592 49,505 318,926 Land Registry ... . 7, MM 37,824 < 'ounty Courts ... . . 19,419 ... Public Trustee ... . . 1,696 :!an:uij>er disqualification. MISCELLANEOUS The payments under thi.s hc.idin '-aged considerably during the last ten years, but, it will be seen that )i ^reut part of the addition is under tin- two heads Irish Developim-n and the Unemployed Workmen's Act, 1905. 680 THE PROGRESS OF THE NATION Class VII. Miscellaneous Service. 1897-1898 1907-1908. Temporary Commissions 31,624 60,301 Celebration of the Sixtieth Anniversary of Her Majesty's Reign 76,408 Land Tax Redemption 100,446 Irish Development Grant .... 185,000 Expenses under Unemployed Workmen's Act, 1905 148,143 Grant to Earl Cromer 50,000 Total (including other grants) 355,859 512,707 The sum for Temporary Commissions (almost the only permanent item in this list) shows a very large proportionate increase, namely, 60,300 in 1907-1908, compared with 31,624 in 1897-1898. This item is one of those small leakages which, because the sum in- volved does not run into millions, often escape notice. There is very little control over the expenditure of these twenty-eight temporary commissions, for they are usually left to determine more or less the extent and scope of their own inquiry, as the terms of reference are so often vague. The recent Poor Law Commission, for example, is a case in which, though the members were unpaid, money was spent very lavishly. No one would wish to deny that these temporary commissions often do good service to the nation. The mere possibility that the Tuberculosis Commission may do something to check the ravages of that disease is perhaps worth the 57,000 which has been spent by the commissioners, while the evidence collected by the Poor Law Commission will have much value for future workers on social matters. The point to which attention should be drawn is the absence of any real control, and there is much to be said for the policy of not giving the commissions a free hand, but of assigning a given sum to be spent in the investigation of a particular subject. But perhaps those in authority find a Royal Commission the easiest, if not the cheapest, means of keeping busybodies quiet and sending inconvenient enthusiasm to sleep. REVENUE-EARNING DEPARTMENTS Of the three items included under this head, the post office shows the largest increase. NATIONAL EXPENDITURE AND DEBT, 1850-1910 68 1 VIII. /! >-rnn- 1897-1898. 1907-1908. Customs ........ Inland rrrenue Poet office Post packet serrice .... Post telegraphs 845,191 1,818,642 7,802,684 \ 746,757 } 3,251,855 J 949,887 2,275,184 17,619,010 14,265,009 20,843,581 As regards the post office, the accounts must be taken on both sides. The figures of revenue for the years 1897 and 1907 compare with the expenditure as follows: 1897-1898 . 1907-1908 . Revenue. 15,180,000 22,300,000 Expenditure. 11,601,000 17,619,000 It will be seen that the profit earned by the department for the relief of the taxpayer increased from 3,579,000 in 1897-1898 to 4,681,000 in 1907-1908, and if this growing profit were earned in the ordinary way of business it would be magnificent. But it is necessary to remember that the post office is endowed with a monopoly, and that the profit earned arises exclusively from the collection, conveyance, and distribution of penny letters. That ice costs considerably less than a halfpenny per letter, and the extra halfpenny miu'Iit, therefore, to be regarded as a tax. It is a good tax, as taxes go, but its yield should be judged like the yield of other taxes, and no Clmncrllor of the Exchequer ought ever for a moment to almit that because this tax yields a considerable revenue, therefore the post office is justified in indulging in needless or unprofitable expenditure. This, however, is what is in practice dona The administration of the telegraphs by the post office involves the nation in a heavy loss of not less than 1,000,000 a year, apparently Kecause the Postmaster-General undercharges consumers, especially newspapers, for telegrams. CHAPTER XXXVII TAXATION AND COMMERCIAL POLICY, 1840-1910 Gradual removal of our old Protective and Preferential Tariff Mr. Gladstone's budgets South African War finance Mr. Lloyd George's budget of 1909 IT was mainly under the auspices of Huskisson, Peel and Gladstone that the system of Protection and Colonial Prefer- ence, built up during the commercial wars of the eighteenth century and increased during the Napoleonic wars, was relaxed and finally swept away. Porter, one of the severest critics of the system which he had to administer at the Board of Trade, assisted in the introduction of Free Trade, though he did not live to see its practical completion in the budgets of 1853 and 1860. Huskisson had popularized the idea of a more liberal commercial policy at the Board of Trade and as Colonial Secretary ; but when Peel came into power in 1841 he found a multitude of vexatious burdens still impeding our foreign and colonial trade. " Probably," wrote Sir Stafford Northcote, " no budget was ever awaited with more interest, anxiety, or curiosity, than that of 1842. Serious financial difficulties had been accumulating for several years. Five times in succession the revenue had fallen short of the expenditure by amounts averaging about a million and a half per annum." In the year 18401841 the income had fallen short of the estimate by more than a million sterling, and this was the more alarming, adfas Northcote, " since the failure had occurred in the portion of our revenue upon which we mainly depended, and which then constituted about four-fifths of the whole, namely, the revenue from the customs and the excise." Such was the testimony of a strong Conservative, a close student of public finance, who afterwards became Chancellor of the Exchequer under Disraeli, and leader of the House of Commons. This failure of our old fiscal system, com- bining protection, retaliation and preference, appeared in his view " to imply an exhaustion of the resources of the people, more serious 682 TAXATION AND COMM1 H('I \I. I'OUCY. 1840-1910 683 than any deficit in i iiiMjuer, which was unhappily but too h in accordance with other disheartening signs of the times." there was at this period, as he reminds us, "a great deal of suffering among the lower orders, and especially among those .gaged in manufactures ; there was a scarcity of employment, and provisions were at a high price." The policy of Sir Robert Peel and his Cabinet was influenced indirectly by Adam Smith's Wealth Nations, which bad been cleverly applied to the fiscal problems of the day by Sir Henry Parnell in his work on Financial Reform. The i hities Committee of 1840 had also spread distrust of ection among men of intelligence, while the strenuous efforts !io Anti-Corn Law League, led by such persuasive orators as Cobdi.-n, Uriu'ht. and Fox, were rapidly converting the industrial districts of England and Scotland to an out and out advocacy of Free Trade. On the existing basis of taxation, Sir Robert Peel, in laying his great new plan of finance before the House of Commons on March 11, 1842, made the following estimate of income and expenditure, showing, as will be seen, an anticipated deficiency of '19,000. It- H mi' Customs ...... 22,600,000 Excise ...... 13,450,000 Sumps ...... 7,100,000 Taxes ...... 4,400,000 Port office ...... 500,000 Crown lands ..... 150,000 ttndlUMOM .... 260,000 Total income . . 48,350,000 Expenditure Debt (Funded and Tn funded) . . . 29,427,000 Charges on Consolidated Fund . . 2,808,000 Army 6,617,000 Navy 6,739,000 Ordnance ...... 2,084,000 Miscellaneous . . . 2,800,000 via. clothing and volunteer* . . 108,000 liina .... 675,000 Total expenditure . . 60,819,000 The above statement gives a very good view of public finance as Perl found it. As far as expenditure goes, th<> only ordinary item which in larger than at present is the charge for dr army and ordnance toother, it will be seen, cos: ian nine millions and t!i- navy less than H -fused to 684 THE PROGRESS OF THE NATION meet the deficit by increasing the charges on articles of consumption, because in this direction, he said, we had " arrived at the limits of taxation," and he was unwilling to add to the burdens of the labour- ing classes. He rejected the idea of reimposing old duties on salt and leather, or laying new taxes on railways and gas, nor would he resort to further loans which would depreciate national credit. He therefore proposed as his remedy that the income of the country should bear a charge of 7d. in the pound, or 2 18s. 4d. per cent. " for the purpose of not only supplying the deficiency in the revenue, but of enabling me with confidence and satisfaction to propose great commercial reforms, which will afford a hope of reviving commerce, and such an improvement in the manufacturing interests as will react on every other interest in the country, and by diminishing the prices of the articles of consumption and the cost of living will in a pecuniary point of view compensate you for your present sacrifices." From the income-tax and an additional tax on spirits in Ireland in lieu of income-tax, with minor measures, he anticipated 4,380,000, and looked for a probable surplus of 1,800,000, which he applied to sweeping reforms and reductions of the commercial tariff. The tariff at that time was laid upon 1200 articles, and 950 of them were reduced or abolished in this budget of Sir Robert Peel's. He removed prohibitions. He reduced duties on raw materials to a 5 per cent, maximum. He reduced duties on semi-manufactured articles to a 12 per cent, maximum. He reduced duties on fully manufactured goods to a 20 per cent, maximum. The relief to the consumer was much greater than the loss to the revenue ; in fact it was calculated to be nearly double. In the two following years, various but unsuccessful attempts were made to conclude commercial treaties with foreign countries on the basis of retaliatory bargaining. Peel's budget whetted the appetite of manufacturers and work- men for more reductions. In 1843 the tax on machinery was abolished, and in 1844 the success of Sir Robert Peel's policy from the standpoint of revenue appeared in a surplus of over four millions sterling. Goulburn, who had been made Chancellor of the Exchequer by Sir Robert Peel, thereupon reduced, or abolished, a large number of import duties, and in the next year the income- tax was renewed, this time " not for the purpose of providing the supplies of the year," to quote Sir Robert Peel's own words, " but distinctly for the purpose of enabling us to make the experiment of reducing other taxes." Upon this all-important question of Sir Robert Peel's commercial policy it may be well to quote the very TAXATION AND COMMERCIAL POLICY. 1840-1910 685 cautious and moderate language of Sir Stafford Northcoto: "The experience, however, of the last three years had led both the nation and the ministry to look with a different eye upon our system of indirect taxation. The seeming paradox that a larger revenue might be obtained from smaller duties had turned out to be the simple expression of an economical law which appeared capable of more extensive application than it had yet received. Duties had been largely reduced and even in some cases repealed, yet the revenue was as large as before, and was evidently growing. Per- haps this fact did not conclusively prove that the increase of uue was caused by the remission of the duties ; but it un- doubtedly afforded a fair presumption that there was some con- nexion between them." On this occasion remissions and reductions of taxation were made to the extent of 3,338,000. The coal and other export duties were removed, and about 430 articles, yielding small revenues, were swept from the tariff at an expense of only : 0,000. Under Excise the auction duty and the duty on glass were abolished. This budget again was very satisfactory, for at the end of the financial year there was a surplus of 2,380,000. The remission of .".,.">00,000 in customs and excise duties caused a loss of only 2,436,000 to the revenue. The events leading to the repeal of the Corn Laws in 1846, which struck a final blow at the protective system in England, cannot be detailed here, but it should be observed that in the same year many large reductions were made in various duties upon raw and manufactured materials, including tallow, timber, cottons, woollens and linens, soap, candles, boots and shoes. In the next two or three years of Whig govern- ment, while the corn duties were being reduced to a registration duty of one shilling per quarter, no very large alterations were made in fiscal policy. In 1848 Lord John Russell sought to raise the income-tax from sevenpenco to a shilling in the pound in order to increase the military and naval expenditure, hut this proposal was abandoned, and the military and naval estimates were redu In isl'.i, :i; a corollary to the practical abandonment of the protectionist system, the old navigation laws were repealed, and in the following year the excise duty on hrirks was abolished. In 1851 the window d abolished, the coffee duties reduced, and the duties on foreign timber were halved. In the follov. year the Tories returned to office for a short tii the dissolution of Parliament they were defeated and elite 686 THE PROGRESS OF THE NATION government of Lord Aberdeen was formed in December, 1852, with Mr. Gladstone as Chancellor of the Exchequer. This brings us to Mr. Gladstone's great budget of 1853, which was founded on a renewal of the income-tax, and upon an important extension of the legacy duties, and a further increase of the spirit duties. As a set-off against the extension of the income-tax to Ireland, Mr. Gladstone remitted the whole debt of 4,500,000 due from Ireland to England for advances made during the Irish famine. Revenue, 1853-1854 Estimate. Result. Customs 20,022,000 20,703,048 Excise . 14,391,000 15,263,549 Stamps 7,000,000 6,956,819 Taxes . 3,250,000 3,241,701 Income-tax 5,845,000 6,117,303 Post office 900,000 1,104,000 Crown lands 390,000 395,888 Miscellaneous 320,000 511,450 Ordnance stores 460,000 . 481,146 Total 52,890,000 54,774,905 Surplus 495,000 3,524,785 Expenditure, 1853-1854 Estimate. Result. Debt .... 27,804,000 27,738,927 Consolidated Fund charges 2,503,000 2,500,529 Army Militia 6,582, 000\ 530,000/ 6,415,000 Navy 7,035,000 6,942,769 Ordnance 3,053,000 2,900,000 Miscellaneous 4,476,000 4,471,559 Kafir War 200,000 230,000 Unclaimed dividends 51,336 Total 52,183,000 Estimated saving on conversion of stock . 100,000 Total 52,083,000 51,250,120 He repealed the soap duty, introduced a uniform penny stamp on receipts, reduced the advertisement duty, the newspaper stamp TAXATION AND (OMMKIK IAL 1'OI.K Y. 1*40-1910 687 duty, ami the hackney carriage duties. Under the head of Customs he abolished duties on 123 articles, and reduced them on 1 Most of the remaining preferential and protective duties were ahandnned, and the budget, as well as the budget speech, may fairly be regarded as one of the boldest and most brilliant in the history of I'.ritish finance. The foregoing statement of the revenue and expenditure for 1853-1854 will show clearly some of the general changes that had occurred since Sir Robert Peel took our finances in hand. Mr. Gladstone's budget of 1853, with its famous defence and criticism of the income-tax, was accompanied by a plan for the uM.idual reduction of that tax and for its final extinction in 1860. This object he hoped to facilitate by an extension of the legacy duty, which was to apply henceforth to real as well as to personal property and to successions as well as to bequests by will. He expected this change to realize ultimately a new revenue of 2,000,000. But these fair financial prospects were destroyed by the Crimean War, into which Lord Aberdeen's Government drifted in the following year.* To meet the cost of the war out of taxation as far as possible, Mr. Gladstone promptly doubled the income- tax, raising it from 7d. to Is. I'd. in the pound. He also raised the duties on Scotch and Irish spirits, revised and raised the sugar duties, and made a great increase on the malt duty. He defended these strenuous measures as a salutary and wholesome c which would compel the nation to keep its eye well fixed both \i\xm the necessity of the war and upon the desirability of concluding as soon as possible an honourable peace. The expenses of a war, he said, " are the moral check which it has pleased the Almighty tu impost; upon the ambition and the lust of conquest that are inherent in so many nations." The Aberdeen Administr. fell, ;md Sir George Cornewall Lewis succeeded Mr (il.dstone as Chancellor of tin i mer. He raised a loan for lt>,000,000 at 3 8e. 6d. per cent. ; he also raised the duties on sugar, coffee, tea, spirits and stamps, and added a ft. wopenoe to the income-tax. In this way the harden of the war was borne without harassing commerce, and the jxilicy of privateering and of commerce destruction at sea was practically ali.mdoned l.y mutual arrangement with Russia. The Chancellor off thf reign ir.ide of the country and its wealth had grown enormously since the French war. In is If., he said, imports were valued ut thirty- 688 THE PROGRESS OF THE NATION two and exports at fifty-eight millions. In 1853 imports had risen to 153 and exports to 242 millions sterling. These, of course, were official values and were very different from real values, but they formed a very fair standard of comparison. When the budget of 1856 was introduced on May 19th the war had come to an end. It appeared that the whole cost of the war was over seventy- seven millions sterling, of which about forty-two millions had been added to the funded and unfunded debt. In this and in the following year, Disraeli, Gladstone, Cobden and various independent members of the House of Commons laid great stress upon the necessity for economy. The high taxation was very unpopular, and meetings were held in various parts of the country to get rid of the " war ninepence." A general attack was made upon the large and expensive establishments both for the army and navy which threatened to grow out of the war. In 1857 the income-tax was lowered to sevenpence, the war duty on sugar was reduced, and the duty on tea was fixed at Is. 3d. per pound. The Government, defeated on Mr. Cobden's motion condemning its Chinese policy, dissolved and was returned to office. In the autumn of this year, 1857, a serious panic occurred, and the Bank Act was suspended. With a change of government, Disraeli, who became Chancellor of the Exchequer, was compelled to make some small additions to taxation, and in the following year Mr. Gladstone, who had joined the new administration of Lord Palmerston, was compelled to add to the income-tax in order to meet the growth of expenditure. The budget of 1860 depended on the commercial treaty with France, negotiated by Cobden, and involving large remissions of duty on French produce and manufactures, which Mr. Gladstone estimated would involve a loss to the revenue of 1,190,000. Altogether, allowing for a heavy increase in the burden of arma- ments, including Lord Palmerston's fortification scheme, which Mr. Gladstone resisted with only partial success, there was an apparent deficit of. 9,400,000 to face. The new budget scheme was based on a reimposition of the income-tax at tenpence in the pound on incomes of over 150 per year, leaving it at sevenpence on the lower incomes. In pursuance of the commercial treaty with France, the duties on silk, linen and woollen manufactures, gloves and leather, watches, artificial flowers, china, glass, etc. etc., were repealed, and the duties on wine and brandy were reduced. But apart from the commercial treaty Mr. Gladstone also proposed to repeal the duties on paper, tallow, butter, cheese, eggs, oranges and TAXATION AND COMMI K( I \L POLICY, 1840-1910 689 lemons, nuts, etc. etc., reducing also the duties on timber and various other articles. He also proposed to repeal the excise duty on paper, and to reduce the duty on hops. By this extraordinary budget the articles subject to custom duties, which since 1842 had been gradually reduced from 1052 to 419, were brought down at a stroke to 48. The whole of the budget passed excepting the paper duties. The paper duty Bill was very unpopular with a powerful section of society, including many members of the Government It was only carried by a small majority in the House of Commons, and was thrown out by the House of Lorda In the following year, however, the repeal of the paper duties was wrapped up in the budget and successfully passed. At the same time (1861-1862) the income-tax was reduced from tenpence to ninepence, in 18631864 from ninepence to sevenpence, in 1864-1865 from sevenpence to sixpence, and in 1865-1866 from sixpence to fourpence. These remarkable results were achieved in consequence of the severe economies which Gladstone imposed upon all the spending departments, and also of course by the extraordinary elasticity and expansion of the national trade and revenue. Mr. Gladstone in 1861 dwelt upon the growth of expenditure from 51,000,000 in 1853 to 72,000,000 in 1860. The local expendi- ture at the same time bad only risen from sixteen to eighteen millions. The reduction of taxation did not end with the income- fur in is tif. the tea duty was halved from one shilling to sixpence per pound. No wonder that the comfort of the working classes and the wealth of the whole nation were advancing at a prodigious rate. From this time forward until the commencement of the Boer War in the autumn of 1899, the fiscal and commercial policy of the nation proceeded more or less on the lines laid down by Peel and Gladstone. Perhaps the most interesting incident was the rejection by the country at the elections of 1874 of Mr. Gladstone's offer to repeal the income-tax, which has since become under the increasing pressur.- of military, naval ami civil t-x|- the mainstay of our financial system, as it had }>re\inii>!y I..TII tin- great engine for the- removal of protection and the .sim|ililicati"ii of the tariff. The framework of the income-tax has undergone changes. Under Peel the limit d :i'n w;is l.~in : this was subsequently lowered to 1UO, but afterv. sed again, and it now stands at 160. An elaborate system of abatements has also been introduced for email incomes. After 187"-, \\:im the 44 690 THE PROGRESS OF THE NATION income-tax was actually reduced to twopence, it was gradually increased to eightpence, which in the early 'nineties was thought to be a very high rate in times of peace. When Sir William Harcourt, as Chancellor of the Exchequer, in 18921895 found himself hard pressed by the demand for naval expansion, he fell back, as Mr. Gladstone had done in 1853, on the plan for taxing property at death, which has by some theorists been regarded as the best form of taxation. Sir William Harcourt's death duties provided for the expansion of the military and naval estimates from 1895 to 1899, and left a margin for the reduction of debt and for some small remissions of taxation. The finance of the Boer War under Sir Michael Hicks-Beach was much less courageous than that of the Crimean War, though the country was infinitely more rich and prosperous, and therefore far more capable of paying its way. Altogether in the three years of the war 76,000,000 was raised by new and additional duties, while 160,000,000 was added to the funded and unfunded debt. Of war revenue 27,000,000 was raised out of customs by increasing the old duties on tea, tobacco and spirits, by imposing a new duty of 4s. 2d. per hundredweight upon sugar, a duty of 2s. a quarter upon com, and an export duty of Is. per ton on coal. Nearly 8,000,000 was raised by additional excises on beer and spirits, and 39,377,000 was extracted from the income-tax payer, by additions of 4d. in 1900, 2d. in 1901, and a penny in 1902. If the income-tax which stood at 8d. had been immediately doubled, and the death duties had been screwed up to the point which they have since reached, a much larger proportion of the cost of the war might have been paid out of current taxation. The new duties on corn and flour, which stood at 3d. and 5d. per cwt. respectively, were repealed by Mr. Eitchie after the war, and this action led to the resignation of Mr. Joseph Chamberlain from Mr. Balfour's Cabinet, and to the Birmingham campaign in favour of preference and protection which has so changed the course of English politics, and has done so much to break up the Unionist party. The return of the Liberals to power with an unprecedented majority in 1906 was accompanied by good trade and an overflowing revenue. During the three years of Mr. Asquith's chancellorship the natural increase of the revenue, coupled with a severe curtail- ment of loans for works, enabled prodigious reductions of debt to be effected and also some reductions of taxation. The income-tax on earned incomes up to 2000 a year was eased off to 9d. ; the export duty on coal was removed ; the war duty on sugar was TAXATION AM) roMMI HMA I. I'OI.K y. 1840-1910 691 halved, and a penny was taken off the tea duty. But before the death -ir Henry Campbell-Bannerman and Mr. Asquith's succession to the Premiership, the Government announced a scheme of old-age pensions involving an addition to the expenditure estimated at eight or nine millions, but soon found to exceed that sum. Hence when Mr. Lloyd-George came to the Exchequer he found himself faced by a very big deficit, enlarged by the demands of the navy and other services, and accompanied by a loud call from his Radical supporters for a democratic system of finance (in which a graduated income-tax and land taxation figured most prominently), while temperance reformers, indignant at the rejection of the Licensing Bill by the House of Lords, put forward urgent requests for a revision and scaling-up of the licensing duties on public-houses and gin- palaces. This situation led to the production of Mr. Lloyd-George's famous budget of 1909, which not only marks a turning point in the financial and constitutional history of the United Kingdom, but has also had widespread effects in other countries. The main features of this budget may be set out as follows : N ew and K-tm.itci K.-vciiut Increased Taxes. in First Tear. Income-tax and super-tax . 3,500,000 Estate duties . 2,850,000 Stamp duties . 650,000 Land taxes . . 500,000 l,i iuor licences . 2,600,000 Motor car licences . 2M.OOO Tobacco duties . 1,900,000 Spirit duties . 1,600,000 Petrol duties . 940,000 Total estimated revenue . . 14,200,000 At the same time, as he estimated for a deficit of 1 0,7 1 -,000, Mr. Lloyd-George took three millions out of the sinking fund, which gave him an estimated surplus of 488,000. "The People's Budget" fell heavily upon smokers and spirit drinkers, but it was recognized by the Unionist party as a double challenge to property and to their j M.I icy of tariff reform. Accordingly, when, after six months of debate, the budget (amended in various dilutions) passed the Commons, the 1 1 :se of Lords was induced (largely through the special dislike of its members for the land taxes) to take the unprecedented course of refusing its assent. The Government was therefore driven to country in January 1910. Returning with a coalition majority of over a hundred, il eventually passed the budget, hut the tinai. accounts of the country were thrown into great confusion, from 692 THE PROGRESS OF THE NATION which they only fully recovered at the beginning of the financial year 1911-1912. As a revenue producer this Free Trade budget proved eminently successful. Its effect, both in raising revenue and in redistributing the burden of taxation, may be seen by comparing the revenue of 19081909, i.e. of the year preceding Mr. Lloyd-George's budget, with the estimated revenue for 1911-1912. Revenue (Exchequer Receipts), 1908-1909 Customs . Excise Estate duties Stamps Old land tax House duty Income-tax 29,200,000 33,650,000 18,370,000 7,770,000 730,000 1,900,000 33,930,000 125,550,000 Adding to this the produce of the postal service, Crown lands and other non-tax revenue (in all 26,028,000), we get a grand total revenue for the year 1908-1909 of 151,578,000. Let us now take the estimated revenue for the year 1911 1912: Estimated Revenue Receipts 1911-1912 Estimate. Increase or Decrease on 1909-1910. Customs 33,687,000 + 4,487,000 Excise 35,818,000 + 2,168,000 Estate, etc., duties 25,150,000 + 6,780,000 Stamps 9,600,000 + 1,830,000 Land tax and house duty .... 2,700,000 + 70,000 Property and income-tax (including super-tax) 44,300,000 + 10,370,000 Land value duties 700,000 + 700,000 Produce of taxes 151,955,000 + 26,405,000 Postal service ....... 19,850,000 + 2,080,000 Telegraph service 3,130,000 + 110,000 Telephone service 2,760,000 + 1,250,000 Crown lands 500,000 30,000 Receipts from Suez Canal shares and sundry loans 1,226,000 + 55,000 Miscellaneous (including fee, etc., stamps) 2,200,000 + 173,000 Produce of non-tax revenue .... 29,666,000 + 3,638,000 Total revenue 181,621,000 + 30,043,000 TAXATION AND COMMERCIAL POIJCV. 1840-1910 693 A comparison of these two years shows unmistakably the source from which has come the revenue for the navy and old-age pensions. Though the expansion of trade has brought in a big return from customs and excise, the new estate duties, and, above all, the graduated income-tax, have been the chief contributors to the Treasury. The expanded income-tax just pays for the expanded navy, but the estate duties do not cover the cost of the army. The increase of capital and its measurement Estimated growth of British capital from 1600 to 1800, from 1800 to 1885, and from 1885 to 1910 " fTlHE principal way in which capital increases in England now JL is by abstinence from enjoyment." So wrote Bagehot in one of his economic essays, and what was then true is still true, although abstinence should have become pleasanter as the average income of the people has increased. While it is compara- tively easy to see why capital grows, it is anything but easy to measure the rate of accumulation in any given country during any given period. For savings take innumerable forms. One man may buy land ; another may build a house ; another may pull down an old mill and construct a new one ; another may scrap his machinery and invest in new machinery, which will enlarge his profits and greatly increase his future accumulations, though it may absorb a sub- stantial fraction of his past savings. Possibly it may be said that the ordinary man who saves puts his money into the Post-office Savings Bank or buys Stock Exchange securities for himself But this leaves out of account insurance, and there are probably tens of thousands of cases in which the annual premium accounts for the whole difference between income and expenditure. The records of capital issues, i.e. new loans and new companies of all kinds, which are floated in London, and for the most part subscribed in London and the provinces, form a very useful indication of the rate at which wealth accumulates. But as private forms of capital invest- ment do not remain stationary, it would be unsafe to conclude that because capital issues are higher in one year than in another, there- fore the savings and accumulated wealth of the nation as a whole have been increasing in the same proportion. Economists and statisticians have recognized the interest and utility of ascertaining the capital wealth of the country at different dates, in order that they may see whether the country is growing more prosperous, and if so at what pace ; whether the increase of 694 THE (iKOWTH OF WEALTH AND CATITAI. 695 taxes or rates has caused a visible decline in our aggregate income and savings ; whether the increase of the national debt in a given year has made a large hole in the savings of the country, and so on. Porter was alive to the importance of the matter, and his whole book might bo regarded as an attempt to measure the growth of national wealth. But the measurement of the nation's capital he failed to achieve. Nor did he even realize what good work had already been done in this direction. However, the late Sir Robert (rit)'cn took up the subject systematically and reduced it almost to a science, yet even he recognized that only approximate results are obtainable. " Imagination," he wrote, " shrinks from the task of framing a catalogue or inventory of a nation's property as a valuator would make it ; the idea of a valuation of the whole property of a country, as if a country could really be valued as a going concern, is itself a violent hypothesis." But in the absence of complete inventories, Sir Robert Giflfen held, and held rightly, that approxi- mate inventories or valuations could be arrived at by valuing the leading items of national property upon a definite and scientific plan, and that by these approximate valuations the growth of capital and accumulated wealth could be roughly measured, and the capital of one country could be compared with itself at another time or with the capital of another country. Sir Robert Giffen's principal book on the subject was published in 1889. He there explained his own method, compared it with previous valuations by earlier authorities, and, after making careful corrections, arrived at a sort of rough history of the growth of national wealth, commencing so far back as the year 1600. The estimate of 1600 by a British merchant is perhaps of no great value, but it may be interesting to ni'-ntion here the main features of the valuation. The total rental <>f England at that time was put at six millions, giving a capital of seventy-two millions at twelve years' purchase. The stock of capital would be about one- third, so that " the total valua- tion of England at the beginning of the seventeenth (vntury could not be more than 1 00 millions sterling, or alxmt L'0 ]>er head," taking the population to be 4 A millions. Towards the end of the century the population had risen to i>\ millions, and according to more accurate estimates the proj- head had nearl\ in pounds sterling. But the purchasing power of gold had fallen heavily, so that a large part of the advance was nominal. The following table gives four valuations of England from 1690 to 1800, corrected in each cat- so that the comparisons are at least approximately accurate 696 THE PROGRESS OF THE NATION Growth of Capital and Population in England from 1690 to 1800 Year. Population. Property. Property per Head. 1690 1720 Millions. 54 Millions Sterling. 320 370 58 57 1750 7 500 71 1800 9 1,500 167 In the estimate of 1690 English land was valued at 100 millions and houses at 45 millions sterling. In 1800 the proportion of land to the total property had fallen from 60 to 40 per cent., though its value had risen to 600 millions. Houses were entered at 180 millions or 15 per cent, of the total the same proportion as in 1690. The following is a summary of the estimates of income and capital made by the Kev. H. Beeke, B.D., apropos of Pitt's income- tax proposals in 1800 : Lands .... Tithes .... Houses Mines, canals, timber, tolls, etc. Farming capital Home trade Foreign trade and shipping Foreign possessions Waste lands . Household furniture Plate, jewels, etc. Specie . Shipping, arsenals, etc. Provincial and municipal buildings, etc. Years Income. Purchase Capital. (About). Million s. Years. Million s. 24 30 720 2* 30 75 1H 18 200 5 20 100 174 7 125 18 6* 120 10 8 80 4 924 1,420 30 160 50 40 1,700 15 25 Grand total . . . . . 1,740 The above estimates are corrected by Sir Kobert Giffen, so that they are the more valuable for comparative and scientific purposes. It should be added that Beeke made important classifi- cations in his book, 1 distinguishing, first of all, private property from public property, and, secondly; subdividing private property into property productive of income and property unproductive of income. Out of a total of 1120 millions of private property productive of income, 600 millions, in Beeke's estimate, represented 1 Observations on the Produce of the Income-Tax. By the Rev. H. Beeke, B.D. London, 1800, THE GROWTH OF \\T..\I.T1I A \ I > CAPITAL 697 cultivated lands in England and Wales, ami ll'ii milli-ms Cultivated lands in Scotland; 200 millions represented houses not included in the above rent; 100 millions represented mines, canals, timber, etc.; 125 millions represented farming capital; 120 millions home trade; and 80 millions foreign trade and shipping. Curiously enough, Beeke added 300 millions for the capital value of income from the public debt. With this item deducted the private pro- perty productive of income amounted in 1800 to 1420 millions, whilst the unproductive private property consisted of 280 millions namely, 160 millions for household furniture, 50 millions for plate, jewels, etc., 40 millions for specie, and 30 millions for waste land. Beeke's figures were confirmed by the income-tax schedules of 1803, which gave a total income of 1 1 5,351,000 for Great Britain. In 1S1U another valuation was made by Colquhoun, and in- cluded Ireland. In that year the income-tax of Great Britain was 130 millions. An addition of one-quarter for Ireland (probably an excessive figure) would give a total of 165 millions, and the incomes of the poor not subject to income-tax might bring the total up to about 400 millions as the national income of 1812, of which 320 millions were attributed to Great Britain and the re- mainder to Ireland. Colquhoun's valuation of property in the United Kingdom was 2736 millions, of which 900 millions re* presented lands in Great Britain, and 300 millions lands in Ireland. The following details are given for trade. (1) Home manufactures: England, 100 millions; Scotland, 16; Ireland, 24. (2) Foreign trade: England, 33 millions; Scotland, 4; Ireland, 3. (3) Shipping: England, 20 millions; Scotland, 4; Ireland, 3. (4) Fisheries: England, 3 millions; Scotland, 3J ; Ireland, 3$. It is not necessary to assume that then- was any improvement between 1800 and 1812, even if Colquhoun's estimates are not excessive, as both population and prices were rising rapidly. In 1822 another valuation was made by Joseph Lowe, 1 of which the follow- ing is a synopsis : Million *. Land under cultivation .... 1,200 . Dwelling hoOMi, mrahoQMa, *ii'i manufactories (honxc) Manufactured good* . British shipping Other mercantile and manufacturing capital Mine* and mineral* . Canal*, toll*, and timber _,, 400 140 M 130 65 2.200 > The Pruent Slat* of Bngtaiui. By Jowpb Low*. London, 1823. 698 THE PROGRESS OF THE NATION Lowe held that there had been some progress between 1812 and 1822, and it is possible that the actual value and amount of fixed and moveable property had increased, though the condition of the people may have been stationary or retrogressive. In 1833 an alien resident named Pablo cle Pedro made another valuation based upon that of Colquhoun. His general plan was to add one- third to Colquhoun's valuation, though the population had increased by more in fact, by 41 per cent. His total works out at 2471 millions for England, 2843 millions for Great Britain, and 3690 millions for the United Kingdom. Sir Eobert Giffen, in his anxiety to make out that things were improving even at that time, failed to note how Pablo de Pedro's estimate made the increase of wealth less than the increase of population, which means that people were getting worse off. There is no doubt, however, that about this time the wealth of Great Britain began to increase, especially among the mercantile and manufacturing classes; for in 1843 the assessments for income-tax (which were 130 millions in 1812) amounted to 240 millions. Working on these figures, Sir Robert Giffen thinks that a total valuation for the whole of the United Kingdom in 1845 would probably be 4000 millions. Even this, however, does not show much advance in the amount of property per head, as compared with the valuation of 1800 ; but Sir Eobert Giffen argues that it indicates a real advance in wealth, if allowance is made for the fall in prices from 1812 onwards. But " the hungry 'forties " were not happy years for England or Scotland, and Ireland was certainly going downhill, though its population had risen very rapidly. We now come to the three valuations, all based on income-tax returns, and all made on the same system by Sir Eobert Giffen in 1865, 1875, and 1885. These valuations were collected by Sir Eobert Giffen in a convenient but rather scarce work, entitled The Growth of Capital, in which, as he says, he resumed and continued the notes on the accumulation of capital in the United Kingdom which he had read to the Statistical Society in 1878, and had re- printed in his Essays on Finance. His special object, of course, was to measure the rate of accumulation or the growth of capital and wealth ; but he recognized that only approximate results are obtainable. No method of valuation could be perfect, but periodic stocktaking is useful for a nation, as it is for an individual business. The method adopted by Sir Eobert Giffen was " to take the income returned for assessment to the income-tax, capitalize the different portions of the income derived from capital land, houses, and so THE GROWTH OF WEALTH AND CAPITAL 699 on at so many years' purchase, and then make an estimate for other property in the country where the income was not got within the sweep of the income-tax net." The plan was not quite original ; 1 for a similar method had been employed (by Mr. Newmarch) in The Economist in 1873. The chief difficulty, of course, is to decide how many years' purchase should be assigned to each description of income, and whether valuations made at different dates should vary the number of years' purchase or not. Thus, between 1875 and 1885 the capital value of many sorts of income, i.. the number of years' purchase at which they would sell, undoubtedly rose, while in regard to land the number of years' purchase at which the same nominal rental would sell undoubtedly diminished. Another important item is, of course, the variations of price. If the value of gold falls, an increased valuation in pounds sterling may obviously be compatible with an actual diminution in the national wealth. In regard to these considerations, it should be mentioned that for the valuation of 1875 Sir Robert Giffen took thirty years' purchase in the valua- tion of lands, and in the valuation of 1885 he took twenty -six yean' purchase .-land, however, he only took fifteen years' purchase. For houses he took fifteen years' purchase. For Schedule B, farmers' profits, he took ei^ht years' purchase. For quarries, mines, and iron- works, four years' purchase was taken in both 1875 and 1885. For gasworks, twenty years' purchase was assigned in 1875, but in 1885, when the fear of electric light diminished, twenty-five years' purchase was adopted. For other public companies and for foreign and colonial securities the number of years' purchase was raised from fifteen in 1875 to twenty in 1885, ami in the case of home railways the figure was raised from twenty-five to tw< ,t, on the supposition that the average yield to investors had fallen fr< 1 Is. 6d. per cent The income from foreign investments was capitalized at years' purchase. The valuations for 1875 and 1885 were mai more detail than the eari; md are strictly comparable in all respects. But all three appear in the following table, classified ac- cording to their main item*. folliiwini: table is described by Sir KI.I..-I .is a com- jarisuii nf the " approximate amount 1'nite.i Kinplom in ISO"., in 1 S75. iiml in isx-i." It will IK- wen between 1865 and lS7~>,a period mainly ng prices, t he in- crease in Mai capital \v;is from v,.i 1 .:. 000,00*' ;m extraonlinai y increase .f 4<> j.rr cent. I ."."> ami 1 the rate of increase was less than halt", IH-JH^ only 17\ per cent consequence, no doubt, of the fall in prices, and despite an increase 7oo THE PROGRESS OF THE NATION Approximate Amount of Capital or Property in United Kingdom in 1865, 1875, and 1885 compared Lands Houses Farmers' profits Public funds less home funds Mines Ironworks . Railways . Canals Gasworks . Quarries Other profits Other income-tax income, principally trades and professions and public companies .... Trades and professions omitted Income from capital of non-income-tax- paying classes .... Foreign investments not in schedule C and D . Moveable property not yielding in- come ..... Government and local property, say 1865. Million s. 1,864 1,031 620 211 19 7 414 18 37 2 55 660 4,938 75 200 100 500 300 6,113 1875. Million s. 2,007 1,420 668 519 56 29 655 20 53 4 84 1,128 6,643 105 300 400 700 400 8,548 1885. Million s. 1,691 1,927 522 527 31 9 932 71 126 4 116 1,664 7,620 108 349 500 960 500 10,037 in the number of years' purchase applied, as we have seen, in capitalizing certain branches of income. Sir Eobert Giffen put the fall in prices from 1875 to 1885 at about 15 per cent., after a comparison of The Economist Index Numbers with those of Mr. Sauerbeck and Mr. Soetbeer. There is some reason for thinking that Giffen's method tended to over-estimate the nation's capital, but the same method applied to-day will at least give a fair idea of the rate of increase. The Economist in 1911 published a valuation or estimate of national wealth and capital for the year 1909, made out on Giffen's principle of capitalizing the profits revealed by the income-tax returns. The following table shows the result of this calculation, estimates on the same plan, with certain modifications, being added for the years 1895 and 1905. In arriving at these results the number of years' purchase at which profits have been capitalized was altered in several cases. For it is generally recognized that the return to capital has, on the whole, risen considerably since 1885. This has caused a shfinkage in the value of many fixed-interest securities, such as consols, railway debentures, etc., and even in the case of ordinary stocks of TIIK CIimVTII nr \V1 Al.TII AND CAPITAL 701 1885. 1395. 1905. 1909. Ijinil 1,691 1,385 1,806 1,300 1,927 2,818 |OM VJM 1 Farmers' capital . Railways in United Kingdom . S quarries, ironwork*, gum- waterworks, canals, and other in dustries separately distinguished . Other trade capital, public companies, firms, H . British capital invested abroad Capitalized value of local loans guar- anteed by the rates :sl ..f non-income-tax payers Fuiniture, etc. . at and local property 520 932 330 1,414 1,302 126 335 960 500 368 960 427 1,500 1,600 176 380 1,000 550 340 1,050 568 2,458 2,025 240 420 1,000 605 348 1,076 550 2,727 j,3:r_< 290 450 1,000 630 Total . 10,037 10,663 13,036 13,986 British railways the return to which has for various reasons not increased during the period the market value has fallen; for investors have demanded, and have been able to secure, a better return than the 2J per cent, which was common in the early 'nineties Hence, Giffen's twenty-eight years' purchase was reduced to twenty-five years. Similarly, Giffen's fifteen years' purchase of the profits from firms, public companies, and private traders m -Uaneous concerns was reduced to twelve years' purchase, uu l other minor modifications were introduced. Giffen's surprising assumption of four years' purchase in the case of quarries, mines, and ironworks was increased to eight years' purchase, it is true that mines and quarries are ultimately exhausted, while a very heavy depreciation needs to be made in the case of ironworks, a review of the reports of such companies shows that the mm estimate of their capital value is far greater than four years' pur- chase of ON pi-fits. As a matter of fact, the total market value of ironworks and mining companies included in tin- list published by the Investors 1 Monthly Manual shows that the Stock Kx< hange valued 85 millions' worth of nominal capital in iron ami coal companies at 108,000,000. This figure is MM 20 millions sterling greater than the total value ..f P.ritish muro iin.1 ir-nw- estimated on Sir Robert Giffen's assumption ..f f,,u purrhaae, Bd as the number of such concern, whi.-h are in pnvate hands or owned by companies whose shares are not ,, noted on the UndflU Stock Exchange, is very larjr-. " >* evident that eight years' pur- 702 THE PROGRESS OF THE NATION chase of the profits would not give too high a figure for the country as a whole. Important features of the calculation are the changes in the first three categories. The total capital value of laud shows a steady decline since 1885, and even in that year Sir Eobert Giffen's figure was more than 300 millions lower than in 1875. The capital value of houses, on the other hand, has increased rapidly, a result which is certainly not unexpected in view of the growth of the town population of the United Kingdom. The figure as to farmers' capital is put forward with all reserve. Farmers' profits are calculated for income-tax purposes at one-third of the annual value of the property, the estimate having been one-half of the annual value at the time when Giffen made his estimate. This is a purely arbitrary figure, affording little indication of the amount of farmers' capital The alternative method of estimating it by assuming an average amount of capital per acre is scarcely more definite, for statisticians are not agreed as to the average amount per acre, taking the country as a whole. In view, however, of modern methods of high farming and the increasing stock carried on our pasture lands, Giffen's eight years' purchase was raised in The Economist's valuation to sixteen years. The figure given for foreign investments of British capital is also possibly too low, and though some allowance has been made for profits escaping the net of the Income-tax Commissioners, the sum given in the table is consider- ably less than Mr. Paish's estimate in the Statistical Journal for 1909. But there are many uncertain factors in the calculation of foreign investments, and in particular it is possible that, taking successful and unsuccessful ventures together, the present market value is substantially less than the nominal value of the capital originally subscribed. In this class of investment there is, in fact, a certain amount of wastage ; but when everything has been taken into account, the figure given in the above table is a minimum rather than a maximum. Giffen's estimate for furniture, etc., is left practically unchanged ; it was almost certainly an overstatement in 1885, and even now, after a great increase in population and wealth, the figure is still probably too high. The capital of non-income-tax payers is also a guess without any real statistical basis. The sum, however, is small, and does not seriously affect the result. The capitalized value of local loans is included, as it represents property, such as tramways, etc., though gas and waterworks owned by municipalities are included in the previous group with privately-owned concerns Tin: (iiiowni <>r \vr..\i:m AND CAPITAL 703 of this description. Tin n- is, in addition, a considerable Bum of local property included with Government property in the last item of the above table, representing parks, roads, sewage works, and other property of the community against which no mortgage is held on the rates. Such property has been paid for directly out of revenue or has become free of mortgage charged by the operation of local sinking funds, etc. The item "Government and local property" includes many costly buildings and works which cannot be regarded as capital, and many of which, such as barracks and battleships, and buildings of all kinds, involve enormous annual charges upon taxpayers and ratepayers. It would be absurd, therefore, because these unproductive expenditures have trebled in the period, for that reason to treble tin* item as if the wealth of the nation had increased through the building of palaces, etc., by public authorities. Hence The Economist only added at the rate of 1 per cent, a year to this item, assuming that publicly-owned capital has increased at about the same rate as the population. These estimates, compared with Giffen's previous valuation, yield the following result, showing the increasing accumulation of wealth since 1 865 : 1865 1875 1885 1895 1905 Ltd 6,113,000,000 8,648,000,000 10,037,000,000 10,663,000,000 13,036,000,000 13,986,000,000 Iii this comparison the changes are, of course, affected by price variations, the period 1875tol895 being one of falling prices, and that from 1895 to the present day one of rising prices. This con- sideration affects certain categories more than others; for wbile rising prices tend to swell profits and increase the value of capital in general trade, they have no such effect on, say, railway capital, where the income earned is restricted by a legal maximum for 'its and fares. H--IK-". wbile tb<- estimate of railway capital in tli.' Tinted Kingdom shows an innea.se during the last fifteen years of some 12 per cent., general trade wipital I ised 82 per cent - changes, therefore, are responsible for part of the change shown in this table. ; mates of the national inc<.me in 1901 give a total of about 1 900 000,000, and considering tin; improvement in trade, the figure for 1911 cannot b oO.OOO.OOO. On whole, the valuation of tin- national income is much more certain 704 THE PROGRESS OF THE NATION than the estimate of capital, for it is clear from what has been said above that everything turns on the number of years' purchase at which the various classes of income are capitalized every modifica- tion in the ratios assumed having a considerable effect on the total estimate. In this connexion it has been urged that the basis of capitalization is too high, and that this is proved by the valuation of estates for death duty purposes. If we could tell precisely the number of estates in the hands of living persons compared to the number that pass by death in any one year, it would be possible to arrive at the value of existing wealth by multiplying the estate duty figures by this ratio. Thus, if there were thirty estates in the hands of living persons for each estate that passed by death in 1910, we should get an approximate figure by multiplying the estate duty figures by thirty. The question of the correct " multiplier " is, however, a most difficult one, though Mr. Bernard Mallet has given strong reasons for supposing that it should be twenty-six in the case of the United Kingdom. In 191 01 1 the property reviewed by the Inland Kevenue Department was 300,000,000, and on Mr. Mallet's assumption we should arrive at 7,800,000,000 as the value of private capital in that year a figure much below that which we have given above. But the discrepancy may be explained in large measure by gifts before death and by various other methods of evad- ing death duty ; and this supposition is strengthened by a more detailed examination of the estate duty figures. The most recent returns are as follow : Property of which the Inland Revenue Department had Notice as Passing at Death in 1910-11 Stocks, funds, shares, and other securities Cash in house and bank Money lent on mortgages, bonds, bills, etc. Trade assets stock, goodwill, etc. Insurance policies Household goods, apparel, etc. Agricultural land House property, business premises, etc. Ground rents and similar charges Other property Total Million s. 121 18 204 17 10i 8 17 42 4 42 300 To take only the first item in this list, the value of securities held in this country must be far greater than even thirty times 120,000,000, for it is quite certain that the stocks of British and foreign railways, British and foreign Government securities, and British local loans would exceed 4,000,000,000, to say nothing THE GROWTH OF WEALTH AM) CAPITAL 705 of stocks and shares in trading and other concerns. Thus an examination of death duty figures shows that either the evasion of duty is greater than is generally supposed, or that estimated of wealth obtained by capitalizing income are too large the truth probably lying somewhere between these two estimates. It will be clear from what has been said that the valuations given should be used with caution, and it must not be assumed that a very accurate result can be obtained by Giffen's method. But the series of valuations has the merit of continuity, and from the historical point of view gives the only comprehensive and available test of national growth in respect of accumulated wealth and capital Let us hope that fifty years hence a similar comparison will provide posterity with as good grounds for satisfaction as our retrospect in this chapter and in many preceding pages happily affords. 45 ANALYTICAL INDEX Aberdeen, shipbuilding industry in, 261 Accidents, industrial, 1897 and '1901, 44, 45 Accrington, cotton industry in, 310 Africa : British trade with, in 1850, 487 exports of British produce and tures to, 1806-1849, 479, 480, 483-486 imports of hard wood from, 438 Age, classification of, in censi; Stc Population Agricultural 1 ' Agricultural Rates Act, 1896, 205 Agriculture : bounty system, the. 182 breeding, encouragement of, by Agricul- tural Societies, 198 capital, agricultural, amount of, 1800- 1909, 696, 702 co-operative movement, the, 206 draining, 187, 198 fanns, sue of, 181, 189, 200, 208, 209 grazing, total area of pasture land, 1850, 189 ; 1874-1881, 202 ; 1909, 209 Highland Agricultural Society, the, 198 intensive cultivation, 198 labour: children, employment of, in agriculture, 27, 200 employers and employed, relative pro- !>rtionof, 1831, 189 National Agricultural Labourers' Union, to.-, 202 numbers employed, 1841, 38 ; 1851-1901, 196,200; 1901,43 percentage of population employed in agriculture, 1811-1- 1881- 1901,39 prosperity of agricultural labourer, in- crease in, during last quarter of nine- teenth century, '-'to, 208 women, numbers employed in agttool- tur*. 1841, 38; 1851-1901, 200; pro- portion of, to total number employed, 1831-1901, 40 land : arable land, total area of, 1874-1881, 204; 1909, 209 al value of agricultural land, 1875- 1894. 203 cultivated land, total area of. 1827, 188 decrease in value of agricultural land. 37 pasture land, total area of. &v Agri- culture, gracing uncultivated land, estimated area of, , 188, 189 machinery: dearth of labour overcoat by increased use of machinery, 200 reapers, introduction of. 19< steam plough, introduction of, 197 *team power, use of, 187, 197, 198 manure : import of bone and guano, 1800-1850, 17V 7*7 Agriculture, cot**utd improvement in systems of manuring iu latter half of nineteenth century, 197, 198 mortality, rate of, in Agriculture. 44 pasture. Ass Agriculture, grazing. prices : average price of wheat, 1800-1850, 181 ; of agricultural products, 1876- 1895, 203, 204 ; 1895-1908, 207 production, increase in amount of agri- cultural products, 1800-1850, 175- 178 productivity of the soil : increase in, daring nineteenth century, 179, 186, 197 ; average yield per acre, 1850 and 1868, 196 prosperity, fluctuations in : decline of agri- culture during nineteenth century, 28, 35, 36, 87-40, 48 ; especially in latter half of century, 196, 200-206 economic improvements in Utter half of century, 198 increased prosperity, 1800-1850, 185, 186; 1850-1875, It/6, 197, 199 prosperity of agriculture during Napole onic War, 280 protection, effect of, on agriculture, 178, 1-3, 1-4 summary, 1850-1910, 208 protection, effect of, on Agriculture, 178, 183, 184 ; bounty system, the, 182. Set Corn Laws railways, effect of, on development of agri- culture, 188, 189 rates, agricultural, reduced by one-half by the Agricultural Rates Act, 1896, 206 reclamation of land for Agricultural par- poses, Government grants for, 198 itural. 1800-1850. 186; 1860- 1870, 199, 200; 1880-1896, 204, 206; 1896-1900, 207, 206 rotation of eroj Royal Agricultural Society, the, 198 yal Agricultural Society, the (Ireland), .' ^ ce, agricultural : enigma of, 1805- 1850, 180 ; after I860, 197 contributions of Liebig, Davy, ami 180 improvement in method after I860, 197, i mall holdings, 206, 206, 200 .. lack of, in first half of century, H ; f,-r I'.**. _..- wage*, increase of, in latUr half of ninr tesnth century, 199, 200, 315 ; table of. 1851-1906,196 Sft Barley, Wheat, etc. fief Cattle, Sheep, etc. 708 THE PROGRESS OF THE NATION Alcohol : consumption, 1880-1910, 457, 467 ; 1909, 122 ; decrease in, 1900-1910, 123, 457, 467 ; causes of this, 123 crime, alcohol as a cause of, 120, 124 drunkenness : average number of charges, 1857-1907, 123 among women, 123, 124 increase of, among working classes , 1 72, 173 inebriates' homes,under Habitual Drunk- ards Acts, 1879 and 1898, 124, 125 duties, effect of, on consumption, 122, 123 expenditure on, 172; 1837-1860, 121; 1909,122 insanity, alcohol as a cause of, 125, 130, 131 licensing system, the, 458 mortality, rate of, increased by the con- sumption of alcohol, 121, 123, 124 pauperism, alcohol as a cause of, 120 public-houses, number of, 1869 and 1894, 458 See Beer, Spirits, Wine Aliens Act, 1905, cost of, 671 Aliens : immigration, Commission on (1902), 7 numbers resident in United Kingdom, 1841-1901, 7, 16 distribution of, 7 pauperism among, 8 Alkali Act, 1863, 420 Alkali industry : ammonia-soda process, the. 412, 413 exports, 1907, 416 imports, 1907, 416 Leblanc process, the, 412, 413 output, 1850-1902, 413, 414 ; 1907, 416 See Chemicals Allan Line, The, 542 Allen, Fenwick, authority on the alkali trade, 420; author of TJie History of Steam Navigation, 538. Allen, William, joint founder of The British and Foreign Schools Society, 33 Alliance Assurance Company, The, 603 Allotments, 38, 39 Alum, imports and exports, 1907, 415 ; out- put, 1907, 415 America, communication with, 542. See United States, Canada, Argentina, etc. American Tobacco Trust, The, 472 Ammonia-soda process, The, 414 Ammoniacal manures, 197 Anderson, Doctor, pioneer of free higher education, 139 Anthrax, number of cases, 1900 and 1901, 44 Anti-Corn Law League, The, 683 Appleton, Machin, and Smiles Ltd., Messrs., statistics as to the tea trade, 446 Arable land. See Agriculture, laud. Arch, Joseph, founder of the National Agricultural Labourers' Union, 202 Argentina : exports to the United Kingdom beef, 1908, 442 ; hides, 1902, 526 ; 1908- 1910, 374, 375 ; meat, 440, 525 ; oil seeds, 1902, 526 ; wheat, 1899-1909, 436 ; 1902, 525 ; wool, since 1850, 330 imports from the United Kingdom brass manufactures, 1910, 278; coal, 1908, 223 ; hats, 400 ; jute manufactures, 1872, 367 ; lace, 399 sheep, number of, 331 ships, British, tonnage of, entering and leaving Argentine ports, 544 Argentina, continued tobacco, consumption of, per head of population, 1910, 471 Army : cost of, 1801-1849, 630-633 ; 1857- 1910, 641, 643; 1891-1912, 647-658; detailed account, 1897-1898, 652 percentage of population employed in, 38 Arnold, Matthew, on Schools Inquiry Com- mission, 138 Arsenic poisoning, 44 Artisans and Labourers Dwellings Act, 100 Artisans Dwelling Company, The, 99 Artists' materials, output, 1907, 408 Ashton-under-Lyne, cotton industry in, 310 Asia, exports of British produce and manu- factures to, 1805-1849, 479, 480 Asylums, number of inmates, 22 Australasia : exports to United Kingdom cotton, 1896-1904, 309 ; flax, 1902, 526 ; hides, 1906-1910, 374, 375; tin, 1902, 525 ; wheat, 1899-1909, 436, 437 ; wine, 1909, 463 ; wool, 1844, 325, 326 ; since 1850, 330 ; 1902, 526 frozen meat industry, growth of, 330 gold, discovery of, 54 imports from United Kingdom British produce and manufactures, 1827-184. r ), 483-486 ; lace, 399 ; value of total im- ports from United Kingdom, 1910, 527 sheep, number of, 330, 331 ships, British, tonnage of, entering and clearing from Australasian ports, 1880- 1910, 541 tobacco, consumption of, per head of population, 1910, 471 t transportation to, 107 Australia. See Australasia Austria-Hungary : alkali industry in, 414 ; imports of alkalis from United Kingdom, 414 cotton industry in, 311 ; exports of cotton to United Kingdom, 320 ; imports of cotton from United Kingdom, 320 tobacco, consumption of, per head of population, 1910, 471 wheat and flour, export to United King- dom, 1899-1909, 436 ; 1902, 525 Aviation, 268, 547 Bacon : consumption, 1840-1 909, 170,433,434 imports, 1840-1909, 433, 434, 439, 442 price, 1880-1909, 442 ; 1905, 435 production in United Kingdom, 1898- 1902, 439 Baker, Julian L., author of The Brewing Industry, 455, 457, 458 Baker Street and Waterloo Railway, statis- tics, 1909, 558, 559 Bananas, increased consumption of, 435, 453 Bank Charter Act, 1833, 583, 596 Bank Charter Act, 1844, 592, 594, 595; suspension of, 594, 598, 599 Bank of England : account of operations of, 1800-1826, 575-582 notes, amount in circulation as against bullion retained, 1838-1849, 590 : issue of notes restricted to 14,000,000 in excess of bullion retained, 592 ; issue of uncovered notes since 1844, 594, 598, 599 ; suspension of cash payments since 1844, 594 ANALYTICAL IND1 \ 709 Bank of Ireland, The, 592 Banking : American crisis of 17, 594, 597, American crisis of 1007. 694, 508 Bank ( 'hatter Act, 1833, 683, 596 Bank C, 594, 595 . 7-1910,600 jue<. increased use of, 696 couilrj, eztMuion of London banks to, 597 deposits, 1877-1909, 601 ; security for, 601 loj.ment since 1850, 594 ff. joint -stock banks, encouragement given by Parliament to establishment of, 583 growth of, since 1844, 596, 697 note*, amount issued by joint-stock banks, 1838-1849, 590 ; 1910, f>96 ; re- striction on issue of note* by, 593 London Clearing House, th. national bank, proposal for establishment of, 584 notes. N/v Bank of England, Paper Cur- rency. See alto Banking, joint-stock banks, private banks rney crisis, the, 186, 594, 598,599 private banks, absorption of, by joint-stock notes, amount issued, . r >82, 583; 1838- 1849, 590 ; restriction on issue of notes nvate banks, 593 railway crisis of 1847. :'.'-. 597, 698 reserves, amount of, since 1*77, COO, C01 system, strength of, 597, 600. ate Paper Currency Barclay's Bank, establishment of. . -. The. 1890. 594, 699 Age under, 1907, 43$; 1909, 209, 210 imports, 1898-1902. 438; 1860-1908, 19. 52.-, price*, 1860-1870, 197 ; 1876-1894, 203 ; 1896,207 production of, in United Kingdom, 1898- IMI m ' i ; ' ' Harrow, nhipbuilding industry in. 'J61 Hurry Railway, statist i.-.-, 11)09, 552, 559 K< . Messrs.. ; rein rs, ;:..' Dudley, estimate of the national income in 1867, 167 Kt-ale, Mis*, principal of Cheltenham CoDege, Betas: acreage under, 1909, 210 196-1900, ; I Kingdom, 1898- Ue-lford. Hixhop o! .. 104 fcU-dlam, condition .iddle of :!..- :..:..-..!.;): . i.'ur-. 196, \:'~ Beef: consumption of imported beef per bead of population. 1840-1909, 433 u.iport . 1846-1900, IV : 1898- 1902 197; 1880-1909,207,435, : ved and salted, imports, 1880-1909, production in United Kingdom, 1898-1902. m iotri taMM.1 iptio.of.457 !.r.-wi ti industry, early history. KM imports of ingredients. 1880-1910, 464 licences, number taken out by brewers, 1899-1908, 468 prosperity, fluctuations in, daring last tied boose" system, thr, 469 consumption, 1801-1829, 466 ; 1881-1910. per head of population, 1907, 170 : decrease in, 1900-19107128, 467 duty, fluctuations in, 466. 466 ; temporary abolition of, in 1830, effects of this, 466 ; revenue derived from, 1882-1911, 468 exports, 1860-1910, 457, 459, 530, 531 licensing system, 458 output/1881-1910, 457 " porter," origin of, 465 Belfast, shipbuilding industry in, 261 Belfast and County Down Railway, statistics, ixr.-. m Belgium : alkali industry in, 414 cotton industry in, 311 exports to the United Kingdom cotton, 1909,320; hides.1902,526 ; wool,1844,826 glass trade in, 286 imports from United Kingdom British produce and manufactures, 1827-1845. 483-486 ; alkalis. 414 ; boots and shoes, 1905-1908, 380; braes manufactures, 1910, 278; coal, 1908, 223; cotton, 1909. 320; hats, 400; lace, 399; raw wool and woollen yarns, 1844, 396 *hip, British, tonnage entering and clear- ing at Belgian ports. 1880-19XW, 643 tobacco, consumption per bead of popula- tion, 1910, -471 Bell, Dr. Andrew, founder of Church Schools, 133 Bentham, Jeremy, 64 ; his view of the scope of criminal legislation, 111 : triumph of Benthamite ideas in the Poor Law Amendment Act, 18:'.: Berlin Decree, 1806. effect of, 497, 498 process of making steel. .Soe Steel nm|i increase of expenditure on, 1 7 _' Hilihy Bros., Means., shipowners, 541 Bicarbonate of soda. .">/ Alkali Birkbeck. Dr., founder of the Birklxck In-' Birkenhead, U-lephone service in, 566 Birmingham : housing, 96 female and child labour in. 271 industries. 270. '.'71 Imputation, increase of, 1800-1850, 69 iUrth rate, decrease in, isusrs of, 11 ; ecou- , legitimate births. 1 1 Hirth and Deaths, Registration of, instituted in 1---7. I m it* !: i-.-. i ; Blackburn: Blacksmith iu. ! number of persons employed. 1W, Bleaching i n. i -70 190 1 .', IK. number of persons employed, 1907 output. U*> prices, 1870-1880, 117 7io THE PROGRESS OF THE NATION Blind : education of, 141 ; public expenditure on education of, 1907-1908, 676, 677 number of, 1851-1901, 20, 21 Block dwellings. See Overcrowding, Housing Board of Agriculture, control over local administration, 164 Board of Trade : control over local ad- ministration, 164 Public Health jurisdiction of, 157 salaries and expenses, 1897 and 1907, 670, 671 statistical department of, 672 Board of Trade Wages Inquiry, 52 Boarding-out system for Poor Law children, 79,80 Boer War : cost of, 519, 690 effect of, on national credit, 519 Bolt-making, output and number of persons employed, 1907, 272 Bolton, child labour in, 28 ; cotton industry in, 310 Bone manure, effect of introduction of, 179 Bookbinding: child labour in early part of the century, 24 output, 1907, 408 proportion of males to females employed in, 1901, 30, 31 Book trade : child labour in, 1891 and 1901, 27 imports and exports, 1871-1910, 411 percentage of population employed in, 1881-1901, 39 Boot and shoe trade : American competi- tion, 378, 381 factory system, growth of, 377 home work in, 33 imports and exports, 1865-1909, 379 labour, number of persons employed, 1907, 376 ; proportion of males to females employed, 1861-1901, 31 machinery, introduction of, 377. 378 output, 1907, 376, 377 protection, effect of, on the trade, 381 welted boots, introduction of, 378 Booth, Charles, 94, 123, 429 Borax Consolidated, 421 Borstal System, The, 117, 118 Botany Bay, transportation to, 107 Bourneville, experiments in town-planning at, 102 Bradford : child labour in, 28 housing, 96 wool industry in. 331, 332 Brandy, imports, 1841, 465 ; 1860-1908, 467 Brass manufacture : exports, 1805-1910, 278 output and number of persons em- ployed, 1907, 272 Brazil : cotton industry in, 311 exports to United Kingdom caoutchouc, 1902, 526 ; coffee, 1909, 449 ; cotton. 1896-1904, 309 ; 1902, 526 imports from United Kingdom British produce and manufactures. 1827-1845, 483-486 ; coal, 1908, 223 ; jute manu- factures, 1872, 367 ; woollen manufac- tures, 1844, 326 tobacco, production of, 1900-1903. 469 Bread : output, 1908, 451 mean price, 1905, 435 Brewing. See Beer Brickmaking : child labour in, 24 number of persons employed, 1907, 287 percentage of population employed in, 1881-1901, 39 output, 1907, 287 Brindley, James, "the father of inland navigation," 549 British and Foreign Schools Society, 133 British Columbia, import of fruit from, 453 British Dyewoods and Chemical Co., 421 British Eaat India Steam Navigation Co., 540, 541 British Honduras, import of hard woods from, 428 British Museum, annual expenditure, 1897 and 1907, 675 Broadhurst, Mr., on report of Housing Commission, 1885, 104 Brocklebank, T. and J., Messrs., shipowners. 541 Bronchitis, decline of, since 1870, 10 Brunner, Mond & Co., alkali manufacturers, 413, 416, 420 Brush, C. F. , electrical discoveries of, 263 Brush-making, home work in, 33 proportion of male to female labour employed, 31 Bryce, Mr., chairman of Education Com- mission, 1897, 140, 142 Building and building trade : by-laws, 421 concrete, introduction of, 430 conditions of the trade, 429, 430 ferro-concrete, introduction of, 430, 431 labour : casual labour in, 431 ; numbers employed, 1801-1901, 429; percentage of population employed in, 1881-1910, 39 ; unemployment, frequency of, 73, 430 public works, cost of, 1897 and 1907, 669 statistics, 1881-1901, 429 steel, introduction of, 430 wages, 53, 315 Bullion Committee, The, 1810, 574, 585 Burgundy, imports. 1909, 464 Burma, imports of hard wood from, 428 Burnley, child labour in, 28 ; female labour in, 34 Burns, John, 58 Bury, child labour in, 28 ; cotton industry in, 310 Buss, Miss, founder of the Girls' Public Day School Company, 139 Butler, Mrs. Josephine, pioneer of the University Extension Movement, 149 Butter : consumption of imported butter, 1840-1909, 170. 433, 434 duty on, revenue derived from, 625 imports, 1840-1910. 194. 443, 528. 529 price, 1895-1908, 207, 435 production of, in United Kingdom, 1898-1902, 443, 444 Buxton, Mr., prison reformer, 109 Caird, Mr., estimate of average yield of wheat per acre, 1850 and 1868/198 : of losses caused by agricultural depres- sion, 201 Caledonian Railwav, statistics, 1909, 552, 558, 559 Calico-printing, child labour in, 24 California, discovery of gold in, effect of on prices, 54 ANALYTICAL INI)! \ 711 Cambrian Railway, autistic*, 1909, 562, M Cambridge I'mversity, and women's educa- tion, 139 Canada: mtton industry in, 311 export* i<> United Kingdom cattle, 1870- 1900, 110, HI ; tood-stnffs (classifled), 1902, 520 ; timber, 1870-1900, 427 ; 1902, 526 ; wheat, 1871-1875 and 1896-1900, 195 ; 1899-1909, 436 ; 1902, 525 import* from United Kingdom produce and manufacture*, 1827-1845, 488-186; hate. 400; lace, 399; silk manufacture, 1890-1860, 347, 848 ; woollen manufactures, 1844, 326 ; value of total imports from United Kingdom, 1910 reciprocity with United State*, proposals for, 520 ships, British, tonnage of, entering M* clearing from Canadian ports, 1860- 1908,542 tariff, protective, adopted, 518 tobacco, consumption per head of popula- tion, 1910, 471 Canadian Pacific Railway, 542 * 'anals: capital, 1904,550 control of, by railway companies, 549, 550 effect of construction of railways on, 549 unable to compete with railways ; reasons for this. 5, r revenue. 1904, 550 mileage, 1850 and 1910, 549 mania for construction of, in last years of eighteenth century, 549 Royal Commission on, 1906, 549. 561 Candles, manufacture of: output. 1907, 41.* number of persons employed, 1907 Canvas-making, numbers employed, 1881- Caontchoue, sources of supply, 526. Set Kut'be * 'ape Colony : export* to United Kingdom- wool. ii*o-j import- of British produce and manufac- tures, 18--T refuse* to receive transported convicts. Capital, national, measurement of, 684,006; growth of, 1690-1910, 696-706 * 'apital Punishment. NM Death Penalty Cardboard box making, output, 1907, 408 * 'ardiff, housing in, 96 Cardwrll. Lord, reorganisation of the I .y. l 'are of Pror F.aw Children, Committee on, * arpet-making, proportion of male* to females employed, .:i .Sat Wool ngton, L<..rd. on report of HoMtaf iwion. 1885, 104 Cattle: export of pedigree stock from l'niti-1 Kingdom. 440 average pric<>. 188O-lt09, 440 import-, 1860-18cX), 197 ; 1880-1909, 440, 441 numbers i: ng-lom, 1875-1880, 200. 202 ; 1909. sources of supply. 44 1 Caustic soda. Set Alkali Celtic movement, the, 152 lanmfactnre of, percent eae ef POM. employed in, 1881-1901, 89 first proposals for, 1 ; early oppoti- tion to, f; first BUI peeced, 1806,1 : machinery, scope, and claarification of 1801 census, ana of subsequent oenen***, ..perfection of first four esns*s*. 2 liaUliiiHni as to age, 3; a* to place of birth, 2 ; M to occupation 2, 36-87, 88, 39 ; importance of e1i**iieiHi)a) M to oonpa&ton, 23 Central London Railway, statistic*, 1909, 558,569 Central Poor Law Board, The, 65 Chadwick, Edwin, 64, 67, 68, 166 Chain-making, home work in, 88; output and number of persons employed, 272 Chamberlain, Joseph, 619, 620, 628, 600 Champagne, imports, 1909, 464 Chance/Sir William, 78 Channel Islands: exports to United King- dom cattle, 1870-1900, 441 ; vegetable*, 1902,525 imports of British produce aad manu- factures, 1827-1845, 488-486 population, 1821-1911, 4 Chapman, Professor, authority on the cotton industry, 308, 318, 819, 380 Charing Cross, Boston, and Hampetaad Railway, statistics, 1909, 668, 569 Charity, growth of charitable effort in the assistance of the poor, 73. 74 ; need for co-ordination among charitable iinnietiae, 74 Charity Commission, The, 188 Charterhouse School, 188 Chartist Movement, The, 68 Cheese: consumption of imported cheese per head of population, 1840-1909, 170, 483, 434 duty on, revenue derived from, 1842, 026 imports, 1840-1909. 448 n.i-a:, |>n .-, 1 '.").'., 4X> production of, in United Kingdom, 1898- 1902. 443, 444 source* of supply, 525 Chemical industries: Alkali Act, 1863, provisions of, 420 combine* in, 420, 421 development of, 412. distribution of, 419, 420 exports, 1860-1910. 415-419, 630, 631 imports, 1S95-1909, 415, 416, 419 ; 1910, M number of persons employed, IV 1881-1901, 39 output, U''l >bonr, W. 24, V ; decline in child Ubc >1.24; 712 THE PROGRESS OF THE NATION Children, continued legislation, opposition to, 24 ; half-time system, the, 24-28 ; effect of child labour on unemployment, 56 ; child labour in various industries agricul- ture, 200 ; cotton, 302, 315, 318 ; silk, 347 ; wool, 327 pauper children : apprenticeship, compul- sory, system of, 79 ; boarding out system, the, 79, 80 ; Committee on the Care of Poor Law Children, the, 1896, 79 ; decrease in child pauperism since 1870, 78 ; education of pauper children, 78, 79 Chile : exports to United Kingdom copper, 1902, 526 ; cotton, 1896-1904, 309 ; tin, 1902, 526 imports of British produce and manu- factures to, 1827-1845, 483-486 ships, British, tonnage entering and clearing at Chilian ports, 1880-1907, 544 China : British trade with, to 1850, 489 imports from United Kingdom British produce and manufactures, 1827-1850, 483-486; cotton manufactures, 319; woollen manufactures, 1844, 326 China. See Pottery Chocolate, sources of supply, 525 Cholera : decline of, since 1870, 10 ; epi- demic of 1848, 156 ; of 186G, 9 City and South London Railway, statistics, 1909, 558-559 Civil Service : percentage of population employed in, 1841, 38 ; 1881-1901, 39 ; salaries and expenses (analysed), 1897- 1912, 668, 670, 671 Civil Services: expenditure, 1815-1835, 636 ; 1857-1910, 641, 643, 665-681 ; comparative analysis of expenditure in 1897 and 1907, 668 Clapham, Professor, authority on the wool industry, 330, 331 Clergymen, rate of mortality, 44 Clerks : number of children employed as, 1891-1901, 27 proportion of males to females employed as, 1861-1901, 31, 34 unemployment among, 57 wages, no statistics as yet available, 52 Climate, effect of, on growth of population, 5 Clothing industries: exports, 1860-1910. 530, 531 child labour in, 27 home work in, 33 proportion of males to females employed, 1861-1901, 30, 34 Clough, Miss, pioneer of University Extension Movement, 149 Clover, acreage under, 1909, 211 Coal : coastwise trade in coal, 1819-1848. 217 consumption, 1850-1909, 222 ; amount consumed in the production of iron, 1850, 218 exports, 1801-1849. 215, 220, 221 ; 1850- 1909, 222-224, 521, 522, 530, 531 ; duty on exported coal, 1902, 520, 521 ; policy of such a duty, 223, 625 ; effect of export of coal on the expansion of the shipping trade, 224. 522, 531 Coal, continued freights, 1801-1845, 216 ; 1900, 224, 225 inland trade, 1816, 217 labour : number of children employed, 1891 and 1901, 27 ; numbers employed, 1851-1901, 39, 41 ; 1907, 221 "limitation of the vend," methods and effects of, 218-221 prices, 1801-1845, 216 ; 1850-1900, 224, 225 ; 1905, 435 ; artificial raising of by " limitation of the vend," 218-221 production in United Kingdom, 1850- 1909, 222; value of total amount produced. 1907, 221 safety lamp, invention of, 215 supply, inexhaustible, 223, 225, 522 wages, 1850-1906, 315 working, method of, in early part of the nineteenth century, 214, 215 Coal tar products, exports, 1870-1909, 416, 418 output, 1907, 415 number of persons employed, 1907, 415 Cobden, Richard, 500 Cocoa : consumption per head of population, 1840-1909, 170, 433 duty on, revenue derived from, 1842, 626 import, 1840-1909, 450 output of British factories, 1908, 451 sources of supply, 525 Cocoa-nut fibre : output, 1907, 291 number of persons employed, 1907, 291 Coffee : adulteration of, 447 consumption per head of population, 1840- 1909, 170, 433 ; decline of, since beginning of century, 447 ; effect of, on consumption of beer, 459 duty on, fluctuations in, 448 ; revenue derived from, 448, 625 foreign trade in, 1800-1850, 493-496 imports, 1840-1910, 449, 450, 528, 529 protection, effect of, 491, 492 sources of supply, 449 Coffee-houses, first establishment and growth of, 447 Coffee plant, distribution of, 447 Cohn, Hermann, investigations into the health of school children, 145 Coinage : bad state of, at the beginning of the nineteenth century, 567-569 ; amount of gold and silver money coined at the Mint, 1801-1910, 568 ; silver coinage, 569 ; double standard proposed, 569 ; gold only legal tender for sums exceeding 40s., 569 ; copper coinage, 569, 570 ; standards, custody of, 571 ; Indian currency, 571, 572 ; colonial currencies, 572, 573 Colombia : exports to United Kingdom coffee, 1909, 449 ; cotton, 1896-1904, 309 imports of British produce and manu- factures, 1827-1845, 483-486 Colonial service, cost of, 1897 and 1907, 678 Colonies : currencies of, 572, 573 export of timber to United Kingdom, 1801-1S45, 425 imports from United Kingdom brass and copper manufactures, 1844, 278 ; coal, 1908, 224 ; cotton goods, 1909, 321 persons born in, numbers living in United Kingdom, 1841-1901, 16 ANALYTICAL IM)1 \ 713 Combines : in the chemical trades, 420, 421 ; in the tobacco trade, . nierce, percentage of population employe.) in, 1NS1-1901, 38, 39 Commissions : cost of, 1897 and 1907. 680 Alien Immigration, 1902, 7 ; Canals, 1906, < oal Supply, 225 ; Kducation, 1861. 79; Kmptoyment, 184' Feeble-minded, 1SOS, ! :me of War, 42*, 44.3; L; Laws, 121 ; Poor Law, 1832, 63. 64 ; 1909, 30, 35, 69, 72, 680; Sanitary, 1866, 9; Schools Inquiry, 1861, 138; Tuberculosis, 680 Committees: Education, 1897, 140: Import Duties, 1840, 683 ; Physical Deteriora- tion rnunicution : improvement in, in the nineteenth century. 171 with America, M'J ; "imlia, 538-641 ; South Africa, 543 ; South America, 544 ; West Indies, 544 internal, in 1850 X 646 Confectionery : increase in consumption of, imports, 1840-1909, 450 CoMTtsa of Vienna, neglect of interest* of commerce at, 500, 501 Conveyance, numl>er of persons employed in occupations grouped under this head, 43. &>< Railways, Transport r history of British copper-mining, 229 Dect of the growth of the electrical iniJi: opper market, 278, 279 per ore and regulns, 1851- rate of, 44 : in copper-mines, ;n factories, 1907,272 f manufactured < 'J72 nited Kingdom, ;ring Boer War. 690; revenue derive i from duties on, 1842, 625 as. 1860-1910, 528, 529 ( I -:, [M ' '.-If.- tOf, M v. .,.-.. . 1, al of, 184'1. --.S5 ill, export of china da. Costs Rica, export of coilW to United lorn, 1909, 449 Costennongtr*. rate of mortality among, 44 r pauper children, 80 m ployed in the industry, tion of, 1832, 301 ; 1781-1908, . :\\\ dir i from iggg 153 v, silk industry in. 350 Cowper-Temple Clause, The (nndenon tional teaching in rate-aided schools). 185 Crawford, , on the 1m. - r. , -, ,- : .! :, .,.' : '.. : -'iJ ' .' ' See Debt, nati- ago distribution of criminal*, 1849 : ". !>. alcohol as a cans* of code, criminal, severity of, in the early nineteen' I; century, 106 inniial nunihcr 117 illlterary n: ;. 119, 120 insanity and crime, 129, 130 movements of crime. raue* of, 1 decrease, 1*50-1900, 111 120 offences increase in number of. 1 1 ! 714 THE PROGRESS OF THE NATION Crime, continued proportion per 1000 of the population committed to prison, 1909, 120 recidivism, 115, 118, 119 statistics, 109-113 summary of crime in the nineteenth century, 105, 106 unemployment as a cause of crime, 120 Crimean War, cost of, 687, 688 Criminal Justice Act, 1855, 110 Criminal Law Amendment Act, 1855, 111 Cuba : export of tobacco to United Kingdom, 471 imports of British produce and manu- factures, 1827-1845, 483-486 production of tobacco in, 1900-1903, 469 Cumberland : iron and steel, output, 1904, 246 ; iron ore, output, 1904, 243 housing, 96 Cunard Shipping Co., The, 542 Currants : consumption per head of popula- tion, 170 revenue derived from duty on, 1842, 625 Currency. See Coinage, Paper Currency Curtis & Harvey, Messrs. , manufacturers of explosives, 421 Customs : expenditure, 1897-1910, 643, 681 effect of the reduction of duties after the Napoleonic War on revenue and on consumption, 623 revenue derived from, 1801-1849, 623 Customs Duty Act, 1843, 254 Cutlery, 272, 274-276, 530, 531 Cycle Trade, The, 256, 268 Dairy produce : imports, 1840-1909, 443 prices, 1876-1891, 204 production in United Kingdom, 1898-1902, 204 Davy, Sir Humphrey, 180, 215, 262 Day, J. T., editor of The Shoe and Leather Record, 373, 377 Dead Weight Annuity, The, 581 Deaf and dumb, numbers of, 20, 21 ; educa- tion of, 141 Death penalty : number of persons sentenced, 106, 107, 109 number of persons executed, 109 number of capital offences, 106 Deaths, Registration of, instituted in 1837, 8 Death-rate, decline in, 43, 44 ; causes of this, 9 ; mortality of rural as compared with urban districts, 10 Debt, number of commitments for, 120 Debt, municipal. 1897-1909, 645 Debt, national : amount of, 1736-1802, 615- 617 ; 1836-1899, 645 ; 1893-1905, 646 annual cost of, 1857-1910, 641-643 " borrowing for works," evils of, 644, 650 reduction in, 1905-1911, 642, 644 sinking fund, 1793-1837, 617-620, 621 ; 1905-1911, 642, 644 total borrowings, 1897-1910, 644 De Morgan, Professor, authority on insur- ance, 609 Denmark : agriculture in, 201, 206 cotton industry in, 311 exports to United Kingdom bacon, 441 ; butter and eggs, 1P02, 525 ; cattle, 1870- 1900, 441 ; meat, 1902. 525 ; wool, 1844, 325 Denmark, continued imports from United Kingdom British produce and manufactures, 1827-1845, 483-486 ; coal, 1908, 223 ; hats, 400 ships, British, tonnage of, entering and clearing at Danish ports, 1880-1908, 543 telephone system in, 566 Density of population, 20 Derby, silk industry in, 350 Derbyshire, production of iron in, 238, 239, 246 Devonport, housing in, 92 Devonshire : export of china clay from, 287 wool industry in, 331 Dewsbury, wool industry in, 329, 332. Diarrhoea, decline of, since 1880, 10 Die-sinking, output, 1907, 408 Diplomatic service, cost of, 1897 and 1907, 678 Discharged Prisoners Aid Societies, 118 Disestablishment of the Irish Church, 164, 165 Disinfectants, output, 1907, 415 number of persons employed, 1907, 415 Disraeli, Benjamin, opposition to military expenditure, 647, 648 Distress Committees, number of applications for relief to, 1905-1909, 58, 73 Domestic service : number of children em- ployed, 27 number of domestic servants per 100 of population, 32 proportion of males to females employed in, 30 number of married women employed, 34 percentage of population employed in, 38, 39 increase of numbers employed in, 57 effect on sex distribution of population, 12 increase of wages during the latter half of the nineteenth century, 52 Dominion Line, The, 542 Donald Currie & Co., shipowners, 543 Drapery trade : proportion of males to females employed in, 31 percentage of population employed in, 39 Dressmaking : home work in, 33 ; number of married women employed in, 34 Drink industries : child labour in, 27 ; female labour in, 34 ; percentage of population employed in, 39 Drink. See Alcohol Drugs : output, 1907, 415 ; number of persons employed, 1907, 415 Drunkenness. See Alcohol Dublin, housing in, 91, 98 Dublin and South-Eastern Railway, statis- tics, 1909, 552 Dundee : jute industry in, 363, 364 shipbuilding in, 261 Durham : housing in, 96 ; iron and steel industry in, 246 ; shipbuilding in, 43 Dutch East Indies, production of tobacco in, 1900-1903, 469 Dyes and dyeing industry : duty, revenue derived from, 1842, 626 exports, 1890-1909, 415, 418 imports, 1907, 415 number of persons employed, 1907, 291 output, 1907, 291, 415 raw material, sources of supply, 526 Dysentery, decline of, since 1870, 10 ANALYTICAL INDEX 715 Earthenware industry: exports, 1860-1910, 530, 531 proportion of males to females em ployed, 31 l.io Pottery Ecclesiastical Commissioners, method of collecting rents, 100 Hcoitomift, Tk : articles on ' * Currency and Banking," 1846, 693 Banking Supplements, 600 estimate of the national wealth and capital iie year 1909, 700-703 Edinburgh : housing in, 91 ; telephone service in, 566 Edison, Thomas, 263 Education: administration of, under the Act of 1902, 142 ; subject to the control of the Board of Education, 164 age of leaving school, 186 Board of Education, control of, over local administration, 164 Charity Commissioners, the, 138 Cockerton case, the. 140 compulsory education, first instituted in 1876, 135; exemptions, KC continuation schools, institution of, 140 ; numbers attending, 140, 144 ; cost of, 140 Cowper-Temple Clause, the, 186 Endowed Schools Act, 1869. 138 expenditure, 1833-1901, 141, 149; 1905, 160 ; 1897 and 1907 (analysed and com- pared), 668, 674-678 future prospects, 147, 148 grants, development of, from 1883, 133 ff. ; conditions under which grants are given, 137 health, feeding, etc., of children attending public elementary schools. See under Children illiteracy, decrease of, 1839-1907, 147 ; and -, lu6, 11 y, 120 numbers attending primary schools, 1860- 1908, 134-136, 141-14:* : continuation schools, 144 ; secondary schools, 146 pauper children, education of, 78-80 primary education : history of, in the nine- teenth century, 132-137; advantages of co-ordination of primary and secondary education, 143 ; cost of, 160, 676 public schools 1 S68, 138 i.i teaching: Sunday schf- stitution of, 132 : Cliun-h of England schools, institution of, l.T_' : numbers educated in, 1908, 142 : Nonconformist schools, ! -.it-I in, 1908, 142: ' outroversies an to religious teafinhif; cans*- of 1829, IX', ; undenominational teach- it rate-aided schools ui. of 1870 (Cowp. r under the Act of l'.02, 14'J School Hoards, secondary education ;ed by (th> Cock.Tton ra<), 140: merged in the County and norossjh Councils, 159 secondary education, definition < history of, in the nineteenth . r > : revival of. a. a Schools In.imry > supplied by the old School Boards (the Equation, mfMsrf CockerUm case), 140 ; numbers attend- ing secondary seboob, 1907, 145; advantage* of co-ordination of primary and secondary ednoation, 143 teachers: appointment of, under the Act of 1902, 142 ; training of, 188, 187, 142, 144; salaries of, 187, 143, 144; Headmasters' Conference, the, 148; National Union of Teacher*, the, 148 ; Teachers' Superannuation Act, 1898, 144 technical education : cost of, 140 ; definition of, 140 ; foundation of first grant-aided :.:.! .1! - :. . k ;::.. iv ; .. - Q |mm the, Sheffield, 139 ; polytechnics, 140 ; Brtenes and Art Department, the, 189 ; "whisky money," 140; Workings***'. .::./.-. :i.<- i.'/.i Universities Ste Universities women, education of, Charity Commu sionen' Report on, 138; growth of higher education of women, 119 Education Act, 1870, 26, 186, 157, 200 Education Act, 1902, 26; a compromise between educational and religious difficulties, 142 Education (Administrative Provisions) Act, 1907: imposes on local education authorities the duty of medically in- specting children attending school, 146 ; administration of, 146, 147 Education, Board of, 140, 142, 164 Education, Royal Commission on, 1861, 79 Education, Committee on, 1897, 140 < Education (Provision of Meals) Act, 1907, 145 ; cost of, 146 Eggs : consumption per head of population, 1840-1907. 170 duty on, revenue derived from, 1842, 696 imports, 1840-1909, 433, 484, 448 production in United Kingdom, 1896-1902, 443,444 MM aj mn u- :._:. Egypt: export-, to the United Kingdom . 1902, 536 ; oil-seeds. 1902, 526 fertil imports from United Kingdom- British M*BM : MMss*sVa| tfli I-!', MMM .:. IMS, Elastic webbing : output, 1907, 991 ; number ...... ... l .. . > mutter Line, The, 543 x>rd. oppose* the abolition of the death penalty for theft, 106 Electrical indu*tries : dyuamo, invention of, HI .puwnl of the eleetrical h tMfen - vkf tn -' ". invention of the flrat practJcal oandwcent lamp, 263; the oom, 26, 264 ; met of, a. oompared with the cost of electric power, 266: municipal control of, ad ;, , . - : .'" :-.., .::.:-. : '. niiinhers employed, 39 power, elect: THE PROGRESS OF THE NATION Electrical industries, continued with steam, 265 ; cost of, as compared with cost of electric light, 266 price differential rates, system of, 266 problems of the industry, 265, 266 traction, beginnings of, 264 ; economic advantages of, 264, 265 Electric Lighting Act, 1882, 264 Ellenborough, Lord, opposes abolition of the death penalty for theft, 106 Ellison, Mr., 49, 50 Emigration : effect of, on growth of popula- tion, 5 ; of agricultural labourers, 202 ; from Ireland, 164 ; statistics, 5, 6 Employers' Liability Companies Act,1907,607 Employers' Liability Insurance. See Insur- ance Employment, Commission on, 1840, 24 Endowed Schools Act, 1869, 138 Engels, Frederick, 58, 59 Engineering : explosive engine, effect of invention of, 268 internal combustion engines, introduction of, 267 marine : compound engine, introduction of, 260 internal combustion engine, introduc- tion of, 260 oil fuel, use of, 261 steam-power, first application of, to ships, 259 turbines, introduction of, 260 numbers employed in, 1851-1901, 170; 1891-1901, 43 oil engines, 267 wages, 1850-1906, 315 See Machinery Engraving, output, 1907, 408 Enteric fever, decline of, since 1869, 10 Equitable Assurance Company, The, 608 Eton College, 137, 138 Europe, Northern, export of British produce and manufactures to, 1805-1849, 479, 480 Europe, Southern, export of British produce and manufactures to, 1805-1849, 479, 480 Eversley, Lord, view of the wool industry in 1910, 340, 341 Excise duties, effect of, on consumption of alcohol, 122, 123 Executions, took place in public until 1868,107 See Death Penalty Explosives, manufacture of, 421 Exports from the United Kingdom : British produce and manufactures, 1801-1849, 477 ; 1872-1910. 520, 521, 523, 527 classification of, 1860-1910, 530 distribution of, 1800-1849, 479, 480 ; 1872- 1910, 527 tonnage employed in the export trade, 1802-1849, 516 value of total exports, 1850-1890, 518; 1872-1910, 520, 521, 523 alkalis, 1907, 416 ; alum, 1907, 415 ; ammonia sulphate, 1895-1909, 417, 418 ; beer, 1860-1910, 457, 459, 530, 531; bleaching materials, 1870-1909, 415, 416 ; books. 1871-1910, 411 ; boots and shoesi, 1876-1909, 379 ; brass manufactures, 1805-1910, 278 : chemical products and manufactures, 1S60-1910, 415, 416, 530, Exports from United Kingdom, continued 531; clothing, 1860-1910, 530, 531; coal, 1800-1850, 215, 217, 220, 221; 1850-1910, 222-224, 521, 522, 530, 531 ; coal tar products, 1870-1909, 416; copper, 1805-1910, 278, 530, 531; copper sulphate, 1895-1909, 418, 419; cotton manufactures, 1800-1850, 295- 297, 319 ; 1850-1910, 293, 319-321, 530, 531 ; cutlery, 1860-1910, 276, 530, 531 ; cycles, 268 ; dyes, 1890-1909, 415, 418 ; electrical goods, 1897-1910, 266, 531 ; fertilizers, 1870-1909, 417, 418 ; foreign and colonial merchandise, 1801-1849, 477 ; galvanized sheets, 1890-1910, 277 ; glass, 1870-1910, 285; gloves, leather, 1903-1910, 402, 403; haberdashery, 1860-1910, 530, 531; hardware, 1805- 1910, 273, 530, 531 ; hats, 1856-1910. 400, 401 ; hosiery, 1861-1910, 395 ; iron, 1800-1850, 240, 242; 1860-1910, 530, 531; iron wire, 1880-1910, 277; jute manufactures, 1895-1910, 292, 364, 367 ; lace, 1871-1910, 397, 398 ; lead ore, 1900-1909, 231 ; leather, 1860-1910, 530, 531; linen, 1850-1910, 292, 359, 530, 531; machinery, 1822-1849, 254, 255; 1860-1910, 521, 522, 530, 531 ; medicines, 1870-1909, 417, 418; millinery, 1860- 1910, 531 ; motor cars, 67 ; paint, 1860- 1909, 417, 418 ; paper, 1860-1910. 407, 408, 52S, 530, 531 ; plate, gold and silver, 1830-1910, 282 ; pottery, 1860-1910, 287, 530, 531 ; railway materials, 266 ; ribbons, 1907, 292 ; saltpetre, 1895-1909, 419 ; silk manufactures, 1820-1850, 347; 1850- 1910, 292, 351, 353, 530, 531; soap, 1853-1910, 423, 444 ; soda compounds, 1855-1909, 416 ; spirits, 1802-1841, 467 ; 1860-1910, 468 ; steel, 1800-1850, 241 ; 1860-1910, 530, 531 ; steel wire, 1880- 1910, 277 ; sulphates, aluminous, 1907, 415; tin, 1820-1849, 226; tin plates, 1860-1910,276,277; varnish. 1870-1909, 417, 418 ; wire, iron and steel, 1880- 1910, 277 ; wheat, 182, 183 ; wool, 1815- , 1845, 324-326; 1850-1910, 333-338, 530, 531 ; woollen hosiery, 1904-1910, 39t5 Factories, accidents in, 44, 45 Factory Acts, The, 24, 26; effects of, on production, 24 Factory and Workshops Act, The, 45 ; cost of, 1897 and 1907, 671 Fancy goods industry, home work in, 33 Faraday, electrical discoveries of, 262 Farmers, rate of mortality among, 44 Farr, Dr., improvements in statistical methods introduced by, 2 Feeble-minded. See Insanity Feeble-minded, Commission on, 1908, 123 Felt industries, home work in, 33 See Hat trade Fens, draining of, 185, 186, 187 Fertilizers: exports, 1870-1909, 417, 418; output, 1907, 415 ; number of persons employed in manufacture, 1907, 415 Finance, national, debt. See Debt, national expenditure : analysis, 1742-1849, 617 ; 1857-1910, 641 nrrny, 1801-1849, 630-633 ; 1857-1910 ANALYTICAL INDF.N 717 Finance, eontinutl Oi!. ,;.;. LJW-lt account. 1867-1999. 652 list. 1806-1849, 684. 636; 1897- 1910. 644 1 Services. 1815-1835. 686; 1857- :. 641. 648. 665-681 ; comparative analysis of expenditure in 1897 and IfOf M consolidated fond service, 1857-1910. oma. 1897-1910. 643 Inland Revenue. 1897-1910, 643 miacellaneoua nerrien. 1845. 696 ; 1897- 1910. 644 uavy, 1801-1849. 680-683 ; 1857-1910, ttLtO, > 868 Poet Office. 1857-1910. 641. 643. 644 Mg Napoleonic War, 280. 613. 61. r > perfectly new and soli-l system of finance," 1797. 611 revenue. 1800-1850. 617. 623. 683; 18S3. 686 ; 1908-1910. 69*2 vtin.i. increase in, 170 ; amount of imported food consumed per head of population. 1H40 and 1909. 488 imports. 1840-1909, 433. 484. 525. 529 industry, labour in : child lalnur, 27 ; female Ul-Mir. 34 : prrcenUve of popu lation employed. 39 supply. 36 ; adequacy of. 1SOO-1S60, 175- 1/7. 189 ; growing deficiency of, after 1850. 19:< tT uigr of condition* governing food-supply since 1860, 194. . sources of supply. 524. 525 ; statistics, lack of. as to prod notion of food Kingdom, 482. 488; variety of. 433. 484 Foreign trade : home trade dependent on foreign trade. 473 Foreign trade, eontin foreign trade not necessarily of leas value than home trade British ahlps gaining an increasingly Urge share of the world's coaunerce7688 UBMSJ ..<. :tn ; .. rfc rx,-, r t, MM mn 622. 638 ; and to the measure of invest- ments abroad and of shipping profits, 518 growth of. 1801-1849, 477; 1850-1870 518 ; 1872-1902. 520 sources of supply, 525, 526 tonnage (total) employed in foreign trade 1802-1849, 516; of British ships em ployed in a* compared with that of other nations, 1890 and 1908. 637 Forster. Mr.. 135 Foster, Joseph, joint founder of British and Foreign Schools Society. 188 Fox. Joseph, joint founder of British and Foreign Schools Society, 133 Fox. Wilson. 48. 49 France, agriculture in. 198, 206 alkali industry in. 41 1 cotton industry in. 311 exports to United Kingdom butter, 1902. 628 ; chocolate, 1902, 626 ; cotton, 320 ; hides, 1902. 626: lace. 897; silk. 349; sugar, 1902. 626; timber. 1870-1900. 427 ; vegetable. 1902. 626; wheat. 194 ; wine, 462. 463 ; wool. 1844, 826 import* from United Kingdom British produce and manufactures. 1827-1846. 483-486 ; alkalis. 414 ; boot* and shoes. i."'.' 1 .."- HI > rrv-^ i ; !<-r n-.Mi" factures. 278; coal. 223; cotton. 820; hats. 400 ; lace, 899 ; silk manufactures. 1830-1860. 847. 848; wool, raw and yarn. 1844, 826 ; value of total imports from United Kingdom. 1910. infant mortality motor car industry in, 267 sheep, number of, in. 880 ships. British, tonnage of. entering and clearing at French ports, 1880-1908, MS silk industry in. 848 telephone service in. 696 tobacco, consumption per head of popnla- fjsjftj fcnmsl I MOM sta pal iMsi ' population, 1883-1902, 524 ; price of wheat in, compared with l'i. dom and Germany. 1883-1902, 624. wool industry in. 384 Franchise, effect of extension of. 17 1 Franchise, municipal Set wider Local Government Franco-Gcraan War. effect of. on prices. 618 Fran!.: Protection, 628 .See Protection v Societies, evidence of, as to the prosperity of the working nl 168. 169 Fruit : acreage under, 1909, 211 ; increased of. 206,207. I'll bottled, output. 1WX S increase in, 169. 171. imports (classified ), 1840-1909, 452 ,iur ' ^: * :[ ; 1;. ' . Frys, The. and prison reform. 109 Furaeas Railway, statistics. 1909, 662. 669 THE PROGRESS OF THE NATION Furniture trade : output, 107, 428 ; number of persons employed, 39, 428 Furs : duty on, revenue derived from, 1842, 626 percentage of the population engaged in the fur trade, 39 Fustian industry, 339, 340; output, 1907, 291 ; number of persons employed, 1907, 291 Galvani, his electrical discoveries, 262 Galvanized sheets, exports, 1890-1910, 277 Gamble, J. G., pioneer of the chemical trade, 412 Gamekeepers, rate of mortality, 44 Garden Cities, 102 Gardeners, rate of mortality, 44 Garrett, Miss, applies in 1872 for a medical diploma at London University, 139 Gas : effect of invention of electric light on the gas industry, 263 percentage of population employed in the production of, 39 average wages in the industry, 53 Gateshead, housing in, 92, 96 Gauge Regulation Act, 1846, 553 General Labour : number of children em- ployed, 27 ; mortality, rate of, 44 ; percentage of population employed in, 38, 39 ; average wages, 53 Germany : agriculture in, 206 alkali industry in, 414 cotton industry in, 311, 312 hosiery industry in, 395, 396 exports to United Kingdom cattle, 1870- 1900, 441 ; cotton, 1909, 320 ; dyeing and tanning stuffs, 1902, 526 ; hides, 1902, 526 ; 1906-1910, 374, 375 ; lace, 397 ; sugar, 1902, 525 ; timber, 1870- 1900, 427 ; tobacco, 471 ; wheat, 1849, 194 ; wine, 1909, 463 ; wool, 1844, 325, 326 iron industry in : production of pig-iron, 244 ; effect of discovery of basic process, 246 imports from United Kingdom British produce and manufactures, 1827-1845, 483-486 ; alkalis, 414 ; boots and shoes, 1905-1908, 380 ; brass manufactures, 1910, 278; coal, 1908, 223; cotton, 1909, 320; hats, 400; jute manu- factures, 1872, 367; lace, 399; wool, raw and manufactured, 1844, 326 ; value of total imports from United Kingdom, 1910, 527 navy, growth of, 662 sheep, number of, in, 330 ships, British, tonnage of, entering and clearing at German ports, 1880-1908, 543 telephone service in, 566 tobacco, production of tobacco in, 1900- 1903, 469 ; consumption per head of population, 1910, 471 wheat, imported, consumption per head of population, 524 ; total imports of wheat, 1909, 438 ; price of wheat in, as compared with United Kingdom and France, 524, 526 Gibraltar : imports of British produce and manufactures, 1827-1845, 483-486; ex- port of wool to United Kingdom, 1844, 326 > Giffen, Sir Robert, 167, 169, 171, 522, 691 Gilchrist, Mr., discoverer of open hearth process of steel-making, 245 Girls' Public Day School Company, The, 139 Girton College, 139 Gladstone, Mr., financial policy of, 647- 649, 686, 689 Glasgow : housing in, 94, 95 ; shipbuilding industry in, 261 ; telephone service in, 566 Glasgow and South - Western Railway : statistics, 1909, 552, 558, 559 proposed amalgamation of, with Midland Railway, 557 Glass-making industry : Belgian competition, 286; consumption, 1789-1844, 283; duty on, effects of, on the industry, 283-284 ; revenue derived from, 1842, 626 ; exports, 1860-1909, 285 ; imports, 1800-1910, 283, 285; labour troubles in, 285, 286 ; numbers employed, 285 ; percentage of population employed, 39 Gloucestershire, wool industry in, 331 Glove-making : proportion of males to females employed in, 31 leather gloves : imports, 1891-1910, 400, 401; exports, 1903-1910, 402, 403; output, 1907, 403 Glucose, duty on, 449 Glue factories : output, 1907, 415 ; number of persons employed, 1907, 415 Gold : effect of changes in the production and consumption of gold on prices, 54, 55, 59 ; price of, 1803-1813, 499 ; pro- duction of, in United Kingdom, 236 Gold plate : consumption of, 1800-1850, 281, 282 ; exports, 282 Goschen, Mr., 74 Gossage, William, pioneer of the chemical trade, 412 Grass, acreage under, 1909, 209, 210, 211 Grazing. See under Agriculture Great Central Railway : statistics, 1909. 552, 558, 559 proposed amalgamation with Great Eastern Railway and Great Northern Railway, 557 Great Eastern Railway: statistics, 1909, 552, 558, 559 ; proposed amalgamation with Great Central Railway and Great Northern Railway, 557 Great Northern Railway : statistics, 1909, 552, 558, 559 ; proposed amalgama- tion with Great Central Railway and Great Eastern Raihvay, 557 Great Northern Railway (Ireland), statistics, 1909, 552 Great Northern, Piccadilly, and Brompton Railway, statistics, 1909, 558, 559 Great Southern and Western Railway (Ireland), statistics, 1909, 552 Great Western Railway, statistics, 1909, 552, 558, 559 Greece : exports of wool to United Kingdom, 1844, 326 imports of British produce and manu- factures, 1827-1845, 483-486 Greenock, shipbuilding industry in, 261 Grimsby, fish trade in, 443 Guano, imports of, to United Kingdom, 179, 197 ANALYTICAL INDEX 719 Guardians. Board of. * Local GoranuMt Guatemala: export* of coffee to United Kingdom, 1909, 449 import* of British produce and manu- factures. 1827-1846, 483-486 ueas, Mem., brawera, 466, 469 Guinness Trust, The, 99 Gum, output. 1907, 415 ; number of persons employed in manufacture of, 190*. 416 Gurneyti, The, aad prison reform, 109 Haberdashery, export*, 1860-1910, 530, 531 Habitual Drunkards Act. 1870, failure of, I'Jl : IV.- Hair industries, percentage of population employed in, 39 Halifax : child labour in, 28; wool industry in, SB Ham. See Bacon Hand-in-Hand Fire and Life Insurance Company. 604 illiatu, 690 Hardware: exports, 1805-1910, 273, 680, ivorts, 1806-1910. 278 Harland k Wolff, shipbuilder*, 261 Harrison, Frederic, teaches at th Work- ing Men's College, 139 Harrow School, 138 Hartlepool, shipbuilding industry in, 261 Hat trade : exports and imi>ort*, 1856-1910, 400, 401 ; output, 1907, 402 ; home work in, 'M ; proportion of mala* to female* employed in, 31 Hay, total area under, 1909, 211. . Health. See Public Health Hemp: 369-372; import*, 1864-1910, 37-2; output, 1907, 291, 371 ; number of persons employed, 1870-1907, 41, 291, 391 ; proportion of male* to females employed, 31 ; price, 1793-1815. 576 ; process of preparation, 368-370 ; aoarca* of supply, 526 Hicks-Beach, Sir Michael, 690 Hide* : duty on, revenue derived from. 1842, 626 ; imports, 1860-1910, 528, 629 ; source* of tupply. 526 Highland Agricultural Society, The. 198 Highland Railway, statistics, 190.' Highway Act, 1870, provisions of, a* to the upkeep of roads, 648 Highway Boards, The, 547 Hill, Octavia, 100 Hogg, Quintin. 140 Holidays, increased demand f> Holland : cotton industry in, export* to United Kingdom cattle, 1870- 1900, 441 ; cheese. 1902. 626; chocolate, 1902, 525 ; cotton, 1909, 320 ; dyeing and tanning stuffs, 1902, 526 ; 1902, 626 ; tobacco, 471 ; w.x>l. is: import* from the United Kingd< : produce and manufactures, 1827-1 84. r >, 483-486; boots and ahoea, 1906-1908, 380 ; bras* manufacture*, 1910, 278 ; coal, 1908, 223; cotton, 1909, 320; hat*, 400; jute manufacture*, 1872, 367 ; wool, raw and manufactured, 1844,326 infant mortality in, 11 hips, British, tonnage of, enuring and clearing at Dutch ports, 1880-1908, 643 bead of Holland, eimtmutd tobacco, consumption of, par |pulati,.n. lUlU. 471 Home Office: police, control orar, 164; public aealr *.il.ir:,-s aii-1 70,671 Bam* ftm*, H N r, 1909. 210; expen*e*, 1897 of. 167 ; and 1907, Horsehair industry: output, 1907, 291; numbar of iarao* einployl, 1907, 'J91 H,:,-ry- , ntt.-i, ').,,, ; , r y. ' "(, r o'|~ rti.-i, I cotton to wool employed, 306 ; German competition in cotton hoaiery, 396; growth of cotton hoaiery industry in early part of the nineteenth orntery, 384 distribution of the industry, 383 early history of the industry, 382, 30 export*, 1861-1910, 396. 398 import*, 1861-1910, 396 labour: child labour, 24; female labour, 31, 390, 391 ; home work, 33: numbers employed, 1870-1910, 291, 383, 398 mortality, rate of, 44 output, 1907, 291, 394 steam-power, introduction of, 392 invent:-!! of, M; :..-.: woollen hoaiery, proportion of cotton to wool employed. 396; import* and ex ports, 1904-1910. 396 .Sa* Cotton, Wool Hospital* : number of inmate*, 22 ; cost of, 160 Hour* of Labour. Ste Working Day Housing : block dwellings, 92, 100 expenditure of London County Council on bouse*, number of, inhabited, uninhabited, and building, 1801-1901, 91, 429 legislation, 100, 102 local authorities, accommodation provided by. 101 model dwellings, 100,101 number of inhabitants per house, 1801- MLM, '/-'. IM rural district*, present lack of aooom- modation in, 0L 103, 104 sanitation, 93, 102 : working-class dwellings In various peruoftheoouatry,97,98 1 990, practkally a dead letter. Hottsing and Town Planning Act, 1909, 10J , 18M 1-M 8M 1- ii. OMwMlM m, 306, lo-j. M Homaing of the Working Claasca AcU, 1890, 1900, 1903, 100 II *r.I, Mr., ]>ri*on reformer, 106, 108 Hndiiunfield, wool industry in, 261 Hull: shipbuilding industry in, 261; telr phone sen Hull and Barnslcy Railway, statistics, 1909. Ill Hungary, production of tobacco in, 1900 1 ..!.:. 4.;:. Hut. bins and Harriaw, Messrs., authors of The Hittay o/ Factory *VtMTM*i 720 THE PROGRESS OF THE NATION Illegitimate births, decrease in, 11 Immigration. See Alien Immigration, Alien, Commission on, 1902, 7 Imperial Tobacco Company, The, 472 Import Duties Committee, 1840, 683 Imports into the United Kingdom : value and classification of total imports, 1850- 1870, 518 ; 1870-1910, 520-529 ; sources of supply, 525, 526; tonnage employed in the import trade, 1800-1850, 516; foreign and colonial merchandise, im- ports of, 1801-1849, 477 ; alkalis, 1907 416; alum, 1907, 415; bacon, 1840- 1910, 433, 434, 439, 442 ; barley, 1850- 1910, 194, 438, 525 ; beans, 1898-1904, 438; beef, 1849-1910, 194, 439, 441; books, 1871-1910, 411 ; boots and shoes, 1876-1909, 379 ; brandy, 1800-1910, 465-467; butter, 1860-1910, 194, 525, 528 ; cattle, 1840-1910, 197, 440, 441 ; cheese, 1902, 525 ; chemicals, 1907, 415, 416 ; 1910, 528 ; chocolate, 1902, 525 ; cocoa, 1840-1909, 450, 525 ; coffee, 1860- 1910, 450, 528; confectionery, 1840- 1909, 450 ; copper, 1850-1910, 228, 229, 526, 528; corn, 1860-1910, 528, 529; cotton, raw,1800-1910, 295,307-311, 319, 320, 525, 528, 529 ; manufactured, 1910, 528; cutlery, 1900-1910, 276; cycles. 268 ; dyes, 415, 526 ; eggs, 1902, 525 ; fish, 1840-1910, 441, 525; flax, 1814- 1850, 356, 357; 1850-1910, 359, 526, 528 ; fruit, 1840-1910, 452, 525 ; glass, 1800-1910, 283, 285; gloves, leather, 1891-1910, 403 ; hardware, 1805-1910, 273 ; hemp, raw, 1814-1833, 356 ; 1854- 1910, 372, 526 ; hides, 1860-1910, 374, 528 ; hops, 1910, 460 ; hosiery, 1861- 1910, 395 ; hosiery, woollen, 1904-1910, 396 ; iron, 1860-1910, 526, 528 ; jute, raw, 1854-1910, 292, 366, 526; lace, 1871-1910, 397, 398 ; leather, 1910, 528 ; linen, 1827-1844, 356, 357 ; 1907, 292 ; maize, 1898-1909, 438, 525 ; meat, 1840- 1910, 440, 441, 525, 528; milk, con- densed, 1902, 525 ; motor cars, 267 ; mutton, 1840-1910, 439, 441 ; oats, 1850-1910, 194, 438, 525 ; oil, 1860-1910, 526, 528; paper, 1886-1910, 407, 408, 526, 528; peas, 1898-1904, 438; pork, 1840-1909, 441; potatoes, 1898- 1909, 438; ribbons, 1907, 292; rice, 1860-1910, 438, 525, 528; rum, 1800- 1910, 465-467; rye, 1898-1904, 438; sheep, 1840-1909, 441 : silk, raw, 1850- 1910, 292, 351, 352, 528, 529; manu- factured, 1850-1910, 351, 353, 528; soap, 1905-1910, 424 ; soda compounds, 1907, 415 ; spirits, 1802-1841, 186, 467 ; 1910, 528; steel, 1910, 528; sugar, 1850-1910, 450, 528, 529; sulphates, aluminous, 1907, 415; tallow, 1860- 1910, 528; tea, 1840-1910, 450, 528, 529 ; timber, 1800-1910, 526, 528, 529 ; tin, 226, 227, 228, 526 ; tobacco, 1860- 1908, 526, 528 ; vegetables, 1902, 525 ; wheat, 1800-1850, 176, 182, 183 ; 1860- 1910, 194, 436, 437, 438, 525, 528, 529 ; wine, 1850-1910, 463, 528 ; wool, 1800- 1850, 327, 329 ; 1850-1910, 333, 337, 338, 526, 528, 529 Imprisonment. See Prisons Inclosure of common land : area inclosed 1760-1850, 187, 188 effect of inclosure on production of wheat 181, 184 Inclosure Acts, number passed, 1800-1850, 181, 183 Income tax. See Taxation India : British trade with, to 1850, 490-492 communication with, 538-541 Suez Canal, opening of, 540 cotton industry in, 311, 312 currency of, 571, 572 ; fluctuations in the value of the rupee, 671 exports to United Kingdom coffee, 1909, 449; cotton, 307-311, 526; dyeing- stuffs, 1902, 526 ; hides, 1902, 526 ; jute, 364, 365, 526; rice, 1902, 525; wheat, 1899-1909, 436, 438, 525 ; wool, 1844, 325 ; 1902, 526 garrison of, 650 hemp, production of, 369 imports from United Kingdom British produce and manufactures, 1827-1845, 483-486 ; brass and copper manufac- tures, 1844 and 1910, 278 ; cotton, 318 ; wool, 326 ; value of total imports from United Kingdom, 1910, 527 jute industry in, 365 roads, lack of, in first half of nineteenth century, 490, 491 ships, British, tonnage of, entering and clearing at Indian ports, 1880-1910, 541 tobacco, production of, 1900-1903, 469 Indiarubber industries, proportion of male to female labour employed in, 31 Indigo, duty on, revenue derived from. 1842, 626 Industrial Revolution, The, in the nineteenth century, 23, 47, 105, 231 Industrial Schools : cost of, 1897 and 1907, 673 proportion of feeble-minded inmates, 130 number of children in, 143 institution of, 116 Inebriates. See Alcohol Inebriates' reformatories, cost of. 671 Infant mortality : statistics, 10, 11 decline of, since 1870, 11 in England as compared with foreign countries, 11 gravity of the problem, 11 overcrowding as a cause of, 94, 95 Ink, manufacture of: output, 1907, 415; number of persons employed, 1907, 415 Inland Revenue, expenditure, 1897 and 1907, 643, 681 Insanity: alcohol as a cause of, 125, 130, 131 Asylums, numbers confined in, 127 education of feeble-minded children, 141 crime and insanity, 129 expenditure of local authorities on Asylums, etc., 1905, 160, 163 feeble-minded, Committee on, 1908, 128 grants from Exchequer towards mainten- ance of pauper lunatics in County Borough Asylums, 128 legislation, summary of, 125, 126 need of extension to cover all mentally defective persons, 129 ANALYTICAL I\DI \ 721 Insanity, license-! houses, numbers confined in, 127 Lunacy Commissioners, appointment of, 1 'Jo Metropolitan Commission in Lunacy, 1844, numbers of insane, 22, 126-129 treatment of insane in early part of nineteenth century. 126, 126 workhouses, numbers confined in Insurance : Board of Trade, returns to be made to, 609 development of, since 1860. 608 employers' liability insurance : unr*auus*r- ative at present.' 608 ; figures, 1910, 606 ; Employers 1 Liability , <;. 89, 90, 164, 199 famine of 1848, 89, 164, 177, 199 feeble-minded, treatment of, 131 fever epidemic of 1846, 80 housing, 91, 98 iron ore, output of, 19" land tenure, system of. 198, 199 linen industry in, 864-868 local government, 164, 166 pauperism in. 88-91 pMStta0t\& ;.. H railways, statistics, 1909, 562 r*nt, 98 tobacco, consumption of, 469, 470 wool industry in, 886, 864 Iron industry : blasting, bot air method. 237, ' in the production of iron, 218, 389 coke-smelting, 237 1800-1860. 242 duty, revenue derived . laOO-lh&u M910, MO. finished iron industry. 244 harniatite ir imports. 1860-1910. 62* labour, numbers employed. 41 ore, production in the Tin ted Kingdom, 243 ; imports, 1880-1910, - of supply, 636 46 Iron industry, < kinds of. 243 ; production of. price. 1806-1846. 346, 347, 273 output. 318. 338-341. 348. 246. 347 pyrites, production in United tube - making, output, aad number of wages. 1860-1906, 53. 816 Ironstone, production in United Ismay, Imrie, It Co.. shipowners, 641. 642 Italy : cotton industry '. migration of Italians to United Kingdom. 6 exports to United Kingdomcotton, 1909, 820; hides. 1906-1910, 874. 376; wool. 1844.826 hemp, production of. 869 imports from United Kingdom British produce and manufacture*. 1827-1846. 488-486; coal 1906. 228; ootto*. 1909. . ships, British, tonnage of, entering and clearing at Italian ports. 1880-1908, 648 Jacquard, talk manufacturing machinery of. 344 Jam. output, 1906, 461 Japan : cotton industry in. 311, 312 ; export* and imports of cotton to and fmm United Kingdom. 1909, 830; import of hats from United Kingdom. 400; ton- nage of British ships *ntering and clearing at Japanese ports. 1880-1910, 641 ; production of tobacco. 1900-1908, 469 Japanned goods, output, and number of p.-rs,, n - -mi'].. >.-,!. ]'.J7. '-'7.' Joint-stock banks. Ste Banking Juries, diminution in number of cases tried by. 110 Justice, public expenditure, 1897 and 1907. 668,672-474 Jute industry : consumption. 1900-1910, 865 development of, 361-068 -^5-1910. 292. 364. 367 imports. 1864-1910. 292, 866. 636 number of persons employed, 1881-1901. 868 ; 1907; 391 ; proportion of males to females employed. 31 output of manufactured jute, 1907. 291. . .'. i, .>-! price of raw jute. 1900-1910. 364-866 production, total, of raw jute. 1874-1894. sources of su . :.;, HI Alexaater, fcCa, jam nianufaotanrs. M Kingaley. Charles, tsaohes at Working Men s ObOsm i::y rbocker Trust. Th^. failure of. 699 Kurts. Andreas, nsooear of the chemical trad*, 412. 411 Kynorh. Messrs.. maanCtcturers of eiplo sivec.421 722 THE PROGRESS OF THE NATION Labour, casual : unemployment in, 57, 58 general, rate of mortality, 44 hours of. See Working Day mobility of, effect on unemployment, 56 organization of, effect on stability of real wages, 60 Labourers Acts (Ireland), 91, 98, 165 Labourers Dwellings Improvement Act, 100 Labouring Classes Lodging-Houses Act, 100 Lace industry: general survey of, to 1850, 384, 387-380 imports and exports, 1871-1910, 397-399 output, 1907, 291, 398, 399 number of persons employed, 1870-1907, 41, 291, 393, 394 proportion of males to females employed, 31 Lancashire : chemical trades in, 419, 420 child labour in, 28 cotton industry in, 306, 307, 310, 312 iron and steel, output, 1904, 246 ; iron ore, output, 1904, 243 average rent, 97 Lancaster, Joseph, pioneer of free education, 132 Land, agricultural, decrease in value of, 37 capital value of, 1800-1909, 696-701 tenure of, 198 reclamation of, 198 See under Agriculture Land Acts (Ireland), 1878 and 1881, 165, 199 Land Purchase Acts (Ireland), 1885-1909, 165 Land Eegistry, expenditure, 1897 and 1907, 673 Laundries : child labour in, 27 ; female labour in, 33 ; home work in, 33 ; pro- portion of males to females employed, 31 ; percentage of population employed in, 39 Law, public expenditure on, 1897 and 1907, 668, 672-674 Lead: imports and exports, 1900-1909, 231, 232 number of persons employed in lead industries, 41, 272 output, 1907, 272 price, 1800-1909, 232 production of, in United Kingdom, 1850- 1908, 231, 232 Lead poisoning, 44 Leather : duty on, revemie derived from, 1842, 626 exports, 1860-1910, 375, 530, 531 imports of hides, 1876-1910, 374, 375, 528 number of persons employed, 39, 375 output, 1907, 375 Leeds : alien population of, 7 telephone service in, 566 wool industry in, 332 Leicester, hosiery industry in, 390 Leicestershire, iron and steel, output, 1904, 246 Leith, shipbuilding industry in, 261 Lemons, duty on, revenue derived from, 1842, 626 Letchworth, garden city at, 102 Levi, Professor Leone. 121 Libraries. See under Local Government Licensed Victuallers, rate of mortality, 44 Licensing. See under Local Government Licensing (Consolidation) Act, 1910, 458 Licensing Duties, effect of, on consumption of alcohol, 122, 123 Licensing Laws, Royal Commission on, 121 Liebig, Dr., 180, 420 Life insurance. Sec Insurance Limestone, production of, in United King- dom, 236 Lincolnshire: iron and steel, output, 1904, 246 ; iron ore, output, 1904, 243 Linen industry: 41, 42, 354-361 distribution of the industry, 358 duty on, revenue derived from, 1842, 626 exports, 1850-1910, 292, 359, 530, 531 imports, 1827-1844, 356, 357 ; 1907, 292 labour, number of persons employed, 291, 357, 361 ; proportion of males to females emDloyed, 358 output, 1907, 359, 360 wages, 53 Literature, increased demand for, 174 Liverpool : alien population of, 7 cotton industry in, 310 housing in, 96, 101 shipbuilding industry in, 261 telephone service in, 566 Lloyd-George, Mr., budget of 1909, 642, 691 Lloyds, 447, 604 Local Government : activity of, increase in as result of Municipal Corporations Act, 1835, 158 areas of administration, 157-159 authorities, local, summary of functions of, 159, 160 Boroughs, County, 155, 156 ; Municipal, condition of, prior to passing of Munici- pal Corporations Act, 1835, 154 ; re- organization of, by Act of 18-35, 154-156 by-laws, 431 central and local government, balance of, 153, 154, 156 Counties, reorganization of, by County Councils Act, 1888, 158 County Boroughs. See Local Government, Boroughs County Councils, creation of, 158 debt. See Local Government, finance democratization of local government, 154, 157, 158, 159 development and history of local govern- ment, 153-159 education, 155 elections, 155 electricity, 159-164, 264, 266 expenditure. See Local Government, finance finance : debt, 160, 161, 163, 645 ; expendi- ture, 160, 162, 645 ; loans, conditions under which they may be raised, 155, 161 ; rates, assessment and amount of, 162, 163 ; revenue, total amount of, 162, 163 ; amount derived from imperial sources, 667 ; taxes, proceeds of certain taxes payable to local revenue, 161 franchise, municipal, qualifications for, 156, 157, 158 gas, 159, 160, 163, 164 Guardians, Board of, substituted for Jus- tices of the Peace as administrators of relief, 154 ; responsible under the Poor Law Act of 1834 for local administration of Poor Law, 66 \\.\LYTICAL INDEX 723 Local Government, eonhttnti harbours and docks, 160 housing. "*' unlr Housing Aland ministerial functions, separa- tion . local administration of, 156, 156 ries, 100 loans. Se Local Uorernment, finance n.i^tni. % I". market*. 160 ministerial and judicial functions, aepara- tion Municipal Borough*. See Local Govern- ment, Boroughs mMddpal trading. 159-161. 163 Pariah Council*, creation of, 158 Pariah Councils Act. 1894. provisions of, porks and open spaces. 160 poll 164 Poor Law Amendment Act, 1834, effect of. Public Health, administration of. See lie Health Quarter Seaaion*, functions of. prior to pasaiog of County Councils Act. 1888. 158 rate*. Set Local Government, finance revenue. See Local Government, finance roads. 160. 648 Kir creation of. 158, 159 sanitation . Town Councils, constitution and function* :, 164 ,11 District*, creation o; wrr- Local Government Act, 1858, Government Act, 1894, 66 .verument (Scotland) A Local Government Board, crea*. tinancial administration r, 1-.:. general control over local Ko\ernment, 164 ; Poor Law department of, 66 ; undertakes general direction of local administration of public health, 9 ; salaries and expenses, 1897 and 1907, 670,671 ;'. .. :. OhM| jj. .... 'i;.,.. .-,9;. London County and Westminster Bank, taUkfaMKi i f, m Iximlon Insurance Com|ny, 604, 607 London Joint Stock Bank, ertabiishmtnt of, M London, Tilbunr. and Southend Railway, statUtics. 1909, 662, 558, 669 London University, and women's education, I Lunacy Coiumiwkm, The, 126 Lunacy, Lunatic*. See Insanity. If 'Adam, John London, inventor of mac- adaniiied roads, 547 Macara, authority on the cotton industry, 307, 312 Macclesfield, silk industry in, 350 Machinery : ilevelopment of use of, in the nineteenth century, 23, 41 export duty on, 521 ; policy of such a dtit exports, 1820-1910, 254, 266, 266, 521, 522,530,531 number of person* employed in the manu- facture of, 41, 48, 266 protection, effect of, on the industry, 249- th, Mr., prison reformer, 106, 109 . i'iri>\ \ i .... statistic* a* to the jute industry, 366 Macrosty, H. W., author of The Trust Moot- nunt in Brituh />uiiutry, 420. 421 Madagascar, export of British produce and manufacture* to, 1827-1846. 483-486 Maize: production of, in Unite*! Kingdom, 1898-1902, 438; import*. 1898-1902, 438 ; sources of supply, 525 Malt : duty <>n. fluctuation* in, 455, 460 ; con- pttOB, 1801-1841.460 Malta, export of British produce and naanu- fact Malthns, Sttay on Poplatum, 1 le of, population Manchester : alien population. 7 : hoantag, 96, 101 : cotton milustry. .110 ; Uk utry. 347, 350 M:in :. .'.:'(:. lift Tl .-. 1 -' Mancold, acreage under. 1009, 210 MfWf t pradncooa of heap in, 369 Manning, Cardinal, on report of I loaning .n.m..-. D, l*v\ lo; Manure, chemical, manufacture of, 420 Marconi system, number of radio-Utlegraau . 1840-1909. 44:1: output in ' -dooj, 1898-1902. 443, 444 Market (pirdeninjc : numbers employed m. 202 : total area under market gardens, Ml Markeu. .sr under Lnoal Government Marmalade, output. 1908, ibl 724 THE PROGRESS OF THE NATION Marriage-rate, decrease in, a sign of bad times, 53 ; effect of good harvest on, 53, 54 ; statistics, 13-15 Matches : output, 1907, 415 ; number of persons employed in the manufacture, 415 Mathew, Father, temperance reformer, 465 Maunday Money, 569 Maurice, F. D., pioneer of higher education for women, and founder of the Working Men's College, 139 Mauritius, export of British produce and manufactures to, 1827-1845, 483-486 Meat: consumption of, increase in, 169, 171, 435 frozen meat industry, 440 imports, 1880-1910, 439, 440, 528 prices, 197, 203, 204, 435, 439, 440 production in United Kingdom, 1898-1902, 439 sources of supply, 440, 525 Medical Office, The, 157 Medicines, exports, 1870-1909, 417, 418 Merchant Taylors' School, 138 Merthyr Tydvil, housing in, 92 Metal trades : child labour in, 27 conditions of employment, 272 development of, 1800-1850, 269: since 1850, 272 imports, 1910, 528 number of persons employed, 39, 41, 43, 272 output, 1907, 272 strikes, 51, 52 ' wages, 51, 52, 53 Methylated spirits, consumption, 1880-1910, 467 Metropolitan District Railway, statistics, 1909, 558, 559 Metropolitan Poor Act, 1867, 75 Metropolitan Railway, statistics, 1909, 557, 558, 559 Mexico : cotton industry in, 311 exports of hard wood to United Kingdom, 428 imports of British produce and manu- factures, 1827-1845, 483-486 Middlesbrough, shipbuilding industry in, 261 Middlesex, housing, 91 Midland and Great Western Railway (Ire- land), statistics, 1909, 552 Midland Railway: statistics, 1909, 552, 558, 559 proposed amalgamation with Glasgow and South-Western Railway, 557 Milk : mean price, 1905, 435 condensed, sources of supply, 525 Millinery : exports, 1860-1910, 530, 531 home work in, 33 Minerals, amount conveyed by railways in United Kingdom, 1908, 556 Mines and mining : accidents in, 44, 45 capital value of British mines, 1865-1909, 700, 701 child labour in mines, 24, 27 numbers employed in mining, 39, 40, 41, 170 strikes, 51, 52 wages, 51, 52 Mint, The, amount of gold and silver coined t, 1801-1910, 568 Mond, Sir Alfred, account of the growth of the alkali industry, 413 Morgan, J. Pierpont, founder of the Ameri- can Shipping Combine, 542 Morley, Mr. , on report of Housing Commis- sion, 1885, 104 Morocco : exports of wool to United King- dom, 1844, 325 imports of British produce and manu- factures, 1827-1845, 483-486 Mortality. See Death - Rate, Infant Mortality Moselle, imports, 1909, 464 Motor cars : number of private motors, 1909, 548 destruction of roads by, 548 imports and exports, 1904-1910, 267 growth of the industry in United King- dom, 267, 531 output, 1907, 256 number of persons employed in the manu- facture of motor cars, 256 Muller, Messrs. W. 0. & Co., statistics as to the tobacco trade, 471 Municipal Boroughs. See under Local Government Municipal Corporations Act, 1835, 155 Municipal Corporations Act, 1882, 155 Municipal service, numbers employed in, 38, 39, 57 Municipal Trading. See under Local Government Music Halls, improvement in, 173 Muspratt, James, pioneer of the chemical trades, 412, 420 Mutton: imports, 1840-1909, 4.33, 434, 439, 440, 441 ; price, 197, 207, 435, 440 ; production in United Kingdom, 1899- 1902, 439 Nailinaking, output and number of persons employed, 1907, 272 Nantwich, female labour in, 35 Napoleonic war : cost of, 622, 631 ; effect of, on British foreign trade, 497-500, 576 : and on prices, 576 ; false appearance of prosperity during the Napoleonic war. 613, 614 National Gallery, cost of, 1897 and 1907, 675 National Gallery (Ireland), cost of, 1897 and 1907, 675 National Gallery (Scotland), cost of, 1897 and 1907, 675 National Portrait Gallery, cost of, 1897 and 1907, 675 Navigation Acts, The, 505-508, 517, 685 Navy : cost of, 1801-1849, 630-633 ; 1857- 1910, 641, 643, 658-665 size of, must be regulated by that of foreign navies, 658, 659 "Dreadnought theory," the, 663, 664 "two-power standard," the, 659 recent change in policy by reduction of the oversea fleets, 661 construction, great increase in, 1903-1912, 662 percentage of population employed in, 38 Netherlands. See Holland Netmaking, 370, 371 ANALYTICAL INDIA 725 NewcasUe-on-Tyne : amount of coal shipped from, 1801-1841- hMriM i;,. ;c. -.--. shipbuilding industry IB, 43, 261 Newfoundland, tonnage of British (hip* entering sad clearing at Newfoundland parti, MfrOMlMI Newgate priaon, condition of, in early part of nineteenth century. 100 N'ewnham College, 120 New South Wale*, transportation to, 107 Newspaper trade, output, 1907, 408 Newton. A. .).. surrey of the development of photo-mechanical illustration, 410, 411 aland : export of beef from, 440 production of hemp in, 880 tonnage of British ships entering and clearing at New Zealand ports, 1880- 1810 Nitrate of soda, as manure, 197 Nobel Dynamite Trust, The, 421 balding in, 43 wool industry in, 881 Ik Island, transportation to, 108 Northamptonshire: iron and steel industry in, 246 ; output of iron ore, 1904, 243 . British Railway, statistics, 1900, 662, 568. 669 ndon Railway, statistics, 1909, umberiand : production of iron in, 239 housing in, 96 Northwich. chemical trade* in, 420 Norway : cotton industry in. .ill ..ugdom cattle, 1870- 1900, 441; fisbTlWZ, 626; condensed, 19'. Norwich, wool industry in, 820 Notes. See Papn Nottingham tiKhamshire, iron and jtteel, output of, 1904, 246 Nursing : female labour in, :: 1 ; proportion of males to female* employed, 30 Oats: acreage under oats, 1909, 209, 488; in- r,.\.-<- b .I'.* V . . _". impnr pd -, 1160 i-7i', u-7 . ]-\-; 1804, 31 da . 1895, 207 H8 noaroesof supj'l . Occupation : classificaiioB of, in censtu. 2, 36-37, 38, 30 : importance of statistics reUt. moremeut of. in the century, 23 ; in urnan and rural prices, 1801-1843, 406 726 THE PROGRESS OF THE NATION Paper-making, continued esparto grass, introduction of, 406, 407 wood-pulp, introduction of, 407 imports and exports, 1886-1910, 407, 408, 528, 530, 531 Paper currency : amount in circulation as compared with bullion retained at Bank of England, 1838-1849, 590; effect of increase in circulation on prices, 585 Bank Charter Act, 1844, 592, 594, 595 Bank Restriction Act, 1797, 576, 577 bills, mercantile, number under discount at the Bank of England, 1825, 581, 582 cheques, development of use of, 595 controversies on the subject of papei currency, 1800-1850, 574, 575 depreciation of paper currency, 1809-1815, 577 fluctuations in price of gold, effect of, on paper currency, 576, 577 inconvertible paper currency, arguments against, 579, 580 interest, fall in, occasioned by extensive increase in circulation of paper currency, 580 issue of Bank of England notes restricted to 14,000,000 in excess of bullion retained, 592 notes, decrease in use of, 595, 596 ; issue of, by joint-stock and private banks, 582, 583, 584, 593 Peel's Act, 1819, providing for the gradual resumption of specie payments by the Bank of England, 578-580 redundant paper currency, evils of, 578 specie payments, cessation of, by Bank of England, 1797, 576, 577 ; resumption of, 1819, 578 uncovered notes, issue of, by Bank of England since Bank Charter Act, 1844, 594, 598, 599 Paraffin, sources of supply, 526 Parish Councils Act, 1894, 158 Parkhurst, first reformatory at, 116 Parks, public expenditure on, 1897 and 1907, 669 See under Local Government Parsons, Hon. Sir C. A., inventor of the steam turbine, 260 Pauperism : able-bodied paupers, increase of, in urban centres in recent vears, 70. 72, 73, 78 alcohol as a cause of pauperism, 120 child pauperism, decrease of, since 1870, 78 created by bad administration of outdoor relief, 69 daily pauperism, average, 1906-1908, 71 female pauperism, rate of female pauperism higher than male, 78 insane paupers, numbers of, 81, 82 movement of pauperism in the latter half of the nineteenth century, 70-74 Old Age Pensions Act, effect of, on pauperism, 77 permanent paupers, number of, 1906- 1908, 71 urban as compared with rural pauperism, 77, 78 See Vagrancy, Relief Peabody Trust, The, 99 Pens : acreage under, 1909, 210 ; production of, in United Kingdom, 1898-1902, 438 ; imports. 1898-1902, 438 Peel, Sir Robert, financial policy of, 682-684 Pen-making : home work in, 33 ; output, 1907, 408 Penal servitude : took the place of trans- portation in 1853. 108 average number of persons sentenced to pencil servitude, 109 remission, grant of, 109 Pencil-making, output, 1907, 408 Peninsular and Oriental Steam Navigation Company, 539-541 People's College. The, at Sheffield, 139 Pepper, revenue derived from duty on, 1842, 626 Perfumery : output, 1907, 415 ; number of persons employed in manufacture of, 1907, 415 Peru : exports to United Kingdom cotton, 309 ; wool, 1844, 326 imports from United Kingdom British produce and manufactures, 1827-184.", 483-486 ; woollen manufactures, 1844, 326 Peterloo Massacre, The, 48 Petroleum, sources of supply, 526 Philippines, production of tobacco in, 1900- 1903, 469 Phosphatic manures, 197 Photography : development of, 410, 411 ; proportion of male to female labour employed in, 31 Phthisis, decline of, since 1870, 10 Physical Deterioration, Committee on, 94, 123, 145 Physical infirmity, statistics as to, 20-22 Pickles, output, 1908, 451 Pigs, number of, in United Kingdom, 202. 212 Pilkington Bros., plate-glass manufacturers, 285 " Pinch-Pauper Triumvirate," The, 64 Pitt, his " perfectly new and solid system of finance," 1797, 611 Place, Francis. 65 Place of birth, classification of, iu census, 2 Player, John, & Sons, Ltd., tobacco manu- facturers, 472 Plumbers, lead-poisoning among, 44 Plymouth, housing in, 101 Police: local administration of, 155, 160, 161. 164 ; grants subject to approval of Home Office, 164. See under Local Govern- ment Political offences, transportation for, 108 Poor Law, allowance system, the, 62, 63 Central Poor Law Board, the, 65 early legislation, 61, 62 Royal Commission of 1832 ; effect of recommendations of. 63-65. See also Pauperism, Relief Poor Law Act, 1834, 2, 154 Poor Law Board, The, 157 Poor Law Commission, 1909, 30, 35, 69, 72. 680 Poor Law Inquiry Commission (Scotland), 1843, 84 ANALYTICAL INDEX 7-7 Poor LAW Unioa, made UM unit of the census adnunislralioi s. Set Census Population, census. constitution of, age, of p first attempts at 1-4 13; age j..|. illation according d khsi ;.v u atsQB, distribution of niral M compared with urban district-, 15; statistics birthplace, statistic* as to, 15. 16 marriage, decline of marriage- rate since I860, 13 ; rise in marriage-rate aiace statistics, 14, 15 sex, excess of female over male popu- lation, 12 ; excess of male births orer female, 12 ; proportion of sexes varies according to industrial and social con ns, 12 ; reasons for variation, 1- density of population, 20 growth of population, traceable after 1888 by comparison of birth and death rates, .!< of increase during nineteenth century. 3, I, 175; causes of increase, snnTsnmit of population, 16, 17-20 ; physical infirmity, statistics as to, 20-22 rent, and population, 98, 100 statistics, first attempt to obtain, 1, 2 imports, 1840-1909, 484; price, 1860-1894, 197, 203 ; 1906, 435 t-riment in town-planning at, 102 Portugal : cotton industry in, 311 exports to United Kingdom cattle, 1870- 1900, 441 ; timber, 1870-1900. wine, 1909, 463 ; wool, 1844, 836 imports from United Km,- luce and manufacture*, Ibl ships, British, tonnage of entering and clearing at Portuguese ports, 1880-1908, 543 Post Office: expenditure, 1839-1910, 562, .".. ',; . 1897 and 1907 compared, 681 frank system, the, 560, 561 halfpenny rate, introduction of, 561, 562 ; revenue derived from, 561. I letters, number deliver money orders, amount issued 1910, 663 penny postage. . postal orders, amount issue, revenue prior to 1840, 560, OB ; 1840-1910, ->7 compared, 681 <...:,: ':.-. k . UsfttMlM "' ' . V ' ofdeposit to the prosper telegraphs: revei. monopoly aeqnr HA, fil MtVrai " Potatoes: acreage under. H* sumption per bead of populatio: ii:i;>rU, 1840-1909, 489, 484, 488 ; . r.c- M '. v .'. . H7. 1 ..' . BWI in United Kingdom, 1898-1902, 488 Potteries, The, 287 ; lead -poisoning . the working cUases Pottery, manufacture of: exports, 287 : pro- employed, 1907, 287; proportioa of males to females employed, 81 Pottltnr, number of, in 18fe and 1902, 444 Predous metals, number of persons em- ployed in manufacture, 89 Preston: cotton industry in, 34; female labour in, 310 Preston-Thomas, Mr., 69 Prevention of Crimes Act, 1908, 117, 118 Dr., author of 06-srro/um* on rrr,,,,..,: . /.,.-.?,, <}n~ Prices: Franco-German war, effect of, on prices, 518 gold, effect of changes in the production and consumption of gold on prices, 64, .'."'. ."'.' harvest, effect of good harvest on prices, 587,588 movement of prices during nineteenth century, 54, 55, 169, 170, 529 paper currency, effect of increase in circulation of, on prices, 585 prices of various articles bacon, 1880- 1909, 486, 442 ; barley, 1860-1870, 197 : 1876 1894, 203 L8M W r, UM 1870, 197; 1880-1909, 207, 486, 440, )>read, 1905, 435; batter, 1895- 1908, 207, 435 ; cattle, 1880-1909, 440 ; cheese, 1905, 435; coal, 1801-1846, 216; 1850-1900. 224, cotton, 1860-1910, 529; flour. 1905, 435 ; flax, 1860-1910, 629 ; meat, 1860- 1880, 197 ; 1880-1909, 486, 440 ; milk, 1906, 435 ; mutton, 1880-1909, 486, 440 ; oats, 1850-1870, 197 ; 1876-1894, 203 ; since 1896, 207 ; pork, 1860-1894, 197, 203 ; 1905, 435 : potatoes, since 1896, 207, 435 ; sugar, 1860-1910, 486. 629 ; tea, 1906, wheat, 1800-lo50, 181, 183; 1850-1908, 196-197, 203, 4;W; wool, 1800-1860, 1860-1910, 204, 529 Printing : Columbia press, invention of, 409 development of the industry, 408- 1 11 illustrating, 410. til linotype marhtne, invention of, 409 BMsitn . m i > : output, 1907; 408 steam-pow. wages, 1860-1910, 51, 316 -r* employed, 1907, 291 ; output, iso?, m Prisons: administration of, li:>. Ill condition of, in the early part of the nineteenth cen' cost of, 1897 and 1907, 673 urged prisoners, treatment of .: .-.,. L-...P. employsMBt far prisoners, 114 d prisoners, numbers of, 130 nnt offender), treatment of, 115 liar- 1 Ubour, in practice aliuont obsolete, in legislation. 108, 109 numbers of prisoners, '. preferred to casual wards by vagrant*. 114 728 THE PROGRESS OF THE NATION Prisons, continued preventive detention, 118 reformation rather than punishment to be aimed at, 108 star class system, the, 115 Prison Commissioners, first appointed in 1877, 113, 114 Prison Discipline, Society for the Improve- ment of, 109 Privy Council, public health jurisdiction of, 157 Probation of Offenders Act, 1907, working of, 59 Productivity of the soil, increase in, 179, 185 Professions, percentage of the population engaged in, 38, 39 Progress : to be measured by the change in the ordinary daily life of the average person, 166 ; general progress since 1850, 166 ; standard of life, improvement in, 160, 167, 171, 173 Protection : abandonment of, 682-687 ; effects of thii, 517 arguments against protection, 475, 476, 501-505, 626-630 movements in favour of protection, 1878 and 1885, 518 smuggling encouraged by protection, 345, 346, 358 working classes, effect of protection on the prosperity of, 47 effects of protection on various industries agriculture, 77, 78 ; boot and shoe trade, 381 ; coffee, 491, 492 ; cotton, 254 ; linen, 254 ; machinery, 249-254 ; silk, 342-348, 353 ; shipping, 505-508 ; timber, 493-496; tin, 226, 276, 277; wool, 253, 323, 324, 333, 334 See Corn Laws Public Health : administration, local, con- trolled by the Local Government Board, 9, 156, 157, 164 ; sanitary administra- tion prior to 1875, 157 areas, local, 157 Board of Health, 156 centralization of control, 156, 157 Chadwick, Edwin, 156 Committee appointed to examine into the sanitary condition of the country, 1868, 157 health districts and boards, creation of, 156 legislation, permissive until the Act of 1875, 157 Local Government Board, central control of Public Health, 9, 156, 157, 164 rural sanitary authorities merged in rnral district councils, 159 urban sanitary authorities merged in urban district councils, 159 Public Health Clauses Act, 1845, 156 Public Health and Social Conditions in the Last Half -Century , by John Burns, 58 Public Schools, abuses in early part of nineteenth century, 137. See under Education. Public Schools Act, 1868, 138 Public Trustee, expenditure, 673 Public Works. See Works Publicans, rate of mortality, 44, 123 Punishment : savagery of, in early nineteenth century, 106 ; theories of, 108 See Crime, Death Penalty, Fines, Penal Servitude, Transportation Quarries, accidents in, 44, 45 Quarter Sessions, 155 Rag trade, 291, 332, 339, 340 Raikes, Robert, founder of Sunday Schools, 132 Railways : accidents. 44, 54 agriculture, effect of construction of rail- ways on, 188, 189 amalgamation of competing lines, 554, 557 canals owned by railway companies, 549, 550, 557 capital, 1850-1909, 552, 553, 555, 700, 701 carriage and wagon building, output and numbers employed, 1907, 256 construction during the first half of the nineteenth century, 551 ; cost of con- struction, 554 development of the English railway system, 1850-1908, 553 dividends paid, 1909, 552 expenditure, 1850-1909, 552, 553, 554, 559 export of railway material, 266 fares, 554 gauge, change of, 551, 553, 554 goods, amount carried and receipts from goods traffic, 551, 552, 553, 556 hotels owned by railway companies, 557 labour, numbers employed, 43, 57, 554 light railways, 557 mileage, 1845, 551 ; 1850-1908, 553 ; 1909. 552, 555, 556 minerals, amount carried, 1908, 556 nationalization of railways, 557 passengers, numbers carried and receipts from passenger traffic, 1845, 551 ; 1850- 1908, 553 ; 1909, 552, 556, 558 receipts, 551, 552, 553, 565, 556, 559 speed of trains, 554 statistics, 1860-1908, 553 ; 1909, 552, 555. 556, 558, 559 steamship lines owned by railway com- panies, 557 wages, 52, 53, 554 weight of trains, 554 Raisins, duty on, revenue derived from, 1842, 625 Rates, equalization of, 162 See under Local Government, Relief Rath bone, Mr., description of English system of Local Government, 157 Rebecca Riots, The, 1843, 547 Reciprocity Acts, The, 1823 and 1824, 507 Redditch, female labour in, 35 Re-exports from United Kingdom, value of, 1850-1902, 518, 520 Reformatory Schools : institution of, 116 ; number of children in, 143 ; proportion of feeble-minded inmates, 130 ; expendi- ture, 1897 and 1907, 673 Registration of Births and Deaths, instituted in 1837, 8 Registration Act, 1836, 2 Reid, Mrs., pioneer of higher education for women, 139 ANALYTICAL INDEX 729 elief: able.bodied, out-relief of, tvils of. 68, 64, 86, 67 ; coadittone under which it may U- gin. 70 admJBietration, badadsmtaBBtnlsoBof relief af distribution of redptenta of relief. 76 aged paupers only recently trotted separately, 78 ; value of out relief as compared with in relief of aged paopers, 75 authorities, constitution of, oadr the Act of 1884, 66 : Central Poor Law Board, the, 94; Local Government Board, Poor Law Department of, 66. Ste also Union, Guardian* children, relief of. 8* under Children co-ordination between various relieving taSt**.*!*. 7; cost of relief, 160, 162, 163 ; cost per head d u ring nineteenth oentary, 63 ; increased cost of during the last thirty yean, 74 ; cost of indoor M compared with outdoor relief, 69 adieal relief, before and after the Act of 1894, 75 ; administration of, 75, 76 ; no longer a civil disqualification, 75 outdoor relief, figure., 1874-1910, 67, 68 unemployment and relief, 68 voluntary relieving agencies, 73 workhouse*, improvement in, 69, 74 ; act as a deterrent to decent bat not to the work-ehy, 69 Set Pauperism, Poor Law BaHgkiB, nr (rearing influence of, 174 Rennie, J. T.. A Son*, shipowners, 643 Kent : agricultural, 1880-1896, 204, 206 geographical distribution and rent, 97 higher in London than for the country an a whole. 97 nt of rent during the nineteenth 169, 171 ; increase from 1880- mil. l'-f '."), '.''.* of development of, Ribbons, imports and exports, 1904 and 1907,293 Kicardo, David, 679 Rice, consumption per head of population, 1840-1907 imports, 1860-1910, 438, 638, 629 sources of supply, 526 Rich: expenditure of, \7'2 ; proportion of national wealth owned by, 168 Rickman, John, supervisor of the first four misuses, 3 Rivet-making, output and number of person- employed. 1907. Roads: in 1860, 547; destruction of. by motors, 648 ; macadam ization of, 647 ; tolls, abolition of, 647, 648 ; turnpike. total length of, in 1829, 189 ; upkeep of, provisions as to, 648 Robinson, Fleming, 4 Co., statistics as to the jute industry, 864 Rogers, Professor Thorold. 47 Rotuilly, Mr., prison reformer, 108 Rope-matinf, : : numbers em- ployed, 1881-1901. 363 ; output, 1907. Ml Royal Sanitary Commission, TV, 1866, 9 Rum, import*. 1841, 466 ; 1860-1906, 467 Rural depopulation. 16, 17, 87, 88, 89, 96, Hi Rural District CoundL AM Oder Local Government Raskin, John, teach* at Workinf Men's BuaeaUL Lord John : restriete death penalty, 107 ; opposes military expenditure. Russia : alkali industry in, 414 cotton industry in, 311 emigration of Russian* to United Kmfdom, 6 export* to United Kingdom butter and eon, 1902, 526 ; flax and hemp, 1902, 628; petroleum, 1902, 536; timber, 1870-19M, 427; 1902, 626; 1899-1909, 436, 488, 626 ; wool, 1844, BJ hemp industry in, 868, 869 imports from United Kingdom British produce and manufactures, 1827-1846, 488-486; alkalis, 414 ; coal, 1906, 223 infant mortality in. 11 sheep, number of, in, 880 ships, British, tonnage of, entering and clearing at Russian ports, 1880-1908, tobacco, consumption of, per bead of "1 ; production of, telephone service in, 666 Rye: production of, in United 1898-1903.488 imports, 1898-1902, 488 Sailcloth-Baking, 868, 371 Sainfoin, acreage under, 2 St. Helena: chemical trades in, 420; plate riM IssiMb] k 8t Paul's School, 188 housing in, 101 ; silk industry in, 347 ; telephone service in. 666 Salt : consumption of , 236 ; duties on, 384 ; .. SH. ^,; Of** Saltpetre, exports, 1896-1909, 419 Sandstone, production of, in United King- .! ::.. M Sanitary Commission. The, 1866, 9 Sanitation. 4w Overcrowding, Pnblir Saumur. imports. 1909, 464 Savings Bank. .W Post Office Scarlet fever, decline of, since 1870, 10 School Attendance Acts, 1898 and 1899, .-> hj i. .<" Hi .:;:. I >., :- i ; ,,- ; .rv QMMimj : ,. ;-/,: :. | Scientific Instruments, output and number of persons employed in the manufacture of, 272 Scotland : agriculture in. 1800-1850. 180. 181 alcohol, consumption of, 122 ; expendi- ture on, 122 ; number of committals for drunkenness, 120 banking, system of, 591, 592 cotton industry in, 306, 313, 318 crime, proportion per 1000 of population committed to prison, 120 education, 141, 147, 149-151, 164, 165 hosiery and lace industry in, 391, 392 housing in, 91, 95, 98 insanity, Lunacy Board, constitution of, 126 ; feeble-minded, treatment of, 131 iron industry in, output of iron and steel, 238, 239, 246 output of iron ore, 243 linen industry in, 356 local government, 164, 165 pauperism in, 83-88 population of, 3, 4 railways in, statistics, 1909, 552 rent, average working class, 98 wool industry in, 336 Scott, A. H., authority on the soap industry, 423 Screw - making, output and number of persons employed, 272 Sea, percentage of the population employed at sea, 38, 39 Seed-crushing factories : output, 1907, 415 ; number of persons employed, 1907, 415 Seedsmen. See Market Gardening Senior, Nassau William, 64 Sex. See Population, constitution of Shale, production in United Kingdom, 236 Shanks, James, pioneer of the chemical trade, 412 Shaw, Savill, & Albion, Messrs., ship- owners, 541 Sheep : number of, 200, 202, 212, 328, 330, 331 ; imports of, 1MO-1909, 441 ; im- provements in breeding of, 329 ; average produce of wool per sheep, 328 Sheffield : cutlery trade in, 273 ; housing in, 101 ; population of, 1800-1850, 269 ; steel industry in, 240, 245 Shipbuilding : design, 261 distribution of the industry, 261 double bottom, introduction of, 260 early history of the industry, 256-258 iron, first use of, 256-258, 259 labour, numbers employed, 43, 256 number and tonnage of ships built in United Kingdom and Colonies, 1801- 1849, 513, 533 ; 1840-1910, 258, 261 steam-power, introduction of, 259, 260 steel, use of, 259 wages, 53, 315 Shipping : coal, use of, for ballast, 224, 522, 531 coasting trade, tonnage employed, 1825- _ 1910, 525 freights, decrease in value of, in early part of the nineteenth century, 508 number and tonnage of ships entering and clearing from British ports, 511- 514, 536 proportion of British to foreign tonnage entering British ports, 510, 511 Shipping, continued proportion of British to American tonnage entering United States ports, 510 number and tonnage of ships registered in United Kingdom and Colonies, 513, 535 number and tonnage of ships built iu United Kingdom and Colonies, 258, 261, 513, 533 number and tonnage of steamships em- ployed in United Kingdom and Colonies, 533) increase in size of ships since 1850, 536, 541 number and nationality of persons em- ployed in shipping, 545 steam-power, introduction of, 532 Navigation Acts, the, system of, 505-508 decrease in value of ships in the early part of the nineteenth century, 508 Shirt-making, home work in, 33 Shopkeeping : female labour in, 34 ; rate of mortality in, 44 Shrewsbury School, 138 Shropshire, production of iron in, 238, 239 Shuttleworth, Sir J. Kay, efforts for popular education, 134 Siam : export of hard wood to United Kingdom, 428 import of British produce and manufac- tures, 1827-1845, 483-486 Siemens, electrical discoveries of, 262, 264 Siemens Brothers, introducers of open hearth process of manufacturing steel, 245 Silk : consumption, 1814-1844, 344 development of the industry, number of factories, 1835, 347; 1870-1907, 350; effect of protective duties on the in- dustry, 342-348 ; decline of the industry since 1861, 41, 42 ; spun silk industry, development of, 350 distribution of the industry, 350 duty on silk, revenue derived from, 1842, 625, 626 ; abolition of, 343, 345, 349, 350 exports, 1820-1850, 437 ; 1850-1910, 292, 351, 353, 530, 531 imports, 1765-1850, 343 ; 1860-1910, 292, 351, 353, 528, 529 labour : number of persons employed, 291, 292, 347, 350 ; child labour, 24, 290, 347 ; proportion of males to females employed, 31, 290, 347 machinery : employment of, 347, 348 ; Jacquard loom, invention of, 344 ; number of power-looms in use, 1835, 288, 289 output, 1907, 291, 292, 352-354 Suez Canal, effect of opening of, on the silk industry, 350 wages, 53 Silver industry, output and number of persons employed, 272 Silver, production of, in United Kingdom, 236 Silver-plate : increase in use of, during the nineteenth century, 279 ; consumption of, 1800-1850, 280-282 exports, 282 Simon, John, "the creator of sanitary science in all its modern aspects," 9 ANAI.YTK AI. IN I 731 Simpson, II. B., Mr., 111> Sinclair, Sir John, compiler of the tUutittital .\eco**t - a ore, 1902, 5* ; -r ore, 19" :.iber, 1870- 1900, 427 ; wine, 1909, 463 ; wool, 1844, 326 imports from Untied Kingdom 1 iT> -luce and manufacture* 483486 ; coal, 1908, 223 ; hat*, 400 : jute manufacture*, 1672, 367 >1'.1I1.. ships, British tonnage of, entering snd .l-.irii^ '. >;:.: ,,l, J.T-- 1880-19W Ml '' tsssltw3M& Mnsjk u:.l,:,try. ."-- r :: | Spirits: consumption, 1800-1850, 464-466; WO-MOOR duty, revenue derived from, 1860-1910, 464,465.468 exports, 1802-1841, 467 ; 1860-1910, 468 imports, 1802-1841, 186, 467 ; 1910, 638 output, 1880-1910, 467 Spitattelda, silk industry in, 360 Staffordshire, iron industry in, 288, 389, 344, 246 ; production of iron ore, 1904, Ji:: Stationery, manufacture and trade, propor- tion of males to females employed in, 30, 31 ; output, 1907, 408 Statistical Abstract for the United Kingdom, 617 Statistical Department, The, establish*! by Edwin Chadwick, 156 f*ati*ical Journal, The, I Statistical methods, improvements in, intro- duced by Drs. Fair and Ogle, 2 Stead, W. T., advocates increased expendi- ture on the navy, 649, 669 Steel: basic process of manufacture, dis- covery of, 246 process, discovery of, 345. development of the industry since 1860, 343 exports, 1800-1850, 241 ; 1860-1910, 680, fuel used in process of manufacture, cost of, 241 imports, 1910, 628 number of persons employed, 1907 open hearth process, discovery of. 245 output, to 1860, 241, 346; 1876-1907, 246,247 Stereotyping, output, 1907, 408 Stocking frame, invented in 1600, 263 Stockton, coal industry in, 215 Btasst-on-TNnt, pottery Wbsstn b M Strawberries, acreage under, 1909, 'Jl 1 Straw-plaiting : child labour in, 24 ; home work in, 33; proportion of males to !.-!: ilr, . !!:].; m '.. .1 XB. Hat trade Strikes, varying effect of, according to Urn Stuart, Jame*, founder of t'niversity Kx- hlMSM M..V,:.,;.;. |4| issj tt, M0j mm** : skfa - : -.. I . Sugar : consumption per bead of population, i^i" r.-r-. :;<> 449, 450, 626; revenue .;'. im^orU?1840-1910, 450, 628, 629 output, 1> prices, 1860-1910, 43Ti, 529 OMi . .; ;. .'.y. Sulphate of ammonia: experts, 1886-1909, [wts, 1895-1909. 419 732 THE PROGRESS OF THE NATION Sulphates, aluminous, imports and exports, 1907, 415 Summary Jurisdiction Acts, 110 Sunday, increasingly a day of recreation, 173 Sunday Schools, founded by Kobert Raikes in 1784, 132 Sunderland, coal industry in, 215 ; ship- building industry in, 26 Sussex, housing in, 96 Swan, W. J., electrical discoveries of, 263 Sweating, 32 Sweden : cotton industry in, 311 exports to United Kingdom cattle, 441 ; timber, 1870-1900, 427 imports of British produce and manu- factures, 1827-1845, 483-486; coal, 1908, 223 ; hats, 400 ships, British, tonnage of, entering and clearing at Swedish ports, 1880-1908, 543 telephone service in, 566 Swedes, acreage under, 1909, 210 Switzerland : cotton industry in, 311 ; ex- ports of cotton manufactures to United Kingdom, 320 ; imports of cotton manu- factures from United Kingdom, 320 exports of condensed milk to United Kingdom, 1902, 525 Sydenham, Lord, reduction in duties effected by, 1830-1840, 481 Taff Vale Railway, statistics, 1909, 559 Tailoring, home work in, 33 ; proportion of males to females employed, 31 Tallow: duty on, revenue derived from, 1842, 625; imports, 1860-1910, 528, 529 ; price, 1853-1907, 423, 424 Tanning industry, raw material, sources of supply, 526 See Hides, Leather Tariff Reform League, The, 520 Tariffs. See Protection Tasmania, exports of fruit to United Kingdom, 453 Taxation : amount imposed during Napo- leonic War, 613 direct, unpopularity of, 612 income tax, first imposition of, 1798, 612 ; repeal of, 1816, 623 ; reimposition of, in 1842, 623 ; movement since 1860, 650,689, 690 ; Gladstone's defence and criticism of, 687 : evidence as to national wealth deducible from, 168 legacy duties, 623, 624, 686, 687, 690 revenue derived from taxation, 1801-1849, 623 Tea: consumption of, 170, 433, 434, 435, 445, 446 ; effect of alteration of duty on consumption, 444, 445 ; effect on con- sumption of beer, 459 duty, 1840-1910, 444, 445, 625 imports, 1840-1910, 450, 528, 529 price, 1905, 435 sources of supply, 525 Teachers' Superannuation Act, 1898, 144 Teaching. See under Education Telegraphs : cable between England and France, 563 ; first Atlantic cable, 563 loss, annual, on telegraphs, 1884-1900, 564, 681 Telegraphs, continued monopoly acquired by Post Office, 563, 564 progress to 1868, 563 proportion of males to females employed in, 31 radio-telegrams, 564 revenue derived from, 1869-1910, 562 Telephone : expenditure, 1894 and 1909, 565 line, length of, 1894 and 1909, 565 lines, number of, 1889 and 1910, 564, 565 monopoly acquired by Post Office, 565 municipal services, 564 National Telephone Company, formation of, 564 numbers employed, 31 ; 1894 and 1909, 565 number of inhabitants per telephone in United Kingdom compared with other countries, 566 receipts, 1894 and 1909, 565 statistics, 1894 and 1909, 565 subscribers, number of, 1894 and 1909, 565 trunk service, acquired by Post Office, 565 ; number of messages, 1897 and 1910, 565 ; rates, 565 Tenement : the unit for housing statistics, 92 one-roomed tenements, decrease in number of, 92 ; rate of mortality in, 94, 95 five-roomed tenements, increase in number of, 92, 94 average number of rooms per tenement in 1901 census, 92, 93. See Housing, Overcrowding Territorial Forces, The, 657, 658 Textile industries : development of, fluctua- tions in prosperity since 1861, 41, 42; decrease in since 1895, 41 home work in, 33 labour, numbers employed, 39, 291 ; child labour in, 24, 25, 27, 28 ; female labour iu, 29, 30, 34 ; statistics of employment. 42 output, 1907, 291 power-looms, number in use, 1835, 288, 289 water-power, use of, 290. See Cotton, Linen, Wool Thames, steam navigation on, in early part of nineteenth century, 534 Thomas, D. A., authority on coal-mining, 221, 222 Thomas, S. G., inventor of open hearth process of making steel, 245 Thompson, R. J., estimate of average rent per acre of agricultural land, 1850-1877. 199 Three Colour Process, The, 411 Timber : duty, protective, on, 493-496 ; revenue derived from, 1842, 625 foreign trade in, to 1850, 493-496 imports, 1800-1910, 526, 528, 529 numbers employed in the industry, 1907, 428 prices, 1892-1902, 428 sources of supply, 1870-1900, 427, 496, 526 Tin : exports, 226 imports, 226, 227, 228, 526 mortality, rate of, in tin-mining, 44 numbers employed in mining and manu- facture, 41, '272 output, 1850-1909, 227, 272 price, 1801-1834, 230 ANALYTICAL INDEX 733 I'm, production in United Kingdom, 1750-1830, 1860-1908, 296 sources of supply, 526 wages, 53 I'm -pi ate trade: development' Met of American tariffs on export*. 276, 277 Tinned foods, incremMd consumption Tobacco: consumption, 1801-184" 1840-1910. 170. 469, 471 duty on, 469, 470 ; revenue derived from, imports, 1880-1908, 536, 628 labour, child labour in, 27 ; percentage of population employed in the tobacco luiumtiy, 89; proportion of males to females employed, 31 print, i8tt-5oV :. BOM : "'H .y- M trusts in the induat r> Tooke, Thomas, drafter of the petition of London merchants to Parliament In favour of free trade, 504 ; author of Hittory qf Prices, 686 Tool-making, output and number of persons employe.!. Town planning : Housing and Town Planning 1909, 102 Garden Cities, 102 Towns, growth of population in. li>, 17, 87, 98,200,202 Trade : female labour employed in, 34 .per- centage of imputation employed in, 36, 36 Trade Unions : standard rate of wages, 46, 47 effect of the concession of the right to form Unions on the prosperity of the working classes, 47 evidence of, as to the prosperity of the king classes, 168, 109 .1 <>f. as to unemployment benefit, fi6, 57, 58 framing-ships for Poor Law boys, 79 Tramways : development, 48 mileage, 1896 and 190-.' number of passtngen carried, 1896 and 1905- receipts, 1896 and 19O der Local Government Transport : development of, in the nineteenth century, 23, 38 ; effect on the movement of re: .<' Kailwavs, Shipping Transport industries : labour unreal in, in the fir*t decade of the twentieth century . causes of this, 60 M labour in percentage of population employed in, 39 Transportation : nntiMt. H u: abolished ; rage number of persons transported per annum. 107 ffect of cheap travel on standard : 171 See Communication Treadmill, abolished in 1896. 114 Trimmer, Mr*., founder of Church Seheoli, 133 Trusts. See Combines Tuberculosis, decline of. since 1870, 10; in- creased bv overcrowding, 94 Tuberculosis Commission, cost of, 680 Turkey: exports to United Kingdom oeeW IV---IS-M. :r.. tni^-o. i:i . wool, 1844, 825 imports of British produce and manu factures, 1827-1845, 488-486 production of tobacco in, 1900-1908, 469 Turnips, acreage under, 1909. Turnpike Trusts, The, 547 Tynemouth, boosing in, 92 Typefounding, output, 1907, 408 Typhus, decline of, since 1869, 10 Umbrella-making, home work in. 88 Unemployed Workmen's Act, 1906, 680 Unemployed Workmen's Act, 1908. 78 Unemployment : especially noticeable in the nineteenth century; reasons for this, 56 ; stability of statistics concerning, 57 ; effect of poor relief on, 68, 69 ; efleet of rapid change of fashion on, 172; unemployment as a cause of crime, 120 I'nion, The, unit of Poor Law administration under the Act of 1834, 66 Union Castle Line, The, 548 Unions. .%* Trade Unions United Alkali Company, The, 416, 420 United Indigo Company, The, 4_'l United States, alkali industry in, 414 cotton industry in, 31 1 emigration from United Kingdom to, 6, 6 exports to United Kingdom bacon, 441 ; beef, 1908, 442 ; cattle, 1870-1900, 440, 441 ; 1902, 625 ; cheese, 1907. 535 ; copper, 1902, 626: cotton, 1800-1910, 307-311, 320, 626; fish, 1902, 525; fruit, 1902, 525 ; hides, 1906-1910, 874, 375; meat, 441 1902, 628; timber, 1870-1900, 427; 1902, Of; tobacco, 471, 626; wheat, 1840-1909, 194, 196, 486, 487, 625 hemp, production of, in United n| < imports from United Kingdom British ;>r-!u in: ::ii:.-:f.a -Tur-i. MM846, 479, 480, 483-486 : alkalis, 414 ; boots and shoes, 1905-1908, 880, 881 ; ones and copper manufactures, 278: haU, 400; cotton manufacture*, 890; 895; jute manufacture., 1873, 867; Inrr Iff! lm,n EMM, !M-I. 8J7j 5 noisj im-ia* M7, Ntj ...-):. nmksj . f. -;] diii*. British, tonnage of, entering and KfjM *: rnit,-d s:at, ptl IMt tariff* in, M9. 6 : aati proteetMBiet ntofsmeut in, 690; proposals for reciprocity with Oana.la. :.20 telephone service in, 566 tobacco, prodnetion of, 1900-1908, 449: consumption per head of population, Universities: growth of Universities in thr nineteen- 148 University Extension movement. 148, 149 734 THE PROGRESS OF THE NATION Universities, continued diffusion of University education in Scotland, 148 University education of women, 139 Urban District Council. See under Local Government Vaccination, effect of, on death-rate, 9 Vagrancy : increase of, 81, 83, 120 distribution of, 83 discharged soldiers as vagrants, 83 vagrants in prisons, 83, 114 Van Diemen's Land, transportation to, 108 Varnish : exports, 1870-1909, 417, 418 output, 1907, 415 number of persons employed in the manufacture of, 1907, 415 Veal. See Beef Vegetables, sources of supply, 525 Velvet, manufacture of, 339, 340 ; output, 1907, 291 ; number of persons employed, 1907, 291 Venezuela, export of cotton to United Kingdom, 309 Vestries, as unit of Poor Law administration. abolished by Act of 1834, 66 Victoria, adopts protectionist tariff, 518 Volta, electrical discoveries of, 262 Wages : importance of study of real wages as a test of national prosperity, 46 statistical material for study of, 46, 47 allowances in kind, 49 ; grants in aid, 47, 63 fluctuations in industrial wages caused by changes in the methods of production, 49 movement of wages in the nineteenth century, 47, 48, 51-53, 169, 170, 315 See under the various industries Wales, iron and steel industries in, 238, 239, 244, 246 ; rent in, 97 Walford, Cornelius, author of A History of Life Assurance in the United Kingdom, 608 Wallace Collection, cost of, 1907, 67o Water supply, percentage of population employed, 39 ; average wages, 53 See under Local Government Wealth : increase of national wealth during nineteenth century, 58, 167, 703 ; estimate of national income, 167, 703, 704 ; amount of property passing at death, 1910, 704 ; general diffusion of wealth, 167 ; growth of small incomes, 167, 168 ; measurement of increase of national capital, 694, 695 Wedgwood, Josiah, 286 West Indies : exports to United Kingdom- cotton, 309 ; cocoa, 1902, 525 ; fruit, 453 imports from United Kingdom British produce and manufactures, 1827-1850, 479 480, 483, 486; silk manufactures, 1830-1850, 347, 348 Westminster School, 138 Wheat : acreage under wheat, 202, 204, 209, 210, 438 ; decrease in cultivation of wheat in favour of oats and fruit, 206 consumption per head of population, 1800-1850, 177, 178; 1850-1907, 170, 433, 436, 529 Wheat, continued duties on, revenue derived from, 1842, 625 ; during the Boer War, 690 imports, 1800-1850, 176, 182, 183 ; 1860- 1910, 194, 436, 437, 438, 525, 528, 529 prices, 1800-1850, 181, 183; 1850-1908, 195-197, 203, 438 production in United Kingdom, 1800-1850, 175-178 ; 1874-1879, 201 ; 1909, 437 sources of supply, 436, 525 ; extension of area of supply, 437, 438 Wheatstone, electrical discoveries of, 262 White, Miss, applies in 1856 for a medical diploma at London University, 139 White Star Line, The, 541, 542 ' Widnes, chemical trades in, 420 Wilberforce, Mr., prison reformer, 109 Wills, W. D. & H. 0. Ltd., tobacco manu- facturers, 472 Winchester College, 138 Wine : consumption, 1801-1840, 461 ; 1860- 1910, 170, 463 duties on, 1801-1841, 462 ; revenue derived from, 1842, 625 duties, 1850-1910, 464 imports, 1850-1910, 463, 528 Wine and Beerhouse Act, 1869, 458 Wire, manufacture of, output and number of persons employed, 272 exports, 1890-1910, 277 Women : alcohol, consumption of. by women, 123, 124, 173 labour, 28-35 ; occupations in which the number of females employed exceeds that of males, 30 ; restrictions on labour of women, 24 ; effect of female labour on unemployment, 56 ; does not compete with male labour, 29, 30 ; employment of married women, 34, 35. See also under the various industries Wood. See Timber Wood, G. H., author of History of Wages in tlie Cotton Trade duriny the Past Hundred Years, 312, 314 Wool : Boer War, effect of, on wool industry, 334 Civil War in America, effect of, 333 consumption, 1800-1828, 328; 1850-1902. 333 cross-bred wool, production of, 330 distribution of the industry, 331, 332 duty on, revenue derived from, 1842, 62f>, 626 ; effect of the repeal of the Corn Laws on the industry, 323, 333 exports of wool manufactures, 1815-1845, 324-326 ; 1850-1910, 333-338, 530, 531 ; woollen hosiery, 1904-1910, 396 Franco-German War : effect of, on the industry, 333 imports, 1800-1850, 327, 329; 1850-1910. 333, 337, 338, 526, 528, 529 labour, numbers employed, 1839, 327 ; 1870-1907, 291, 336, 337 ; child labour, 290, 327 ; female labour, 31, 290, 3:>7. 336, 337 ; improvement in conditions of labour since 1850, 333 ; statistics, 42 merino wool, production of, 330 output of manufactured woollen goods, 1907, 290, 338, 339 prices, 1800-1850, 324; 1860-1910, 204. 529 ANALYTICAL IVDF.X 735 Wool ffnfMittrf production in United Kingdom, 1800-1828, 834 : 1-:'-' I'.* 1 -- 1 3-v' ; .n.rv:.' ; |d ' per fleece, 828; merino and cross bred wool, production of, 880 progress of the industry, early history. 838; number of power-looms in use, \m m M . Ian 1804, m, m\ number of mills at work, 1889, 827; 1904, 885, 386; steam-power, introduction of, SSI ; change in con- ditions after I860. 334 ; fluctuation* in the prosperity of the industry during ';.. ninr!. ,.,:>. HBtBT. IM * I rM| - > , . - n . S^nSJjTJ - wages, 51. 53, Sl5 water-power, use of. 888 Workhouses : number of inmates. 22 ; schools, 79 vlw Pauperism, Relief Working classes: alcohol, expenditure on, 173 amusements of, 172. condition* of, during the Napoleonic War, condition of (historical summary), 47 discontent among, in first decade of twentieth century ; economic causes of expenditure of. 170, 171 food, weekly consumption of various commodities, 436; rue in standard of Working classes, m*n*rf- eoasnmpUon in latter half of nineteenth century, 485 ; expenditure on food, 435, i '*> harrest. effect of a good harvest on the prosperity of the working class is, 53, 54 I us::./. iiiiji-' 'Vi :;!!. ;::, .. prosperity of, summary of fluctuations in/55, 56, 168 Set also Housing. Overcrowding Working day. shortening of, 56 ; in cotton trade, 302. 304, 314 Works, public : expenditure, 1897 and 1907. Workshops, inspection and regulation of, 26 Worsted. See Wool Wyndham Act (Ireland), 1903, 199 Yarn. Sft Wool Yorkshire: child labour in, 228; in. 96 ; iron industry in, 288. f46 ; average rent in, 97 ; shif in, 43; wool industry in, 329, 3 ''/! Yorkshire Dyeware and Chemical Company. The, 421 Young, Arthur, 47 Zinc: production of, in United Kingdom, 283 ; exports. 233 ; imports. 288 ; price, 988; output and number of employed, 272 Printed by MORRISON & GIBB LIMITED Edinburgh University of California SOUTHERN REGIONAL LIBRARY FACILITY 405 Hilgard Avenue, Los Angeles, CA 90024-1388 Return this material to the library from which it was borrowed. *^*" ""w* OT MB A 000 537 884 9 ..**