Henry VIII. resolves to establish a permanent Royal Navy—Derives his first supply of men from English fishermen—Royal fleet equipped and despatched from Portsmouth—Its first engagement—Increase of the French fleets—Extraordinary exertions of the English to meet the emergency—The rapidity with which they supplied men and vessels—Outfit of the ships—The _Great Harry_—Number and strength of the fleet at the death of Henry VIII., 28 Jan., 1547—The _Great Michael_—Trade monopolies—Mode of conducting business—Mistaken laws—The Bridport petition—Chartered companies—Prices regulated by law, and employment provided—The petition of the weavers—State of the currency, A.D. 1549—Its depreciation—Corruption of the government—Recommendation of W. Lane to Sir W. Cecil, who acts upon it, A.D. 1551, August—The corruption of the council extends to the merchants—Accession of Elizabeth, A.D. 1558—War with Spain—Temporary peace with France, soon followed by another war—Demand for letters of marque—Number of the Royal fleet, A.D. 1559—The desperate character of the privateers—Conduct of the Spaniards—Daring exploits and cruelty of Lord Thomas Cobham, and of other privateers or marauders—Piratical cruises of the mayor of Dover—Prompt retaliation of the king of Spain—Reply of Elizabeth—Elizabeth attempts to suppress piracy, 29th Sept., 1564—Her efforts fail, but are renewed with increased vigour, though in vain—Opening of the African slave-trade—Character of its promoters—John Hawkins’ daring expedition—Fresh expeditions sanctioned by Elizabeth and her councillors—Cartel and Hawkins—They differ and separate, 1565—Hawkins reaches the West Indies with four hundred slaves, whom he sells to much advantage, and sails for England—Fresh expeditions, 1556—They extend their operations, 1568—The third expedition of Sir John Hawkins departs, October 1567, and secures extraordinary gains—Attacked by a Spanish fleet and severely injured—Reaches England in distress—Prevails on the Queen to make reprisals—Questionable conduct of Elizabeth—Vigorous action of the Spanish ambassador—Prompt retaliation—Injury to English trade less than might have been supposed—Hatred of the Catholics—Increase of the privateers, 1570—Their desperate acts, 1572 CHAPTER IV. Pages 141-181