History of the English People, Volume VII: The Revolution, 1683-1760; Modern England, 1760-1767Green, John Richard
History
History of the English People, Volume VII: The Revolution, 1683-1760; Modern England, 1760-1767
Green, John Richard
Great Britain -- History
Only once did Walpole break this tranquillity by an attempt at a great
measure of statesmanship; and the result of his attempt proved how wise
was the inactivity of his general policy. No tax had from the first
moment of its introduction been more unpopular than the Excise. Its
origin was due to Pym and the Long Parliament, who imposed duties on
beer, cyder, and perry, which at the Restoration produced an annual
income of more than six hundred thousand pounds. The war with France at
the Revolution brought with it the imposition of a malt-tax and
additional duties on spirits, wine, tobacco, and other articles. So
great had been the increase in the public wealth that the return from
the Excise amounted at the death of George the First to nearly two
millions and a half a year. But its unpopularity remained unabated, and
even philosophers like Locke contended that the whole public revenue
should be drawn from direct taxes upon the land. Walpole, on the other
hand, saw in the growth of indirect taxation a means of winning over the
country gentry to the new dynasty of the Revolution by freeing the land
from all burdens whatever. He saw too a means of diminishing the loss
suffered by the revenue from the Customs through smuggling and fraud.
These losses were immense; that on tobacco alone amounted to a third of
the whole duty. In 1733 therefore he introduced an Excise Bill, which
met this evil by the establishment of bonded warehouses, and by the
collection of the duties from the inland dealers in the form of Excise
and not of Customs. The first measure would have made London a free
port, and doubled English trade. The second would have so largely
increased the revenue, without any loss to the consumer, as to enable
Walpole to repeal the land-tax. In the case of tea and coffee alone, the
change in the mode of levying the duty was estimated to bring in an
additional hundred thousand pounds a year. The necessaries of life and
the raw materials of manufacture were in Walpole's plan to remain
absolutely untaxed. The scheme was in effect an anticipation of the
principles which have guided English finance since the triumph of free
trade, and every part of it has now been carried into effect. But in
1733 Walpole stood ahead of his time. The violence of his opponents was
hacked by an outburst of popular prejudice; riots almost grew into
revolt; and in spite of the Queen's wish to put down resistance by
force, Walpole withdrew the bill. "I will not be the Minister," he said
with noble self-command, "to enforce taxes at the expense of blood."
[Sidenote: The Patriots.]
Public-domain text, read in full here on John Shaqi.
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