[Sidenote: A Constitutional Problem.] Ministerialists were very indignant; the House of Lords had violated the Constitution; they had refused to sanction the repeal of a tax ordered by the House of Commons, and thereby infringed the privileges of that Chamber. The next step would be that the Lords would claim the right of imposing taxation--the cherished monopoly of the House of Commons. It was certainly an awkward question, but Palmerston was equal to the occasion. He averted a popular storm by moving for a Select Committee to examine and report on the degree, if any, in which the Lords had exceeded their powers. The Committee sat for two months, and reported that no breach of privilege was involved in the refusal of the Lords to ratify the repeal of a tax. It was not the re-imposition of a tax, for, although the Lords have no power to impose taxation, a tax can neither be repealed or imposed without the concurrence of both Houses. In the end the difficulty was got over by Palmerston, who moved certain resolutions affirming the exclusive right of the House of Commons to impose or remit taxation. [Illustration: _Commander A. T. Thrupp._} {_From Sketches made on the spot._ ATTACK ON FORTS ON THE PEI-HO RIVER, May 20, 1858. The Chinese had completed batteries and earthworks armed with eighty-seven guns, and had obstructed the river with junks chained together. The British and French squadrons forced a passage, and the Plenipotentiaries (Lord Elgin and Baron de Gros) proceeded to Tien-tsin and opened negotiations. The Treaty then obtained was to be ratified at Pekin within twelve months; but the Plenipotentiaries appointed in accordance with this clause met, in June 1859, a still more determined resistance.] [Illustration: HONGKONG AND ITS HARBOUR. Hongkong is the principal centre of British trade with China. Ceded to Great Britain 1842.] [Sidenote: War with China.]