Lord Palmerston was certain we should have had war on the Trent affair, but Lord Lyons was outwitted by Lincoln. We should have had the war then as we intended, and given decisive aid to the South. But we are aiding them now to equip cruisers to destroy American commerce, and furnishing them arms and munitions of war. They have very little money or credit, but our Government has a large secret service fund, and our capitalists and aristocracy are contributing quietly and liberally. It is done by way of _insurance_, at large rates, on privateers and cargoes. Confederate bonds are deposited by Mr. Mason, the Minister of the South, to cover all risks. Some time since I converted all my U. S. stock into Confederate bonds, which I shall continue to hold, and have invested £50,000 in this insurance operation, which may pay well. How we all have wished that Columbus had never discovered America, or that the continent could be submerged; but all will be made right by the success of the South. Mr. Mason, the Confederate Minister, assures me, that the South would much rather be ruled by England than by the North; that the South are ready for monarchy and aristocracy; that slavery and aristocracy are kindred principles; and that the _elite_ (like the F. F. V.'s) of their slaveholders, would make a splendid nobility. It is his opinion that the South must have a State religion and proscribe all others. Slavery then, he says, would be their corner stone in Church and State, and the first article of their creed would be--_slavery is a divine institution_. He quoted largely from the Old and New Testaments--from Moses and St. Paul, to prove the divinity of slavery, and said the sermon on the Mount had been mistranslated. His argument is cogent to prove that monarchy and aristocracy should favor slavery as the best means of keeping down, the working classes, now clamoring in England for the right of suffrage. This doctrine will soon be broached in Parliament, and finds great favor in Exeter hall, where a statue will be erected in honor of Jefferson Davis, _the man who saved England by destroying America!_ If my friend Mrs. Harriet Beecher Stowe would write a great novel in favor of Slavery, we would make her a Duchess; and if Mr. Kirke, instead of such stories as _Among the Pines_, would give us the Bible view of Slavery, and reconcile whipping and branding slaves to the doctrine 'do unto others,' &e., he should be made an Earl. We are anxiously awaiting in England the grand movement which that great and good man ex-President Buchanan will soon make in favor of the South. England wishes Peace Commissioners to settle this question, and Mr. Buchanan to be one of them, on the part of the North, and that truly honest man, Gov. Floyd, another, on the part of the South--although my own choice would be Wigfall! * * * * *