In another letter he says: 'Gladstone made a fair defence of the Treaty, though there are things in it which deserve the severest criticism and will get it, such as tying ourselves down about the exportation of coal (which is a munition of war), letting in French silks free while ours are to pay thirty per cent., and establishing a differential duty of nearly fifty per cent. in favour of light French wines against the stronger wines of Spain and Portugal, for that will be the operation of the Treaty.' Since all this was written there has been a meeting of the Conservative party, and I hear this morning that Derby has decided to take the field with all his forces with a Resolution against the condition about the exportation of coal, and confining himself to that, which will very likely be carried. On the other hand, the publicans and licensed victuallers appear to be in arms against that part of the Budget which more immediately interests them, and are waging a fierce war in the Press by their paper, the 'Morning Advertiser,' so that in spite of his great triumph and all the admiration his eloquence and skill elicited, it is not all sunshine and plain sailing with his measures. Delane writes to me that Gladstone will find it hard work to get his Budget through, that Peel when he brought forward his Budget had a majority of ninety, all of which he required to do it, whereas Palmerston cannot command a majority of nine. _London, February 22nd._--I returned to town on Monday. The same night a battle took place in the House of Commons, in which Gladstone signally defeated Disraeli, and Government got so good a majority that it looks like the harbinger of complete success for their Treaty and their Budget. Everybody agrees that nothing could be more brilliant and complete than Gladstone's triumph, which did not seem to be matter of much grief to many of the Conservative party, for I hear that however they may still act together on a great field-day, the hatred and distrust of Disraeli is greater than ever in the Conservative ranks, and Derby himself, when he heard how his colleague had been demolished, did not seem to care much about it. They say that he betrays in the House of Commons a sort of consciousness of his inferiority to Gladstone, and of fear of encountering him in debate.