All this poster business was very expensive. We spent till we were exhausted; we swamped the Budget Protest League in paste. But, however much money we spent, we got more money. We only had to send across to Downing Street. Mr. Lloyd George seemed to have the key to the treasures of Golconda. He had the amazing gift of being able to persuade millionaires to subscribe in order to be taxed. The Liberal Cabinet, as a whole, refused to believe that the Lords would throw out the Budget; and it was steadily set about through the summer of 1909 that Mr. Balfour and Lord Lansdowne were in favour of passing it. But Mr. Lloyd George persisted in believing the contrary. “They will throw it out all right!” he would always say cheerfully enough; and the only shadow that would pass over his face would come when some one would half convince him to the contrary. I believe that up to September there was some real doubt. But then the Tariff Reform League came into the fight; the first flush of the Budget popularity seemed to pass; our street-corner orators were met by rivals—often hired Socialists; and the “Die-hards” grew more powerful. The Lords determined to face the great risk. They threw out the Budget in November; Mr. Asquith was forced to dissolve; and in January 1910 came the General Election. The Lords nearly won. The Liberals emerged with a diminished majority of 124 as compared with the 1906 majority of 354, meaning a loss of 115 seats, and a turn-over of 230 votes. For a moment this fall in the majority shook the constancy even of that strong Cabinet. There was talk of resignation. Even Mr. Lloyd George was bitten for a moment by the idea of substituting House of Lords Reform for the policy of the Parliament Bill. In a few weeks they steadied. They found that if they were disappointed, the other side were more so. The Lords had staked all; the Tariff Reformers had assured a win. The Opposition was as much “down” as the Government. It was fated that a tragic event should give sudden pause to this rending strife. Just when the first shadow of civil war was falling across the nation, on May 6th, 1910, King Edward died. The presence of death brought a calmer mood; men saw realities for a moment, and shrank from the edge of the abyss. They were like travellers from whose path the mist suddenly clears, and lo! they find themselves stumbling along the edge of a precipice. Mr. Lloyd George made a suggestion to the new King which was taken up and resulted in the remarkable conference of party leaders which lasted from June to November 1910. It was a pause of halcyon calm in the midst of storm.