barometer of revenue; when corn was dear, revenue failed; when corn was cheap, revenue flourished. (He specified certain periods in which these occurrences had coincided.) He was for free trade, not in corn alone, but in all things else; and if the protection on corn were destroyed, the protection on all things else would break down with it. There was nothing impracticable or revolutionary in that general abolition; it extended only to duties imposed for the sake of protection; and the total amount of such duties was but about 2,500,000l. Equalize your colonial duties, and that entire loss would be at once compensated. He knew that his opponents had the constituencies with them; but the opinions of those constituencies would not stand, because their basis was rotten. The Treasury bench had evaded the subject. Lord Stanley had never met it; and he challenged that noble lord now to satisfy the Lancashire manufacturers of the justice of protection. Sir R. Peel observed, that the performance of to-night had been for the benefit of the company which usually performed at Coventgarden Theatre; and he hoped the thinness of their front benches (that upon the floor, usually occupied by the Whig leaders, having been for a long time wholly vacant,) had not been owing to the part taken by the leading performers at his own benefit (alluding to the Sugar-duties). He was glad to find Mr. Cobden disapprove the practice of calling names and imputing motives; sometimes those who most indulged in such habits against others, were sorest at any retaliation upon themselves. He believed the violence of their language had had no small effect in bringing upon them the disapprobation of the tenant farmers, whom at one time they flattered themselves they were to have for their allies. Mr. Cobden had treated the discussion as a debate upon the whole system of protection. But if that was the intent, why was not that the notice of motion? He avowed himself an advocate for protection to agriculture, on which were imposed peculiar burdens, as in the instance of the poor rate, and likewise peculiar restrictions. He did not justify protection for the sake of the landlords, but from a conviction of the evils which the sudden removal of all protection would inflict upon our general interests, domestic and colonial. He looked to those general interests; he looked especially to Ireland, of which agriculture was the great staple. He could not deal with these subjects by mere abstract rules: the free-trade doctrines were no doubt mathematically true; the labourer in Kerry or Galway might go and seek employ in Manchester; but, practically, that mathematical proof was a fallacy; and therefore, from a regard to all interests, and not to those of certain classes alone, he would give his unqualified opposition to this motion. mean to shrink from the question of modification. As he had said before, so he said still, that the Government had not contemplated, and did not now contemplate, any change in that Cornlaw which was settled two years since. He criticised Lord John Russell's course in declining to vote. He did not As to the course of the Government, he thought that if the principle of protection was ad mitted at all, as it was now by Lord John Russell's own suggestion of a fixed duty, it was better to leave the law as it stood, than to unsettle it with small alterations. He was convinced that the present law worked better than a fixed duty of 8s. would do. It was remarkable how little had been advanced in this debate against the present law, after a trial of two years; and he proceeded to show by a variety of tests the successful working of it, and the total defeat of all the adverse predictions respecting its effects. Lord Howick had said, it was the poor man's right that for a fair day's work there should be a fair day's wages; but it was impossible that this or any other legislature should guarantee the existence at all times of that desirable state of things; and to hold out the hope of it would only be to generate disappointment and displeasure. Lord Howick explained. Mr. E. Ellice declared himself prepared to vote for the Committee. It was impossible you could long continue to force from the artisan the payment of onethird more for the first necessaries of life than he paid in any other country. Mr. Borthwick delivered a few sentences, amid much interruption. Mr. Bright observed, that the landed classes were not the only ones which paid poor rate. He went on repeating the ordinary objections against a Corn-law, until the impatience of the House obliged him to desist. Colonel Sibthorp said a few words; after which Mr. Villiers rose. He said that there was nothing for him to reply to, since nobody had dared to controvert his arguments. Sir R. Peel had just made a speech with which the agriculturists were much pleased; but he had made the same sort of speech for them in 1839, and had thrown them overboard afterwards, because the state of the season and the distress of the people had made it indispensable to give some relief to the country. The same thing would happen again. The House divided— For Mr. Villiers's motion, 124; against it, 328: majority against it, 204. CHAPTER VII. FINANCE.-The Chancellor of the Exchequer proposes a Plan for the Reduction of the Three and a Half Per Cents-It is very favourably received in the House of Commons-Remarks of Mr. F. Baring, Sir J. R. Reid, Sir J. Easthope, Mr. Warburton, and other Members-The Bill passes through the two Houses with little discussion. THE BUDGET. -Statement of the Chancellor of the Exchequer-Favourable retrospect of Finance for the past year-Remission of Taxation proposed on several Articles—Observations on Sugar Duties—Mr. F. Baring enters into a criticism of the Plan proposed-Condemns the intended Arrangement of the Sugar Duties-Mr. Hume and Mr. W. Williams demand a Reduction of the Estimates-Observations of Sir Robert Peel-He vindicates the Financial Policy of the Government—Remarks of Mr. Labouchere, Mr. P. Stewart, Lord Stanley, Lord John Russell, and other Members-Debate on the Customs' Duties Bill-Mr. Ewart proposes to equalize Duties on Coffee-The Amendment is rejected. SUGAR DUTIES Bill.-Speech of Mr. Goulburn on proposing the Government Plan on the 3rd of June-Lord John Russell moves an Amendment— He is answered by Mr. Gladstone-Speeches of Mr. Labouchere, Mr. P. M. Stewart, Mr. Hume, Mr. T. Baring, and Dr. Bowring-Lord John Russell's Amendment is negatived by a majority of 69—Another Amendment on the Bill is proposed by Mr. P. Miles on the 14th of June, for the purpose of giving increased Protection to Colonial Produce-It is seconded by Mr. H. Baillie-After a protracted discussion Mr. Miles's Amendment is carried against the Ministers by a majority of 241 to 221-Apprehensions occasioned by the Ministerial Defeat— Sir R. Peel, on the 17th of June, explains the course proposed to be pursued by the Government, and calls on the House to reconsider their decision-Speeches of Lord John Russell, Mr. P. Miles, Mr. Labouchere, Mr. Disraeli, Sir H. Douglas, Lord Sandon, Mr. Sheil, Lord Howick, Lord Stanley, Lord Palmerston, and Mr. Roebuck-On a division, the Government are in a majority of 255 to 233-Debates in Committee on the Bill-Mr. T. Duncombe taunts Sir R. Peel with his conduct to his own supporters—Sir R. Peel vindicates the course pursued by him-The Bill passes through Committee-Debate on the Third Reading in the House of Lords-The Earl of Dalhousie explains the Arguments for the Bill-Lord Monteagle and the Marquess of Lansdowne state Objections-Lord Brougham argues in support of the Measure-Remarks of Earl St. Vincent, the Earl of Radnor, and Lord Ashburton―The Bill is read a third time, and passed. HE high price, which in consequence of the great abundance of capital, the public securi ties had lately attained in the market, had given rise to a general impression that the time had now arrived when a considerable saving might be effected to the country by a reduction in those stocks which bore the highest rate of interest. It was, therefore, no surprise to the public to learn, early in the present session, that a plan was in the contemplation of Government for reducing the 3 per Cent. Consols, which at the commencement of the year 1844 had reached the price of 102. The particular mode by which this change was to be effected was of course a matter of much anxiety to a large class of the community, and the development of the Ministerial scheme was anticipated with considerable interest. On the 8th of March the views of the Government respecting the future mode of dealing with these funds, were explained by Mr. Goulburn in a lucid and able speech. The measure, he said, which he was about to propose, would tend to raise the character and the power of this country by exhibiting the extent of her resources and the constancy of her public faith. He was about to ask the House to deal with the largest sum for which any Government had been called on to propose a regulation, being no less than 250,000,000l. of money. There had long been a general opinion that the time was approaching when it would be the duty of the Government to reduce the interest on this stock. was there a period when capital seeking investment was so plentiful, and the rate of interest so low, as at present; and there was nothing in the circumstances of the times which gave any reason to expect that this state of things Never ject; for, thanks to the firmness of the House of Commons, the revenue now once more exceeded the expenditure. He specified the successive creations and amounts of the different stocks bearing 3 per cent. interest, and noticed the past reduction in them. He had not thought it right, though these stocks had been separately constituted, to deal with them separately; but proposed to treat them all upon one level, except the stock constituted in 1818, which had been accompanied at its birth with some peculiar protections. On different occasions, when redemptions had been proposed, different inducements had been held out to stockholders, each of which had its advantages. His duty was as agent for the public, the debtors, to obtain the best terms which could be had for them consistently with justice to the creditor. He was not disposed to purchase an immediate relief by increasing the burdens of succeeding times. He had, therefore, rejected the idea of lowering the present interest by augmenting the capital of the debt; and his intention was to propose the conversion of the 31 into a 34 per cent. stock, which should continue till October, 1854, after which period the interest should be reduced to 3 per cent.; with a guarantee that, for twenty years from 1854, there should be no further reduction. Having stated the period which should be allowed for signifying dissent, he observed that by this measure the public, from October 1844 to 1854, would save 625,000l. per annum ; which saving, from and after 1854, would become 1,250,000l. per would soon pass away. The con- annum. He proposed also to dition of the public finances, too, make such arrangements, that was favourable to the proposed ob- from next October the payments of interest would be nearly equalized in each quarter. He concluded his statement, amid repeated cheers from both sides of the House, by moving a resolution which embodied the proposals of his speech. Mr. Francis Baring considered this a very honest scheme, seeing that the Chancellor of the Exchequer was of course under strong temptation to have taken a greater present benefit at the price of future burden. The avoidance of any increase to the National Debt was undoubtedly a great public advantage: the gradual reduction by a quarter per cent. for ten years was well calculated for breaking the fall to the stockholder. He had risen chiefly to express his satisfaction at the plan; but he must also add his belief that this proceeding, so worthy of our own country, would be to other states a useful lesson, that good faith to the public creditor was not only an honourable but even an economical policy. Sir J. R. Reid rejoiced that the passing cloud" was gone, and that the star of hope now pointed to prosperity. Mr. P. Stewart observed, that the state of the money market, which enabled the Government to make this operation, was not a good sign of the times, arising, as it did, from the low value of money and the flat state of foreign trade. Sir J. Easthope was highly gratified by this plan, the fairness and simplicity of which he would applaud without reference to party feeling; and he believed it would meet with that general acceptance which it so well deserved. Mr. Williams gave the Chancellor of the Exchequer some ad vice about the interest of Exchequer-bills. Mr. Alderman Thompson bore testimony to the merit of Mr. Goulburn's plan. Mr. Hawes concurred, and assured the Government, that when they acted upon principles so sound they would never have to encounter any opposition. Mr. Warburton begged it might not be forgotten that the opportunity of performing this operation had arisen out of what was in itself an evil-the low rate of profit. Mr. Blewitt hoped the Government were prepared to pay off the dissentients, who might be found more numerous than the Chancellor of the Exchequer seemed to expect. After a few words from Mr. Ricardo, Mr. Goulburn expressed his strong feeling of the kindness which had been shown him, and his conviction that the unanimity evinced by the House would have the best effect in facilitating the measure. The resolution was then put and carried unanimously. The Bill brought in to give effect to the resolution thus carried, passed rapidly through its stages in the House of Commons, and being carried up to the House of Lords, was read a second time and committed unanimously. On the 18th of March Lord Brougham and Lord Monteagle in particular, expressed great satisfaction at the measure. The latter noble lord, however, wished that ampler notice had been given to the stockholders. And he expressed a hope that the opportunity afforded by this saving would be taken advantage of to abrogate the Income-tax at the |