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On the 1st of September the British commander made a formal demand for the surrender of the fleet. The Danish General requested time to communicate this demand to the Crown Prince, but the vicinity of the French would not permit this, and the next day, the land batteries on one side, and our bomb-vessels on the other, began to fling shells into the town. The wooden buildings were soon in flames, but the Danes replied with their accustomed bravery to our fire, and the conflict became terrible. The bombardment of the British continued without cessation all day and all night till the morning of the 3rd. It was then stopped for an interval, to give an opportunity for a proposal of surrender; but, none coming, the bombardment was renewed with terrible fury. In all directions the city was in a blaze; the steeple of the chief church, which was of wood, was a column of fire, and in this condition was knocked to pieces by the tempest of shot and shells, its fragments being scattered, as the means of fresh ignition, far around. A huge timber-yard taking fire added greatly to the conflagration. The fire-engines, which the Danes had plied bravely, were all knocked to pieces, and, to prevent the utter destruction of the city, on the evening of the 5th the Danish governor issued a flag of truce, and requested an armistice of twenty-four hours. Lord Cathcart replied that, in the circumstances, no delay could be permitted, and that therefore no armistice could take place, except accompanied by the surrender of the fleet. This was then complied with, and Sir Arthur Wellesley, Sir Home Popham, and Lieutenant-Colonel George Murray went on shore to settle the terms of the capitulation. This was completed by the morning of the 7th, signed, and ratified. The British were to be put at once in possession of the citadel and all the ships and maritime stores, and, within six weeks, or as much earlier as possible, they were to remove these and evacuate the citadel and the isle of Zealand. All other property was to be respected, and everything done in order and harmony; prisoners were to be mutually exchanged, and Britons seized in consequence of the proclamation to be restored. The whole of these measures were completed within the time specified, and seventeen ships of the line, eleven frigates, and twenty-five gunboats became the prize of the British.

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When Washington arrived at Boston, on the 15th of June, he found the English army augmented to ten thousand by fresh forces, under Generals Burgoyne, William Howe, the brother of Lord Howe, and Henry Clinton. The American troops consisted of twenty thousand militia and volunteers, still in a most confused condition, extended over a line of twenty miles in length, that only required an attack of five thousand men, led by a general of courage and ability, to be thoroughly beaten. They were, moreover, greatly deficient in powder and other necessaries. But the English generals lay as if there were no urgent need of action. Had a sudden movement on the Neck been made from Boston, five hundred men could have broken and dispersed the Americans nearest to that position before the other ill-trained troops, some of them at great distances, could have come up; and they might have been easily defeated in detail by the simultaneous efforts of four spirited generals and ten thousand efficient soldiers. But lethargy seemed to have seized on Gage, and to have also infected his coadjutors.On the 21st of March a Committee which had been appointed early in the Session to inquire into the public income and expenditure, and to suggest what might in future be calculated on as the clear revenue, presented its report through Mr. Grenville, their chairman. On the 29th, Pitt, in a Committee of the whole House, entered upon the subject, and detailed the particulars of a plan to diminish progressively and steadily the further debt. It appeared from the report of the select Committee that there was, at present, a clear surplus revenue of nine hundred thousand pounds sterling, and that this surplus could, without any great additional burthen to the public, be made a million per annum. This he declared to be an unexpected state of financial vigour after so long and unfortunate a war. The plan which he proposed was to pay two hundred and fifty thousand pounds quarterly into the hands of Commissioners appointed for the purpose to purchase stock to that amount, which was under par, or to pay stock above par, and thus cancel so much debt. In addition to this, the annuities for lives, or for limited terms, would gradually cancel another portion. All dividends arising from such purchases were to be similarly applied. Pitt calculated that by this process, and by the compound interest on the savings to the revenue by it, in twenty-eight years no less than four millions sterling per annum of surplus revenue would be similarly applied, or employed for the exigencies of the State. By this halcyon process he contemplated the eventual extinction of that enormous debt, to pay the mere interest of which every nerve had been stretched, and every resource nearly exhausted. In a delightful state of self-gratulation, Pitt declared that he was happy to say that all this was readily accomplishable; that we had nothing to fear, except one thingthe possibility of any Minister in need violating this fund. Had the original Sinking Fund, he said, been kept sacred, we should have had now very little debt. To prevent the recurrence of this fatal facility of Ministers laying their hands on this Fund, he proposed to place it in the hands of Commissioners, and he declared that "no Minister could ever have the confidence to come down to that House and desire the repeal of so beneficial a law, which tended so directly to relieve the people from their burthens." He added that he felt that he had by this measure "raised a firm column, upon which he was proud to flatter himself that his name might be inscribed." He said not a word about the name of Dr. Price being inscribed there, to whom the whole merit of the scheme belonged; he never once mentioned his name at all. On his own part, Dr. Price complained not of this, but that he had submitted three schemes to Pitt, and that he had chosen the worst.
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    FORE:Of course, the commercial changes introduced by Mr. Huskisson and Mr. Robinson excited loud murmurs of dissatisfaction from the interests affected, especially the shipping interest. But the best answer to objectors was the continuously flourishing state of the country. At the opening of the Session in 1825, Lord Dudley and Ward, in moving the Address in answer to the King's Speech in the Upper House, observed:"Our present prosperity is a prosperity extending to all orders, all professions, and all districts, enhanced and invigorated by the flourishing state of all those arts which minister to human comfort, and those inventions by which man obtains a mastery over nature by the application of her own powers, and which, if one had ventured to foretell a few years ago, it would have appeared almost incredible." This happy state of things was the result of a legitimate expansion of trade. Manufacturers and merchants were at first guided by a spirit of sober calculation. The steady advance in the public securities, and in the value of property of all sorts, showed that the national wealth rested upon a solid basis. The extension of the currency kept pace with the development of trade and commerce, and the circulation of bankers' paper was enormously increased. But out of the national prosperity there arose a spirit of rash speculation and adventure, resulting in a monetary crisis. The issue of notes by country banks was under no restriction; no measures were taken to secure that their paper represented property, and could be redeemed if necessary. There were hundreds of bankers in the provinces who could issue any quantity of notes they pleased, and these passed as cash from hand to hand. The spirit of speculation and enterprise was stimulated to a feverish degree of excitement by the recognition of the states of Colombia, Mexico, and Buenos Ayres, formally announced in the King's Speech on the 3rd of February, which said that treaties of commerce had been made with those new states. The rich districts of South America being thus thrown open, there was a rush of capitalists and adventurers to work its inexhaustible mines. A number of companies was formed for the purpose, and the gains of some of them in a few months amounted to fifteen hundred per cent. The result was a mania of speculation, which seized upon all classes, pervaded all ranks, and threw the most sober and quiet members of society into a state of tumultuous excitement. Joint-stock companies almost innumerable were established, to accomplish all sorts of undertakings. There were thirty-three companies for making canals and docks, forty-eight for making railroads, forty-two for gas, twenty insurance companies, twenty-three banking companies, twelve navigation packet companies, five indigo and sugar companies, thirty-four metal companies, and many others. The amount of capital subscribed in these various companies, which numbered two hundred and seventy-six, was upwards of 174,000,000. In connection with South America there was the Anglo-Mexican Company, the Brazilian, the Colombian, Real de Monte, and the United Mexican. On the South American shares only ten pounds each had been paid, except the Real de Monte, on which 70 had been paid. We may judge of the extent to which gambling speculation was carried from the following statement of the market prices of the shares, in five of the principal mining companies[243], at two periods, December 10th, 1824, and January 11th, 1825:
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THREE:Matters were at this pass when Lord Wellington, who had heard of the attack, at his headquarters at Lezaco, two days before, came galloping up on the morning of the 27th. He found Soult only two leagues from Pampeluna, and saw him so near that he could plainly discern his features. Wellington caused his own presence to be announced to his two bodies of troops, and they answered the announcement with loud cheers. That day the troops of Soult were pushed backwards by a regiment of the Irish, and a body of Spanish infantry, at the point of the bayonet. The next day, the 28th, the French were driven down still farther. On the 29th both armies rested, but on the 30th the fight was renewed with fury; but Picton and Dalhousie, being sent across the mountains in opposite directions, managed to turn both flanks of Soult, and the French fled precipitately as far as Olaque. There the pursuing troops fell in with the right of the French, which[60] had been worsted by Hill. In the darkness the French continued their flight, and the next morning were found in full retreat for France. The British gave chase, and made many prisoners, taking much baggage. These battles, which have been named "The Battles of the Pyrenees," Wellington describes as some of the most severe that he ever saw. He states the loss of the British in killed at one thousand five hundred, but in killed and wounded at six thousand. The French, he says, admitted that they had lost fifteen thousand men, and he therefore gave them credit for the loss being much more. On one occasion Wellington surprised Soult, and had so laid his plans for surrounding him that he felt sure of capturing him; but three drunken British soldiers, rambling carelessly beyond the outposts, were taken, and let out the secret of Wellington being hidden close at hand, behind the rocks, and thus saved the French commander. A second time he was saved by the Spanish generals, Longa and Barcenas, not being at their posts in a narrow defile near St. Estevan, where he could only pass by a slender bridge. Still the British were at his heels, and committed dreadful havoc on his troops in this pass. On the 2nd of August there was a fresh encounter with Soult's forces near the town of Echalar, where they were again beaten, and driven from a lofty mountain called Ivantelly. Soult retired behind the Bidassoa, and concentrated his routed forces; and Wellington, having once more cleared the passes of the Pyrenees of the French, gave his army some rest, after nine days of incessant and arduous action, where they could look out over the plains of France, which they were ere long to traverse. But the army had not much rest here. The French made determined efforts to raise the siege of San Sebastian, while Wellington was as active in endeavouring to force Pampeluna to capitulate. Unfortunately he had still scarcely any proper men or tools for siege-work. He had long urged on the Government the formation of companies of sappers and miners. But, after eighteen months, they had formed only one company, whilst, as Wellington informed the Government, there was no French corps d'arme which had not a battalion of them. This first British company of sappers and miners came out on the 19th of August, and were immediately set to work. Sir George Collier sent his sailors to assist, and on the 31st Wellington considered that he had made sufficient breach for storming. But that morning Soult sent across the Bidassoa a strong body of French to attack the besiegers. These were met by a division of eight thousand Spaniards, who allowed the French to ascend the heights of San Marcial, on which they were posted, and then, with a shout, charged with the bayonet down hill, at which sight the French instantly broke, and ran for it. They were pursued to the river, in which many plunged, and were drowned. In the afternoon Soult sent over again fifteen thousand men, having put across a pontoon bridge. These, under the eye and encouragement of Lord Wellington, were charged again by the Spaniards, and routed as before; many again rushing into the river, and the rest, crushing upon the bridge, broke it down, and perished in great numbers also. The Portuguese troops likewise met and defeated another detachment of French, who had come by another way. These were supported by British troops, under General Inglis, and with the same result. Wellington was highly delighted to see the Spaniards thus, at length, doing justice to their native valour under British discipline, and praised them warmly. Soult is said to have lost two thousand men.Another successful expedition this year was one against the Cape of Good Hope. This settlement, so desirable for Britain, with her Indian possessions, had been yielded up by the Addington Administration, at the Peace of Amiens, most[522] imprudently. A body of five thousand men was dispatched for its recovery, under Sir David Baird, in a fleet commanded by Sir Home Popham. They arrived in January, and the Dutch soldiers fled at the first attack. Retiring into the interior, General Beresford was dispatched after them, whereupon they surrendered, on condition that they should be sent to Holland without being deemed prisoners of war. FORE:Such was the state of affairs at home and abroad during the recess of 1829. The Government hoped that by the mollifying influence of time the rancour of the Tory party would be mitigated, and that by the proposal of useful measures the Whig leaders would be induced to give them their support, without being admitted to a partnership in power and the emoluments of office. But in both respects they miscalculated. The Duke met Parliament again on the 4th of February, 1830. It was obvious from the first that neither was Tory rancour appeased nor Whig support effectually secured. The Speech from the Throne, which was delivered by commission, was unusually curt and vague. It admitted the prevalence of general distress. It was true that the exports in the last year of British produce and manufacture exceeded those of any former year; but, notwithstanding this indication of an active commerce, both the agricultural and the manufacturing classes were suffering severely in "some parts" of the United Kingdom. There was no question about the existence of distress; the only difference was as to whether it was general or only partial. In the House of Lords the Government was attacked by Earl Stanhope, who moved an amendment to the Address. He asked in what part of the country was it that the Ministers did not find distress prevailing? He contended that the kingdom was in a state of universal distress, likely to be unequalled in its duration. All the great interestsagriculture, manufactures, trade, and commercehad never at one time, he said, been at so low an ebb. The Speech ascribed the distress to a bad harvest. But could a bad harvest make corn cheap? It was the excessive reduction of prices which was felt to be the great evil. If they cast their eyes around they would see the counties pouring on them spontaneously every kind of solicitation for relief; while in towns, stocks of every kind had sunk in value forty per cent. The depression, he contended, had been continuous and universal ever since the Bank Restriction Act passed, and especially since the suppression of small notes took effect in the beginning of the previous year. Such a universal and continued depression could be ascribed only to some cause pressing alike upon all branches of industry, and that cause was to be found in the enormous contraction of the currency, the Bank of England notes in circulation having been reduced from thirty to twenty millions, and the country bankers' notes in still greater proportion. The Duke of Wellington, in reply, denied that the Bank circulation was less than it had been during the war. In the former period it was sixty-four millions, including gold and silver as well as paper. In 1830 it was sixty-five millions. It was an unlimited circulation, he said, that the Opposition required; in other words, it was wished to give certain individuals, not the Crown, the power of coining in the shape of paper, and of producing a fictitious capital. Capital was always forthcoming[308] when it was wanted. He referred to the high rents paid for shops in towns, which were everywhere enlarged or improved, to "the elegant streets and villas which were springing up around the metropolis, and all our great towns, to show that the country was not falling, but improving." After the Duke had replied, the supporters of the amendment could not muster, on a division, a larger minority than nine. In the House of Commons the discussion was more spirited, and the division more ominous of the fate of the Ministry. The majority for Ministers was only fifty-three, the numbers being 158 to 105. In the minority were found ultra-Tories, such as Sir Edward Knatchbull, who had proposed an amendment lamenting the general distress, Mr. Bankes, Mr. Sadler, and General Gascoigne, who went into the same lobby with Sir Francis Burdett, Lord John Russell, Mr. Brougham, Mr. Hume, and Lord Althorp, representing the Whigs and Radicals; while Lord Palmerston, Mr. Huskisson, Mr. Charles Grant, and Sir Stratford Canning represented the Canning party. No such jumble of factions had been known in any division for many years.

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FORE:CHAPTER XVII. REIGN OF GEORGE III. (continued).
FORE:[See larger version]REVENUE CUTTERS CAPTURING AN AMERICAN SMUGGLING VESSEL. (See p. 184.)
FORE:The queen closed the session on the 9th of July, assuring the Parliament that her chief concern was for the preservation of our holy religion and the liberty of the subjectthis liberty having been most grievously invaded by her through the Schism Bill. But the dissolution of her Ministry was also fast approaching. The hostility of Oxford and Bolingbroke was becoming intolerable, and paralysed all the proceedings of Government. As for Oxford, he felt himself going, and had not the boldness and[20] resolution to do what would ruin his rival. He coquetted with the WhigsCowper, Halifax, and others; he wrote to Marlborough, and did all but throw himself into the arms of the Opposition. Had he had the spirit to do that he might have been saved; but it was not in his nature. He might then have uncovered to the day the whole monstrous treason of Bolingbroke; but he had himself so far and so often, though never heartily or boldly, tampered with treason, that he dreaded Bolingbroke's retaliation. Bothmar, the Hanoverian envoy, saw clearly that Oxford was lost. He wrote home that there were numbers who would have assisted him to bring down his rival, but that he could not be assisted, because, according to the English maxim, he did not choose to assist himself. Swift endeavoured, but in vain, to reconcile his two jarring friends; and Oxford finally utterly lost himself by offending the great favourite, Lady Masham. He had been imprudent enough to oppose her wishes, and refuse her some matter of interest. He now was treated by her with such marked indignity, that Dr. Arbuthnot declared that he would no more have suffered what he had done than he would have sold himself to the galleys. Still, with his singular insensibility to insult, he used to dine at the same table with her frequently, and also in company with Bolingbroke, too.During the winter the Americans had been preparing for war, fabricating and repairing arms, drilling militia, and calling on one another, by proclamations, to be ready. On the 26th of February, 1775, Gage sent a detachment to take possession of some brass cannon and field-pieces collected at Salem. A hundred and fifty regulars landed at Salem for this purpose, but, finding no cannon there, they proceeded to the adjoining town of Danvers. They were stopped at a bridge by a party of militia, under Colonel Pickering, who claimed the bridge as private property, and refused a passage. There was likely to be bloodshed on the bridge, but it was Sunday, and some ministers of Salem pleaded the sacredness of the day, and prevailed on Colonel Pickering to let the soldiers pass. They found nothing, and soon returned.
FORE:[See larger version]
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[See larger version][See larger version]THE TOLBOOTH, EDINBURGH.[See larger version]The effect of the issue upon the state of parties in England was tremendous. The Morning Chronicle, then the organ of the Whig party, said, "The battle of English liberty has really been fought and won at Paris." The Times thundered the great fact with startling reverberation throughout the United Kingdom. Mr. Brougham in the House of Commons spoke of it as that revolution which in his conscience he believed to be "the most glorious" in the annals of mankind, and he expressed his heartfelt admiration, his cordial gratitude, to the patriots of that great nation for the illustrious struggle they were making. This language expresses the feelings which prevailed through all classes of the people of Britain, and it may be easily supposed that the effect was most favourable to the Liberal party and most damaging to the Tories, especially as the exciting events occurred at the time of the general election; and Prince de Polignac being considered the particular friend of the Duke of Wellington, his Ministry was called in France the Wellington Administration. All these things were against the Premier: the hostility of the anti-Catholic party, the alienation of the Whigs, the accession of a liberal monarch, and the odium of the supposed intimate relationship with the vanquished despotism of France.
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