The Sun.
London, England, 1851-07-01 00:00:00

T E SUN, LONDON, TUESDA Y

, form that opinion upon this sole, and to me perfectly satis-
factory, ground, that I cannot believe that a financier so
able and so experienced, if he had contemplated that his
law should be a permanent law, would have framed it
upon
to believe is one so much to be deprecated. I am not
about to entrap the House into a barren discussion as to the
comparative merits of direct and indirect taxation. In
these days we are too apt perhaps to indulge in such dis-
cussions. I feel persuaded myself that ir you have to raise
in a country like England a revenue of the amount which
_ 0? at present do raise, it would be quite impossible to oh-
tale such results by adhering strictly to any particular mode
Of raising our public revenue. I feel convinced that the
_se.reaterthe number, the more various the means of supply,
,fie greater will be the facility of raising the revenue ; and
sat. from laying down any pedantic rule to be adhered to as
o.ree mode of raising taxes- fu preference to another, all that
!ha would uphold as the golden rule of all Chancellors of
e Exchequer is, to beware that no tax, whatever farm
Bußit may take, whether that of a customs duty, an excise
uy, or a direct impost, should in its nature be excessive.
t although I will not enter into a discussion as to the
.oisaparative merits of direct or indirect taxation, of this I
1
1,,.13 persuaded, and I can hardly doubt that a majority of
..91 House will sanction
the propoeition, ' that if
direct taxation is to form a considerable part, or
even the more considerable part, of our financial
system, it is of the utmost importance that the
principle of that direct taxation should be a right
oa2e.—!llear.) ISie I
' --w, cannot for a moment agree that
tUT Principle of direct taxation should be other than the
ierki.ple of indirect taxation. lam of opinion, as I think
shoulidgllkest
as are of opinion, that direct taxation
ray • ue as general, not to say as universal, as indirect
been ..ation-
(Rear.) And,
they opinion of believing that that must have
Sir Robert Peel, the very fact that he
established his tax upon income on so narrow a basis, that
~F established exemptions on so considerable a scale, con-
than
Me that in his use of that impost he had no othert
P a temporary object —that he had no other object
in
than
.iits
thaterig
iowallich hej ex —pressed this House, and tbat
proposition, and in the renewal for which,
i count original proposition, he prepared the. House and the
t.Y, he was perfectly justified in adopting it witth. the!'
'taiiorary object in view. I hardly know whether 1 is ne
ia_c"sarY, or whether on this occasion I am justified in even
wil. ehiag upon the consequences of adopting any other
Principle in the a
al application of direct taxation. In fact, if
yell come forward tell us that the essence of direct taxa-
"mi is that it should be limited to a class, that it should be
4Ounded upon large exemptions, your impost is not so much
i direct tax as a,. forced contribution."- (Loud cries of
sea-, hear.") It is a tax upon capital. It is a con-
ant invasion upon the fund which is employing labour,
a.' d if carried to any excess, or continued for any length
O' tmae, its inevitable consequences must, in my opinion, be
"e impov er an
ishment d mise rof the community.—
f Cheers.) I look then upon the policy which was pursued
,by Sir Robert Peel with respect to the income-tax, when
by introduced it, and when, in accordance with the first
speech he made on the subject, he three years after conti-
nued it, to have been perfectly justifiable, because his object
being, a temporary object, he had then only to consider the
policy and the expediency and the motile of attaining his
temporary purpose in a manner the most easy and the most
easible. But I must call the attention of the House to the
fact that the present Ministry, in making a tax upon in-
emme the basis of their finance, were not actuated by the
Iflatne principles as Sir R. Peel, and did not contemplate the
:loriae use of the instrument which they introduce to our no-
ll,htei.c With a candour which I cannot too much praise, and
hj fully acknowledge, the Chancellor of the Exchequer,
When he asked for a continuance of the income tax for three
years,il2c never for a moment intimated that his view of that
of thlvelthat it was a temporary one. Had the Chancellor
the tax c=hequer come forward and proposed the renewal of
whether three years for the fourth time, I still doubt
direct . he would have been justified in framing a great
longer impost which had continued for a term much
and which was than was contemplated by its originator,
was again to be continued for a considerable,
thoughee.,e a_ definite, term—I doubt the policy of the Chancellor
ii;aintlln •xchequer, even under these circumstances, in
he did f aweta upon income on the limited basis on which
4,
ask r it. But when the Minister of Finance tells us—
c Yon to renew the tax upon income for the fourth have
for another three years," and with a frankness which I ' i acknowledged informs us at the same time that we
cannot contemplate the term when we shall be able to carry on our financial arrangements without the aid of such an
`l)B7itt, and framed in such a manner, then I say that that '
and if e period when the Minister should have come forward, '
the •
it had been his conviction that a large direct tax upon
Ile
Should have laid down the just principle upon which such
led, pailleadEntount of direct taxation could alone justifiably be ap-
o the property and the industry of this country.— '
re- (Hear,• bear.) I may be told, as I have been told
i.:, since that day, that there was no acknowledgment on the
lr-'"
sli_a_rt
,te.f. the Government that in their financial c n-
/Es iiTtpi tione the income-tax was to be a perpetual tax.
this the Helee,kanl the memory of Gentlemen on both sides of
When I recall
I am
.sure they will justify my statement,
ibex to. their recollection the catalogue of fiscal
achievements which the Chancellor of the Exchequer in-
le a dal • •
ged in, which he enumerated to an amazed audience,' and
isms the_ completion of which alone was indicated by him as the
. .
yuse term when this country could be free from this Impost.
a:.O , (Rear, hear ), Sir, I have great confidence in the vitality of
iii. lee_ existing. Government —( Hear, hear, and a laugh.) The
'nen which they have successfully encountered, the ca-
tastrophes which they they have'tort ' have evaded, and the crises which
baffled - all indicate the possession, if not of im-
not Andlt, Yet of enduring qualities.—(Laughter, and cheers.) any , it i,,, lnallastsure the Noble Lord and his colleagues, though
e for that I klly recognise to sit on this side of the table—( A laugh)
wan they eee, their personal claims to the post which
Views eet./•—(Laughter.) Sanguiee as may be their own
o all that nese°
arson templatedthe
the term of their administration, I do not think
Chancellor of the Exchequer could have con •
°sett would everlProlonged as may be his tenure of office—that it
tali coroplishme e his fortuas to achieve all those objects, the ac-
oder, thecount nt
°f which he has laid down and announced to •
der::
.ati.rd. ine-omrYeaLtiteicsounodwition of terminating the tax on property
'al fairly conclude framed. Well, Sir, I think I may
grs , feature •n, that the tax, as now framed, is a permanent
otl• , 1 th
Meals) ~, e financial schemes of her lalajesty's Ministers.—
oula' he..._ '' ow, I beg the House to observe that in anything I
oald ' an:e said lam making no objection to a tax on property
been goose
income. What I am directing the attention of the
, re-
sto is this—and I think it of the utmost importance ?,gis. t this proposition of direct taxation is to form a more
ion? considerable portion of our financial system for the future
This than it has heretofore done, that direct taxation should be
ions , founded upon the true principle, and not upon the false one;
"rora !Pon the principle which, in the long run, will be advan-
ught tageous to the community, and not upon one which, if it suc-
f the . teed, will in my opinion be most pernicious; that the prin-
are tiPle which we apply to direct taxation shall virtually be
Cher. the same as that which we apply to indirect, and that in its
F this aPPlication we should attempt to make it general, not to
idol), . say Universal. - (Hear, hear.) That is the only point that I
er at am now enforcing upon the attention, and, I hope, the con-
as be \action of the House. It will be observed, then, as far as
tie of the financial statement of the Minister this year is con-
,(;) by earned, as far as we have it yet submitted to our
was analysis, that it was founded upon a false basis,
main that it assumed that the income-tax, as at pre-
theseupon the
sent . framed, should bs permanent ; and
usual assumption of its permanence, or of its continuance, the
ch is surplus estimated by the Chancellor of the Exchequer
not depended. I shall now consider the measures which the
se is Chancellor of the Exchequer brought forward, and which
.eats, Were to be dealt with by the disposition of this assumed
earl/ surplus—a surplus assumed upon the continuance of a tax,
ear.) false, dangerous, and pernicious in its principle, as every tax
Ihich intending direct impost to a large amount, and the principle
clear of which is not of general application, I maintain is.
; yea (Hear, hear.) The Chancellor of the Exchequer proposed
e re- three measures of considerable importance, and one or two of
garde • Minor importance. The first in rank was, no doubt, a prope-
-1 the sition for the repeal of the window •tax. It is unnecessary
louse " for me to dwell much upon this point. The objections to the
i this Window duty as it then existed were financial, or they were
,es Of ' social, or, as it has been the fashion to call them, sanitary. I
ut no ' must stop to say that if the financial oppression of the
it in" Window-tax was the great reason for ins remission, it is to be
t has regretted that the Minister should have attempted only par-
con- tially to remit it. It would have been more advantageous,
their had it been possible, that the tax should be simply and com-
a the • Pletely remised. The fashion has always subsisted, and
arrive the present Government have followed it, in the division of
Heart a surplus, very often to fritter away its virtue by apportion-
?apa!- ing a part to various interests of the community. —(Hear,
38 of bear.) Now, in my Opinion, as a general principle, it is
par- • tench wiser, if you have a surplus, to do something that is
1 the , efficient—(Hear, hear)---to discover what interest is most
r in- suffering, what tax is most oppressive, and the remission of
d an What duty would give the moat elasticity to trade, or add
s not 11108 t to the comfort and the happiness of the community,
is of than to think that as a matter of course the commercial
it ac- class, the agricultural class, the inhabitants of the town, and
cted, the shipbuilder should each have a share ; when it is very
clear Possible that of these four classes three may require no aid,
in.—'and "rhea it is very possible also that by concentrating your
defif resources upon one subject of assistance, You may afford sub-
ienta atantial relief and succour.—( Hear, hear.) But I do not
,
Pon the social reason
ea•-, dwell upon thatpoint—nor will I dwell u
have 'which might have been and was urged in favour of a remis-
es far as
remis-
per' "ion of the window duty, except that sanitary ob-
pro- jects were concerned, I think they might have been attained
d for without any loss of revenue. The reason that Ido not dwell
•
psed, upon the subject at all is, that I do not intend, as I said
the atte
aged. the 11th of' April, when it was my duty to solicit
.. n-
-1 de., tion of the House to subjects similar to the present—that I
in a do not intend atall to cl•the licy of the
ispute po . repeal of the
lt I think
sface window-tax I
• accept that as a realised resu •
tall
:pect after all that has • g the unpopularity . passed, considering
of e
all
viol tax, considering 'injuriouscharacter,and considering
its j
that nothing
idea- that has occurred in this House upon the topic, t
ito a could be more injurious,more impolitic
more inexpedient, or
F the than to disturb 'that rmission i and as far as the revenue..
l ins- derived from the concerned, I con
tax upon windows is
deed eider it blotted out from the Exchequer.—(Hear, hear.) ,
mat- I now proceed of a novel
to a measure of the Ministers' .
mse• character, in some degree connected with the tax
which
I, en I consider as en'irely abrogated, and that is the prop,
1 my ton embodied •
housesin ax upon
the Bill before us—namely, a t .
ch I " Now, I ask the House to apply that sound prin-
than ciple of fin- .
ance which in inion, ought to be one of our
cardinal '
MY
op
' •
LiellSspies of finance—nam , .
ely, that direct taxation
'should mercyair* general as indirect taxation, to the measure
afsf which is now beforeconsideration of the House. I ask
the .
tic , them to apply that searching principle to the Bill which has
pint, been introduced by the Government for imposing. a tax upon
de- houses. Sir,
that fatal characteristic of the income-tax,
tend Which was • troduced for a
perfectly justifiable when it was in
be
sarY temporary purpose by Sir Robert Peel, but infinitely to
tate- deprecated when revived for a permament purpose by the
sion. present Government - namely, direct taxation,
established
3g 6 on the most
limited basis, and partaking •-• in no way of a
Fe- general character, without the excuse of the Government
having ;tails receivedat from their predecessors. I find that feature
:ow' in an aggravated form in the house-tax. (Hear, hear.) The
tees' Government hadtheir command with which they
a supine at
Bur- Might have completely and efficiently dealt with
the
ion ; Window -tax.
- ax. They had a surplus which would have allowed
iof theca to remit the, window-tax, if they considered the re-
e of Mission of that tax to be of paramount necessity,
'and I do
t, he not dispute the position. But they do not remit the window-
t re- tax• It is
a commutation—not a remission— ( Hear, hear)—
ouse and it has this fatal fault, that the commutation is a partial
mite. cmumatation—•( Hear, hear.) Complete remission, or corn-
lace, piste commutation—these are the two principles which a
hree financial Xi •
nutter should pursue, But the Chancellor of the
i the Exchequer not having the moral courage I will not say, but.
tics the financial courage,
completely to remit the tax on win-
i; re. down, which he ought to have done i f he felt the necessity
fin of doing it, takes out from the armoury of the financial
nt of minister one of the most inestimable weapons
sand uses it for
cha- the most meagre and the meanest purposes.—(Cheers.)
He
the brings forward the instrument which is to impose a tax upon
itro- houses
—as just a tax in its principle as can well be con-
erai- ceived, and which every person who reflects upon the pre-
'arty sent position of our financial resources must have always
•able looked to as a most valuable aid. He brings it • forward, and
r R• he do
• es—what? He does not even effect a complete r .
ernis-
that sion of the window duties. He gives you imperfect remis-
sion and imperfect commutation, and he wastes those great
2be resources which are offered him by a house-tax tor a most
racial limited • result.
._ and, comparatively speaking, contemptible
) the dud in doing this he not only does not obtain a
• complete
`mod -
sculftliatioD, thouthoughlte does obtain a partial one; but be
a

in-
ich
ice
!ha

en-
ivi-
ill
ea
as-
t he
t, 'lO

hip.
t a

nial
oal ;
ro-
silA-

)Vin
'1219:
laxr
ad
owed.
was'
ad-
ug-
nu'

ito

try-
ich
-erY
to

violates that important principle which at no period more i Hon. Gentleman opposite—a great ornament of this House,
than the present ought to be cherished by the House of one of its most valued Members, the father of the House—
Commons—the right principle upon which direct taxation fr I believe he is looked upon in a paternal light—a gentle-
should be applied.—(Hear. There were other measures man whom I may fairly describe as being the most constant
brought forward by the Minister on that occasion. A died- i and consistent supporter of the Whig Government—who,
nution was proposed of the tax upon timber, which we have though he assumes to chide them, chides them in a friendly
recently been discussing in Committee, and also of the duty spirit, and though he assumes to castigate them, castigates
upon coffee. With the permission of the House I will them with the most affectionate remarks—(Laughter)—a
address myself briefly to these subjects. I am not one of gentleman who, if you take a comprehensive view of his ca-
those who think that there is any abstract excellence in a reer, has always stepped forward at the right moment to ex-
Customs duty—l am not one of those who think that, as a tricate a not &acid', ly strong Government from the im-
rigid rule, or even as a general rule, you should remit an pending catastrophe—this most distinguished supporter of
Excise eury in preference to a Customs duty. All that I the Whig Government (Mr. Hume) was the gentleman who
would do when the subject of the remission of taxation was brought forward the motion to limit the income-tax, which
concerned would be, to ascertain which duty is most op- was to have been continued for an aseured term of three
pressive to the people and most injurious to their comfort years, to one year only ; and intimated, in a manner which
and their industry; and whether I found that to be a Cus- has necessarily bound the House, that his object iu so doing
toms duty or an Excise duty, that is the impost upon which was to submit that taxeo Parliamentary investigation of the
I would lay my finger. Therefore I do not object to these most searching character, wish the view of terminating those
propositions of remission on the part of the Chancellor of the inequalities— those circumstances that lead to fraud in it
Exchequer because they are Customs duties. Assuming and that inquisitorial proceeding which it seemed to have been
that the Chancellor of the Exchequer could prove to me acknowledged by almost everybody were believed to be ir-
that the remission of these Customs duties would more bane- removable. What happened? That motion was carried.
fit the subject, would give a greater impulse to trade, would The basis upon which the surplus of the Chancellor of the
more tend to the advantage of the community than the re- Exchequer was raised fell from under the superstructure ;
mission of an Excise duty, or any direct tax, I should prefer the fairy palace vanished in the night. That was no orcli-
remitting the Customs duties ; but my great objecti nto nary loss io the Chancellor of the Exchequer—that was not
the remission at present of these two duties—though I shall merely a loss of income- tax for three years, though that was
not now dwell upon this head -is that Ido not think we are a result which the finance eiinister must deeply deplore, but
justified by the state of our revenue to remit any tax, what- it was, regarding the schemes of the Right Hon. Gentleman,
ever form it may take, and whether it is a Customs duty or a loss of a permanent income-tax. It wasnot merely a three
an Excise duty; because I imagine that our ability to do that years' tenure of the tax that was constructed and formed
depends upon the fact of the existence of a surplus or not.— in the brief agitated epoch of the fraction of the present Far-
(Hear. ) But I must notice the plea upon which the remis- liamentary session, the ensuing recess, and the meeting of
&on of the timber duty has beea put forward by the Right Parliament again ; but it was the permanent future of the
Hon. Gentleman. The Right Hon. Gentleman says we owe financial Minister that was taken from him—it was the
the remission of the timber duty mainly and principally to foundation on which was raised, not merely the present
the builders of ships in this country. Well, I think that no superstructure, but on which, veer after year, he was to
one will dispute the laardshipe to which the British ship- build up all those elevations which were to have formed the
builder is now subjected— (Hear, hear) but a partial re- great future of our renovated and reconstructed financial sys-
mission of the duty en timber does not at all compensate tern.— (Hear, hear.) It is impossible to over-rate the im-
the builder of ships in this country for the competition to financial
of that vote—impossible to deny that from it the
which you now exposed him. You are giving up revenue financial position of this country has become an uncertain
in this case without obtaining the result which you ought anti precarious one. Ido not blame the Noble Lord or his
to achieve.—(Hear, bear.) Now, if you were to allow the colleagues for accepting that vote, with its consequences.
builder of ships in these isles to build in bond, as has before From this side no taunt has arisen which would intimate to
been proposed ; if you permitted him to use freely all the the Noble Lord that he ought to have resigned after the most
articles that are necessary to the construction of a ship in decided manner in which that vote was carried. I think the
England, and pay no duty upon them, then you would put Noble Lord and his colleagues acted in a much more honour-
him in fair competition with the foreigner who brings a ship able manner in not resigning office then. Nay more, that
duty- free to this country, whilst the British builder is build- they acted in a dutiful and loyal manner in the peculiar cir-
ing his ship subject to a variety of duties.— (Hear, hear.) cumstances ; and after the events of this year it was their
That is an arrangement which you ought to have made duty to retain their offices. They fulfilled that duty, and not
when you repealed the navigation laws.—(Cheers.) When in an ungracious manner. But whilst lam willing to make
you did that yen ought to have permitted the British ship- that concession to her Majesty's Ministers, I cannot agree
builder to build in bond; then he would have been placed that their conduct was equally to be lauded in retaining net
in a position which I deny that the proposal of the Minis- only their places, but the financial measures which they had
ter, as far as the British ship-builder is concerned, will tend brought forward under circumstances so different, with
to place him.—(Hear, hear.) There were other pro posi- prospects so different, from those in which they now found
themselves. My opinion is that Ministers, feeling they were
lions in this budget. There were propositions which were
intended for the relief of the distressed agricultural interest, not so justified in retiring from office, but that it was their
and I shall not dwell upon them. They are already duty to retain their responsible position, should at the same
familiar to the House. Whatever was their value it time have announced to their eminent supporters who pro-
is unnecessary for me to calculate them, because no sooner Posed that motion, that he and his friends must take the
*ere they offered than they were withdrawn. —(Hear, hear.) consequences of that withdrawal of the financial propo-
But perhaps the House will permit me to make one observe- sitions which had been founded on the assumed conti-
tion upon the position of the agricultural interest with refer- nuance of the tax, and which were to be furnished by
ence to the remission of taxation. I ventured to say just the surplus which had now only an imaginary ex-
now that in the remission of a tax, whatever form it might istence. Ido not think lam taking an extravagant or
assume, all that I recognised as the valid reason for its repeal irrational view of the duty of the Government under such
or remission was, that it should be the one which the Minister circumstances. But it appeared to me, as far as I could
of Finance thought, on the whole, to be the most injurious observe the human nature opposite me, that the Noble Lord
to the community. That, I think, ought to be the rule was animated at the same time by feelings of a very similar
which should guide him in the selection of taxes for remis- character. There was a species of delay in the advance-
sion(Hear, hear.) Sir, I think there is another rule ment of the financial measures of the Government; they
which ought also to guide a Minister of Finance, who is in never apeared in the paper—or, if they did, they were never
the happy possession of a surplus. I think, if there be a noticed; not a single stage did the ever make of progress;
particular interest in the country which is subject to great and it was generally understood--I do no not speak of ru-
difficulty, is experiencing great distress, and incurring a long moors out of doors, or of those confidential communications
and continued depression, that it is the duty of the Chan- which are made in-doors—but it was generally understood—
and
of the Exchequer to consider the state of that interest, perhaps it was a public conviction arising from such views of
and to see whether the remission of any tax would tend to the situation of Ministers and of their duty to the country
relieve it. Now, the House will recollect that at the corn- —but there was a general impression that the financial
mencement of the year we were informed, by the Speech from measures of the Government were withdrawn. How many
the Throne, that a very important interest was in a state of Cabinet Councils were held I would not venture to
great depression, ant-of continued depression. The House state ; but this I know, a remarkable scene occurred
will recollect that, shortly after, the minister proposed mea- in this House. One of the most distinguished metropolitan
sures, the tendency of which was announced by him to relieve Members, who seemed to share in this conviction, arose in
that distressed interest; and without requesting the House his place and demanded some information from the Noble
to give an opinion now upon a question, to which I Lord as to the intentions of the Government. He wanted to
refer only in illustration of the financial course taken by the know whether the window-tax was really to be repealed or
Government this year, and not with any view to obtain an not, and the answer of the Noble Lord was extremely un-
opinion upon the subject from either side of the House, I ask satisfactory. The inquiry was again repeated another
the House to consider the position of the agricultural interest night, and in a tone of menance, and the Noble Lord, turning
now with reference to the question of remission of taxation. his back upon us, made a confidential communication
By certain laws—the policy or impolicy of which form no which appeared to be of a deprecatory character. The
part of our discussion to-night—we have agreed to place the effect was as if the Noble Lord was hustled by a Finsbury
cultivation of the soil in this country in complete competition mob in Saffron-hill, or some place of that character, where
with the cultivators of the soils of all o-her countries. Now, the pocket of the Minister was relieved of his financial Bur-
is it not obvious that it is the first duty of the Government Pins. After a fortnight's friendly interpellations the Noble
in remitting taxation to ascertain whether they cannot dimi- Lord at last screwed up his courage to proceed with his
nish the cost of production to the British farmer so situated? measures of remission, which are to be supplied from a
I ask the House to concede no more. That was the first moon-shine surplus—from a still imaginary surplus.—(Hear,
duty of a financial Minister, who had counselled his Sove- hear.) lam now arrived at that point at which I would
reign to announce from the throne that there was only one ask the House what is the most prudent course that, under
interest in the country, and that a most important one, in a these circumstances, we should pursue ? The fund from
state of continued distress. lam not now asking the House which the surplus was derived that was to be distributed
to decide whether it was in the power of the Minister or not, virtually no longer existed. I would ask the House calmly
but I say it was then uy of the Minister to consider who- and dispassionately to consider this point. What is the
they, in the reduction of duty he was about to propose, it Prospect or probability of the income-tax being renewed at
was in his power to reduce the cost of production to the the next meeting of Parliament? It is a disagreeable ques-
British cultivator of the soil. It was the opinion of myself tion. But it is a question which I must beg this House
and of my friends who supported me that it was in the calmly to consider to-night. lam a member of the Cona-
power of the Government to diminish the cost of mittee which is to inquire intothe income-tax. lam a member
production. It was our belief that there was a of it in deference to the feelings of the House, add against
my own inclination. I would rather have seen a more ern-
pressure of taxation upon the cultivator of the soil dent member on it thantmyself. Being a member, how-
which was not shared by the community, and though
ever, of the Committee, let it not be sepposed that I am giv-
there might be a difference opinion as to the degree
in the opinion of that Committee in what I now state. We
of that pressure, no gentleman in the House will
are sedulously pursuing the course of inquiry, but that has
deny the fact that the cultivation of the soil belongs to a
not led us to consider the circumstances which would at all
class in this country which pays taxes to which the commu-
influence my opinion on the topics to which I allude. I speak
nits at large is not subject.—( Hear, hear.) Following the
second rule which I think should guide the Minister of Fi. just the same as if I was not a member of that Committee, or
as if that Committee had not been appointed. There is one
nance into the appropriation of his surplus—the first being
that he should remit tee taxes most oppressive to the comma- reason among many which I confess weiehs much with me,
and convinces me that the tax upon income as at present
pity; and the second, that he should remit that tax which
formed will not be renewed by the House. I will tell you
presses most upon any suffering class—l called upon the
elinistry to consider whether it was not in their power to why. I find a universal admission that as at present framed
accomplish that result. In doing so, as Ido to-night, I in- that tax is an unequal tax and leads to fraud—that it is
terfered in no manner with that complete remission of the rife with vexatious and inquisitorial proceedings—and that
window duty, which I consider to be a realised result, and it is stamped by features repugnant to the habits and feel-
one which no Government can disturb. I merely urged that inns of Englishmen. Everybody agrees to that. Tory,
it should be borne in mind that the cost of production should W big, Liberal, Conservative, or Radical, will admit those
be diminished to the cultivator of the soil, and believing that are the features of the income-tax. But there is also another
by a wise appropriation of the resources of the alinister opinion rife. Every man of any authority upon financial
the diminution of cost might be materially assisted to take subjects, all competent to form an opinion on the topic, uni-
place. I suggested to the Government several propositions
t ue fd
r:
(1t hya tI o
hadb
friendsj ec n
gloat
thet
nl en
course
doingour
objects
s e Iso, versally and without exception agree to another point, and
whiche in a less or greater degree would, in my opinion, have that is, that those odious features of the tax cannot by any
hadi
nI
psrpoeuvrdisoouui pursued,
y,
adopted,wt
hiathn t
merely
rasolyd means be removed or modified. The man, then, must be
ad-
vicelr
confessedecshort-sighted indeed who can hesitate as to the consequences
of such :in opinion upon human action--who can believe that
introducing an element
which tended to diminish the cost a tax with such odious qualities, which the highest authori-
ties tell you can never be removed, can be renewed. That,
in matters of finance it is not farmer.
British I knew that
though a sufficient, is not the only reason. I see among the
shillings, and pence that are merely goudap,
always to be calculated, but great lights of science—among those whose writings will ul-
that the feelings and opinions of the people, or of a great timately guide public opinion on the subject, an opinion
class of the community must be considered in the distribu- gaining ground every day that the principle of
tion of taxation ; and I was profoundly convinced that it direct taxation, -cannot be different from the principle of
was at that time, as now, equally desirable that any demon- indirect taxation—that they must both be Perma-
stration on the part of this House of sympathy with the col- neat and equally general; of course I speak only
tivator of the soil—any expression of a desire to assist him of permanent taxes, and not of those imposed
in his terrible struggle—any resolution for a vote by this merely to meet an emergency, like the income-tax of Sir R.
House to assist him (as I considered it to be the duty of the Peel. I ask then the House to consider, assuming that
House to do) ia his effort to lessen the cost of production, when Parliament next meets it will not consent to grant the
was a course the most politic, and tending, whether a large income-tax as at present framed, and that the Chancellor of
or small measure were adopted—teeding to allay asperities, the Exchequer's present remissions of taxation are carried,
to soften animosities, and terminate that conflict between th and there will be in consequence a deficiency of five or six
rival industries of the country which are so much to be do-- millions (I say nothing of the Kaffir war), what are the
precated, and which so en anger the institutions of the Prospects of the meeting that probable, or possible, defi-
country. lam not at all 'prepared to say that that would ciency ? There are only two modes, and though blended
not have been a wise and politic measure. On the other they may produce the effect, analyse those methods, and
hand, he might have taken his surplus, and, dealing with they will resolve themselves into those by reduction of ex-
that portion of the poor-law funds which is not subject to Penditure or increase of taxation. Not one word will fall
the control of local administration, the Minister might have from me to depreciate the efforts of any Hon. Gentleman to
brought forward extensive measures of relief, which might diminish taxation, though the results might be but a coin-
have contributed to ail the finances of the farmer, and would paths
slight diminution of expenditure amounting, I
have produced an impression on his mind that this House perhaps, to 100,000/ , 200,0001., or 300,0001. only, I
sympathised with his suffeeings—that they were disposed to cannot help remembering that we live in a country which
adapt his position to the altered circumstances in which cauld never find money enough to build a national gallery.
their legislation had placed him.—(Hear, hear.) That Therefore I will not speak with any want of estimation for
course was not pursued by the Government. I felt it to be those limited savings, but I agree with the Hon. Member for
my duty to invite their attention to what I considered their the West Riding kali*. Cobden) that no reduction of expen-
duty, and, though I was supported by nearly a moiety of diture can be effected in this country, unless you touch
the I was unsuccessful. And now I have brought the the military armaments of the country ; and the
financial career of the Government down to the commence- Roust must therefore consider what probability or
ment of the month of April. There was one observation Possibility there is of such a course. I will not
which I wish to make with respect to the motion which 1 say one word to obstruct the progress of the principles in-
introduced to the House with the object of assisting the volved in the question of the maintenance of a perpetual
British farmer to meet his severe trial. The object I had Peace. I will only make one remark. As long as I and
always acknowledged to be twofold —namely, not only to ob- that the strongest positions are in the possession of the weak-
always
for him some relief from the pressure of taxation, but eat powers, that the richest territories in the world owe
also to show him that there was in this House a salutary their allegiance to authorities less qualified to defend them,
sympathy with his distressed position. The Hon. Member I see the elements of disturbance, which only the most san-
for Berkshire (Ur. Pussy) has lately made some observations guine can affect to despise, and whether you call the process,
—(Hear, hear)—upon my Parliamentary career, which cer- in the enlightened language of the present day, " annexe-
tainly would have been less inconvenient, and,
might have tion," and not conquest, it is a process which I feel must
been more ingenuous in hint, if they had been made here in my begin with force, must be repelled by force, and must ulti-
presence.—( Hear, hear.) The Hon. Gentleman is of opinion me el be settled by force.- But to dismiss those general
that the motions which I have brought forward were futile Principles. I ask the House to consider the general state of
motions ; and secondly, that in bringing them forward the Europe at present, and say whether any Minister of this
mover of them is insincere. These are very harsh senti- country can be asked with any face of reason now, or in the
ments. It is very probable that the motions which I have commencement of next year, to reduce the military arma-
brought forward with the twofold object I have mentioned ment of this country ? What is the state of the continent?
may have been futile, but at any rate motions that have been lon have one of the leading nations of the world, with a
supported by a large party in the House of Commons have vast population, a most spirited and restless people, in the
upon their surface prnna facie symptoms of not being consi- heart of Europe, who have acknowledged that they have no
dared altogether insincere. It may be possible that a man constitution—who, we know, have not in their country any
who brings forward a motion in the House of Commons of the elements of government—who, whatever be their
may be insincere, but it is difficult to penetrate the bosom of not
of self-control, no one will fur a moment pretend are
any: man. We should rather give credit for motives more not at this moment i t a position the most perilous that
natural, more charitable, and more obvious. I may have 30,000,000 or 40,000,000 of men ever yet found them-
been mist selves. Could even the Honourable Member opposite
mistaken and not insincere • my reason may have been
misled; re e '(Mr. Hume) tell them that there was less chance of
have been I may
e' judgment may have been misguided;..
think that than a foolish manor
avery vain man ,it • is better to a disturbance now than for some years back? If lee
I should be an insincere man; at least, it makes a motion to that effect he will not be as successful
must always be a
question of controversy whether our •
mo-
tives as when he limited the income-tax to one year; and you,
are insincere. But what are we to say of a Member of whether he be right or wrong, looking at what is most pro-
Parliament who, when motions are brought forward which bable and possible, will not meet a probable deficiency of
he believes to be futile, by a gentleman who he is convinced revenue by a diminution of military expenditure. Every
is insincere, omits no opportunitee of followin h' into the man must feel that that is not the mode in which the defi-
g him
same lobby—Meer, hear) d:
—an supporting him by his ciency will be met. Then it must be met by increased tarn-
suffragehear.).— (I ' Berk Why, I might turn round on the ation, and in ten months' time they would in all probability
Hon. Member for shire, and say there is scarce an epi- be called on to supply the financial deficiency by increased
thet of vituperation—scarcelshould
a phrase of invective, that, under taxation. In such circumstances, then, what was there
such circumstances, t not be justified in lavishing more unjust, more impolitic, more savouring of folly, than
upon him.—(Hear' hear.) But it is more agreeable to me Now to be taking off two millions of taxes which no one
as it is to most of us, not to think too harshly of human na- pretends presses with any great severity on the subject, of
ture; we all know that men
are actuated, not only by which the collection is effected with competitive facility,
by
mixed motives, but often be
.to confused ones, that it is very and which are more easily borne than any corresponding .
possible for a man to the possession of very amount of taxation which might be granted in their stead.
considerable ability, to have received a remarkable But I am bound to put another view of our position before
culture, to be in the possession of • many reputable 1 the attentive consideration of the House, if I may still pre-
and some amiable qualities, and yetto be gifted with such sume to trespass on their attention.—(Hear.) It
is a view
an uncouth and blundering organization, that he is perpe- which, I think, deserves our gravest consideration. If you
tually doing that which he did not intend, and saying and have a deficiency, and if you are called on—with the views
writing that which he did not mean . (Hear, hear) which I have indicated as to direct taxation—to consider
and that is the charitable view which I take
of the Hon. the principle on which our financial system is established,
Member for Berkshire's conduct.—(Hear, hear.). But, Sir, is it not of the utmost importance that we should come to
about this time a considerable event occurr:d_ I have that consideration with plenty of time, in a tranquil mood,
analysed the measures brought forward by oaths Government and not urged by matters of pressig public interest?—
under their various heads, founded upon an assumed surplus (Hear, hear.) But what prospect awaits the House when
which was to sustain a large measure of direct taxation, it meets next February? What part is the Noble Lord
founded upon a fallacious and injurious principle. I have Prepared to take? The Noble Lord is not satisfied
shown you how the window duty, under any circumstances, with financial embarrassment—he is not satisfied with a
was repealed, and nobody wishes to disturb that repeal. I Possible deficiency of 5,00,0001. or • 6,000,0001.
have shown you how few measure were brought forward to —he isnot satisfied that we are to be called on to settle the
diminish your import duties. I have reminded you of the phut derinciplficie on which the revenue should be rand undisturbed
aised to sunnier
measures that were brought forward to relieve the distressed tency, but chooses that tranquil
Commons.—
agriculturists. I have reminded you that when Ministers, hour to
, propose a new reform of the House of Commons.—
after an agitated epoch to which Ido not wish to allude, re- (Hear.) Shall Ibe told to-night that, like the surplus, the
constructed thetr Budget. and discarded, in a manner not re- new Reform Bill is to be conditional on a renewal of the in-
constructed
for courtesy or kindness, the claims of the agricul- come-tax
for three years. I beg the House to observe that
total body. I called upon the House to declare their opinion this is the prospect which awaits us. When we meet, we
upon that subject; that though I was supported by nearly a shall have to deal with a probable deficiency of millions in
moiety of its members, I was not successful in obtaining the the revenue—we must supply the deficiency—we must dis-
object of my desires ; and, Sir, I made no further objection to cuss the principle on which the financial system of the coon-
the Budget of the Minister. I was satisfied with fulfilling try is to be established, and at the same timed that he r a-
what I considered a public duty, and from that moment I was II jesty's Government are pledged—mind you, pleged—to M
in-
resolved, as far as I was concerned, that the measurestroce a very extensive
measure measure re of Parliamentary re o frm
the
which the Minister brought forward under such circum- —( duHear.) To s they are in
stances, and of which I questioned and challenged the pro- must formal mentier.—(Hear.) Must I recall to the memory
priety, under those circumstances should not receive our op- i of the House the language used b Bonaabinet Minister and
position. But what disturbed the serenity of the financial i adopted by his colleagues on the s reading of the Bill
guelment ? Nothing frem this side of the 11902 e. The ' introduced 1,3 r the lie% liember for Are Surrey, when

formal announcement wee made in order that. all similar
discussions might be terminated for this session ? lam sure
the Hon. Member for Montrose and his friends cannot have
forgotten that announcement of the Secretary-at-War; and I
am quite as certain that the Hon. Member and his Friends
mean to hold the Government to its engagement.--(Hear,
hear.) The motion -of the Hon. Member for East Surrey,
though it was of itself of a very extensive character, did not
satisfy Ministers. The Right Hon. Gentleman, the Secre-
tary-at-War met it by asking what use there was for so
partial and limited a proposal. " Ministers have deliberated
well on this question, and the Right Hon. Gentleman the
Prime Minister has given you hints before, but as you press
me, I tell you the measure will be comprehensive, and not
partial and limited like this."—(Hear.) Such was the
language of the Secretary-at-War. Ministers are pledged to
deal with the subject in all its ramifications—they are
pledged to bring forward, a complete and comprehensive
measure, and to the financial measure the Noble Lord pro-
poses to add a political experiment, and all to be discussed
in the first week of February next.—(Hear. hear.) Surely,
Sir, with such a prospect, it would be just as well to keep
hold of 1,800,000/, of revenue if we can without disappoint-
ing what I acknowledge to be the legitimate expectations of
the commnity with respect to the remission of the window-
tax, which, so far from questioning, is a part of those
measures I wish to recommend for the adoption of her Ma-
jesty's Government.—(Hear, hear.) Well, then, Sir,
the motion which I have put before the House does not
pledge Hon. Members to much more than to a very
salutary principle in our financial arrangements ;
but I should be ashamed of myself if I attempted to conceal
the course with regard to which we are willing to support
Ministers if they zealously pursue it. We are willing to
support Ministers in a complete repeal of the duty on win-
dows. We do not wish in any way to interfere with that
arrangement—an arrangement the wisdom of which lam
not here at present to challenge.— (Hear.) But whether it
be wise or unwise, expe'dient or inexpedient, I think in
equity it is perfectly unobjectionable.—(Hear.) But, Sir,
with regard to the measure before us, which is virtually a
measure of partial commutation, I should wish to see Go-
vernment transform it to one of complete commutation.—
( Hear.) I think, though we had not a surplus, that the en-
gagement of being relieved from an odious tax like the win-
dow-duty, at the same time that the revenue does not suffer,
is an important consideration, and still more important that
the inestimable instrument which the Chancellor of the Ex-
chequer has re-introduced into our financial scheme should
not be wasted for comparatively trifling and secondary pur-
poses.— (Hear, hear.) With regard to the duties on timber
and coffee, I must again repeat, in a manner the meat de-
cided, that in expressing a hope that Ministers will not
persist with these measures, I am offering no objection
to them on the plea that they are customs duties.—
(Hear, hear.) I discard all those principles of financial
usages which would hold out customs duties as the only
duties which ought to be encouraged. I feel that the revenue
of a country like ours must be raised from various means
spread over,a large surface; and it is only because I believe
there is no surplus to supply the vacancy which will be
caused by those remissions that I hope Minieterte, under the
circumstances, will not persist with what I consider impolitic
propositions. At the same time we are prepared to support
a measure which shall permit the British shipowner to
build his ships in bond with materials free of duty, and
in fair competition with the foreigner who brings his ships
ready made into this country. In saying this, I beg to
state that the loss to the revenue, under these circumstances,
will not be, in my opinion, of any considerable amount. I
have taken great pains to inform myself on this point, and
have availed myself of the information of men most quali-
fied to judge. I think they assumed that the loss by the
remission of the duty on timber would be about 284,000/.,
and I think I can guarantee to the Chancellor of the Ex-
chequer that the odd 84,000/. will be all that he will lose by
permitting British shipowners to build their ships in bond.
It would be not so much a remission of taxes, as an act of
political justice. These are the measures which we are
anxious to see Ministers undertake, assured of our support if
they pursue that course which, according to my observation
and belief, their better judgment once impelled them to fol-
low.— (Hear, hear.) I see a smile on the face of the Presi-
dent of the Board of Trade when I talk of giving Government
our support in carrying these measures, as much as to say
that, though we would support them in these measures, we
would hold back in our support if they were threatened with
a vote of censure from Hon. Gentlemen behind. I can
assure the Right Hon. Gentleman he is mistaken. When I
say we shall support the. Government, it is not merely in
carrying these measures, but also against the menacing con-
sequences he anticipates, and without taking advantage of
any discontent of any section of his followers.—(Hear.) We
would support them because their cause would be that
which we believed necessary for the interests of the country.
Five minutes more, Sir, and I shall have done. After all,
what is the question at stake? It is the public credit of the
country. That is the real question; and it is not to be to-
lerated that a Ministry, acting under a feeling of false shame,
should be encouraged 1n pursuing measures the tendency of
which is considerably to injure the public credit of the
country. I beg to remind the House of this important
consideration. We are so used to the blessings of public
credit—we live in an atmosphere and in a world so com-
pletely influenced by it, that we are not so apt to con-
sider what would be the consequences of any injury
done to it. I was reading to-day an account, by one of
the most eminent publicists in existence, of a recent visit to
this country, and I was struck with one sentence, the justice
of which I am not prepared to -acknowledge, but which I
think is worthy the consideration of the House, He says,
" Things have changed in Englapd as everywhere else, and
property is not so secure as it was, nor public credit as
sacred." Now, I believe the eminent writer was misled by
symptoms which, though superficial, might mislead a fo-
reigner, however able and experienced; but the observation
is one deserving attention, and I' think it becomes the House
to consider how dependent public credit is on the conduct
of Parliament. We know well that the resources of Eng-
land, though not inconsiderable, are inferior to those of
many countries which do not occupy the position she
does in the eyes of mankind. We were often told by
Honourable Gentlemen opposite, when members of the
Anti- Corn Law League, that there was scarcely a
raw prodection used in our manufactures which was
not imp:Oiled from foreign countries. We know well that
the most 'celebrated diamond in the world, which blazes at
this moment close to us, within the crystal walls of that
enchanting palace, which the enlightened taste and pre-
scient philanthrophy of an illustrious Prince have raised to
the glory of England, and- the instruction of two hemi-
spheres—we know, I say, that that diamond was never
found within the dominions of the illustrious Consort of that
Prince, our Sovereign Lady the Queen; and we know that
if all the geologists in the empire were to explore with their
hammers the rocks and hills that surround as, they would
not be successful in producing one ingot of that metal, the
thirst for which, as the poet tells us, has produced so much
misery to mankind.—(Hear, hear.) I was, Sir, somewhat
amused, and not a little astonished, with a statistical work
which I met with the other day, and which professed to
catalogue the resources of the principal dominions in the
world. I remember it stated that the revenue of Russia,
whose gigantic destinies menace as it were the coming gene-
rations of men, is not so great as that raised by the English
excise. Then came the ancient empire of the Kaisers, with
xte_ohfc
of the
Bohemia,eeena grE.country—those
h thec
ehaHear ci.mu)unoegurAa,n
trtnaay
dnx,
daea
taxes
stdwterhaa
strange
isocgfen: Lombardy,
hre
sbmtstoaoar
msdd theyap
stamps
itswsltiht
giaathmhtt t rpsai soprl
theapee
nvecrdekhnpi
nottaulnaenegxxcdee kingdom ml
ioi
mnr. e
the revenue of Russia, that mighty power, whose disci-
plined array only last year 'frightened all the capitals of
Europe, is not so great as that local and provincial taxation
of this country, with the peculiarities of which it has been
my fortune so often to trouble the House.—(Hear.) Nor,
Sir, can I forget that even India, with its cloud of kings and
myriads of subjects—with its mountains of light and pillowed
palanquins—with its stores of gems showered at the feet of
our Queen, does not throw from its exuberant bosom a public
income so great as that afforded even by the curtailed cus-
toms of England.—(Hear.) By what magic is it that Eng-
land has produced a revenue greater than that of all these
immense dominions? It is by this public credit—a produc-
tion of British growth more to be prized than the harvest of
tropical climes•—more precious than the gems of Golconda,or
the auriferous deposits in the Sierras of the Pacific.—( Hear,
hear.) Of this public credit Parliament is the creator —the
champion, the guardian.—(Hear, hear.) Is it possible, then,
that the House of Commons will ever hesitate to fulfil its
duty. I cannot believe it, and with the conviction that they
will do it, I beg to move by way of amendment, the resolu-
tions I now place in your hands.—(Cheers.) The Hon.
Member concluded by moving the following resolutions :
' That, according to an estimate of the probable future
produce of the existing taxes, submitted to this House by
the Chancellor of the Exchequer, it appears that a surplus
revenue may be expected in the present year to the extent
of about 2,000,0001.
‘• That in the revenue so estimated is included a sum ex-
ceeding 5,000,000/. derived from the tax on income, respect-
ing which an inquiry has been directed to be made by a
Committee of this House, on the result of whose labours may
depend the future renewal or modification of that important
impost.
"That in this provisional State of the financial arrange-
ments of the country, it appears to this House to be most
consistent with a due• regard to the maintenance of public
credit and the exigencies of the public service, not to make
any material sacrifice of public income in effecting such
changes as may be deemed advisable is other branches of
taxation.",{
The question having been put,
The CHANCELLOR of the EXCHEQUER said, that
the present was the third time on which the Hon. Gentleman
had addressed the House on financial subjects, and whatever
talent he might have displayed, he had, at the conclusion of
his speech, left them in the most profound ignorance of his
intentions. The only practical recommendation in the Hon.
Gentleman's elaborate display of two hours and a half was,
that of permitting British shipowners to build their ships in
bond. But another disadvantage attended -the speech. It
not only fell short of the motion, but it was absolutely con-
tradictory. In the motion the Hon. Gentleman said that no
tax should be repealed; but in his speech he was willing to
repeal the window-tax. The Hon. Member had indulged a
lively imagination, and had talked of the gigantic empire of
Russia—the triple empire of the Kaisers. He had then tra-
velled palanquins -down oken of mountains of light and pil-
lowed pto such humble things as stamps
and taxes. Now all that was very eloquent, but the only
point which he had to notice was that relating to the finan-
cial condition of the country. The Hon. Member was mis-
taken in supposing that no man could tell what was the
financial condition of the country at this moment. Now all
the statements he had made in the budget of the 4th April
were fully warranted. He still believed that the
surplus would be 1,900,000/, as stated, minus the
expense of the Kafir war. The Hon. Gentleman was mis-
taken in supposing that the surplus of this year would de-
pend on the permanence of the income-tax. What might be
the case next year he could not say, but this year the income-
tax did not affect the surplus. He had never advocated the
income-tax as a permanent tax; but merely as a tax to
enable them to cover certain reductions in the finances of
the country. The Hon. Gentleman had a lively imagination,
but he should not exercise it in putting words into his (the
Chancellor of the Exchequer) mouth which he had never
used. What he had stated was, that he thought the House
should only this year deal with those taxes which it was
indispensable to deal with, and leave for future consideration
the question whether it would be advisable to make other
changes in connection with the income and property-tax.
The Hon. Gentleman had said, although the Government re-
tained their places, they had also preserved the financial
measures which, every one had thought were withdrawn.
Now, not only himself, but his Noble Friend at the head of
the Government, had distinctly stated that they were not
inclined to make any alteration whatsoever in the financial
measures of the year. There might be some few which ib
did not matter much whether they passed in April, or May,
or June; but generally they had determined on adhering
to their plans. What was the nature of the motion of the
Hon. Gentleman ? It was "That no material sacrifice of
public income should be made in effecting such changes as
might be deemed advisable in other branches of taxation."
Now that meant—if it meant anything—that not only no
reduction which had already passed that House should be
admitted, but that the relief which had been promised in
one particular impost should be abandoned, and that the
window-tax was neither to be repealed nor modified, nor a
house-tax substituted in its place.—(Hear, hear.) The Hon.
Gentleman, on a former occasion, also made a long. speech,
and proposed an amendment' OA going into Committee on
. ,

!;). os,;1