The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1903-09-19
BRITISH CABINET
SHAKEN TO PIECES
Chamberlain, Richie and
Hamilton Resign.
AND THE KING ACCEPTS
The Core spondenca Between Chamberlain and
Balfour is Made Publc.--a In Interesting
Reference by Chamberlain to The
Preferential Tariff.
AND THE KING ACCEPTS
(By the Associated Press.)

(By the Associated Press.)
London, Sept. 17.-The designations of
Joseph Chamberlain as secretary for the
colonies; c.. T. Richie, as chancellor of
the exchequer, and Lord George Hamil-
ton, as secretary for India, were officially
announced this evening. 1t was an
nounced also that the designations have
been accepted by the King.
The official announcement was made
at Downing Street in communication
containing the correspondence between
Premier Balfour and Mr.. Chamberlain.
Mr.. Chamberlain's letter is dated Birming-
ham, September 9th. and sets forth the
reasons for his resignation. An extreme
ly interesting feature of the letter is the
following statement, concerning a prefer
entail tariff
For the present, at any rate a pre-
ferential agreement with our colonies, in
volving any new duty however small on
articles of food hitherto untaxed, even if
accompanied by a reduction Of taxation
on other articles of food equally universal
in their consumption, would be unaccep-
table to the majority of the constitu-
encies However much we regret the de-
cision, however mistaken we may think
1T, no good government in democratic
country can ignore 1T. / feel, therefore,
that as an immediate practical policy, the
question of preference to the colonies
cannot be pressed with any hope of sue
cess at the present time, although there
is a very strong feeling in favor of tue
other branch of fiscal reform, which
would give fuller discretion to the govern
ment in negotiating with foreign countries
for freer exchange of commodities, and
which would enable our representatives
to retaliate if no concession was made to
our just demands
Mr.. Chamberlain expresses his firm be-
lief in a closer union of the colonies and
the mother country, and says he can best
promote the cause he has at heart in a
perfectly independent position. Accord
ingly he tenders his resignation with the
suggestion that Mr.. BalfCur "limit the
present policy of the government to an
assertion of our freedom in the case of
all commercial relations with foreign
countries
Mr.. Chamberlain declares that an I'M
scrupulous use has been made of the old
cry of "the dear Loaf" and that serious
prejudice has been created. In the rest
of the letter he goes briefly over the same
ground regarding protection as did Mr..
Balfour in his recent statement.
Mr.. Balfour in a letter to Mr.. Chamber
lain, dated September 16, says:
Agreeing as / do, with you that the
time has come when a change should be
made In the fiscal canons by which we
bound ourselves in our commercial deal
lEgs with other governments, it seems
paradoxical, indeed that you should leave
the Cabinet at the same time that 9TH
ers of my colleagues are leaving it who
disagree on the very point with us both.
Yet, / cannot but admit that there is
some force In your arguments in support
of that course. You have done more than
any man living or dead TO bring home to
the citizens of the empire, the conscious
ness of imperial obligation and inter-de-
pendence between the various fragments
into which the empire Is geographically
divided. / believe you to be right in
holding that this inter Independence should
find expression In our commercial rs well
as in our political and military relations.
l believe with you that a closer fiscal
union between the mother country and
the colonies would benefit the trade of
the North
Mr.. Balfour says if there has been any
difference between Mr.. Chamberlain and
himself it has been on the question of the
establishment of a preference in favor OF
colonial products. AS to this Mr.. Bal
four says if it involves "as it most GER
tainly does, a taxation however, light,
upon food stuffs, l am convinced with you
that public opinion is not ripe for such
an arrangement.
The reasons may easily be found in past
political battles and present political mis-
representations. If, then, this branch OF
fiscal reform is not at present within
the limits of practical politics, you are
surely right in your advice not to treat
it as indissolubly connected with that
ether branch of fiscal reform to which
we both attach Importance and which
we believe the country is prepared to
consider without prejudice
Mr.. Balfour says the loss to the govern
ment by the resignation is great, and
expresses his qualification that Austen
Chamberlain will remain member of the
government. This, Mr.. Ralfour says, is
conclusive evidence that in Mr.. Chamber.
lain's Judgment as in his own, "the exclu-
sion of the taxation of food from the
party program is in the existing circum-
stances a course best fitted practically to
further the cause of fiscal reform.