was 13,933,2717., and this would be the fair amount at which they ought to be taken. The permanent charge upon the consolidated fund was 11,532,000l. The sum to be expected from the imprest now in the hands of accountants would be 200,000l. The sum to be expected from Dutch prizes, on which his majesty had been pleased to signify his royal pleasure, might be brought into the account with strict regard both to justice and liberality. The captures were made, in a great degree, before the two countries were in a state of hostility, by the order of ministers, without risk or hazard to the captors, and without that sort of labour and exertion which was the foundation of prize. Others, however, had certainly been made with great personal hazard, and with great exertion. His majesty would in all the variety of cases make just and liberal allowance to the satisfaction of the service; but with all this a considerable sum would accrue applicable to the public service. He would take it at 1,000,000l. All these, therefore, he should take at 3,595,000l. Add to this the loan of 18,000,000l. which would make the sum of 27,845,000l. at least two millions and a half. On the army extraordinaries he had also confidence that a considerable saving might be made; and that they would not excecd two millions and a half. He estimated therefore the sum which they would have to incur on these two heads in the course of this year beyond the estimates at 4,000,000l. Another important sum which they would have to look for in the course of this year, would be the bounties on the corn to be imported into this country. On that head he could not pretend to speak with any certainty. It was a head of service to the amount of which he looked with hope rather than fear; and he should be extremely happy to find that he had a great sum to provide for upon that account. He thought, however, the sum of 1,000,000l. was as large a sum for bounties as was likely to be called for. These sums taken together, therefore, would make 5,000,000l., for which they would have to provide. On the other hand, there was a fund to which they might look with confidence, if gentlemen were disposed to refer to it in aid of the public service. It had been a subject of great discussion in that House, He might state that he had in reserve and upon which there certainly was great taxes for 1,000,000l., which had been laid contrariety of opinion. Upon an average on last year above the sum which he had of three years it had produced 300,000l. borrowed: he would leave that, however, to the nation. The provision which the to meet any future expenses that were liberality of the public had made for the unforeseen, or to make up for any defi- American loyalists, and charged upon ciency that there might be in the taxes this fund, was almost made good: generally. It was now his duty to state 250,000l. only would be due after this what further sums would be to be pro-year; and therefore, as gentlemen thought vided for in the course of the present that the produce of the lottery was not session. The navy debt had largely in- more than counterbalanced by the pernicreased. That was, however, a circumcious effects which it had upon the comstance that was less to be regretted than munity, they might undoubtedly look to any other branch of the public service, it as to a fund applicable to the public since the great exertions which had been exigency. Gentlemen would see that made, had raised our navy to so proud a the permanent taxes, and the growing height. The debt had increased also on produce of the consolidated fund, were account of circumstances which were not more than equal to the existing charge likely to arise again, or at least not in upon it; and he had the pleasure to find the same degree. The transport service that, as far as could be yet ascertained, had been a heavy article of charge. The the produce of the taxes of last year bid debt had increased to 5,000,000l. It fair to come up to the sums at which they was 3,500,000l. on the 31st Dec. 1794, were taken. He had now, therefore, only so that the increase of navy debt was to find taxes for the interest of 18 mil. 1,500,000l. This was to be ascribed to lions, which was the amount of the loan, the useful measure which had been and for which he had contracted. He adopted of the purchase of India ships, would shortly state the terms, and would and to the employment of a great num- hereafter explain to the committee the ber of transports. He had perfect con- reasons upon which he had acted in the fidence that in the ensuing year they bargain that he had made. The interest might hope for a saving in this branch of on every 100l. which he had borrowed, was 4l. 13s. 6d., to which was to be added the one per cent. wisely provided for by parliament in aid of the fund for discharging the national debt. This made the total interest on every 100l. 6l. 3s. 6d., which interest on a loan of 18 millions, amounted to 1,111,500l., and for this sum he had to propose to the committee taxes as a provision. The first tax which he had to propose was upon that species of legacy, which, without taking in the lineal heirs, extended to collateral branches and to strangers. The second was an additional duty of 10 per cent. on the assessed taxes. The third was a tax upon horses. It was his intention to double the duty upon all horses kept for pleasure, following the same advances in proportion to the number as were now observed; and upon all horses employed in trade and agriculture, he proposed to lay a very trifling duty. The fourth was an article of very general consumption, which by their late regulations had been freed from fraud, and which he was persuaded would bear a small additional tax without inconvenience, he meant tobacco. The fifth was also an article of general use, upon which there was at present a duty, but which he was persuaded would bear an increase; he meant printed cottons and calicoes. The sixth was a very small matter of regulation, and not a duty, upon salt; and the last would be a reduction of the bounty on the export of refined sugar, which, he was confident, might be done without any diminution of the trade. He had thus hurried over the several articles upon which he proposed to submit to the committee additional taxes. It would now be his duty to enter more particularly into each. at first one per cent. on all legacies beyond a certain sum; it was afterwards extended to two per cent., and afterwards again extended by another act. The principle, therefore, was not new; and it was his intention to make it on all legacies with an exception only of those to widows, and to the lineal descent. He proposed to lay a tax of two per cent, on all legacies above a certain extent to persons in the first collateral degree of relationship, and also to extend to residuary legatees; 3 per cent. on the next degree of relationship; 4 per cent. on legacies to more distant degrees of relations; and 6 per cent., on all legacies to the still more distant branches of a family and to stran gers. Again he must say, that in a war for the protection of property it was just and equitable that property should bear the burthen; and as it was in the nature of things that landed property was the most permanent, it was first fit that it should contribute accordingly. It was not, however, to be confined to any species of property, it was to include both landed and personal; it was not to have any operation on the actual possessors; nor would it affect the first degrees of consanguinity. In every case the widow, and the direct descent would be excepted. This tax would be on the capital bequeathed. It was difficult to say by what criterion they could judge of the probable income of such a tax. By the probates of wills it was found, that about 3 per cent. was the medium sum to be expected from such a tax; but it was not easy to calculate what would be the amount of its operation. It would be very difficult to distinguish between the quantity of property that went in the lineal descent, and that which went to LEGACIES. It would be obviously ex- collateral branches. Nor would it be tremely difficult to form any other than a easy to ascertain what was the general wide conjecture on the probable amount amount of property. In the beginning of of a tax of this description. He had the present century, chiefly in the reign been disposed to recur to it upon mature of queen Anne, many inquiries had been reflexion. It had been a tax which in made about the extent of landed and the only country of Europe that in its personal property in England. The esprosperity bore any resemblance to Eng-timates had widely differed. The lowest land, had existed without hardship or complaint; he meant in Holland. It had been found by no means oppressive or inconvenient; nor had it in any degree taken from industry its stimulus in the acquisition of wealth. The principle of the tax was also recognized in England, where a duty upon certain kinds of legacies had existed for several years. That duty was [VOL. XXXII.] calculation that had been made was, that the annual rental of Great Britain was twenty-five millions. This was certainly greatly within the mark. But taking it at this rate, and estimating this rental at 28 years purchase, the value of the landed property of the kingdom was 700,000,000/; personal property was estimated at 600,000,000l. So that the whole property [20] of Great Britain was 1,300,000,000l. To form some conjecture as to the amount of the transfer of property by testament, the records of the ecclesiastical courts of Canterbury and York had been searched; and it had been found, that about one-third of the whole of the testaments that wree inadewent to collateral branches. Of landed property the proportion was about onefifth; and therefore it might be advisable, in a conjectural calculation like this, to take the medium, which was one-fourth, upon which to form the probable estimate. On the transfer by will, therefore, of 325,000l. divided again by 33, which, in calculations of this kind was thought a fair standard, the result would be, that this tax should produce 294,000l. a year. From this, however, he must deduct the present tax upon legacies, which amounted to 44,000l. a year. He should therefore take the new tax at 250,000!. assess ASSESSED TAXES.-It was only necessary to state that he meant to exempt horses from this additional ment, as they were to make a separate tax. He estimated the new tax of 10 per cent. on the assessed taxes, including the commutation tax, at 140,000%. HORSES. The duty on horses kept for pleasure was at present 10s. on one horse, and it gradually rose till it came to be double, on persons keeping six horses. It was his intention to double the tax on all the gradations, so that it would hereafter be 17. on a person who kept one horse, and 127. on those who had six. He should estimate the produce at 116,000l. He also intended to lay a small tax on horses kept for industry only. He flattered himself that this would not be considered as any very heavy burden upon industry, and that no farmer would be tempted to keep fewer horses on account of it. The tax he proposed was no more than 2s. per horse, and it was not to increase, whatever might be the number kept by one individual. It was supposed, that there were at least one million of such horses in the kingdom; he should therefore take the tax at 100,000. TOBACCO.-He had every reason to believe that tobacco, which was clearly an article of luxury would bear an additional tax of 4d. per pound, without any apprehension of lessening the consumption, or of giving rise to new frauds. This tax would produce 170,000l. PRINTED CALICOES.-This was an article in such universal consumption, that he was persuaded no injury would be done to the trade, by laying a small additional duty. Printed goods at present bore a tax of 3d, per yard; it was his intention to lay an aditional 21d., making the whole tax 6d., per yard. He estimated this tax at 135,000l. SALT. Upon this he did not mean to lay any additional duty; it was simply a matter of regulation. A discount of 10 per cent. upon prompt payment, was at present allowed. There was also an allowance for waste on its being carried coast-ways, whereas, upon experience, it was found to gain. The proposed regulations would produce 32,000l. . SUGAR. This was also to be considered rather as a regulation than a tax. There was a bounty upon the exportation of refined sugars, which was not necessary to be continued to the present amount, for the encouragement of the trade. It operated as an injury in so far as it tended to increase the price of the article for home consumption. The drawback paid for the exportation of refined sugar last year, amounted to between 7 and 800,000l., though the whole duty on the import had been only 1,200,000l. He proposed to reduce onefourth of the present drawback, which would be a saving to the revenue of 180,000l. The whole amount of the sum at which he estimated the new taxes would be 1,127,000%; and the interest of the sum borrowed was only 1,115,000l. This would have been all that it would have been necessary for him to trouble the committee with, if nothing had been said against the terms on which he had bargained for the loan. A petition had, however, been referred to the committee, which stated certain circumstances upon that subject. He should therefore call its attention to the manner in which he had concluded the bargain upon the loan. In the fourth year of a war, which was allowed by all to be the most arduous in which this country was ever engaged, the public had a loan of 18 millions, at an interest of more than 4 per cent. He stated this to show the state of our public credit, and the opinion which monied men entertained of our resources. A petition which had been referred to that committee stated, that he had departed from the mode which, of all others, when practicable, he should be most ready to adopt; he meant that of making the bidding an open competition. It was his wish that the present, like former loans, should have been conducted in the way of competition. But it was suggested in conversation, that no new competition should take place, till those who were engaged in the former loan had paid up the money, and that it was not usual for any application to be made for payment on a new loan till the former had been completed. It was stated, that a considerable part of the loan of last year was still due; that several millions of scrip had not been paid up; and that there were some of the subscribers who carried on their engagements to the 6th of Februaty. Upon examining the statement, he found that the facts were accurate. But he felt this very forcibly when he came to consider that he must either defer this loan until February, or bring it forward against the consent of the subscribers of the former loan; neither of which did he wish to do. Determined as he was to lose not a moment in stating the vigorous resources of the country, and the extensive means it possessed of prosecuting the contest, the consideration of delay would not, however, have singly induced him to forego the mode of open competition. But the gentlemen who contracted for the last loan stated, that they were willing that this loan might be proposed to other parties, provided an option was reserved to them to take it at a profit of per cent. less than any other bidder, which upon 18 millions was a saving to the public of 90,000l. At the same time, feeling that this engagement might, to a certain degree, discourage competition, he took an opportunity, in the presence of the governor and deputy governor of the bank of England, to bind the present subscribers to accept the terms on which the loan was now fixed. They made him, as it were, an arbitrator between them and the public, and if the competitions failed in this case, he had grossly erred in his judgment, if any competition would have made the terms much better. He thought it right, however, to state to the contractors what was the amount of the unfunded debt, the navy debt, and all those points which might add to the public pressure. He also took oc casion to state the probability of giving the farther aid of the public credit to the Emperor. There might be a loan in 1796, to the Emperor, to the extent of three millions, and under all these circumstances the present loan was concluded. In order to prove that the loan was an advantageous bargain for the public, he referred the committee to the terms of former loans. It was concluded upon terms more reasonable than those of the loan of last year. He was sensible, that by his conduct in this affair, he had exposed himself to much misconstruction. He could only take refuge in his own intentions. But after the statements he had now given, he thought he might with confidence appeal to the candour, the fairness, and the justice of the House. He concluded with moving his first resolution. Mr. William Smith said, that two consi derations arose for discussion-whether the loan was made on the best possible terms, and if it could be shown that it was not, whether parliament ought to sanction a bargain, in which an immense sum of the public money had been thrown away. There were two points to which he was prepared to speak, namely, the intention of Mr. Morgan and his friends to bid for the loan, and the profession which was at one time made by the chancellor of the exchequer, of making it an open loan. But as neither of these points were disputed, he would proceed to examine the reasons that were given for rejecting a competition. He was instructed to say, that till the night immediately preceding the 25th of November, no memorial was presented by Mr. Boyd and his friends, and that they had never till that time publicly talked of presenting any such memorial. Now, if this was the fact, was it not evident, if every thing was fairly and liberally meant, that that night would not have been chosen for presenting the memorial, when it was known ter days before, that it was the intention of the minister to raise the loan by competi tion? For as early as the 16th of November, Mr. Morgan was informed of this intention by the governor of the bank of England, at which time no notice was given that there was to be a preference shown to any particular bidders. To this statement, it was remarkable, there had not yet been any opposition; and he held a circular letter in his hand from an hon. secretary to the contractors, wherein a general invitation was given without any mention of preference whatever. It seemed Mr. Boyd contended, that he and his friends had a lease of the market for a year: but the assertion was founded on a gross misrepresentation, namely, that five millions of the last loan was not paid up; whereas he was ready to prove, that only 477,000l. remained unpaid. The explanation to which they resorted was specious, but would not abide the test of examination. They said, that near five millions remained to be entered in the bank books, and till it was entered, it could not be said to be paid to the public. But it was notorious, that the money was in the market; that it was equally negociable with any other stock; and that it had not the smallest influence on the rise or fall of the funds. The question, then, was, whether the circumstance of 477,000l. of the last year's loan, remaining unpaid, could justify a preference in the bargain for the loan of this year, by which a sum equal to that amount was lost to the nation. For he would contend that the minister might as well have said to Mr. Boyd and his friends, keep this 477,000l. altogether, as have shut the market against Mr. Morgan, and those who wished to be partners with him in the bargain on the present occasion. It was said, that the present petitioners, three years ago, made a similar objection to that brought forward by Messrs. Boyd and Co. But the difference was simply this: on that occasion the loan of twelve millions was contracted for in January or February, and another loan of three millions was proposed to be raised for the Emperor in the May following, when the other loan was at a considerable discount. Besides, who would have been the sufferers, supposing Mr. Morgan and his friends had been admitted to competition? Not the subscribers to the last loan, for Mr. Boyd had connected himself this year with quite a different party from his last year's friends, who were perfectly satisfied with having sold their shares with a profit of 12 or 14 per cent. And he would ask if it was reasonable, that an individual with a new list of subscribers, should come forward and press an advantage, to which, if he had any just claim, it was only while he retained his former connexions? There was also another very considerable difference between the circumstance of the present loan and that of 1793. Then there was an express stipulation reduced to writing, that there should be no other loan; but in the present case, the language had been so vague and loose, that the chancellor of the exchequer hardly recollected that there was any engagement of the kind. In a letter which he sent to Mr. Morgan, he stated, that Messrs. Boyd considered themselves as entitled to a preference, and that he thought them worthy of some degree of attention. But could this degree of attention be supposed to extend to a preference to the amount of 400,000l.? But it was still said, that there were some chance of competition left to Mr. Morgan. If it was examined, however, it would be found to be nothing more than this: "Give in your terms, and if in the opinion of Mr. Boyd, they are not worth his acceptance, then you are saddled with them, and you may make the best you can of a bad bargain. But if Mr. Boyd thinks he can pay a half per cent. more, you shall not get a guinea." Who but an ideot would ever have entered into a competition upon such terms? So much for the competition. It was notorious among monied men, that Boyd was to have the loan, for several months before it was contracted. Odds were repeatedly offered that there would be no competition, and even on the supposition of a competition, that Boyd and Co. would get it.-Mr. Smith then entered into an examination of the terms of the loan, and contended that a better bargain might have been made for the public. Mr. Fox disapproved of many parts of the budget, but should confine his observations to the subject of the loan. Why, he asked, was it necessary to give the subscribers to the last year's loan any preference at all? When he put the question, he had no hesitation about the answer which he should receive-that by one of the stipulations of the last year's loan, the minister was bound to give a preference to Mr. Boyd. If this was really the case, why did he not give Mr. Morgan and his friends notice of this obligation? He was aware of what would also be here advanced, that the right hon. gentleman had no recollection of the obligation, at the time when he professed his intention of making an open loan. But, surely, the obligation could not be serious, of which he had no distinct recollection, especially as it involved a question of so great public moment. He contended, that it put an end to all competition on public loans. He was ready to exculpate the chancellor of the exchequer from having willingly acted an improper part to Mr. Morgan; but he could not exculpate him from a very improper degree of |