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ministers a frank and explicit adoption of free trade through the address, and secondly, the immediate production of their financial measures. Lord Derby told Hardinge at Windsor that he thought that neither expectation was far wrong. When the Peelites met at Lord Aberdeen's to discuss tactics, they were secretly dissatisfied with the paragraphs about free trade.

      Mr. Disraeli had laid down at the election the sonorous maxim, that no statesman can disregard with impunity the genius of the epoch in which he lives. And he now after the election averred that the genius of the age was in favour of free exchange. Still it was pleasanter to swallow the dose with as little public observation as possible. 'What would have been said,' cried Lord Derby in fervid remonstrance, 'if shortly after catholic emancipation and the reform bill had been admitted as settlements, their friends had come down and insisted not only that the Houses of parliament should consent to act on the new policy they had adopted, but should expressly recant their opinion in favour of the policy that had formerly prevailed? What would the friends of Sir R. Peel have said in 1835 if, when he assumed the government and when the new parliament assembled, he had been called upon to declare that the reform bill was wise, just, and necessary?' The original free traders were not disposed to connive at Derbyite operations any more than were the whigs. Notice was at once given by Mr. Villiers of a motion virtually assailing the ministers, by asserting the doctrine of free trade in terms they could not adopt. 'Now,' says Mr. Gladstone, 'we came to a case in which the liberals did that which had been done by the government in the case of the Four Seats bill; that is to say, they raised an issue which placed us against them. Lord Palmerston moved the amendment which defeated the attack, but he did this at the express request of S. Herbert and mine, and we carried the amendment to him at his house. He did not recommend any particular plan of action, and he willingly acquiesced in and adopted ours.' He said he would convey it to Disraeli, 'with whom,' he said, 'I have had communications from time to time.'

      In the debate (Nov. 26) upon the two rival amendments—that of Mr. Villiers, which the ministers could not accept, and that of Palmerston, which they could—Sidney Herbert paid off some old scores in a speech full of fire and jubilation; Mr. Gladstone, on the other hand, was elaborately pacific. He earnestly deprecated the language of severity and exasperation, or anything that would tend to embitter party warfare. His illustrious leader Peel, he said, did indeed look for his revenge; but for what revenge did he look? Assuredly not for stinging speeches, assuredly not for motions made in favour of his policy, if they carried pain and degradation to the minds of honourable men. Were they not celebrating the obsequies of an obnoxious policy? Let them cherish no desire to trample on those who had fought manfully and been defeated fairly. Rather let them rejoice in the great public good that had been achieved; let them take courage from the attainment of that good, for the performance of their public duty in future. All this was inspired by the strong hope of conservative reunion. 'Nervous excitement kept me very wakeful after speaking,' says Mr. Gladstone, 'the first time for many years.' (Diary.)

      Villiers's motion was rejected by 336 to 256, the Peelites and Graham voting with ministers in the majority. The Peelite amendment in moderated terms, for which Palmerston stood sponsor, was then carried against the radicals by 468 to 53. For the moment the government was saved.

      This evening, Mr. Gladstone writes on the next day, Nov. 27, I went to Lady Derby's evening party, where Lord Derby took me a little aside and said he must take the opportunity of thanking me for the tone of my speech last night, which he thought tended to place the discussion on its right footing. It was evident from his manner, and Lady Derby's too, that they were highly pleased with the issue of it. I simply made my acknowledgments in terms of the common kind, upon which he went on to ask me what in my view was to happen next? The great object, he said, was to get rid of all personal questions, and to consider how all those men who were united in their general views of government might combine together to carry on with effect. For himself he felt both uncertain and indifferent; he might be able to carry on the government or he might not; but the question lay beyond that, by what combination or arrangement of a satisfactory nature, in the event of his displacement, the administration of public affairs could be conducted.

      IV

       MR. DISRAELI'S PROPOSALS

      The respite for ministers was short. The long day of shadowy promises and delusive dreams was over; and the oracular expounder of mysteries was at last gripped by the hard realities of the taxes. Whigs and Peelites, men who had been at the exchequer and men who hoped to be, were all ready at last to stalk down their crafty quarry. Without delay Disraeli presented his budget (Dec. 3). As a private member in opposition he had brought forward many financial proposals, but it now turned out that none of them was fit for real use. With a serene audacity that accounts for some of Mr. Gladstone's repulsion, he told the House that he had greater subjects to consider 'than the triumph of obsolete opinions.' His proposals dazzled for a day, and then were seen to be a scheme of illusory compensations and dislocated expedients. He took off half of the malt-tax and half of the hop duty, and in stages reduced the tea duty from two shillings and twopence to one shilling. More important, he broke up the old frame of the income-tax by a variation of its rates, and as for the house-tax, he doubled its rate and extended its area. In one of his fragmentary notes, Mr. Gladstone says:—

      Having run away from protection, as it was plain from the first they would do, they had little to offer the land, but that little their minority was ready to accept. It was a measure essentially bad to repeal half the malt duty. But the flagrantly vicious element in Disraeli's budget was his proposal to reduce the income-tax on schedule D. to fivepence in the pound, leaving the other schedules at sevenpence. This was no compensation to the land; but, inasmuch as to exempt one is to tax another, it was a distinct addition to the burdens borne by the holders of visible property. It was on Disraeli's part a most daring bid for the support of the liberal majority, for we all knew quite well that the current opinion of the whigs and liberals was in favour of this scheme; which, on the other hand, was disapproved by sound financiers. The authority of Pitt and Peel, and then my own study of the subject, made me believe that it was impracticable, and probably meant the disruption of the tax, with confusion in finance, as an immediate sequitur. What angered me was that Disraeli had never examined the question. And I afterwards found that he had not even made known his intentions to the board of inland revenue. The gravity of the question thus raised made me feel that the day was come to eject the government.

      ATTACK ON THE BUDGET

      It was upon the increase of the house-tax that the great battle was finally staked. Mr. Gladstone's letters to his wife at Hawarden bring the rapid and excited scenes vividly before us.

      6 Carlton Gardens, Dec. 3, 1852.—I write from H. of C. at 4½ just expecting the budget. All seem to look for startling and dangerous

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