will be much better. But the honourable gentleman says, that if this plan should have been brought forward at all, it should have been brought forward much sooner. He acknowledges that in cases of great danger, great efforts ought to be made. Now, I think that in our former situation we were not in so much dan'ger as we are at present, if we do not make great resistance; and therefore it appears to me to be more sensible to make great efforts in time when they are necessary, than to make them when the circumstances of the time do not call for them, especially when by your financial operations, you are likely to bring the contest to a happy termination. But the honourable gentleman says, that this plan is to shew that we are at the end of our resources. If he thought so, he might have spared himself the trouble of pronouncing a panegyric upon these resources in the course of his speech this night. The honourable gentleman says, that this plan shews to the world that we are at the end of our funding system. The manner in which persons possessed of capital in different parts of the country have acted, in investing their property in your funds, is no proof that monied men think so; but proves, on the contrary, the confidence they have in your resources, and proves also, that wealth is generally diffused all over the country. This wealth is manifested in the improvement of your agriculture, in your buildings, in your canals, in your inclosures; all these, I say, prove that you possess at this moment the confidence of monied men, that there is at this moment more wealth than there was at any former period in this country.

The resolution was agreed to, and a day was fixed for taking the several propositions of the Chancellor of the Exchequer into further consideration.

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December 4, 1797.

The House having resolved itself into a Committee of Ways and Means, Mr. PITT rose and spoke to the following effect:

Having upon a former day so fully stated to the committee the leading principles of the plan by which it is proposed to raise the supplies for the present year, what I have now to offer will be confined within a much narrower compass, and will consist in a detail of the particulars of what has been already stated in the outline. Before I proceed, however, in this detailed explanation, I wish to recapitulate shortly to the committee the general grounds on which the plan I have proposed is brought forward, and the principles on which its expediency ought to be determined. It is universally felt that great and unusual exertions are necessary; it is felt that this necessity is imposed upon us by no act, by no choice of our own; it is manifest to the world that the struggle we have to maintain, and the sacrifices we are called upon to make, are rendered inevitable by the unshaken obstinacy, by the inveterate animosity, and the insatiable ambition of the enemy with whom we contend. It is now proved beyond dispute, that the nature of the contest is such, that what ever efforts may be required, whatever sacrifices may be neces sary, it is our duty to exert them to the fullest extent which the exigency may demand; and if we possess the smallest spark of the spirit of freemen, if we retain any remains of the character of Englishmen, we cannot hesitate in our determination. Since we are called upon to make such exertions, we have likewise the satisfaction of knowing, upon a review of the means which we possess to second the resolution we are compelled to adopt, that in every criterion of real wealth, of radical strength, of unimpaired vigour and resource, to oppose the unjust pretensions of an implacable enemy, there never was a period in which a nation was better prepared to maintain so important a contest, With such means in our power, I would likewise bring to the

recollection of the committee the objects which we ought to keep in view in the mode we employ of bringing them into action. I would desire you to recollect the importance of raising at least some part of the supplies of the year, without making too large additions to the capital of the funded debt. It is on the embarrassment of the funding system that the hopes of the enemy are founded. If, therefore, we are desirous to make the necessary exertion, in such a manner as will best tend to disappoint the hopes which the enemy have conceived, and to gain the object which we have in view, we shall find that it is our true policy to prevent such an accumulation of funded debt in the market, as would depreciate the public securities at present, and entail such permanent burdens as might cripple the exertions of the state at some future period,

Such then is the general outline of the object, which the plan I have proposed professes to have in view. From the principle on which it proceeds follows this natural conclusion, that we are bound to attempt to raise within the year such part of the supplies for the public service, as will confine the funding system within proper limits, and guard against the consequences which might be apprehended from its excess. If too we look at the present state of public finance, at the means of giving it vigour and stability; if we look at the means of strengthening and perpetuating the resources on which the greatness of the empire is founded, we shall be convinced, that it is important to consider in that part of the supplies which a loan may be employed to provide, what measures may be taken to prevent that accumula tion, and whether some new modes of redemption may not be introduced, to prevent a perpetuation of the burthens to be incurred. Proceeding upon these principles, then, it remains to be discussed, what criterion is to be taken, in order to fix the plan by which the supply is to be raised. I formerly stated, that, for the purpose of fixing the proportions in which the burden. should be imposed, an universal call for the disclosure of property would be inconvenient and imprudent. The question then is, what is the best mode of fixing the proportions, according to

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which each individual shall be called upon to contribute? As a first criterion of the means and ability of those on whom the burthen ought to fall, I thought none more fair and reasonable than the rate of the assessed taxes; a mode, however, subject to abatement and modification, according as particular applications might demand. As a reason for adopting this criterion, I stated that these taxes were drawn from a very numerous class, that they were paid by about 800,000 masters of families, including a population, probably, of about four millions. This mode was likewise preferred, because it exempts altogether from contribution two or three millions of the poorer classes, whom it would be a principal object in any measure of taxation, to favour and relieve. In the next place, the payment of these taxes, in their different combinations of necessary or more voluntary expenditure, may afford a fair criterion of the ability of the contributors, and the proportions in which they ought to be called upon. The third object to be considered is, the means of modification which this principle admits in the cases where its application might be oppressive or unequal.

What then is the nanner in which the burden is proposed to be distributed? From the consideration of this point, the committee will be able to judge, whether or not it includes the means of affording relief and mitigation to those classes whom it is an object of importance to favour. Gentlemen will recollect that I formerly stated the amount of the assessed taxes to be 2,700,000l.; to this there will be some addition, as the whole of what had been imposed last year, though in a train of collection, had not yet reached the treasury. This, from the receipts already collected, to the amount of four-fifths, might on the whole be estimated at 600,000l. From the completest information which could be derived from the papers upon the table, such might be the amount of the produce of these taxes. They consist of two kinds. The house tax, inhabited houses, commutation, or old duty, with the additional 10 per cent duties, amount to 1,500,000l. The remaining 1,300,000l. arises from male servants, horses, carriages, dogs, and watches. Upon

the latter class, it is proposed in general to triple the assessment, and to modify the former in proportion as they are combined with the payment of those of the latter description. In the former class, it is now proposed to include dogs and watches, though they are properly comprehended in the latter. The reason of this is, that, although in proportion to their number, they might be considered as a test of wealth, yet, there are many cases where only one is kept by persons paying the house duty. It would be unequal, therefore, to impose the triple rate in cases where dogs and watches were only kept in that small proportion which does not furnish any test of the ability of the con tributor. This arrangement, however, will occasion no defalcation. It will only extend the modification to those cases where it is most to be desired that the burden should fall as light as possible.

After taking notice of this distinction, I shall now proceed to state what is the mode proposed for fixing the rate, in those cases where it is not intended to impose the triple assessment. Where the house, window, dog, and watch taxes, alone are hard, it is not intended to apply the triple assessment, unless the amount be more than 37. Where not more than 17. of assessed taxes is paid, it is proposed, that the proportion shall be no more than one half of the present rate. From 17. to 21. only a single rate, and from 21. to 31. a double rate. By considering the manner in which this mitigation applies, and the number of persons whom it comprehends, the committee will be able to judge of the extent of relief which it will afford. In order to place this matter in a more striking point of view, I shall state how many are comprehended in the class in whose favour it will operate. I have already stated that the whole contributors to the assessed taxes are about 800,000; out of these there will be 330,000 who will pay no more than half a rate, and consequently only one-sixth of the general average additional assessment. It will likewise be found that 130,000 will pay only the single rate, and 70,000 only the double; so that there are $30,000 to whom the abatement on the first rate will apply. After