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The Company was then compelled to reduce its dividends to six per cent. and apply to Parliament for a loan of a million and a half to meet its pecuniary difficulties. This, Ministers and Parliament complied with, and proceeding to relieve the Company of its embarrassments, Lord North[208] proposed and carried a measure, by which the Company, which had no less than seventeen million pounds of tea in its warehouses, should, without limit of time, be authorised to export its teas to the British colonies of America duty free. This was thought a great and conciliatory boon to the Americans, but it proved otherwise. The import duty of threepence in the pound was still stubbornly retained, and the Americans, looking at the principle of taxation, and not at a mere temptation of a cheapened article, saw through the snare, and indignantly rejected it. The principal tea merchants declared that this would be the case, and that the whole Government scheme was wild and visionary.
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THREE:In fact, the chief scene of the war during this year continued to be south. In September, D'Estaing arrived off Savannah, to co-operate with the American forces in recovering that important place. He brought with him twenty-four ships of the line and fourteen frigates, and was moreover attended by a numerous squadron of French and American privateers, besides carrying a considerable body of troops. On learning D'Estaing's approach, General Lincoln and Governor Rutledge began to march their troops towards Savannah, and sent a number of small vessels to enable the French to carry their troops up the river, and land them near the town. General Prevost, commander of the English garrison, made the most active preparations to receive them. D'Estaing had agreed to wait for the arrival of General Lincoln, with the South Carolina force, but, with the want of faith characteristic of the man, on the 12th of September he landed three thousand men, and summoned General Prevost to surrender in the name of the French king. Prevost claimed twenty-four hours to decide, and this time he employed in strengthening his defences. Before the expiration of this time Colonel Maitland, who was on the march for Beaufort with eight hundred veterans, came in, and Prevost returned for answer that he would defend the place to the utmost. On the 16th, General Lincoln arrived, and was greatly incensed to find that D'Estaing had broken the agreement to wait for him, and still worse, had summoned the place in the name of France instead of the Congress.

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THREE:Nelson, having blockaded the port of Alexandria, sailed to Naples to repair. There he received the news of the intense rejoicing his victory had spread through England, and that he was raised to the peerage by the title of Baron Nelson of the Nile. He found Ferdinand of Naples already collecting an army to drive the French from Rome and Tuscany. Austria, Switzerland, and other countries were again in arms. The Treaty of Campo Formio was at an end by the French violation of it everywhere, and as it was supposed that Buonaparte would never be allowed to get back again, the spirit of Europe had revived. Nelson, allowing himself as little repose as possible, in November had made himself master of the Island of Gozo, separated only by a narrow channel from Malta. He had blockaded Malta itself, and it must soon surrender. Pitt, elated by Nelson's success, and in consequence of the death of the old czarina, Catherine, some two years earlier, now entered into a treaty with her successor, Paul, who was subsidised by a hundred and twelve thousand pounds a month, and great expectations were raised of the effect of his victorious general, Suvaroff, leading an army into Italy. The other members of the second grand coalition were Austria, the Princes of Germany, and the Ottoman Empire. Prussia weakly held aloof. When the British Parliament met on the 20th of November, the late victory and this new alliance with Russia were the themes of congratulation from the throne. Twenty-nine million two hundred and seventy-two thousand pounds were granted with alacrity for the ensuing year, and the nation willingly submitted to the imposition of a new impostthe income tax.

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ONE:The new Ministry were now to find that it was very difficult to perpetuate principles and measures which they had for a quarter of a century been condemning simply because they furnished weapons of annoyance to the party then in power. The public, still smarting under the ruinous mismanagement of the war, returned to the charge, by demanding an inquiry into the conduct of Walpole, whom they accused of their sufferings. These petitions were introduced and recommended by what were called the Boy PatriotsPitt, Lyttelton, and the rest.LORD NORTH.
FORE:It was not till between eleven and twelve o'clock on the morning of Sunday, the 18th of June, that this terrible conflict commenced; for the troops of Napoleon had not yet all reached the ground, having suffered from the tempests of wind and rain equally with the Allies. The rain had now ceased, but the morning was gloomy and lowering. The action opened by a brisk cannonade on the house and wood of Hougomont, which were held by the troops of Nassau. These were driven out;[99] but their place was immediately taken by the British Guards under General Byng and Colonels Home and Macdonald. A tremendous cannonade was kept up on Hougomont by Jerome's batteries from the slopes above; and under cover of this fire the French advanced through the wood in front of Hougomont, but were met by a terrible fire from the British, who had the orchard wall as a breastwork from which to assail the enemy. The contest here was continued through the day with dreadful fury, but the British held their ground with bull-dog tenacity. The buildings of the farmyard and an old chapel were set fire to by the French shells; but the British maintained their post amid the flames, and filled the wood in front and a lane running under the orchard wall with mountains of dead.

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FORE:

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FORE:From a Drawing by BIRKET FOSTER, R.W.S.Goldsmith was in his poetry, as in his prose, simple, genuine, and natural. His "Deserted Village" and "Traveller" were in the metre of Pope, but they were full of the most exquisite touches of pathos, of truth, and liberty; they were new in spirit, though old in form. Charles Churchill, the satirist, was full of flagellant power. He has been said to have formed himself on Dryden; but it is more probable that his models were Lucian and Juvenal. He was a bold and merciless chastiser of the follies of the times. He commenced, in the "Rosciad," with the players, by which he stirred a nest of hornets. Undauntedly he pursued his course, attacking, in "The Ghost," the then all-powerful Dr. Johnson, who ruled like a despot over both literary men and their opinions. These satires, strong and somewhat coarse, were followed by "The Prophecy of Famine," an "Epistle to Hogarth," "The Conference," "The Duellist," "The Author," "Gotham," "The Candidate," "The Times," etc. In these Churchill not only lashed the corruptions of the age, but the false principles of nations. He condemned the seizure of other countries by so-called Christian powers, on the plea of discovery. It was only to be lamented that Churchill, who was a clergyman, in censuring his neighbour's vices did not abandon his own.

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Many improvements were made also in the glass manufacture during this reign, and more would undoubtedly have been made but for the very heavy duties upon it to help to support the ruinous wars of the period. In 1760, the first year of the reign, crown glass is said to have been introduced. In 1763 the first glass plates for looking-glasses and coach-windows were made at Lambeth. In 1779 flint-glass was first made; and about that time plate-glass. The duties on different kinds of glass at that date were about one hundred and forty thousand pounds per annum. So oppressive were those duties that, in 1785, the St. Helens Plate-glass Company petitioned Parliament, stating that, in consequence of the weight of taxation, notwithstanding an expenditure of one hundred thousand pounds, they had not been able to declare a dividend.THE ROYAL PALACE, MADRID. (From a Photograph by Frith & Co.)The Crown had resolved to proceed against the queen by a Bill of Pains and Penalties, the introduction of which was preceded by the appointment of a secret committee, to perform functions somewhat analogous to those of a grand jury in finding bills against accused parties. Mr. Brougham earnestly protested against the appointment of a secret committee, which was opposed by Lords Lansdowne and Holland. The course was explained and defended by the Lord Chancellor, who said that the object of Ministers in proposing a secret committee was to prevent injustice towards the accused; that committee would not be permitted to pronounce a decision; it would merely find, like a grand jury, that matter of accusation did or did not exist; such matter, even if found to have existence, could not be the subject of judicial proceeding, strictly so called. The offence of a queen consort, or a Princess Consort of Wales, committing adultery with a person owing allegiance to the British Crown would be that of a principal in high treason, because by statute it was high treason in him; and as accessories in high treason are principals, she would thus be guilty of high treason as a principal; but as the act of a person owing no allegiance to the British Crown could not be high treason in him, so neither could a princess be guilty of that crime merely by being an accessory to such a person's act. Yet although, for this reason, there could be no judicial proceeding in such a case, there might be a legislative one; and the existence or non-existence of grounds for such legislative proceeding was a matter into which it would be fit that a secret committee should inquire. In no case could injustice be done, because that committee's decision would not be final. There might be differences of opinion about the best mode of proceeding, but, for God's sake, said the Lord Chancellor, let it be understood that they all had the same object in view, and that their difference was only about the best mode of procedure.Accordingly, on the morning of the 17th, he sent a flag of truce to Washington, proposing a cessation of hostilities for twenty-four hours, in order that commissioners might meet and settle the terms of surrender. They were soon arranged, and articles of surrender were signed by the respective generals on the morning of the 19th of October."I have had great satisfaction in giving my assent to the measures which you have presented to me from time to time, calculated to extend commerce, and to stimulate domestic skill and industry, by the repeal of prohibitory and the relaxation of protective duties.
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