Volume 2, Chapter 41, Concluding Peace
Although the conflict in America was ended by 1760, the war between Britain and France
continued to rage elsewhere. India, the West Indies, where England captured Guadeloupe
and Europe. Through it all, England was driven by the mania of William Pitt for the total
and the Federal Crushing of the French Enemy. By the end of 1759, Guadeloupe had been conquered
and New France all but vanquished. Coupled with England's commanding position, however,
was the burden of high taxes and of a mounting national debt. Increasingly appalled at the
long and terribly costly war, Newcastle and the Whigs concluded that it was high time
Time to Make Peace. Newcastle's cry was typical. I wish to God I could see my way through this
mountain of expense.
Split war was now began to rage in Great Britain, sponsored by and reflecting the positions
of the contending parties. The imperialist war crowd, led by Pitt, his brother-in-law
George Grenville, the Duke of Bedford and the young Prince of Wales, and his high Tory
Secretary-Advisor the Earl of Bute panicked at any hint of peace and demanded the retention
of every British conquest, especially of Canada. Some imperialist pamphlets went so far as
to urge the conquest of French Louisiana. In the last analysis, however, the imperialists
were willing to concede Guadeloupe in order to keep Canada. Even Pitt's instincts for
for keeping any and all conquest were tempered by the fact that his main political and financial
supporter was Alderman William Beckford. Beckford, leader of the London merchants and financiers,
was one of the richest men in the British Empire, an absentee sugar planter of the West
Indies. He opposed incorporating the fertile and efficient French sugar plantations into
to the Empire and thus into its extensive markets. Furthermore, Pitt himself had strong family
connections with West Indies planters. To counter the imperialist propaganda, the New
Castle Peace Forces enlisted the services of William Burke, Secretary of the newly conquered
Guadeloupe. Burke rose to the occasion with a trenchant and popular pamphlet published
in January 1760. Burke recalled the original war aim as stated in November 1754, the limited
conquest of the Upper Ohio Valley, east of the Wabash. He suggested a return to these
limited war aims, the retention of only Guadeloupe and the Upper Ohio Valley, and the return
of Canada to France. In this way, proper limits would be established to English conquest and
Peace could be concluded quickly and amicably. Several other Whig pamphlets joined Burke
in asking for the return of Canada, one of which was also printed in Boston. The imperialist
counterattacked with another flood of pamphlets in February and March, insisting on keeping
Canada and hence implicitly on continuing the war indefinitely. The major imperialist
The first reply was the influential pamphlet by Benjamin Franklin and Richard Jackson,
The Interest of Great Britain Considered, published in the spring of 1760 and reprinted
that year in Boston and Philadelphia. Franklin, agent of the Pennsylvania Legislature in England,
was a friend of Bedford, Halifax and Pitt, but his closest associates were among the
The High Tory clique, whose leading luminaries were Lord Bute and the Prince of Wales, all
shared the goal of increased centralized royal control over the American colonies, and Franklin
also aimed at royal replacement of proprietary government in Pennsylvania.
As the pamphlet war began to brew at the turn of 1760, Franklin had written to his close
Lord Cames of his Gushing Enthusiasm for a Grandios British Empire
As a Briton, I have long been of opinion that the foundations of the future grandeur and stability of the British Empire lie in America.
Cames, the head of the High Tory Scottish faction that was always an Everest subservient to the Crown and the Royal Prerogative,
commissioned Franklin to write his major imperialist pamphlet.
In this work Franklin held out to the British the usual imperialist visions of being a huge naval power and of vast markets for British manufacturers in a British Canada.
Himself heavily engaged in speculation in western land, Franklin trumpeted the virtues of cheap virgin land to the British Empire.
Grateful for Franklin's allegiance, the Tories were soon to make his son, William, a baronet and a governor of New Jersey.
While Oxford University, the intellectual center of the Tories, granted Franklin an honorary degree.
Newcastle and the Whigs had been able in late 1759 to force the reluctant pit into peace negotiations with France.
By early 1760, England and France were very close to agreement on a mild peace that would
have returned the bulk of Canada and Guadeloupe to French hands, while ceding the Upper Ohio
Valley and Nova Scotia to England and demolishing the French fort at Louisburg.
But Pitt was able to sabotage the negotiations and to break them off by April on the flimsy
Mises excused that the British ally Prussia was not sufficiently protected in the peace
terms, a particularly phony ruse because Prussia itself ardently favored the quick peace.
Pitt and the industrialist greatly needed an issue to prevent peace from breaking out.
They found it in the series of aggressions and depredations they were conducting against
neutral Spain. Spanish shipping was plundered on the high seas along with ships of other
The English log cutters promptly began to violate Spanish goodwill by building forts
and claiming sovereignty over the whole region for England.
Events took a fateful turn in the fall of 1760. The French surrendered Canada in September,
and in the following month King George II died and was succeeded by the Prince of Wales
as George III. Since George II had been an ardent supporter of Pitt's imperialist schemes,
Newcastle and his chief follower, the Earl of Hardwick, as well as their fellow Whigs,
saw in both events an opportunity to resume negotiations for peace. The Whigs reopened
the debate on the peace terms in November in a highly influential pamphlet by the wealthy
Merchant Israel Modwit, Considerations on the Present German War. Modwit advocated the
old Whig policy of returning Canada, while retaining Guadeloupe and the other Sugar Islands.
He also boldly recommended a return to the old Walpole-Pellum policy of ceasing to meddle
or intervene in the affairs of Europe or to whip up conflicts against France.
Mauduit showed that such a course would be far kinder to England's Prussian ally.
The new king promptly added to his cabinet his chief advisor, the Earl of Bute, and Bute
brought in other Tories associated with the royal faction.
The ultimate aims of Bute and King George on the one hand and Pitt on the other were
were quite similar, the absolute destruction of the Whig Party and its legacy of liberalism,
and the aggrandizement of royal control over parliament and country.
Both factions also agreed on the major imperial war aim of retaining Canada, since both had
been nurtured in the visionary imperial dreams of the old Beckfordite opposition to Walpole.
Here they were joined, of course, by the other imperialist factions, such as those of Bedford
and of George Grenville. All these doctrinal positions could join in a systematic policy
of high-Taurism, aggrandizement of strong royal power at home and throughout the empire.
Hence, these Tory-minded factions could also readily agree on other programs of the old
Anti-wall pole opposition, on the ending of salutary neglect, on the rigorous enforcement
of trade regulations over the colonies, and on a strong central government over America,
perhaps to be headed by the pliable Benjamin Franklin.
The imperialists lost little time in mounting a heavy counterattack of pamphlets against
Moduit and the Whigs, The Major Rebuttal, Reasons in Support of the War in Germany,
was published in January 1761 by Robert Wood, one of Pitt's chief aides. But the real author
behind the scenes was thought to be Pitt himself. Also joining in the pressure to keep Canada
was the alderman Sir William Baker, a leading military contractor and merchant in the American
and Trade, in which he was closely associated with the leading American contractors De Lancie
and Watts. By the spring of 1761, the French declared their willingness to yield far more
than called for by the moderate Whig demands. They would cede to Britain, Canada, the Ohio
Valley and even Guadeloupe, provided that France could retain her precious fishing rights
in Canadian and Newfoundland waters, with Lewisburg to protect them.
But the fishing rights were precisely what Pitt was most eager to gain, one of his prime
objects in the war being an English monopoly of Canadian fishing and the crushing of efficient
French competition.
Pitt delighted in pouring cold water on the Whigs, who were overjoyed at the French peace
offer.
He would, he savagely assured to them, fight for another half dozen years to control Canada
and its fishing.
Alderman Baker now returned to the attack, urging not only the retention of Canada and
a monopoly of its fisheries, but also the seizure of French Louisiana.
By the end of June, a new division had emerged in the cabinet, King George, Bute, Pitt, and
Pitt's faithful brother-in-law, Earl Temple, united on a minimum of peace terms the Ohio
Valley, Canada, Lewisburg and the fishing monopoly. The Whigs, Newcastle and Hardwick
were surprisingly now joined by Bedford and John Carteret, who realized that France would
fight to the death for her fishing rights. In reply to the generous French peace offer,
It, bolstered by his wide support, fired an ultimatum. Surrender Canada, Lewisburg, the fisheries and French conquest in Germany in return for keeping Guadeloupe.
Furthermore, none of Spain's grievances against England was to be satisfied, and Pitt disdainfully broke off all negotiations with Spain.
Its ships plundered, its fishing rights banned, and its Honduran territory seized by contemptuous Britain, Spain grew desperate and sought aid from France.
Both Spain and France grew still more anxious at a new highly touted scheme of Bute and George Grenville, Pitt's brother-in-law, to conquer French Louisiana,
A scheme that led to the transfer of General Amherst forces from Canada to Charleston, South
Carolina in the spring of 1761.
Butte and Grenville were heavily influenced in behalf of this plan by a manuscript of
Henry McCullough, a British official in North Carolina.
McCullough, an active speculator in Trans-Carolina lands, had for years hawked a French threat
to America and advocated a strong centralized government over the colonies. Now McCulloch
called for a grab of Louisiana and its valued lands and furs. A debate now ensued on the
meaning of what had been included in the surrender of Canada at Montreal. Pitt insisted that
Canada also included all of Louisiana east of the Mississippi. France, however, pointed
The Surrender did not include the Illinois Wabash area in the southeast.
Thus Pitt, too, had escalated English demands by claiming all of eastern Louisiana from the French.
To appease Pitt's paranoia, France had refrained from forming an alliance with Spain.
But now the two harassed countries began to draw together.
together, it was cleared that Pitt would only issue outrageous demands rather than negotiate
for peace. In desperation, France and Spain agreed in late August that the latter would
enter the war should England permit or prolong the conflict. The maniacal Pitt, sending plots,
now broke off negotiations after France had again refused to accept his ultimatum. Pitt
carried the day by threatening to resign if peace negotiations continued.
Britain now faced the problem of Spain's entry into the war. Open were two courses.
One, to resume peace negotiations, which would keep Spain out of the war. Two, now demanded
by Pitt, to launch aggressive war upon Spain. Indeed, Pitt, in mid-September 1761, urged
an all-out surprise attack on the Spanish fleet, a violation of international law that
would further alienate all European powers from Great Britain.
In all of his recent aggressive designs, Pitt had been able to carry the day over Bedford
and the Whigs by maintaining the support of the Earl of Bute. But now Bute, while favoring
American aggression against Spain disagreed on the timing. He wished to wait and prepare
the public and first end the war on the continent of Europe. Backed by King George, Bute refused
to bow to Pitt's threats to resign if Spain were not attacked. Pitt and Earl Temple were
therefore allowed to resign on October 2nd. Britain's fanatical war leader was now out
was now out of power, but William Pitt was hardly in disgrace.
It was Bute's intention to reinstate Pitt, in a less powerful post, of course, as soon
as he had managed to make war upon Spain.
Then their common aim to aggrandize the royal prerogative and to destroy the liberal Whig
Party could proceed undisturbed.
In the meanwhile, as a token of his esteem, Bute lavished parishes and pensions on Pitt
and his family. He also pursued a subtle form of pittite policy without the great man's
personal participation. England was to have pittism without Pitt.
It is impossible to penetrate the tangled thicket of British politics in the eighteenth
Without grasping the crucial and fateful role played by William Pitt, soon to be made the first Earl of Chatham.
From the time that he emerged on the political scene in the late 1730s, Pitt was the decisive force in destroying the Whig equilibrium that had been established by Robert Walpole in the early decades of the century.
The liberal Whig principles of peace, low taxes, and minimal government, supported by merchants
and masses as against statist Tory prerogative, were shattered almost single-handedly by Pitt.
Pitt was able to win over for the Tory objectives of imperial aggression in the royal prerogative
both the masses and the leading merchants and financiers.
The former were carried away by chauvinist demagogy and war hysteria induced by Pitt's
charismatic oratory. The latter were joyous at the advantages to be reaped by imperial
plunder and the privileges of monopoly. In this way, Pitt was able to shatter the great
Whig coalition of merchant and populace, to involve England in too long, costly, impoverishing
George III's predecessors had not been particularly concerned with exerting the royal prerogative.
George III and the first two Georges were largely concerned with continental politics,
and the last two with their Hanoverian home. The Georges indeed generally spent at least
half of each year in their beloved Hanover. But George III was determined to play a direct
and decisive role in government. He was inspired to break the wigs and exercise his dominance
The Theory of Money and Credit
of the Patriot King, smashing all political parties independent of his will and ruling the nation without check or limit.
With Pitt out of the cabinet, his brother-in-law, George Grenville, who remained in the cabinet, became leader of the House of Commons.
Grenville's brother-in-law, the Earl of Ergmont, became Secretary of State for the Southern Department.
The great political struggle now centered on the projected war against Spain, with Bute
preparing for it and Newcastle opposed and calling for quick general peace. In plotting
a war against Spain, Bute was more than fully backed by Grenville and Ergmont, while Newcastle
was supported by the Whigs and by Bedford. With Pitt out of the cabinet, his brother-in-law,
George Grenville, who remained in the cabinet, became leader of the House of Commons. Grenville's
brother-in-law, the Earl of Egremont, became Secretary of State for the Southern Department.
The great political struggle now centered on the projected war against Spain, with Bute
preparing for it and Newcastle opposed and calling for a quick general peace. In plotting
During war against Spain, Bute was more than fully backed by Grenville and Egremont, while
Newcastle was supported by the Whigs and by Bedford. To force Spain into war, Egremont,
buttressed by Bute and Grenville, sent a series of arrogant and insulting ultimatums to Spain
in the fall of 1761. Spain was ordered to agree to the forfeit of its violated rights,
to the lack of any satisfaction of its grievances, and to renounce any use of force in protecting
her rights, else England would go to war with Spain in retaliation for its silent aggression.
Newcastle, Bedford and the Whigs tried desperately to launch negotiations and avert war, but
England simply fell upon Spain in January 1762, despite opposition to the last by Newcastle,
Hardwick and Bedford.
In the meantime, Pitt's acceptance of handsome pensions and perquisites had vastly alienated
his support among the masses, who had thought him their champion and had valued his much-paraded
honesty and incorruptibility.
To divert the attention of the masses from the mud on his halo, Pitt and Temple used
Alderman Beckford's warmongering newspaper, The Monitor, to urge aggression and all-out
War on France and Spain, and for keeping Canada and its fishing rights, a campaign that served
to push Pitt's successors more forcefully into the attack on Spain.
The Spanish problem precipitated another pamphlet war toward the end of 1761. Israel, Mauduit,
now an agent of the Massachusetts Assembly, again called for peace and for keeping Guadalupe
rather than Canada. On the other hand, Bute's agent Charles Jenkinson and Grenville's agent
Alexander Wedderburn launched a newspaper and pamphlet campaign for attacking Spain
and keeping Canada and included hints of attempts to conquer Louisiana and perhaps continue on
to Cuba and the silver mines of Mexico. Newcastle was horrified at Grenville's plans to seize
Spanish America. I see things every day worse and worse. This itch after expeditions will
exhaust our treasure. What will become of this poor country? God only knows. I never
saw this nation so near its ruin as at present. Peace is the only remedy.
At the end of February, the English conquered the French West Indian Sugar Island of Martinique
and this acquisition again spurred discussion of peace terms.
The French are all the more eager to yield Canada, but not its fishing rights, provided
that the West Indies were restored.
But the British war leaders Grenville and Aigremont insisted on Louisiana as well.
Finally, at the end of May, Newcastle, isolated in the cabinet and seeing the war expand,
resigned his post as Prime Minister.
These fellow Whigs, Hardwick and Devonshire, resigning as well.
In contrast to Pitt, Newcastle refused a placatory pension from the Crown.
Bute had at last achieved his aim of ousting Newcastle.
Bute, Grenville and their friends now advanced in their official post.
The Whigs were now completely out of the government for the first time in forty years.
The French were now willing to cede eastern Louisiana, east of the Mississippi, in return
for the West Indian Islands. But the English leaders had the war bit in their teeth. Grenville,
Egremont, Cotterett and even Bedford were insisting on all of Louisiana. Oddly, Bute was now leaning
toward the French peace terms. Bereft of allies in concluding peace, Bute began to long for
and the return of the Whigs, but the Whigs were too out of sympathy with the whole policy
of conquest to come to his aid. In August the British conquered Havana and the war crowd's
appetite was whetted still more. Bedford and Halifax called for Florida and Grenville looked
to the conquest of all of Spanish America. Butte, however, was now determined on peace
and brought the pliable Henry Fox to leadership of the House of Commons in order to drive
through a peace treaty. In return, Fox would be given a peerage. At the same time, Egremont
and Grenville were downgraded in the cabinet. Butte and Bedford finally managed to conclude
a preliminary peace on November 3rd. England would receive Canada. Lewisburg and all of
of North America East of the Mississippi, including Florida, as well as three of the
minor West Indian Islands.
France retained Guadeloupe and Martinique, as well as its precious fishing rights off
Canada and Newfoundland, and it transferred New Orleans and western Louisiana to Spain
in compensation for the Spanish loss of Florida.
Cuba was returned to Spain, but Spain lost its fishing rights in exchange for the liquidation
of English forts in Honduras. Fox skillfully drove the peace terms through Commons in December,
and the final peace treaty was signed in Paris in February 1763. The long war with France
was finally over, and France was now completely removed from the North American continent.
As peace finally drew near, British politics centered all the more insistently on the peace terms.
In 1757, Parliament, by an oversight, had failed to continue the high tax on newspapers that it had deliberately imposed in 1711,
to prevent the growth of a popular, hence an opposition, press.
As a result, the press was able to grow and be supported by a wide circulation.
The ouster of Newcastle and the Whigs led the Bute Ministry, represented by Wedderburn,
to establish the Britain as its mouthpiece at the end of May 1762.
Earl Temple, as a counter, set up the oppositionist North Britain in early June, edited by a
A long-time follower of his, John Wilkes. Wilkes, a country squire hailing from a non-conformist
merchant family, was high sheriff of Buckinghamshire. Pitt opposed the new venture as too inflammatory.
To Pitt, all such political writing would be productive of mischief. Wilkes' audacity
in editing the North Britain only confirmed Pitt's hostility. Even Wilkes' friend in
In backer, Temple was generally cool to his bold policy.
Temple peppered Wilkes with criticism and advice to temper his opposition, to eschew
personal attacks, in short to sail with the new current and partake of the court favor.
By mid-October, Temple was writing harshly to his sister, the future wife of Pitt, Mr.
Pitt and I disapprove of this paper war and the daily abominations which are published,
So because Wilkes professes himself a friend of mine, I am ever represented infamously
as a patron of what I disapprove and wish I could have put an end to.
But Wilkes, on the other hand, quickly drew the support of Newcastle and the Whigs, since
Wilkes ardently championed the opposition cause.
As the peace treaty became imminent, two contrasting groups made clear their opposition.
The Whigs who continued to oppose the terms of undue conquest in North America and Pitt,
who opposed peace per se as too soft on the French.
The most important Whig statement was a new edition of William Burke's Examination of
the Commercial Principles, again calling for yielding Canada and the North American lands
and to retain the Sugar Islands.
Also influential was the similar Letter to the City of London by George Heathcote M.P.,
a radical Whig or Commonwealth man. Temple's papers, taking a continued pit or Whig tone
in opposition to the peace terms, drew down the wrath of the government, which prepared
a general warrant in early November against both the Monitor and the North Britain. In
In the February 1763 issue of the North Britain, which took essentially the Newcastle Whig
line on the peace treaty, John Wilkes had denounced the ceding of the Sugar Islands
in the West Indies instead of the vast, expensively maintained tracts in Canada and Florida.
Henry Fox's shrewd management of the peace treaty, however, made this suppression unnecessary,
and the General Warrant remained unused.
William Pitt, in his speech on the Treaty, raved and ranted of the absolute necessity
of the destruction of France, and for that purpose of retaining the fishing monopoly.
By placing his opposition in these war-mad terms, Pitt drove many of the Whigs into lukewarm
support of the Treaty.
At the end of December, in the massacre of the Pelham Innocents, Fox engineered the
The ouster of all the Whigs holding public office for daring to oppose the peace terms.
Newcastle had always been friendly to opposition expressed by popular mobs, and he now spurred
of vigorous Whig opposition to the increasingly Tory rule.
John Wilkes wrote enthusiastically in the North Britain of December 25 that every friend
of Liberty and of Revolution Principles had been dismissed, and they must from now on
depend on the people.
In a six-part critique of Toryism and Tory rule, Wilkes thundered that the Tory faction
is triumphant and the most slavish doctrine of passive obedience and non-resistance is
preached up by every pamphleteer and insisted upon by an all-grasping minister.
The Whig Party was now at a fateful crossroads. It either had to go into vigorous, liberal
opposition to the administration, or, in effect, had to abandon all of its Whig principles
and crawl back into government office. The Whig Party was now at a fateful crossroads.
It either had to go into vigorous, liberal opposition to the administration, or, in effect,
had to abandon all of its Whig principles and crawl back into government office.
The Whigs polarized. Hardwick, the York family, and Newcastle's nephew Charles Townshend,
along with other conservatives, refused to form a vigorous opposition. Whereas the more
radical and principled Whigs, especially the Whig youth, headed by the Marquis of Rockingham,
The Federal Reserve formed an opposition club with the rather worried blessing of the aging Newcastle, but the reconstituted Whig Club suffered gravely from the lack of a strong leader in the House of Commons.
For its part, the administration felt it necessary to push aggressive expansion and rule in the new American lands in order to justify its own peace terms.