payment of all the demands arifing from the public cftablishments, and the annuities due to the creditors of the nation.The Right Hon. Gentleman had faid that there would be a furplus of one million, which it was his intention to dedicate to the purposes of a finking fund. This affertion he meant to controvert; and to prove that inftead of a furplus, there would be an immenfe deficiency in the revenue, which would call for fresh burdens on the people; and that confequently the calculations on which the Right Hon. Gentleman had built his hopes of a furplus were fallacious and delufive. Here he thought it neceffary to make an obfervation before he proceeded any further, which men of understanding would thick unneceffary; but he would make, in juftice to himself, left weak men fhould think what he was going to ufe this evening in fupport of his opinion, was not becoming a man who truly loved his coun try. They might think it an ungracious tafk in him that he undertook to prove that the nation was not in as flourishing a condition, as the calculations of the Right Hon. Gentleman might have taught the people to believe. They would perhaps ftate it as a charge against him, that he was endeavouring to fill the people with melancholy ideas relative to the ftate of the revenue and shake the public credit, for which he was fo folicitous, by inducing men to think that our affairs were in a ruinous, or at leaft a lefs favourable condition, than people gen rally apprehended them to be. But though fech a charge fhould be brought against him, it fhould not deter him from doing what he was convinced was his duty. Rational men would not be alarmed when they faw parliament enquiring into the ftate of the public revenue, with a view to raise it to a level and even to make it greater than the demand upon it, if on enquiry it fhould be found not to be fo already. The grand foundation of credit was, that the condition of the fecurities for the payment of annuities thould be thoroughly known, it was not by fhunning enquiry, that credit was to be fupported: the Houle and the people fhould examine their affairs, and Jook their condition in the face like men. He would be very forry that defpondency hould be the refult of inquiry; he was convinced it would produce a contrary effect; for it would fatisfy the people of the neceffiiy of fubmitting cheaifully to fuch additional burdens, as the exigency of their affairs might require. For his

part, he wished to avoid extremes; he was not defponding on the one hand-he was not over fanguine on the other :defpondency deftroyed the activity and energy of a nation; and this activity and energy could not be exerted to the full, when thofe who ought to call them forth, were fo fanguine as to think their exer, tions not wanted. Nothing could be further from his mind, than to drive the nation to defpondency he thought too highly of its refources, to indulge, even for a moment, fo melancholy an idea. He was convinced, that thefe refources, fo far from being exhaufted, were equal to all that could be looked for from them : and therefore he hoped, that having premifed thus much, he fhould not be told by any one, that his object was to make the people defpond, and give themselves up to gloomy apprehenfions of ruin. Having iaid this, he returned to his fubject.—The Right Hon. Gentleman at the head of the Exchequer had, a few days ago, informed the house, that there would be this year fuch a furplus of revenue, as would enable him to appropriate one million as a finking fund, towards the extinction of the national debt; and had alfo favoured the house with the calculations on which he had founded this affection. It should now be his talk to prove, that the Right Hon. Gentleman had impofed upon the house, or that he had been impofed upon himfelf by his own calculations. In order to defray the expences of all the different public ftablishments, and to pay the intereft on the national debt, the revenue muft amount to fourteen millions and a half annually; if therefore exclusive of this fum, it should produce a million to be applied as a finking fund, the nett amount of the public revenue must be 15,500,000l. which he would endeavour to prove, exceeded by an immenfe fum, the real produce of the revenue. The Chancellor of the Exchequer, in order to shew that he was right in his affertion, that there would be this year a furplus of a million, had laid before the Houfe an account of the produce of the taxes from the 25th of December laft, to the fifth of April, which he flated to be one quarter of the year; and had made his calculations in two different ways; he had calculated that as one quarter had given fo much, that fum multiplied by four, would give the produce of the year. The other way of calculating was by a comparison with the produce of the fpring quarter in former years, which the Right Hon. Gentleman

feemed

matemed to think would confirm his hyponefis. But he would endeavour to prove, chat in both ways the Right Hon. Gentlenan muft fail. He would begin with the or of those two ways.--The Right hon. Gentleman had multiplied by four, the roduce of the taxes from the 25th of December, to the 5th of April; but he id not feem to be aware, that in this period there were eleven days more than a quarter of a year; this might appear at rft fight to the Houfe as a very trivial matter; but Gentlemen would ceafe to think fo, when they fhould have confidered that these eleven days were afterwards to be multiplied by four. The April quarter, taken ftrictly, had produced 3.066,000l. which multiplied by four, would produce 12,264,000l. and calculating the land and malt at about 1,300,000l. the whole amount of the revenue would be about 13,500,000l. or two millions fhort of the fifteen millions and a half, neceflary for the fupport of all the eftablifhements, for the payment of the annuities for the national debt, and for furnishing one million of furplus as a finking fund towards extinguishing it. According to this mode of calculating, here was no profpect of a furplus; on the contrary there was a deficiency of fo immenfe a fum as two millions. But not to push things to the extremity, he would take the loweft produce of the eleven days that had been added to the fpring quarter, and which multiplied by four, would make 44 days: by a fair comparrifon, it appear ed, that in thefe eleven days the taxes had on an average of nine years, produced 330,000l. and multiplied by four, would make above 1,300,000l. which of course must be deducted from the 15,500,000l. that the taxes muft give to the Exchequer, in order to enable the Right Hon. Gentle, man to appropriate 1,000,000l. as a finking fund in the nine years on which he had ftruck this average, he did not include the prefent or the last.

:

As the Right Hon. Gentleman was wrong in forming a calculation that would make the year confift of 409 days, inftead of 365,-fo he was wrong in calculating that as the fpring quarter had for feveral years back produced a given fum, fo that fum multiplied by 4, would give the whole produce of the taxes. For it had To happened, that during the nine years preceding the laft, the fpring quarter had produced fometimes more, fometimes lefs, than any one of the other four; in fome it wanted 34,000l. of it; in fix out of

thefe nine years, it was lefs than a fourth; in three out of the nine, it was more than a fourth; but 36,000l. added to each of the quarters, would make the produce of the fpring exactly a fourth.

In the accounts laid before the House by the Right Hon. Gentleman, there were feveral articles to which he must ncceffarily object as erroneous. He found that the receipt on mullins imported by the Eaft-India company, was ftated to amount in this spring quarter to 86,000l. though on looking at the amount of the duties on the fame commodities in the fame quarter last year, he found that it had amounted to no more than 10,000l. The accounts of the weekly produce of the Excife, were alfo erroneous in the total of the annual produce; for according to the paper then on the table, there were actually fifteen weeks in the quarter; fo that to make this account good, there must be fixty and not fifty-two weeks in the year.

The amount of the new duties on ftamps was exaggerated in an extraordinary manner indeed; and if it was fairly stated, he ought to congratulate with his noble friend Lord John Cavendifh, who had propofed them, on finding them fo productive; for though he had hitherto believed them to be as efficient as he could have wished, yet their produce was fo fwelled in this account, that it must be taken at very little fhort of 400,000l. but he was fure it was in reality very thort of that fum. He found alfo that the favings in falaries were stated at 19,000l. in the fpring quarter:a very fingular statemeut indeed, when in fact the whole faving on the four quarters hitherto, had never exceeded 40,000l. There was another article, which though fmall, would help to convince the Houfe, that the calculations were far from being exact. Gentlemen would remember that when a ftamp duty was imposed on bills of exchange and notes, the bank was fuffered to compound for this tax, for the annual fum of 12,000l.-and yet the produce of this compofition for one quarter, was fet down at 6,000l.-which, if multiplied by four, according to the minifter's calculation, would give 24,000l. or just double the produce of the tax. Adding then all the deductions that were to be made on account of thefe articles, and the produce of the eleven days fuper added to each quarter, he was fure he was right in rating the produce of the taxes, exclufive of thofe of the last year at 11,200,000l. but he would take it at 11,400,00

11,400,000l. to this he would add, that of the land and malt tax at 2,400,000l. making in the whole 13,800,000l. which deducted from fifteen millions and an half, the fum neceffary for paying all the public expences, and creating a inking fund of one million, would leave a deficiency of feventeen hundred thousand pounds. Towards making good this deficiency however, were the taxes of the laft year, the real produce of which he could not ftate, as the Houfe had not any documents on that head; but if they had actually produced all that they were given før, above So0,000l. ftill there would be a deficiency to make good 900,000l. however as the taxes of laft year had been greatly deficient, he thought himself well grounded in faying that the expenditure of the public would exceed their income by about 1,300,000!. He trusted that from what he had faid, the Houfe would fee that the prospect of a finking fund from the prefent ftate of the taxes, was delufive and chimerical; and that unless fresh burdens were impofed on the na. tion, the credit of the country muft fink. He knew that bending under an already enormous weight of debt, as the people were, it would be a harsh measure to lay fresh taxes on them; he knew it would be unpopular; but he knew also that it was neceffary; and he was at all times to come, as he had been in times palt, ready to facrifice perfonal confiderations to the good of his country, he would be ready to concur with, and fupport the Right. Hon. Gentleman in laying fuch additional taxes, as he fhould think likely to be productive, without being oppreffive; he was ready to share with him in the temporary unpopularity of a measure, which in the end would be the falvation of the country, by making the taxes equal to the demands upon them;-fo that part of the prefent finking fund might be applied to the extinction of the national debt. He concluded by faying, that he had now nothing more to do, than to make his motions: his intention had originally been to move the Houfe to refolve that the produce of taxes amounted to no more than a certain fum, which he did not specify, between eleven and twelve millions: but on reflection he thought that though an individual might at his eafe make a caiculation in every refpect correct, ftill it would be improper to call upon the Houfe to come to a refolution, without laying before them the

moft correct documents: he had refolved therefore to follow the example of a noble lord, no longer a member of the Houfe of Commons (Lord Camelford) who had moved for, and been appointed || chairman of a committee appointed to enquire into the ftate of the finances of the country. He moved therefore, that a committee be appointed to enquire into the produce of the taxes for the last eleven years, diftinguithing each year, together with the amount of Exchequer bills, &c. now unprovided for, and to report their opinion thereon to the House.

Mr. Eden feconded the motion, he faid that though he concurred in the principle, but not in the regulations of the commuration tax; though he concurred alfo in the meafures adopted last year for preventing fmuggling on the coaft, and expected from them much fuccefs, ftill he could not flatter himself with the hope that there would be fo great a rife in the produce of the fubfifting taxes, as that without the aid of any new burdens, the Right Hon. Gentleman would be able to anfiver all the exigencies of the fiate, and at the fame time find a furplus in the Exchequer of one million, to be appropriated as a finking fund towards extinguishing the debt of the nation. No man would more heartily rejoice than he would, at fuch a rife but he was not fanguine enough to expect to fee it.

The Chancellor of the Exchequer faid he rejoiced at finding that the Right Hon. Gentleman who had made the motion agaced with him upon the neceffity of creating a finking fund; he lamented that he did not alfo agree withhim that there was a at prefent profpe&t of fuch a fund, without the aid of new taxes this year. He was glad a'fo to find him now of opinion that a ficking fund ought to be applied to the purpose for which it was created; he might formerly have been of a different way of thinking; it was a happy circumftance that the Right Hon. Gentleman had at laft become a profelyte to the opinion that a finking fund should be unalienably appropriated to the extinction of the national debt. It was not until this day that he had heard that the fund eftablifhed for the payment of every fpeçific loan, fhould be made to produce the whole for which it was gi ven; he had been always made to believe that the deficiency on one fund might be made good out of the furplus of another; and that though one might fail

10

he fhould refrain from doing his duty to the public, through any dread of forfeit ing popularity. He begged to be under ftood now, though perhaps it might be as proper for him not to fay it in public fo foon, that perhaps he might deem it neceffary to propofe fome taxes this year, to pay the intereft of any fmall loan that he fhould make, if he should be obliged to make one at all, and to provide for fo much of the unfunded debt, as he thould think it neceffary to take out of the market; the preffure of which feemed at prefent to be the only thing that prevented the credit of the nation from rifing, and the flocks from recovering their proper leave. Mr. Fox begged leave to explain fome points, on which the Right Hon. Gentleman had mifunderstood him. He was not a new profelyte to the opinion that a finking fund was abfolutely neceflary for the redemption of this country; he had entertained that opinion ever fince he had learned to think about finance. The Right Hon Gentleman had indeed tacked a new expreffion to the words finking fund, he had added "unalienable"--Now to that word, he was not at that moment ready to fubfcribe, Ile knew that this fund had frequently in time of war, and in peace, been appropriated to the current fervices of the day; and perhaps, it might be very proper for parliament to do fo in times of war, fooner than to raise discontents by new taxes, at an unfavourable moment.- -But this reafon did not apply to a time of peace, when operations of finance might be attempted with lefs danger. The Right Hon Gentleman had alluded to the state of the Eaft-India Company, which he had been pleased to say, had been doomed to bankruptcy by him. Would the Right Hon. Gentleman undertake to fay, that the accounts laid before parliament laft year by the Court of Directors, were not falfe and delufive? Would he not himself, e'er long, be under the neceffity of reprefenting the affairs of the company in a much worfe condition than ever he did. The Right Hon. Gentleman had faid, that he had rather have his affiftance when there should be a queftion of laying on taxes, than when there was not. But was that the cafe now? He understood that he had been arguing all along for the necellity of laying them on; and under the idea of that neceffity, he had for the good of the country, offered to fhare in the unpopularity that might attend fuch a

measure. The Right Hon. Gentlemz had asked why he had not, whilst in office. taken fome fteps to make good the defice encies in the taxes of his own adminiftration-To this he would anfwer, that he had been twice in office,-once for two months, the other for nine: that within three weeks after Lord John Cavendi had kiffed hands, he was obliged to bring forward a budget, without having found in the office, a fingle trace of a tax left by his predeceffors (Lord Lanfdown and Mr. Pitt) who had continued in office for fix weeks without taking one step towards raifing the fupply voted for the year; how the remainder of the nine months that he had been in office was fpent, every one knows; that plans would have been brought forward for making the taxes productive, there was no doubt; but the ftorm in which that adminiftration was engaged from the opening of the last feffion of the laft parliament, till it went out of office, left but little time for carrying great plans into effect; and offered little hope of fuccefs in measures that would require the united efforts of both fides of the Houfe. The Right Hon. Gentleman was of opinion, that to appoint a committee under the motion that he had made, would be to put the office of Chancellor of the Exchequer into commiffion; but he denied this to be the cafe, and left it fhould be thought to have any fuch tendency, he would amend his motion; indeed, if he were to put the office in commiffion, he would not act fo abfurdly as to make the Right Hon. Gentleman one of the commillioners: he would take care to fhun the curious example fet by the Right Hon. Gentleman, when he placed the Duke of Richmond at the head of the commiffion, that was to enquire into the neceflity of the fortifications, which his Grace had fo much at heart to have erected. He concluded, by moving, by way of amendment to his own original motion that the words, "and report their opini on thereon to the Houfe," fhould be left out.

Mr. Burke remarked, that in the obfervations of the Right Hon. Gentleman to whom the Houfe had fo well attended, and who indeed, were entitled to the ut moft refpect, the one from his abilities, the other from his fituation, there feemed to be fome points in which they agreed, but other very material ones in which they difagreed. It feemed to be admitted

and