of redemption, among the many schemes that were propofed Geo. I. for reduction of the public debts, was chofen by thofe who 1717. had the management of the affair.

The national debt was confidered under two heads, Redeemable and Irredeemable Debts. The Redeemable, or fuch debts as had been provided for by parliament with a redeemable intereft of fo much per cent. the public had a right and power to pay off whenever they were able, either by providing money for fuch proprietors as infifted upon money, or by offering new terms, in discharge of all former conditions, which offer, if accepted by the proprietors, was to be deemed an actual redemption of the first debt, as if it had been paid off in ready money.

As for the Irredeemable debts, or the Long and Short Annuities, (fo called from the greater or leffer number of years they were granted for) nothing could be done without the abfolute consent of the proprietors. The only method therefore to treat with them, was to offer them fuch conditions as they should think it their intereft to accept.

Upon these principles (as will presently be seen) were founded the resolutions taken by the commons with relation to the public debts.

Mr. Walpole, who was then at the head of the treasury, and chief projector of the scheme, gave the firft hint of it by a motion in the house of commons, which was agreed to,

That whoever shall advance or lend any fum, not exceeding 600,000 l. for the service of the public by fea or land, fhall be repaid the fame with intereft at 4 1. per cent. out of the first aid to be granted this feffion of parliament.' The putting the intereft of this intended loan fo low as four per cent. gave reafon to furmife, that those, who had the management of the treasury, defigned to put on the fame foot the interests of all public funds: Whereupon Mr. Lechmere made a long speech, obferving, That several schemes and proposals for reducing the national debts had been printed and difperfed; which gave the perfons, concerned in the public fecurities, the greater uneafinefs, because there was reason to apprehend, those schemes came abroad with the privity and countenance of men in great places: That the general alarm which this had occafioned among monied men, might very fenfibly affect public credit, and be, at this juncture, of very dangerous confequence. To prevent which he thought it neceffary, and therefore moved, that the house would come to a refolution, effectually to make good all parliamentary

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engage

Geo. I. engagements.' To this unexpected motion Mr. Walpole re1717. plied, That his majefty having, with great tenderness, recommended to them, from the throne, the reducing, by degrees, the debts of the nation;' and the commons having, in their addrefs, promifed to apply themselves, with all poffible diligence and attention, to that great and neceffary work, they ought to exert themselves to make good that promise, and appoint a day to take that important matter into confideration. And he did not doubt but the commons would then fhew all poffible regard to juftice and public faith. He owned, there had been indeed feveral fchemes published relating to the reduction of the national debts; but that the fame were made by private perfons; and he durft affure the house, without the participation of any of his majesty's minifters; and therefore not to be regarded; but that, in a fhort time, fuch proposals would be laid before the house, as he hoped, would give them fatisfaction, and meet with their approbation.' He therefore moved, that Mr. Lechmere's motion might be thus altered, That this house will effectually make good the deficiencies of all parliamentary engagements;' which, after a fhort debate, was approved, and a day was appointed to confider of the national debt.

By this time the furmife, that force would be used in the reduction of the public debts, had heightened the uneasiness of monied men and ftock-jobbers, in fome, to a degree of extravagance and madness; in others, of fullen difcontent, fo that many did not fcruple to inveigh against the present adminiftration, as if the public debts were to be sponged off, and all feemed combined to diftrefs the government, by not advancing any money towards its fupport; by which means, in three days, not above 45,000 1. was fubfcribed to the loan of 600,000 1. in the land-tax. This difappointment, at fo critical and dangerous a juncture, furnished Mr, Lechmere with matter for another fpeech on the 8th of March, when, the commons being in a grand committee on the fupply, he told them, He was forry he was obliged to take notice, that their late vote for a loan, at four per cent. interest, was like to prove ineffectual; and, as the prefent exigency required a speedy fupply, fo he thought it neceffary, and therefore moved, that a day be appointed to confider further of that matter.' Mr. Robert Walpole declared, That he feconded this motion, there being the greater neceffity for it, because he was informed, that fome ftock-jobbers, in order to deter the parliament from purfuing the defign of reducing

the

the public debts, had formed a combination to distress the go- Geo. I. vernment, and ruin public credit, which was the occafion, 1717. that the late vote for borrowing 600,000l. at four per cent. had not the defired. effect.' To this Mr. Lechmere answered, "That as none but the most wicked of men could enter into fuch a combination against the good of their country; fo the honourable member, who spoke laft, would do well to name them, that the honeft might fhew the utmost resentment and indignation against them. But that, in his opinion, the ill fuccefs of the loan was rather occafioned by some reflections on the monied men and stock-jobbers, and by certain maxims lately advanced, That the parliament may exert its authority to extricate themselves, by reducing the national debts: That fuch maxims could not but alarm any persons concerned in the public fecurities; and the more, when they faw, that a flur had been put upon the motion made three days before, That all parliamentary engagements fhould effectually be made good.' That he ftill thought fuch a vote abfolutely neceflary, both to remove people's fears and jealoufies, and to vindicate the honour and juftice of the nation: That the fame was intirely agreeable to his majefty's fentiments, who, in his first speech to this parliament, had been pleased to recommend to the commons, in a particular manner, "the strict obfervance of all parliamentary engagements, than which nothing could more contribute to the fupport of the credit of the nation:' With which opinion of his majesty the commons did intirely concur; and that he could not believe any of his majesty's minifters could be so regardless of his honour, and known equity, or put fo hard a thing upon him, as to make him, in the leaft, contradict what he had, in fo folemn a manner, declared from the throne. • He added, That, the commons having already appointed a day, to confider the state of the nation with relation to the public debts, he would not anticipate that important affair: But he could not forbear declaring, on this occafion, his private opinion, that it would be the greatest ingratitude, as well as injuftice, in the least to wrong those perfons, who had fupported the government in the moft preffing exigencies, and most perilous junctures, and who, on all occafions, had fhewn their zeal and affection for the Proteftant fucceffion. That he had nothing to fay as to fuch public fecurities, as were redeemable by parliament; but, as to annuities granted for terms of years, he would be positive, that they could not be meddled with, without breaking in upon parliamentary engagements,

and

Geo. I, and violating the public faith; fince those annuities were not 1717. to be looked upon as debts, but as a fale of annual rents for

State of the

a valuable confideration, of which contract the parliament had propofed and made the terms and conditions, and the rentees became purchasers upon the parliamentary faith and fecurity. And that, befides the injuftice of breaking through a national contract, those annuities could not be touched without occafioning great confufion and dispute in private families, by reason that most of these annuities had been fettled for portions, jointures, and the like.' Upon this Mr. Walpole declared, there never had been a defign to use any compulfion with relation to the annuities: That, indeed, an alterative might be offered to the proprietors of the fame; but it fhould be in their choice, either to accept or refuse it. And, as for fuch funds as were redeemable, nothing would be proposed, that should not intirely consist with justice and public faith (b).

Three days after, the commons ordered to be laid before public debts, the house, an account of the public debts at the exchequer, diftinguishing what the funds were, when granted; what term remained; how much the original money was; how much had been paid off, and how much unpaid; and what the annual intereft was, that was payable for the fums advanced. This was done accordingly in manner following:

(b) The commons having ordered, that the fums advanced for the fervice of the public fhould be repaid with 51.

per cent. the whole loan of 600,000l. was immediately filled up.

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LOTTERIES.