Chapter 16 - The Conservative response to change

Question 1

What is the most debated act of Peel’s 1841-46 ministry?

Answer 1

His repeal of the Corn Laws in 1846

Question 2

What was the country in the middle of when Peel took over in 1841?

Answer 2

An economic slump

Question 3

What economic legacy did the previous Whig government leave for Peel in 1841?

Answer 3

A budget deficit

Question 4

What was the Condition of England question?

Answer 4

Dissatisfaction among the populace with living and working conditions

Question 5

What were some characteristics of typical Tory MPs when Peel took office in 1841?

Answer 5

Anglican, Protectionist, anti-Reform, satisfied with the status quo

Question 6

In Peel’s opinion, where did the key to solving the country’s problems in 1841 lie?

Answer 6

Economic reforms to achieve national prosperity

Question 7

What were Peel’s economic objectives in 1841?

Answer 7

Stabilise government finances and stimulate trade and industry

Question 8

What did Peel believe economic reforms could do?

Answer 8

Lower the cost of living, lower unemployment and consequently reduce discontent and distress

Question 9

What 3 future Prime Ministers did Peel’s cabinet contain in 1841-46?

Answer 9

William Gladstone, Lord Stanley (Earl of Derby) and Lord Aberdeen

Question 10

Who was Peel’s Chancellor of the Exchequer?

Answer 10

Henry Goulburn

Question 11

Who was Peel’s Home Secretary?

Answer 11

Sir James Graham

Question 12

Why was the Duke of Buckingham, a protectionist Tory, made Peel’s Lord Privy Seal?

Answer 12

To satisfy the agricultural interest

Question 13

Who did Peel appoint as President of the Board of Trade in 1843?

Answer 13

William Gladstone

Question 14

Why did the Earl of Derby resign as PM in 1845?

Answer 14

Due to quarrels over the Corn Laws

Question 15

What 3 economic measures did Peel introduce in the 1842 budget?

Answer 15

1. Peacetime income tax
2. Tariffs cut
3. Sliding Scale for Corn Laws further adjusted

Question 16

What was the rate of the 1842 income tax?

Answer 16

Those earning more than £150 a year had to pay 7p on every £1 they earned, which was around 3% of their income

Question 17

How much money did Peel calculate that the income tax of 1842 would raise?

Answer 17

£4 million

Question 18

What were reduced tariffs under Peel in line with?

Answer 18

Free trade policies which had been adopted by Pitt and Huskisson

Question 19

How did Peel calculate that reduced tariffs would boost the economy?

Answer 19

It would mean lower prices for finished goods, leading to greater demand and therefore more employment for those making the goods

Question 20

What did the 1842 Mines Act do?

Answer 20

Prohibited underground employment for women and children

Question 21

What further free trade measures did Peel introduce in his 1845 budget?

Answer 21

• He renewed income tax for a further 3 years
• Abolished duties on raw cotton and most other raw materials
• Reduced duties on imported sugar

Question 22

Where was most sugar imported from in 1845?

Answer 22

British colonies

Question 23

What percentage of government income did income tax provide by 1845?

Answer 23

Around 10%

Question 24

What was the only major tariff which existed in 1845?

Answer 24

A 10% duty on manufactured goods

Question 25

What was an effect of Peel’s reduction of the Corn Law sliding scale in 1842?

Answer 25

Steadier bread prices

Question 26

What was the Devon Commission?

Answer 26

An investigation into land tenancy in Ireland

Question 27

When was the Devon Commission?

Answer 27

1843

Question 28

What were Royal Commissions of Inquiry used for by Peel?

Answer 28

To report on economic and social issues of the day

Question 29

What attempted reform was rejected by Parliament in 1843 and why?

Answer 29

An attempt to introduce a compulsory 2 hours schooling per day for factory children, which was rejected over arguments on which religious denomination would provide the education

Question 30

What administrative reforms did Peel introduce from 1841-46?

Answer 30

• Set up district bankruptcy courts
• Imprisonment for small debtors ended
• Uniform system of district county courts introduced

Question 31

What allowed Peel to introduce a policy of concession in Ireland?

Answer 31

Daniel O’Connell’s arrest

Question 32

Who did Peel hope to win over with a policy of concession in Ireland?

Answer 32

Educated Catholics

Question 33

What was the Maynooth Grant?

Answer 33

A grant to the college where Catholic priests were trained

Question 34

When did Peel increase the Maynooth Grant?

Answer 34

1845

Question 35

Who were annoyed by the increased Maynooth Grant and why?

Answer 35

Anglicans, Nonconformists and Conservative MPs, who felt that it was an implication of support for Catholicism over the established church in Ireland

Question 36

What did Peel’s Irish Reforms fail to do?

Answer 36

Solve the country’s serious economic problems or the poverty of much of its population.

Question 37

When was Peel’s Bank Charter Act introduced?

Answer 37

1844

Question 38

What was Peel’s objective in introducing the 1844 Bank Charter Act?

Answer 38

To increase confidence in the British currency

Question 39

What did the 1844 Bank Charter Act do?

Answer 39

Confirmed that the Bank of England was allowed to issue notes (provided that they were supported by gold after over £14 million worth had been issued), and severely restricted the amount of notes which any other bank could issue. Also mandated weekly publishing of accounts.

Question 40

Why was the 1844 Bank Charter Act necessary?

Answer 40

Because expanding industry needed larger loans, which small banks could not provide

Question 41

Why was the success of Peel’s 1844 Bank Charter Act crucial to the rest of his economic policy?

Answer 41

The powerful economic interests in Britain, such as cotton, depended on a sound currency and economic trade, and the reform boosted investor confidence.

Question 42

What did the Joint Stock Companies Act of 1844 do?

Answer 42

• Introduced a salaried Registrar of Companies
• Made it compulsory for any company with more than 25 members and transferable shares to be on a new Companies’ register
• Every registered company had to produce regularly audited balance sheets

Question 43

What companies were exempted from the Joint Stock Companies Act of 1844?

Answer 43

Those formed by a special act of Parliament, such as railway companies

Question 44

Why was legislation proposed by Gladstone (under Peel) to control railway companies rejected?

Answer 44

The majority of MPs held shares in railway companies, and around 90 were company directors

Question 45

What Act of Parliament did Gladstone extend under Peel and what did this allow?

Answer 45

An 1840 one which set up the Board of Trade Railway Department, which allowed inspection of railways by paid officials