Henry VII's Financial Policy

Question 1

5 points

What ordinary sources of revenue did Henry VII have?

Answer 1

• Crown Lands
• Acts of Resumption
• Customs Duties
• Feudal Dues
• Profits of Justice

Question 2

4 points

How did Henry VII benefit from Crown Lands?

Answer 2

• Inherited all the crown lands which belonged to the houses of York and Lancaster.
• Added lands to this from titles without heirs that he reclaimed.
• Annual income from crown lands at beginning of reign: £29,000. Annual income from crown lands at end of reign: £42,000.
• This figure increased due to a rise in rent but also due to the fact that Henry increased the amount of land the crown had.

Question 3

3 points

How did Henry VII benefit from Acts of Resumption?

Answer 3

• Henry’s first act in parliament was to recover all Crown Lands given away as far back as 1455.
• This clearly expressed his belief that the majority of the crown lands had benn wrongly alienated due to conflict.
• He was legally and clearly laying claim to lots of land.

Question 4

4 points

How did Henry VII benefit from Customs Duties?

Answer 4

• Within 18 months of his coming to the throne, Henry introduced a system in which merchants involved in shipping goods from one English port to another ha to produce a certificate from the first port as proof that duties had been paid.
• In 1496 he reduced some privileges enjoyed by foreign merchants; e.g. that they didn’t have to pay duties.
• Customs duties provided 1/3 of crown’s ordinary revenue - £33,000 in first ten years of reign, £40,000 after.
• However they didn’t increase much during his reign; crown still earned more from crown lands.

Question 5

3 points

How did Henry VII benefit from Feudal Dues?

Answer 5

• After 1503 special officer appointed to watch over fuedal dues (money paid to the crown for wardship, marriage etc).
• If nobility died with heirs, heir would have to pay an ‘entry fine’ to access estate.
• Income at beginning of reign: £350. Income by end of reign: £6000.

Question 6

5 points

How did Henry VII benefit from Profits of Justice?

Answer 6

• This was income from fines for serious crimes.
• E.g. Many of Cornish rebels from 1497 fined rather than imprisoned.
• Attainders were another type of fine.
• E.g. William Stanley was attained in 1495; immediate confiscation of his total assets in cash and jewelry worth £9,000 and then a yearly fine of £1,000.
• Henry imposed 99 attainders after Bosworth, and 138 after, 46 of which were reversed.

Question 7

6 points

What extraordinary sources of revenue did Henry VII have?

Answer 7

• Parliamentary Grants
• Loans and Benevolences
• Sales of Offices
• Clerical Taxes
• The French Pension
• Bonds and Recognisances

Question 8

3 points

How did Henry VII make use of Parliamentary Grants?

Answer 8

• Used them sparingly, didn’t want to exploit them as this could lead to opposition.
• He successfully recieved grants for the Battle of Stoke (1487), a war with the French (1489) and to defend the throne from Scots and Warbeck (1496).
• Sometimes he did ask for money prematurly, or too late. E.g. he asked for money to defend against the Scots, who then ended up not attacking. He also asked for a grant to pay for the knighting of his eldest son, two years after that son had died, and the wedding of his daughter, one year after she was married.

Question 9

4 points

How did Henry VII make use of Loans and Benevolences

Answer 9

• Proved useful in raising a large sum, quickly.
• 1491: Henry forced a loan when he intended to take army across channel to protect Brittany - raised £48,000.
• Henry was aware loans were controversial and could lead to opposition, so he usually only asked for what people could afford. E.g. Sir Henry Vernon had an annual income of £900, and was expected to loan £100.
• No evidence that loans led to rebellion as most were repaid, either by cash or lands / titles.

Question 10

2 points

How did Henry VII make use of Sale of Offices?

Answer 10

• H7 sold the office of Chief Justice of the Common Pleas twice for £330.
• John Yonge paid £1,000 to become Master of the Rolls.

Question 11

4 points

How did Henry make use of Clerical Taxes?

Answer 11

• He recieved substantial sums from the Church.
• When Parliament gave grants, the church also contributed.
• Sometimes he would keep bishophoods open so he would recieve the income; towards the end of his reign he received £6,000 p.a. this way.
• However he didn’t exploit this too much, and would usually only keep bishophoods open for 12 months.

Question 12

1 point

How did Henry VII make use of the French Pension?

Answer 12

Treaty of Etaples, signed 1492, avoided war with the French and secured an annual payment of £5,000, resulting in an overall payment of £150,000.

Question 13

4 points

How did Henry VII make use of Bonds and Recognances?

Answer 13

• In the first decade of his reign, 191 bonds were collected. Later, this rose to over 200.
• E.g. In 1491 50 people held accountable for behaviour of Thomas, Marquis of Dorset.
• Reciepts from bonds rose from £3,000 in 1493 to over £35,000 in 1505.
• 46 out of 62 noble families were at one time or other financially at Henry VII’s mercy.