How successful were Elizabethan financial policies until 1588? Flashcards
What had caused the debt left for Edward VI?
war with France
What did Edward VI decide to do with the policy of debasement?
-it continued
Which decision of Mary’s added to the financial problems the Tudors faced in this period?
-war with France->loss of Calais
Which country did Elizabeth make peace with at the beginning of her reign?
France
Which country did she avoid war with until 1585?
Spain
Which country did Elizabeth need for trade?
Netherlands
Name one of Elizabeth’s foreign policy priorities?
-avoid war with Spain and France due to wanting to avoid issues with trade
What was the role of parliament?
-raise taxes
-pass laws
What does revenue mean?
money received or generated
What does the term expenditure mean?
money spent
What were Elizabeth’s four financial problems in summary?
-Mary I’s debt and expenditure problems
-inflation->particularly in the 1560s
-the need to reform how she generated income
-hostility with Spain
What were Elizabeth’s four financial problems in more detail?
-Mary I’s debt and expenditure problems->Mary’s debt was 227,000 (war with France), she owed the Antwerp 14% interest on the loan, debasement-> inflation, Book of Rates
-inflation particularly in the 1560s->debasement added to inflation but declined at the start of E’s reign but increased again in the 2560s->people blamed greed of landowners and bullion suppliers, historians think population rise and war
-the need to reform how she generated income
-hostility with Spain->managed to postpone war with Spain for as long as she could, aided Protestant rebels in France and Scotland, imprisoned MQS, allowed English volunteers to help the Dutch rebels, given refuge to Philip’s enemies and encouraged raids on his empire in the New Worlds (but not at war)->no formal declaration of war
What were Elizabeth’s foreign policy priorities?
-preserve the Antwerp cloth trade
-maintain a secure northern frontier with Scotland
-protect her Channel coastline
-re-establish England’s independence from France and Spain (1558-1572)
-a period of peace to establish her new Elizabethan Church
What financial advice did Elizabeth receive? From who?
-William Paulet and Sir Thoman Gresham
-increase revenue or reduce the expenditure going out
Who was William Paulet and Sir Thomas Gresham?
Paulet - highly experienced Lord Treasurer
Gresham - financial advice
What was Elizabeth’s decision to do about religion based on the advice she received?
deduce expenditure
What is ordinary income? What examples are there?
-she could generate income through this
-Book of Rates, profits from Justices, landed estates, from customs duties and sources arising from patronage
What was extraordinary income?
-asking parliament for money->becomes more needed later in her reign
What were Elizabeth’s main sources of income?
-taxes from trade (customs duties - anything coming into the country has tax which makes her money)
-rents and income from their own lands (crown lands)
-special additional subsides (parliamentary taxation
What was Elizabeth’s revenue?
-Ordinary income->landed estates, from customs duties, profits of justices and from sources arising from patronage
-Extraordinary income->parliamentary subsidies
What was the Book of Rates?
-The Book of Rates determined the level of customs duties->this had been revised under Mary
How did the number of goods that were subject to tax change? What was the result?
-The number of goods that were subject to tax went up from 790 to 1170 and the amount of tax significantly increased, often by 100 percent
result:
-Customs revenue went from £29, 315 to £82,797, but was not maintained in the 1590s
-Therefore, increased trade was needed as it wouldn’t be able to raise the rates as it only just went up
Exports totalled to what and what was a result of this?
-Exports totalled £1,100,000, of which 81% was woollen cloth and required new markets in order to make more
What did her exports include?
-Exports also included; wool, woolfells, lead, tin, corn, beer, coal and fish
