l aspects. In the ninety years from the
death of William III. (1702) to the outbreak of the Revolutionary War
with France (1793) there are four serious wars, covering nearly
thirty-five years. There is the long peace administration of Walpole,
and there are the shorter intervals of rest following each of the
contests. From the beginning of the war with the French Republic to the
year of Waterloo there is a nearly unbroken war time of over twenty
years. The forty years' peace is closed by the Crimean War (1854-56);
and another forty years of peace ends with the South African War
(1899-1902). During this time the older mercantilism passes into
protectionism; and this, again, gives way before the gradual adoption of
the free trade policy. At each time of war, taxation (particularly in
the indirect form) and debt increase. Financial reform is connected with
the maintenance of peace. Among the great financial ministers Walpole,
the younger Pitt, Peel and Gladstone are conspicuous; while Huskisson's
services in the kindred field of economic policy deserve special notice
in their financial bearing.

By taking the several great heads of revenue in order it is
comparatively easy to understand the nature of the progress made in
subsequent years. (1) The land tax, established on a definite basis in
1692, was the great 18th century form of direct taxation. Varying in
rate from 1s. (as in 1731) to 4s. (as in most war years), it was
converted by Pitt in 1798 into a redeemable charge on the lands of each
parish, and by this process has sunk from the amount of L1,911,000 in
1798 to L730,000 in 1907-1908. The great increase in other heads had
impaired the value of the land tax as a fiscal support. (2) Parallel
with the movement of the land tax but showing much more rapid growth was
the excise of the 18th century. Most of the articles of common
consumption were permanently taxed. Soap, salt, candles and leather are
described by Adam Smith as taxed, and that taxation is unreservedly
condemned by him. In 1739 the excise duties brought in L3,000,000. By
1792 they had risen to L10,000,000. Their continued expansion was due
both to the wider area covered and to the increased consuming power of
the country. (3) The customs were equally serviceable, and in their case
the increased duties were even more considerable. The general 10% of
1698 became 15% in 1704, a fourth 5% was imposed in 1748, and in 1759
the general duties were raised to 25%. Co