In the latest Age of Invention newsletter, Anton Howes considers when the English stopped being a “normal” European nation and embraced industry and commerce instead of aristocratic privilege:
A meeting of the Anti-Corn Law League in Exeter Hall in 1846.
Wikimedia Commons.
England in the late eighteenth century was often complimented or disparaged as a “nation of shopkeepers” — a sign of its thriving industry and commerce, and the influence of those interests on its politics.
But when did England start seeing itself as a primarily commercial nation? When did the interests of its merchants and manufacturers begin to hold sway against the interests of its landed aristocracy? The early nineteenth century certainly saw major battles between these competing camps. When European trade resumed in 1815 after the Napoleonic Wars, an influx of cheap grain threatened the interests of the farmers and the landowners to whom they paid rent. Britain’s parliament responded by severely restricting grain imports, propping up the price of grain in order to keep rents high. These restrictions came to be known as the Corn Laws (grain was then generally referred to as “corn”, nothing to do with maize). The Corn Laws were to become one of the most important dividing lines in British politics for decades, as the opposing interests of the cities — workers and their employers alike, united under the banner of Free Trade — first won greater political representation in the 1830s and then repeal of the Corn Laws in the 1840s.
The Corn Laws are infamous, but I’ve increasingly come to see their introduction as merely the landed gentry’s last gasp — them taking advantage of a brief window, after over two centuries of the declining economic importance of English agriculture, when their political influence was disproportionately large. In fact, I’ve noticed quite a few signs of the rising influence of urban, commercial interests as early as the early seventeenth century. And strangely enough, this week I noticed that in 1621 the English parliament debated a bill that was almost identical to the 1815 Corn Laws — a bill designed to ban the importation of foreign grain below certain prices.
But in this case, it failed. In the 1620s it seems that the interests of the cities — of commerce and manufacturing — had already become powerful enough to stop it.
The bill appeared in the context of a major economic crisis that, for want of a better term, ought to be called the Silver Crisis of 1619-23. Because of the outbreak of the Thirty Years War, the various mints of the states, cities, and princelings of Germany began to outbid one another for silver, debasing their silver currencies in the process. The knock-on effect was to draw the silver coinage — the lifeblood of all trade — out of England, and at a time when the country was already unusually vulnerable to a silver outflow. (For fuller details of the Silver Crisis and why England was so vulnerable to it, I’ve written up how it all worked here.)
The sudden lack of silver currency was a major problem, and all the more confusing because it coincided with a spate of especially bountiful harvests. As one politician put it, “the farmer is not able to pay his rent, not for want of cattle or corn but money”. A good harvest might seem a time for farmers and their landlords to rejoice, but it could also lead to a dramatic drop in the price of grain. Good harvests tended to cause deflation (which the Silver Crisis may have made much worse than usual by disrupting the foreign market for English grain exports). An influential court gossip noted in a letter of November of 1620 that “corn and cattle were never at so low a rate since I can remember … and yet can they get no riddance at that price”. Just a few months later, in February 1621, the already unbelievable prices he quoted had dropped even further.
Despite food being unusually cheap, however, the cities and towns that ought to have benefitted were also struggling. The Silver Crisis, along with the general disruption of trade thanks to the Thirty Years War, had reduced the demand for English cloth exports. And this, in turn, threatened to worsen the general shortage of silver coin — having a trade surplus, from the value of exports exceeding imports, was one of the only known ways to boost the amount of silver coming into the country. England had no major silver mines of its own.
It’s in this context that some MPs proposed a ban on any grain imports below a certain price. They argued that not only were low prices and low rents harming their farming and landowning constituents, but that importing foreign grain was undermining the country’s balance of trade. They argued that it was one of the many causes of silver being drawn abroad and worsening the crisis.
