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Hume, David, 1711-1776

"The History of England in Three Volumes, Vol.I., Part F. From Charles II. to James II."

France had stipulated to pay
two hundred thousand pounds a year during the war; but that supply was
inconsiderable, compared to the immense charge of the English navy. It
seemed as yet premature to venture on levying money without consent of
parliament; since the power of taxing themselves was the privilege of
which the English were with reason particularly jealous. Some other
resource must be fallen on. The king had declared, that the staff
of treasurer was ready for any one that could find an expedient for
supplying the present necessities. Shaftesbury dropped a hint to
Clifford, which the latter immediately seized, and carried to the king,
who granted him the promised reward, together with a peerage. This
expedient was the shutting up of the exchequer and the retaining of all
the payments which should be made into it.
It had been usual for the bankers to carry their money to the exchequer,
and to advance it upon security of the funds, by which they were
afterwards reimbursed when the money was levied on the public. The
bankers by this traffic got eight, sometimes ten per cent., for sums
which either had been consigned to them without interest, or which they
had borrowed at six per cent.; profits which they dearly paid for by
this egregious breach of public faith.


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