traordinary proportion of 146 per cent., so that if the corps were not recruited a little more assiduously, the whole corps would soon melt away. There was great difficulty, he said, in getting recruits for the Line, and a still greater difficulty in getting recruits for the Militia, one reason in the latter case being the disinclination of the men to serve under canvas; and when the recruits were got with infinite pains and at great expense, one man in three would run off, and show his dislike of his new trade by seeking his fortune elsewhere. It was obvious that, if this state of things should continue, some remedy must be found; and Mr. Hardy intimated that he had already begun to consider very seriously whether some modification would not have to be made in the whole scheme by which service was now adjusted, so as to make his calling more attractive, because more lucrative and more permanent, to the soldier. On the question of Military Education he dwelt at some length, explaining the new system about to be introduced at Sandhurst Military School and the changes contemplated at Woolwich. He next described the progress made in arming the Regular and Auxiliary Forces, stating as a general result that the quality of our armament is most efficient and the reserves ample. In place of the Autumn Manœuvres it is proposed that there shall be two trainings of bodies of 10,000 men each at Aldershot in June and July, by which some 40,000l. will be saved. With regard to the Militia, the inspectors reported a considerable improvement in their training, although the recruiting was not sufficient to keep up the establishment; and so also in the Volunteers, though there was a falling off in numbers, there was a great addition to the number of efficients. But certain changes were in contemplation in the conditions of drill, shooting, &c., which would greatly relieve the force. Lastly, Mr. Hardy touched on the Fortification Vote, stating that within two years all the works will be completed, and that the sea defences are nearly all armed; and he concluded by exhorting the Committee not to forget that ours was an Army of Volunteers, that its feelings and even its prejudices must be carefully considered, and that both officers and men ought always to feel secure of being treated with justice by Parliament and the Government. The Vote was agreed to, after the rejection of an Amendment moved by Sir Wilfrid Lawson, who wished to reduce the force by 10,000 men, asking what nation we were preparing to fight with? He hoped not with the Ashantees, for all we had derived from the war just concluded was a few umbrellas and a Treaty! After this Vote the Houses of Parliament separated for the Easter Recess. CHAPTER II. Opposition without a Leader-Conciliatory Tone of Government-Budget-Navy Esti- WHEN the Parliamentary forces ranged themselves on either side in the new House of Commons, the very unusual spectacle presented itself of an Opposition without an active Leader. Mr. Gladstone, on whom that office naturally devolved as ex-Premier, was desirous to avail himself of the opportunity afforded by his retirement from the Ministry to seek repose, literary occupation, and perhaps leisure for the contemplation of future political action; and reports early prevailed that he meant to withdraw altogether-in spleen, many said—from connection with the party which he had hitherto led. These reports were indeed set aside by the following letter, which he addressed to Lord Granville on the opening of the Session: "11 Carlton House Terrace, March 12. "MY DEAR GRANVILLE,—I have issued a circular to members of Parliament of the Liberal party on the occasion of the opening of Parliamentary business. But I feel it to be necessary that while discharging this duty I should explain what a circular could not convey with regard to my individual position at the present time. I need not apologise for addressing these explanations to you. Independently of other reasons for so troubling you, it is enough to observe that you have very long represented the Liberal party, and have also acted on behalf of the late Government, from its commencement to its close, in the House of Lords. For a variety of reasons personal to myself I could not contemplate any unlimited extension of active political service; and I am anxious that it should be clearly understood by those friends with whom I have acted in the direction of affairs, that at my age I must reserve my entire freedom to divest myself of all the responsibilities of leadership at no distant time. The need of rest will prevent me from giving more than occasional attendance in the House of Commons during the present Session. I should be desirous, shortly before the commencement of the Session of 1875, to consider whether there would be advantage in my placing my services for a time at the disposal of the Liberal party, or whether I should then claim exemption from the duties I have hitherto discharged. If, however, there should be reasonable ground for believing that, instead of the course which I have sketched, it would be preferable, in the view of the party generally, for me to assume at once the place of an independent member, I should willingly adopt the latter alternative. But I shall retain all that desire which I have hitherto felt for the welfare of the party, and if the gentlemen composing it should think fit either to choose a leader or to make provision ad interim, with a view to the convenience of the present year, the person designated would, of course, command from me any assistance which he might find occasion to seek, and which it might be in my power to render." On his own terms, thus offered, Mr. Gladstone's nominal leadership was of course accepted by the Liberal party. Meanwhile there were lieutenants on whom some of his duties might be devolved. Mr. Chichester Fortescue and Mr. Cardwell had indeed been removed from the House of Commons, to receive, along with three others of Mr. Gladstone's friends and supporters, the honours of peerage; but there were others, as Mr. Lowe, Mr. Goschen, Mr. Stansfeld, who might lead their party to special assaults, or Lord Hartington might be put forward to take a more general command, in case the ex-Premier should make much use of his stipulation for frequent absences. The adverse party made merry with the idea of a leadership put in commission, and suggested that the office should finally be awarded by competitive examination. Assuredly the weight of Mr. Gladstone's personal influence was never more recognised than now, when his followers had to marshal themselves on the Opposition benches as best they might without him. One thing that made it less anomalous for the Opposition to be without a leader was that the Government it had to oppose was without a policy. After all the invectives in which the Conservatives, and especially their chief, had indulged against the late holders of office, it now became manifest that it was their one wish to tread in their predecessors' steps; not to venture on hazardous reactionary measures, not to strike out untried reforms on a Conservative basis, not to provoke animosity by taunts of triumph; but to try to make their footing good on the ground already occupied, and for the present at least go neither backwards nor forwards. All recent sarcasms about the "plundering and blundering" of the Liberals were ignored; to be conciliatory in tone was the first rule of procedure. Thus, when one of the speakers on the Address attacked Mr. Gladstone on the unexpected Dissolution, Mr. Disraeli immediately announced that the attack had been made without consultation, and complimented the late Premier in the warmest terms on what had been really successful in his chequered career. The Irish officials were profuse in their commendation of the late Viceroy's administration; the Secretary of State for India vigorously endorsed Lord Northbrook's policy in Bengal; the Chancellors past and present took cordial counsel together on the changes to be carried out in the Law procedure of the country: and Mr. Gathorne Hardy accepted Lord Cardwell's arrangements for the Army, withdrawing even his late determined opposition to the scheme for making Oxford a military centre. With one or two abortive exceptions, hereafter to be noticed, this continued to be the policy of the Government throughout the Session. It was nowhere more conspicuous than in the Budget proposals, which were the first matter that came on for discussion after the Easter Recess. It was hardly surprising that the Opposition should have indulged in a complacent cheer when Sir Stafford Northcote, as Chancellor of the Exchequer, announced, with many complimentary expressions to his eminent predecessor, that Mr. Gladstone's calculations had proved perfectly correct, and that the surplus really amounted to five millions and a half. Cautious critics indeed remarked that the estimates had not been made by either financier with the strictest prudence, for it went on the assumption that the revenue would increase by a million and a half in the course of the year, an assumption which facts might or might not justify. Sir Stafford put the case thus: The Expenditure for 1873-4, he showed, reached 76,466,500l. It included the American Award and the Ashantee War; and as we looked forward to no such liabilities this year, here alone was nearly four millions to the good. But then the Estimate of Revenue, assuming that taxation remained as last year, shows wonderful results. Last year we expected to receive revenue to the extent of 73,762,000l. It was fortunate that we' received more, for we wanted more. The actual receipts were 77,335,6571. On the same basis the revenue of this year-1874-75-is 77,995,000l., made up as follows: But we have not reached the full extent of the surplus yet. It has occurred to some one, for the first time, that interest on advances ought to be included in the revenue of the year, of which it clearly forms part. It has not been so reckoned heretofore, so that there is another half million to be added, making the full six millions of surplus. The help the Chancellor of the Exchequer had received in advice concerning the disposal of the amount afforded an opportunity to amuse the House. Deputations had suggested ways of sweeping off no less than 55,000,000l. of revenue. To all these advances Sir Stafford had turned a willing ear, but deemed the only prudent and dignified course to be to say nothing in reply. One other adviser, he said, he would have liked to consult. He would like to have called up "Him that left half told The story of Cambuscan bold." He would have been glad to know what Mr. Gladstone's "adjustment scheme" was, in view of the total abolition of the Income Tax. Not knowing that, and looking at things soberly, it did not commend itself to his good judgment to "lightly throw down, at six weeks' notice," a system which had yielded since its existence no less than 350,000,000l. of revenue. One other possible mode of dealing with the surplus was specially alluded to India. Should not the great financial prosperity of England be turned to account to help Bengal in her famine distress? Sir Stafford, however, was satisfied that, Indian credit being good, to help would only impair it; and that argument, with the suggestion that finance relief would lead to administrative carelessness, was deemed sufficient. Sir Stafford Northcote had then to say what he would do. He began with the National Debt, and proposed to set apart the half million of interest spoken of, by which, with advances repaid for Terminable Annuities, the extinction of 7,300,000l. of National Debt would be secured by 1885; and he made the gratifying remark that by that year we should have paid off since 1842 no less than 140,000,000l. Then came the diminution, though not the abolition, of the Income Tax. He proposed to reduce it by one penny in the pound, the ultimate cost of which would be 1,800,000l., but of which only 1,500,000l. would come in this year's Estimate. This concluded his dealings with direct taxation; and, passing to indirect taxes, he announced at once his intention to propose the entire abolition of the Sugar Duties, the cost of which would be 2,000,000l. The date of abolition was fixed at May 1 for raw sugar, and May 21 for refined sugar. Sir Stafford argued with some elaboration in defence of this proposal, which he said the Government made with no misgivings, replying to the objections to sweeping away altogether a source of revenue, and pointing out, among other advantages, the stimulus to be given to commerce, if England became, as might be anticipated, an entrepôt of the sugar trade. This reduced the surplus to 942,000l.; and on an incidental mention being made of the Malt Tax, he remarked that the sum now left was too small for him to deal with that. Finally, he canvassed the various suggestions made to him by deputations and otherwise. With regard to the Inhabited House Duty, the Excise Licenses, and the Dog Tax, he held them |