Economic developments

Give an overview of the economy of Henry VII

• Henry needed to secure the economy

• Cloth trade was a key aspect (80-90%)

• International relations are key to maintaining links to Antwerp

• Employment on some level is linked to the cloth trade - directly employing 30,000 people and large sections of the population were employe part time to the cloth trade

• England was still a largely a farming community

• Harvests were inconsistent

What were the positives and negatives of trade in Netherlands?

+: the embargo ended with the treaty - Intercursus Magnus 1496 - led to lower tariffs and favourable trading terms with Netherlands (England can trade freely with all of HRE)

+: circumstances in 1506 allowed Henry VII to negotiate the Intercursus Malus - full term never imposed

-: Henry’s embargo on trade with the Netherlands in 1493 - merchants were required to direct their trade through Calais

-: panic once again in 1503 when the claim of the Earl of Suffolk was once again taken seriously

-: English cloth merchants faced stiff competition from well-established Flemish cloth producers

What were the positives and negatives of trade elsewhere?

+: trade restrictions (since Edwards IV’s reign) were removed in 1486

+: the Treaty of Etaples 1492 tried to encourage Anglo-French commercial relations

+: most of the remaining trading restrictions were removed in 1497

+: the Medina Del Campo 1489 made Spain and England became trading partners

+:passed Navigation Acts of 1485 and 1489 - encourage English shipping by trying that only English ships should carry certain products to and from English ports

-: treaty restrictions removed in 1486 were re-imposed in 1487 due to Henry’s support for Brittany

-: attempt to make a significant breakthrough in Mediterranean trade proved a dismal failure

-: Hanseatic League was largely successful in limiting the development of English trading interests in the Baltic - signs agreement to gain the Earl of Suffolk

-: Navigation acts in 1485 and 1489 had limited usefulness - limited naval power so restricted control over sea routes - foreign vessels continued to transport a substantial proportion of English exports

What were the positives and negatives of the industry?

+: wide range (e.g. metallurgy, weaving, brewing, ship building, tin mining, coal mining)

+: development of basic pumping technology enabled greater production of coal which was traded to HRE and the Netherlands

-: most of the industry was very small scale, mainly cottage industry

-: lacked Behring HRE in metallurgy, lacked being Spain and Portugal in ship building

-: mining of coal was still small scale and the tine industry collapsed in Cornwall

What were the positives and negatives of the agriculture?

+: moved towards sheep farming (cloth industry)

+: enclosure acts led to more efficient land use and increased agricultural productivity

+: introduction if the four field crop rotation system boosted crop yields and food production

-: income from land declined due to the Black Death

-: depressed profitability of arable farming

-: enclosure practices often led to the displacement of peasants and created land disputes

-: land ownership and tenancy laws changes caused some social unrest and dislocation

What were the positives and negatives of living standards?

+: relative economy stability prevailed - slow improvement in living conditions

+: growth of the middle class benefitted certain segments of the population

-: living standards varied - many peasants and labourers still mired in poverty

-: heavy taxation from the Crown could place a substantial burden on common people

Evidence that the economy was prosperous

Growth of coal production

• stimulate regional industry and strengthen England’s overseas trade links under Henry (Durham and Northumberland had exports to HRE and Netherlands)

John Cabot

• growing interest in finding new trade routes and markets (1497 voyage to Newfoundland)

Trade treaties

• Intercursus Magnus 1496 with Burgundy boosted English trade, particularly cloth trade

Enclosure

• allowed for more efficient sheep farming, which supported the expanding wool trade and increased profit for landowners

Evidence that the economy was in depression

Collapse of tin mining in Cornwall

• economic decline (Cornish rebellion 1497)

• industrial failure could lead to political unrest

Minimal exploration

Treaty restrictions with Spain

• the Treaty of Medina Del Campo 1489 promised trade benefits, but it’s limited enforcements and later tensions with Spain hindered broader economic gains for a period of time

1488 Husbandry Act

• attempted to limit enclosure and preserve arable farming, but its weak enforcement meant many peasants were displaced, contributing to rural poverty and social unrest

Overall, how was the economy under Henry VII?

Henry VII was successful in stabilising England’s finance after the chaos of the War of Roses

• not revolutionary, but exactly what the country needed to restore confidence, order and royal authority

How was early English exploration under Henry VII’s reign?

• English sailors were much slower when engaging exploration - spice trade dominated by Portugal

• John Cabot arrived in Bristol in 1494 - Bristol fish merchants were looking for alternative fishing grounds as they were excluded from Icelandic waters by Hanseatic League

• Cabot received authorisation from Henry VII

• He sailed in 1497, located what was known as Newfoundland

• He sailed for a second voyage, but he never returned

• John Cabot’s on, Sebastian led an unsuccessful voyage to Asia in 1508