The Reign of James I - Finance

Why were there financial issues during James’ reign?

The crown’s expenditure was rising, largely due to inflation caused by the rising prices between 1502 and 1622.

James’ expenditure was greater as he had to provide for his wife and children also, rather than just himself.

What sources of income were used within James’ reign?

Customs duties, feudal dues and rent from Crownlands.

How did James benefit from these sources of income?

He attempted to increase his income as he was not permitted to ask parliament for a subsidy (a rise on taxes to fund war) in a peace time.

What were ‘customs duties’?

Tariffs placed on traded imports and exports. England’s main export was wool.

What were ‘feudal dues’?

These included wardship and purveyance.

Wardship meant that the King would become guardian over noble families’ children if their father died before they were 21. This originated as a responsibility of the King to protect the families’ money and land from other noble families until the child was financially responsible but it turned into an opportunity for the King as the families’ money belonged to him in the meantime.

Purveyance meant that the King had the right to whatever products he desired at a reduced cost, significant as there was mass inflation of the prices of goods between 1502 and 1622.

What was rent from Crownlands?

This involved Chief Minister Robert Cecil, Earl of Sailsbury, selling crown lands which he was reluctant to do. Between 1603 and 1609, crown land and property to the value of £400,000 had been sold.

What was the problem with these sources of income?

James’ expenditure was greater than his income.

What did the royal household cost increase by from 1603 to 1610?

The cost increased from £64,000 in 1603 to £114,000 in 1610.

By how much did the amount spent on the royal wardrobe increase between 1603 and 1610?

This quadrupled, going from £9,000 in 1603 to £36,000 in 1610.

How much money did James give away as gifts and pensions to courtiers?

Between £60,000 and £80,000 per year.

Why did financial tensions develop in 1606?

Parliament granted James three subsidies to settle his debt in 1606 which they were not supposed to do in a peacetime. They resented his generosity to his Scottish courtiers, but James promptly gave away £44,000 to three Scottish friends. In 1611 he gave away £90,688 with £67,498 going to eleven Scotsmen.

How did Chief Minister, Robert Cecil attempt to solve the king’s economic problems?

By issuing the Book of Bounty in 1608 which prohibited the crown giving away major items such as land, customs or impositions (custom duties on specific goods). It was designed to lower courtiers’ expectations of gifts but did not succeed.

How did the Addled Parliament of 1614 worsen financial tensions?

James dissolved the 1614 parliament after the Commons failed to vote taxes and became embroiled in a bitter dispute with the Lords. Parliament dissolved so quickly because:

Financial need - James was £680,000 in debt.

Impositions - financial issue from 1606 still caused conflict.

How did tension grow in 1621 over finance?

Monopolies (the King’s right to grant exclusive rights to make and sell goods of particular kinds) had been abused and were an issue because England was trading poorly with it’s partners. Monopolies were exploited by courtiers by attacking each other.