Britain Topic 4 

Agriculture:

  • enclosure and development in farming techniques e.g crop rotation, water meadows and land reclamation boosted agricultural productivity and efficiency, thereby feeding a growing population and boosting the economy
  • growth of regionally based, specialised arable and pastoral farming helped to improve economic conditions and larger farms provided growing stable employment for over 1 million agricultural labourers by 1688
  • Capital investment in commercial farms by large landowners after 1650 also benefited local economy by improving production, expanding tenant farmer class and improving local road and water distribution networks
  • Increased agricultural production helped to develop national markets by late 17th century e.g. facilitating expansion of London and other urban centres and encouraging transport infrastructure improvements
  • Large commercial farms still not that common by late 17th Century and agriculture was frequently adversely affected by harvest failure (e.g. 1657-61)

Changing trade patterns

  • change in cloth trade provided an economic boost e.g. growth of putting out system and establishment of ‘new draperies’ fuelled by Protestant immigration
  • impact of coastal coal trade- expanded from 400 small to 1400 larger ships across 17th Century
  • Banks played important role in expansion of lending as interest rates fell from 10% (1624-51) to 8% after 1651 which made commercial borrowing more attractive
  • Money scriveners such as Robert Abbott and Robert Clayton also offered or brokered loans to facilitate economic expansion
  • between 1652 and 1655 approximately 1.13 million went through Abbott’s accounts
  • Goldsmith bankers based in London were able to use their reputation for integrity to offer competitive short term loans at 6% and encourage more businesses and individuals to obtain finance through banks
  • Commercial influence during the 17th century was restricted partly because most businesses were small and didn’t require sophisticated banking facilities
  • The availability of cheaper marine insurance (insurance costs fell by 75% over this period) also promoted economic growth by encouraging overseas trade and imperial expansion
  • development of housing/fire insurance stimulated economic growth e.g. Dr Nicholas Barbon’s Insurance Office for Houses (1680) had insured over 4000 London houses by 1683.

overseas trade/imperial expansion

  • colonies in Virginia, Maryland and North/South Carolina established a lucrative tobacco trade that helped Britain compete with European rivals in North American

  • Navigation Act (1651) promoted mercsntilism and the regulation of colonial trade.

  • 1651 Navigation Act led to a huge increase in number of English ships trading across Atlantic with American colonies and encouraged mercantilism in ways that benefitted English traders and commercial interests

  • Dutch agreed to respect Navigation Act after war of 1652-54, leading to growing trade in areas such as the Baltic.

  • Navigation Act of 1660 (together with 1663 Staple Act) provided further controls over colonial trade, which benefitted English traders and fuelled commercial expansion.

  • Plantation Duty Act of 1673 (update to Navigation Act) boosted legal overseas trade by stipulating that captains of English ships had to deliver specified goods only to England or face financial sanctions.

  • Levant Company boosted by a royal charter in 1661, played an important role in development of overseas trade by strengthening economic links in Mediterranean and Ottoman Empire

  • Anglo Portuguese Treaty of 1654 opened up Portuguese Empire to English merchants; by 1660 trade with Portugal was estimated to be 200,000 a year.

  • establishment of Royal African Company in 1672 enabled British to control lucrative slave trade along West African coast

  • importance of British control of triangular trade between North America, Caribbean and Europe based on profitable slave trade

  • triangular trade was mutually beneficial for English slave traders, who made large profits, and plantation owners in colonies such as Antigua

  • profits from triangular trade made huge contribution to wealth of London, thereby strengthening the economy and encouraging further overseas investment

  • From 1620s East India Company focused on India, trading successfully in calico textiles and opening trade opps on Indian west coast

  • by 1640s- East India Company had expanded its successful activities

  • Importance of East India Company demonstrated in 1672 when it was given right to mint coins in India.

  • East India Company exerted authority over and protected English citizens and trading interest of India

  • 1680s- EIC was a popular choice for investors and generated profits equalling or exceeding those of North American tobacco and sugar trades

  • Significance of East India Company can be gauged from fact that it was Britain’s largest joint stock company with 3x the capital of next biggest