foreign commerce of that extensive empire; which they continued to enjoy for a long period. About the same time, the civil dissensions in Flanders caused multitudes of families to flock to London, and to bring with them their trade and their riches. This great addition to the population of the city, and the consequent inerease of its commerce, led to the erection of the Royal Exchange by Sir Thomas Gresham. In 1579, the Levant or Turkey company, and also the Easland company, were established; both of which still exist. On the 31st of December, 1600, the queen granted the first patent to the East India company. The first adventure proving successful, the company continued its exertions, and hence has arisen the most splendid and powerful mercantile association that probably ever existed in the world. As surance and insurance companies were now established in London; and the company of Spanish merchants was likewise incorporated. So that the reign of Elizabeth may be justly considered as an era in the commercial history of the metropolis.

The ton

In the reign of James I. the progress of the foreign trade was rapidly increased. nage and number of ships in the port of London were greatly augmented. Many of the patents granted by Elizabeth were annulled, and the trade thrown open. Among the circumstances, which occasioned the vast increase of trade during this reign, may be reckoned the colo nization of America and the West India Islands.

The new discoveries, likewise, which were every day made in different quarters of the world, had a powerful effect in stimulating numbers of speculating persons to commercial exertion and ad

venture.

During the peaceful part of Charles I.'s reign, the commerce of the metropolis still continued to make a most rapid progress. The augmented commerce of its port may in some measure be estimated by the quantum of ship money which this unfortunate monarch imposed on the city in 1634. About this time prices current were first printed; and in 1635, an order was issued by the king in council to "the post-master of England for foreign parts," requiring him to open a regular communication, by running post, between the metropolis and Edinburgh, Ireland, and a variety of other places.

Previous to the year 1640, it was usual for the merchants to deposit their money in the Tower Mint. But this deposit lost all its credit by the ill-advised measure of a forced loan, which the king thought proper to make. The merchants, in consequence, were obliged to trust their money to their apprentices and clerks. The circumstances of the times and opportunity holding forth great inducements to frauds, many masters lost at once both their servants and their money. Some remedy became necessary. Merchants now began to lodge cash in the hands of the goldsmiths, whom they commissioned also to receive and pay for them. Thus originated the practice of banking; for the goldsmiths soon perceived the

advantage that might be derived from disposable capital, and began to allow a regular interest for all sums committed to their care; and at the same time they commenced the discounting of merchants' bills, at an interest superior to that which they paid.

In 1651, the celebrated navigation act was passed, the provisions of which have doubtless greatly contributed to promote the naval and commercial greatness of Britain. This year

coffee was introduced into London by a Turkey merchant named Edwards. The sugar trade was now likewise established, and upwards of 20,000 cloths were sent annually to Turkey, in return for the commodities of that country.

The plague, in 1665, almost wholly suspended the commerce of London, so that scarcely a single foreign vessel entered the port for the space of three years. The great fire also occasioned incalculable loss to many of the most opulent merchants. Notwithstanding these disastrous events, however, the spirit of the survivors was roused to uncommon exertions. In the course of a few years the city rose from its ashes with greater magnificence and splendour. India muslins were first worn in 1670, and soon became prevalent. In this year, also, was the Hudson's Bay company established, with very extensive powers. The Greenland fishing company was incorporated in the year 1693, and the institution of the bank of England rendered the following year justly memorable in the commercial annals of the metropolis.

The commerce to the East Indies having greatly increased, and many disputes arising relative to exclusive trade, a new joint stock company was incorporated in London, in the year 1698, by the name of the " English company trading to the East Indies." The existence of two rival companies, however, soon gave rise to innumerable disputes; to remedy which, their consolidation took place in the time of queen Anne, by the title of "The United Company of Merchants trading to the East Indies."

The number of vessels belonging to the port of London, as appears from returns made to circular letters from commissioners of the customs in 1701, amounted to 560, carrying 84,882 tons, and 10,065 men. In 1710, the customs of this city are stated at 1,268,095., and those of all the out-ports only at 346,0817., which is more than three and a half to one.

During the reign of George I. the trade of London made very little, if any, progress, owing to the South Sea scheme, the Scotch rebellion, and the Spanish war. But in 1732, commerce began to revive: its advances, however, were com paratively slow, till the peace of Aix-la-Chapelle in 1748, after which it extended with uncommon rapidity. The next check it sustained was occasioned by the American war. But no sooner was peace signed than it proceeded with renewed vigour; for so early as the year 1784, the value of exports to America only had increased to 3,397,500l., considerably above the greatest amount in any year before the war.

The net sum of duties levied in the port of London, and paid into the exchequer this year, arose to the vast sum of 4,472,0917. From this period to 1793, the commerce of London continued uniformly increasing. In that year, however, in consequence of the commencement of the war, the value of exports was upwards of two millions less than in the preceding year, though the imports scarcely suffered any diminution. Numerous bankruptcies consequently took place. But the timely interference of the legislature, and the voting of exchequer bills to the amount of five millions, for the use of such persons as could give sufficient security, soon checked the growing distress.

In the course of the three succeeding years the appearance of things was entirely changed. In 1796, the exports of London amounted in value to 18,410,4997. 17s. 9d., and the imports to 14,719,4667. 15s. 7d. The number of British ships that entered the port amounted to 2,007, carrying 436,843 tons; and 2169 foreign vessels, carrying 287,142 tons. The total, entering coastwise, was 11,176, including repeated voyages, which made a tonnage of 1,059,915. The following year, some alarm was spread among the merchants, by the stoppage of the bank payments in specie; but, through the intervention of parliament, confidence was soon restored. The net amount of the customs was 3,950,6087. In 1798, the importations of sugar and rum far exceeded those of any preceding year, as did likewise the revenue of the customs, which amounted