CHAPTER X

KING COTTON

For two weeks there was no lightening of Southern depression in England.

But on June 28 McClellan had been turned back from his advance on

Richmond by Lee, the new commander of the Army of Virginia, and the much

heralded Peninsular campaign was recognized to have been a disastrous

failure. Earlier Northern victories were forgotten and the campaigns in

the West, still progressing favourably for the North, were ignored or

their significance not understood. Again, to English eyes, the war in

America approached a stalemate. The time had come with the near

adjournment of Parliament when, if ever, a strong Southern effort must

be made, and the time seemed propitious. Moreover by July, 1862, it was

hoped that soon, in the cotton districts, the depression steadily

increasing since the beginning of the war, would bring an ally to the

Southern cause. Before continuing the story of Parliamentary and private

efforts by the friends of the South it is here necessary to review the

cotton situation--now rapidly becoming a matter of anxious concern to

both friend and foe of the North and in less degree to the

Ministry itself.

"King Cotton" had long been a boast with the South. "Perhaps no great

revolution," says Bancroft, "was ever begun with such convenient and

soothing theories as those that were expounded and believed at the time

of the organization of the Confederacy.... In any case, hostilities

could not last long, for France and Great Britain must have what the

Confederacy alone could supply, and therefore they could be forced to

aid the South, as a condition precedent to relief from the terrible

distress that was sure to follow a blockade[654]." This confidence was

no new development. For ten years past whenever Southern threats of

secession had been indulged in, the writers and politicians of that

section had expanded upon cotton as the one great wealth-producing

industry of America and as the one product which would compel European

acquiescence in American policy, whether of the Union, before 1860, or

of the South if she should secede. In the financial depression that

swept the Northern States in 1857 _De Bow's Review_, the leading

financial journal of the South, declared: "The wealth of the South is

permanent and real, that of the North fugitive and fictitious. Events

now transpiring expose the fiction, as humbug after humbug

explodes[655]." On March 4, 1858, Senator Hammond of South Carolina,

asked in a speech, "What would happen if no cotton was furnished for

three years? I will not stop to depict what everyone can imagine, but

this is certain: England would topple headlong and carry the whole

civilized world with her save the South. No, you dare not make war on

cotton. No power on earth dares make war upon it. Cotton _is_

King[656]." Two years later, writing before the elections of 1860 in

which the main question was that of the territorial expansion of

slavery, this same Southern statesman expressed himself as believing

that "the slave-holding South is now the controlling power of the

world.... Cotton, rice, tobacco and naval stores command the world; and

we have sense enough to know it, and are sufficiently Teutonic to carry

it out successfully[657]."

These quotations indicative of Southern faith in cotton might be

amplified and repeated from a hundred sources.

Moreover this faith in the possession of ultimate power went hand in

hand with the conviction that the South, more than any other quarter of

the world, produced to the benefit of mankind. "In the three million

bags of cotton," said a writer in _De Bow's Review_, "the slave-labour

annually throws upon the world for the poor and naked, we are doing more

to advance civilization ... than all the canting philanthropists of New

England and Old England will do in centuries. Slavery is the backbone of

the Northern commercial as it is of the British manufacturing

system[658]...." Nor was this idea unfamiliar to Englishmen. Before the

Civil War was under way Charles Greville wrote to Clarendon:

"Any war will be almost sure to interfere with the cotton

crops, and this is really what affects us and what we care

about. With all our virulent abuse of slavery and

slave-owners, and our continual self-laudation on that

subject, we are just as anxious for, and as much interested

in, the prosperity of the slavery interest in the Southern

States as the Carolinan and Georgian planters themselves, and

all Lancashire would deplore a successful insurrection of the

slaves, if such a thing were possible[659]."

On December 20, 1860, South Carolina led the march in secession.

Fifteen days earlier the British consul at Charleston, Bunch, reported a

conversation with Rhett, long a leader of the Southern cause and now a

consistent advocate of secession, in which Rhett developed a plan of

close commercial alliance with England as the most favoured nation,

postulating the dependence of Great Britain on the South for

cotton--"upon which supposed axiom, I would remark," wrote Bunch, "all

their calculations are based[660]." Such was, indeed, Southern

calculation. In January, 1861, _De Bow's Review_ contained an article

declaring that "the first demonstration of blockade of the Southern

ports would be swept away by the English fleets of observation hovering

on the Southern coasts, to protect English commerce, and especially the

free flow of cotton to English and French factories.... A stoppage of

the raw material ... would produce the most disastrous political

results--if not a revolution in England. This is the language of English

statesmen, manufacturers, and merchants, in Parliament and at cotton

associations' debates, and it discloses the truth[661]."

The historical student will find but few such British utterances at the

moment, and these few not by men of great weight either in politics or

in commerce. The South was labouring under an obsession and prophesied

results accordingly. So strong was this obsession that governmental

foreign policy neglected all other considerations and the first

Commission to Europe had no initial instructions save to demand

recognition[662]. The failure of that Commission, the prompt British

acquiescence in the blockade, were harsh blows to Southern confidence

but did not for a long time destroy the faith in the power of cotton. In

June, 1861, Bunch wrote that there was still a firm belief that "Great

Britain will make any sacrifice, even of principle or of honour, to

prevent the stoppage of the supply of cotton," and he enclosed a copy of

an article in the _Charleston Mercury_ of June 4, proclaiming: "The

cards are in our hands, and we intend to play them out to _the

bankruptcy of every cotton factory in Great Britain and France, or the

acknowledgment of our independence_[663]." As late as March, 1862, Bunch

was still writing of this Southern faith in cotton and described the

newly-made appointment of Benjamin as Secretary of State as partly due

to the fact that he was the leader of the "King Cotton" theory of

diplomacy[664]. It was not until the war was well nigh over that British

persistence in neutrality, in spite of undoubted hardships caused by the

lack of cotton, opened Southern eyes. Pollard, editor of a leading

Richmond newspaper, and soon unfriendly to the administration of

Jefferson Davis, summed up in _The Lost Cause_ his earlier criticisms of

Confederate foreign policy:

"'Cotton,' said the Charleston _Mercury_, 'would bring

England to her knees.' The idea was ludicrous enough that

England and France would instinctively or readily fling

themselves into a convulsion, which their great politicians

saw was the most tremendous one of modern times. But the

puerile argument, which even President Davis did not hesitate

to adopt, about the power of 'King Cotton,' amounted to this

absurdity: that the great and illustrious power of England

would submit to the ineffable humiliation of acknowledging

its dependency on the infant Confederacy of the South, and

the subserviency of its empire, its political interests and

its pride, to a single article of trade that was grown in

America[665]!"

But irrespective of the extremes to which Southern confidence in cotton

extended the actual hardships of England were in all truth serious

enough to cause grave anxiety and to supply an argument to Southern

sympathizers. The facts of the "Lancashire Cotton Famine" have

frequently been treated by historians at much length[666] and need here

but a general review. More needed is an examination of some of the

erroneous deductions drawn from the facts and especially an examination

of the extent to which the question of cotton supply affected or

determined British governmental policy toward America.

English cotton manufacturing in 1861 held a position of importance

equalled by no other one industry. Estimates based on varying statistics

diverge as to exact proportions, but all agree in emphasizing the

pre-eminent place of Lancashire in determining the general prosperity of

the nation. Surveying the English, not the whole British, situation it

is estimated that there were 2,650 factories of which 2,195 were in

Lancashire and two adjacent counties. These employed 500,000 operatives

and consumed a thousand million pounds of cotton each year[667]. An

editorial in the _Times_, September 19, 1861, stated that one-fifth of

the entire English population was held to be dependent, either directly

or indirectly, on the prosperity of the cotton districts[668], and

therefore also dependent on the source of supply, the Confederate South,

since statistics, though varying, showed that the raw cotton supplied

from America constituted anywhere from 78 to 84 per cent. of the total

English importation[669].

The American crop of 1860 was the largest on record, nearly 4,000,000

bales, and the foreign shipments, without question hurried because of

the storm-cloud rising at home, had been practically completed by April,

1861. Of the 3,500,000 bales sent abroad, Liverpool, as usual, received

the larger portion[670]. There was, then, no immediate shortage of

supply when war came in America, rather an unusual accumulation of raw

stocks, even permitting some reshipment to the Northern manufacturing

centres of America where the scarcity then brought high prices. In

addition, from December, 1860, to at least April, 1861, there had been

somewhat of a slump in demand for raw cotton by British manufacturers

due to an over-production of goods in the two previous years. There had

been a temporary depression in 1856-57 caused by a general financial

crisis, but early in 1858 restored confidence and a tremendous demand

from the Far East--India especially--set the mills running again on full

time, while many new mills were brought into operation. But by May,

1860, the mills had caught up with the heavy demands and the rest of the

year saw uncertainty of operations and brought expressions of fear that

the "plunge" to produce had been overdone. Manufactured stocks began to

accumulate, and money was not easy since 1860 brought also a combination

of events--deficient grain harvest at home, withdrawal of gold from

England to France for investment in French public works, demand of

America for gold in place of goods, due to political uncertainties

there--which rapidly raised the discount rate from two and one half per

cent. in January, 1860, to six in December. By the end of April, 1861,

the Board of Trade Returns indicated that the cotton trade was in a

dangerous situation, with large imports of raw cotton and decreased

exports of goods[671]. The news of war actually begun in America came as

a temporary relief to the English cotton trade and in the prospect of

decreased supply prices rose, saving many manufacturers from impending

difficulties. A few mills had already begun to work on part-time because

of trade depression. The _immediate_ effect of Lincoln's blockade

proclamation was to check this movement, but by October it had again

begun and this time because of the rapid increase in the price of raw

cotton as compared with the slower advance of the price of goods[672].

In substance the principal effect of the War on the English cotton trade

for the first seven or eight months was felt, not in the manufacturing

districts but in the Liverpool speculative and importing markets of raw

cotton. Prices rose steadily to over a shilling a pound in October,

1861. On November 23 there was a near panic caused by rumours of British

intervention. These were denounced as false and in five days the price

was back above its previous figure. Then on November 27 came the news

of the _Trent_ and the market was thrown into confusion, not because of

hopes that cotton would come more freely but in fear that war with

America would cause it to do so. The Liverpool speculators breathed

freely again only when peace was assured. This speculative British

interest was no cause for serious governmental concern and could not

affect policy. But the manufacturing trade was, presumably, a more

serious anxiety and if cotton became hard, or even impossible to obtain,

a serious situation would demand consideration.

In the generally accepted view of a "short war," there was at first no

great anticipation of real danger. But beginning with December, 1861,

there was almost complete stoppage of supply from America. In the six

months to the end of May, 1862, but 11,500 bales were received, less

than one per cent. of the amount for the same six months of the previous

year[673]. The blockade was making itself felt and not merely in

shipments from the South but in prospects of Southern production, for

the news came that the negroes were being withdrawn by their masters

from the rich sea islands along the coast in fear of their capture by

the Northern blockading squadrons[674]. Such a situation seemed bound in

the end to result in pressure by the manufacturers for governmental

action to secure cotton. That it did not immediately do so is explained

by Arnold, whose dictum has been quite generally accepted, as follows:

"The immediate result of the American war was, at this time,

to relieve the English cotton trade, including the dealers in

the raw material and the producers and dealers in

manufactures, from a serious and impending difficulty. They

had in hand a stock of goods sufficient for the consumption

of two-thirds of a year, therefore a rise in the price of the

raw material and the partial closing of their establishments,

with a curtailment of their working expenses, was obviously

to their advantage. But to make their success complete, this

rise in the price of cotton was upon the largest stock ever

collected in the country at this season. To the cotton trade

there came in these days an unlooked for accession of wealth,

such as even it had never known before. In place of the hard

times which had been anticipated, and perhaps deserved, there

came a shower of riches[675]."

This was written of the situation in December, 1861. A similar analysis,

no doubt on the explanations offered by his English friends, of "the

question of cotton supply, which we had supposed would speedily have

disturbed the level of their neutral policy" was made by Mason in March,

1862. "Thus," he concluded, "it is that even in Lancashire and other

manufacturing districts no open demonstration has been made against the

blockade[676]." Manufactures other than cotton were greatly prospering,

in particular those of woollen, flax, and iron. And the theory that the

cotton lords were not, in reality, hit by the blockade--perhaps profited

by it--was bruited even during the war. _Blackwood's Magazine_, October,

1864, held this view, while the _Morning Post_ of May 16, 1864, went to

the extent of describing the "glut" of goods in 1861, relieved just in

the nick of time by the War, preventing a financial crash, "which must

sooner or later have caused great suffering in Lancashire."

Arnold's generalization has been taken to prove that the _immediate_

effect of the Civil War was to save the cotton industry from great

disaster and that there _immediately_ resulted large profits to the

manufacturers from the increased price of stocks on hand. In fact his

description of the situation in December, 1861, as his own later pages

show, was not applicable, so far as manufacturers' profits are

concerned, until the later months of 1862 and the first of 1863. For

though prices might be put up, as they were, goods were not sold in any

large quantities before the fall of 1862. There were almost no

transactions for shipments to America, China, or the Indies[677].

Foreign purchasers as always, and especially when their needs had just

been abundantly supplied by the great output of 1858-60, were not keen

to place new orders in a rising and uncertain market. The English

producers raised their prices, but they held their goods, lacking an

effective market. The importance of this in British foreign policy is

that at no time, until the accumulated goods were disposed of, was there

likely to be any trade eagerness for a British intervention in America.

Their only fear, says Arnold, was the sudden opening of Southern ports

and a rush of raw cotton[678], a sneer called out by the alleged great

losses incurred and patriotically borne in silence. Certainly in

Parliament the members from Lancashire gave no sign of discontent with

the Government policy of neutrality for in the various debates on

blockade, mediation, and cotton supply but one Member from Lancashire,

Hopwood, ever spoke in favour of a departure from neutrality, or

referred to the distress in the manufacturing districts as due to any

other cause than the shortage in cotton caused by the war[679].

But it was far otherwise with the operatives of Lancashire. Whatever the

causes of short-time operation in the mills or of total cessation of

work the situation was such that from October, 1861, more and more

operatives were thrown out of employment. As their little savings

disappeared they were put upon public poor relief or upon private

charity for subsistence. The governmental statistics do not cover,

accurately, the relief offered by private charity, but those of public

aid well indicate the loss of wage-earning opportunity. In the so-called

"Distressed Districts" of Lancashire and the adjoining counties it

appears that poor relief was given to 48,000 persons in normal times,

out of a total population of 2,300,000. In the first week of November,

1861, it was 61,207, and for the first week of December, 71,593;

thereafter mounting steadily until March, 1862, when a temporary peak of

113,000 was reached. From March until the first week in June there was a

slight decrease; but from the second week of June poor relief resumed an

upward trend, increasing rapidly until December, 1862, when it reached

its highest point of 284,418. In this same first week of December

private relief, now thoroughly organized in a great national effort, was

extended to 236,000 people, making a grand total at high tide of

distress of over 550,000 persons, if private relief was not extended to

those receiving public funds. But of this differentiation there is no

surety--indeed there are evidences of much duplication of effort in

certain districts. In general, however, these statistics do exhibit the

great lack of employment in a one-industry district heretofore enjoying

unusual prosperity[680].

The manufacturing operative population of the district was estimated at

between 500,000 and 600,000. At the time of greatest distress some

412,000 of these were receiving either public or private aid, though

many were working part-time in the mills or were engaged on public

enterprises set on foot to ease the crisis. But there was no starvation

and it is absurd to compare the crisis to the Irish famine of the

'forties. This was a _cotton_ famine in the shortage of that commodity,

but it was not a _human_ famine. The country, wrote John Bright, was

passing through a terrible crisis, but "our people will be kept alive by

the contributions of the country[681]." Nevertheless a rapid change from

a condition of adequate wage-earning to one of dependence on charity--a

change ultimately felt by the great bulk of those either directly or

indirectly dependent upon the cotton industry--might have been expected

to arouse popular demonstrations to force governmental action directed

to securing cotton that trade might revive. That no such popular effect

was made demands careful analysis--to be offered in a later chapter--but

here the _fact_ is alone important, and the fact was that the operatives

sympathized with the North and put no pressure on the Cabinet. Thus at

no time during the war was there any attempt from Lancashire, whether of

manufacturers or operatives, to force a change of governmental

policy[682].

As the lack of employment developed in Lancashire public discussion and

consideration were inevitably aroused. But there was little talk of

governmental interference and such as did appear was promptly met with

opposition by the leading trade journals. July 13, 1861, the _Economist_

viewed the cotton shortage as "a _temporary_ and an _immediate_ one....

We have--on our hypothesis--to provide against the stoppage of our

supply for _one_ year, and that the very _next_ year." Would it _pay_,

asked Bright, to break the blockade? "I don't think myself it would be

cheap ... at the cost of a war with the United States[683]." This was

also the notion of the London _Shipping Gazette_ which, while

acknowledging that the mill-owners of England and France were about to

be greatly embarrassed, continued: "_But we are not going to add to the

difficulty by involving ourselves in a naval war with the Northern

States_[684]...." The _Times_ commented in substance in several issues

in September, 1861, on the "wise policy of working short-time as a

precaution against the contingencies of the cotton supply, and of the

glutted state of distant markets for manufactured goods[685]." October

12, the _Economist_ acknowledged that the impatience of some mill-owners

was quite understandable as was talk of a European compulsion on America

to stop an "objectless and hopeless" quarrel, but then entered upon an

elaborate discussion of the principles involved and demonstrated why

England ought not to intervene. In November Bright could write: "The

notion of getting cotton by interfering with the blockade is abandoned

apparently by the simpletons who once entertained it, and it is accepted

now as a fixed policy that we are to take no part in your

difficulties[686]." Throughout the fall of 1861 the _Economist_ was

doing its best to quiet apprehensions, urging that due to the "glut" of

manufactured goods short-time must have ensued anyway, pointing out that

now an advanced price was possible, and arguing that here was a

situation likely to result in the development of other sources of supply

with an escape from the former dependence on America. In view of the

actual conditions of the trade, already recounted, these were appealing

arguments to the larger manufacturers, but the small mills, running on

short order supplies and with few stocks of goods on hand were less

easily convinced. They were, however, without parliamentary influence

and hence negligible as affecting public policy. At the opening of the

new year, 1862, Bright declared that "with the spinners and

manufacturers and merchants, I think generally there is no wish for any

_immediate_ change[687]."

Bright's letter of November, 1861, was written before news of the

_Trent_ reached England: that of January, 1862, just after that

controversy had been amicably settled. The _Trent_ had both diverted

attention from cotton and in its immediate result created a general

determination to preserve neutrality. It is evident that even without

this threat of war there was no real cotton pressure upon the

Government. With Northern successes in the spring of 1862 hopes were

aroused that the war would soon end or that at least some cotton

districts would be captured to the relief of England. Seward held out

big promises based on the capture of New Orleans, and these for a time

calmed governmental apprehensions, though by midsummer it was clear that

the inability to secure the country back of the city, together with the

Southern determination to burn their cotton rather than see it fall into

the hands of the enemy, would prevent any great supply from the

Mississippi valley[688]. This was still not a matter of _immediate_

concern, for the Government and the manufacturers both held the opinion

that it was not lack of cotton alone that was responsible for the

distress and the manufacturers were just beginning to unload their

stocks[689]. But in considering and judging the attitude of the British

public on this question of cotton it should always be remembered that

the great mass of the people sincerely believed that America was

responsible for the distress in Lancashire. The error in understanding

was more important than the truth.

In judging governmental policy, however, the truth as regards the causes

of distress in England is the more important element. The "Cotton Lords"

did not choose to reveal it. One must believe that they intentionally

dwelt upon the war as the sole responsible cause. In the first important

parliamentary debate on cotton, May 9, 1862, not a word was said of any

other element in the situation, and, it is to be noted, not a word

advocating a change in British neutral policy[690]. It is to be noted

also that this debate occurred when for two months past, the numbers on

poor relief in Lancashire were temporarily decreasing[691], and the

general tone of the speakers was that while the distress was serious it

was not beyond the power of the local communities to meet it. There was

not, then, in May, any reason for grave concern and Russell expressed

governmental conviction when he wrote to Gladstone, May 18, "We must, I

believe, get thro' the cotton crisis as we can, and promote inland works

and railroads in India[692]." Moreover the Southern orders to destroy

cotton rather than permit its capture and export by the North

disagreeably affected British officials[693]. Up to the end of August,

1862, Russell, while writing much to Lyons on England's necessity for

cotton, did not do so in a vein indicative of criticism of Northern

policy nor in the sense that British distress demanded special official

consideration. Such demands on America as were made up to this time came

wholly from France[694].

It was not then cotton, primarily, which brought a revival in July of

the Southern attack on the Government through Parliament[695]. June had

seen the collapse of Lindsay's initial move, and Palmerston's answer to

Hopwood, June 13, that there was no intention, at present, to offer

mediation, appeared final. It was not cotton, but McClellan's defeat,

that produced a quick renewal of Lindsay's activities. June 30, Hopwood

had withdrawn his motion favouring recognition but in doing so asked

whether, "considering the great and increasing distress in the country,

the patient manner in which it has hitherto been borne, and the

hopelessness of the termination of hostilities, the Government intend to

take any steps whatever, either as parties to intervention or otherwise,

to endeavour to put an end to the Civil War in America?" This was

differently worded, yet contained little variation from his former

question of June 13, and this time Palmerston replied briefly that the

Government certainly would like to mediate if it saw any hope of success

but that at present "both parties would probably reject it. If a

different situation should arise the Government would be glad to

act[696]." This admission was now seized upon by Lindsay who, on July

11, introduced a motion demanding consideration of "the propriety of

offering mediation with the view of terminating hostilities," and

insisted upon a debate.

Thus while the first week of June seemed to have quieted rumours of

British mediation, the end of the month saw them revived. Adams was

keenly aware of the changing temper of opinion and on June 20 presented

to Russell a strong representation by Seward who wrote "under the

President's instructions" that such recurrent rumours were highly

injurious to the North since upon hopes of foreign aid the South has

been encouraged and sustained from the first day of secession. Having

developed this complaint at some length Seward went on to a brief

threat, containing the real meat of the despatch, that if foreign

nations did venture to intervene or mediate in favour of the South, the

North would be forced to have recourse to a weapon hitherto not used,

namely to aid in a rising of the slaves against their masters. This was

clearly a threat of a "servile war" if Great Britain aided the South--a

war which would place Britain in a very uncomfortable position in view

of her anti-slavery sentiments in the past. It is evidence of Adams'

discretion that this despatch, written May 28, was held back from

presentation to Russell until revived rumours of mediation made the

American Minister anxious[697]. No answer was given by Russell for over

a month, a fact in itself indicative of some hesitancy on policy. Soon

the indirect diplomacy of Napoleon III was renewed in the hope of

British concurrence. July 11, Slidell informed Mason that Persigny in

conversation had assured him "that this Government is now more anxious

than ever to take prompt and decided action in our favour." Slidell

asked if it was impossible to stir Parliament but acknowledged that

everything depended on Palmerston: "that august body seems to be as

afraid of him as the urchins of a village school of the birch of their

pedagogue[698]."

Unquestionably Persigny here gave Slidell a hint of private instructions

now being sent by Napoleon to Thouvenel who was on a visit to London.

The Emperor telegraphed "Demandez au gouvernement anglais s'il ne croit

pas le moment venu de reconnaître le Sud[699]." Palmerston had already

answered this question in Parliament and Thouvenel was personally very

much opposed to the Emperor's suggestion. There were press rumours that

he was in London to bring the matter to a head, but his report to

Mercier was that interference in America was a very dangerous matter and

that he would have been "badly received" by Palmerston and Russell if he

had suggested any change in neutral policy[700].

In spite of this decided opposition by the French Minister of Foreign

Affairs it is evident that one ground for renewed Southern hopes was the

knowledge of the Emperor's private desires. Lindsay chose his time well

for on July 16 the first thorough report on Lancashire was laid before

Parliament[701], revealing an extremity of distress not previously

officially authenticated, and during this week the papers were full of

an impending disaster to McClellan's army. Lyons, now in London, on his

vacation trip, was concerned for the future mainly because of cotton,

but did not believe there was much danger of an immediate clash with

America[702]. But the great Southern argument of the moment was the

Northern military failure, the ability of the South to resist

indefinitely and the hopelessness of the war. On the morning of July 18

all London was in excitement over press statements that the latest news

from America was not of McClellan's retreat but of the capture of his

entire army.

Lindsay's motion was set for debate on this same July 18. Adams thought

the story of McClellan's surrender had been set afloat "to carry the

House of Commons off their feet in its debate to-night[703]." The

debate itself may be regarded as a serious attempt to push the Ministry

into a position more favourable to the South, and the arguments advanced

surveyed the entire ground of the causes of secession and the

inevitability of the final separation of North and South. They need but

brief summary. Lindsay, refusing to accede to appeals for postponement

because "the South was winning anyway," argued that slavery was no

element in the conflict, that the Southern cause was just, and that

England, because of her own difficulties, should mediate and bring to a

conclusion a hopeless war. He claimed the time was opportune since

mediation would be welcomed by a great majority in the North, and he

quoted from a letter by a labouring man in Lancashire, stating, "We

think it high time to give the Southern States the recognition they so

richly deserve."

Other pro-Southern speakers emphasized Lancashire distress. Gregory

said: "We should remember what is impending over Lancashire--what want,

what woe, what humiliation--and that not caused by the decree of God,

but by the perversity of man. I leave the statistics of the pauperism

that is, and that is to be, to my honourable friends, the

representatives of manufacturing England." No statistics were

forthcoming from this quarter for not a representative from Lancashire

participated in the debate save Hopwood who at the very end upbraided

his fellow members from the district for their silence and was

interrupted by cries of "Divide, Divide." Lindsay's quoted letter was

met by opponents of mediation with the assertion that the operatives

were well known to be united against any action and that they could be

sustained "in luxury" from the public purse for far less a cost than

that of a war with America.

But cotton did not play the part expected of it in this debate. Forster

in a very able speech cleverly keeping close to a consideration of the

effect of mediation on _England_, advanced the idea that such a step

would not end the war but would merely intensify it and so prolong

English commercial distress. He did state, however, that intervention

(as distinct from mediation) would bring on a "servile war" in America,

thus giving evidence of his close touch with Adams and his knowledge of

Seward's despatch of May 28. In the main the friends of the North were

content to be silent and leave it to the Government to answer Lindsay.

This was good tactics and they were no doubt encouraged to silence by

evidence early given in the debate that there would be no positive

result from the motion. Gregory showed that this was a real _attack_ on

the Government by his bitter criticisms of Russell's "three months"

speech[704].

At the conclusion of Gregory's speech Lindsay and his friends, their

immediate purpose accomplished and fearing a vote, wished to adjourn the

debate indefinitely. Palmerston objected. He agreed that everyone

earnestly wished the war in America to end, but he declared that such

debates were a great mistake unless something definite was to follow

since they only served to create irritation in America, both North and

South. He concluded with a vigorous assertion that if the Ministry were

to administer the affairs of the nation it ought to be trusted in

foreign affairs and not have its hands tied by parliamentary expressions

of opinion at inopportune moments. Finally, the South had not yet

securely established its independence and hence could not be recognized.

This motion, if carried, would place England on a definite side and thus

be fatal to any hope of successful mediation or intervention in the

future. Having now made clear the policy of the Government Palmerston

did not insist upon a division and the motion was withdrawn[705].

On the surface Lindsay's effort of July 18 had resulted in ignominious

failure. Lyons called it "ill-timed.... I do not think we know here

sufficiently the extent of the disaster [to McClellan] to be able to

come to any conclusion as to what the European Powers should do." But

the impression left by the debate that there was a strong parliamentary

opinion in favour of mediation made Lyons add: "I suppose Mercier will

open full cry on the scent, and be all for mediation. I am still afraid

of any attempt of the kind[706]." Very much the same opinion was held by

Henry Adams who wrote, "the pinch has again passed by for the moment and

we breathe more freely. But I think I wrote to you some time ago that if

July found us still in Virginia, we could no longer escape interference.

I think now that it is inevitable." A definite stand taken by the North

on slavery would bring "the greatest strength in this running

battle[707]."

In spite of surface appearances that the debate was "ill-timed" the

"pinch" was not in fact passed as the activities of Slidell and Mason

and their friends soon indicated. For a fortnight the Cabinet, reacting

to the repeated suggestions of Napoleon, the Northern defeats, and the

distress in Lancashire, was seriously considering the possibility of

taking some step toward mediation. On July 16, two days before the

debate in the Commons, Slidell at last had his first personal contact

with Napoleon, and came away from the interview with the conviction that

"if England long persists in her inaction he [Napoleon] would be

disposed to act without her." This was communicated to Mason on July

20[708], but Slidell did _not_ as yet see fit to reveal to Mason that in

the interview with Napoleon he had made a definite push for separate

action by France, offering inducements on cotton, a special commercial

treaty, and "alliances, defensive, and offensive, for Mexican affairs,"

this last without any authority from Benjamin, the Confederate Secretary

of State. On July 23 Slidell made a similar offer to Thouvenel and left

with him a full memorandum of the Southern proposal[709]. He was

cautioned that it was undesirable his special offer to France should

reach the ears of the British Government--a caution which he transmitted

to Mason on July 30, when sending copies of Benjamin's instructions, but

still without revealing the full extent of his own overtures

to Napoleon.

[Illustration: JOHN SLIDELL (_From Nicolay and Hay's "Life of Abraham

Lincoln": The Century Co. New York_)]

In all this Slidell was still exhibiting that hankering to pull off a

special diplomatic achievement, characteristic of the man, and in line,

also, with a persistent theory that the policy most likely to secure

results was that of inducing France to act alone. But he was repeatedly

running against advice that France must follow Great Britain, and the

burden of his July 20 letter to Mason was an urging that a demand for

recognition be now made simultaneously in Paris and London. Thouvenel,

not at all enthusiastic over Slidell's proposals, told him that this was

at least a prerequisite, and on July 23, Slidell wrote Mason the demand

should be made at once[710]. Mason, on the advice of Lindsay,

Fitzgerald, and Lord Malmesbury, had already prepared a request for

recognition, but had deferred making it after listening to the debate of

July 18[711]. Now, on July 24, he addressed Russell referring to their

interview of February, 1862, in which he had urged the claims of the

Confederacy to recognition and again presented them, asserting that the

subsequent failure of Northern campaigns had demonstrated the power of

the South to maintain its independence. The South, he wrote, asked

neither aid nor intervention; it merely desired recognition and

continuation of British neutrality[712]. On the same day Mason also

asked for an interview[713], but received no reply until July 31, when

Russell wrote that no definite answer could be sent until "after a

Cabinet" and that an interview did not seem necessary[714].

This answer clearly indicates that the Government was in uncertainty. It

is significant that Russell took this moment to reply at last to

Seward's protestations of May 28[715], which had been presented to him

by Adams on June 20. He instructed Stuart at Washington that his delay

had been due to a "waiting for military events," but that these had

been indecisive. He gave a résumé of all the sins of the North as a

belligerent and wrote in a distinctly captious spirit. Yet these sins

had not "induced Her Majesty's Government to swerve an inch from an

impartial neutrality[716]." Here was no promise of a continuance of

neutrality--rather a hint of some coming change. At least one member of

the Cabinet was very ready for it. Gladstone wrote privately:

"It is indeed much to be desired that this bloody and

purposeless conflict should cease. From the first it has been

plain enough that the whole question was whether the South

was earnest and united. That has now for some months been

demonstrated; and the fact thus established at once places

the question beyond the region even of the most brilliant

military successes[717]...."

Gladstone was primarily influenced by the British commercial situation.

Lyons, still in England, and a consistent opponent of a change of

policy, feared this commercial influence. He wrote to Stuart:

"...I can hardly anticipate any circumstances under which I

should think the intervention of England in the quarrel

between the North and South advisable....

"But it is very unfortunate that no result whatever is

apparent from the nominal re-opening of New Orleans and other

ports. And the distress in the manufacturing districts

threatens to be so great that a pressure may be put upon the

Government which they will find it difficult to resist[718]."

In Parliament sneers were indulged in by Palmerston at the expense of

the silent cotton manufacturers of Lancashire, much to the fury of

Cobden[719]. Of this period Arnold later sarcastically remarked that,

"The representatives of Lancashire in the Houses of Parliament did not

permit the gaieties of the Exhibition season wholly to divert their

attention from the distress which prevailed in the home county[720]."

Being refused an interview, Mason transmitted to Russell on August 1 a

long appeal, rather than a demand, for recognition, using exactly those

arguments advanced by Lindsay in debate[721]. The answer, evidently

given after that "Cabinet" for whose decision Russell had been waiting,

was dated August 2. In it Russell, as in his reply to Seward on July 28,

called attention to the wholly contradictory statements of North and

South on the status of the war, which, in British opinion, had not yet

reached a stage positively indicative of the permanence of Southern

independence. Great Britain, therefore, still "waited," but the time

might come when Southern firmness in resistance would bring

recognition[722]. The tone was more friendly than any expressions

hitherto used by Russell to Southern representatives. The reply does not

reveal the decision actually arrived at by the Ministry. Gladstone wrote

to Argyll on August 3 that "yesterday" a Cabinet had been held on the

question "to move or not to move, in the matter of the American Civil

War...." He had come away before a decision when it became evident the

prevailing sentiment would be "nothing shall be done until both parties

are desirous of it." Gladstone thought this very foolish; he would have

England approach France and Russia, but if they were not ready, wait

until they were. "Something, I trust, will be done before the hot

weather is over to stop these frightful horrors[723]."

All parties had been waiting since the debate of July 18 for the

Cabinet decision. It was at once generally known as "no step at present"

and wisdom would have decreed quiet acquiescence. Apparently one

Southern friend, on his own initiative, felt the need to splutter. On

the next day, August 4, Lord Campbell in the Lords moved for the

production of Russell's correspondence with Mason, making a very

confused speech. "Society and Parliament" were convinced the war ought

to end in separation. At one time Campbell argued that reconquest of the

South was impossible; at another that England should interfere to

prevent such reconquest. Again he urged that the North was in a

situation where she could not stop the war without aid from Europe in

extricating her. Probably the motion was made merely to draw from

Russell an official statement. Production of the papers was refused.

Russell stated that the Government still maintained its policy of strict

neutrality, that if any action was to be taken it should be by all the

maritime powers and that if, in the parliamentary recess, any new policy

seemed advisable he would first communicate with those powers. He also

declared very positively that as yet no proposal had been received from

any foreign power in regard to America, laying stress upon the "perfect

accord" between Great Britain and France[724].

Mason commented on this speech that someone was evidently lying and

naturally believed that someone to be Russell. He hoped that France

would promptly make this clear[725]. But France gave no sign of lack of

"perfect accord." On the contrary Thouvenel even discouraged Slidell

from following Mason's example of demanding recognition and the formal

communication was withheld, Mason acquiescing[726]. Slidell thought new

disturbances in Italy responsible for this sudden lessening of French

interest in the South, but he was gloomy, seeing again the frustration

of high hopes. August 24 he wrote Benjamin:

"You will find by my official correspondence that we are

still hard and fast aground here. Nothing will float us off

but a strong and continued current of important successes in

the field.

I have no hope from England, because I am satisfied that she

desires an indefinite prolongation of the war, until the

North shall be entirely exhausted and broken down.

Nothing can exceed the selfishness of English statesmen

except their wretched hypocrisy. They are continually casting

about their disinterested magnaminity and objection of all

other considerations than those dictated by a high-toned

morality, while their entire policy is marked by egotism and

duplicity. I am getting to be heartily tired of Paris[727]."

On August 7 Parliament adjourned, having passed on the last day of the

session an Act for the relief of the distress in Lancashire by

authorizing an extension of powers to the Poor Law Guardians. Like

Slidell and Mason pro-Northern circles in London thought that in August

there had come to a disastrous end the Southern push for a change in

British policy, and were jubilant. To be sure, Russell had merely

declared that the time for action was "not yet" come, but this was

regarded as a sop thrown to the South. Neither in informed Southern nor

Northern circles outside the Cabinet was there any suspicion, _except by

Adams_, that in the six months elapsed since Lindsay had begun his

movement the Ministry had been slowly progressing in thoughts of

mediation.

In fact the sentiment of the Cabinet as stated by Gladstone had been

_favourable_ to mediation when "both parties were ready for it" and that

such readiness would come soon most Members were convinced. This was a

convenient and reasonable ground for postponing action but did not

imply that if the conviction were unrealized no mediation would be

attempted. McClellan, driven out of the Peninsula, had been removed, and

August saw the Northern army pressed back from Virginia soil. It was now

Washington and not Richmond that seemed in danger of capture. Surely the

North must soon realize the futility of further effort, and the reports

early in July from Washington dilated upon the rapid emergence of a

strong peace party.

But the first panic of dismay once past Stuart sent word of enormous new

Northern levies of men and of renewed courage[728]. By mid-August,

writing of cotton, he thought the prospect of obtaining any quantity of

it "seems hopeless," and at the same time reported the peace

party fast losing ground in the face of the great energy of the

Administration[729]. As to recognition, Stuart believed: "There is

nothing to be done in the presence of these enormous fresh levies, but

to wait and see what the next two months will bring forth[730]." The

hopes of the British Ministry based on a supposed Northern weariness of

the war were being shattered. Argyll, having received from Sumner a

letter describing the enthusiasm and determination of the North, wrote

to Gladstone:

"It is evident, whatever may be our opinion of the prospects

of 'the North' that they do not yet, at least, feel any

approach to such exhaustion as will lead them to admit of

mediation[731]...."

To this Gladstone replied:

"I agree that this is not a state of mind favourable to

mediation; and I admit it to be a matter of great difficulty

to determine when the first step ought to be taken; but I

cannot subscribe to the opinion of those who think that

Europe is to stand silent without limit of time and witness

these horrors and absurdities, which will soon have consumed

more men, and done ten times more mischief than the Crimean

War; but with the difference that there the end was

uncertain, here it is certain in the opinion of the whole

world except one of the parties. I should be puzzled to point

out a single case of dismemberment which has been settled by

the voluntary concession of the stronger party without any

interference or warning from third powers, and as far as

principle goes there never was a case in which warning was so

proper and becoming, because of the frightful misery which

this civil conflict has brought upon other countries, and

because of the unanimity with which it is condemned by the

civilized world[732]."

The renewal of Northern energy, first reports of which were known to

Russell early in August, came as a surprise to the British Ministry.

Their progress toward mediation had been slow but steady. Lindsay's

initial steps, resented as an effort in indirect diplomacy and not

supported by France officially, had received prompt rejection

accompanied by no indication of a desire to depart from strict

neutrality. With the cessation in late June of the Northern victorious

progress in arms and in the face of increasing distress in Lancashire,

the second answer to Lindsay was less dogmatic. As given by Palmerston

the Government desired to offer mediation, but saw no present hope of

doing so successfully. Finally the Government asked for a free hand,

making no pledges. Mason might be gloomy, Adams exultant, but when

August dawned plans were already on foot for a decided change. The

secret was well kept. Four days after the Cabinet decision to wait on

events, two days after Russell's refusal to produce the correspondence

with Mason, Russell, on the eve of departure for the Continent, was

writing to Palmerston:

"Mercier's notion that we should make some move in October

agrees very well with yours. I shall be back in England

before October, and we could then have a Cabinet upon it. Of

course the war may flag before that.

"I quite agree with you that a proposal for an armistice

should be the first step; but we must be prepared to answer

the question on what basis are we to negotiate[733]?"

The next movement to put an end to the war in America was to come, not

from Napoleon III, nor from the British friends of the South, but from

the British Ministry itself.

FOOTNOTES:

[Footnote 654: Bancroft, _Seward_, II, p. 204.]

[Footnote 655: _De Bow's Review_, Dec., 1857, p. 592.]

[Footnote 656: Cited in Adams, _Trans-Atlantic Historical Solidarity_,

p. 66.]

[Footnote 657: _Ibid._, p. 64.]

[Footnote 658: Cited in Smith, _Parties and Slavery_, 68. A remarkable

exposition of the "power of cotton" and the righteousness of slavery was

published in Augusta, Georgia, in 1860, in the shape of a volume of nine

hundred pages, entitled _Cotton is King, and Pro-Slavery Arguments_.

This reproduced seven separate works by distinguished Southern writers

analysing Slavery from the point of view of political economy, moral and

political philosophy, social ethics, political science, ethnology,

international law, and the Bible. The purpose of this united publication

was to prove the rightfulness, in every aspect, of slavery, the

prosperity of America as based on cotton, and the power of the United

States as dependent on its control of the cotton supply. The editor was

E.N. Elliot, President of Planters' College, Mississippi.]

[Footnote 659: Jan. 26, 1861. Cited in Maxwell, _Clarendon_, II, p.

237.]

[Footnote 660: _Am. Hist. Rev._, XVIII, p. 785. Bunch to Russell. No.

51. Confidential. Dec. 5, 1860. As here printed this letter shows two

dates, Dec. 5 and Dec. 15, but the original in the Public Record Office

is dated Dec. 5.]

[Footnote 661: pp. 94-5. Article by W.H. Chase of Florida.]

[Footnote 662: Rhett, who advocated commercial treaties, learned from

Toombs that this was the case. "Rhett hastened to Yancey. Had he been

instructed to negotiate commercial treaties with European powers? Mr.

Yancey had received no intimation from any source that authority to

negotiate commercial treaties would devolve upon the Commission. 'What

then' exclaimed Rhett, 'can be your instructions?' The President, Mr.

Yancey said, seemed to be impressed with the importance of the cotton

crop. A considerable part of the crop of last year was yet on hand and a

full crop will soon be planted. The justice of the cause and the cotton,

so far as he knew, he regretted to say, would be the basis of diplomacy

expected of the Commission" (Du Bose, _Life and Times of Yancey_, 599).]

[Footnote 663: F.O., Am., Vol. 780. No. 69. Bunch to Russell, June 5,

1861. Italics by Bunch. The complete lack of the South in industries

other than its staple products is well illustrated by a request from

Col. Gorgas, Chief of Ordnance to the Confederacy, to Mason, urging him

to secure _three_ ironworkers in England and send them over. He wrote,

"The reduction of ores with coke seems not to be understood here" (Mason

Papers. Gorgas to Mason, Oct. 13, 1861).]

[Footnote 664: F.O., Am., Vol. 843. No. 48. Confidential. Bunch to

Russell, March 19, 1862.]

[Footnote 665: p. 130]

[Footnote 666: The two principal British works are: Arnold, _The History

of the Cotton Famine_, London, 1864; and Watts, _The Facts of the Cotton

Famine_, Manchester, 1866. A remarkable statistical analysis of the

world cotton trade was printed in London in 1863, by a Southerner

seeking to use his study as an argument for British mediation. George

McHenry, _The Cotton Trade_.]

[Footnote 667: Scherer, _Cotton as a World Power_, pp. 263-4.]

[Footnote 668: Lack of authentic statistics on indirect interests make

this a guess by the _Times_. Other estimates run from one-seventh to

one-fourth.]

[Footnote 669: Schmidt, "Wheat and Cotton During the Civil War," p. 408

(in _Iowa Journal of History and Politics_, Vol. 16), 78.8 per cent.

(Hereafter cited as Schmidt, _Wheat and Cotton_.) Scherer, _Cotton as a

World Power_, p. 264, states 84 per cent, for 1860. Arnold, _Cotton

Famine_, pp. 36-39, estimates 83 per cent.]

[Footnote 670: Great Britain ordinarily ran more than twice as many

spindles as all the other European nations combined. Schmidt, _Wheat and

Cotton_, p. 407, _note_.]

[Footnote 671: This Return for April is noteworthy as the first

differentiating commerce with the North and the South.]

[Footnote 672: These facts are drawn from Board of Trade Reports, and

from the files of the _Economist_, London, and _Hunt's Merchants

Magazine_, New York. I am also indebted to a manuscript thesis by T.P.

Martin, "The Effects of the Civil War Blockade on the Cotton Trade of

the United Kingdom," Stanford University. Mr. Martin in 1921 presented

at Harvard University a thesis for the Ph.D degree, entitled "The

Influence of Trade (in Cotton and Wheat) on Anglo-American Relations,

1829-1846," but has not yet carried his more matured study to the Civil

War period.]

[Footnote 673: Adams, _Trans-Atlantic Historical Solidarity_, p. 89.]

[Footnote 674: F.O., Am., Vol. 843. No. 10. Bunch to Russell, Jan. 8,

1862. Bunch also reported that inland fields were being transformed to

corn production and that even the cotton on hand was deteriorating

because of the lack of bagging, shut off by the blockade.]

[Footnote 675: Arnold, _Cotton Famine_, p. 81.]

[Footnote 676: Richardson, II, 198. Mason to Hunter, March 11, 1862.]

[Footnote 677: Parliamentary Returns, 1861 and 1862. _Monthly Accounts

of Trade and Navigation_ (in _Parliamentary Papers_, 1862, _Commons_.

Vol. LV, and 1863, _Commons_, Vol. LXV).]

[Footnote 678: Arnold, _Cotton Famine_, pp. 174 and 215.]

[Footnote 679: In 1861 there were 26 Members from Lancashire in the

Commons, representing 14 boroughs and 2 counties. The suffrage was such

that only 1 in every 27 of the population had the vote. For all England

the proportion was 1 in 23 (Rhodes, IV, 359). _Parliamentary Papers_,

1867-8, _Lords_, Vol. XXXII, "Report on Boundaries of Boroughs and

Counties of England."]

[Footnote 680: The figures are drawn from (1) Farnall's "Reports on

Distress in the Manufacturing Districts," 1862. _Parliamentary Papers,

Commons_, Vol. XLIX, Pt. I, 1863. _Ibid._, Vol. LII, 1864; and (2) from

"Summary of the Number of Paupers in the Distressed Districts," from

November, 1861, to December, 1863. _Commons_, Vol. LII. Farnall's

reports are less exact than the _Summary_ since at times Liverpool is

included, at times not, as also six small poor-law unions which do not

appear in his reports until 1864. The _Summary_ consistently includes

Liverpool, and fluctuates violently for that city whenever weather

conditions interfered with the ordinary business of the port. It is a

striking illustration of the narrow margin of living wages among the

dockers of Liverpool that an annotation at the foot of a column of

statistics should explain an increase in one week of 21,000 persons

thrown on poor relief to the "prevalence of a strong east wind" which

prevented vessels from getting up to the docks.]

[Footnote 681: Trevelyan, _Bright_, p. 309. To Sumner, Dec. 6, 1862.]

[Footnote 682: The historians who see only economic causes have

misinterpreted the effects on policy of the "cotton famine." Recently,

also, there has been advanced an argument that "wheat defeated

cotton"--an idea put forward indeed in England itself during the war by

pro-Northern friends who pointed to the great flow of wheat from the

North as essential in a short-crop situation in Great Britain. Mr.

Schmidt in "The Influence of Wheat and Cotton on Anglo-American

Relations during the Civil War," a paper read before the American

Historical Association, Dec. 1917, and since published in the _Iowa

Journal of History and Politics_, July, 1918, presents with much care

all the important statistics for both commodities, but his conclusions

seem to me wholly erroneous. He states that "Great Britain's dependence

on Northern wheat ... operated as a contributing influence in keeping

the British government officially neutral ..." (p. 423), a cautious

statement soon transformed to the positive one that "this fact did not

escape the attention of the English government," since leading journals

referred to it (p. 431). Progressively, it is asserted: "But it was

Northern wheat that may well be regarded as the decisive factor,

counterbalancing the influence of cotton, in keeping the British

government from recognizing the Confederacy" (p. 437). "That the wheat

situation must have exerted a profound influence on the government ..."

(p. 438). And finally: "In this contest wheat won, demonstrating its

importance as a world power of greater significance than cotton" (p.

439). This interesting thesis has been accepted by William Trimble in

"Historical Aspects of the Surplus Food Production of the United States,

1862-1902" (_Am. Hist. Assoc. Reports_, 1918, Vol. I, p. 224). I think

Mr. Schmidt's errors are: (1) a mistake as to the time when recognition

of the South was in governmental consideration. He places it in

midsummer, 1863, when in fact the danger had passed by January of that

year. (2) A mistake in placing cotton and wheat supply on a parity,

since the former could not be obtained in quantity from _any_ source

before 1864, while wheat, though coming from the United States, could

have been obtained from interior Russia, as well as from the maritime

provinces, in increased supply if Britain had been willing to pay the

added price of inland transport. There was a real "famine" of cotton;

there would have been none of wheat, merely a higher cost. (This fact, a

vital one in determining influence, was brought out by George McHenry in

the columns of _The Index_, Sept. 18, 1862.) (3) The fact, in spite of

all Mr. Schmidt's suppositions, that while cotton was frequently a

subject of governmental concern in _memoranda_ and in private notes

between members of the Cabinet, I have failed to find one single case of

the mention of wheat. This last seems conclusive in negation of Mr.

Schmidt's thesis.]

[Footnote 683: Speech at Rochdale, Sept. 1, 1861. Cited in _Hunt's

Merchants Magazine_, Vol. 45, pp. 326-7.]

[Footnote 684: _Ibid._, p. 442.]

[Footnote 685: e.g., The _Times_, Sept. 19, 1861.]

[Footnote 686: To Sumner, Nov. 20, 1861. Mass Hist. Soc. _Proceedings_,

XLVI, p. 97.]

[Footnote 687: _Ibid._, Jan. 11, 1862. Vol. XLV, p. 157.]

[Footnote 688: F.O., Am., Vol. 843. No. 85. Bunch to Russell, June 25,

1862. He reported a general burning of cotton estimating the amount so

destroyed as nearly one million bales.]

[Footnote 689: Rhodes, III, p. 503, leaves the impression that England

was at first unanimous in attributing the cotton disaster to the War.

Also, IV, p. 77. I think this an error. It was the general public belief

but not that of the well informed. Rhodes, Vol. IV, p. 364, says that it

was not until January, 1863, that it was "begun to be understood" that

famine was not wholly caused by the War, but partly by glut.]

[Footnote 690: Hansard, 3d. Ser., CLXVI, pp. 1490-1520. Debate on "The

Distress in the Manufacturing Districts." The principal speakers were

Egerton, Potter, Villiers and Bright. Another debate on "The Cotton

Supply" took place June 19, 1862, with no criticism of America. _Ibid._,

CLXVII, pp. 754-93.]

[Footnote 691: See _ante_, p. 12.]

[Footnote 692: Gladstone Papers.]

[Footnote 693: F.O., Am., Vol. 843. No. 73. Bunch to Russell, May 12,

1862. A description of these orders as inclusive of "foreign owned"

cotton of which Bunch asserted a great stock had been purchased and

stored, waiting export, by British citizens. Molyneaux at Savannah made

a similar report. _Ibid._, Vol. 849. No. 16. To Russell, May 10, 1862.]

[Footnote 694: Bancroft, _Seward_, II, pp. 214-18.]

[Footnote 695: Arnold, _Cotton Famine_, p. 228, quotes a song in the

"improvised schoolrooms" of Ashton where operatives were being given a

leisure-time education. One verse was:

"Our mules and looms have now ceased work, the Yankees are

the cause. But we will let them fight it out and stand by

English laws; No recognizing shall take place, until the war

is o'er; Our wants are now attended to, we cannot ask for

more."

]

[Footnote 696: Hansard, 3rd. Ser., CLXVII, p. 1213.]

[Footnote 697: _Parliamentary Papers_, 1862, _Lords_, Vol. XXV. "Further

Correspondence relating to the Civil War in the United States." No. 1.

Reed. June 21, 1862.]

[Footnote 698: Mason Papers.]

[Footnote 699: Thouvenel, _Le Secret de l'Empereur_, II, 352. The exact

length of Thouvenel's stay in London is uncertain, but he had arrived by

July 10 and was back in Paris by July 21. The text of the telegram is in

a letter to Flahault of July 26, in which Thouvenel shows himself very

averse to any move which may lead to war with America, "an adventure

more serious than that of Mexico" (_Ibid._, p. 353).]

[Footnote 700: _Ibid._, p. 349. July 24, 1862. See also résumé in

Walpole, _History of Twenty-five Years_, II, 55.]

[Footnote 701: Farnall's First Report. _Parliamentary Papers_, 1862,

_Commons_, Vol. XLIX.]

[Footnote 702: Lyons Papers. Lyons to Stuart, July 5, 1862.

"Public opinion will not allow the Government to do more for

the North than maintain a strict neutrality, and it may not

be easy to do that if there comes any strong provocation from

the U.S. ..."

"However, the real question of the day is cotton...."

"The problem is of how to get over _this next_ winter. The

prospects of the manufacturing districts are very gloomy."

"...If you can manage in any way to get a supply of cotton

for England before the winter, you will have done a greater

service than has been effected by Diplomacy for a century;

but nobody expects it."

]

[Footnote 703: _A Cycle of Adams' Letters_, I, 166. To his son, July 18,

1862. He noted that the news had come by the _Glasgow_ which had sailed

for England on July 5, whereas the papers contained also a telegram from

McClellan's head-quarters, dated July 7, but "the people here are fully

ready to credit anything that is not favourable." Newspaper headings

were "Capitulation of McClellan's Army. Flight of McClellan on a

steamer." _Ibid._, 167. Henry Adams to C.F. Adams, Jr., July 19.]

[Footnote 704: Gregory introduced a ridiculous extract from the _Dubuque

Sun_, an Iowa paper, humorously advocating a repudiation of all debts to

England, and solemnly held this up as evidence of the lack of financial

morality in America. If he knew of this the editor of the small-town

American paper must have been tickled at the reverberations of

his humour.]

[Footnote 705: Hansard, 3rd. Ser. CLXVIII, pp. 511-549, for the entire

debate.]

[Footnote 706: Lyons Papers. Lyons to Stuart, July 19, 1862.]

[Footnote 707: _A Cycle of Adams' Letters_, I, pp. 168-9. To Charles

Francis Adams, Jr., July 19, 1862.]

[Footnote 708: Mason Papers. The larger part of Slidell's letter to

Mason is printed in Sears, "A Confederate Diplomat at the Court of

Napoleon III," _Am. Hist. Rev._, Jan., 1921, p. 263. C.F. Adams, "A

Crisis in Downing Street," Mass. Hist. Soc. _Proceedings_, May, 1914, p.

379, is in error in dating this letter April 21, an error for which the

present writer is responsible, having misread Slidell's difficult

hand-writing.]

[Footnote 709: Richardson, II, pp. 268-289. Slidell to Benjamin, July

25, 1862. It is uncertain just when Mason learned the details of

Slidell's offer to France. Slidell, in his letter of July 20, wrote:

"There is an important part of our conversation that I will give you

through Mr. Mann," who, apparently, was to proceed at once to London to

enlighten Mason. But the Mason Papers show that Mann did not go to

London, and that Mason was left in the dark except in so far as he could

guess at what Slidell had done by reading Benjamin's instructions, sent

to him by Slidell, on July 30. These did _not_ include anything on

Mexico, but made clear the plan of a "special commercial advantage" to

France. In C.F. Adams, "A Crisis in Downing Street," p. 381, it is

stated that Benjamin's instructions were written "at the time of

Mercier's visit to Richmond"--with the inference that they were a result

of Mercier's conversation at that time. This is an error. Benjamin's

instructions were written on April 12, and were sent on April 14, while

it was not until April 16 that Mercier reached Richmond. To some it will

no doubt seem inconceivable that Benjamin should not have informed

Mercier of his plans for France, just formulated. But here, as in

Chapter IX, I prefer to accept Mercier's positive assurances to Lyons at

their face value. Lyons certainly so accepted them and there is nothing

in French documents yet published to cast doubt on Mercier's honour,

while the chronology of the Confederate documents supports it.]

[Footnote 710: Mason Papers.]

[Footnote 711: _Ibid._, Mason to Slidell, July 18 and 19.]

[Footnote 712: _Parliamentary Papers_, 1863, _Lords_, Vol. XXIX.

"Correspondence with Mr. Mason respecting Blockade and Recognition."

No. 7.]

[Footnote 713: _Ibid._, No. 8.]

[Footnote 714: _Ibid._, No. 9.]

[Footnote 715: See _ante_, p. 18.]

[Footnote 716: _Parliamentary Papers_, 1862, _Lords_, Vol. XXV. "Further

Correspondence relating to the Civil War in the United States." No. 2.

Russell to Stuart, July 28, 1862.]

[Footnote 717: Gladstone Papers. To Col. Neville, July 26, 1862.]

[Footnote 718: Lyons Papers. July 29, 1862.]

[Footnote 719: Malmesbury, _Memoirs of an Ex-Minister_, II, p. 276. July

31, 1862.]

[Footnote 720: Arnold, _Cotton Famine_, p. 175.]

[Footnote 721: _Parliamentary Papers_, 1863, _Lords_, Vol. XXIX.

"Correspondence with Mr. Mason respecting Blockade and Recognition."

No. 10.]

[Footnote 722: _Ibid._, No. 11.]

[Footnote 723: Gladstone Papers. Also Argyll, _Autobiography_, II, p.

191.]

[Footnote 724: Hansard, 3rd. Ser., CLXVIII, p. 1177 _seq_.]

[Footnote 725: Mason Papers. Mason to Slidell, Aug. 5, 1862.]

[Footnote 726: F.O., France, Vol. 1443. No. 964. Cowley to Russell, Aug.

8, 1862. Mason Papers. Slidell to Mason, Aug. 20, 1862. Mason to

Slidell, Aug. 21.]

[Footnote 727: Richardson, II, p. 315.]

[Footnote 728: Russell Papers. Stuart to Russell, July 7, 1862.]

[Footnote 729: _Ibid._, To Russell, Aug. 18, 1862.]

[Footnote 730: _Ibid._, Aug. 26. Stuart's "nothing to be done" refers,

not to mediation, but to his idea in June-July that the time was ripe

for recognition. He was wholly at variance with Lyons on

British policy.]

[Footnote 731: Gladstone Papers. Aug. 26, 1862.]

[Footnote 732: _Ibid._, Aug. 29, 1862.]

[Footnote 733: Palmerston MS. Aug. 6, 1862.]

CHAPTER XI

RUSSELL'S MEDIATION PLAN

The adjournment of Parliament on August 7 without hint of governmental

inclination to act in the American Civil War was accepted by most of the

British public as evidence that the Ministry had no intentions in that

direction. But keen observers were not so confident. Motley, at Vienna,

was keeping close touch with the situation in England through private

correspondence. In March, 1862, he thought that "France and England have

made their minds up to await the issue of the present campaign"--meaning

McClellan's advance on Richmond[734]. With the failure of that campaign

he wrote: "Thus far the English Government have resisted his

[Napoleon's] importunities. But their resistance will not last

long[735]." Meanwhile the recently established pro-Southern weekly, _The

Index_, from its first issue, steadily insisted on the wisdom and

necessity of British action to end the war[736]. France was declared

rapidly to be winning the goodwill of the South at the expense of

England; the British aristocracy were appealed to on grounds of close

sympathy with a "Southern Aristocracy"; mediation, at first objected to,

in view of the more reasonable demand for recognition, was in the end

the chief object of _The Index_, after mid-July, when simple recognition

seemed impossible of attainment[737]. Especially British humiliation

because of the timidity of her statesmen, was harped upon and any public

manifestation of Southern sympathy was printed in great detail[738].

The speculations of Motley, the persistent agitation of _The Index_ are,

however, no indication that either Northern fears or Southern hopes were

based on authoritative information as to governmental purpose. The plan

now in the minds of Palmerston and Russell and their steps in furthering

it have been the subject of much historical study and writing. It is

here proposed to review them in the light of all available important

materials, both old and new, using a chronological order and with more

citation than is customary, in the belief that such citations best tell

the story of this, the most critical period in the entire course of

British attitude toward the Civil War. Here, and here only, Great

Britain voluntarily approached the danger of becoming involved in the

American conflict[739].

Among the few who thought the withdrawal of Lindsay's motion, July 18,

and the Prime Minister's comments did _not_ indicate safety for the

North stood Adams, the American Minister. Of Palmerston's speech he

wrote the next day in his diary: "It was cautious and wise, but enough

could be gathered from it to show that mischief to us in some shape will

only be averted by the favour of Divine Providence or our own efforts.

The anxiety attending my responsibility is only postponed[740]." At this

very moment Adams was much disturbed by his failure to secure

governmental seizure of a war vessel being built at Liverpool for the

South--the famous _Alabama_--which was soon completed and put to sea but

ten days later, July 29. Russell's delay in enforcing British

neutrality, as Adams saw it, in this matter, reinforcing the latter's

fears of a change in policy, had led him to explain his alarm to Seward.

On August 16 Adams received an instruction, written August 2, outlining

the exact steps to be taken in case the feared change in British policy

should occur. As printed in the diplomatic documents later presented to

Congress this despatch is merely a very interesting if somewhat

discursive essay on the inevitability of European ruminations on the

possibility of interference to end the war and argues the unwisdom of

such interference, especially for Great Britain's own interests. It does

not read as if Seward were alarmed or, indeed, as if he had given

serious consideration to the supposed danger[741]. But this conveys a

very erroneous impression. An unprinted portion of the despatch very

specifically and in a very serious tone, instructs Adams that if

approached by the British Government with propositions implying

a purpose:

"To dictate, or to mediate, or to advise, or even to solicit

or persuade, you will answer that you are forbidden to

debate, to hear, or in any way receive, entertain or

transmit, any communication of the kind.... If you are asked

an opinion what reception the President would give to such a

proposition, if made here, you will reply that you are not

instructed, but you have no reason for supposing that it

would be entertained."

This was to apply either to Great Britain alone or acting in conjunction

with other Powers. Further, if the South should be "acknowledged" Adams

was immediately to suspend his functions. "You will perceive," wrote

Seward, "that we have approached the contemplation of that crisis with

the caution which great reluctance has inspired. But I trust that you

will also have perceived that the crisis has not appalled us[742]."

This serious and definite determination by the North to resent any

intervention by Europe makes evident that Seward and Lincoln were fully

committed to forcible resistance of foreign meddling. Briefly, if the

need arose, the North would go to war with Europe. Adams at least now

knew where he stood and could but await the result. The instruction he

held in reserve, nor was it ever officially communicated to Russell. He

did, however, state its tenor to Forster who had contacts with the

Cabinet through Milner-Gibson and though no proof has been found that

the American determination was communicated to the Ministry, the

presumption is that this occurred[743]. Such communication could not

have taken place before the end of August and possibly was not then made

owing to the fact that the Cabinet was scattered in the long vacation

and that, apparently, the plan to move _soon_ in the American War was as

yet unknown save to Palmerston and to Russell.

Russell's letter to Palmerston of August 6, sets the date of their

determination[744]. Meanwhile they were depending much upon advices from

Washington for the exact moment. Stuart was suggesting, with Mercier,

that October should be selected[745], and continued his urgings even

though his immediate chief, Lyons, was writing to him from London strong

personal objections to any European intervention whatever and especially

any by Great Britain[746]. Lyons explained his objections to Russell as

well, but Stuart, having gone to the extent of consulting also with

Stoeckl, the Russian Minister at Washington, was now in favour of

straight-out recognition of the Confederacy as the better measure. This,

thought Stoeckl, was less likely to bring on war with the North than an

attempt at mediation[747]. Soon Stuart was able to give notice, a full

month in advance of the event, of Lincoln's plan to issue an

emancipation proclamation, postponed temporarily on the insistence of

Seward[748], but he attached no importance to this, regarding it as at

best a measure of pretence intended to frighten the South and to

influence foreign governments[749]. Russell was not impressed with

Stuart's shift from mediation to recognition. "I think," he wrote, "we

must allow the President to spend his second batch of 600,000 men before

we can hope that he and his democracy will listen to reason[750]." But

this did not imply that Russell was wavering in the idea that October

would be a "ripe time." Soon he was journeying to the Continent in

attendance on the Queen and using his leisure to perfect his great

plan[751].

Russell's first positive step was taken on September 13. On that date

he wrote to Cowley in Paris instructing him to sound Thouvenel,

_privately_[752], and the day following he wrote to Palmerston

commenting on the news just received of the exploits of Stonewall

Jackson in Virginia, "it really looks as if he might end the war. In

October the hour will be ripe for the Cabinet[753]." Similar reactions

were expressed by Palmerston at the same moment and for the same

reasons. Palmerston also wrote on September 14:

"The Federals ... got a very complete smashing ... even

Washington or Baltimore may fall into the hands of the

Confederates."

"If this should happen, would it not be time for us to

consider whether in such a state of things England and France

might not address the contending parties and recommend an

arrangement upon the basis of separation[754]?"

Russell replied:

"... I agree with you that the time is come for offering

mediation to the United States Government, with a view to the

recognition of the independence of the Confederates. I agree

further that, in case of failure, we ought ourselves to

recognize the Southern States as an independent State. For

the purpose of taking so important a step, I think we must

have a meeting, of the Cabinet. The 23rd or 30th would suit

me for the meeting[755]."

The two elder statesmen being in such complete accord the result of the

unofficial overture to France was now awaited with interest. This,

considering the similar unofficial suggestions previously made by

Napoleon, was surprisingly lukewarm. Cowley reported that he had held a

long and serious conversation with Thouvenel on the subject of mediation

as instructed by Russell on the thirteenth and found a disposition "to

wait to see the result of the elections" in the North. Mercier

apparently had been writing that Southern successes would strengthen the

Northern peace party. Thouvenel's idea was that "if the peace party

gains the ascendant," Lincoln and Seward, both of whom were too far

committed to listen to foreign suggestions, would "probably be set

aside." He also emphasized the "serious consequences" England and France

might expect if they recognized the South.

"I said that we might propose an armistice without mediation,

and that if the other Powers joined with us in doing so, and

let it be seen that a refusal would be followed by the

recognition of the Southern States, the certainty of such

recognition by all Europe must carry weight with it."

Thouvenel saw some difficulties, especially Russia.

"...the French Government had some time back sounded that of

Russia as to her joining France and England in an offer of

mediation and had been met by an almost scornful refusal...."

"It appears also that there is less public pressure here for

the recognition of the South than there is in England[756]."

Thouvenel's lack of enthusiasm might have operated as a check to Russell

had he not been aware of two circumstances causing less weight than

formerly to be attached to the opinions of the French Secretary for

Foreign Affairs. The first was the well-known difference on American

policy between Thouvenel and Napoleon III and the well-grounded

conviction that the Emperor was at any moment ready to impose his will,

if only England would give the signal. The second circumstance was still

more important. It was already known through the French press that a

sharp conflict had arisen in the Government as to Italian policy and all

signs pointed to a reorganization of the Ministry which would exclude

Thouvenel. Under these circumstances Russell could well afford to

discount Thouvenel's opinion. The extent to which he was ready to

go--much beyond either the offer of mediation, or of armistice evidently

in Cowley's mind--is shown by a letter to Gladstone, September 26.

"I am inclined to think that October 16 may be soon enough

for a Cabinet, if I am free to communicate the views which

Palmerston and I entertain to France and Russia in the

interval between this time and the middle of next month.

These views had the offer of mediation to both parties in the

first place, and in the case of refusal by the North, to

recognition of the South. Mediation on the basis of

separation and recognition accompanied by a declaration of

neutrality[757]."

The perfected plan, thus outlined, had resulted from a communication to

Palmerston of Cowley's report together with a memorandum, proposed to be

sent to Cowley, but again _privately_[758], addressed to France alone.

Russell here also stated that he had explained his ideas to the Queen.

"She only wishes Austria, Prussia and Russia to be consulted. I said

that should be done, but we must consult France first." Also enclosed

was a letter from Stuart of September 9, reporting Mercier as just

returned from New York and convinced that if advantage were not taken of

the present time to do exactly that which was in Russell's mind, Europe

would have to wait for the "complete exhaustion" of the North[759].

Russell was now at home again and the next day Palmerston approved the

plans as "excellent"; but he asked whether it would not be well to

include Russia in the invitation as a compliment, even though "she might

probably decline." As to the other European powers the matter could wait

for an "after communication." Yet that Palmerston still wished to go

slowly is shown by a comment on the military situation in America:

"It is evident that a great conflict is taking place to the

north-west of Washington, and its issue must have a great

effect on the state of affairs. If the Federals sustain a

great defeat, they may be at once ready for mediation, and

the iron should be struck while it is hot. If, on the other

hand, they should have the best of it, we may wait awhile and

see what may follow[760]...."

Thus through Palmerston's caution Russia had been added to France in

Russell's proposed memorandum and the communication to Cowley had not

been sent off immediately--as the letter to Gladstone of September 26

indicates. But the plan was regarded as so far determined upon that on

September 24 Russell requested Lyons not to fix, as yet, upon a date for

his departure for America, writing, "M. Mercier is again looking out for

an opportunity to offer mediation, and this time he is not so much out

in his reckoning[761]." Curiously Mercier had again changed his mind and

now thought a proposal of an armistice was the best move, being

"particularly anxious that there should be no mention of the word

_separation_," but of this Russell had, as yet, no inkling[762]. With

full approval of the plan as now outlined, Palmerston wrote to

Gladstone, September 24, that he and Russell were in complete agreement

that an offer of mediation should be made by the three maritime powers,

but that "no actual step would be taken without the sanction of the

Cabinet[763]." Two days later Russell explained to Gladstone the exact

nature of the proposal[764], but that there was even now no thoroughly

worked out agreement on the sequence of steps necessary is shown by

Palmerston's letter to Gladstone of the twenty-fourth, in which is

outlined a preliminary proposal of an armistice, cessation of blockade,

and negotiation on the basis of separation[765].

Other members of the Cabinet were likewise informed of the proposed

overture to France and Russia and soon it was clear that there would be

opposition. Granville had replaced Russell in attendance upon the Queen

at Gotha. He now addressed a long and careful argument to Russell

opposing the adventure, as he thought it, summing up his opinion in

this wise:

"...I doubt, if the war continues long after our recognition

of the South, whether it will be possible for us to avoid

drifting into it."

"...I have come to the conclusion that it is premature to

depart from the policy which has hitherto been adopted by you

and Lord Palmerston, and which, notwithstanding the strong

antipathy to the North, the strong sympathy with the South,

and the passionate wish to have cotton, has met with such

general approval from Parliament, the press, and the

public[766]."

But Granville had little hope his views would prevail. A few days later

he wrote to Lord Stanley of Alderley:

"I have written to Johnny my reasons for thinking it

decidedly premature. I, however, suspect you will settle to

do so! Pam, Johnny, and Gladstone would be in favour of it;

and probably Newcastle. I do not know about the others. It

appears to me a great mistake[767]."

Opportunely giving added effect to Granville's letter there now arrived

confused accounts from America of the battles about Washington and of a

check to the Southern advance. On September 17 there had been fought the

battle of Antietam and two days later Lee, giving up his Maryland

campaign, began a retreat through the Shenandoah valley toward the old

defensive Southern lines before Richmond. There was no pursuit, for

McClellan, again briefly in command, thought his army too shattered for

an advance. Palmerston had been counting on a great Southern victory and

was now doubtful whether the time had come after all for European

overtures to the contestants. October 2 he wrote Russell:

"MY DEAR RUSSELL,

"I return you Granville's letter which contains much

deserving of serious consideration. There is no doubt that

the offer of Mediation upon the basis of Separation would be

accepted by the South. Why should it not be accepted? It

would give the South in principle the points for which they

are fighting. The refusal, if refusal there was, would come

from the North, who would be unwilling to give up the

principle for which they have been fighting so long as they

had a reasonable expectation that by going on fighting they

could carry their point. The condition of things therefore

which would be favourable to an offer of mediation would be

great success of the South against the North. That state of

things seemed ten days ago to be approaching. Its advance has

been lately checked, but we do not yet know the real course

of recent events, and still less can we foresee what is about

to follow. Ten days or a fortnight more may throw a clearer

light upon future prospects.

"As regards possible resentment on the part of the Northerns

following upon an acknowledgment of the Independence of the

South, it is quite true that we should have less to care

about that resentment in the spring when communication with

Canada was open, and when our naval force could more easily

operate upon the American coast, than in winter when we are

cut off from Canada and the American coast is not so safe.

"But if the acknowledgment were made at one and the same time

by England, France and some other Powers, the Yankees would

probably not seek a quarrel with us alone, and would not like

one against a European Confederation. Such a quarrel would

render certain and permanent that Southern Independence the

acknowledgment of which would have caused it.

"The first communication to be made by England and France to

the contending parties might be, not an absolute offer of

mediation but a friendly suggestion whether the time was not

come when it might be well for the two parties to consider

whether the war, however long continued, could lead to any

other result than separation; and whether it might not

therefore be best to avoid the great evils which must

necessarily flow from a prolongation of hostilities by at

once coming to an agreement to treat upon that principle of

separation which must apparently be the inevitable result of

the contest, however long it may last.

"The best thing would be that the two parties should settle

details by direct negotiation with each other, though perhaps

with the rancorous hatred now existing between them this

might be difficult. But their quarrels in negotiation would

do us no harm if they did not lead to a renewal of war. An

armistice, if not accompanied by a cessation of blockades,

would be all in favour of the North, especially if New

Orleans remained in the hands of the North.

"The whole matter is full of difficulty, and can only be

cleared up by some more decided events between the contending

armies...."

PALMERSTON[768]."

Very evidently Palmerston was experiencing doubts and was all in favour

of cautious delay. American military events more than Granville's

arguments influenced him, but almost immediately there appeared a much

more vigorous and determined opponent within the Cabinet. Cornewall

Lewis was prompt to express objections. October 2, Russell transmitted

to Palmerston a letter of disapproval from Lewis. Russell also,

momentarily, was hesitating. He wrote:

"This American question must be well sifted. I send you a

letter of G. Lewis who is against moving ..."

"My only doubt is whether we and France should stir if Russia

holds back. Her separation from our move would ensure the

rejection of our proposals. But we shall know more by the

16th. I have desired a cabinet to be summoned for that day,

but the summons will not go out till Saturday. So if you wish

to stop it, write to Hammond[769]."

From this it would appear that Russia had been approached[770] but that

Russell's chief concern was the attitude of France, that his proposed

private communication to Cowley had been despatched and that he was

waiting an answer which might be expected before the sixteenth. If so

his expectations were negatived by that crisis now on in the French

Ministry over the Italian question prohibiting consideration of any

other matter. On October 15 Thouvenel was dismissed, but his formal

retirement from office did not take place until October 24. Several

Ministers abroad, among them Flahault, at London, followed him into

retirement and foreign affairs were temporarily in confusion[771]. The

Emperor was away from Paris and all that Cowley reported was that the

last time he had seen Thouvenel the latter had merely remarked that "as

soon as the Emperor came back the two Governments ought to enter into a

serious consideration of the whole question[772]...." Cowley himself was

more concerned that it was now becoming clear France, in spite of

previous protestations, was planning "colonizing" Mexico[773].

Up to the end of September, therefore, the British Government, while

wholly confident that France would agree in any effort whatsoever that

England might wish to make, had no recent assurances, either official or

private, to this effect. This did not disturb Russell, who took for

granted French approval, and soon he cast aside the hesitation caused by

the doubts of Granville, the opposition of Lewis, and the caution of

Palmerston. Public opinion was certainly turning toward a demand for

Ministerial action[774]. Two days of further consideration caused him to

return to the attack; October 4 he wrote Palmerston:

"I think unless some miracle takes place this will be the

very time for offering mediation, or as you suggest,

proposing to North and South to come to terms.

"Two things however must be made clear:

(i) That we propose separation,

(ii) That we shall take no part in the war unless attacked

ourselves[775]."

How Russell proposed to evade a war with an angry North was not made

clear, but in this same letter notice was given that he was preparing a

memorandum for the Cabinet. Russell was still for a mediation on lines

of separation, but his uncertainty, even confusion, of mind became

evident but another two days later on receipt of a letter from Stuart,

written September 23, in which he and Mercier were now all for a

suggestion of armistice, with no mention of separation[776]. Russell

now thought:

"If no fresh battles occur, I think the suggestion might be

adopted, tho' I am far from thinking with Mercier that the

North would accept it. But it would be a fair and defensible

course, leaving it open to us to hasten or defer recognition

if the proposal is declined. Lord Lyons might carry it over

on the 25th[777]."

British policy, as represented by the inclinations of the Foreign

Secretary, having started out on a course portending positive and

vigorous action, was now evidently in danger of veering far to one side,

if not turning completely about. But the day after Russell seemed to be

considering such an attenuation of the earlier plan as to be content

with a mere suggestion of armistice, a bomb was thrown into the already

troubled waters further and violently disturbing them. This was

Gladstone's speech at Newcastle, October 7, a good third of which was

devoted to the Civil War and in which he asserted that Jefferson Davis

had made an army, was making a navy, and had created something still

greater--a nation[778]. The chronology of shifts in opinion would, at

first glance, indicate that Gladstone made this speech with the

intention of forcing Palmerston and Russell to continue in the line

earlier adopted, thus hoping to bolster up a cause now losing ground.

His declaration, coming from a leading member of of the Cabinet, was

certain to be accepted by the public as a foreshadowing of governmental

action. If Jefferson Davis had in truth created a nation then early

recognition must be given it. But this surmise of intentional pressure

is not borne out by any discovered evidence. On the contrary, the truth

is, seemingly, that Gladstone, in the north and out of touch, was in

complete ignorance that the two weeks elapsed since his letters from

Palmerston and Russell had produced any alteration of plan or even any

hesitation. Himself long convinced of the wisdom of British intervention

in some form Gladstone evidently could not resist the temptation to make

the good news known. His declaration, foreshadowing a policy that did

not pertain to his own department, and, more especially, that had not

yet received Cabinet approval was in itself an offence against the

traditions of British Cabinet organization. He had spoken without

authorization and "off his own bat."

The speculative market, sensitive barometer of governmental policy,

immediately underwent such violent fluctuations as to indicate a general

belief that Gladstone's speech meant action in the war. The price of raw

cotton dropped so abruptly as to alarm Southern friends and cause them

to give assurances that even if the blockade were broken there would be

no immediate outpouring of cotton from Southern ports[779]. On the other

hand, Bright, staunch friend of the North, _hoped_ that Gladstone was

merely seeking to overcome a half-hearted reluctance of Palmerston and

Russell to move. He was sore at heart over the "vile speech" of "your

old acquaintance and friend[780]." The leading newspapers while at first

accepting the Newcastle speech as an authoritative statement and

generally, though mildly, approving, were quick to feel that there was

still uncertainty of policy and became silent until it should be made

clear just what was in the wind[781]. Within the Cabinet it is to be

supposed that Gladstone had caused no small stir, both by reason of his

unusual procedure and by his sentiments. On Russell, however much

disliked was the incursion into his own province, the effect was

reinvigoration of a desire to carry through at least some portion of the

plan and he determined to go on with the proposal of an armistice. Six

days after Gladstone's speech Russell circulated, October 13, a

memorandum on America[782].

This memorandum asserted that the South had shown, conclusively, its

power to resist--had maintained a successful defensive; that the notion

of a strong pro-Northern element in the South had been shown to be

wholly delusive; that the emancipation proclamation, promising a freeing

of the slaves in the sections still in rebellion on January 1, 1863, was

no humanitarian or idealistic measure (since it left slavery in the

loyal or recognized districts) and was but an incitement to servile

war--a most "terrible" plan. For these reasons Russell urged that the

Great Powers ought seriously to consider whether it was not their duty

to propose a "suspension of arms" for the purpose of "weighing calmly

the advantages of peace[783]." This was a far cry from mediation and

recognition, nor did Russell indicate either the proposed terms of an

armistice or the exact steps to be taken by Europe in bringing it about

and making it of value. But the memorandum of October 13 does clearly

negative what has been the accepted British political tradition which is

to the effect that Palmerston, angered at Gladstone's presumption and

now determined against action, had "put up" Cornewall Lewis to reply in

a public speech, thereby permitting public information that no Cabinet

decision had as yet been reached. Lewis' speech was made at Hereford on

October 14. Such were the relations between Palmerston and Russell that

it is impossible the former would have so used Lewis without notifying

Russell, in which case there would have been no Foreign Office

memorandum of the thirteenth[784]. Lewis was, in fact, vigorously

maintaining his objections, already made known to Russell, to _any_ plan

of departure from the hitherto accepted policy of neutrality and his

speech at Hereford was the opening gun of active opposition.

Lewis did not in any sense pose as a friend of the North. Rather he

treated the whole matter, in his speech at Hereford and later in the

Cabinet as one requiring cool judgment and decision on the sole ground

of British interests. This was the line best suited to sustain his

arguments, but does not prove, as some have thought, that his Cabinet

acknowledgment of the impossibility of Northern complete victory, was

his private conviction[785]. At Hereford Lewis argued that everyone must

acknowledge a great war was in progress and must admit it "to be

undecided. Under such circumstances, the time had not yet arrived when

it could be asserted in accordance with the established doctrines of

international law that the independence of the Southern States had been

established[786]." In effect Lewis gave public notice that no Cabinet

decision had yet been reached, a step equally opposed to Cabinet

traditions with Gladstone's speech, since equally unauthorized, but

excusable in the view that the first offence against tradition had

forced a rejoinder[787]. For the public Lewis accomplished his purpose

and the press refrained from comment, awaiting results[788]. Meanwhile

Palmerston, who must finally determine policy, was remaining in

uncertainty and in this situation thought it wise to consult,

indirectly, Derby, the leader of the opposition in Parliament. This was

done through Clarendon, who wrote to Palmerston on October 16 that Derby

was averse to action.

"He said that he had been constantly urged to _go in for_

recognition and mediation, but had always refused on the

ground that recognition would merely irritate the North

without advancing the cause of the South or procuring a

single bale of cotton, and that mediation in the present

temper of the Belligerents _must_ be rejected even if the

mediating Powers themselves knew what to propose as a fair

basis of compromise; for as each party insisted upon having

that which the other declared was vitally essential to its

existence, it was clear that the war had not yet marked out

the stipulations of a treaty of peace.... The recognition of

the South could be of no benefit to England unless we meant

to sweep away the blockade, which would be an act of

hostility towards the North[789]."

More than any other member of the Cabinet Lewis was able to guess,

fairly accurately, what was in the Premier's mind for Lewis was

Clarendon's brother-in-law, and "the most intimate and esteemed of his

male friends[790]." They were in constant communication as the Cabinet

crisis developed, and Lewis' next step was taken immediately after

Palmerston's consultation of Derby through Clarendon. October 17, Lewis

circulated a memorandum in reply to that of Russell's of October 13. He

agreed with Russell's statement of the facts of the situation in

America, but added with sarcasm:

"A dispassionate bystander might be expected to concur in the

historical view of Lord Russell, and to desire that the war

should be speedily terminated by a pacific agreement between

the contending parties. But, unhappily, the decision upon any

proposal of the English Government will be made, not by

dispassionate bystanders, but by heated and violent

partisans; and we have to consider, not how the proposal

indicated in the Memorandum ought to be received, or how it

would be received by a conclave of philosophers, but how it

is likely to be received by the persons to whom it would be

addressed."

Lincoln's emancipation proclamation, Lewis admitted, presumably was

intended to incite servile war, but that very fact was an argument

against, not for, British action, since it revealed an intensity of

bitterness prohibitory of any "calm consideration" of issues by the

belligerents. And suppose the North did acquiesce in an armistice the

only peaceful solution would be an independent slave-holding South for

the establishment of which Great Britain would have become intermediary

and sponsor. Any policy except that of the continuance of strict

neutrality was full of dangers, some evident, some but dimly visible as

yet. Statesmanship required great caution; "... looking to the probable

consequences," Lewis concluded, "of this philanthropic proposition, we

may doubt whether the chances of evil do not preponderate over the

chances of good, and whether it is not--

'Better to endure the ills we have

Than fly to others which we know not of[791].'"

At the exact time when Lewis thus voiced his objections, basing them on

the lack of any sentiment toward peace in America, there were received

at the Foreign Office and read with interest the reports of a British

special agent sent out from Washington on a tour of the Western States.

Anderson's reports emphasized three points:

(1) Emancipation was purely a war measure with no thought of

ameliorating the condition of the slaves once freed;

(2) Even if the war should stop there was no likelihood of securing

cotton for a long time to come;

(3) The Western States, even more then the Eastern, were in favour of

vigorous prosecution of the war and the new call for men was being met

with enthusiasm[792].

This was unpromising either for relief to a distressed England or for

Northern acceptance of an armistice, yet Russell, commenting on

Clarendon's letter to Palmerston, containing Derby's advice, still

argued that even if declined a suggestion of armistice could do no harm

and might open the way for a later move, but he agreed that recognition

"would certainly be premature at present[793]." Russell himself now

heard from Clarendon and learned that Derby "had been constantly urged

to press for recognition and mediation but he had always refused on the

ground that the neutral policy hitherto pursued by the Government was

the right one and that if we departed from it we should only meet with

an insolent rejection of our offer[794]." A long conference with Lyons

gave cause for further thought and Russell committed himself to the

extent that he acknowledged "we ought not to move _at present_ without

Russia[795]...." Finally, October 22, Palmerston reached a decision for

the immediate present, writing to Russell:

"Your description of the state of things between the two

parties is most comprehensive and just. I am, however, much

inclined to agree with Lewis that at present we could take no

step nor make any communication of a distinct proposition

with any advantage."

* * * * *

"All that we could possibly do without injury to our position

would be to ask the two Parties not whether they would agree

to an armistice but whether they might not turn their

thoughts towards an arrangement between themselves. But the

answer of each might be written by us beforehand. The

Northerners would say that the only condition of arrangement

would be the restoration of the Union; the South would say

their only condition would be an acknowledgment by the North

of Southern Independence--we should not be more advanced and

should only have pledged each party more strongly to the

object for which they are fighting. I am therefore inclined

to change the opinion on which I wrote to you when the

Confederates seemed to be carrying all before them, and I am

very much come back to our original view of the matter, that

we must continue merely to be lookers-on till the war shall

have taken a more decided turn[796]."

By previous arrangement the date October 23 had been set for a Cabinet

to consider the American question but Russell now postponed it, though a

few members appeared and held an informal discussion in which Russell

still justified his "armistice" policy and was opposed by Lewis and the

majority of those present. Palmerston did not attend, no action was

possible and technically no Cabinet was held[797]. It soon appeared that

Russell, vexed at the turn matters had taken, was reluctant in yielding

and did not regard the question as finally settled. Yet on the afternoon

of this same day Adams, much disturbed by the rumours attendant upon the

speeches of Gladstone and Lewis, sought an explanation from Russell and

was informed that the Government was not inclined at present to change

its policy but could make no promises for the future[798]. This appeared

to Adams to be an assurance against _any_ effort by Great Britain and

has been interpreted as disingenuous on Russell's part. Certainly Adams'

confidence was restored by the interview. But Russell was apparently

unconvinced as yet that a suggestion of armistice would necessarily lead

to the evil consequences prophesied by Lewis, or would, indeed, require

any departure from a policy of strict neutrality. On the one side

Russell was being berated by pro-Southerners as weakly continuing an

outworn policy and as having "made himself the laughing-stock of Europe

and of America[799];" on the other he was regarded, for the moment, as

insisting, through pique, on a line of action highly dangerous to the

preservation of peace with the North. October 23 Palmerston wrote his

approval of the Cabinet postponement, but declared Lewis' doctrine of

"no recognition of Southern independence until the North had admitted

it" was unsound[800]. The next day he again wrote: "... to talk to the

belligerents about peace at present would be as useless as asking the

winds during the last week to let the waters remain calm[801]."

This expression by Palmerston on the day after the question apparently

had come to a conclusion was the result of the unexpected persistence of

Russell and Gladstone. Replying to Palmerston's letter of the

twenty-third, Russell wrote: "As no good could come of a Cabinet, I put

it off. But tho' I am quite ready to agree to your conclusions for the

present, I cannot do so for G. Lewis' reasons...."

"G. Lewis besides has made a proposition for me which I never

thought of making. He says I propose that England and France

and perhaps some one Continental power should ask America to

suspend the war. I never thought of making such a proposal.

"I think if Russia agreed Prussia would. And if France and

England agreed Austria would. Less than the whole five would

not do. I thought it right towards the Cabinet to reserve any

specific proposition. I am not at all inclined to adopt G.

Lewis' invention.

"I have sent off Lyons without instructions, at which he is

much pleased[802]."

Russell was shifting ground; first the proposal was to have been made by

England and France; then Russia was necessary; now "less than five

powers would not do." But whatever the number required he still desired

a proposal of armistice. On October 23, presumably subsequent to the

informal meeting of Cabinet members, he drew up a brief memorandum in

answer to that of Lewis on October 17, denying that Lewis had correctly

interpreted his plan, and declaring that he had always had "in

contemplation" a step by the five great powers of Europe. The

advisability of trying to secure such joint action, Russell asserted,

was all he had had in mind. _If_ the Cabinet had approved this

advisability, and the powers were acquiescent, _then_ (in answer to

Lewis' accusation of "no look ahead") he would be ready with definite

plans for the negotiation of peace between North and South[803]. Thus by

letter to Palmerston and by circulation of a new memorandum Russell gave

notice that all was not yet decided. On October 24, Gladstone also

circulated a memorandum in reply to Lewis, urging action by England,

France and Russia[804].

Russell's second memorandum was not at first taken seriously by his

Cabinet opponents. They believed the issue closed and Russell merely

putting out a denial of alleged purposes. Clarendon, though not a member

of the Cabinet, was keeping close touch with the situation and on

October 24 wrote to Lewis:

"Thanks for sending me your memorandum on the American

question, which I have read with great satisfaction. Johnny

[Russell] always loves to do something when to do nothing is

prudent, and I have no doubt that he hoped to get support in

his meddling proclivities when he called a Cabinet for

yesterday; but its postponement _sine die_ is probably due to

your memorandum. You have made so clear the idiotic position

we should occupy, either in having presented our face

gratuitously to the Yankee slap we should receive, or in

being asked what practical solution we had to propose after

an armistice had been agreed to at our suggestion, that no

discussion on the subject would have been possible, and the

Foreign Secretary probably thought it would be pleasanter to

draw in his horns at Woburn than in Downing Street[805]."

On October 26, having received from Lewis a copy of Russell's

newly-circulated paper, Clarendon wrote again:

"The Foreign Secretary's _blatt_ exhibits considerable

soreness, for which you are specially bound to make

allowance, as it was you who procured abortion for him. He

had thought to make a great deal of his colt by Meddler out

of Vanity, and you have shown his backers that the animal was

not fit to start and would not run a yard if he did. He is

therefore taken back to the country, where he must have a

deal more training before he can appear in public again."

* * * * *

"I should say that your speech at Hereford was nearly as

effective in checking the alarm and speculation caused by

Gladstone's speech, as your memorandum was in smashing the

Foreign Secretary's proposed intervention, and that you did

so without in the smallest degree committing either the

Government or yourself with respect to the future[806]."

In effect Clarendon was advising Lewis to pay no attention to Russell's

complaining rejoinder since the object desired had been secured, but

there was still one element of strength for Russell and Gladstone which,

if obtained, might easily cause a re-opening of the whole question.

This was the desire of France, still unexpressed in spite of indirect

overtures, a silence in part responsible for the expression of an

opinion by Palmerston that Napoleon's words could not be depended upon

as an indication of what he intended to do[807]. On the day this was

written the French ministerial crisis--the real cause of Napoleon's

silence--came to an end with the retirement of Thouvenel and the

succession of Drouyn de Lhuys. Russell's reply to Palmerston's assertion

of the folly of appealing now to the belligerents was that "recognition"

was certainly out of the question for the present and that "it should

not take place till May Or June next year, when circumstances may show

pretty clearly whether Gladstone was right[808]." But this yielding to

the Premier's decision was quickly withdrawn when, at last, Napoleon and

his new Minister could turn their attention to the American question.

On October 27 Cowley reported a conversation with the Emperor in which

American affairs were discussed. Napoleon hoped that England, France and

Russia would join in an offer of mediation. Cowley replied that he had

no instructions and Napoleon then modified his ideas by suggesting a

proposal of armistice for six months "in order to give time for the

present excitement to calm down[809]...." The next day Cowley reported

that Drouyn de Lhuys stated the Emperor to be very anxious to "put an

end to the War," but that he was himself doubtful whether it would not

be better to "wait a little longer," and in any case if overtures to

America were rejected Russia probably would not join Great Britain and

France in going on to a recognition of the South[810]. All this was

exactly in line with that plan to which Russell had finally come and if

officially notified to the British Government would require a renewed

consideration by the Cabinet. Presumably Napoleon knew what had been

going on in London and he now hastened to give the needed French push.

October 28, Slidell was summoned to an audience and told of the

Emperor's purpose, acting with England, to bring about an

armistice[811]. Three days later, October 31, Cowley wrote that he had

now been officially informed by Drouyn de Lhuys, "by the Emperor's

orders" that a despatch was about to be sent to the French Ministers in

England and Russia instructing them to request joint action by the three

powers in suggesting an armistice of six months _including a suspension

of the blockade_, thus throwing open Southern ports to European

commerce[812].

Napoleon's proposal evidently took Palmerston by surprise and was not

regarded with favour. He wrote to Russell:

"As to the French scheme of proposals to the United States,

we had better keep that question till the Cabinet meets,

which would be either on Monday 11th, or Wednesday 12th, as

would be most convenient to you and our colleagues. But is

it likely that the Federals would consent to an armistice to

be accompanied by a cessation of Blockades, and which would

give the Confederates means of getting all the supplies they

may want?"

* * * * *

"Then comes the difficulty about slavery and the giving up of

runaway slaves, about which we could hardly frame a proposal

which the Southerns would agree to, and people of England

would approve of. The French Government are more free from

the shackles of principle and of right and wrong on these

matters, as on all others than we are. At all events it would

be wiser to wait till the elections in North America are over

before any proposal is made. As the Emperor is so anxious to

put a stop to bloodshed he might try his hand as a beginning

by putting down the stream of ruffians which rolls out from

that never-failing fountain at Rome[813]."

But Russell was more optimistic, or at least in favour of some sort of

proposal to America. He replied to Palmerston:

"My notion is that as there is little chance of our good

offices being accepted in America we should make them such as

would be creditable to us in Europe. I should propose to

answer the French proposal therefore by saying,

"That in offering our good offices we ought to require both

parties to consent to examine, first, whether there are any

terms upon which North and South would consent to restore the

Union; and secondly, failing any such terms, whether there

are any terms upon which both would consent to separate.

"We should also say that if the Union is to be restored it

would be essential in our view, that after what has taken

place all the slaves should be emancipated, compensation

being granted by Congress at the rate at which Great Britain

emancipated her slaves in 1833.

"If separation takes place we must be silent on the trend of

slavery, as we are with regard to Spain and Brazil.

"This is a rough sketch, but I will expand it for the

Cabinet.

"It will be an honourable proposal to make, but the North and

probably the South will refuse it[814]."

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