The Corn Laws and trouble at home
Agriculture remained a problem because good harvests between 1819 and 1822 had brought down prices and evoked a cry for greater protection. When the powerful agricultural lobby in Parliament demanded protection in the aftermath, Liverpool gave in to political necessity. Under governmental supervision the notorious
Corn Laws of 1815 was passed prohibiting the import of foreign
wheat until the domestic price reached a minimum accepted level. Liverpool, however, was in principle a free-trader, but had to accept the bill as a temporary measure to ease the transition to peacetime conditions. His chief economic problem during his time as Prime-Minister was that of the nation's finances. The interest on the
national debt, massively swollen by the enormous expenditure of the final war years, together with the war
pensions, absorbed the greater part of normal government revenue. The refusal of the
House of Commons in 1816 to continue the wartime income tax left ministers with no immediate alternative but to go on with the ruinous system of borrowing to meet necessary annual expenditure. Liverpool eventually facilitated a return to the gold standard in 1819.
Inevitably taxes rose to compensate for borrowing and to pay off the debt, which led to widespread disturbance between 1812 and 1822. Around this time, the group known as
Luddites began industrial action, by smashing industrial machines developed for use in the textile industries of the
West Riding of
Yorkshire, Nottinghamshire, Leicestershire and
Derbyshire. Throughout the period 1811-16, there were a series of incidents of machine-breaking and many of those convicted faced execution.
The reports of the secret committees he obtained in 1817 pointed to the existence of an organized network of disaffected political societies, especially in the manufacturing areas. Liverpool told Peel that the disaffection in the country seemed even worse than in 1794. Because of a largely perceived threat to the government, temporary legislation was introduced. He suspended
Habeas Corpus in both
Great Britain (1817) and
Ireland (1822). Following the
Peterloo Massacre in 1819, his government imposed the repressive
Six Acts legislation which limited, among other things, free speech and the right to gather for peaceful demonstration. In 1820, as a result of these measures, Liverpool and other cabinet ministers were almost assassinated in the
Cato Street Conspiracy.
Although Lord Liverpool argued for the abolition of the slave trade at the Congress of Vienna, he was generally opposed to reform at home, often embracing repressive measures to ensure the
status quo. He did however support the repeal of the
Combination Laws banning workers from combining into trade unions in 1824, although the powers of these unions were restricted in 1835 following
strikes.