The Act of 1711 had made illegal the despatch by private ship of letters which could be sent by the regular packets; but for places to which no packet service existed, shipmasters were free to accept and carry letters, and to charge what fees they chose. So far as it directed that all letters for places abroad should be sent by packet where a packet service existed, the Act was ineffective. From the chief coffee-houses in the City of London it was customary to collect letters to be sent in this way by private ship where no packet service existed. This practice was extended to those places to which there was a packet service, and became generally recognized. Shipmasters usually charged a fee of 2d. per letter,[687] and the whole traffic was conducted independently of the Post Office.

No attempt was made to collect postage on letters conveyed by private ship, whether received or despatched by such ship, except in respect of transmission within the kingdom. The penny authorized by the Act of 1711 went to the master of the ship. About the year 1790 Frederick Bourne, a clerk in the foreign department of the Post Office, suggested a scheme which should bring all ship letters into the post and subject them to postage for foreign transmission. He proposed that inward ship letters should be charged

a uniform rate of 4d., and outward letters should be charged half the packet rate; for those places to which there was no packet rate, the rate was to be based on what the packet rate might be presumed to be if a packet service existed. In view of the long period during which the provisions of the Act of Anne had not been enforced in this respect, Pitt was unwilling to attempt to suppress the illegal practice which had grown up. He considered that in respect of outward letters the service performed by the Post Office, which amounted to no more than sealing the bags and handing them to the shipmaster, was insufficient to justify compulsory payment of packet postage. The proposal was therefore adopted only as a permissive measure: merchants were given the option of handing their letters to the Post Office. The Act authorizing the change empowered the Post Office to despatch and receive letters by vessels other than the regular sailing packets. On letters despatched by private ship the Post Office was authorized to charge half the packet rates in the case of letters for places to which a packet service existed; in cases in which no rate of postage was established, the charge was to be half the rates then paid, as near as could be ascertained.[688] On letters brought in by such vessels, in addition to the inland postage, a charge of 4d. a single letter, and so in proportion, was authorized. A fee of 2d. was payable to the master of the ship in respect of every letter delivered to or received from him by the Post Office in proper course.

A Ship Letter Office was opened on the 10th September 1799. No vessel was allowed to make entry or break bulk until letters brought by it had been handed over to the Post Office. The chief object in view was not, however, achieved. Letters sent out of the country by private ship still continued for the most part to be handed to the shipmaster without the intervention of the Post Office. Efforts were made to secure the assistance of coffee-house keepers as agents of the Post Office, but without success; and for many years the proportion between incoming and outgoing private ship letters was eighteen to one.[689]

In 1814 a further Ship Letter Act[690] raised the rate on inward single letters from 4d. to 6d., and made it compulsory to hand all outward ship letters to the Post Office to be charged. The East India Company, whose servants had previously been allowed to send and receive letters free, protested strongly against the new Act, although the official correspondence of the Company had been exempted. The Company pointed out that the Post Office

maintained no packet communication with the East Indies, and to charge postage was to levy a charge where no service was performed, and in effect to lay a tax on letter-writing. They had a stronger weapon than sound argument: the ships sailing between England and India were to a large extent controlled by them, and the Act laid no compulsion on the owners of private ships to carry letters for the Post Office. When, therefore, the Post Office requested the Company to carry post letters to India, the Company replied that they did "not see fit to authorize the commanders or owners of any of their ships to take charge of any bag of letters from the Post Office subjected to a rate of postage for sea conveyance."[691] In consequence of this difficulty an Act was passed in 1815 making it compulsory on all shipmasters to carry such mails as should be tendered to them by the Post Office. The Post Office was required to pay the owners a reasonable sum as remuneration for the carriage of the letters, the ordinary fee of 2d. a letter still being paid to the commander as a perquisite. The East India Company was placated by the concession of further exemptions in its favour. By this Act the rate of postage to India or the Cape was fixed at 14d. the ounce on letters, and on newspapers at 3d. the ounce—the first enactment providing a lower rate for newspapers than for letters in the foreign service.[692]

The result of this Act was eminently satisfactory. In the first eighteen months or so the postage on letters for India and the Cape of Good Hope amounted to £11,658, while the amount paid for the conveyance by private ship was only £1,250; although it should be explained that expense was incurred for less than half the number of despatches, the remainder being conveyed by his Majesty's ships, or by ships of the East India Company which were placed at the disposal of the Post Office free of charge.

Other minor changes were made in subsequent years. In 1836 a postal treaty was arranged with France, under which certain rates—in general, rates slightly lower than those previously in force—were agreed for all letters passing through France.

The rates for colonial letters were revised when uniform postage was introduced in the inland service. They were made chargeable according to weight, and for transmission to any port in the colonies were fixed generally at 1s. the ½ ounce.

In 1850, on political grounds, the Postmaster-General[693] proposed the establishment of a general 1s. rate for all colonial letters. The proposal was not immediately adopted, but a few years later a rate of 6d. the ½ ounce was established for all parts of the Empire