If peace with the United States could be maintained, the triumph of British diplomacy would be unqualified. The announcement of the alleged Decree of April 28, 1811, came therefore most opportunely to save their pride and self-consistency. On June 23 Castlereagh transmitted to Russell an Order in Council published that day, revoking as to the United States the celebrated Orders of January 7, 1807, and April 26, 1809. "I am to request you," ran his letter, "that you will acquaint your Government that the Prince Regent's ministers have taken the earliest opportunity, after the resumption of the Government, to advise his Royal Highness to the adoption of a measure grounded upon the document communicated by you to this office on the 20th ultimo;"[381] that is upon the Decree of April 28. No one affected to believe that this had been framed at the date it bore. "There was something so very much like fraud on the face of it," wrote Russell, "that in several conversations which I have since had with Lord Castlereagh, particularly at a dinner at the Lord Mayor's, when I was placed next his lordship, I have taken care not to commit the honor of my Government by attempting its vindication. When his lordship called it a strange proceeding, a new specimen of French diplomacy, a trick unworthy of a civilized government, I have merely replied that the motives or good faith of the Government which issued it, or the real time when it was issued, were of little importance as to the effect which it ought to have here; that it was sufficient that it contained a most precise and formal declaration that the Berlin and Milan Decrees were revoked, in relation to America, from November 1, 1810."[382]

This was true; but the contention of the British Government had been that the system of the Decrees was one whole; that its effect upon America could not be dissociated from that upon continental neutral states, where it was enforced under the guise of municipal regulations; and that it must be revoked as a whole, in order to impose the repeal of the Orders in Council. This position had been reaffirmed in the recent Order of April 21. Opinion will therefore differ as to the ministry's success in escaping, under the cover of the new Decree, from the dilemma in which they were placed by the irresistible agitation against the Orders in Council spreading through the nation, and the necessity of avoiding war with the United States, if possible, because of the affairs of the Peninsula. They made the best of it by alleging, as it were, the spirit of the Order of April 21; the disposition "to take such measures as may tend to re-establish the intercourse between neutral and belligerent nations upon its accustomed principles." For this reason, while avowing explicitly that the tenor of the Decree did not meet the requirements of the late Order, the Orders in Council were revoked from August 1 next following; and vessels captured after May 20, the date of Russell's communicating the Decree, would be released. The ministry thus receded gracefully under compulsion; and for their own people at least saved their face.

Superficially the British diplomatic triumph for the moment seemed complete. They had withdrawn their head from the noose just as it began to tighten; and they had done so not on any ground of stringent requirement, but with expressions of desire to go even farther than their just claims, in order to promote conciliation. Russell naturally felt a moment of bitter discomfiture. "In yielding, the ministers appear to have been extremely perplexed in seeking for a subterfuge for their credit. All their feelings and all their prejudices revolted at the idea of publicly bending to the Opposition, or truckling to the United States, and they were compelled to seize on the French Decree of April 28, 1811, as the only means of saving themselves from the degradation of acknowledging that they were vanquished. Without this decree they would have been obliged to yield, and I almost regret that it existed to furnish a salvo, miserable as it is, for their pride. Our victory, however, is still complete, and I trust that those who have refused to support our Government in the contest will at least be willing to allow it the honors of a triumph."[383]

Russell wrote under the mistaken impression that the repeal of the Orders had come in time to save war; in which event the yielding of the British ministry, identified as it was with the Orders in Council, might be construed as a triumph for the system of peaceable coercion, by commercial restrictions, which formed the whole policy of Jefferson and Madison. The triumph claimed by him must be qualified, however, by the reflection that it was obtained at the expense of becoming the dupe of a French deception, on its face so obvious as to deprive mistake of the excuse of plausibility. The eagerness of the Government, and of its representatives abroad, for a diplomatic triumph, had precipitated them into a step for which, on the grounds taken, no justification existed; and they had since then been dragged at the wheels of Napoleon's chariot, in a constant dust of mystification, until he had finally achieved the end of his scheming and landed them in a war for which they were utterly unprepared, and which it had been the chief object of commercial reprisals to avoid. Thus considered, the triumph was barren.

On June 1, 1812, President Madison sent to Congress a message,[384] reciting the long list of international wrongs endured at the hands of Great Britain, and recommending to the deliberations of Congress the question of peace or war. On June 4 the House of Representatives, by a vote of seventy-nine yeas to forty-nine nays, declared that a state of war existed between the United States and Great Britain. The bill then went to the Senate, where it was discussed, amended, and passed on June 17, by nineteen yeas to thirteen nays. The next day the House concurred in the Senate's amendments, and the bill thus passed received the President's signature immediately. The war thus began, formally, on June 18, 1812, five days before the repeal of the British Orders in Council.

While the Declaration of War was still under debate, the Secretary of War, Eustis, on June 8 reported to the Senate that of the ten thousand men authorized as a peace establishment, there were in service six thousand seven hundred and forty-four. He was unable to state what number had been enlisted of the twenty-five thousand regulars provided by the legislation of the current session; a singular exhibition of the efficiency of the Department. He had no hesitation, however, in expressing an unofficial opinion that there were five thousand of these recruits. It is scarce necessary to surmise what the condition of the army was likely to be, with James Wilkinson as the senior general officer of consecutive service, and with Dearborn, a man of sixty, and in civil life ever since the War of Independence, as the first major-general appointed under the new legislation. The navy had a noble and competent body of officers, in the prime of life, a large proportion of whom had seen instructive service in the Barbary conflict; but, as has been seen, Congress had no faith in a navy, and refused it any increase. In this distrust the Administration shared.

Mr. Monroe, indeed, probably through his residence abroad, had attained a juster view of the influence of a navy on foreign relations. He has already been quoted in this connection,[385] but in a letter to a friend, two years before 1812, he developed his opinions with some precision. "I gave my opinion that our naval force ought to be increased. In advising this, I urged that the naval force of the United States ought not to be regulated by reference to the navies of the Great Powers, but to the strength of the squadrons which they usually stationed in time of war on our coasts, at the mouths of great rivers, and in our harbors. I thought that such a force, incorporated permanently with our system, would give weight at all times to our negotiations, and by means thereof prevent wars and save money."[386] Monroe at this time was not in the Administration. Such a policy was diametrically opposed to that of Jefferson, Madison, and Gallatin; and when war came, ships had not been provided. Under the circumstances the disposition of the Government was to put the ships they had under a glass case.

"At the commencement of the war," wrote Monroe to Jefferson, "I was decidedly of your opinion, that the best disposition which could be made of our little navy would be to keep it in a body in a safe port, from which it might sally, only on some important occasion, to render essential service. Its safety, in itself, appeared an important object; as, while safe, it formed a check on the enemy in all operations along our coast, and increased proportionately his expense, in the force to be kept up, as well to annoy our commerce as to protect his own. The reasoning against this, in which all naval officers have agreed, is that, if stationed together in a port,—New York, for example,—the British would immediately block up this, by a force rather superior, and then harass our coast and commerce, without restraint, and with any force, however small. In that case a single frigate might, by cruising along the coast, and menacing continually different parts, keep in motion great bodies of militia; that, while our frigates are at sea, the expectation that they may be met together will compel the British to keep in a body, whenever they institute a blockade or cruise, a force equal at least to our own whole force; that they, [the American vessels] being the best sailors, hazard little by cruising separately, or together occasionally, as they might bring on an action, or avoid one, as they saw fit; that in that measure they would annoy the enemy's commerce wherever they went, excite alarm in the West Indies and elsewhere, and even give protection to our own trade by drawing the enemy's squadron from our own coast.... The reasoning in favor of each plan is so nearly equal that it is hard to say which is best."[387] It is to be hoped that the sequel will show which was best, although little can be hoped when means, military and naval, have been allowed to waste as they had under the essentially unmilitary Administrations since 1801.

On November 25, 1811, seven months before the war began, the Secretary of the Treasury, Gallatin, communicated to the Senate a report on the State of the Finances,[388] in which he showed that since 1801, by economies which totally crippled the war power of the nation, the public debt had been diminished from $80,000,000 to $34,000,000,—a saving of $46,000,000, which lessened the annual interest on the debt by $2,000,000. A good financial showing, doubtless; but, had there been on hand the troops and the ships, which the saved money represented, the War of 1812 might have had an issue more satisfactory to national retrospect. Gallatin also showed, in this paper, that by the restrictive system, enforced against Great Britain in consequence of the Administration's decision that Napoleon's revocation of his Decrees was real, the revenue had dropped from $12,000,000 to $6,000,000; leaving the nation with a probable deficiency of $2,000,000, on the estimate of a year of peace for 1812.