[Sidenote: Finance]

Secure of her throne, Elizabeth was confronted by the great domestic problem of effecting a religious settlement; the diplomatic problem of terminating the French war; and what may be called the personal problem of choosing—or evading—a husband, since no one, except it may be the Queen herself, dreamed for a moment that she could long remain unwedded. To these problems must be added a fourth, less conspicuous but vital to the continuance of good government—the rehabilitation of the finances, of the national credit. A strict and lynx-eyed economy, a resolute honesty of administration, and a prompt punctuality in meeting engagements, took the place of the laxity, recklessness, and peculation which had prevailed of recent years. The presence of a new tone in the Government was immediately felt in mercantile circles, and the negotiation of necessary loans became a reasonable business transaction instead of an affair of usurious bargaining, both in England and on the continent. Finally, before Elizabeth had been two years on the throne, measures were promulgated for calling in the whole of the debased coinage which had been issued during the last fifteen years, and putting in circulation a new and honest currency. It seems to have been owing to a miscalculation, not to sharp practice, that the Government did in fact make a small profit out of this transaction.

[Sidenote: Marriage proposals: Philip II.]

Philip of Spain and his representatives in England had not realised the true strength of Elizabeth's position, and certainly had no suspicion that she and her advisers were entirely alive to it. On this point they had absolutely no misgivings. They took it for granted that the English queen must place herself in their hands and meekly obey their behests, if only in order to secure Spanish support against France. Philip began operations by proposing him self as her husband, expecting thereby to obtain for himself a far greater degree of power than he had derived from his union with her sister, while inviting her to share the throne of the first Power in Europe. But Elizabeth and Cecil were alive to the completeness of the hold on Philip they already possessed; and Elizabeth, the daughter of Anne Boleyn, would have utterly stultified her own position by marrying her dead sister's husband, since it would be necessary to obtain a papal dispensation, acknowledge the Pope's authority, and recognise by implication the validity of her father's marriage with Katharine of Aragon. To the ambassador's amazed indignation, the Queen with the support of the Council, decisively rejected the honour. Paget, who had in the last reign stood almost alone in commending the Spanish match, would have repeated his counsel now; but he had been displaced, while Cecil and his mistress were entirely at one.

The Queen's argument that the marriage, however attractive to herself or desirable politically, was, from her point of view out of the question, was unanswerable. The Spaniards had to cast about for some other candidate for her hand, whose success would still be likely to attach England to the chariot-wheels of Spain; besides seeking another bride for their own King.

When Philip's hand was definitely declined, three months after Elizabeth's accession, the most pressing danger arising out of the Marriage question was at an end. Thenceforward, dalliance with would-be suitors became simply one of the tactical tricks of Elizabeth's diplomacy, employed by her perhaps not less to the torment of her own advisers than to the perturbation of foreign chancelleries; seeing that whether she knew her own mind or not, up to the last she invariably took very good care that no one else should know it.

[Sidenote: The Religious Question]

One of Philip's main objects was as a matter of course to secure England, through its queen, for Catholicism; and there is very little doubt that at this time the majority of Englishmen—at any rate outside the dioceses of London, Norwich and Canterbury—would have acquiesced much more readily in the maintenance of the old forms of worship than in institutions modelled after Geneva. Elizabeth however, with her trusted advisers, leaned neither to the one nor to the other. They were guided by considerations not of creed but of politics. They had realised that the repudiation of the authority of the Holy See, and the assertion of the supremacy of the sovereign in matters ecclesiastical, were essential. If they were determined not to submit to Papal claims, they were equally disinclined to submit to the claims of a Calvinistic Ministry, posing as the mouth-pieces of the Almighty, demanding secular obedience on the analogy of Samuel or Elijah. As to creed, what the statesmen saw was that the utmost latitude of dogmatic belief must be recognised; provided that it was consistent with the supremacy of the secular sovereign, and with a moderately elastic uniformity of ritual. The personal predilections of Elizabeth might be in favour of what we call the Higher doctrines, or those of Cecil might lean to the Lower; but neither was willing to impose penalties or disabilities for opinions or practices which did not tend either to the anarchism of the Anabaptists, or to the Sacerdotalism of Rome on the one hand or Geneva on the other hand; both were even disposed to remain in official unconsciousness of such individual transgressors as could conveniently be ignored.

[Sidenote: A Protestant policy]

While the Spanish ambassador, De Feria, like his master, had almost taken it for granted that if Philip offered to marry Elizabeth he would be accepted, he was from the first greatly perturbed as to the attitude of the new Government towards the religious question. That Cecil was going to be chief minister, and that he was, in the political sense, a Protestant, were both manifest facts. All the extreme Catholics, and some of the moderate ones, were displaced from the Council; those who were left might prefer the Mass to the Communion, but only as King Henry had done. The new members were definitely Protestants. Heath, Archbishop of York, Mary's Chancellor, though personally esteemed, gave place to Nicholas Bacon (as "Lord Keeper"), whose wife and Cecil's were sisters, and measures were being taken to secure a Protestant House of Commons when Parliament should meet. The number of lay peers was increased by four Protestants; among the twenty-seven bishoprics, Archbishop Pole had omitted to fill up several vacancies, while a sudden mortality was afflicting the episcopal bench. Around the queen, Protestant influences were immensely predominant. It is quite unnecessary to turn to an injudicious letter from Pope Paul to find a motive for the anti-Roman attitude which from the very outset was so obvious to De Feria. [Footnote: MSS. Simancas, apud Froude, vii., p. 27. De Feria to Philip.] Whatever prevarications or ambiguities Elizabeth might indulge in to him, it is quite clear that, whether she liked it or not, she felt that her position required an anti-Roman policy, if her independence was to be secured and the prestige of England among the nations was to be restored.