The merchant shipping of Canada stands fifth in rank in merchant shipping among the nations of the world.[191]

The government ships were authorized to use the blue ensign with the Dominion arms as their distinguishing flag, but as no distinctive flag had been adopted for Canada, her merchant marine used the same plain red ensign as worn by the merchant marine of Great Britain, and Canadian merchant ships were unable to be recognized amidst those of the Mother Country.

In 1892, to meet this requirement, the Lords Commissioners of the Admiralty, on the suggestion of the Canadian Department of Marine, issued a warrant permitting the badge of the arms of Canada to be inserted in the flag of the red ensign as well as in the blue, and this new combined red ensign was by this empowered to be used on board vessels registered in the Dominion of Canada.[192]

Thus was formed the union ensign of Canada. This Canadian ensign (Pl. [IX.], fig. 1) is the British red ensign, having the Union Jack in the upper corner and the arms of Canada in the fly.[193]

This restriction to its being used only afloat has, like the ancient restriction of the Union Jack, been modified by usage and authorized by permission. Yet it is also to be remembered that the right of the red ensign had been conferred by Queen Anne upon all British citizens whether at sea or on land in all British Dominions, and is rightfully to be raised by all Canadians. The "Dominion Ensign" is the red ensign of the Empire with the insignia of Canada on the broad red of the fly, and, being accorded to Canadians as an evidence of the ownership of their ships, has passed onward to be an evidence of their country over their own homes. As they have the right to use the plain red ensign everywhere, so now they may use its daughter, the Canadian ensign, and although there was at first a restriction as to its use at sea, this has been merged in the more widely extended and general usage on land.

68. Australian Federation Badge.

The raising of this ensign does not, any more than the raising elsewhere of a red ensign in addition to the single Union Jack, suggest any idea of separation; on the contrary it was designed by the Canadian statesmen to avoid any such idea which, perhaps, might be attached to an entirely different flag. The presence of the Union Jack in the upper corner declares inviolate fidelity to King and Empire, while the Canadian emblem on its folds gives a recognition of native home. When an Englishman raises his St. George, the Scotsman his St. Andrew, or the Irish the St. Patrick or their crown and harp on a blue ground, it is not taken as a sign of separation, but only as a recognition and reminiscence of their old homes and ancestry; so, too, with the Canadian in his special ensign, with its Canadian emblem. All raise both their native and the Union Empire flags in united fervour.

The federation badge with the stars of the Southern Constellation, worn during the plebiscite of 1899 in Australia (68), suggested that the union of the Parliaments of the colonies on that continent might be followed by the creation of a Union ensign for the new Commonwealth of Australia.

The union came in 1901, and following on the line of the Canadian ensign, the Australian ensign was created. This is the British red ensign with the Union Jack in the upper corner, under this Jack a six-pointed star signifying the six Provinces or States of the Australian union, and in the fly the five stars of the constellation of the Southern Cross,[194] the leading constellation of the Southern Hemisphere.