The canals that paid at all paid well, and the good they conferred on the country in the days of their prosperity is undeniable. Failing, at that time, more efficient means of transport, they played a most important rôle in developing the trade, industries, and commerce of our country at a period especially favourable to national advancement. For half a century, in fact, the canals had everything their own way. They had a monopoly of the transport business—except as regards road traffic—and in various instances they helped their proprietors to make huge profits. But great changes were impending, and these were brought about, at last, with the advent of the locomotive.
The general situation at this period is well shown by the following extracts from an article on "Canals and Rail-roads," published in the Quarterly Review of March 1825:—
"It is true that we, who, in this age, are accustomed to roll along our hard and even roads at the rate of 8 or 9 miles an hour, can hardly imagine the inconveniences which beset our great-grandfathers when they had to undertake a journey—forcing their way through deep miry lanes; fording swollen rivers; obliged to halt for days together when 'the waters were out'; and then crawling along at a pace of 2 or 3 miles an hour, in constant fear of being set down fast in some deep quagmire, of being overturned, breaking down, or swept away by a sudden inundation.
"Such was the travelling condition of our ancestors, until the several turnpike Acts effected a gradual and most favourable change, not only in the state of the roads, but the whole appearance of the country; by increasing the facility of communication, and the transport of many weighty and bulky articles which, before that period, no effort could move from one part of the country to another. The pack-horse was now yoked to the waggon, and stage coaches and post-chaises usurped the place of saddle-horses. Imperfectly as most of these turnpike roads were constructed, and greatly as their repairs were neglected, they were still a prodigious improvement; yet, for the conveyance of heavy merchandise the progress of waggons was slow and their capacity limited. This defect was at length remedied by the opening of canals, an improvement which became, with regard to turnpike roads and waggons, what these had been to deep lanes and pack-horses.[1] But we may apply to projectors the observation of Sheridan, 'Give these fellows a good thing and they never know when to have done with it,' for so vehement became the rage for canal-making that, in a few years, the whole surface of the country was intersected by these inland navigations, and frequently in parts of the island where there was little or no traffic to be conveyed. The consequence was, that a large proportion of them scarcely paid an interest of one per cent., and many nothing at all; while others, judiciously conducted over populous, commercial, and manufacturing districts, have not only amply remunerated the parties concerned, but have contributed in no small degree to the wealth and prosperity of the nation.
"Yet these expensive establishments for facilitating the conveyance of the commercial, manufacturing and agricultural products of the country to their several destinations, excellent and useful as all must acknowledge them to be, are now likely, in their turn, to give way to the old invention of Rail-roads. Nothing now is heard of but rail-roads; the daily papers teem with notices of new lines of them in every direction, and pamphlets and paragraphs are thrown before the public eye, recommending nothing short of making them general throughout the kingdom. Yet, till within these few months past, this old invention, in use a full century before canals, has been suffered, with few exceptions, to act the part only of an auxiliary to canals, in the conveyance of goods to and from the wharfs, and of iron, coals, limestone, and other products of the mines to the nearest place of shipment....
"The powers of the steam-engine, and a growing conviction that our present modes of conveyance, excellent as they are, both require and admit of great improvements, are, no doubt, among the chief reasons that have set the current of speculation in this particular direction."
Dealing with the question of "vested rights," the article warns "the projectors of the intended railroads ... of the necessity of being prepared to meet the most strenuous opposition from the canal proprietors," and proceeds:—
"But, we are free to confess, it does not appear to us that the canal proprietors have the least ground for complaining of a grievance. They embarked their property in what they conceived to be a good speculation, which in some cases was realised far beyond their most sanguine hopes; in others, failed beyond their most desponding calculations. If those that have succeeded should be able to maintain a competition with rail-ways by lowering their charges; what they thus lose will be a fair and unimpeachable gain to the public, and a moderate and just profit will still remain to them; while the others would do well to transfer their interests from a bad concern into one whose superiority must be thus established. Indeed, we understand that this has already been proposed to a very considerable extent, and that the level beds of certain unproductive canals have been offered for the reception of rail-ways.
"There is, however, another ground upon which, in many instances, we have no doubt, the opposition of the canal proprietors may be properly met—we mean, and we state it distinctly, the unquestionable fact, that our trade and manufactures have suffered considerably by the disproportionate rates of charge upon canal conveyance. The immense tonnage of coal, iron, and earthenware, Mr Cumming tells us,[2] 'have enabled one of the canals, passing through these districts (near Birmingham), to pay an annual dividend to the proprietary of £140 upon an original share of £140, and as such has enhanced the value of each share from £140 to £3,200; and another canal in the same district, to pay an annual dividend of £160 upon the original share of £200, and the shares themselves have reached the value of £4,600 each.'
"Nor are these solitary instances. Mr Sandars informs us[3] that, of the only two canals which unite Liverpool with Manchester, the thirty-nine original proprietors of one of them, the Old Quay,[4] have been paid for every other year, for nearly half a century, the total amount of their investment; and that a share in this canal, which cost only £70, has recently been sold for £1,250; and that, with regard to the other, the late Duke of Bridgewater's, there is good reason to believe that the net income has, for the last twenty years, averaged nearly £100,000 per annum!"