But after Edward had reigned a few years he lent willing ear to the requests of the Merchant Adventurers, all the more readily that their petitions were supported by Sir Thomas Gresham, the honoured founder of the London Exchange. This man made clear to the young king and his guardian, the Duke of Northumberland, that unless the Steelyard were destroyed, the price of exchange could not rise, because the fiscal privileges accorded to the Hansa weighed too heavily upon the English. Besides this, the men of the Steelyard were subjects of the emperor, whom the young Protestant king hated as a persecutor of his fellows in the purer faith.
Still the Hansa suspected no real danger from King Edward, and the less so, as they had completely acceded to his desire that they should abstain from all trade with Scotland. In April, 1551, a plot laid against the hated and envied strangers by the London burghers was discovered. In the course of the inquiry into the plot, it was needful to examine the Hansa's claims. Confiding in the goodwill of the king's councillors, the "New Hansa," as Sir Thomas Gresham called the Merchant Adventurers, poured forth a long catalogue of grievances against the League. It was stated that English merchants had been ill-treated in various Hansa cities, notably in Danzig and Stralsund; that the commerce of the English was hindered in all possible ways; and that serious loss was incurred by the royal treasury from the circumstance, suspected to be true, that the Hansa permitted persons foreign to their association to enjoy with them the benefit of their privileges.
In the list of complaints retailed before the king by the discontented burghers and merchants of London, and by the Merchant Adventurers who found themselves less favoured than these foreigners, an attempt was evident on the part of the English to place on one footing and to consider as equally prohibited, the fraudulent importation by the Germans of merchandise belonging to non-Hanseatics, and the importation by them of merchandise which belonged to them, but was not produced in their territory.
The fact was urged that, since the Hansa paid only the usual custom dues, even for the foreign products they imported, and for their exportation of English goods to lands outside the rule of the Hanseatic League, they were thus able to paralyse with the greatest facility all English competition in these different lands.
Certainly nothing better justifies the murmurs of the islanders against the foreigners than a comparison of their various commercial transactions. From these it appears that the English themselves, in 1551, exported 1,100 pieces of native cloth as compared with 44,000 pieces exported by the Hansa League in the same year.
It is true that all these complaints were not new. But this time they fell upon more fruitful soil. The government were perhaps all the more ready to give an attentive ear, as of late the national commerce had taken a very vigorous start, so that the royal treasury might hope for considerable receipts, even if the Crown should lose the duties paid to it by the members of the League.
In consequence the representative members of the Steelyard were cited before the Privy Council, which after a very brief examination of the claims brought forward by the Hansa, decided hastily (February 23, 1552) "that the Hansa, an illegal body, the names and origin of whose members were unknown, had by importation and adulteration of foreign goods forfeited the privileges accorded them by Edward VI."
The following day, also in Privy Council, the suppression of all the old Hanseatic privileges was decreed and the League placed on an equality with all other foreigners, none of whom had special favours granted them. This decision seemed to promise that at last the English would gain pre-eminence over their redoubtable rivals.
Meantime, the Hanseatic Diet, informed of this step on the part of the English Government, sent over an ambassador to treat with the king and Council. The result of his efforts was that, in July of the same year, the Hansa's privileges were re-established provisionally "as far as was reconcilable with the justice, fairness, and honour of the king"—so ran the clause.
Of all the negotiations a detailed and interesting account has been preserved to posterity in the Diary of the young King Edward, one of the most interesting documents for the knowledge of his short reign.