The rejection of the bill affecting the paper duty by the Lords was followed by proceedings set out by Mr. Gladstone in one of his political memoranda, dated May 26, 1860:—
Though I seldom have time to note the hairbreadth 'scapes of which so many occur in these strange times and with our strangely constructed cabinet, yet I must put down a few words with respect to the great question now depending between the Lords and the English nation. On Sunday, when it was well known that the Paper Duties bill would be rejected, I received from Lord John Russell a letter which enclosed one to him from Lord Palmerston. Lord Palmerston's came in sum to this: that the vote of the Lords would not be a party vote, that as to the thing done it was right, that we could not help ourselves, that we should simply acquiesce, and no minister ought to resign. Lord John in his reply to this, stated that he took a much more serious view of the question and gave reasons. Then he went on to say that though he did not agree in the grounds stated by Lord Palmerston, he would endeavour to arrive at the same conclusion. His letter accordingly ended with practical acquiescence. And he stated to me his concurrence in Lord Palmerston's closing proposition.
Thereupon I wrote an immediate reply. We met in cabinet to consider the case. Lord Palmerston started on the line he had marked out. I think he proposed to use some meaningless words in the House of Commons as to the value we set on our privileges, and our determination to defend them if attacked, by way of garniture to the act of their abandonment. Upon this I stated my opinions, coming to the point that this proceeding of the House of Lords amounted to the establishment of a revising power over the House of Commons in its most vital function long declared exclusively its own, and to a divided responsibility in fixing the revenue and charge of the country for the year; besides aggravating circumstances upon which it was needless to dwell. In this proceeding nothing would induce me to acquiesce, though I earnestly desired that the mildest means of correction should be adopted. This was strongly backed in principle by Lord John; who thought that as public affairs would not admit of our at once confining ourselves to this subject, we should take [pg 033] it up the first thing next session, and send up a new bill. Practical, as well as other, objections were taken to this mode of proceeding, and opposition was continued on the merits; Lord Palmerston keen and persevering. He was supported by the Chancellor, Wood, Granville (in substance), Lewis, and Cardwell, who thought nothing could be done, but were ready to join in resigning if thought fit. Lord John, Gibson, and I were for decided action. Argyll leaned the same way. Newcastle was for inquiry to end in a declaratory resolution. Villiers thought some step necessary. Grey argued mildly, inclined I think to inaction. Herbert advised resignation, opposed any other course. Somerset was silent, which I conceive meant inaction. At last Palmerston gave in, and adopted with but middling grace the proposition to set out with inquiries, and with the intention to make as little of the matter as he could.
His language in giving notice, on Tuesday, of the committee went near the verge of saying, We mean nothing. An unsatisfactory impression was left on the House. Not a syllable was said in recognition of the gravity of the occasion. Lord John had unfortunately gone away to the foreign office. I thought I should do mischief at that stage by appearing to catch at a part in the transaction. Yesterday all was changed by the dignified declaration of Lord John. I suggested to him that he should get up, and Lord Palmerston, who had intended to keep the matter in his own hands, gave way. But Lord Palmerston was uneasy and said, “You won't pitch it into the Lords,” and other things of the same kind. On the whole, I hope that in this grave matter at least we have turned the corner.
As we know, even the fighting party in the cabinet was forced to content itself for the moment with three protesting resolutions. Lord Palmerston and his chancellor of the exchequer both spoke in parliament. “The tone of the two remonstrances,” says Mr. Gladstone euphemistically, “could not be in exact accord; but by careful steering on my part, and I presume on his, all occasion of scandal was avoided.” Not altogether, perhaps. Phillimore says:—
July 6.—A strange and memorable debate. Palmerston moving resolution condemnatory of the Lords, and yet speaking in defence [pg 034] of their conduct. Gladstone most earnestly and eloquently condemning them, and declaring that action and not resolutions became the House of Commons, and that though he agreed to the language and spirit of the resolutions, if action were proposed he would support the proposal, and taunted the conservatives with silently abetting “a gigantic innovation on the constitution.” Loudly and tempestuously cheered by the radicals, and no one else. Yet he was the true conservative at this moment. But ought he to have spoken this as chancellor of the exchequer, and from the treasury bench, after the first lord of the treasury had spoken in almost totally opposite sense? The answer may be that it was a House of Commons, and not a government question. I fear he is very unwell, and I greatly fear killing himself. 17.—“I have lived,” he said, speaking of the debate on the Lords and the paper duty, “to hear a radical read a long passage from Mr. Burke amid the jeers and scoffs of the so-called conservatives.”
The struggle still went on:—
July 20.—H. of C. Lost my Savings Bank Monies bill; my first defeat in a measure of finance in the H. of C. This ought to be very good for me; and I earnestly wish to make it so.
Aug. 6.—H. of C. Spoke 1-½ hour on the Paper duty; a favourable House. Voted in 266-233. A most kind and indeed notable reception afterwards.
Aug. 7.—This was a day of congratulations from many kind M.P.'s.