So much for the charitable tale that he only bethought him of the income-tax, when desperately hunting for a card to play at a general election.

The prospect was dubious and dark. To Mr. Bright he wrote from Hawarden (Aug. 14):—

My dear Bright,—(Let us bid farewell to Misters.) ... As to the parliamentary future of the question of education, we [pg 479] had better talk when we meet. I remember your saying well and wisely how we should look to the average opinion of the party. What we want at present is a positive force to carry us onward as a body. I do not see that this can be got out of local taxation, or out of the suffrage (whether we act in that matter or not, and individually I am more yes than no), or out of education. It may possibly, I think, be had out of finance. Of course I cannot as yet see my way on that subject; but until it is cleared, nothing else will to me be clear. If it can be worked into certain shapes, it may greatly help to mould the rest, at least for the time. I think the effect of the reconstruction may be described as follows: First, we have you. Secondly, we have emerged from the discredit and disgrace of the exposures by an administration of mild penal justice, which will be complete all round when Monsell has been disposed of. Thirdly, we have now before us a clean stage for the consideration of measures in the autumn. We must, I think, have a good bill of fare, or none. If we differ on the things to be done, this may end us in a way at least not dishonourable. If we agree on a good plan, it must come to good, whether we succeed or fail with it. Such are my crude reflections, and such my outlook for the future. Let me again say how sensible I am of the kindness, friendship, and public spirit with which you have acted in the whole of this matter.

In the early part of the year his mind was drawing towards a decision of moment. On January 8, 1874, he wrote a letter to Lord Granville, and the copy of it is docketed, “First idea of Dissolution.” It contains a full examination of the actual case in which they found themselves; it is instructive on more than one constitutional point, and it gives an entirely intelligible explanation of a step that was often imputed to injurious and low-minded motives:—

Hawarden, Jan. 8, 1874.—The signs of weakness multiply, and for some time have multiplied, upon the government, in the loss of control over the legislative action of the House of Lords, the diminution of the majority in the House of Commons without its natural compensation in increase of unity and discipline, and the [pg 480] almost unbroken series of defeats at single elections in the country.[301] In truth the government is approaching, though I will not say it has yet reached, the condition in which it will have ceased to possess that amount of power which is necessary for the dignity of the crown and the welfare of the country; and in which it might be a godsend if some perfectly honourable difference of opinion among ourselves on a question requiring immediate action were to arise, and to take such a course as to release us collectively from the responsibilities of office.

The general situation being thus unfavourable, the ordinary remedies are not available. A ministry with a majority, and with that majority not in rebellion, could not resign on account of adverse manifestations even of very numerous single constituencies, without making a precedent, and constitutionally a bad precedent; and only a very definite and substantive difficulty could warrant resignation without dissolution, after the proceedings of the opposition in March last, when they, or at any rate their leaders and their whips, brought the Queen into a ministerial crisis, and deserted her when there. If then we turn to consider dissolution, what would be its results? In my opinion the very best that could happen would be that we should come back with a small majority composed of Irish home rulers and a decided minority without them; while to me it seems very doubtful whether even with home rulers counted in, we should command a full half of the House of Commons. In a word, dissolution means either immediate death, or at the best death a little postponed, and the party either way shattered for the time. For one I am anxious to continue where we are, because I am very loath to leave the party in its present menacing condition, without having first made every effort in our power to avert this public mischief.

If I have made myself intelligible up to this point, the question that arises is, can we make out such a course of policy for the session, either in the general conduct of business, or in some departments and by certain measures, as will with reasonable likelihood reanimate some portion of that sentiment in our favour, [pg 481] which carried us in a manner so remarkable through the election of 1868? I discuss the matter now in its aspect towards party: it is not necessary to make an argument to show that our option can only be among things all of which are sound in principle. First, then, I do not believe that we can find this recovery of vital force in our general administration of public business. As men, notwithstanding the advantage drawn from Bright's return, the nation appears to think that it has had enough of us, that our lease is out. It is a question of measures then: can we by any measures materially mend the position of the party for an impending election?...

Looking to legislation, there are but three subjects which appear to me to be even capable of discussion in the view I have presented. They are local taxation, the county suffrage, and finance. I am convinced it is not in our power to draw any great advantage, as a party, from the subject of local taxation.... Equally strong is my opinion with respect to the party bearings of the question of the county franchise. We have indeed already determined not to propose it as a government. Had we done so, a case would have opened at once, comfortably furnished not with men opposing us on principle, like a part of those who opposed in 1866, but with the men of pretext and the men of disappointment, with intriguers and with egotists. And I believe that in the present state of opinion they would gain their end by something like the old game of playing redistribution against the franchise....

Can we then look to finance as supplying what we want? This is the only remaining question. It does not admit, as yet, of a positive answer, but it admits conditionally of a negative answer. It is easy to show what will prevent our realising our design through the finance of the year. We cannot do it, unless the circumstances shall be such as to put it in our power, by the possession of a very wide margin, to propose something large and strong and telling upon both the popular mind and the leading elements of the constituency.... We cannot do it, without running certain risks of the kind that were run in the budget of 1853: I mean without some impositions, as well as remissions, of taxes. We cannot do it, without a continuance of [pg 482] the favourable prospects of harvest and of business. Lastly, we cannot do it unless we can frame our estimates in a manner to show our desire to adhere to the principles of economy which we proposed and applied with such considerable effect in 1868-70. But, subject to the fulfilment of these conditions, my opinion is that we can do it: can frame a budget large enough and palpably beneficial enough, not only to do much good to the country, but sensibly to lift the party in the public view and estimation. And this, although a serious sum will have to be set apart, even in the present year, for the claims of local taxation....

If we can get from three-quarters of a million upwards towards a million off the naval and military estimates jointly, then as far as I can judge we shall have left the country no reason to complain, and may proceed cheerily with our work; though we should not escape the fire of the opposition for having failed to maintain the level of Feb. 1870; which indeed we never announced as our ultimatum of reduction. I have had no communication with those of our colleagues who would most keenly desire reductions; I might say, with any one.... I will only add that I think a broad difference of opinion among us on such a question as this would be a difference of the kind which I described near the opening of this letter, as what might be in certain circumstances, however unwelcome in itself, an escape from a difficulty otherwise incapable of solution.