Some time after his return to Spain, Cabot resigned his office, and went to Bristol, where he settled about 1548, that is to say at the beginning of the reign of Edward VI. What were the motives of this fresh change? Was Cabot discontented at having been left to his own resources during his expedition? Was he hurt at the manner in which his services were recompensed? It is impossible to say. But Charles V. took advantage of Cabot's departure to deprive him of his pension, which Edward VI. hastened to replace, causing him to receive 250 marks annually, about 116l. and a fraction, which was a considerable sum for that period.

The post which Cabot occupied in England seems to be best expressed by the name of Intendant of the Navy; under the authority of the king and council, he appears to have superintended all maritime affairs. He issues licences, he examines pilots, he frames instructions, he draws maps, a varied and complicated function for which he possessed the rare gift of both practical and theoretical knowledge. At the same time he instructed the young king in cosmography, explained to him the variation of the compass, and was successful in interesting him in nautical matters, and in the glory resulting from maritime discoveries. It was a high and almost unique situation. Cabot used it to put into execution a project which he had long cherished.

At this period, we may almost say there was no trade in England. All commerce was in the hands of the Hanseatic towns, Antwerp, Hamburg, Bremen, &c. These companies of merchants had, on various occasions, obtained considerable reductions in import duties, and had ended by monopolizing the English trade. Cabot held that Englishmen possessed as good qualifications as these merchants for becoming manufacturers, and that the already powerful navy which England possessed might assist marvellously in the export of the products of the soil and of the manufactures. What was the use of having recourse to strangers when people could do their own business? If they had been unable up to this time to reach Cathay and India by the north-west, might they not endeavour to reach it by the north-east. And if they did not succeed, would they not find in this direction more commercial, and more civilized people than the miserable Esquimaux on the coast of Labrador and Newfoundland?

Cabot assembled some leading London merchants, laid his projects before them, and formed them into an association, of which on the 14th of December, 1551, he was named president for life. At the same time he exerted himself most vigorously with the king, and having made him understand the wrong which the monopoly enjoyed by strangers did to his own subjects, he obtained its abolition on the 23rd of February, 1551, and inaugurated the practice of free trade.

The Association of English Merchants, under the name of "Merchant Adventurers," hastened to have some vessels built, adapted to the difficulties to be encountered in the navigation of the Arctic regions. The first improvement which the English marine owed to Cabot was the sheathing of the keels, which he had seen done in Spain, but which had not hitherto been practised in England.

A flotilla of three vessels was assembled at Deptford. They were the Buona-Speranza, of which the command was given to Sir Hugh Willoughby, a brave gentleman who had earned a high reputation in war; the Buona-Confidencia, Captain Cornil Durforth; and the Bonaventure, Captain Richard Chancellor, a clever sailor, and a particular friend of Cabot's; he received the title of pilot-major. The sailing-master of the Bonaventure was Stephen Burrough, an accomplished mariner, who was destined to make numerous voyages in the North seas, and later to become pilot in chief for England.

Although age and his important duties prevented Cabot from placing himself at the head of the expedition, he wished at least, to preside over all the details of the equipment. He himself wrote out the instructions, which have been preserved, and which prove the prudence and skill of this distinguished navigator. He there recommends the use of the log-line, an instrument intended to measure the speed of the vessel, and he desires that the journal of the events happening at sea may be kept with regularity, and that all information as to the character, manners, habits, and resources of the people visited, and the productions of the country, may be recorded in writing. The sailors were to offer no violence to the natives, but to act towards them with courtesy. All blasphemy and swearing was to be punished with severity, and also drunkenness. The religious exercises are prescribed, prayers are to be said morning and evening, and the Holy Scriptures are to be read once in the day. Cabot ends by recommending union and concord above all, and reminds the captains of the greatness of their enterprise, and the honour which they might hope to gain; finally he promises them to add his prayers to theirs for the success of their common work.

The squadron set sail on the 20th of May, 1558, in presence of the court assembled at Greenwich, amid an immense concourse of people, after fêtes and rejoicings, at which the king, who was ill, could not be present. Near the Loffoden Islands, on the coast of Norway at the bearing of Wardhous, the squadron was separated from the Bonaventure. Carried away by the storm, Willoughby's two vessels touched, without doubt, at Nova Zembla, and were forced by the ice to return southwards. On the 18th of September, they entered the port formed by the mouth of the River Arzina in East Lapland. Some time afterwards, the Buona-Confidencia, separated from Willoughby by a fresh tempest, returned to England. As to the latter, some Russian fishermen found his vessel the following year, in the midst of the ice. The whole crew had died of cold. This, at least, is what we are led to suppose from the journal kept by the unfortunate Willoughby up to the month of January, 1554.

Chancellor, after having waited in vain for his two consorts at the rendezvous which had been agreed upon in case of separation, thought they must have outsailed him, and rounding the North Cape, he entered a vast gulf which was none other than the White Sea; he then landed at the mouth of the Dwina, near the monastery of St. Nicholas, on the spot upon which the town of Archangel was soon to stand. The inhabitants of these desolate places told him that the country was under the dominion of the Grand Duke of Russia. Chancellor resolved at once to go to Moscow, in spite of the enormous distance which separated him from it. The Czar then on the throne was Ivan IV. Wassiliewitch, called the Terrible. For some time before this, the Russians had shaken off the Tartar yoke, and Ivan had united all the petty rival principalities in one body politic, of which the power was already becoming considerable. The situation of Russia, exclusively continental, far from any frequented sea, isolated from the rest of Europe, of which it did not yet form part, so much were its habits and manners still Asiatic, promised success to Chancellor.

Chancellor received by the Czar.