The British Ministers had seen with growing uneasiness Bagot's concessions. His successor, Sir Charles Metcalfe, a man of honest and kindly ways but accustomed to governing oriental peoples, determined to make a stand against the pretensions of the Reformers. In this attitude he was strongly backed both by Stanley and by his successor, that brilliant young Tory, William Ewart Gladstone. Metcalfe insisted once more that the Governor must govern. While the members of the Council, as individuals, might give him advice, it was for him to decide whether or not to take it. The inevitable clash with his Ministers came in the autumn of 1843 over a question of patronage. They resigned, and after months of effort Metcalfe patched up a Ministry with W. H. Draper as the leading member. In an election in which Metcalfe himself took the platform and in which once more British connection was said to be at stake, the Ministry obtained a narrow majority. But opinion soon turned, and when Metcalfe, the third Governor in four years to whom Canada had proved fatal, went home to die, he knew that his stand had been in vain. The Ministry, after a precarious life of three years, went to the country only to be beaten by an overwhelming majority in both East and West. When, in 1848, Baldwin and La Fontaine were called to office under the new Governor General, Lord Elgin, the fight was won. Many years were to pass before the full implications of responsible government were worked out, but henceforth even the straitest Tory conceded the principle. Responsible government had ceased to be a party cry and had become the common heritage of all Canadians.
Lord Elgin, who was Durham's son-in-law, was a man well able to bear the mantle of his predecessors. Yet he realized that the day had passed when Governors could govern and was content rather to advise his advisers, to wield the personal influence that his experience and sagacity warranted. Hitherto the stages in Canadian history had been recorded by the term of office of the Governors; henceforth it was to be the tenure of Cabinets which counted. Elgin ceased even to attend the Council, and after his time the Governor became more and more the constitutional monarch, busied in laying corner stones and listening to tiresome official addresses. In emergencies, and especially in the gap or interregnum between Ministries, the personality of the Governor might count, but as a rule this power remained latent. Yet in two turning points in Canadian history, both of which had to do with the relations of Canada to the United States, Elgin was to play an important part: the Annexation Movement of 1849 and the Reciprocity Treaty of 1854.
In the struggle for responsible government, loyalty to the British Crown, loyalty of a superior and exclusive brand, had been the creed and the war cry of the Tory party. Yet in 1849 men saw the hotheads of this group in Montreal stoning a British Governor General and setting fire to the Parliament Buildings, while a few months later their elders issued a manifesto urging the annexation of Canada to the United States. Why this sudden shift? Simply because the old colonial system they had known and supported had come to an end. The Empire had been taken to mean racial ascendancy and trade profit. Now both the political and the economic pillars were crumbling, and the Empire appeared to have no further excuse for existence.
In the past British connection had meant to many of the English minority in Lower Canada a means of redressing the political balance, of retaining power in face of a body of French-speaking citizens outnumbering them three or four to one. Now that support had been withdrawn. Britain had consented, unwillingly, to the setting up of responsible government and the calling to office of men who a dozen years before had been in arms against the Queen or fleeing from the province. This was gall and wormwood to the English. But when the Ministry introduced, and the Assembly passed, the Rebellion Losses Bill for compensating those who had suffered destruction of property in the outbreak, and when the terms were so drawn as to make it possible, its critics charged, that rebels as well as loyalists would be compensated, flesh and blood could bear no more. The Governor was pelted with rotten eggs when he came down to the House to sign the bill, and the buildings where Parliament had met since 1844, when the capital had been transferred from Kingston to Montreal, were stormed and burned by a street mob.
The anger felt against the Ministry thus turned against the British Government. The English minority felt like an advance guard in a hostile country, deserted by the main forces, an Ulster abandoned to Home Ruler and Sinn Feiner. They turned to the south, to the other great English-speaking Protestant people. If the older branch of the race would not give them protection or a share in dominance, perhaps the younger branch could and would. As Lord Durham had suggested, they were resolved that "Lower Canada must be ENGLISH, at the expense, if necessary, of not being BRITISH."
But it was not only the political basis of the old colonial system that was rudely shattered. The economic foundations, too, were passing away, and with them the profits of the Montreal merchants, who formed the backbone of the annexation movement. It has been seen that under this system Great Britain had aimed at setting up a self-contained empire, with a monopoly of the markets of the colonies. Now for her own sake she was sweeping away the tariff and shipping monopoly which had been built up through more than two centuries. The logic of Adam Smith, the experiments of Huskisson, the demands of manufacturers for cheap food and raw materials, the passionate campaigns of Cobden and Bright, and the rains that brought the Irish famine, at last had their effect. In 1846 Peel himself undertook the repeal of the Corn Laws. To Lower Canada this was a crushing blow. Until of late the preference given in the British market on colonial goods in return for the control of colonial trade had been of little value; but in 1848 the duties on Canadian wheat and flour had been greatly lowered, resulting in a preference over foreign grain reckoned at eighteen cents a bushel. While in appearance an extension of the old system of preference and protection, in reality this was a step toward its abandonment. For it was understood that American grain, imported into Canada at a low duty, whether shipped direct or ground into flour, would be admitted at the same low rates. The Act, by opening a back door to United States wheat, foreshadowed the triumph of the cheap food agitators in England. But the merchants, the millers, and the forwarders of Montreal could not believe this. The canal system was rushed through; large flour mills were built, and heavy investments of capital were made. Then in 1846 came the announcement that the artificial basis of this brief prosperity had vanished. Lord Elgin summed up the results in a dispatch in 1849: "Property in most of the Canadian towns, and more especially in the capital, has fallen fifty per cent in value within the last three years. Three-fourths of the commercial men are bankrupt, owing to free trade. A large proportion of the exportable produce of Canada is obliged to seek a market in the United States. It pays a duty of twenty per cent on the frontier. How long can such a state of things endure?"
In October, 1849, the leading men of Montreal issued a manifesto demanding annexation to the United States. A future Prime Minister of Canada, J. J. C. Abbott, four future Cabinet Ministers, John Rose, Luther Holton, D. L. Macpherson, and A. A. Dorion, and the commercial leaders of Montreal, the Molsons, Redpaths, Torrances, and Workmans, were among the signers. Besides Dorion, a few French Canadians of the Rouge or extreme Radical party joined in. The movement found supporters in the Eastern Townships, notably in A. T. Galt, a financier and railroad builder of distinction, and here and there in Canada West. Yet the great body of opinion was unmistakably against it. Baldwin and La Fontaine opposed it with unswerving energy, the Catholic Church in Canada East denounced it, and the rank and file of both parties in Canada West gave it short shrift. Elgin came out actively in opposition and aided in negotiating the Reciprocity Treaty with the United States which met the economic need. Montreal found itself isolated, and even there the revival of trade and the cooling of passions turned men's thoughts into other channels. Soon the movement was but a memory, chiefly serviceable to political opponents for taunting some signer of the manifesto whenever he later made parade of his loyalty. It had a more unfortunate effect, however, in leading public opinion in the United States to the belief for many years that a strong annexationist sentiment existed in Canada. Never again did annexation receive any notable measure of popular support. A national spirit was slowly gaining ground, and men were eventually to see that the alternative to looking to London for salvation was not looking to Washington but looking to themselves.
In the provinces by the sea the struggle for responsible government was won at much the same time as in Canada. The smaller field within which the contest was waged gave it a bitter personal touch; but racial hostility did not enter in, and the British Government proved less obdurate than in the western conflicts. In both Nova Scotia and New Brunswick little oligarchies had become entrenched. The Government was unprogressive, and fees and salaries were high. The Anglican Church had received privileges galling to other denominations which surpassed it in numbers. The "powers that were" found a shrewd defender in Haliburton, who tried to teach his fellow Bluenoses through the homely wit of "Sam Slick" that they should leave governing to those who had the training, the capacity, and the leisure it required. In Prince Edward Island the land question still overshadowed all others. Every proposal for its settlement was rejected by the influence of the absentee landlords in England, and the agitation went wearily on.
In Nova Scotia the outstanding figure in the ranks of reform was Joseph Howe. The son of a Loyalist settler, Howe early took to his father's work of journalism. At first his sympathies were with the governing powers, but a controversy with a brother editor, Jotham Blanchard, a New Hampshire man who found radical backing among the Scots of Pictou, gave him new light and he soon threw his whole powers into the struggle on the popular side. Howe was a man lavishly gifted, one of the most effective orators America has produced, fearing no man and no task however great, filled with a vitality, a humor, a broad sympathy for his fellows that gave him the blind obedience of thousands of followers and the glowing friendship of countless firesides. There are still old men in Nova Scotia whose proudest memory is that they once held Howe's horse or ran on an errand for a look from his kingly eye.
Howe took up the fight in earnest in 1835. The western demand for responsible government pointed the way, and Howe became, with Baldwin, its most trenchant advocate. In spite of the determined opposition of the sturdy old soldier Governor, Sir Colin Campbell, and of his successor, Lord Falkland, who aped Sydenham and whom Howe threatened to "hire a black man to horse-whip," the reformers won. In 1848 the first responsible Cabinet in Nova Scotia came to power.