In August 1886 an influential deputation from the Imperial Federation League waited upon the prime minister, Lord Salisbury, and asked him to summon a conference of all the colonies to discuss the idea of setting up a federal council as a first step towards centralizing authority. The prime minister expressed his doubt as to the wisdom of discussing political changes which, if possible, were so only in the distant future. Believing, however, that there were other subjects ripe for discussion, he took the momentous step, and called the first Colonial Conference.
Every self-governing colony and several crown colonies sent representatives. Canada sent Sir Alexander Campbell, lieutenant-governor of Ontario, and Mr, later Sir Sandford, Fleming, the apostle of an All-Red Pacific cable. Lord Salisbury, in opening the proceedings, referred to the three lines upon which progress might be made. The German Empire evidently suggested the ideas which he and others had in mind. A political federation, like that of Germany, to conduct 'all our imperial affairs from one centre,' could not be created for the present. But Germany had had two preliminary forms of union, both of which might be possible, a zollverein or customs union, not yet practicable, and a kriegsverein, or union for purposes of mutual defence, which was feasible, and was the real and important business before the Conference.
In the weeks of discussion which followed the Canadian delegates took little part except upon the question of the cable which was at Sandford Fleming's heart. Australia agreed to make a contribution towards the cost of a British squadron in Australasian waters, and Cape Colony agreed to provide some local defence at Table Bay. Sir Alexander Campbell referred to the agreement of 1865 as still in force, denied that the naval defence of Canada had proved burdensome to Britain, talked vaguely of setting up a naval school or training a reserve, and offered nothing more. The Conference did not discuss political federation and touched only lightly on preferential trade. As the first of a series, and for its revelation of the obstacles to proposals for Germanizing the British Empire, it proved more important than for any positive achievements.
In the stand thus taken the Canadian delegates adequately reflected the feeling both of the general public and of the leaders of both parties in Canada at that time, alike as to political defence and trade relations.
As for political relations, the only proposal for change came from the Imperial Federationists. The idea had some notable advocates in Canada—Grant, Parkin, Denison, M'Carthy and others. But many of them advocated it simply because it was the only theory of closer imperial relations then in the field. At first it was too hazily pictured to make clear the extent to which the Canadian and other parliaments would be subordinated to the proposed new central parliament. When faced with a concrete plan, few Canadians were eager to give up control of their destinies to a parliament in which they would have only one-tenth of the representation. The responsible politicians did not at any time endorse the scheme. Sir John Macdonald, as a practical man, saw at once a fatal objection in the sacrifice of Canadian self-government which it involved.[[3]] Some of the members of the Imperial Federation League urged with plausibility that political federation would bring the colonies new power in the shape of control over foreign policy, rather than take old powers away, but Macdonald much doubted the reality of the control it would give. Nevertheless the Imperial Federation League and its branches did useful educational work. Owing to differences of opinion among its members it was dissolved in 1893, but was revived and reorganized two years later as the British Empire League.
Nor was Canada greatly interested in questions of defence. In the sixties and seventies, it is true, the larger colonies had agreed, with some reluctance, to assume the increasing share of the burdens of defence made necessary by the increasing control of their own affairs. Gradually the British troops stationed in Australia, New Zealand, and Canada (save for a small garrison force at Halifax) had been withdrawn, and their places taken by local militia. But as yet it was understood that the responsibilities of the colonies were secondary and local. As a result of long discussion, the British House of Commons in 1862 unanimously resolved that 'colonies exercising the right of self-government ought to undertake the main responsibility of providing for their own internal order and security and ought to assist in their own external defence.' The duty of the United Kingdom to undertake the general defence of the Empire was equally understood; the Committee on Colonial Defence (1860), whose report led to the adoption of this resolution, agreed that since 'the Imperial Government has the control of peace and war, it is therefore in honour and duty called upon to assist the Colonists in providing against the consequences of its policy,'—a position affirmed by Mr Cardwell's dispatch of June 17, 1865.
Given the fact and theory of political relationship as they existed in this period, this compromise was the natural result. Under the old colonial system the empire was Britain's, governed for its real or fancied gain, and imperial defence was merely the debit side of colonial trade monopoly. The myth that Britain had carried on her wars and her diplomacy for the sake of the colonies, which therefore owed her gratitude, had not yet been invented. True, the day had passed when Britain derived profit, or believed she derived profit, from the political control of the white empire, yet the habits of thought begot by those conditions still persisted. If profit had vanished, prestige remained. The Englishman who regarded the colonies as 'our possessions' was quite as prepared to foot the bill for the defence of the Empire which gave him the right to swagger through Europe, as he was to maintain a country estate which yielded no income other than the social standing it gave him with his county neighbours. As yet, therefore, there was no thought in official quarters that Canada should take part in oversea wars or assume a share of the burden of naval preparation. When an English society proposed in 1895 that Canada should contribute money to a central navy and share in its control, Sir Charles Tupper attacked the suggestion as 'an insidious, mischievous, and senseless proposal.' He urged that, if Canada were independent, 'England, instead of being able to reduce her army by a man or her navy by a ship, would be compelled to increase both, to maintain her present power and influence.' He quoted the London Times to the effect that the maritime defence of the colonies was only a by-product of that naval supremacy which was vital to England's very existence as a nation, and cost not a penny extra, for which reason the control of the fleet must always remain unconditionally in the hands of the responsible government of the United Kingdom.[[4]] Sir Charles, too, was wont to stress the strategic importance of the Canadian Pacific Railway as Canada's contribution to the defence of the Empire. His arguments had much force, but they were obviously the product of a time of transition, uneasy answers to the promptings of the slow-rising spirit of nationhood.
Action, or inaction, corresponded to words. In 1885, when Britain was waging war in the Soudan, New South Wales offered to raise and equip a regiment. The secretary for war at once spread the news of this offer through the other colonies. Sir John Macdonald's only reply was to offer to sanction the raising of troops in Canada, the whole cost to fall on Great Britain. The offer was declined with thanks. A company of voyageurs, largely French-Canadian, however, was recruited in Canada, at Britain's expense, and did good service in the rapids of the Nile. Sir John Macdonald did not, of course, proclaim Canada's neutrality in this war, any more than Hincks and MacNab had done in the Crimean War, when hired German troops garrisoned Dover and Shorncliffe. Canada simply took no part in either war.
But, if political federation and inter-imperial defence thus fell on deaf ears in Canada, the question of trade relations received more serious attention. In urging the Pacific cable and a service of fast steamships on each ocean, Sandford Fleming had hit upon the line along which progress eventually was to be made. Tariff preferences, inter-imperial reciprocity, began to be discussed. As early as 1879 Sir John Macdonald, on finding in England much dissatisfaction over his high taxation of British imports, proposed to give British goods a preference if the United Kingdom would give Canada a preference in return. Thus, on the ruins of the old colonial system imposed by the mother country's edict, would be built a new colonial system based on free negotiation between equal states. In view of Britain's rooted adherence to free trade, nothing, of course, came of the proposal. Ten years later there was in England some discussion of protection or 'fair trade,' and in Canada, during the elections of 1891, the idea of an imperial zollverein was rhetorically mooted as an alternative to reciprocity with the United States. Three years later still (1894) the second Colonial Conference met at Ottawa, on the invitation of the Dominion Government. The object was to arrange treaties of reciprocity in trade between the various colonies, to serve until such time as the mother country should renounce her free-trade errors. There were many forceful and eloquent speeches, notably one by Mr, now Sir George, Foster, and a resolution was passed in favour of an Imperial Customs Union. But, save for a limited arrangement with New Zealand in 1895, no definite result followed.
The policy of the Liberal Opposition in Canada in respect to inter-imperial trade may be briefly stated. Mr Laurier's first speech, as leader of the party, at Somerset, in 1887, has already been mentioned. There he declared that if commercial union with Great Britain were feasible, he would favour it. But he had more hope of commercial union with other British colonies, which had protective tariffs. Two years later, speaking at Toronto, he referred to the obvious difficulties in the way of commercial union with Britain itself. 'I would favour with all my soul,' he said, 'a more close commercial alliance of Canada with Great Britain. But, sir, if there is any man who believes that any such an alliance between Canada and Great Britain can be formed upon any other basis than that of free trade, which prevails in England, that man is a Rip Van Winkle, who has been sleeping not only for the last seven but for the last forty-four years. The British people will not to-day go back upon the policy of free trade, and Canada is not in a position at the moment, with the large revenue which she has to collect, to adopt any other tariff than a revenue tariff at best.' That free trade among all the British communities would some day be to their advantage, and that it would come in time, he stated elsewhere, but added that it could not for many years be a practical issue.