That gentleman reports, in a letter dated on the 1st of March last, that gold has been found in considerable quantities within the British territory, on the Upper Columbia, and that he is, moreover, of opinion, that valuable deposits of gold will be found in many other parts of that country; he also states that the daily earnings of person’s then employed in digging gold were ranging from 2 pounds to 8 pounds for each man. Such is the substance of his report on that subject, and I have requested him to continue his communications in respect to any further discoveries made.
I do not know if Her Majesty’s Government will consider it expedient to raise a revenue in that quarter, by taxing all persons engaged in gold digging; but I may remark, that it will be impossible to levy such a tax without the aid of a military force, and the expense in that case would probably exceed the income derived from the mines.
I will not fail to keep you well informed in respect to the extent and value of the gold discoveries made; and circumstances will probably be the best indication of the course which it may be expedient to take, that is, in respect to imposing a tax, or leaving the field free and open to any persons who may choose to dig for gold.
Several interesting experiments in gold-washing have been lately made in this colony, with a degree of success that will no doubt lead to further attempts for the discovery of the precious metal. The quantity of gold found is sufficient to prove the existence of the metal, and the parties engaged in, the enterprise entertain sanguine hopes of discovering rich and productive beds. I have, etcetera, (Signed) James Douglas, Governor.
The Right Hon. Henry Labouchere, etcetera, etcetera, etcetera.
No. II.
The Right Hon. Henry Labouchere to Governor Douglas.
Downing Street, August 4, 1856.
Sir,—I have to acknowledge the receipt of your despatch, Number 10, of the 16th April last, reporting the discovery of gold within the British territory of the Upper Columbia River district.
In the absence of all effective machinery of Government, I perceive that it would be quite abortive to attempt to raise a revenue from licences to dig for gold in that region. Indeed, as Her Majesty’s Government do not at present look for a revenue from this distant quarter of the British dominions, so neither are they prepared to incur any, expense on account of it. I must, therefore, leave it to your discretion to determine the best means of preserving order in the event of any considerable increase of population flocking into this new gold district; and I shall rely on your furnishing me with full and regular accounts of any event of interest or importance which may occur in consequence of this discovery. I have, etcetera, (Signed) H. Labouchere.