In 1780, the Opposition, led by Fox and Burke, began to direct its fire at the King himself; and finally, in March of that year, they had the satisfaction of carrying in the Commons, by votes of men who once had been on the administration side, a resolution to the effect that "the power of the Crown {116} has increased, is increasing, and ought to be diminished." This was carried, by 283 votes to 215, in a House where four years before the total Opposition mustered only a hundred. Measures to cut down sinecures, to limit the secret service fund, to take away opportunities for royal corruption, were introduced by Burke and, although defeated, drew large votes.

The tenacious politician who wore the crown was not yet beaten. In the summer of 1780, the disgraceful Gordon riots broke out in London; and the King, by his courageous personal bearing and bold direction of affairs, won momentary prestige. The news from America, moreover, was brighter than for a long time, and the British defence of Gibraltar was unshaken. Suddenly dissolving Parliament, the King employed every resource of influence or pressure, and managed to secure once more a majority in the House of Commons. During the year 1781, the North Ministry breathed more freely, and was able to repel Whig attacks by safe majorities. But the respite was short.

In the winter session of 1782, the news of Yorktown shook the Ministry to its centre, and on top of that came the reports of the surrender of Minorca, St. Kitts, and Nevis. Held together only by the inflexible determination of George III never to yield American {117} independence or "stoop to opposition," the Ministers fought bitterly though despairingly against a succession of Whig motions, censuring the Admiralty, demanding the withdrawal of the troops, and finally censuring the Ministry. Majorities dwindled as rats began to leave the sinking ship. On March 8, North escaped censure by ten votes only. The King made repeated efforts to induce members of the Opposition to come into some sort of coalition, but the hatred was too fierce, the divergence of principle too wide. Rockingham would accept only absolute surrender. On March 15, a resolution of want of confidence was lost by nine only.

Five days later, in face of a renewed motion of the same kind, North announced his resignation. The end had come. The system of George III had broken down, ruined by the weaknesses of the Tory Cabinet in administration, in war, and in diplomacy, the most disastrous Ministry in the history of England. There was no possible doubt as to the significance of the collapse, for Lord Rockingham took office with a Whig Cabinet, containing Shelburne and Fox, steadfast friends of America, as Secretaries of State, and with the avowed purpose of conceding independence to the former colonies, while maintaining the contest with Spain and France.

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Interest now shifted from the battlefield to the regions of diplomacy, where the situation was complicated and delicate, owing to the unusual relations of the parties involved. The United States and France were in alliance, each pledged not to make a separate peace. Spain was in alliance with France for the purpose of recovering Gibraltar, Minorca, and Florida, but was not in any alliance with the United States. The French government, tied thus to two allies, recognized the possible contingency of diverging interests between Spain and the United States, and exerted all the influence it could to keep diplomatic control in its own hands. This it accomplished through its representatives in America, especially de la Luzerne, who wielded an immense prestige with the members of the Continental Congress, not only through his position as representative of the power whose military, naval, and financial aid was absolutely indispensable, but also by means of personal intrigues of a type hitherto more familiar in European courts than in simple America. Under his direction, Congress authorized its European representatives, Franklin, Jay, and Adams, accredited to France, Spain, and the Netherlands respectively, to act as peace commissioners and to be guided in all things by the advice and consent of the French Minister, {119} Vergennes. Their instructions designated boundaries, indemnity for ravages and for the taking of slaves, and a possible cession of Canada, but all were made subject to French approval. When, accordingly, in 1781, both Shelburne and Fox of the Rockingham Ministry sought to open negotiations with the American representatives, while pushing on vigorously the war against France and Spain, they interjected an embarrassing element into the situation. Vergennes could not prohibit American negotiation, but he relied upon the instructions of the commissioners to enable him to prevent the making of any separate peace, contrary to the treaty of 1778.

The first steps were taken by Franklin and Shelburne, who opened unofficial negotiations through Richard Oswald, a friend of America. It seems to have been Shelburne's plan to avoid the preliminary concession of independence, hoping to retain some form of connection between America and England, or at least to use independence as a make-weight in the negotiations. Hence Oswald, his agent, was not commissioned to deal with the United States as such. Fox, Secretary for Foreign Affairs, felt, on the other hand, that the negotiation belonged to his field, and he sent Thomas Grenville to Paris, authorized to deal with France {120} and, indirectly, with the United States. Over this difference in the Cabinet, and over other matters, an acute personal rivalry developed between Fox and Shelburne, which culminated when Rockingham died in July, 1782. George III, who much preferred Shelburne to Fox, asked him to form a Ministry, and upon his acceptance Fox, absolutely refusing to serve under him, withdrew from the Cabinet, carrying his friends with him. Thus the triumphant Whig party was split within a few months after its victory. The whole responsibility now rested on Shelburne.

Meanwhile, a new situation had developed in Paris, for Jay and Adams, the other two commissioners, had brought about a change in the American policy. Franklin, deeply indebted to the French court and on the best of terms with Vergennes, was willing to credit him with good intentions and was ready to accept his advice to negotiate with England under the vague terms of Oswald's commission; but Jay, who had had a mortifying experience in Spain, suspected treachery and insisted that England must, in opening negotiations, fully recognize American independence. He was sure that Spain would gladly see the United States shut in to the Atlantic coast away from Spanish territory, and he felt certain {121} that Vergennes was under Spanish influence. Adams, who knew nothing of Spain, but distrusted the French on general principles, sided with Jay; and Franklin, submitting to his colleagues, agreed to a curious diplomatic manoeuvre. Jay sent to Shelburne a secret message, urging him to deal separately with the United States under a proper commission and not seek to play into the hands of Spain and France. He knew that a French emissary had visited Shelburne, and he dreaded French double-dealing, especially on the question of boundaries and fishery rights.

The British Prime Minister was in the odd position of being appealed to by one of the three hostile powers to save it from the other two; but underlying the situation was the fact that Shelburne, as a Whig since the beginning of the American quarrel, was committed to a friendly policy toward America. He knew, moreover, that when Parliament should meet he must expect trouble from Fox and the dissatisfied Whigs, as well as the Tories, and he was anxious to secure a treaty as soon as possible. So yielding, on September 27, he gave Oswald the required commission, but, suspecting that he was rather too complaisant, sent Henry Strachey to assist him. During the summer, Franklin and Oswald, in informal {122} discussions, had already eliminated various matters, so that when negotiations formally opened it took not over five weeks to agree upon a draft treaty.

During all this time the Americans violated their instructions by failing to consult Vergennes. Here Franklin was again overruled by Jay and Adams, whose antipathy to French and Spanish influence was insuperable. It does not appear that Vergennes had any definite intention to work against American boundaries or fishery rights; but there can be no doubt that Rayneval and Marbois, two of his agents, committed themselves openly in a sense unfavourable to American claims, and it is likely that, had the negotiations taken place under his control, the outcome would have been delayed in every way in order to allow France to keep its contract with Spain, whose attacks on Gibraltar were pushed all through the summer. As it was, the negotiators managed to agree on a treaty of peace which reflected the Whig principles of Shelburne and the skill and pertinacity of the three Americans. Little trouble was encountered over boundaries, Shelburne ceding everything east of the Mississippi and north of Florida, and designating as a boundary between the United States and Canada in part the same line as that in the Proclamation of 1763, from the {123} St. Croix River to the eastward of Maine, to the Great Lakes and thence westward by a system of waterways to the headwaters of the Mississippi. At the especial urgence of Adams, whose Massachusetts constituents drew much of their wealth from the Newfoundland fisheries, the right of continuing this pursuit was comprised in the treaty, together with the right to land and dry fish on unoccupied territories in Labrador and Nova Scotia. As a possible make-weight, the navigation of the Mississippi was guaranteed to citizens of both the United States and Great Britain.