B. FRANKLIN."
On Monday the 3d, Mr Oswald came according to appointment. He told me he had seen and had conversations with Lord Shelburne, Lord Rockingham, and Mr Fox. That their desire of peace continued uniformly the same, though he thought some of them were a little too much elated with the late victory in the West Indies, and when observing his coolness, they asked him if he did not think it a very good thing; yes, said he, if you do not rate it too high. He went on with the utmost frankness to tell me, that the peace was absolutely necessary for them. That the nation had been foolishly involved in four wars, and could no longer raise money to carry them on, so that if they continued, it would be absolutely necessary for them to stop payment of the interest money on the funds, which would ruin their future credit. He spoke of stopping on all sums above £1000, and continuing to pay on those below, because the great sums belonged to the rich, who could better bear the delay of their interest, and the smaller sums to poorer persons, who would be more hurt, and make more clamor, and that the rich might be quieted by promising them interest upon their interest. All this looked as if the matter had been seriously thought on.
Mr Oswald has an air of great simplicity and honesty, yet I could hardly take this to be merely a weak confession of their deplorable state, and thought it might be rather intended as a kind of intimidation, by showing us that they had still that resource in their power, which he said would furnish five millions a year. But, he added, our enemies may now do what they please with us, they have the ball at their foot, was his expression, and we hope they will show their moderation and magnanimity. He then repeatedly mentioned the great esteem the Ministers had for me, that they, with all the considerate people of England, looked to, and depended on me for the means of extricating the nation from its present desperate situation; and that, perhaps, no single man had ever in his hands an opportunity of doing so much good as I had at this present time, with much more to that purpose. He then showed me a letter to him from Lord Shelburne, partly, I suppose, that I might see his Lordship's opinion of me, which, as it has some relation to the negotiation, is here inserted. He left it with me, requesting that I would communicate it to Mr Walpole.
LORD SHELBURNE TO RICHARD OSWALD.
Whitehall, May 21st, 1782.
"Sir,
"It has reached me, that Mr Walpole esteems himself much injured by your going to Paris, and that he conceives it was a measure of mine, intended to take the present negotiation with the Court of France out of his hands, which he conceives to have been previously commenced through his channel, by Mr Fox. I must desire that you will have the goodness to call upon Mr Walpole, and explain to him distinctly, how very little foundation there is for so unjust a suspicion, as I knew of no such intercourse. Mr Fox declares, he considered what had passed between him and Mr Walpole, of a mere private nature, not sufficiently material to mention to the King or the cabinet, and will write to Mr Walpole to explain this distinctly to him.
"But if you find the least suspicion of this kind has reached Dr Franklin, or the Count de Vergennes, I desire this matter may be clearly explained to both. I have too much friendship for Dr Franklin, and too much respect for the character of the Count de Vergennes, with which I am perfectly acquainted, to be so indifferent to the good opinion of either, as to suffer them to believe me capable of an intrigue, where I have both professed and observed a direct opposite course of conduct. In truth, I hold it in such perfect contempt, that, however proud I may be to serve the King in my present situation, or in any other, and however anxious I may be to serve my country, I should not hesitate a moment about retiring from any situation which required such services. But I must do the King the justice to say, that his Majesty abhors them, and I need not tell you that it is my fixed principle, that no country in any moment can be advantaged by them. I am, with great truth and regard, &c.
SHELBURNE."