The Chinese ships rank next to British ships in the amount of trade. German and Japanese ships follow next.
Finance.—The revenue and expenditure are given below:—
| Year. | Revenue. | Expenditure. |
| 1880 | $1,069,948 | $948,014 |
| 1890 | 1,995,220 | 1,915,350 |
| 1898 | 2,918,159 | 2,841,805 |
| 1902 | 4,901,073 | 4,752,444 |
The main sources of revenue are licences, rent of government property, the post-office and land sales. The light dues were reduced in 1898 from 2½ cents to 1 cent per ton. There is a public debt of about £340,000, borrowed for public works, which is being paid off by a sinking fund. The only legal tender is the Mexican dollar, and the British and Hong-Kong dollar, or other silver dollars of equivalent value duly authorized by the governor. There are small silver and copper coins, which are legal tenders for amounts not exceeding two dollars and one dollar respectively. There is also a large paper currency in the form of notes issued by the Chartered Bank of India, Australia and China, the Hong-Kong and Shanghai Banking Corporation and the National Bank of China, Limited. The foundation of new law courts was laid in 1900.
Administration.—Formerly an integral part of China, the island of Hong-Kong was first ceded to Great Britain in 1841, and the cession was confirmed by the treaty of Nanking in 1842, the charter bearing the date 5th of April 1843. The colony is administered by a governor, executive council and legislative council. The executive council consists of the holders of certain offices and of such other members as the crown may nominate. In 1890 there were nine members. The legislative council consists of the same officials and of six unofficial members. Of these, three are appointed by the governor (of whom one must be, and two at present are, members of the Chinese community); one is elected from the chamber of commerce, and one from the justices of the peace.
Authorities.—Sir G. W. des Vœux, Report on Blue-book of 1888; A Handbook to Hong-Kong (Hong-Kong, 1893); The China Sea Directory (vol. iii., 3rd ed., 1894); Henry Norman, The Peoples and Politics of the Far East (London, 1895); Sir E. Hertslet, Treaties between Great Britain and China and China and Foreign Powers (London, 1896); A. R. Colquhoun, China in Transformation (London, 1898); Colonial Possessions Report, No. 84; and other Colonial Annual Reports.
HONITON, a market town and municipal borough in the Honiton parliamentary division of Devonshire, England, pleasantly situated on rising ground on the left bank of the Otter, 16½ m. E.N.E. of Exeter by the London & South-Western railway. Pop. (1901) 3271. The town consists of one wide street, down which a stream of water runs, extending for about 1 m., and crossed at right angles by a lesser street. The restored church of St Michael, formerly a parish church, but standing on a hill about ½ m. from the town, was built by Courtenay, bishop of Exeter, about 1482. It retains a curiously carved screen, and the black marble tomb of Queen Elizabeth’s physician, Marwood, who attained the age of 105. Allhallows Grammar School, founded in 1614, was enlarged in 1893; St Margaret’s hospital, founded as a lazar-house in the 14th century, is converted into almshouses. Honiton is famous for its lace industry, established by refugees from Flanders under Queen Elizabeth. The delicate fabric made by hand on the pillow was long in demand; its sale was, however, greatly diminished by the competition of cheaper machine-made goods, and a school of lace-making was opened to promote its recovery. The town possesses breweries, tanneries, malthouses, flour-mills, saw-mills, brick and tile works, potteries and an iron foundry; its trade in butter is considerable. It is governed by a mayor, 6 aldermen and 18 councillors. Area, 3134 acres.
Honiton (Honetona, Huneton) is situated on the British Icknield Street, and was probably the site of an early settlement, but it does not appear in history before the Domesday Survey, when it was a considerable manor, held by Drew (Drogo) under the count of Mortain, who had succeeded Elmer the Saxon, with a subject population of 33, a flock of 80 sheep, a mill and 2 salt-workers. The borough was founded before 1217 by William de Vernon, earl of Devon, whose ancestor Richard de Redvers had received the manor from Henry I. In the 14th century it passed to the Courtenays, and in 1698 Sir William Courtenay was confirmed in the right of holding court leet, view of frank-pledge and the nomination of a portreeve, these privileges having been surrendered to James II. The borough was represented by two members in parliament in 1300 and 1311, and then not again till 1640, from which date it returned two members until disfranchised by the act of 1868, the returning officer being the portreeve, who was also the chief magistrate of the borough until its incorporation by charter of 1846. In 1221 Falkes de Breauté, then custodian of the borough, rendered a palfrey for holding a three days’ fair at the feast of All Saints, transferred in 1247 to the feast of St Margaret, and still held under that grant. A great market for corn and other produce is still held on Saturday by prescription. The wool manufacture flourished at Honiton in the reign of Henry VII., and it is said to have been the first town at which serges were made, but the industry entirely declined during the 19th century. The lace manufacture was introduced by Flemish refugees, and was flourishing in the reign of Charles I.
See Victoria County History, Devonshire; A. Farquharson, History of Honiton (Exeter, 1868).