Royal Commission on the Depression in Trade and Industry facts for kids
The Royal Commission on the Depression in Trade and Industry was a special group set up by the United Kingdom government. It was created by the Prime Minister, Lord Salisbury, in August 1885. This commission finished its work in December 1886. It was formed during a tough economic time known as the Great Depression of 1873–96.
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What Was This Royal Commission?
A Royal Commission is a formal investigation ordered by the government in the United Kingdom. These groups are set up to look into important issues and suggest solutions. They are usually made up of experts and respected people. The Royal Commission on the Depression in Trade and Industry was tasked with understanding why the country's economy was struggling.
Why Was It Formed?
Prime Minister Lord Salisbury decided to create this Royal Commission to help his Conservative government. At the time, there was a lot of debate about how Britain should handle its trade. Some people, called "fair traders," wanted to protect British businesses more. They were against the idea of free trade, which was the main economic policy at the time.
Free trade means that goods can be bought and sold between countries without special taxes or limits. "Fair traders" believed that other countries were not playing fair. They wanted Britain to put taxes on imported goods to make them more expensive. This would encourage people to buy British products instead.
Lord Salisbury hoped the commission would ease the pressure from these "fair traders." He even tried to get former ministers from the Liberal government to join. However, they refused. They felt that asking questions about free trade meant the government doubted its benefits.
Who Led the Commission?
The commission was led by Lord Iddesleigh. He was a strong supporter of free trade. His leadership was important because it made sure the commission did not completely turn against free trade. This was despite many members of the Conservative Party wanting more protection for British industries.
What Did the Commission Find?
Historian William Rubinstein noted something very important about this commission. It was one of the first times that Britain officially recognized a big problem. Britain was the first country to become an industrial powerhouse. But now, other countries were catching up and competing strongly. The commission saw that being the first also meant Britain had some disadvantages in this new, competitive world.
The commission's suggestions were quite moderate. They did not recommend big changes to Britain's free trade policy. Lord Iddesleigh's leadership kept the focus on understanding the problems without abandoning the idea of free trade. Even with growing calls for protection, the commission stuck to the existing economic beliefs.
