However, it was trade that had created the wealth of the empire and its expansion and it was trade that continued to hold a great influence on Britain’s foreign and Imperial Policy over the period. Trade was generating enormous amounts of wealth. Britain could buy raw materials from its dominions (such as cotton from India, Tea from China, minerals from Australia and Canada or sugar from the Caribbean), import them back to Britain, and using its advanced manufacturing industry convert these raw materials into marketable goods to sell for massive amounts of profit. This brought in huge amounts of wealth into the British economy. For instance between 1850 and 1874 real wages increased by 1/3. And over a 24 year period from 1851-1875 the economy showed a total 8.4% growth. Importantly, it could “police” this trade with its supremely powerful navy. Other great powers were catching up however and had rapidly developed their manufacturing industries. The need to continue to grow trade (and therefore wealth) was very important as other markets became protectionist – imposing tariffs and quotas on British goods to protect their own.
With all this wealth came power and this power came in many forms. Economic imperialism allowed Britain to develop new markets for its manufactured goods. By selling goods to countries that were already part of the British Empire, Britain could ensure higher profits through market dominance and virtual monopolies in supply. As the number of territories ruled by Britain expanded, so did the market for those goods made in Britain. Britain had a policy of acquiring more countries to her empire; therefore it could further expand trade, increase profits and also develop new trade routes.
As well as creating new trade routes, Britain had to protect its old ones such as India. This would be possible by increasing the strength of the British naval force on a global scale. They needed more territory to create more bases and therefore more protection for trade routes. Key parts of the British Empire included Gibraltar and the Suez Canal because they were entrance and exit points to the Mediterranean, an area where Britain not only thrived in trade, but provided the fastest route to the far eastern markets and India. Hong Kong and Singapore, also part of the British Empire protected trade routes to Asia, where Britain had India and where the huge market of China was being developed by all the Great Powers. There were other seemingly insignificant parts of the empire such as Ascension Island and Tristan de Cunha which acted as Global Naval staging posts and coal depots. The strategic protection of trade and empire was called Strategic Imperialism.
The British brought their culture with them when they expanded. The intent of the British in doing so was to give the natives of the dominion a sense of aspiration to be British. This sometimes had a different effect – making the indigenous peoples feel inferior. It was achieved by missionaries as well as administrators and colonists. This had an impact back in Britain where the civilising of heathen natives was seen as a noble cause and encouraged further expansion – particularly in Africa. Indeed many Victorians saw this civilising as their duty. Rudyard Kipling referred to the idea as “The White Man’s burden”. It was therefore important to acquire more territories to “civilise”. This “Cultural Imperialism” was more of a tool used to secure control, or at least give the impression of control amongst the local natives. In his book “Empire” Niall Ferguson gives nine features of British society that were left with colonies:-
- The English language
- English land tenure
- Banking systems
- Common Law
- Protestantism
- Team Sports (cricket, rugby and football)
- The Limited State
- Representative Assemblies
- The idea of “liberty”
The promotion of these ideals and institutions of Britain ensured that trade could flourish and colonies could generate more wealth. Britain also hoped that territories would prefer to be run by the British than one of the rival Great Powers who had less moral intentions.
Finally one of the key goals of Britain’s Foreign and Imperial Policy was to ensure a happy and prosperous mother country. The number of people eligible to vote had expanded thanks to the Reform Acts of 1832 and 1867 and therefore the well being of a far greater proportion of the population than just the ruling class needed to be won over in elections. One of the main goals of any government is to secure popularity with the general public. Britain was not without its problems – slums, slavery, child mortality etc. However, being part of a great power that was generating more trade therefore making them wealthier, and bringing good to the peoples of the World gave the people of Britain a greater sense of pride in their country. This patriotism was becoming ever more widespread. The electorate was delighted when news of further colonial expansion was announced.
The expansion of trade and empire was vital in determining British Foreign and Imperial policy. The expansion of trade created more wealth, more industry and more goods and services. The expansion of Empire through the acquisition of new territories created new markets – and therefore more wealth again - and new “converts”. Both were made safe by the continuing dominance of the Royal Navy. The expansion of both enabled Britain to use its Navy to build a strategic empire that kept the growing British electorate happy and fuelled their desire for further growth.