Therefore it can be argued that Henry did partly cause the crisis, but not intentionally. If the policy had been successful the crisis would have been avoided as the problem of Scotland and France would have been ended before his death.
This period was a transition from a Feudal Economy to a Commercial Market Economy. The commercial economy was in a way Rural Capitalism, which was based on maximising profits. This breakdown of rural economy is said to have been caused by a deterioration in the relationship between Peasants, tenants and their landlords. To an extent financial problem’s by costly wars, were a great deal responsible for the potential crisis, but what began only as a problem was transformed into a crisis by Somerset, who continued the wars even once it was obvious that the country did not have the means to support this - England was virtually bankrupt in 1547. Somerset worsened the situation, by seizing more Church property (Chantries Act, 1547) and by debasing the coinage. He could have reformed the taxation and customs systems and brought the financial administration up to date (this was desperately needed), but his failings as a ruler are demonstrated by his lack of effort. Henry had spent all of the crown money available for his successor on his attempted invasion of France. A deal with Charles V was made, they agreed both would invade and rendezvous in Paris, yet again Charles let Henry down by making a peace with France leaving Henry to fight on his own. Henry did manage to capture Boulogne. This campaign would cost a lot of money after he took control of it, as he then had to fortify the city and then defend it from the French as they soon besieged the garrison. The foreign policy in the last years had cost roughly £2 million pounds. It was decided that the French would buy back Boulogne for £600,000 and it would be returned in 8 years.
To an extent Henry’s ways of raising money can be seen as a key reason for the state to be in crisis, as he increased taxation (raised £656,254), used forced loans (raising £270,000), sold ex-religious lands to Gentry and some Nobles (raised £739,310), took a loan from Antwerp (of £100,000) and by the debasement of the coinage (£393,000). Coins had a certain amount of silver in them; this was reduced and replaced with baser alloys. A teston, which was a silver shilling, in theory contained roughly a shillings worth of precious metal mixed with the alloys. Successive re-minting of coins in the 1540s reduced their silver content and gave the government over £1.3million easy income. In the process, this debasement destroyed confidence in the coinage and added to the inflationary pressure. The fact that the taxation was raised would have caused great concern among the Nobles as they would have known that the commoners would resent this. For example the states’ financial crisis, caused a crisis in society as it forced people in Norfolk to rebel. The selling of monastic land to the Gentry would have annoyed the Nobility as it would reduce their power and influence upon the King.
Inflation was one of the many problems for the financial crisis. The imbalance in the degree of inflation and the fluctuations in its severity have allowed historians to narrow down the possible cause for it. The growth of population has been regarded as the primary cause of inflation. There was an increasing demand for subsistence items (bread/ale etc) but the supply of the goods was relatively inflexible and could not keep pace (this is the view of Malthusian).
In agriculture for instance, there had been few innovations during the 16th century which might have enabled more efficient farming and the reclamation of land for new cultivation was slow and expensive. As demand out stripped supply, farmers and merchants were able to increase market prices as people needed the fewer items available. This was not just a simply profiteering scheme it was a response to pressure from landowners, such as the higher price of land and increases in their own costs of living.
The financial problems also helped to spark off a social crisis. There was high inflation, a high population, more unemployment and an increase in the number of commoners at this time. Only part of this can be attributed to the policies pursued by Henry VIII. It can be argued that his dissolution of the monasteries increased the number of commoners, as the loss of monasteries meant there were seven thousand ex-religious who needed to find another way of life. It also meant a loss of charity as this was one of the functions of a Benedictine monastery. Henry can also be blamed for the enclosure policies which adversely affected the common people. Although in 1515 Wolsey had an enclosure act passed, it was not enforced, as the support of the gentry was necessary in parliament.
However, there are many other reasons for the social crisis. The main reasons were the underlying problems and the way in which Somerset in particular failed to deal with them. Harvest failures were frequent and this increased the chance of famine and the price of grain. Somerset failed to deal with the root causes of the problem (possibly due to the fact that he had no real understanding of them) and although the older generation of historians such as Elton see Somerset as being "humanitarian" and sympathetic to the poor, this is unlikely, as the Vagrancy Act of 1547 showed little concern for those it should have protected, and the tax on wool adversely affected the poor. Indeed, Heard's view that he was "an arrogant self-seeker" is far more likely. It would be far more in Somerset's political interests for the aristocracy to support him, not for the poor to.
Another main area of crisis at this time was religion, and Henry's policies were the root cause - his legacy was "a nation divided in religion". His changes to the Church, which had resulted, not in Protestantism, but in Henrician Catholicism (or 'Catholicism without the Pope'), had done much to confuse the nation. He had initially moved in a Protestant direction with the Act of Ten Articles in 1536, and in 1538, the insistence that all churches use a prayer book in the vernacular, but then in 1539, there was a swing back towards Catholicism with the Act of Six Articles. This was probably in response to the Pilgrimage of Grace, a conservative reaction in 1536. The religious changes in the period 1530-1559 were so rapid with the different rulers and Henry can be held partly responsible for this as he had his son, Edward, brought up as a Protestant, whereas his daughter Mary was a devout Catholic. The prospect of Edward VI being a minority caused several problems the creation of a regency and the idea that there could be a civil war or and invasion by Foreign powers to re-establish Catholicism.
Henry's policies, while at the root of the religious crisis, were not the sole cause. Under Somerset the Church moved once more in a Protestant direction. Initially this was a fairly cautious approach; Somerset wanted "to appeal to as wide a range of opinion as possible". However, in 1549,he contributed to the crisis by introducing the 1549 Prayer Book, and the First Act of Uniformity. This was felt by some (devout Catholics) to be too extreme, (although in reality the interpretation of the Eucharist was ambiguous) and Cranmer, who had a strong influence on the prayer book can also be held accountable. Religious grievances, based on the measures adopted by Somerset, had a large part to play in both Kett's and the Western rebellion in 1549, as these rebellions were both marked by religious conservatism. These rebellions were the main point of the crisis; they led to Somerset's removal from power. He had moved in too Protestant a direction for the Catholics, but on the other hand, not far enough for the radical reformers. In 1547, by passing the Treason Act, there was increased freedom for the discussion of doctrine. This debate had been opened in the reign of Henry, and Somerset was enabling it to continue. This led to many pamphlets being produced, especially by the radicals, which only inflamed the situation further, as neither extremes felt that they had benefited from his reforms.
Society in England was changing, the population was increasing rapidly and there was a fall in demand for English textiles, this, therefore caused a great deal of discontent. It added to the crisis as it meant that the English people would not have been happy with the society they lived in. The rising population, forced up rents and food prices, this therefore made it hard to find work and survive and for the lucky people to get work the wages were very low as there was always someone else who was available to replace them. This would cause distress among the poorer people, it was also not helped by the growing tensions between the middle classes and the peasantry; they felt that the landowners were using commercial and religious situations to their own advantage, therefore adding to the social crisis of 1547. During this period the English cloth trade was in decline, this would raise the number of unemployed.
The state was in a ‘state of crisis’; it had been assuming greater responsibility for every aspect of it’s’ subject’s lives. For example the state was now expected to help the poor by continuing charitable work and finding employment for the able bodied. This had previously been done by the monasteries which now had been dissolved. After the Henrician Reformation the monarch was also Head of the Church, therefore the Supreme Head. This meant that parliament controlled religious policies; and would therefore have added greater pressure on the government as it would have to cope with a new area of society. The state had become ‘country vs. London’, as now the government system had become more centralised, hundred and other local courts were ceasing to function throughout the country. This new more centralised government, had a growing number of civil servants joining it, these people would administer central and local affairs in London. This move away from feudal government system was resented by people (commoners) as they did not believe that someone so far away could and should be able to govern them and that it should be localised.
The administration grew in size rapidly, statesman realised that they had to take control of the economy; this was to make sure that the country’s wealth was great enough to pay for the increasing cost of government. To help solve this, the Government passed legislation to help regulate the economy; it was aimed at limiting and restricting some merchants and industrialists. Merchants and Industrialists were the Gentry, a powerful and rich sector of society, by limiting and restricting them it would reduce their profits, which therefore would cause a feeling of bitterness towards the state/government. It is believed that the relationship between the Monarch and the people had been weak; this is shown by the Treason Act of 1547.
The Revisionist view is that in this period the crisis was formulated by lots of short term problems and changes in the constitution, politics and foreign policy’s. But this line of thought is countered by the Marxists view as it suggests that the crisis was a development of economy and society on a long term basis.
I can conclude that England was in a state of crisis in 1547. Socio-economic problems caused other issues such as the religious changes and political difficulties to escalate. The economic hardship forced upon the people would have caused resentment between the different sectors of society, for example the Pilgrimage of Grace was spurred by religious problems but many of its participants were also rebelling for economic changes as well. The change from a Feudal society to a Modern society is mainly evident in the economy though it was also obvious throughout the changing world; this change of economy is referred to as a transition from a Feudal Economy to a Commercial Market Economy. This will have caused great problems for the peasants, as their farms were taken away and they were made into wage earners. Peasant’s wages were reduced and rents were increased due to the increasing population. This new society was mainly out to make money and exploited the weak and poor. This is the main reason for the crisis which affected England in 1547. Political problems caused by the legacy of Henry VIII and court factions, religious problems caused by the Henrician reformation and religious ambiguity also caused division and increased tensions added to the larger socio-economic crisis.