Finance

Question 1

Annual fund

Answer 1

• Initially £1.2 million a year
  > Generous due to loss of prerogative revenues; reduced income from Crown lands
• Expected £400,000 from revenues never reached
• 1665: fell to £700,000; debt £1.2 million

Question 2

Clarendon

Answer 2

1660-67
- 1662: Arranged marriage with Catherine of Braganza, large dowry and port of Tangier
- Dunkirk sold back to France- finance boost
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Question 3

Great Fire

Answer 3

• 1666
• Lost £3.5 million worth of goods

Question 4

Stop of the Exchequer

Answer 4

• 1672
• Result of deficit over £2 million by 1670
• Exchequer deferred payments to avoid bankruptcy
  > Led to negative outlook and future loans having higher rates of interest, King looked like bad debtor

Question 5

Danby

Answer 5

• Proved invaluable keeping government solvent as treasurer of Navy
• Took over after decline of Cabal 1674
• Oversaw Treaty of Westminster 1674- ended Dutch war
  > Ties with Dutch led to custom revenues £730k 1674-75
• 1674-1677: Crown had £1.4 million/y thanks to Danby’s policies