Trade under Henry VII

Question 1

What is said about Henry VII and trade?

Answer 1

He ‘could not endure to see trade sick’ however always put dynastic security first.

Question 2

What made up England’s main trade?

Answer 2

Cloth trade made up 90% of England’s exports and was mainly cloth since raw wool heavily taxed.
Raw wool trade declined by 30% in Henry’s reign.
Cloth increased by 60%.
Imports also rose during early 16th century, especially wine. Important to balance trade.

Question 3

What law did Henry impose in 1489?

Answer 3

Illegal for foreigners to buy wool and manufacture into cloth outside of England.

Question 4

How important were custom duties?

Answer 4

Extremely, rose to £40,000 during Henry’s reign.

Question 5

The cloth trade and Burgundy: When was trade complicated?

Answer 5

Most cloth went through Antwerp. Complicated after the 1493 trade embargo.

Question 6

The cloth trade and Burgundy: How did English Merchants bypass the Embargo?

Answer 6

Exported to Europe through the Calais staple. Demand still high but did have negative impact on trade.

Question 7

The Cloth Trade and Burgundy: What did the Magus Intercursus of 1496 mean?

Answer 7

1/ English merchants could sell goods wholesale anywhere, bar Flanders, without customs or tolls.
2/ English merchants, when disputes arose, would be judged impartially in local courts.

Question 8

The Cloth Trade and Burgundy: What did the Malus Intercursus of 1506 propose?

Answer 8

1/ trade between England and Burgundy would be free
2/ English merchants could anchor and remain in Burgundian harbours without charge unless they were sold or unloaded ashore.
3/ Burgundy continue to pay customs on goods sold to England.
4/ Philip and his heirs agreed to not impose duties on English cloth.
From 1507, Magus Intercursus was used instead.

Question 9

The Hanseatic League: What was it?

Answer 9

Powerful trading coalition of German cities - monopoly of trade around Baltic sea.

Question 10

The Hanseatic League: What was Edward IV’s relationship with them?

Answer 10

1474 - Treaty of Utrecht. Prevented them attacking English ships when they attacked France.
League free from paying duties on goods exported from England and had preferential rates on imported goods.

Question 11

The Hanseatic League: What did Henry do in 1489?

Answer 11

Ended their monopoly on Bullion exported from England. Also restricted their preferential rates.
Hoped they would challenge and renegotiate the Treaty.

Question 12

The Hanseatic League: What else did Henry do to aggravate the league?

Answer 12

Reach agreements with their rivals.
1/1489 - Treaty with Denmark - Right for English ships to fish in Icelandic waters.
2/ 1499 - Treaty with Riga - had temporarily left league. Short treaty as Riga rejoined League.

Question 13

The Hanseatic League: What was the result of Henry’s attempts?

Answer 13

Nothing - Henry stopped and the league returned to favourable position they had in 1485 - was confirmed by Henry in Parliament. Fear the Hanse would support Suffolk as revenge.

Question 14

Spain and Portugal: Treaty of Medina Del Campo

Answer 14

Fixed low custom duties for both sides and equal access to each-other’s ports.
Never involved with Spain’s trade in the new world.

Question 15

France: How did Henry improve trade?

Answer 15

1486 - Commercial Treaty lifted restrictions. Periodically France imposed higher duties during Brittany dispute.
Treaty of Etaples - Removed higher duties in 1495 for English neutrality in Italian wars.
1497 - Trade fully restored.

Question 16

Venice: What was Henry’s aim?

Answer 16

Extend ability to trade in Mediterranean, especially Florence. Venetians had monopoly of luxury goods here.
Long standing dispute over tariffs on sweet wine between Venice and England.

Question 17

Venice: What did Henry do?

Answer 17

1488 - Encouraged English ships to sail to Levant and return with cargoes of Malmsey.
Venetians imposed heavy duties on English goods.
Henry did the same on Venetian-borne malmsey + approached rival to establish Florence Staple + restricted cloth sales to Venice.

Question 18

Venice: How did Venice respond?

Answer 18

Concerns about Florence controlling Venetian wool supply. Removed duties on English shipping in the Levant.
Italian wars helped + distracted Venice. Did not want commercial war with England.

Question 19

English Shipping: What did Henry fail to do?

Answer 19

Fail to improve the English navy - ships fell from 15 in 1483 to 9 in 1509.

Question 20

English Shipping: What did Henry encourage?

Answer 20

English Merchants building ships - no smaller than 80 tonnes - could be converted in wartime.

Question 21

English Shipping: What did Henry build the first of?

Answer 21

The first fortified naval base at Portsmouth.

Question 22

English Shipping: What did Henry pass?

Answer 22

A series of navigation acts to increase trade of English Shipping.
In 1485 most carried by foreign ships often of Hanseatic League.

Question 23

English Shipping: What did one of the navigation acts forbid?

Answer 23

1485 - 1486 - Forbade English Merchants loading goods onto foreign ships if English ships were available.
Wines from Gascony only imported on English ships with a 50% or more English crew.

Question 24

Navigation Acts: Were they a success?

Answer 24

Yes - By 1489 50% of English trade was carried out in English ships.

Question 25

Exploration: Was Henry interested in exploration?

Answer 25

Henry appreciated its profitability. 1497 - Sponsored John Cabot on expedition westwards across Atlantic for new route to Asia.

Question 26

Exploration: Was Cabot successful?

Answer 26

Cabot landed on North-American coastline and on return granted annual pension.
1948 - Set off again but never returned.
New expeditions in 1501, 1502 and 1508 by Cabot’s son - Sebastian. Landed in Hudson bay but on return Henry was dead.