Honors U.S History
Britain’s financial problems accumulated over a long period of time. However after the victory following the French and Indian war, Britain’s financial problems increased tremendously since war was not cheap Even though Britain was victorious; there success came at a great cost. For instance, on January 1763 Britain was 122 million pounds (a little over two hundred million dollars in U.S. currency) in national debt. Because of Britain’s enormous debt which got to a pinnacle because of the French and Indian War, they placed numerous controls on the colonies including acts, constraints of commerce, strict enforcement in legal tender, and more oversight with the British military support to provide Britain revenue to pay down the national debt. After the French and Indian War, the colonies were nearly governing themselves, and they ensured virtual representation on parliament. In order to regain control of the colonies Britain passed the Declaratory Act of 1766 which mainly stated that the British government still controls the colonies. To guarantee total control, Britain sent 3000 troops to the colonies to end the boycotts and riots, and to furthermore clarify that Britain is the ruler. Additional acts like the Stamp Act and the Sugar Act were instituted to provide Britain with additional revenues. The Stamp Act placed a strict tax on newspapers and legal documents while the Sugar Act placed an imbalanced tax on molasses that provided relief for the East India Company. During the course of this time Britain was more involved in the war and they lost sight of the colonies. After the war Britain was in enormous debt, and went after the colonies for revenue. Numerous acts were placed on the colonies to not only gain back money, but to regain control.