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to the late "events in the Peninsula," as having "paved the "way" for the "desired co-operation."

The British Government could not acknowledge an appeal founded upon transactions to which it was no Party. But no such appeal was necessary. No variation in the internal affairs of Spain, has, at any time, varied the King's desire to see a termination to the evils arising from the protracted struggle between Spain and Spanish America; or His Majesty's disposition to concur in bringing about that termination.

From the year 1810, when His Majesty's single mediation was asked and granted to Spain, to effect a reconciliation with Her Colonies,-the disturbances in which Colonies had then but newly broken out,-to the year 1818, when the same task, encreased in difficulty by the course and complication of events in America, was proposed to be undertaken by the Allied Powers assembled in Conference at Aix-la-Chapelle ;-and from the year 1818 to the present time,-the good offices of His Majesty for this purpose have always been at the service of Spain, within limitations and upon conditions, which have been in each instance explicitly described.

Those limitations have uniformly excluded the employment of force or of menace against the Colonies, on the part of any Mediating Power; and those conditions have uniformly required the previous statement by Spain, of some definite and intelligible proposition,—and the discontinuance on Her part of a system utterly inapplicable to the new relations which had grown up between the American Provinces and other Countries.

The fruitless issue of the Conferences at Aix-la-Chapelle would have deterred the British Government from acceding to a proposal for again entertaining, in Conference, the question of a Mediation between Spain and the American Provinces; even if other circumstances had remained nearly the same. But the events which have followed each other with such rapidity during the last five years, have created so essential a difference, as well in the relative situation in which Spain and the American Provinces stood, and now stand to each other, as in the external relations and the internal circumstances of the Provinces themselves, that it would be vain to hope that any mediation, not founded on the basis of Independence, could now be successful.

The best proof which the British Government can give of

the interest which it continues to feel for Spain, is, to state frankly their opinion as to the course most advisable to be pursued by His Catholick Majesty; and to answer, with the like frankness, the question implied in M. Ofalia's Instruction, as to the nature and extent of their own relations with Spanish America.

There is no hesitation in answering this question. The Subjects of His Majesty have for many years carried on trade and formed commercial connections in all the American Provinces which have declared their separation from Spain.

This trade was originally opened with the consent of the Spanish Government. It has grown gradually to such an extent as to require some direct protection, by the establishment at several Ports and Places in those Provinces, of Consuls on the part of this Country;-a measure long deferred out of delicacy to Spain, and not resorted to at last without distinct and timely notification to the Spanish Government.

As to any further step to be taken by His Majesty towards the acknowledgment of the de facto Governments of America, -the decision must (as has already been stated more than once to Spain and to other Powers) depend upon various circumstances; and, among others, upon the reports which the British Government may receive of the actual state of affairs in the several American Provinces.

But it appears manifest to the British Government, that if so large a portion of the Globe should remain much longer without any recognized political existence, or any definite political connexion with the established Governments of Europe, the consequences of such a state of things must be, at once most embarrassing to those Governments, and most injurious to the interests of all European Nations.

For these reasons, and not from mere views of selfish policy, the British Government is decidedly of opinion, that the recognition of such of the new States as have established de facto their separate political existence, cannot be much longer delayed.

The British Government have no desire to anticipate Spain in that recognition. On the contrary, it is on every account their wish, that His Catholick Majesty should have the grace and the advantage of leading the way, in that recognition, among the Powers of Europe. But the Court of Madrid must be aware, that the discretion of His Majesty in this re

spect cannot be indefinitely bound up by that of His Catholick Majesty; and that even before many months elapse, the desire, now sincerely felt by the British Government, to leave this precedency to Spain, may be overborne by considerations of a more comprehensive nature;-considerations regarding not only the essential interests of His Majesty's Subjects, but the relations of the Old World with the New.

Should Spain resolve to avail herself of the opportunity yet within Her power, the British Government would, if the Court of Madrid desired it, willingly afford its countenance and aid to a negotiation, commenced on that only basis which appears to them to be now practicable; and would see, without reluctance, the conclusion, through a negotiation on that basis, of an arrangement, by which the Mother Country should be secured in the enjoyment of commercial advantages superior to those conceded to other Nations.

For Herself, Great Britain asks no exclusive privileges of trade; no invidious preference, but equal freedom of commerce for all.

If Spain shall determine to persevere in other counsels, it cannot but be expected that Great Britain must take her own course upon this matter, when the time for taking it shall arrive; of which Spain shall have full and early intimation.

Nothing that is here stated can occasion to the Spanish Government any surprise.

In my despatch to Sir Charles Stuart of the 31st of March, 1823, which was communicated to the Spanish Government, the opinion was distinctly expressed, that "Time "and the course of events had substantially decided the sepa"ration of the Colonies from the Mother Country; although "the formal recognition of those Provinces, as Independent "States, by His Majesty, might be hastened or retarded by "various external circumstances, as well as by the more or "less satisfactory progress, in each State, towards a regular "and settled form of government."

At a subsequent period, in a Communication* made, in the first instance, to France, and afterwards to other Powerst,

* The Memorandum of Conference.- No. 1.

+ Austria, Russia, Prussia, Portugal, The Netherlands, and The United States of America.

as well as to Spain, the same opinions were repeated; with this specifick addition, that in either two cases (now happily not likely to occur),-in that of any attempt on the part of Spain, to revive the obsolete interdiction of intercourse with Countries over which She has no longer any actual dominion; ---or in that of the employment of Foreign assistance to reestablish her dominion in those Countries, by force of arms: -the recognition of such new States by His Majesty would be decided and immediate.

After thus declaring to you, for the information of the Court of Madrid, the deliberate opinion of the British Government on the points on which Spain requires the advice of Her Allies, it does not appear to the British Cabinet at all necessary to go into a Conference, to declare that opinion anew; even if it were perfectly clear, from the tenour of M. Ofalia's Instruction, that Great Britain is, in fact, included in the invitation to the Conference at Paris.

Every one of the Powers so invited has been constantly and unreservedly apprized, not only of each step which the British Government has taken, but of every opinion which it has formed on this subject; and this Despatch will be communicated to them all.

If those Powers should severally come to the same conclusion with Great Britain, the concurrent expression of their several opinions cannot have less weight in the judgment of Spain,--and must naturally be more acceptable to Her feelings,---than, if such concurrence, being the result of a Conference of Five Powers, should carry the appearance of a concerted dictation.

If (unhappily, as we think) the Allies, or any of Them, should come to a different conclusion, we shall at least have avoided the inconvenience of a discussion, by which our own opinion could not have been changed ;---we shall have avoided an appearance of mystery, by which the jealousy of other Parties might have been excited ;---we shall have avoided a delay, which the state of the question may hardly allow.

Meanwhile, this explicit recapitulation of the whole course of our sentiments and of our proceedings on this momentous subject, must at once acquit us of any indisposition to answer the call of Spain for friendly counsel, and protect us against

the suspicion of having any purpose to conceal from Spain or from the World.

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REPORT from the Secretary of the Treasury, on the state of the Finances of The United States.

TREASURY DEPARTMENT, December 31, 1823.

SIR,---I have the honour to transmit a Report, prepared in obedience to the "Act supplementary to the Act to establish the Treasury Department."

I have the honour to be, &c.

The Hon. THE SPEAKER

WM. H. CRAWFORD.

Of the House of Representatives.

REPORT.

In obedience to the directions of the "Act supplementary to the Act to establish the Treasury Department," the Secretary of the Treasury respectfully submits the following Report:

1. Of the Public Revenue and Expenditure of the Years
1822 and 1823.

The Nett Revenue which accrued from Duties on Imports
and Tonnage, during the Year 1822, amounted (see Statement
A) to
Dollars 20,500,775. 91

The actual receipts into the Treasury during the Year

1822, amounted to

Dollars 20,232,427. 94

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