The Economic Crisis of the 1690s in England

Abstract

AbstractBeginning in 1689, England was struck by not one but three economic shocks. First, the war against France – Europe's greatest military power – attracted swarms of hostile warships and privateers that heavily damaged English maritime trade, while military expenses also led to a doubling of the tax burden. Second, wartime conditions and government mismanagement sparked a currency crisis in 1695–7 that halted much domestic commerce and caused a run on the recently founded Bank of England. Third, William III's reign brought rapid inflation in the cost of the necessities of life, especially food and fuel, which resulted in prolonged widespread hunger from 1693 onwards. Yet, these hardships have rarely received more than a passing mention in political histories of the Glorious Revolution and do not fit easily into the narratives of economic expansion in the later Stuart period. Close analysis of these ‘hard times’ demonstrates the limits of histories that emphasize long-term developments over short-term crises. Using evidence from a wide range of local and national archives, this article shows the impact of these shocks on the lives of ordinary people.