Britain ran an empire for centuries that at its peak 100 years ago occupied just under a quarter of the world’s land area. Yet if you believe “Imperial Measurement”, a report released last week from the rightwing Institute of Economic Affairs (IEA), the net economic impact of this vast empire on Britain was negligible, even negative.
If you thought the empire profoundly shaped our industry, trade and financial institutions, with slavery an inherent part of the equation, helped turbocharge the Industrial Revolution and underwrote what was the world’s greatest navy for 150 years, think again. The contribution of the transatlantic trade in enslaved people to our economy was trumped by domestic brewing and sheep farming, opines the IEA. The tax “burden” of defending this barely profitable empire was not worth the candle. Instead, it was free-market economics that unleashed British economic growth – a truth that must be restated before Marxists and reparation-seeking ex-colonies start controlling the narrative.
It is a risible recasting of history that should have been ignored as self-serving ideological tosh. But enter the business and trade secretary and aspiring Tory leader, Kemi Badenoch, who took it upon herself to endorse this IEA “research”. She told an audience of financial services bosses at a conference in London: “It worries me when I hear people talk about wealth and success in the UK as being down to colonialism or imperialism or white privilege or whatever.” If you believe any of this story about oppression and exploitation as the cause of British wealth, then the solutions to “our growth and productivity problem” will be even worse. It was “free markets and liberal institutions” that drove the Industrial Revolution and economic growth thereafter.
Except that, while they were certainly part of a cocktail of reasons for Britain’s rise to economic pre-eminence, they were only part. Recent historical research, blithely dismissed by author Kristian Niemietz, the IEA’s head of political economy, has increasingly uncovered a mountain of evidence that places ever more importance on empire, and slavery in particular, as important drivers of the Industrial Revolution and evolution of our economy.
Take innovation, and the correctly celebrated inventions – James Hargreaves’ spinning jenny of 1764/5, Richard Arkwright’s water frame, patented in 1769, and Samuel Crompton’s mule, introduced in 1778/9 – that together made it possible to harness the delicate but tough Barbadense cotton and manufacture it at scale. By the turn of the 18th century, Lancashire had emerged as Europe’s pre-eminent manufacturing centre of high-quality cotton, usable with other weaves and whose dyes and prints would hold. It was a position of global dominance that Lancashire cotton manufacture, soon joined by West Yorkshire, would reinforce over the century ahead.