Note (Back) — Chapter V

112. The Finance Bill of 1909 and the Asquith Resolutions.—The rejection of the Finance Bill in 1909,[154] following as it did the rejection of other important measures which the Liberal majority in the Commons had approved, raised in an acute form the question of the power of the Lords over money bills and precipitated a crisis in the relations between the two houses. On the one hand the House of Commons adopted, by a vote of 349 to 134, a memorable resolution to the effect that "the action of the House of Lords in refusing to pass into law the provision made by the House of Commons for the finances of the year is a breach of the constitution, and a usurpation of the privileges of the House of Commons"; and, on the other, the Asquith ministry came instantly to the decision that the situation demanded an appeal to the country. In January, 1910, a general election took place, with the result that the Government was continued in power, though with a reduced majority; and at the convening of the new parliament, in February, the Speech from the Throne promised that proposals should speedily be submitted "to define the relations between the houses of Parliament, so as to secure the undivided authority of the House of Commons over finance, and its predominance in legislation." The Finance Bill of the year was reintroduced and this time successfully carried through; but in advance of its reappearance the premier laid before the House of Commons a series of resolutions to the following effect:[155] (1) that the House of Lords should be disabled by law from rejecting or amending a money bill; (2) that the power of the chamber to veto other bills should be restricted by law; and (3) that the duration of a parliament should be limited to a maximum period of five years. During the course of the debate upon these resolutions it was made clear that the Government did not desire the abolition of the Lords, but wished merely to have the legislative competence of the house confined to consultation, revision, and, subject to proper safeguards, delay. April 14, 1910, the resolutions were adopted in the Commons by substantial majorities,[156] and with them as a basis the Government proceeded with the framing of its bill upon the subject.