In the aftermath of the French and Indian War, Britain needed a new imperial design, but the situation in America was anything but favorable to change. Long accustomed to a large measure of independence, the colonies were demanding more, not less, freedom, particularly now that the French menace had been eliminated. To put a new system into effect, and to tighten control, Parliament had to contend with colonists trained in self-government and impatient with interference.
One of the first things that British attempted was the organization of the interior. The conquest of Canada and of the Ohio Valley necessitated policies that would not alienate the French and Indian inhabitants. But here the Crown came into conflict with the interests of the colonies. Fast increasing in population, and needing more land for settlement, various colonies claimed the right to extend their boundaries as far west as the Mississippi River.
The British government, fearing that settlers migrating into the new lands would provoke a series of Indian wars, believed that the lands should be opened to colonists on a more gradual basis. Restricting movement was also a way of ensuring royal control over existing settlements before allowing the formation of new ones. The Royal Proclamation of 1763 reserved all the western territory between the Alleghenies, Florida, the Mississippi River and Quebec for use by Native Americans. Thus the Crown attempted to sweep away every western land claim of the 13 colonies and to stop westward expansion. Though never effectively enforced, this measure, in the eyes of the colonists, constituted a high-handed disregard of their most elementary right to occupy and settle western lands.
More serious in its repercussions was the new financial policy of the British government, which needed more money to support its growing empire. Unless the taxpayer in England was to supply all money for the colonies' defense, revenues would have to be extracted from the colonists through a stronger central administration, which would come at the expense of colonial self-government.
The first step in inaugurating the new system was the replacement of the Molasses Act of 1733, which placed a prohibitive duty, or tax, on the import of rum and molasses from non-English areas, with the Sugar Act of 1764. This act forbade the importation of foreign rum; put a modest duty on molasses from all sources and levied duties on wines, silks, coffee and a number of other luxury items. The hope was that lowering the duty on molasses would reduce the temptation to smuggle it from the Dutch and French West Indies for processing in the rum distilleries of New England. To enforce the Sugar Act, customs officials were ordered to show more energy and effectiveness. British warships in American waters were instructed to seize smugglers, and "writs of assistance," or warrants, authorized the king's officers to search suspected premises.
Both the duty imposed by the Sugar Act and the measures to enforce it caused consternation among New England merchants. They contended that payment of even the small duty imposed would be ruinous to their businesses. Merchants, legislatures and town meetings protested the law, and colonial lawyers found in the preamble of the Sugar Act the first intimation of "taxation without representation," the slogan that was to draw many to the American cause against the mother country.
Later in 1764, Parliament enacted a Currency Act "to prevent paper bills of credit hereafter issued in any of His Majesty's colonies from being made legal tender." Since the colonies were a deficit trade area and were constantly short of hard currency, this measure added a serious burden to the colonial economy. Equally objectionable from the colonial viewpoint was the Quartering Act, passed in 1765, which required colonies to provide royal troops with provisions and barracks.
Source: U.S. Department of State