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 new office. The finances were in terrible disorder. During 1859–60 the expenditure had exceeded the income by 9,000,000l., and the enormous addition to the military budget entailed by the mutiny appeared even likely to increase; the antagonism between the races was extreme, the whole military organisation unhinged. The disorder of the finances had induced the English government to appoint James Wilson [q. v.] to undertake the reform of the exchequer. From the first Frere worked cordially with Wilson, though not always agreeing with him in details. He heartily supported the steps he adopted for the reduction of expenditure, and especially turned his attention to the cost of the army, which threatened to become an uncontrollable burden. After all possible reductions the imposition of new taxes became necessary, and Frere supported Wilson in introducing the new income tax, which was strenuously opposed by large sections of the native community. The main credit for this and other financial measures of the time must of course belong to Wilson. Frere, however, did much of the work, and had charge of the exchequer in the interval between Wilson's death and the appointment of his successor, Laing. He again discharged the same duties for six months during the enforced absence of Laing from illness. A short experience of the governor-general's council convinced him that a radical change was necessary in both the supreme and local governments. The council, as it was then composed, was in his opinion manifestly insufficient for the work it had to do. The official section of the community was alone represented, to the exclusion of the mercantile classes and the natives. In the presidencies this anomaly was even more apparent. Bengal was governed by three hundred foreigners, all of whom were crown officials. The consequent bitterness of feeling was a continual irritant. Frere's strong sense of justice revolted against this inequality, and in season and out of season he urged on the authorities the necessity of reform. He held, with Lord Canning, that the existing executive councils should be supplemented by legislative bodies, in which the non-official classes of the presidencies should be represented. He urged strongly also the justice of employing native gentlemen in the administration of affairs. The equity and wisdom of these reforms were, when set forth, so apparent that they were successfully carried out, and the benefits resulting from them are now universally acknowledged even by those who at the time were opposed to them. The advocacy of these measures, which originated with Lord Canning, was ably conducted by Frere, who was at this time Lord Canning's confidential and trusted adviser on all matters connected with India. It was due also to Frere that the unreasonable unpopularity of Lord Canning was greatly abated. He was able to enter into explanations on points of Lord Canning's administration impossible for Canning himself, and his genial hospitality to Europeans and natives served to break down prejudices and restore confidence in a way that no official acts or complacence could ever have done. In 1860 he accompanied Lord Canning on a visit to the north-west provinces, on which occasion the governor-general invested Scindia, Holkar, the nizam, and others with the Star of India as a reward for services rendered during the mutiny. Frere also introduced measures for the encouragement of the cultivation of cotton, tobacco, and indigo, and promoted in every way in his power the extension of roads and the construction of irrigation works.

In 1862 Frere was appointed governor of Bombay. Upon hearing this news Canning wrote: ‘I do not know when I have read anything with such unmixed pleasure. God grant you health and strength to do your work in your own noble spirit and energy.’ By the European community in Bombay it was recognised as a compliment that one of the foremost men in India should have been sent to rule over them, and by the natives his appointment was ‘hailed with heartfelt satisfaction.’ One of the first measures he carried out was to throw down the ramparts of Bombay, which stood as barriers against the sea breezes, and covered a space of ground daily becoming of more value. The sanitary advantages gained to the town by the demolition of these useless works became at once apparent, and as a financial measure it more than exceeded the expectations formed. The land fetched in the market 180 rupees a square yard, and on part of it were erected rows of public offices, designed by Gilbert Scott, which were then incomparably the finest modern buildings in the East. Municipal institutions, which always held a prominent part in Frere's administration, early gained his attention, and to him is due the municipality which now governs the city, and which in the first year of its existence was instrumental in reducing the death rate by two thousand. He established the Deccan College at Poona, as well as a college for instructing natives in civil engineering. He commenced the buildings of the Bombay University, and instituted English and vernacular schools in various parts of the presidency. He founded schools for the female children of soldiers