Childers to Rogers (Permanent Under-Secretary)

With reference to your letter of the 3rd Instant, and
its enclosures, I am desired by the Lords Commissioners of
Her Majesty's Treasury to state for the information of Mr
Secretary Cardwell, that Their Lordships have had under
consideration the Ordinance No 3 of 1865, which has
been passed by the Legislature of British Columbia, entitled
"An Ordinance to amend the duties of Customs" together with
the despatches from the Governor, and other papers relating
to the objections that have been taken to the measure in
the adjoining Colony of Vancouver Island.

Their Lordships desire me to request that you will
state to Mr Secretary Cardwell that They see no sufficient
reason, on legal grounds, for interfering with the proceedings
of the Legislature of British Columbia in this matter, or for
witholding Her Majesty's confirmation of the Ordinance.

I am, however, to add that my Lords observe that the value
of articles subjected by this Ordinance to ad valorem duties
is to be reckoned according to their value at the place of
Shipment instead of at the place of Entry. Such a regulation
is, so far as My Lords are aware, without precedent in the
Customs Laws of British Possessions; and it will have the
result of subjecting articles, identical in all respects,
and of the same price to the Consumer, to different rates
of duty, according to the Country from which they may have
been shipped; thus, in effect, if not in words, establishing
a system of differential duties.

Before, therefore, the Ordinance is submitted for Her
Majesty's confirmation, Their Lordships suggest that this
point should receive the attention of the Secretary of State
for the Colonies.