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ons, and still less likely to pay their taxes, which, indeed, I hear they are already refusing to do. They have learnt how easily even a powerful Government can be upset, and the lesson is not likely to be forgotten, for want of repetition to their own weak one. Already the Transvaal Government hardly knows which way to turn for funds, and is, perhaps fortunately for itself, quite unable to borrow, through want of credit. As regards the native question, I agree with Mr. H. Shepstone, who, in his Report on this subject, says that he does not believe that the natives will inaugurate any action against the Boers, so long as the latter do not try to collect taxes, or otherwise interfere with them. But if the Boer Government is to continue to exist, it will be bound to raise taxes from the natives, since it cannot collect much from its white subjects. The first general attempt of the sort will be the signal for active resistance on the part of the natives, whom, if they act without concert, the Boers will be able to crush in detail, though with considerable loss. If, on the other hand, they should have happened, during the last few years, to have learnt the advantages of combination, as is quite possible, perhaps they will crush the Boers. The only thing that is at present certain about the matter is that there will be bloodshed, and that before long. For instance, the Montsoia difficulty in the Keate Award has in it the possibilities of a serious war, and there are plenty such difficulties ready to spring into life within and without the Transvaal. In all human probability it will take but a small lapse of time for the Transvaal to find itself in the identical position from which we relieved it by the Annexation. What course events will then take it is impossible to say. It may be found desirable to re-annex the country, though, in my opinion, that would be, after all that has passed, an unfortunate step; its inhabitants may be cut up piecemeal by a combined movement of native tribes, as they would have been, had they not been rescued by the English Government in 1877, or it is possible that the Orange Free State may consent to take the Transvaal under its wing: who can say? There is only one thing that our recently abandoned possession can count on for certain, and that is trouble, both from its white subjects, and the natives, who hate the Boers with a bitter and a well-earned hatred. The whole question, can,
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