The Liverpool Economy during the War of American Independence, 1775–83

Much has been written about how the American War of Independence, a key imperial event, affected the British Isles. However, within this body of work there is limited reference to Liverpool, which was arguably becoming ‘the second city of empire’. This article attempts to fill this gap in the historiography, and addresses the economic impact of the war upon this key port town. It shows that there were four overall stages to Liverpool’s foreign commerce during this period—initially trade remained broadly steady, then there was a noticeable decline, the penultimate stage marked a sluggish improvement, and finally it was not until the post-war years that a sustained recovery took hold. That said, despite these overall trends, individual markets such as the trans-Atlantic slave trade often had their own dynamics. Although privateers (private ships of war) contributed towards the town’s eventual commercial recovery, this activity was by no means the only factor in explaining this rebound. Furthermore, the American war had an impact upon other sectors of the Liverpudlian economy, including shipbuilding and infrastructure projects. Combined, this evidence suggests that eighteenth-century warfare had positive and negative repercussions for the UK economy. As a result, we learn more about being ‘at home with the empire’.     

The ‘Pacific-First’ Alternative in American World War II Strategy

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