The Financial Footprint of Slavery: Unpacking Britain’s Complicity

Recent research has shed light on a dark chapter in Britain’s financial past, one that is both shocking and unsurprising. For centuries, the Bank of England and other British financial institutions were deeply embedded in the transatlantic slave trade, with many of their directors and founders being significant investors in the enslavement and trafficking of millions of Africans.

One of the most striking aspects of this research is the extent to which the Bank’s early capital was formed from wealth generated by slavery. At least 30 founding subscribers, including the king and queen at the time, held shares in companies involved in the slave trade. The involvement of prominent individuals like John Rudge, a director and governor of the Bank between 1699 and 1740, who also had a financial stake in the Royal African Company and the South Sea Company, highlights the pervasive nature of slavery within Britain’s financial system.

The findings of this research add to the growing body of evidence that has been accumulating over the past few years. In 2020, the Black Lives Matter protests sparked a wave of acknowledgments from high street banks and financial institutions about their historical involvement in slavery. The subsequent research by Dr Nicholas Draper and others has uncovered numerous instances of slave traders who were also founders of private banks and other financial organizations.

However, the Bank of England’s acknowledgment and apology for its past governors’ and directors’ involvement in the slave trade are welcome but insufficient. The fact that the Treasury has not publicly acknowledged culpability or committed to reparations raises questions about the government’s willingness to confront this legacy. As Caribbean and African countries continue to pressure Britain for reparations, it is essential that the British government takes concrete steps towards making amends.

The story of slavery in Britain’s financial system serves as a cautionary tale about the dangers of ignoring or downplaying historical injustices. By acknowledging and confronting these past wrongs, we can begin to heal the wounds of colonialism and build a more equitable future. The Bank of England’s 2022 exhibition, which included the names of enslaved people who were owned by the Bank, was a significant step in this direction.

However, the fact that many of the men, women, and children listed had European names with no information about their country of origin raises questions about the erasure of African identities. This is not just a historical issue but also a contemporary one, as the legacies of slavery continue to shape our world today.

Research by Dr Michael Bennett has shed light on the financial mechanisms that supported the transatlantic slave economy. The involvement of banks and other institutions in providing financial services to the slave trade highlights the complicity of the entire financial system in perpetuating this horror. This is not just a matter of individual guilt but also a collective responsibility, one that requires a fundamental transformation of our economic systems.

The Scott Trust’s 2023 launch of the Cotton Capital series and the Legacies of Enslavement programme, a 10-year restorative justice initiative, aims to address the ongoing legacies of slavery in Britain’s financial system and provide a framework for reparations. The research by Dr Bennett has provided valuable insights into the financial mechanisms that supported the transatlantic slave economy.

The story of slavery in Britain’s financial system serves as a reminder that economic systems are not neutral but rather reflect the values and ideologies of their creators. By acknowledging and confronting these past wrongs, we can begin to heal the wounds of colonialism and build a more equitable future. The British government must take concrete steps towards reparations and acknowledging culpability.

It is time for Britain to confront its history and make amends. As we move forward, it is essential that we keep in mind the human cost of slavery and the ongoing legacies of colonialism. The research by Dr Bennett has shed light on the financial mechanisms that supported the transatlantic slave economy, highlighting the complicity of the entire financial system in perpetuating this horror.

The British government must take concrete steps towards reparations and acknowledging culpability. By doing so, we can begin to heal the wounds of colonialism and build a more equitable future for all.