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E. G. PRYOR
Besides their wider trading interests, the British in Canton had established a thriving trade in opium brought from India. The Chinese government regarded this trade with considerable concern, on the grounds that it was harmful to human welfare and also a serious drain on the country's finances. Early attempts by the Chinese government to stop the opium trade failed but in 1839 a Special Imperial Commissioner was appointed who forced the British traders in Canton to relinquish their supplies of the narcotic. The British Superintendent of Trade, Captain Elliot, consequently withdrew the English merchants to Macau and later transferred them onto ships anchored in Hong Kong harbour; subsequent events led to open hostilities between Chinese and British forces.
It was decided by Lord Palmerston, the British Foreign Secretary, that a satisfactory settlement of the dispute would require either a commercial treaty with adequate guarantees to protect the interests of British merchants or the cession of one or more off-shore islands from which the traders could operate without restriction. A British expedition was despatched to China in 1840 to back up these demands and in January 1841 negotiations were held in Canton between Captain Elliot and Keshen, a Manchu Commissioner, whereby it was agreed by the Convention of Chuenpi that Hong Kong Island was to be ceded to the British (Figure 1).* A British naval force took possession of the island on 26th January 1841,
The Chuenpi terms were accepted by neither side. Elliot was replaced by Sir Henry Pottinger and hostilities were renewed. The war was concluded by the Treaty of Nanking on 29th August 1842 by which the island of Hong Kong was ceded in perpetuity to the Crown and four additional ports besides Canton were opened to British traders. The island was formally declared a British Colony on 26th June 1843 and Sir Henry Pottinger was appointed the first Governor. Hong Kong was declared a free port and by the Supplementary Treaty of the Bogue the Chinese were given free access to the island for trading purposes.
The Housing Problem Takes Root: 1841-1881
Almost from the day Captain Elliot raised the British flag on the northern shores of Hong Kong Island, a steady stream of artisans and labourers made their way to the Colony from the southern provinces.
*Figures 1-8 will be found at the rear of the text.