George Goschen, 1st Viscount Goschen

Vanity Fair caricature of Goschen: "The Theory of Foreign Exchanges" George Joachim Goschen, 1st Viscount Goschen (10 August 1831 – 7 February 1907), was a British statesman and businessman best remembered for being "forgotten" by Lord Randolph Churchill. He was initially a Liberal, then a Liberal Unionist before joining the Conservative Party in 1893.

While Chancellor of the Exchequer, in 1888, he introduced the Goschen formula to allocate funding for Scotland and Ireland.

Background, education and business career He was born in London, the son of Wilhelm Heinrich (William Henry) Goschen, who emigrated from Leipzig. His grandfather was the prominent German printer Georg Joachim Göschen. He was educated at Rugby under Tait, and at Oriel College, Oxford, where he took a first in Literae Humaniores and served as President of the Oxford Union. He entered his father's firm of "Frühling & Göschen", of Austin Friars, in 1853, and three years later became a director of the Bank of England. From 1874 to 1880, Goschen was Governor (Company chairman) of the Hudson's Bay Company, North America's oldest company (established by English royal charter in 1670).

Political career, 1863–1885 In 1863 he was returned without opposition as one of the four MPs for the City of London in the Liberal interest, and he was reelected in 1865. In November of the same year he was appointed Vice-President of the Board of Trade and Paymaster General, and in January 1866 he was made Chancellor of the Duchy of Lancaster, with a seat in the cabinet. When Gladstone became prime minister in December 1868, Goschen joined the cabinet as President of the Poor Law Board, until March 1871, when he succeeded Childers as First Lord of the Admiralty. In the 1874 general election he was the only Liberal returned for the City of London, and by a narrow majority. Being sent to Cairo in 1876 as delegate for the British holders of Egyptian bonds in 1876, He also introduced the first UK road tax, implemented in the form of two vehicle duties, on locomotives and carts.

According to Roy Jenkins, a former Chancellor of the Exchequer, "Whether Goschen was a good Chancellor is more problematical. His main and real achievement was the conversion in 1888 of the core of the national debt from a 3 percent to a 2.75 percent and ultimately 2.5 percent basis. For the rest he was a stolid and uninnovating Chancellor." Professor Thomas Skinner wrote, "Yet there remains a feeling that he failed to accomplish much of what needed to be done".

The University of Aberdeen again conferred upon him the honour of the rectorship in 1888, he received an honorary LL.D from the University of Cambridge in the same year, and he received a similar honour from the University of Edinburgh in 1890.

Following the defeat of Salisbury's government in 1892, Goschen moved into opposition. Though he had been a leading Liberal Unionist as Chancellor of the Exchequer, Goschen did not stand against Joseph Chamberlain for the leadership of the party in the House of Commons 1892, following the departure of Hartington to the House of Lords as the Duke of Devonshire. Unable to work with Chamberlain, Goschen left the Liberal Unionists and joined the Conservatives in 1893. One obvious sign of his change of allegiance within the Unionist alliance was when he joined the exclusively Conservative Carlton Club in the same year.

Political career, 1895–1907 Caricature from Punch, 13 August 1881: "This is a Joke-'im Goschen Picture of a Wise Man from the East, at present ascertaining which way the wind blows" From 1895 to 1900 Goschen was First Lord of the Admiralty. He retired in 1900 and was raised to the peerage as Viscount Goschen of Hawkhurst, Kent. Though retired from active politics he continued to take a great interest in public affairs, and when Chamberlain started his tariff reform movement in 1903, Lord Goschen was one of the weightiest champions of free trade on the Unionist side.

Other public positions In educational subjects Goschen had always taken the greatest interest, his best known, but by no means his only, contribution to popular culture being his participation in the University Extension Movement. His first efforts in parliament were devoted to advocating the abolition of religious tests and the admission of Dissenters to the universities. His published works indicate how ably he combined the wise study of economics with a practical instinct for business-like progress, without neglecting the more ideal aspects of human life. In addition to his well-known work on The Theory of Foreign Exchanges, he published several financial and political pamphlets and addresses on educational and social subjects, among them being,The Cultivation of the Imagination, Liverpool, 1877, and that on Intellectual Interest, Aberdeen, 1888. He was President of the Royal Statistical Society, 1886–88.

He also wrote a biography of his grandfather, The Life and Times of George Joachim Goschen, publisher and printer of Leipzig (1903). This culminated a long-standing project to refute allegations of Jewish ancestry, However, it did not prevent his family from being erroneously classed as of Jewish origin in the German genealogical work known as The Semi Gotha, first published 1913.

Private life Goschen died on 7 February 1907. He had married, in 1857, Lucy, the daughter of John Dalley, and had 6 children. He was succeeded by his eldest son George (1866–1952), who was also a Conservative politician, served as Governor of Madras and married the daughter of Lord Cranbrook. His youngest son was William Henry Goschen KBE (1870-1943).

Cultural references Goschen appears as a minor character in the historical-mystery novel Stone's Fall, by Iain Pears. He is referenced in the poem Away from It All by New Zealand poet A. R. D. Fairburn: I want to leave behind me all rancid emotion. I want to be alone. I want to forget Goschen.