Liverpool’s transformation from a small marooning fishing village into one of the British Empire's most prosperous cities during the 18th and 19th centuries was underpinned by its involvement in colonial exploitation. While much has been written about the city’s ties to the transatlantic slave trade, its economic success was also intricately connected to the British Empire's activities in India. The extraction of wealth, resources, and human labor from the Indian subcontinent played a crucial role in Liverpool's rise to global prominence.

At the heart of this prosperity was a merciless colonial system that siphoned resources from India - whether it was raw materials like cotton, the destruction of indigenous industries, or the forced imposition of British goods onto Indian markets. A closer examination of Liverpool's colonial legacy reveals the extent to which the riches of India were funneled through the city, fueling its growth and making key individuals immensely wealthy.

Timeline of Key Events

17th Century: Foundations of Liverpool’s Wealth

• 1596: Liverpool was formally recognized as a port under Queen Elizabeth I. Its location at the mouth of the River Mersey would soon prove invaluable as the empire's trade routes expanded.

• 1600: The formation of the British East India Company (EIC) marked the beginning of Britain's direct involvement in Indian trade. The profits from this trade would flow into Liverpool's docks in later years.

18th Century: The Rise of Colonial Trade

• 1700s: While Liverpool's early wealth was built on the Atlantic slave trade, this century also saw the city establishing early trade links with India. As the East India Company gained control over parts of India, the city’s merchants began to see the subcontinent as a source of great wealth.

• 1757: The Battle of Plassey, a watershed moment for British dominance in India, allowed Robert Clive and the East India Company to establish control over Bengal—a province abundant in textiles, rice, and opium. Bengal’s wealth became integral to Britain’s economy, directly enriching Liverpool’s merchants.

• 1765: The East India Company secured the right to collect taxes (diwani) in Bengal, Bihar, and Orissa, funneling revenue back into Britain and boosting Liverpool’s prosperity through increased trade in Indian goods.

19th Century: Liverpool’s Boom and India’s Decline

• 1813: The Charter Act ended the East India Company’s monopoly, opening India to private British merchants. Liverpool’s thriving merchant class expanded its direct trade with India, especially in cotton and textiles.

• 1839-1850: William Brown, a Liverpool merchant whose wealth was deeply intertwined with colonial trade, became one of the city's most prominent figures. His legacy is still visible in the city today through landmarks like the William Brown Library.

• 1849: The infamous Kohinoor Diamond, a symbol of British plunder in India, was taken from Maharaja Duleep Singh and presented to Queen Victoria. This event highlighted the broader exploitation of India’s wealth for British—and Liverpool’s—gain.

• 1857-1858: The Indian Rebellion, also known as the First War of Independence, led to the dissolution of the East India Company and brought India under direct British rule. This transition tightened Britain’s control over India’s resources, further benefiting Liverpool’s merchants and industrialists.

The Textile Trade and its Impact on India

One of the most significant links between Liverpool and India was through the textile trade. Before British colonization, India was a global leader in textile production, known for its fine fabrics and skilled craftsmanship. However, under British rule, India’s textile industry was systematically dismantled. Indian raw cotton was exported to Liverpool, where it fed the rapidly expanding factories. The city’s booming textile mills thrived on this cheap supply of cotton, while Indian weavers were driven into poverty by unfair trade policies that favored British goods.

Prominent figures like John Gladstone, a wealthy Liverpool merchant, and father of Prime Minister William Gladstone, were key beneficiaries of this trade. Gladstone’s investments in both shipping and colonial plantations allowed him to amass a fortune that, in turn, financed much of Liverpool’s development.

The Opium Trade: A Dark Legacy

Another dark chapter in Liverpool’s colonial history was its involvement in the opium trade. The British East India Company cultivated vast quantities of opium in Bengal, which were then exported to China. This trade had devastating consequences for the Chinese population but was immensely profitable for British merchants.

Liverpool played a central role in this trade, with its ships carrying opium from India to China. Wealthy traders like James Matheson and William Jardine, who later founded Jardine Matheson, a powerful trading company, built their fortunes on this illicit trade. Their ties to Liverpool’s shipping industry underscore the city’s complicity in the human suffering caused by the opium trade.

20th Century: Decline of the British Empire and Liverpool’s Transformation

• 1900-1947: As India’s independence movement gained momentum under the leadership of figures like Mahatma Gandhi and Jawaharlal Nehru, Liverpool’s trade links with the subcontinent began to loosen. India’s struggle for freedom was, in part, a revolt against the economic exploitation that had enriched cities like Liverpool.

• 1947: India finally achieved independence, marking the end of British colonial rule. For Liverpool, this also signaled the decline of its imperial wealth as global trade patterns shifted.

Key Figures in Liverpool’s Exploitation of India

• Robert Clive (1725–1774): Clive of India played a pivotal role in establishing British dominance over Bengal, laying the groundwork for Britain’s—and Liverpool’s—exploitation of Indian resources.

• John Gladstone (1764–1851): A prominent Liverpool merchant involved in the East India trade, Gladstone's vast fortune was built on colonial commerce, including dealings with India.

• William Brown (1784–1864): One of Liverpool’s wealthiest merchants, Brown’s fortune came from international trade, including Indian cotton, and his name still graces many public institutions in Liverpool.

• James Matheson (1796–1878) and William Jardine (1784–1843): Both played major roles in the opium trade and had strong connections to Liverpool’s shipping industry, profiting enormously from India’s role in the British Empire.

Colonial Wealth and Modern Legacy

The wealth that Liverpool accumulated during its colonial heyday is still visible in the city’s grand architecture. Buildings like the Royal Liver Building, the Port of Liverpool Building, and the India Buildings are monuments to a period of great wealth - wealth that was built on the exploitation of India and other colonies.

Today, there is increasing public awareness of the need to address this uncomfortable legacy. While Liverpool’s history is often celebrated for its cultural and industrial achievements, its rise to prominence is inseparable from the colonial exploitation that fueled its growth.

Liverpool’s status as one of Britain’s leading cities was built, in large part, on the systematic exploitation of India’s wealth. From the forced cultivation of cotton to the opium trade, the city's prosperity came at the direct expense of India’s economy and its people. Figures like Robert Clive and John Gladstone stand as symbols of the close ties between Liverpool’s wealth and Britain’s colonial ambitions in India.

As Liverpool’s skyline continues to bear the marks of its imperial past, we must reflect on the broader consequences of colonialism. Only by acknowledging this shared history can we begin to understand the full impact of Britain’s - and Liverpool’s - colonial legacy.