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Charter Colonies

Three ships arrived in Virginia in 1607 and established one of the oldest European settlements of the continent—Jamestown. At first, Virginia was a charter colony—the name given to the British-run colonies in the Early Modern period (1500-1800).  In addition to Virginia, Rhode Island, Connecticut, and Massachusetts Bay were also charter colonies. 

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Charter Colonies

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Three ships arrived in Virginia in 1607 and established one of the oldest European settlements of the continent—Jamestown. At first, Virginia was a charter colony—the name given to the British-run colonies in the Early Modern period (1500-1800). In addition to Virginia, Rhode Island, Connecticut, and Massachusetts Bay were also charter colonies.

The Early Modern period in Europe started after the Middle Ages and ended before the Industrial Revolution.

With time, Britain converted the majority of its North American settlements to royal colonies to exert greater political control. Yet ultimately, its monarchs failed, and Americans declared independence.Charter Colonies, Fig. 1 - Thirteen Colonies in 1774, Mcconnell Map Co, and James McConnell. McConnell's Historical maps of the United States. [Chicago, Ill.: McConnell Map Co, 1919] Map. https://www.loc.gov/item/2009581130/, StudySmarter.

Fig. 1 - Thirteen Colonies in 1774, Mcconnell Map Co, and James McConnell

Charter Colony: Definition

Charter colonies used a royal charter (an agreement) rather than the direct rule of the British monarchy. There were two types of charter colonies:

Charter Colony TypeDescription
Autonomous charter colonyCharter colonies that retained relative autonomy through a royal charter:
  • Rhode Island
  • Connecticut

These colonies remained charter colonies until the Thirteen colonies gained independence.

Charter colonies controlled by corporations Charter colonies ruled by a corporation:
  • Massachusetts Bay
  • Virginia

These colonies later became royal (crown) colonies along with the majority of the Thirteen Colonies.

Autonomy: self-government, especially in local or regional matters, or independence.

Allowing corporations to manage colonial settlements was an important tool of British expansion. The monarchy intended for corporations to act as an extension of the state and to advance British business interests. However, the period of corporate rule did not last long.

These businesses gained a certain degree of independence, as was the case with both the Virginia Company and the Massachusetts Bay Company.

Therefore, the British monarchy transformed its corporate-charter settlements into royal colonies (crown colonies) to control them.

Differences Between Proprietary Colony and Charter Colonies

The charter colonies are also sometimes called “corporate colonies” because some charters were granted to corporations (joint-stock companies). The charter colonies were one of the four administrative types controlled by Britain in North America.

The other colony types were:

  • proprietary,
  • trustee,
  • and royal (crown) colonies.

The North American colonies were also divided geographically: New England Colonies, the Middle Colonies, and the Southern Colonies.

Colony TypeDescription
ProprietaryIndividuals controlled proprietary colonies, such as Maryland, through the power of a royal charter given to them.
Charter (corporate)Joint-stock companies were usually in charge of charter (corporate) colonies, for instance, Virginia.
TrusteeA group of trustees controlled a trustee colony, as was initially the case with Georgia.
Royal (crown)The British crown directly controlled the royal colonies. By the time of the American Revolution, Britain converted most of the Thirteen Colonies to this type.

Charter Colony: Examples

Each charter colony represents a unique case study.

List of Charter Colonies

  • Massachusetts Bay
  • Virginia
  • Rhode Island
  • Connecticut

Virginia and the Virginia Company of London

King James I issued a royal charter to the Virginia Company of London (1606-1624). The British state allowed the company to expand into North America between latitudes 34° and 41° N. Upon establishing Jamestown (1607), the initial years of the settlement were tough.

At first, the local Powhatan tribe aided the settlers with supplies. Over time, however, the European settlement expanded onto the tribe’s lands, and this relationship deteriorated. In 1609, the colony used a new charter, and by 1619 it established the General Assembly and other local governing structures.

One of the Company’s key exports was tobacco, which was initially sourced in the British-run part of the Caribbean.

Ultimately, the Virginia Company was dissolved because:

  1. The British King disliked tobacco as much as he did the establishment of local colonial rule in Virginia.
  2. Another catalyst for the Company’s demise was the 1622 Massacre at the hands of the Indigenous people.

As a result, the King converted Virginia into a royal colony in 1624.

Charter Colonies, Fig. 2 - Banner of Arms of the Virginia Company. Source: Wikipedia Commons (Creative Commons Attribution-Share Alike 4.0 International), StudySmarter.

Fig. 2 - Banner of Arms of the Virginia Company

Massachusetts Bay Colony and the Massachusetts Bay Company

In the case of the Massachusetts Bay Colony, it was King Charles I that granted a royal corporate charter to the Massachusetts Bay Company similar to that of Virginia. The Company was allowed to colonize the land located between the Merrimack and Charles Rivers. The Company, however, established a local government that was somewhat independent of Britain by granting the charter to Massachusetts. This decision paved the way for other attempts to gain autonomy, such as the resistance to the British Navigation Acts.

Navigation Acts were a series of regulations issued by Britain in the 17th-18th centuries to protect its trade by limiting it to its colonies and by issuing taxes (tariffs) on foreign goods.

The Puritan settlers founded several cities including Boston, Dorchester, and Watertown. By the middle of the 17th century, more than 20,000 settlers populated this area. In light of the Puritans' strict religious beliefs, they also formed a theocratic government and only included the members of their Church.

Theocracy is a form of government subordinate to religious views or religious authority.

The colony’s economy relied on a variety of industries:

  • fishing,
  • forestry, and
  • shipbuilding.

The British protectionist Navigation Act of 1651 damaged the colony’s international trading relationship with other European powers and forced some merchants into smuggling. As a result, Britain’s trade regulations left the residents in the colonies discontent. Eventually, Britain responded by exerting greater control over its colony:

  1. First, the British crown repealed its charter from the Massachusetts Bay Company in 1684.
  2. Then Britain converted it to a royal colony in 1691-1692.

Maine and the Plymouth Colony joined Massachusetts Bay as part of this conversion.

Charter Colonies, Fig. 3 - The Seal of the Massachusetts Bay Colony. Source: Wikipedia Commons (Creative Commons Attribution-Share Alike 4.0 International)., StudySmarter.

Fig. 3 - The Seal of the Massachusetts Bay Colony

Rhode Island

A number of religious refugees from the Puritan-run Massachusetts Bay Colony led by Roger Williams founded the colony of Rhode Island at Providence in 1636. In 1663, the Rhode Island colony received a royal charter from British King Charles II. The charter documented the freedom of worship and allowed for a significant degree of autonomy as compared to other colonies.

Rhode Island relied on a number of industries including fishing, whereas Newport and Providence served as busy port towns with maritime trade.

This exceptional level of self-rule gradually alienated Rhode Island from its mother country. In 1769, the residents of Rhode Island burned a British revenue ship in order to display their growing dissatisfaction with British rule. They were also the first to declare independence from Britain in May of 1776.

Connecticut

A number of Puritans, including John Davenport and Theophilus Eaton, founded Connecticut in 1638. Eventually, British King Charles II also granted a royal charter to Connecticut via John Winthrop Jr. a year prior to Rhode Island. The charter unified Connecticut with the New Haven Colony. Like Rhode Island, Connecticut also enjoyed a degree of autonomy although it was still subject to the laws of Britain.

Colonial Government: Hierarchy

Up until the American Revolution, the ultimate authority for all Thirteen Colonies was the British crown. The specific relationship with the crown depended on the type of colony.

In the case of the charter colonies run by corporations, it was corporations that were the intermediaries between the settlers and the king.

Charter Colonies: Administration

The administration of charter colonies often included:

  • a governor with executive power;
  • a group of legislators.

It is important to remember that only property-owning men of European descent were allowed to participate in elections at this time.

Some historians believe that the administrative hierarchy between each colony and the British crown was vague despite the fact that before the American Revolution most settlements became royal colonies.

Some of the bodies in Britain responsible for colonial management included:

  • Secretary of State for the Southern Department (Secretary of State for Colonial Affairs after 1768);
  • Privy Council;
  • Board of Trade.

Charter Colonies, Fig. 4 - King George III, the last British monarch to rule over the Thirteen Colonies, by Allan Ramsay, ca. 1765. Source: Wikipedia Commons (public domain), StudySmarter.

Fig. 4 - King George III, the last British monarch to rule over the Thirteen Colonies

The Establishment of American Independence

Despite the differences between the Thirteen Colonies, what eventually united them was the growing discontent with being controlled by Britain.

  • One essential reason for dissatisfaction was a series of British regulations such as the Navigation Acts. These Acts protected British trade at the expense of the American colonies. For example, these regulations only allowed for the use of British ships and applied tariffs (taxes) to foreign goods within the framework of Early Modern mercantilism.

Mercantilism was the dominant economic system in Europe and its colonies abroad in the Early Modern period (1500-1800). This system introduced protectionist measures, such as taxes (tariffs), on foreign goods. Protectionism is an economic system that protects the domestic economy. This approach minimized imports and maximized exports. Mercantilism also used the colonies as the source of raw materials for producing usable goods for export to other places. The mercantilist system was part of European imperialism.

A similar regulation, the Molasses Act of 1733, taxed imported molasses from the French colonies in the West Indies and harmed the New England rum production. Britain also introduced the Stamp Act of 1765 to raise revenue and cover war debts by taxing a variety of paper products in the colonies. As time went on, Britain’s enforcement of these regulations became more stringent. Tariffs on foreign goods and direct taxation led to the growing discontent in the American colonies over taxation without representation in the British Parliament. Many people in the American colonies also had few or no ties to Britain. These factors eventually led to the American Revolution of 1776.

“Taxation without representation” is a statement that displays the grievances of the American colonists toward Britain. Britain imposed direct taxes on its American colonies in the mid-18th century while denying them the right of representation in Parliament.

Charter Colonies - Key Takeaways

  • Britain relied on different administrative types to govern its North American colonies: proprietary, charter, royal, and trustee variants.

  • There were two types of charter colonies: those that belonged to a corporation (Virginia and Massachusetts Bay) and those that were relatively self-governing (Rhode Island and Connecticut).
  • As time went on, Britain converted most of the Thirteen Colonies to the royal type to control them directly. Yet this move did not prevent the American Revolution.

References

  1. Fig. 1 - Thirteen Colonies in 1774, Mcconnell Map Co, and James McConnell. McConnell's Historical maps of the United States. [Chicago, Ill.: McConnell Map Co, 1919] Map. (https://www.loc.gov/item/2009581130/) digitized by the Library of Congress Geography and Map Division), published before 1922 U.S. copyright protection.
  2. Fig. 2 - Banner of Arms of the Virginia Company (https://commons.wikimedia.org/wiki/File:Banner_of_the_Virginia_Company.svg), licensed by the Creative Commons Attribution-Share Alike 4.0 International (https://creativecommons.org/licenses/by-sa/4.0/deed.en).
  3. Fig. 3 - The Seal of the Massachusetts Bay Colony (https://commons.wikimedia.org/wiki/File:Seal_of_the_Massachusetts_Bay_Colony.svg), by Viiticus (https://commons.wikimedia.org/wiki/User:Viiticus), licensed by the Creative Commons Attribution-Share Alike 4.0 International (https://creativecommons.org/licenses/by-sa/4.0/deed.en).

Frequently Asked Questions about Charter Colonies

Charter colonies were governed through a royal charter given to corporations (joint-stock companies). In contrast, the king gave proprietary colonies to individuals or groups.

Virginia, Rhode Island, Connecticut, and Massachusetts Bay were charter colonies.

The royal charter given to the Virginia Company of London (1606-1624).

There were charter, proprietary, and royal colonies. Georgia was briefly a trustee colony (the fourth type) in the beginning.

Charter colonies were governed by the corporations given to them by the British crown. In the beginning, they were able to have a certain degree of self-government.

Test your knowledge with multiple choice flashcards

When was the Virginia Company established?

Which British monarch granted the royal charter to the Virginia Company?

Which American colony was the first to renounce its allegiance to the British monarchy in 1776?

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