The Seven years
war, which was waged by England against France mainly in the interests of the American colonies, imposed upon England
a heavy financial burden. So Prime Minister Greenville decided that the
colonies should contribute something towards cost of their own defense. Hence in 1765 he
passed the stamp act which required that all legal documents and formal acts in
America
should be written on stamped paper. The revenue arising from the duty on stamps
was to be used for supporting a military establishment for the defense of the
colonies. This attempt at levying an inland revenue produced widespread
discontent for the colonists maintained that England could not legally tax them
as they were not represented in the British parliament. The Rockingham Ministry
repealed the stamp Act but passed a Declaratory Act maintaining England
right to make laws binding upon the colonies. Townsend further irritates the
colonies by imposing new taxes on tea glass colors etc.