The Spanish Bourbon Dynasty: Reforms and Foreign Policy

The Reign of Philip V

After the War of Succession, Spain became a secondary power in Europe. In domestic policy, the change of dynasty meant greater centralization and the implementation of an ambitious reform policy.

The Reign of Felipe V

a) A New Concept of State: Absolute Centrality

The arrival of a new dynasty brought important changes to the structure of the state. Centralizing measures were implemented, with the plan to create a better state. These changes were initiated during the reign of Felipe V. In this regard, important steps were taken: Nueva Planta decrees and administrative reform.

b) The Nueva Planta Decrees

The Nueva Planta decrees are a series of decrees which consisted of the abolition of the privileges and institutions of the Crown of Aragon.

c) Administrative Reform

Felipe V introduced the French formula of absolutism in Spain, where all the powers of the state reside in the king. The consolidation of this arrangement involved the need to unify and centralize political power.

Government and Central Administration

For the king, who held absolute power, all those in political office were merely his representatives. Power had to be organized as follows:

  • The Councils of the Habsburgs were replaced by Secretaries of State.
  • The Courts of Castile became the General Courts of the kingdom, but lost significance.
  • The Secretaries of State are a precursor to ministers.
Territorial Administration
  1. The Bourbons attempted to organize the territory evenly.
  2. The head of each province was appointed a Captain General.
  3. The Royal Audience was also introduced.
  4. The institution of fixed castellanos was spread.
  5. Most of the reforms consisted of extending Castilian institutions to the rest of the state.

d) Economic Policy

In the economic field, Colbertist mercantilism was applied, modeled on the French system.

  • Development: a desire to encourage all economic activities.
  • Intervention: active state involvement in the economy.

e) Military Policy

f) Religious and Cultural Policy

As far as religious policy is concerned, the Bourbons displayed strongly royalist positions. With the Bourbons, a significant innovation was introduced in the cultural field through the creation of the Royal Academies.

Enlightened Despotism: Fernando VI and Carlos III

a) The Concept of Enlightened Despotism

The European monarchs of the 18th century, with the exception of British constitutional monarchs, remained absolutist. Social changes and economic reforms were introduced:

  • They reinforced their authority with the church.
  • Strengthened the military power.
  • Stimulated economic development.
  • Promoted culture and education.

b) The Reign of Fernando VI

When he came to the throne, Spain was embroiled in the War of Austrian Succession. Peace was established, and the king pursued a policy of neutrality and peace abroad to enable a set of internal reforms. The new protagonists of these reforms were the Marques de la Ensenada and José de Carvajal y Lancaster.

Ensenada’s Projects

Ensenada raised the state’s participation in the modernization of the country and secretly planned the Great Raid in order to arrest all Gypsies from the kingdom. Among his projects were:

  • The new model of finances.
  • The creation of the Banco de San Carlos in 1752, a bank for transfers to encourage public and private funds outside Spain.
  • The momentum of American commerce, which sought to end the monopoly of the Indies and eliminate the injustices of the colonial trade.
  • The modernization of the navy.
  • Relations with the church were improving.
  • Cultural flourishing with the establishment during his reign of the Real Academia de Bellas Artes de San Fernando in 1752.

c) The Reign of Carlos III

After the death of Louis I and Ferdinand VI without heirs, the throne passed to Charles III, who had extensive experience in government. In domestic policy, he attempted to modernize society using the absolute power of the monarch under an enlightened program. He made significant changes with the help of ministers and staff. During this reign, there are two periods:

  1. The Esquilache reforms.
  2. The Spanish Enlightenment.

d) The Reign of Carlos IV: The Crisis of Despotism

Bourbon reformism went into crisis a few months after Carlos IV came to the throne. The term of enlightened reformism in Spain ended almost as quickly as it began due to the French Revolution, which made this period much more conservative. In domestic policy, the Count of Floridablanca attempted to close the borders. Enlightened ministers were replaced by Godoy and his wife.

Foreign Policy and the Impact of the French Revolution

The Foreign Policy of the Bourbons

The main lines of Spanish foreign policy stemmed from the difficult situation created following the Treaty of Utrecht. The system of European political balance established in the treaty failed from the outset with a series of wars. These wars were the result of a dual foreign policy rivalry. Philip V’s rivalry led to the recovery of the Italian territories. With Fernando VI, the Spanish government adopted a foreign policy of neutrality. Carlos III returned to the alliance with France and signed the Third Family Compact and Spain’s participation in the Seven Years’ War.

The Government of Carlos IV and the Impact of the French Revolution

The foreign policy of Charles IV was marked by the French Revolution and led to the tragic War of Independence against Napoleon.