Ellice’s father, a partner in the Schenectady, New York firm of Phyn, Ellice & Co., was a loyalist of Aberdeenshire origin who emigrated to Montreal in 1774 and to London in 1779. He then headed the London branch of his firm, Phyn, Ellice and Inglis of 27 Mark Lane, which traded to America and the West Indies, being chiefly involved in the Canadian fur trade. Edward, rather than his eldest brother William, became his father’s business heir, obtaining the American and Canadian assets on his death in 1805. By then he had spent two years in Canada, entrusted with such ambitious projects as buying out the Hudson’s Bay Company, in which he did not succeed (1803), and promoting a union of the XY and North West companies, in which he did (1804). After his father’s death he returned to London and successfully carried on the business, with John Inglis as principal partner.
Ellice did not at once become, as Lord Byron prognosticated, ‘a bitter politician’. In 1812 he declined an offer to contest Grimsby in succession to his brother. He was at that time commercially vulnerable.
Ellice partnered Peter Moore at Coventry, where they succeeded, at his expense of over £5,000. He signed the requisition to Tierney to lead the Whig opposition in the House. Before Parliament met, he got into a scrape by his strenuous support of John Cam Hobhouse as candidate in the Westminster by-election. He thought Hobhouse ill-treated by the Whigs and complained of it to Grey, 11 Dec. 1818, describing his friend as ‘as good a Whig as I am’. Hobhouse admitted, however, that Ellice overstated his case in his wish to do good and Ellice subsequently admitted his mistake. He had acted out of zeal for a popular front against ministers at the opening of the new Parliament.
Ellice’s role as a steady attender on the opposition benches in his first Parliament was predetermined by his known hostility to ‘the present abominable system of finance’. In his maiden speech, 3 Feb. 1819, he expressed his hopes that the proposed committee on the Bank would help to counteract this. On 8 Feb. he characterized government’s financial policy as follows: ‘to borrow one day for the purpose of raising the price of the public funds, and to issue paper merely for the purpose of producing a temporary prosperity’. Even so, he pointed out, his constituents employed in manufacture could earn no more than 6 shillings a week. His debut was ‘very much praised and seems to have had great effect’, but he admitted that he was ‘not very distinct’ and therefore ill-reported.
On 24 June 1819 Ellice’s Canadian interests brought him to his feet in the House, as they were often to do subsequently. He derived about £2,000 p.a. from his 280,000 acres in Beauharnois at that time. Seconding Sir James Montgomery’s motion on the hostility met with by Lord Selkirk in the colonization of the Red River settlement, he justified the North West Company’s animosity against Selkirk, who had mixed trading with colonizing activities. (He had produced a pamphlet on this anonymously in 1817.)
At this time Ellice’s relations with Earl Grey were strained to the point of ‘proscription’, as Mrs Ellice honestly admitted: he himself was reluctant to say so.
Ellice was out of humour with Coventry elections in 1820,
