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The North German Confederation.
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Of course Germany did not at once settle down to political rest; there were many difficulties to be overcome on which we cannot enter here. The most serious arose from the regulation of the affairs in the conquered provinces, and especially in the Kingdom of Hanover. The annexation to Prussia was very unpopular among all classes except the tradesmen and middle classes of the towns. The Hanoverian deputies to both the Prussian Parliament and the Parliament of the North German Confederation on principle opposed all measures of the Government. The King himself, though in exile, kept up a close connection with his former subjects. There were long negotiations regarding his private property. At last it was agreed that this should be paid over to him. The King, however, used the money for organising a Legion to be used when the time came against Prussia; it was therefore necessary to cease paying him funds which could be used for this purpose. This is the origin of the notorious Welfenfond. The money was to be appropriated for secret service and especially for purposes of the Press. The party of the Guelphs, of course, maintained a bitter feud against the Government in their papers. Bismarck, who had had ample experience of this kind of warfare, met them on their own ground.

He defended this proposal by drawing attention to one of the weaknesses of Germany. What other country, he asked, was there where a defeated party would look forward to the help of foreign armies? "There are unfortunately," he said, "many Coriolani in Germany, only the Volsci are wanting; if