As a result of the British victory in the French and Indian War, France was effectively expelled from the New World. They relinquished virtually all of their New World possessions including all of Canada. They did manage to retain a few small islands off the coast of Canada and in the Caribbean. They also agreed to stay out of India, which made Great Britain the supreme military power in that part of Asia. In addition, as compensation for Spain’s loss of Florida to England, Spain was awarded the Louisiana Territory. The entire face of North America had been dramatically changed.
Following the war, England issued the Proclamation of 1763. Westward-bound settlers, however, ignored the proclamation and moved into Indian lands.
Because the English had incurred significant debt while fighting the war in and for the colonies, Parliament attempted to recoup the financial loss by issuing the 1765 Stamp Act on the colonists. The Stamp Act was a tax on virtually all printed documents. The tax was ill-received by the colonists, who began a boycott of British goods and even attacked British tax collectors. Parliament repealed the Stamp Act and instead issued the Declaratory Act, which maintained Britain’s right to tax the colonists. These tax issues would become the cause of an even greater conflict 10 years later – The American Revolution.