During the Tudor period, from 1485 until 1603, English foreign policy
changed several times. But by the end of the period England had established
some basic principles. Henry VII had been careful to remain friendly with
neighbouring countries. His son, Henry VIII, had been more ambitious, hoping to
play an important part in European politics. He was unsuccessful. Mary allied
England to Spain by her marriage. This was not only unpopular but was
politically unwise: England had nothing to gain from being allied to a more
powerful country. Elizabeth and her advisers considered trade the most
important foreign policy matter, as Henry VII had done. For them whichever
country was England's greatest trade rival was also its greatest enemy. This
idea remained the basis of England's foreign policy until the nineteenth
century.
Elizabeth's grandfather, Henry VII, had recognised the importance of
trade and had built a large fleet of merchant ships. His son, Henry VIII, had
spent money on warships and guns, making English guns the best in Europe.