Why did Britain establish a colony in New South Wales in 1788?

The reasons for Britain’s establishment of a colony in New South Wales in 1788 are a subject of historical debate, as multiple factors likely influenced the government's decision.12

• Penal Colony: The traditional view is that Britain sought to relieve pressure on its prisons. This need became urgent after the American colonies gained independence in 1776 and ceased accepting transported felons, who had previously been sent there under the Transportation Act of 1717.234
• Strategic Interests: Some historians argue that the settlement served as a bastion for British sea power in the eastern seas, providing a strategic location to protect shipping interests and counter competitors, such as France.153
• Economic Potential: Others suggest the colony was intended as a springboard for regional economic exploitation. This included interest in local resources, such as the timber and flax found on Norfolk Island, which were valuable for naval supplies.253

Ultimately, it is widely accepted that the British government was likely motivated by a combination of these penal, strategic, and economic factors.123