2nd Spanish Armada 1596. Spain and England had been at war for nearly twelve years with neither side gaining the upper hand. The result of the intervention of Philip II in the religious war in France in support of the Catholic League, meant that Spanish forces had established coastal garrisons along the French and Flemish coast by the late 1580s. These bases had a huge strategic value because they allowed England to be threatened by the Spanish fleet and troops. England on the other hand had also intervened in France, but in support of King Henry IV of France, as a result of
2nd Spanish Armada were more concerned with defending the peninsula. The shock of the disaster reverberated into every corner of Philip's dominions, loosening everywhere the frayed bonds of his system and threatened to complete what Essex's successful Cadiz campaign had left undone. After the defeat at Cadiz, bankruptcy had stared the King of Spain in the face and in the aftermath of the Armada, he was forced to suspend payment to creditors. Philip had declared the third major bankruptcy of his reign. The King desperately wanted only a postponement of the Armada not an abandonment and was obliged to borrow more money but