Christians attacked Jewish settlements in retaliation. Despite Pope Innocent IVs protests about the ridiculousness of these allegations, the image of a murderous Jew out to hurt Christians developed in the public mind.These charges were repeated in Gloucester (in 1168), Bury St.Edmunds (1181), Bristol (before 1183) and Winchester (1192). The Jews were taxed at a much higher rate than the rest of England to finance this Crusade.Even though Jews comprised less that 0.25% of the English population, they provided 8% of the total income of the royal treasury.
Therefore, Christians were forbidden to work as moneylenders and Jews were called to that occupation and were able to set high interest rates.
Serving as special representatives of the king, these Jews worked as moneylenders and coin dealers.
Over the course of a generation, Jews established communities in London, York, Bristol, Canterbury and other major cities.
The situation worsened in July 1189 when King Henry II, a protector of the Jews, died.
Richard I was crowned his heir and he refused to grant Jewish representative admission to Westminster Abbey, when they came to offer him gifts.