In 1840 King Robert Charles, established a will which created a council to oversee the affairs of the country in the last years of his reign, and to insure that his heir be advised during a regency, and that the education and support of his family be maintained.

However, in addition to this council, there was also a regency organized within the kingdom itself, consisting of "Prince" Wellington, "Colonel" Johnson and "General" Lowrey, recognized by the British government on 4 May 1843.

The southern expansion met strong resistance from the Republics of Nicaragua and Honduras, as well as the United States, who wished to limit British influence in Central America.

Under the terms of the treaty, Britain would recognize Nicaraguan sovereignty over the Miskito kingdom, while reserving for its people the right to self-government, and payment of an annual stipend to the king.

In 1861, George Augustus, now calling himself "Hereditary Chief" and giving his residence as Bluefields, Mosquito Reservation, summoned a council to enact what amounted to a constitution of the new entity.