The grant of the earldom was by Stephen of England; this was the first of his numerous creations.
It is discussed by R. H. C. Davis[1] on the basis of the chronicle evidence.
However, it now appears to be accepted by historians that Hugh did receive the earldom of Bedford in 1138 [2] In 1137 Stephen ordered Miles de Beauchamp, castellan of Bedford Castle, to give it up to Hugh.
The castle was eventually taken, but Miles repossessed it in an attack.
[3] He was the third son of Robert de Beaumont, 1st Earl of Leicester and Elizabeth de Vermandois.