The Industrial Revolution
The modern canal system was mainly a product of the 18th century and early 19th century. It came into being because the Industrial Revolution (which began in Britain during the mid-18th century) demanded an economic and reliable way to transport goods and commodities in large quantities.
By the early 18th century, river navigations such as the Aire and Calder Navigation were becoming quite sophisticated, with pound locks and longer and longer "cuts" (some with intermediate locks) to avoid circuitous or difficult stretches of river. Eventually, the experience of building long multi-level cuts with their own locks gave rise to the idea of building a "pure" canal, a waterway designed on the basis of where goods needed to go, not where a river happened to be.
The claim for the first pure canal in Great Britain is debated between "Sankey" and "Bridgewater" supporters. The first true canal in what is now the United Kingdom was the Newry Canal in Northern Ireland constructed by Thomas Steers in 1741.
Read more about this topic: History Of The British Canal System
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