As towns formed and trade grew, feudalism began to decline in Europe. Nobles established towns and granted charters to townspeople, allowing self-governance while collecting taxes. Strong centralized monarchies also developed, like those of William the Conqueror and Henry II in England and Hugh Capet and Phillip II in France, reducing the power of nobles. In England, common law was established under Henry II and limitations on the monarchy through documents like the Magna Carta and the rise of Parliament under Edward I.