Try reading
this review of a wonderful book which you ought to look at if you get it at your local library: Keith Thomas, religion and the delcine of magic. Thomas's point was that the Catholic Church taught religion as a 'mystery', so it was almost 'magical' in its approach itself (when you said or did certain things, you pleased God and good things happened in your life - almost like magic).
To the Protestants, this was wicked. For them, reigion was about the love a person had for God, and the mercy that God showed to that individual. For them, all the ceremonies of the Catholic church were devilish superstition, and needed casting out and destroying.
And of course the sam thing went for witches., and the increase in persecution corresponds with the Puritan explosion.
(The only problem with this interpretation, however, is that the BIGGEST hunter-out of witches was James I, who was neither a Tudor, and was not very fiercely Protestant.)
As for Tudor government, I've never come across this before, but:
1. The Tudors after H VIII increasingly made their state a Protestant state, so it would be natural that they would adopt the Protestant revulsion at witches.
2. Many wirches were old people using their 'frighteningness' to get favours from gullible people, so I can imagine that a strong government with increasing control over law and order would see that as petty criminals to be eradicated (this does not, however, explain the persecution and witch-'craze'. A government policy of preventing small-sclae crime does not result in a frenzy of prsection.)
Try looking at
this post on the forum.