These are extremely detailed essay plans which provide all the possible key information needed for the British Domestic Politics topic of the Britian course. They are also broken down into digestible factors to make revision less intimidating. These proved invaluable to me in revising for my A le...
Assess the progress made by the Labour party between
1918 and 1931.
Key contextual information: (limitations of the Labour government)
§ Labour was a minority govt. Had a majority over Cons, but 59 Libs
held the balance of power. Thus, MacDonald could not have
introduced particularly radical policies.
§ Economic backdrop of the US stock market crash in 1929.
§ Unemployment at 1.2 million and concentrated in the regions
dominated by heavy industry.
§ Macdonald had moved away from distinctive socialist policies =
public works.
§ Labour committed to free trade > tariffs to protect industry.
o To gain confidence of the financial institutions. Maintaining
international confidence was important due to the earnings
from invisible exports were high.
§ Lack of governmental experience.
Labour were never going to introduce radical domestic change.
Domestic measures 1929-31
Housing Act 1930 = passed by Greenwood
§ Restored the Wheatley subsidies for local authorities that had been
reduced by the Conservatives.
§ Began subsidies for slum clearance.
§ Led to the clearance of more slums than at any time previously, and
the building of 700,000 new homes.
Unemployment Insurance Act 1930
§ Restored cuts made in unemployment provision by the Cons and
increased no. unemployed eligible for ‘transitional benefit’.
§ Used a surplus in the fund created by compulsory insurance premiums
paid in the 20s.
§ By 1931 due to rising unemployment and reduced insurance income =
deficit.
§ Gregory Commission recommended cuts to this.
§ Hadn’t anticipated such widescale unemployment, and cuts made by
the National Govt.
§ Only received 30s a week for a married couple with 2 children, thus
the 10% cut implemented was severe.
Road Traffic Act 1930
§ Road traffic accidents common – 5000 in 1926
o Royal commission on transport = most finding passed by
transport minister, Herbert Morrison in 1930
§ Drink driving offence introduced, third party insurance, Highway
Code.
§ Not radical or controversial but rather a reaction to public
concern.
,Labour’s intended proposals
§ Expansive electoral reforms proposed – Feb 1931
o Ended plural voting and the representation of Oxford and
Cambridge university in parliament = elitism + undemocratic.
o Rejected by the Lords
§ Introduce STV system – Liberals against
§ House of Lords rejected an education bill to up school leaving age
to 15 in the Feb of 1931.
§ The Liberals ensured that a Trade Disputes Bill to amend the Trade
Disputes Act 1927, making general strikes illegal and preventing
TUs contributing to political fund w/o their members opting in, was
defeated.
Conclusion
§ Disadvantaged as a minority govt, with limited previous experience,
and a very poor economic situation.
§ No surprise that legislation is limited
§ Unemployment and depression intensified = govt. attention drawn
away from reforming measures which may have been overtly socialist
§ Provided useful measures overall.
, “The Labour government of 1929-31 failed because it was
overwhelmed by Britain’s financial difficulties”. How far do
you agree?
Yes
The May committee
§ feared £120 million deficit unless increases in taxes, and
reductions in the salaries of public officials and the armed
services.
o unemployment pay needed to be cut by 20%.
By August 1931:
§ Rising unemployment with government measures having little effect
§ Fall in international trade, and British exports and in both
manufacturing and financial income.
§ Attempts to rationalise production started but made little
progress.
§ Public works were on too much of a small scale
§ Radical ideas on dealing with unemployment projected – Mosely
memorandum.
§ Banks were allowed to leave Britain short of reserves by lending on
a long-term basis and borrowing on a short-term basis.
§ Foreign investors and holders of sterling had lack of confidence
and withdrawn by sterling holdings regardless of the interest
rates.
The impact of this:
Labour govt. had abandoned key principles of socialist interventionism.
Financial implications of the 1931 crisis on Britain
March 1931 Credit Anstalt collapsed.
Britain lent bank £4.3 million and kept lending after the crisis spread
to Germany.
Foreign holders of sterling lacked confidence in security of holdings in
British banks.
British gold reserves fell to £133 million by August and govt. needed
loans from abroad to buy sterling and prevent bank collapse. Conditions
for loans = cuts in government expenditure.
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