Summary
Summary Making of Modern Britain notes .
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- AQA
This Document includes Prime Ministers: Atlee, Churchill, Eden, Macmillan, Home, Wilson, Heath, Wilson (second premiership) and Callaghan.
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Achievements- Post war consensus: mixed economy, welfare state, pro us policies
Clement - Welfare state - using recommendations of the Beveridge report, Labour implemented a system of National Insurance, national
assistance, industrial injuries, and most notably the National Health Services. This provided a system of Social Care.
- Attlee’s govt also carried out manifesto commitments for nationalisation of basic industries and public utilities. By 1951, about
Atlee -
20% of the British economy had been taken under public ownership.
Decolonisation – Britain accepted that its possession and retention of colonies held a burden. Atlee orchestrated the move to
declare Pakistan and India as independent nations in 1947.
- NATO – GB played a key role in the formation of NATO in 1949 – an alliance of countries that created a safeguard from the
USSR.
- Nuclear weapons – in 1947 the labour government started a programme of research that led to the detonation of the H-bomb
in 1952 and 1957.
- Housing – Between August 1945 and December 1951 there were 1,016,349 new houses were built in England, Scotland and
Wales.
Problems within the Labour Party and why it lost in 1951.
- Attlee’s government was worn down. There were party divisions which severely impacted their performance. The Left of the
party were against nuclear weapons and prescription charges, whereas the right supported those. There was also a balance of
1945-1951 -
payments crisis.
Industrial concern – there was slow response to workers’ demands.
- Entry into the 1951 Korean war – the left of the party was worried that the labour part was being too pro-America especially as
Britain was dependent on Marshal aid funding.
- Bevanite (left of party) rebellion – Atlee’s charge on dental treatment meant that Bevan led a number of ministers to resign,
showing the potential weakness/loss of control of Atlee’s govt.
- In 1951, the Chancellor Gaitskell, proposed to impose charges on NHS false teeth and spectacles to help fund additional
defence spending needed for Korean War. This outraged Bevan who, along with Harold Wilson resigned from the government.
- There was also conservative recovery – conservatives sharpened their attacks and younger politicians meant that the party had
a ‘fresh look; to it as well as new ideas being introduced.
, Economy:
- Churchill implemented a mixed economy where both private and nationalised businesses operate.
Winston -
-
Food rationing ended in Britain in 1954.
Productivity in Britain went up and full employment was achieved in 1955.
- More ordinary people could now afford the lifestyle afforded to the middle-class- home ownership, annual holidays
Churchill -
(sometimes abroad), washing machines and refrigerators.
Ownership of televisions increased to more than 4 million- one of the biggest televised events was the coronation of Elizabeth
II (1953).
- The economy was managed by a ‘Stop-Go’ cycle, where short-term economic measures had to be used either to prevent the
economy overheating or to re-start it after a slump:
Stop: Deliberate slowing and deflating the economy via higher interest rates and spending cuts.
Go: low interest rates and rising consumer spending. Wages and imports exceeding productivity and exports.
The issues: Economy overheating with high inflation; balance of payments deficit.
The cause: Wages rising faster than production- firms increase prices, imports exceed exports due to rising consumer demand
in the UK.
The solutions: Interest rates increase, wages frozen, tax rises.
- Governments sought to break the cycle of Stop-Go and achieve economic growth without inflation and the risk of a sterling
1951-1955 crisis. Operation ROBOT was an economic policy devised in 1952 under the Chancellor of the Exchequer RA Butler but which
was never implemented. It was named after three Bank of England officials. The policy faced much opposition by the rest of
the Cabinet with arguments that unemployment would rise to one million and inflation could increase if the plan was
implemented damaging Britain’s international reputation.
Social reforms:
- Churchill supported the NHS and welfare state because if he didn’t support the service, it would’ve been political suicide.
- Full employment – which led to the increase in wages and thus increased consumerism.
- Housing – his housing minister and future prime minister Macmillan achieved building 300.000 houses by 1953.
- Education – continuation of the tripartite system set up by the butler act 1944.
- Korean war 1951-53 – Britain supported the war by sending 90,000 troops which was the second largest, the largest being the
USA.
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