A level exam: Chapter 13-Political developments Flashcards
How did the second Labour government begin?
It started with high hopes as Labour was now the second party alongside the Conservatives. MacDonald was an experienced political leader and he believed that Labour could remove doubts over Labour’s credibility. MacDonald also found a dip in unemployment and he appointed Bondfield as Britain’s first minister in charge of Labour.
What domestic policies were introduced by labour?
The 1930 Housing Acr increased subsidies for house building and introduced new slum clearance schemes.
The 1930 Coal Mines Act attempted to reduce the bitterness after the General Strike by reducing working hours from 8 to 7.5.
The Land utilisation act established marketing boards to fix prices and increase efficiency.
The 1931 London Transport Bill created a public corporation responsible for providing cheap and efficient public transport for London.
What happened to Labour’s domestic policies?
The Wall Street Crash caused a Great Depression and Britain felt the effects of the loss of markets as trade suffered. Between 1929 and 1931 the value of exports fell by half and unemployment rose until it was almost 3 million by the end of 1932. This meant that attempts to carry out reforms were scrapped.
What was the reaction to the economic crisis?
In 1930 he set up the Economic Advisory Council with economists advice. Labour wanted to provide benefits to the unemployed, which was a growing proportion of society, but this challenged the idea of balancing the budget. Labour was divided over the economic issues as Mosley wanted to increase spending to boost the economy whereas MacDonald and Snowden were cautious of the spending.
What was the May Committee?
The Liberals proposed a committee to consider how the government might control spending. Their report was published and it recommended cuts of 96.5 million, particularly wages for public sector workers, and it wanted a 20% cut in unemployment benefit. This caused an outcry from Labour and so members of the economy committee met to agree cuts of £56 million, but the other parties believed this was too small. The TUC refused to accept any cuts at all and left Labour in a difficult position. On 23 August the cabinet approved substantial cuts in unemployment benefits but Labour was so divided, MacDonald went to hand his resignation to King George V.
What happened when MacDonald went to hand in his resignation?
The King spoke to the other party leaders and it was agreed that MacDonald would continue as PM but as part of the National Government. Only Snowdon, Thomas and Sankey from the Labour party continued into the new government and so MacDonald’s power relied on the support of Conservatives and Liberals.
What was the response from the Labour Party after MacDonald became PM of the National government?
Many Labour MPs accused MacDonald of treachery and only thinking of his own ambitions. He was also accused of being slow to respond to the economic issues, failing to listen to trade unions. failing tp resign when the party spit and calling an election in 1931 when he promised not to do so, causing a disaster for Labour. Atlee said MacDonald’s action was the greatest betrayal in political history.
What were the results of the 1931 election?
The Conservatives wanted an election after the NG was formed to strengthen its position and they secured this as 554 MP’s supported the National Goverment, with only 61 against.
What were the results of the 1935 election?
The National government was still a majority as they had 432 seats compared to Labour’s 154.
What were the economic policies of the National Government?
They removed Britain from the gold standard and they aimed to balance the budget by cutting spending. They made a 10% cut in unemployment benefits and introduced the means test. They cut wages of public employees and lowered interest rates to 2% in 1932, making cheap money available.
What were the trade policies of the National Government?
A sterling area was set up where members used the pound to trade. The Import Duties Act of 1932 imposed tariffs to protect British industry with exemptions for the British Empire. An imperial tariff system was agreed and trade treaties were made with other countries.
What were the industrial policies of the National Government?
The Special Areas Act provided aid to the most depressed areas of Britain and the Cotton Industry Act closed down non-profitable mills. The British Shipping Act provided government loans to scrap older ships. There were marketing boards set pup for milk, bacon and potatoes and government subsidies were provide for farmers.
What were the social policies of the National Government?
The 1937 Factory Act extended safety regulations and the 1938 holidays with Pay Act gave workers a one week paid holiday. The 1938 coal mines act transferred the royalties paid for coal mined from landowners to the government.
Who made up the National Goverment?
It was initially led by MacDonald but it became increasingly Conservative with Chamberlain replacing Snowden as Chancellor of the Exchequer and Baldwin had to take over as PM for the 1935 election due to Baldwin’s bad health. Baldwin retired in 1937 and Chamberlain took over as PM.
