Labour Government 1929 To 1931 Flashcards
May 1929 election results
Labour 288
Conservatives 260
Liberals 59
Effects of Wall Street crash and depression
1929 to 31 value of British exports fell by half
Unemployment rose to 2,500,000 by the end of 1931 and 3 million by the end of 1932
South wales north England and Scotland worst affected by unemployment-30% of insured population
Scotland 1929 to 32unemployment went from 12 to 28%
Economic advisory council
Set up by Macdonald 1930
Industrialists and economists gave advice
Mac D wary of new ideas
Needed to keep benefits hi but balanced-budget
Philip Snowden
Chancellor of the Exchequer
Wanted balanced budget and maintaining gold standard
Oswald Mosley
But workingman’s needs first with social reform
Mac Dees thought he was too radical
May committee
Chaired by Sir George may
Proposed by liberals
31st of July published
Predicted budget deficit of £120 millionunless severe cuts were made
Recommended cuts of £96.5 million e.g. pay cuts for public sector 20% cut unemployment benefit
Reaction to may committee
Cabinet divided
12th of August-members of cabinet economy committee met and agreed on pay cuts as well as 10% unemployment benefit
Overall cuts of £38 million
Meeting with TUC leaders
McDonald’s and Snowden
TUC rejected cuts that affected unemployed
Put huge pressure on the cabinet
Bank of England
Needed on loans from New York and Paris
New York would only agree if cuts to unemployment benefit were made labour disagreed with these cuts
Macdonald argued for vote
Results of vote
23/8 cabinet go vote of approval by 11 to 9 votes
Split Labour so badly Macdonald went to King to resign
Coal mines act
1930
wanted to improve industrial relations
reduced from 8 to 7 1/2 hours
Employers in titled fix minimum wages and production quotas
Commission set up in which unprofitable minds were faced out without affecting miners
Agricultural marketing act
1931
Wanted to improve supply food to the public
Set up boards of food producers who could fix prices and arrange supplies efficiently
Housing act
1930
Arthur Greenwood
Reintroduce government subsidies for council housing
Granted greater powers to local authorities to enforce slum clearance
1934 to 39-more slums cleared than half-century before
Education bill
Would increase leaving age to 15
However catholic MPs said the Bill didn’t pay enough attention to catholic schools
Bill wasn’t passed
London transport bill
1931
Law in 1933
Cheap and efficient transport