Labour in power 1929-31 Flashcards
What did the popular 1931 song read?
‘We’ll hang Ramsay Mac on a sour apple tree’
Who was in the Labour 1929 Cabinet?
Arthur Henderson (Foreign Office), George Lansbury (Ministry of works), Margaret Bondfield (Minister of Labour), Philip Snowden (Chancellor of the Exchequer)
Who was the first woman minister?
Margaret Bondfield
How many seats did Labour win in the 1929 election?
288 seats (the most seats out of all the parties in the commons)
What made Labour successful in the 1929 election?
- MacDonald’s moderate policies in the last government seemed to convince electorate that he was trustworthy
- The Conservatives campaigned for ‘safety first’ which won very few votes because there were no direct threats at the time
- The main problem at the time was unemployment and it was thought that the Conservatives wouldn’t solve it
- The first past the post system meant that the Conservatives actually got more votes but fewer seats
Why was MacDonald told not to create a minority government and why did MacDonald overpower it?
- They’d be powerless to introduce socialism and so wouldn’t achieve anything meaningful
- MacDonald believed it to actually be their opportunity to remove any doubts about Labour governing well, winning more votes than
What did the new Labour government plan on doing?
- Build council houses
- Raise school leaving age to 15
- Take government control of the London transport system
- Tackle unemployment
- Start government works schemes to achieve more than Lloyd George’s proposals
Who did the Conservatives remain backed by in 1929?
Majority of newspapers, businesses, and a fair amount of the working class
What were the key economic concerns of 1929?
- Decline of the staple industries
- High unemployment. It was never less than 1 million during the 1920s
- The Gold Standard (after returning to it in 1925 it only caused problems. In 1931, Labour took Britain off the gold standard)
What was changing socially and culturally in 1929?
- Radio becomes a feature in many households and introduces people to a range of entertainment, news, and creates a stronger national identity
- Motor cars / possible air travel opens up new possibilities
- Women break into previously male-dominated domains
What was the Housing Act and when did it take place?
- 1930
- Introduced by Arthur Greenwood
- Increased subsidies for house building
- New slum clearance schemes
What was the Coal Mines Act and when did it happen?
- Attempt at reducing bitterness caused by General Strike
- Reduces miner’s working hours from 8 to 7.5 hrs a day
What was the Land Utilisation and Agricultural Marketing Act and when did it happen?
- 1931
- Established marketing boards to help producers
- Have the power to fix prices and efficiently arrange supplies
What was the London Transport Bill and when did it happen?
- Originated in 1931, didn’t become law until 1933.
- Introduced by Herbert Morrison
- Created a public corporation that provided cheap and efficient London public transport
Which reforms failed through lack of Liberal support?
- Raising the school leaving age to 15
- Bill to create a maximum working week of 48hrs
- Plans to repeal 1927 trade union act
How much did British exports fall between the end of 1929 and 1931?
By half
How much did unemployment rise between 1931 and 32?
- 2.5 million by 1931’s end
- 3 million by 1932’s end
What did Ramsay set up in 1930 to tackle unemployment?
- Economic Advisory Council
- Industrialists / economists provide advice
How did Philip Snowden want to resolve the economic crisis of 1929?
- Expressed need for balancing the budget
- Wanted to reduce expenditure on welfare with retrenchment
How did Oswald Mosley want to resolve the economic crisis of 1929?
- Wanted an expansionary government spending policy
- Finance of public works schemes and reforms through government loans
- The only way a Labour government should behave is by putting working men’s needs first
Why did MacDonald reject Mosley’s ideas?
- He didn’t think they’d work
- He thought such radical measures would decrease confidence in England’s economy and create even more unemployment
Which economist’s ideas did Mosley’s match up with?
Keynesian ideas about Stimulus economics
What does Mosley do in reaction to MacDonald rejecting his ideas?
- Resigns
- Starts his own party of fascists (The British Union of Fascists)
- Inspired by Moussolini’s Italy
What was the May Committee?
- Tasked with producing recommendations for government action to restore confidence and reduce expenditure
- Chaired by Sir George May
- Mostly Liberals, only 2 Labour members
When was the May Committee’s report published?
31st July 1931
What did the May Committee recommend in cuts?
- £96.5 million
- Pay cuts in public sector employees (teachers, policemen, civil servants)
- 20% cut in unemployment benefits
- Heavier taxation
What did Labour’s May Committee members do?
- Drew up their own report
- Views were ignored
What did the May Committee recommendations cause?
- Outcry from Labour members / trade unionists
- Wanted gov to find money by taxing the rich
- Didn’t want the unemployed to become disadvantaged
What happened on the 12th August 1931?
- Cabinet completely divided over May recommendations
- Members of the Cabinet Economy Committee meet
- By the 19th they agree on cuts amounting to £56 million
Why did everyone attack the agreed cuts?
- Liberals say it’s too little
- TUC leader reject any cuts that affect the unemployed completely
What happened on the 23rd August 1931?
- Cabinet gives vote of approval for cuts in unemployment benefits, only 11 to 9 votes
- Several leading ministers oppose
- Votes splits Labour cabinet so badly. MacDonald can no longer lead it
What happened on the 24th August 1931?
- Ramsay goes to Buckingham Palace to resign to George V
- King rejects this and speaks to other party leaders (Herbert Samuel, a Liberal and Stanley Baldwin)
- Agreed that MacDonald would lead a National Government
Why did the Conservatives and Liberals agree to a National Government?
- There were advantages in allowing MacDonald to continue as Prime Minister at a time when there were major economic cuts and unpopular measures
Who were the only Labour members that followed MacDonald to the National Government?
Snowden, JH Thomas, and Sankey (Lord Chancellor)
What was MacDonald accused of?
- Needlessly setting up the May Committee
- Ignored Mosley’s ideas
- Slow to respond to crisis, making it worse
- Too ready to ignore unions for advice from his own ministers
- Failed to resign when the party had split
- Aligned himself with the Conservatives
- Called an election in 1931 (despite promising not to)
How did Clement Attlee describe MacDonald’s actions in the National Government?
‘the greatest betrayal in the political history of this country’
How did Keynes describe the May Committee report?
‘The most foolish document I have ever had the misfortune to read.’
