Topic One - A Changing Political Environment 1918-1979 Flashcards
What were the dates of the First World War?
1914-1918
How many men did Britain lose in the war by its end in November 1918?
over 750,000
How much money did Britain owe by the end of WW1?
£1 billion
Which country did Britain owe the most money to by the end of WW1?
the USA
What was the Political context of Britain in 1918?
- Lack of democracy in Europe led to support for facism and communism
- More power for the working class
- Gov’t intervention
- Increased democracy
- More awareness of rights
- Socialism v Capitalism
What three time periods can the Politcal Landscape in Britain from 1918-1979 be broken down into?
- Changes in Party Fortunes 1918-1931
- The National Goverment 1931-1945
- Consensus and Challenge 1945-1979
What was the Economic context of Britain in 1918?
- Huge debt from WW1
- Industrial unrest
- Socialism v Capitalism
- British Empire
- Loss of trade markets
- Increasing power of USA
What three time periods can the Economic Landscape in Britain from 1918-1979 be broken down into?
- Post-War Boom and Recovery 1918-1939
- Creating a Managed Economy 1939-1951
- Response to Economic Challenges 1951-1979
What was the Social context of Britain in 1918?
- Shift from aristocratic power to more power for working class
- Urban society
- Increasing leisure and free time
- More demand for welfare
- Working class demands
What three time periods can the Change in the Workplace in Britain from 1918-1979 be broken down into?
- Industrial Relations 1918-1939
- Changing Workplace 1939-1979
- Industrial Relations 1939-1979
What factors contributed to Liberal Decline?
- Failure to deal with threats from trade unions
- Suffragettes
- Problems in Northern Ireland
- Inability to cater to class voting
Who took over from Asquith as Liberal Party leader, and when?
David Lloyd George in 1916
How was David Lloyd George different from Asquith as a leader?
Lloyd George favoured more government intervention - unpopular
What did some people seeing Lloyd George as a traitor to the Liberal party cause?
Divisions within the Liberal Party between ideologies and leaders
How were divisions in the Liberal Paty furthered?
more divisions occured as LLoyd George became increasingly reliant on support from the Conservative Party in the coalition.
When was the Representation of The People Act passed?
1918
What did the 1918 ROTPA do?
it extended the franchise - gave all working class men and some women the right ot vote
What is an example of some of the restrictions that remained on women’s votes up until 1928?
Women had to be over 30 to vote
By 1928, what % of the electorate was made up by women?
43%
What % of the electorate was made up of the working classes?
80%
By how much had the size of the electroate increased by 1928?
x3 (trebled in size)
In what year did the Labour Party form?
1900 - they had always been a smaller party
In what year did Labour gain more votes than the Liberals?
1923
Who was the first Labour Prime Minister?
Ramsey MacDonald
In what year was the first Labour Prime Minister elected?
1924
When did the Labour party become more united?
at the end of WW2
What led to increasing Labour support post WW1?
A rise in Trade Unions
What group of people in society did Labour support and appeal to?
Labour supported a working class identity - promised 1 million new houses to be built and higher taxes for the rich
When did ex-Liberal PM Asquith support a Labour government?
1923
Why was the support of Asquith in 1923 significant to the success fo the Labour Party?
- Asquith still had a lot of supporters and influence (internal conflicts between LLoyd George and Asquith)
- All of Asquith’s supporters followed his advice and began to support the Labour Party over the Liberals
- Asquith’s mis-judged decision led to heavy losses for the Liberals
- Asquith underestimated Labour’s strentgh
- Labour did not need to form a coalition with the Liberals
What was the reputation of Ramsey MacDonald?
MacDonald was viewed as a calm and reasoned leader
What type of party were the Conservatives seen as?
Conservatives seen as a party of wealth and privilege - yet remained successful
Who was the Conservative Prime Minister throughout the 1920s and 30s?
Stanley Baldwin
What was Stanley Baldwin called?
‘a man of the people’
- came from a working class background, appealed to the working class experience
Why did the policy of Plural Votes lead to Conservative Success?
- people who were at university could vote at home and at university
- Conservative Party gained more votes
- Not many people from a working class background able to attend University
What other factors aided in the success of the Conservative Party?
- Britain was a One Party Nation
- Safety first and economic policies
- Protectionism
What was the outcome of the 1918 Election?
1918 Election saw an overwhelming victory for the wartime coalition
What was the outcome of the election of 1922?
- Conservatives won an overall majority
- Labour won 142 seats and became teh official opposition party.
What happened to Labour in the 1923 election?
The Labour governement faced many problems in the 1923 election - was eventually brought down by the Campbell Affair and the Zinoviev Letter
What was The Campbell Affair?
- Communist magazine editor, J.R. Campbell accused of inciting a mutiny in one of his articles
- Labour Attorney General withdrew the charges
What was the outcome of The Campbell Affair?
- Liberals accused the gov’t of being pro-revolution and withdrew support
- The Labour Gov’t resigned
What was The Zinoviev Letter?
- a letter in which a supposed leading Russian Communist advised the Communist Party on how to effect a revolution in Britain
- published in the Daily Mail
What was the outcome of The Zinoviev Letter?
- the letter was subsequently proven to be a hoax
- did irreparable harm to the Labour Governement
What were the years of The National Government?
1931-1945
Who were the four National Government Prime Minister’s?
- Ramsay MacDonald
- Stanley Baldwin
- Neville Chamberlain
- Winston Churchill
What years was Ramsay MacDonald National Government PM?
1931-1935
What years was Stanley Baldwin National Government PM?
1935-1937
What years was Neville Chamberlain National Government PM?
1937-1940
What years was Winston Churchill National Government PM?
1940-1945
What was The National Government?
a coalition governemnt formed in a time of National crisis, where party differences take second place to national interests.
Why was the National Governemnt first formed?
- post Wall Street Crash
- Labour MP’s disagreed on making cuts
- PM Ramsay MacDonald was expelled from the party and formed the National Government
How did the National Government remain in power for ten years?
National Governemnt took a political middle ground whilst extreme political parties failed to gain support (Right Wing = BUF, Left Wing = CPGB)
Who was the ‘British Union of Fascists’ formed by?
Oswald Mosely
What was the aim of the BUF?
wanted to emulate Mussolini’s facist Italy
What were some characteristics of the BUF?
- racist
- anti-Semitic
- Right Wing Political Party
What was the ‘Battle of Cable Street’?
a BUF march through East London that became a violent clash in October 1936
Which Left Wing Political Party gained one MP in 1924 and 1935?
The Communist Party of Great Britain (CPGB)
Why was Communism rejected by the British Public?
strength of the Trade Unions and the Labour Party
What were the general feelings of the British Public towards the CPGB?
- people preferred home grown socialism to the ideals of Communism
- the CPGB opposed the war until Russia became involved – lost the support of the British Public
What act was passed in the face of threats from extremist groups?
the Public Order Act
What year was the Public Order Act passed?
1936
What did the Public Order Act do?
- banned inflammatory political meetings
- banned the wearing of military style unifroms
What did the Public Order Act do?
- banned inflammatory political meetings
- banned the wearing of military style uniforms
Between 1931-1939 how did the Government protect the British industry?
- implemented severe spending cuts
- introduced tariffs
When was the Import Duties Act introduced?
1932
What did the Import Duties Act do?
introduced a 10% tariff on most imports
What was the interest rate reduced to?
from 6% to 2%
What impact did The Import Duties Act and the reduced interest rates have?
helped stimulate recovery by encouraging borrowing
When was the Unemployment Act introduced?
1934
What did the Unemployment Act do?
introduced a ‘means test’ for people whose employment insurance had ran out
When was The Special Areas Act introduced?
1934
What did the Special Areas Act do?
introduced grants to try and stimulate economic growth in depressed areas
What policy did later National Government PMs adopt to help ease the economic difficulties of the 1930s?
rearmament
Why did Labour win the 1945 election despite Churchill winning the war?
- Conservatives were associated with the Depression of 30’s
- failure of Conservatives to build a ‘home for heroes’ after WW1
- Labour had been part of the wartime coalition (e.g. Attlee)
- Labour had a good campaign
- Churchill was a good wartime leader, not a good peacetime leader
- Churchill’s gestapo speech
- Labour represented a changing Britain
What is Consensus politics?
When two main parties adopt some of each other’s policies
What are the main reasons for a shift to Consensus politics?
- WW2 / a switch to collectivism
- fear of economic depression
- Conservative leaders were more progressive
What were some of the economic iniatives of Attlee’s government?
- Nationalism
- Planning
- Control Measures and Austerity
Who were the PMs of the 1951-1964 Conservative Government?
- Winston Churchill (1951-1955)
- Eden (1955-1957)
- Macmillan (1957-1964)
- Douglas-Home (1963-1964)
How did the Conservative Government of 1951-1964 show Consensus?
- couldn’t argue against the NHS as it was already too popular
- accepted Labour’s newly created Welfare State
How did the Conservative Government of 1951-1964 show limits to Consensus?
- Fixated heavily on the Cold War rather than what was happening within Britain
- Prioritised foreign over domestic policy
How did the Labour Government of 1964-1970 show Consensus?
- British money was spent on military
How did the Labour Government of 1964-1970 show limits to Consensus?
- focused on economy
- improve pensions
How did the Conservative Government of 1970-1974 show Consensus?
The Barber budget
How did the Conservative Government of 1970-1974 show limits to Consensus?
- break Consensus
- bad relationships with trade unions
How did the Labour Government of 1974-1979 show Consensus?
- no classes
- focused on economy
How did the Labour Government of 1974-1979 show limits to Consensus?
Callaghan began to abandon key aspects of post war economic consensus
What economic policies followed by governments in Britain was failing by the 1970s?
Keynesian Economic Policies
What were the main economic difficulties faced from 1918-1979?
- The level of Governemnt debt
- The balance of payments
- The value of the £ against other currencies
- Inflation
- Unemployment
What were the main causes of the extremely tough economic situation in Britain between 1918-1979?
- Industrial competition
- The impact of WW1 and WW2
- The Great Depression
- OPEC Oil Crisis in 1973
- Solutions offered by politicians worsesned the situation
What were inflation rates like in 1918?
High
What wwas the economic state of Britain after WW1?
experienced a short-lived economic boom that ended in a recession by 1920
What were some problems faced in Britain post-WW1?
- loss of trade
- debt
- value of the £
- Inflation
- lack of technological development
By 1921 how many workers were unemployed as a result of the 1920 Recession?
2 million
When was teh General Strike?
1926
In 1921, which three groups of workers striked?
- Rail
- Coal
- Shipyard
When did Britain leave the Golf Standard?
1931
How did Trade Unions impact the British Economy post-WW1?
- TUs were very powerful
- Caused reduced productivity levels
How did the economic position of Britian improve by the mid-1930s?
- British exports became 25% cheaper + more competitive
- Interest rates cut from 6% to 2%
How did ‘Tax, Spending and Balancing the Budget’ aim to improve the British economy from 1918-1939?
- tried to reduce infation
- treied to repay debt
What measures did ‘Tax, Spending and Balancing the Budget’ put in place?
- Government spending was cut dramatically
- Welfare cuts
- Increased taxes
Was ‘Tax, Spending and Balancing the Budget’ successful?
- it was unsuccessful
- it did save money
- BUT it contributed to the growing unemployment
- Spending began rising again after 1924
What was the policy of ‘Interest Rates and The Value of the £’?
- high rates of interest set to cut inflation
What was the impact of ‘Interest Rates and The Value of the £’?
- increased the value of the £ against other currencies
- this made it more to borrow and invest so more people saved instead of spent
- led to a post war boom (1919-1920)
Was ‘Interest Rates and the Value of the £’ successful?
- successful in the short term
- post war boom was brief and followed by a large recession
What was the policy of ‘Protectionism’?
Tariffs on foreign goods
What was the impact of ‘Protectionism’?
- old industries lost power to newer industries
Was ‘Protectionism’ successful?
- successful in short term as it led to greater competition + investment not being directed into newer industries
- However… limited by the fear of the public + the cost of food being imported.
When was the period of ‘Managed Economy’?
1939-1951
What was Managed Economy?
the development of a centrally controlled economy in an effort to:
- manage wartime production
- facilitate post war recovery
What were some of the Total War policies that the National Government introduced during WW2?
- conscription
- rationing
What was the long-term impact of Total War policies?
led to long term increased acceptance of government management of the economy
How many people were employed in the war effort by 1945? (munitions, other war work, armed forces)
- 3.2 million people employed in munitions
- 4 million people employed in other war work
- 5.5 million people employed in the armed forces
What did the government declare by 1944?
declared its long-term responsibility for the maintenance of high employment
How long did Post-War Austerity last?
1945-1951
How much debt had Britian accumulated to the USA during WW2?
over £4 billion
What was the result of Britain’s effort to pay back wartime debt whilst also managing the cost of the Welfare State?
- value of the £ decreased (-30% by 1949)
- Trade faced heavy losses (-66%)
What were Attlee’s two main focuses from 1945-1951?
- managing post-war economy
- The Welfare State
What financial aid was offered by America in 1948, and why?
- Marshall Aid offered in 1948
- America feared European Communism
How much money did Britain receive from Marshall Aid as one of the biggest recipients?
up to £2.7 billion
What was a key policy of the Post War Austerity Era?
Nationalisation
What acts were passed by the policy of Nationalisation?
- 1946 Coal Industry Nationalisation Act
- 1946 Bank of England Act
- 1947 Transport Act
- 1947 Electicity Act
- 1948 Gas Act
- 1949 Iron and Steel Act
What is the age of austerity widely known as?
a period of poor living standards
When did Labour achieve full employment in Britain in the age of austerity?
between 1947 and 1951
How did British trade improve under Labour in the age of austerity?
Britain increased its % of world trade
How much % did British economy grow by each year following 1948, and throughout the 1950s?
4%
What was the economic climate in Britain from 1951-1979?
- saw a period of sustained economic growth which lasted until early 1970s
- 1950s-1970s governments faced a series of recurrent economic problems that they were seemingly unable to solve
What were the major economic problems faced from 1951-1979?
- Inflation
- Unemployment
- Slow Growth
- Stagflation
- OPEC Oil Crisis 1973
- Devaluation of the £
- Production declining
What was the economic climate of the 1950s?
- period of affluence
- increased consumer spending - people could now borrow and spend money
- increase in imports led to increasing difficulties in balance of payments
How much did consumer spending rise by in the 1950s?
45%
Who coined the term ‘Butskellism’?
‘The Economist’
What was Butskellism?
- the almost identical policies of Labour and Conservatives in the 1950s
- Labour’s Hugh Gaitskell + Conservative’s Rab Butler
What policies did both Labour and the Conservatives accept in the 1950s?
- A Keynesian approach to economics
- Commitment to a ‘mixed’ economy
- Maintaining welfare support introduced by Attlee
What was a Keynsian approach to economics?
focused on:
- spending
- full employemnt
What was a ‘mixed’ economy?
private + nationalised industry
What was the Conservative economic policy of 1951-1964?
‘Stop-Go Economics’
What was ‘Stop-Go’ economics?
- focused on short term problems
- encouraged consumer spending by relaxing laws on borrowing and credit
- Low interest rates and taxes introduced
What problems was ‘Stop-Go’ used to deal with?
- Inflation
- Unemployment
- Stagflation
What were the issues with ‘Stop-Go’ economics?
- It was an inconsistent policy
- Controlling both unemployemnt and inflation was impossible
Was ‘Stop-Go’ a success?
No
- Short term not long term
- had disastrous long term impacts
- led to a large rise in inflation in the 1970s
- was damaging to the economy overall
- accused of placing party policies ahead of economic struggles
What years was Harold Macmillan PM?
1957-1963
What economic policy did Macmillan’s government follow?
Corporatism Policy
(Planned Economy)
What did Macmillan’s Corporatism Policy aim to do?
- bring the labour force, management and the government together through corporations
In 1961 what two organisations were set up By Macmillan to develop a planned economy?
- NEDDY
- NICKY
What was NEDDY in 1961?
- aimed to rpoduce reports for future economy
- recommended pay freezes
- recommended tax increases
What was NICKY in 1961?
-advisory board for trade unions and management
- tried to influence wage levels
Were NEDDY and NICKY successful?
- both ineffective
- did little for the economy
What solution attempted to deal with slow growth?
Nationalisation
Was Nationalisation successful?
Yes - it increased employment
No - Cost a lot, Did not allow for the development of technology
By mid-60’s, what were Conservative and Labour government being accused of?
- papering over problems rather than solving them
- short term over long term
When was ‘Stagflation’ a prominent issue in Britain?
1964-1979
What is Stagflation?
Economic Stagnation and Inflation
Which two Labour governments failed to improve the economic track record of the Conservatives in the 1960-1970s?
- Wilson
- Callaghan
- Continued to use Stop-Go economics
What is the Cycle of Downward Spiral which leads to Stagflation?
- Lack of production
- Lack of income
- Rise in unemployment
- Decline in spending
- Lack of money to invest
- Value of currency declined
- Repeat
What did Wilson attempt to improve in the 1960s, why did he fail?
- economic planning
- invested in the ‘white heat’ of technology
- failure because of continuing stagflation
What happened in 1967?
Devaluation of the £
What issue did devaluation of the £ aim to solve?
Stagflation
How much did Wilson devalue the £ in 1967?
from $2.80 to $2.40
What speech did Wilson famously deliver?
- tried to reassure British people through the ‘pound in your pocket’ speech
Was Wilson’s ‘Pound in your pocket’ speech successful?
- no
- Wilson suffered a huge loss of credibility
- Had previously claimed he wanted to avoid further devaluation of the £
In the 1960’s how many days were lost to stirke beacuse of growing TU unrest?
3.6 million
How many were put out of work in 1964?
900,000
WHat did the DEA do under Wilson?
Created a National plan to stimulate growth
What does the DEA stand for?
Department of Economic Affairs
Why was the DEA a failure?
- lack of departmental resources
- lack of authority
- bad relations
How many working days were lost to strike in 1970?
10+ million
How mnay unemployed in 1970-1971?
1 million
What was the average unemployment rate from 1970-1974?
5.4%
What was the inflation rate in 1970?
6.4%
What changes did the Heath government of 1970-1974 introduce?
- reduced state intervention (hands off approach)
- budget of 1971 cut spending and tax
- tried to control the Trade Unions
How much money did Heath’s governemnt pay into the economy?
£2.5 billion
How much did inflation rise by from 1970-1974?
20%
What did unemployment rise to by 1972?
over 1 million
What had unemployment been brought down to by 1974?
- 550,000
- not enough to reverse economic decline
When was the OPEC Oil CRisis?
1973
What was the OPEC Oil Crisis?
- a sudden rise in the price of oil accompanied by decreased supply
- OPEC (Organisation of the Petroleum Exporting Countries) quadrupled the price of oil
What was the impact of the OPEC Oil Crisis?
- Oil prices rose by 400% (could no longer be afforded)
- Britain fell into steep recession
- rising inflation
- oil dependency had to decrease
- issues with transport and energy
What led to Industrial unrest in Britain?
- changing technologies
- growth of international competition
Why did Britain fall behind in technological advancements following WW1?
- factories in other countries such as France were being rebuilt following boming throughout the war
- Britain still relied on old industries such as mine, rail and shipyard work
Until the 1980s, what were most of the jobs in Britain?
traditional blue collar work
How did regional divisons play a part in industrial unrest?
- areas which manufactured new technology and where money was being invested benefitted
- Workers in areas of ‘old industries’ suffered greatly
How did government and trade union approach to industrial unrest differ?
- governments wanted to maintain a healthy and competitive economy
- trade unions wanted to protect working conditions of workers
What caused a decline in trade post WW1?
- New technologies
- competition
- WW1
- trade unions
- poor industrial relations
- high unemployment
How many days were lost to strike in 1919?
32 million
What factors led to the General Strike in 1926?
- TU militancy
- Economic depression
- Fear of Communism
- Problems surrounding the coal industry being out of date
When and where was the General Strike planned?
TUC (Trades Union Congress) Conference - May 1st 1926
What was the outcome of the General Strike?
- the miners were defeated
- the TUC was ruined
What did TUC membership fall to after the General Strike?
- TUC membership fell from:
- 5.5 million in 1925
- 3.75 million in 1930
