Classic Liberalism stressed the freedom of speech, worship and supported free trade, overall classic liberalism was classed as 'laisse faire' meaning poverty was no issue of the Governments (opposing social and welfare reform).
How did new Liberalism develop?
The Boer War raised issues over Britain's national efficiency, Britain was no longer the undisputed super power of the world, rivalled by The USA and Germany. Also the fitness and health of volunteers for the army raised a huge issue, over 80% of men that attempted were turned away due to their ill health (most notably malnutrition). Booth and Rowntree's reports showed that over 1/3 of urban populations could be classed as 'poor' and 1/10 classed as living in 'poverty'. After heavy election defeats in recent elections the Liberals decided that they needed a new direction to follow.
New liberalism: provide 'safety nets' to help the poor and prevent hard working citizens falling into poverty. This would help gather back some Liberals that were influenced by the emerging Labour party in recent elections as well as gaining more middle and working class votes
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