Britain, 1940-51

• crisis of political leadership over competence of Neville Chamberlain as war time PM
• Chamberlain's policy of appeasement failed - he underestimated Hitler and had been fooled by his declarations of peace
• As result he rejected opportunities to make an alliance with S.U to deter Hitler from invading Poland.
• Loss of faith in his decision making reached peak April 1940 following military setbacks in Norway

Military Crisis, April-May 1940

• following outbreak war Sept. 3rd 1939 there was 6 month 'phoney war' - barely any fighting
• Chamberlain joked Hitler had 'missed the bus' - anticipated early end to war
• within few days Hitler had invaded Denmark/Norway
• British troops sent to Norway had to be evacuated - humiliating
• 10th May German troops stormed Holland and Belgium - drove deep in to France

The Political Crisis

• 7th May 1940 Chamberlain attacked from all sides in parliamentary debate about failed Norwegian campaign
• Criticisms: army was unprepared for European war, Chamberlain not taken action to form new National gov. dedicated to war, preparations for wartime economy slow, blockade of German ports inadequate, Norwegian campaign = disaster
• Labour+Libs called for Chamberlain's resignation and Cons. rebels refused to back Chamberlain
• Chamberlain forced to resign

Lord Halifax

• Strengths: regarded as best candidate by Libs and Labour, experienced Foreign Secretary, good contacts with German leadership if negotiated peace became necessary
• Weaknesses: closesly associated to policy of appeasement, member of H.O.L - not ideal for leading gov., lack self-belief - uncertain he was right for the job

Winston Churchill

• Strengths: consistent and outspoken opponent of appeasement, throughout 1930's emphasises need to rearm, opponent of Nazism, favoured broad coalition gov. including T.U's, good contacts in U.S - important for getting U.S support against Hitler, hard worker strong self belief & greater orator
• weaknesses: out of politics 1929-39, past failures - Gallipolli 1915, return to G.standard 1925 - hated by Labour for opposition to General Strike, out of touch with popular opinion in 1930's - 66 when election in 1940, impulsive inconsiderate authoritarian

10th May 1940 - King apppointed Churchill as PM - on Chamberlain's advice that he was strongest candidate

Churchill leadership became legendary - symbolic of refusal to negotiate with Hitler

Churchill 'finest hour' = defeat of German airforce in b.o.b

Government's compisition and goals

• Churchill close Attlee deputy PM - Attlee bought organisation balanced out Churchill's careless nature
• Coalition strength from all party compisition and Churchill decision to bring in outsides - Lord Woolton Manchester businessman who organised rationing
• Gov. had 3 priorities in pursuit victory - develop war economy, find way finance war, plan for post-war Britain

Financing the war

• war paid partly through higher taxes rest from borrowing. Main sources of income:
• increase income tax + tax paid on goods and services
• Loans and materials supplied by countries of British empire
• Lend lease scheme agreed 1941 - U.S provide Britain with war materials and supplies which would be paid for after war. Lend lease critical to Britain's ability to fight - provided £27,000m

by 1945 Britain's debt was crippling.

post-war planning

• plans for better post-war Britain necessary to:
• sustain morale - reassure public that sacrifices would bring better quality of life
• T.U's, church, politicians, all pressed their ideas for post-war reconstruction
• some social welfare bought about by war: Emergency hospital scheme - gave gov. greater control over hospitals - step toward NHS. Free milk scheme for mothers/children - step toward future 'cradle to grave' welfare state

• several measures + proposals taken before end of war:
• Beveridge report 1942 - proposals made for eliminating poverty by targetting the causes: want, sickness, lack of education, bad housing, unemployment.
• Government white paper 1944 - a 'national health service' set out guiding principles for reforms to health provision
• Town and Country Planning Act 1944 - gave local authorities power to provide new housing
• Education Act 1944 - free compulsory education up to age 15
• Family Allowances Act 1945 - accepted state should contribute to cost of bringing up families

The Emergency Powers(Defence) Act, 1939

• gave gov. unlimited authority over citizens and their property. Led to increased gov. control of economy and was basis for waging total war.
• transition to wartime economy initially slow and poorly co-ordinated until Churchill replaced Chamberlain May 1940

The War Economy

Man power and labour

• Gov. took great powers to control workforce. Ernest Bevin = Minister of Labour
• Bevin introduced form of industrial conscription - gave him power to transfer workers from non essential to essential industry
• Gov. issued over 8.5 'essential work orders' during war
• 1941 - registration for employment made compulsory + list of 'reserved occupations' created - keep people in essential jobs from being sent to war
• 1940 onward women sent to employment where labour shortages

Industry

• Industry divided into 3 priority groups - munitions, essential industries(metal+engineering), non essential industry(textiles etc)
• production centralised by setting up ministries - i.e Ministry of Supply(iron&steel production)
• Cabinet committees made sure approach was organised
• Coal industry less succesful - output fell 231m tonnes 1939 to 183m 1945 - poor industrial relations+disputes continued in coal industry

Imports

• Import of essential raw materials+machinery>food imports. Meant by 1941 food, fuel, clothing all rationed.

Rationing

• not introduced at outbreak of war
• January 1940 - Sugar, butter, bacon rationed. March - meat. July - fat + margerine
• rationing seen as means of controlling restricted supplies and stopping development of profiteering + black market

Agriculture

• Agricultural production intensified to make up shortfall of imports - 'dig for victory' promoted
• need to produce enough calories for daily diet switched production from livestock to arable
• Arable land under cultivation increased by half

Conclusions

• total mobilisation of people+resources ended depression. 1941 Britain faced labour shortage rather than unemployment.
• 1941 politicians began to think & plan in national terms. extent of centralised planning turned Britain in to a Collectivist state - made idea of gov. directing economy seem natural, desireable, and essential.
• war economy success as brought victory. Able to mobilise economically without causing unrest or major breakdowns of food & power supplies.
• managed to mobilise, equip and maintain armed forces on 3 fronts.

social mobility

• war created revolution in social mobility
• military + industrial conscription took millions away for months. Before war 50% Britons never left home.
• migration people mingled social classes
• evacuation 1m+ children from major cities mingled social classes weakened urban/rural divide

status of women

• expansion of employment = increased responsibility and independence = social / sex liberation
• women worked wherever labour shortage - 500,000 women auxillary branches armed forces
• more independent social outlook & greater respect for their capabilities

Health

• unemployment dissapeared by 1943. Higher wages + nutritional standards, despite rationing overall health improved
• state provided free milk for mothers+children - Emergency Hospital Scheme = free health care for bomb victims
• created expectations improved healthcare and welfare would be post-war gov. priority

arguements for change in social attitudes

• mixing social groups weakened class barriers led to post war demand for more equal society.
• views shifted toward more collectivist outlook. war showed how state could be force for public good
• war convinced many no need to return to inequalities of 1930's - politicians must delivery a 'land fit for heroes'
• war showed problems in housing, health, employment could be tackled. Caused belief that welfare and employment should be available as a right
• war showed what could(and should) be done - symbolised by Beveridge report

Arguements for continuity in social attitudes

• war may have paved way for future advances for women, but majority teturned to role of wife/mother after war
• Increased social mixing challenged class system but class division didn't dissapear
• war created sense of national unity - collectivist spirit not in everyone
• social impact of war is an amalgam of many millions of individual histories
• many wanted to limit rapid tide of change

• May 1945 - Germany surrender, Labour reject Churchill offer to continue coalition until Japan defeated
• Election scheduled for July - Labour won landslide - increased number MP's 154 -> 393, 48% of vote compared to Cons. 39.3%
• Labour outnumbered Cons. 2 to 1 first time ever
• Churchill resigned 26th July
• election result came as shock.

Reasons why Labour won

long term factors

• long term support coming back by 1930's - 1942 Labour had double figure lead in opinion polls
• pre-war legacy of Cons. worked against Churchill:
• inability/unwillingness to tackle unemployment
• discredited appeasement policy
• inadequacies of defence preparation

Effects of the war

• Labour ministers in war cabinet were effective and popular. Removed myth they unfit to govern.
• Labur project image they would not allow return to poverty of 1930's
• war cause major shift to left in public opinion.
• success of total war + S.U defeat of Hitler increased support for planned economy
• Labour first to endorse Beveridge Report proposal for welfare state

the election campaign

• Labour programme 'let us face the future together' fit spirit of time better than Cons. which emphasises need to defeat Japan.
• Cons. party manifesto promised 'four year plan' of social reforms - nothing concrete
• Cons. assumed they could cash in on Churchill's popularity
• Cons. campaign focused on danger to democracy that Labour posed - counter productive
• Churchill Gestapo speech on national radio huge blunder
• Cons campaign poorly managed, tone accusatory rather than crusader feel of Labour(organised by Herbert Morrison, became deputy PM)

Other factors

• 20% of electorate first time voters. Hadn't been election for 10 years - many voted Lab.
• absence of 3rd party - Libs won only 12 seats

Conclusion

• as much a vote of no confidence in past as it was a vote for future. cons ill-judged and unconvincing campaign enforced this.
• Labour victory reflected deep change in British society - looked toward egalitarianism and collectivism to deliver the 'new jerusalem'

state of the economy in 1945

• ww2 = huge financial cost
• national debt trebled, exports dropped 2/3, lend lease ended August 1945
• Labour pledged costly reform programme+ heavy foreign and imperial commitments - had to find a way to fund reform programme - key would rest on whether US could be persuaded to provided economic help the British economy required.

Government Actions

• vital for Labour to replace lend-lease with new US loan. granted loan $3.75b over 50 years at 2% interest - repayments began 1951. Also had to agree tp convertibility of sterling with dollar by 1947
• Gov. obtained loan $1.25b from Canada
• loans allowed post-war boom maintained full employment
• priority given to increasing exports and rationing continued to limit imports
• wartime control prices/wages continued
• interest kept low
• Nationalism prioritised as means controlling and stimulating economy in long term

Economic crisis, 1947

• most sever winter of century - fuel shortages, power cuts, slow down in industry output
• unemployment increased exports fell
• convertability went ahead July, so many dollars withdrawn from Britain that balance of payments crisis occured & convertability had to be suspended in August
• Crisis ended when chancellor of exchequer Stafford Cripps introduced greater austerity
• Cripps increased exports and British people had to accept stricter rationing, wage freeze, higher taxation, continued shortages. Cripps helped by £1263m Marshall aid in 1948 - end of year balance payments deficit ended

Economic crisis, 1949

• Britain's balance of payments fell into deficit - devaluation pound against dollar $4.03 -> $2.80 in September
• done reluctantly, made British exports to US cheaper by 1950 balance of playments in surplus but fell back to deficit in 1951

Conclusion

• over life of gov. manufacturing increase 50% exports even more
• Gov. control over economy = investment could be directed to pre-war blackspots
• shortages continued for ordinary Britons
• Labour ensured decent minimum standard of living. Ended long-term unemployment

Economic reforms: nationalisation

• committed to socialist ideals of public ownership of major industries through clause IV of its 1918 contitution
• 1945 nationalisation not only ideological commitment but practical politics
• state controlled much of industry during war so logical and popular to extend state control to public ownership for 'national efficiency'
• bank of England nationalised 1946
• 1946: civil aviation
• 1947: coal, cable and wireless communications
• 1948: railways, road haulage, gas, electricity
• 1949: iron and steel

The process of nationalisation

• no planning done before 1945 about how to nationalise industry
• common format quickly developed - each industry run by central board which reported to appropriate gov. minister
• little political opposition to nationalisation initially - owners 'generously' compensated
• Later Cons. opposed nationalisation of iron+steel and road haulage schemes
• Gov. made concession in transport bill to exclude small road haulier firms but fought for steel nationalisation - delayed until 1951 - Cons. pledged to denationalise steel when returned in 1951
• by 1951 Labour nationalised 1/5 British industry - 'commanding heights' of British economy
• post 1950 enthusiasm for nationalisation stopped, no attempt to nationalise further 4/5 of industry

• some beneficial growth - supply of electricity + gas expanded. Civil aviation + cable and wireless strong growth.
• improvements in working conditions - greater standardization of safety procedure in mines
• better economic balance reached - 'mixed economy' private+state ownership
• step toward fairer society - prioritising social need over private profit
• consensus among parties state control should be maintained.
• Nationalised industries lasted until 1980's

• Labour accused thinking out plan of nationalisation as it went along - no real strategy
• programme very costly; compensation to private owners = £2,700m
• much nationalised industry inefficient, run down, unprofitable. huge burden for tax payers - forced to invest large amounts to improve neglected infastructure
• admin of nationalised inustries did not include worker representation - socialast idea 'workers control' didn't happen. Many on left didn't feel nationalisation went far enough
• opportunity to nationalise and co-ordinate economic planning was missed - each industry left to go its own way. no cooperation

Political reforms

• Parliamentary reform act 1948 - changed constituency boundaries to bring them in line with changed population(deaths from wars). Reduced number MP's 640 -> 625
• Parliament Act 1949 - because Lords continuous opposition to steel nationalisation - change to 1911 Act, cut delaying power of Lords to 1 year

roots of the welfare state

• Labour reforms built on previous reforms going back as far as Lib reforms 1906-14
• 1939 - provision still uneven in coverage and inadequate breadth
• war decisive turning point - created consensus fairer society necessary
• Labour criticised for being cautious not going far enough in redistributing wealth & ending private schooling/healthcare
• welfarestate considered most important achieve of Attlee gov. State accepted responsibility for health care, housing, education, social security.

Social security

• 
  National Insurance Act 1946 - made national insurance universal and comprehensive. Workers + dependants covered for life for unemployment, sickness, old age. Benefits for widows, maternity, funeral expenses
• National assistance act 1948 - payments for those whose benefits run out and those who could not care for themselves - preventing people falling through gaps in welfare
• Industrial injuries act 1946 - benefits for injuries + illness sustained at work

housing and town planning

• housing act 1946 - Britain faced housing crisis at end of war. Labour built 1.5m houses - 80% council houses
• new towns act 1946 - represented Labour long term vision fr housing. 14 new towns planned

Education

• 1944 education act - free + compulsory education up to 15
• selection at 11+ introduced for grammar, modern, technicals(tripartite). Hoped grammar would allow academically able w/c to go to university

health

• NHS act 1946 - main hospitals under state control. fiercely resisted by doctors - resented proposal they would become state employees, concerned damage their status and income from private practice
• Labour forced to comprimise - could not run NHS without doctors. GP's paid basic salary by state but also paid for each patient on their list
• by end 1948, 90% of all doctors joined NHS

strengths of Labour welfare reforms

• NHS immensely popular - provided millions with glasses+teeth. Nations health improved & NHS admired and copied worldwide. 95% of population enrolled with NHS doctors and dentists
• family allowances helped w/c mothers
• provision free milk, orange juice cod liver oil improved nutrition of children
• most reforms universal and comprehensive
• Rowntree 3rd study in York 1951 showed definite improvement for poor
• reforms still form basis of today's welfare system

limitations of welfare reforms

• no unified system of NHS administration, quality of provision varied across country. staff shortages, outdated facilities and NHS very costly. payment for prescription had to be introduced 1951
• level of benefits remained low
• claims for compensation for industrial injuries hard to prove
• Labour failed to meet own targets for house building & private house building slowed
• tripartite benefitted those who passed 11+ but secondary moderns never gained same status or resources as grammar - technical schools barely existed