Politics in Confusion

Politics in Confusion 1918-24

Coupon election 1918

First general election since representation on people act 1918
8 million new voters eligible, 6 million women and 2 million men
Election not fought on typical party lines
Coalition of Lloyd George Liberals and Conservatives continued
Lloyd George now totally dependent on Conservatives to remain in office
Conservatives saw continuation of Coalition as a good thing for them, continue in power and could remove Lloyd George anytime
Liberals still split, many areas had 2 Liberal candidates standing
‘Coupon Election’ as Lloyd George and Bonar Law gave coupons to their candidates
This let the electorate know who was genuine coalition candidate
Coalition won easily, mainly due to popularity of Lloyd George(man who won war)
Also Lloyd George offering ‘Country fit for heroes’ if remained in office
Coalition won 478 seats, 335 Conservatives, 133 Lloyd George Liberals and 10 Labour supporters
Labour won 63 seats making them the opposition for the first time
Election disaster for Liberals whose representation was halved and Asquith lost seat
Though triumph for Lloyd George as remained on power was dependent on Conservatives
Had majority enough to form own government
However, Bonar Law was admirer of Lloyd George and recognised popularity in election partially due to Lloyd George

Problems faced by coalition

Demobilisation of troops

Began by allowing those holding key civilians jobs to leave first
Protests broke out and the government changed to ‘first in first out’ policy
By 1919 4 million troops had been demobbed
Most found jobs due to post war boom
Encouraging beginning to post war Britain

Inflation

Sudden rise in inflation after end of war
Partly due to governments removal of wartime controls on prices, profits and guaranteed wage levels
Prices and profits rose but wages fell behind
Trade unions fought to protect their members, over 2000 strikes in 1919-20
However, disillusionment not caused simply by low wages
Working class had become bitter about position after life in the trenches
This only intensified the gap between the classes in Britain
The workers had been conscripted into the fighting, while the capitalists and profiteers had had earned money from the war
The government were fearful of a revolution happening as had recently taken place in Russia
Strikes and riots happened in Scotland in February and March 1919
Miners wanted 6 hour working day, 30% wage increase and continued government control of all mines
Fearful of revolution Lloyd George offered 7 hour day continued government control for time being and ordered the Sankey Commission to investigate the problem
The miners accepted the offer for a while

Economic slump 1921

2 million unemployed by end of 1921
Caused by slow decline of British economy which had been underway since 1870
The requirements of war had boosted steel, coal and textile industries
Peace meant demand fell
Many foreign buyers had been unable to obtain British goods during war and had sought other alternatives
Once the war was over British exports, Shipbuilding, textiles, coal, iron and steel never returned to previous levels

National Insurance

In 1920 the government had extended the National Insurance Act to pay unemployment for longer than the 15 weeks arranged in the 1911 Act
Boom conditions had applied and mass unemployment was not expected
After the slump of 1921 payments were outweighing contributions
Labour criticised the payments as treating the symptoms rather than finding a cure
Claimed the payments were too low
Conservatives condemned the payments as they would demoralise the workers
However, with the payments the Coalition eased the situation and could have prevented a revolution

Coal Industry troubles

Whether to remain under government control or return to private ownership
Matters worsened on 1 April 1921 when the entire industry went on strike
This was because the Sankey commission had failed to agree on a solution
Some recommended return to private some continued government control
Bitterly disappointed miners who wanted nationalisation
Lloyd George able to return mines to private ownership on findings of Sankey report
Miners felt Lloyd George, one of their own, had turned his back on them
Miners were told that due to lowering demand in exports wages would be reduced
Miners threatened general strike
On 15^th April 1921 triple alliance allies, railwaymen and transport workers, abandoned idea
Known as ‘Black Friday’ of the trade union movement
Miners continued alone for 3 months
Position was hopeless and they had to give way on all points
Soon after workers in other trades had to accept wage reductions
Shipbuilding, engineering, building, textiles, printing and railways
Lloyd George had been victorious in sense that strike had failed and general strike avoided
However, he was quickly losing popularity with working community

Reduction in Government Revenue and ‘Geddes Axe’

Lack of money coming into treasury through taxation
Caused by slump in exports and internal sales
Lowering of taxation on wages due to unemployment
And unemployment benefits being paid
Committee under supervision of Sir Eric Geddes recommended drastic cuts in expenditure
Government took advice and saved £64 million
Became known as ‘Geddes Axe’
Involved reduction of expenditure in army, navy, education, health services and building of council housing
Measures were successful but highly unpopular
Labour and Left wing Liberals criticised government and declared Lloyd George prisoner of Conservatives

Ireland

Trouble flared up in Ireland soon after 1918 election
Sinn Fein went from just 7 seats to holding majority in Ireland with 73
The Irish Nationalists fell to just 6 seats and were forgotten
The Sinn Fein members refused to take up seats in Westminster and set up their own parliament in Dublin, Dail Eireann, and proclaimed the Republic of Ireland
IRA began campaign of terror against police
Government retaliated by sending in ‘Black and Tans’
Many Liberals resented Lloyd George’s use of black and tans
Conservatives were furious union of Britain and Ireland had been destroyed
Serious for Lloyd George as future in power was dependent of Conservative support

Foreign affairs

Russia

Under pressure from Conservatives Lloyd George sent British troops to aid anti-Bolshevik forces in Russia
British troops were withdrawn having achieved nothing in 1919 as Bolsheviks were victorious
Russian communists and British admirers resented Lloyd George’s intervention
He quickly moved for Anglo-Russian trade treaty to help reconciliation

Genoa Conference 1922

Growing tension between France and Germany over reparations
Germany complaining could not afford instalments
Lloyd George sought French reductions and resuming of Russian relations with Europe
Conference failure
French refused all compromise, America refused to attend, Russia offended by demands to honour all debts by the Tsarist government
Germans and Russians withdrew and signed Rapallo agreement
Both countries wiped of debts
Other nations concerned of agreement between 2 suspect states and blamed Lloyd George

Chanak Incident 1922

Event which triggered Lloyd George’s downfall
Turks threatened to break Versailles treaty by moving troops to neutral zone
Clashing with British occupied zone
Lloyd George threatened war with the entire British Empire if the Turks overstepped boundary
Crisis passed as compromise reached
Lloyd George had failed to consult Commonwealth Prime Ministers before declaring them into war
Conservatives outraged and seen as unforgivable rashness

Fall of Lloyd George

Had been losing working class support due to actions
Labour had won 13 by elections between 1918-22
Conservatives members met at Carlton Club to discuss Lloyd George and the continuation of the coalition
Vote went 185 to 85 in favour of ending coalition
Lloyd George resigned and Bonar Law became Prime Minister
Conservatives abandoned Lloyd George for:
- Solution of Ireland with division
- Chanak incident
- Sale of Knighthoods for cash, so Lloyd George could fund own party without coalition

Political and social reforms undertaken by coalition

Sex Disqualification Removal Act 1919
Allowed women to stand for parliament
Addison Housing Act 1919
Extension of unemployment benefits
Increase in Old Age Pensions
The Rent Act 1920
Protected working class tenants against excessive rent increase

Conservatives 1922-24

Election November 1922

Conservatives won decisive victory
Won 345 seats and held majority
Liberals still divided won 62 Asquith and 54 Lloyd George
Combined 116
Labour had emerged as main opposition with 142 seats
Bonar Law resigned in May 1923 through ill health
Stanley Baldwin became Prime Minister
He supported Joseph Chamberlain’s Tariff reform and decided to give the nation the chance to cote on the matter

Tariff Reform again!

Bonar Law had previously promised that the Conservatives would not introduce Tariff reforms
Baldwin decided only fair to give voters chance to decide
Baldwin argued that tariff reform would make foreign food and goods more expensive in Britain and give a boost to British goods
He believed that the growing unemployment would therefore be ended quickly
The Liberals reunited under Asquith and campaigned under free trade
Together with Labour they argued free trade would keep down the cost of food and living for British workers
Conservatives won 258 seats, Labour 191 and Liberals 159
This was a clear defeat for protectionism
Labour would form a minority government for the first time with the support of the Liberals

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