Second MacDonald ministry: Difference between revisions
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The government lacked a parliamentary [[majority]], gaining 288 seats with 8,300,000 votes compared to the Conservatives 255 seats with 8,560,000 votes - a victory based on first past the post.They needed Lloyd-George's 58 Liberal seats to pass any legislation. They also faced the problems stemming from the impact of the [[Great Depression]]. On the one hand, international bankers insisted that strict budget limits be kept, on the other trade unions and, particularly, unemployed workers' organizations carried on regular and massive protest actions, including a series of [[hunger marches]]. |
The government lacked a parliamentary [[majority]], gaining 288 seats with 8,300,000 votes compared to the Conservatives 255 seats with 8,560,000 votes - a victory based on first past the post.They needed Lloyd-George's 58 Liberal seats to pass any legislation. They also faced the problems stemming from the impact of the [[Great Depression]]. On the one hand, international bankers insisted that strict budget limits be kept, on the other trade unions and, particularly, unemployed workers' organizations carried on regular and massive protest actions, including a series of [[hunger marches]]. |
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The Government did try to pass legislation, such as the [[Coal Mines Act 1930]], which provided for a 71/2 hour shift in mines. Owners were guaranteed coal prices through the introduction of a production quota system among collieries, thus doing away with cut-throat competition. This guarantee was introduced in order to prevent a fall in miners’ wages.<ref>Higher School Certificate History by B. Hodge, B.A. (Hons.) and W.L. Mellor, B.A., Dip.Ed.</ref> However, this |
The Government did try to pass legislation, such as the [[Coal Mines Act 1930]], which provided for a 71/2 hour shift in mines. Owners were guaranteed coal prices through the introduction of a production quota system among collieries, thus doing away with cut-throat competition. This guarantee was introduced in order to prevent a fall in miners’ wages.<ref>Higher School Certificate History by B. Hodge, B.A. (Hons.) and W.L. Mellor, B.A., Dip.Ed.</ref> The Act also introduced a cartel scheme to allocate production quotas to pits under the control of a central council, while a Mines Reorganisation Commission was established to encourage efficiency through amalgamations. However, this legislation largely ignored by the mine owners due to Labours' lack of enforcement powers.<ref>The Longman Companion to The Labour Party 1900-1998 by Harry Harmer</ref> There was also the Land Utilisation Act of 1931, which would have given Labour powers to purchase land anywhere in the United Kingdom, but it was mauled by the House of Lords and had no backing from the treasury, so it was essentially a "dead letter". Other acts passed include the [[Agricultural Marketing Act 1931]] (which established a board to fix prices for produce),<ref>Higher School Certificate History by B. Hodge, B.A. (Hons.) and W.L. Mellor, B.A., Dip.Ed.</ref> Greenwood's [[Housing Act 1930]] (which provided subsidies for slum clearance<ref>Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo</ref>) and the [[London Transport Bill 1931]] - see [[London Passenger Transport Board]] - this was made legislation in 1933, after the Government had fallen. |
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Immediate measures carried out by the government upon taking office included a temporary amendment of the Unemployment Insurance Acts, increasing the State contribution to the Fund, a Development Act authorising grants up to £25,000,000 and a further £25,000,000 in guarantees for public works schemes designed to reduce unemployment, a parallel Colonial Development Act authorising grants up to £1,000,000 a year for schemes in the Colonies, a measure continuing at the existing levels the subsidies under the Housing Acts, which the Conservatives had threatened to reduce, and a removal of the appointed Guardians whom the Conservatives had put in office in place of the elected Boards in Bedwellty, Chester-le-Street, and Westham.<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref> |
Immediate measures carried out by the government upon taking office included a temporary amendment of the Unemployment Insurance Acts, increasing the State contribution to the Fund, a Development Act authorising grants up to £25,000,000 and a further £25,000,000 in guarantees for public works schemes designed to reduce unemployment, a parallel Colonial Development Act authorising grants up to £1,000,000 a year for schemes in the Colonies, a measure continuing at the existing levels the subsidies under the Housing Acts, which the Conservatives had threatened to reduce, and a removal of the appointed Guardians whom the Conservatives had put in office in place of the elected Boards in Bedwellty, Chester-le-Street, and Westham.<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref> |
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The Widows’ and Old Age Pensions Act was amended to cover some hundreds of thousands of additional pensioners, under improved conditions<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref>, with the inclusion of widows between the ages of 55 and 70.<ref>Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo</ref> A further unemployment insurance Act re-drafted the terms of benefit, so as to remove the major part of the grievance relating to the disqualification of persons alleged to be “not genuinely seeking work,” which led to greater numbers of people acquiring unemployment assistance.<ref>Industrialisation and society: a social history, 1830-1951 by Eric Hopkins</ref> Other measures carried out in 1929-30 included the Road Traffic Act(which introduced third party insurance to compensate for property damage and personal injury, and made better provisions for road safety<ref>Wheels on the Road by S.E. Ellacott</ref>), the Land Drainage Act(which provided some degree of progress in river management,<ref>A history of water in modern England and Wales by John Hassan</ref> the Public Works Facilities Act (conferring easier borrowing powers), and the [[Mental Treatment Act 1930]]. The 1930 Labour budget provided for largely increased expenditure, contained measures to prevent tax evasion, raised the standard rate of income tax as well as the surtax while making concessions to the smaller taxpayer.<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref> Another housing act was passed, concerned with the provision of more and better rural housing, and a town and country planning act gave local authorities more power to control local and regional planning.<ref>Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo</ref> |
The Widows’ and Old Age Pensions Act was amended to cover some hundreds of thousands of additional pensioners, under improved conditions<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref>, with the inclusion of widows between the ages of 55 and 70.<ref>Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo</ref> A further unemployment insurance Act re-drafted the terms of benefit, so as to remove the major part of the grievance relating to the disqualification of persons alleged to be “not genuinely seeking work,” which led to greater numbers of people acquiring unemployment assistance.<ref>Industrialisation and society: a social history, 1830-1951 by Eric Hopkins</ref> Other measures carried out in 1929-30 included the Road Traffic Act(which introduced third party insurance to compensate for property damage and personal injury, and made better provisions for road safety<ref>Wheels on the Road by S.E. Ellacott</ref>), the Land Drainage Act(which provided some degree of progress in river management,<ref>A history of water in modern England and Wales by John Hassan</ref> the Public Works Facilities Act (conferring easier borrowing powers), and the [[Mental Treatment Act 1930]]. The 1930 Labour budget provided for largely increased expenditure, contained measures to prevent tax evasion, raised the standard rate of income tax as well as the surtax while making concessions to the smaller taxpayer.<ref>A History of the Labour Party from 1914 by G.D.H. Cole</ref> Another housing act was passed, concerned with the provision of more and better rural housing, and a town and country planning act gave local authorities more power to control local and regional planning.<ref>Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo</ref> |
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The Unemployment Insurance Act of 1929 scrapped the “genuinely seeking work” clause in unemployment benefit (which was originally abolished by the First labour government in 1924, and reintroduced by the Conservatives in 1928), increased dependants’ allowances, extended provision for the long-term unemployed, relaxed eligibility conditions, and introduced an individual means test. The National Health Insurance (Prolongation of Insurance) Act of 1930 extended provision of health insurance to unemployed males whose entitlement had run ou, while the Poor Prisoners Defence Act of 1930 introduced criminal legal aid for appearances in magistrates’ courts. The Housing (Scotland) Act and Housing Act 1930 provided local authorities with additional central government subsidies to construct new homes for people who had been moved out of slum clearance areas. However, the “Anomalies” Act of 1931 removed the right of casual workers and married women to claim unemployment benefit.<ref>The Longman Companion to The Labour Party 1900-1998 by Harry Harmer</ref> |
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The 1930 Poor Law Act abolished the workhouse test<ref>The Evolution of the British Welfare State by Derek Fraser</ref> and replaced the Poor Law with public bodies known as Public Assistance Committees for the relief of the poor and destitute, while Poor Law hospitals came under the control of local authorities.<ref>A companion to early twentieth-century Britain by Chris Wrigley</ref> The lid was kept on the (then) ever present risk of a naval arms race, while the system of naval officer recruitment was reformed to make it less difficult for working-class sailors to secure promotion from the ranks.<ref>Serving the People: Co-operative Party History from Fred Perry to Gordon Brown</ref> Spending on public works was also accelerated,<ref>The People’s Party: the History of the Labour Party by Tony Wright and Matt Carter</ref> although this proved to be inadequate in dealing with the mass unemployment caused by the [[Great Depression]]. |
The 1930 Poor Law Act abolished the workhouse test<ref>The Evolution of the British Welfare State by Derek Fraser</ref> and replaced the Poor Law with public bodies known as Public Assistance Committees for the relief of the poor and destitute, while Poor Law hospitals came under the control of local authorities.<ref>A companion to early twentieth-century Britain by Chris Wrigley</ref> The lid was kept on the (then) ever present risk of a naval arms race, while the system of naval officer recruitment was reformed to make it less difficult for working-class sailors to secure promotion from the ranks.<ref>Serving the People: Co-operative Party History from Fred Perry to Gordon Brown</ref> Spending on public works was also accelerated,<ref>The People’s Party: the History of the Labour Party by Tony Wright and Matt Carter</ref> although this proved to be inadequate in dealing with the mass unemployment caused by the [[Great Depression]]. |
Revision as of 17:42, 5 October 2011
The Second Labour Government was formed by Ramsay MacDonald on his second appointment as Prime Minister of the United Kingdom on 5 June 1929. As the name suggests it was the second occasion on which the Labour Party had formed a government; the first Labour government held office during 1924.
The government lacked a parliamentary majority, gaining 288 seats with 8,300,000 votes compared to the Conservatives 255 seats with 8,560,000 votes - a victory based on first past the post.They needed Lloyd-George's 58 Liberal seats to pass any legislation. They also faced the problems stemming from the impact of the Great Depression. On the one hand, international bankers insisted that strict budget limits be kept, on the other trade unions and, particularly, unemployed workers' organizations carried on regular and massive protest actions, including a series of hunger marches.
The Government did try to pass legislation, such as the Coal Mines Act 1930, which provided for a 71/2 hour shift in mines. Owners were guaranteed coal prices through the introduction of a production quota system among collieries, thus doing away with cut-throat competition. This guarantee was introduced in order to prevent a fall in miners’ wages.[1] The Act also introduced a cartel scheme to allocate production quotas to pits under the control of a central council, while a Mines Reorganisation Commission was established to encourage efficiency through amalgamations. However, this legislation largely ignored by the mine owners due to Labours' lack of enforcement powers.[2] There was also the Land Utilisation Act of 1931, which would have given Labour powers to purchase land anywhere in the United Kingdom, but it was mauled by the House of Lords and had no backing from the treasury, so it was essentially a "dead letter". Other acts passed include the Agricultural Marketing Act 1931 (which established a board to fix prices for produce),[3] Greenwood's Housing Act 1930 (which provided subsidies for slum clearance[4]) and the London Transport Bill 1931 - see London Passenger Transport Board - this was made legislation in 1933, after the Government had fallen.
Immediate measures carried out by the government upon taking office included a temporary amendment of the Unemployment Insurance Acts, increasing the State contribution to the Fund, a Development Act authorising grants up to £25,000,000 and a further £25,000,000 in guarantees for public works schemes designed to reduce unemployment, a parallel Colonial Development Act authorising grants up to £1,000,000 a year for schemes in the Colonies, a measure continuing at the existing levels the subsidies under the Housing Acts, which the Conservatives had threatened to reduce, and a removal of the appointed Guardians whom the Conservatives had put in office in place of the elected Boards in Bedwellty, Chester-le-Street, and Westham.[5]
The Widows’ and Old Age Pensions Act was amended to cover some hundreds of thousands of additional pensioners, under improved conditions[6], with the inclusion of widows between the ages of 55 and 70.[7] A further unemployment insurance Act re-drafted the terms of benefit, so as to remove the major part of the grievance relating to the disqualification of persons alleged to be “not genuinely seeking work,” which led to greater numbers of people acquiring unemployment assistance.[8] Other measures carried out in 1929-30 included the Road Traffic Act(which introduced third party insurance to compensate for property damage and personal injury, and made better provisions for road safety[9]), the Land Drainage Act(which provided some degree of progress in river management,[10] the Public Works Facilities Act (conferring easier borrowing powers), and the Mental Treatment Act 1930. The 1930 Labour budget provided for largely increased expenditure, contained measures to prevent tax evasion, raised the standard rate of income tax as well as the surtax while making concessions to the smaller taxpayer.[11] Another housing act was passed, concerned with the provision of more and better rural housing, and a town and country planning act gave local authorities more power to control local and regional planning.[12]
The Unemployment Insurance Act of 1929 scrapped the “genuinely seeking work” clause in unemployment benefit (which was originally abolished by the First labour government in 1924, and reintroduced by the Conservatives in 1928), increased dependants’ allowances, extended provision for the long-term unemployed, relaxed eligibility conditions, and introduced an individual means test. The National Health Insurance (Prolongation of Insurance) Act of 1930 extended provision of health insurance to unemployed males whose entitlement had run ou, while the Poor Prisoners Defence Act of 1930 introduced criminal legal aid for appearances in magistrates’ courts. The Housing (Scotland) Act and Housing Act 1930 provided local authorities with additional central government subsidies to construct new homes for people who had been moved out of slum clearance areas. However, the “Anomalies” Act of 1931 removed the right of casual workers and married women to claim unemployment benefit.[13]
The 1930 Poor Law Act abolished the workhouse test[14] and replaced the Poor Law with public bodies known as Public Assistance Committees for the relief of the poor and destitute, while Poor Law hospitals came under the control of local authorities.[15] The lid was kept on the (then) ever present risk of a naval arms race, while the system of naval officer recruitment was reformed to make it less difficult for working-class sailors to secure promotion from the ranks.[16] Spending on public works was also accelerated,[17] although this proved to be inadequate in dealing with the mass unemployment caused by the Great Depression.
In the summer of 1931, the government was gripped by a political and financial crisis as the value of the pound and its place on the Gold Standard came under threat over fears that the budget was unbalanced. During August 1931, the Cabinet struggled to produce budget amendments that were politically acceptable but proved unable to do so without causing mass resignations and a fullscale split in the party. The particular issue on which the split occurred was the vote of the cabinet after much discussion to reduce benefit paid to unemployed people under the National Assistance scheme. On 24 August 1931 the government formally resigned.
It was succeeded by the First National Ministry, also headed by Ramsay MacDonald and made up of members of Labour, the Conservatives and Liberals, calling itself a National Government. Macdonald was subsequently expelled from the Labour Party, and the circumstances of the downfall of the Second Labour Government and its replacement by the National Government have provoked massive controversy ever since.
Members of the Cabinet are in bold face.
References
- ^ Higher School Certificate History by B. Hodge, B.A. (Hons.) and W.L. Mellor, B.A., Dip.Ed.
- ^ The Longman Companion to The Labour Party 1900-1998 by Harry Harmer
- ^ Higher School Certificate History by B. Hodge, B.A. (Hons.) and W.L. Mellor, B.A., Dip.Ed.
- ^ Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo
- ^ A History of the Labour Party from 1914 by G.D.H. Cole
- ^ A History of the Labour Party from 1914 by G.D.H. Cole
- ^ Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo
- ^ Industrialisation and society: a social history, 1830-1951 by Eric Hopkins
- ^ Wheels on the Road by S.E. Ellacott
- ^ A history of water in modern England and Wales by John Hassan
- ^ A History of the Labour Party from 1914 by G.D.H. Cole
- ^ Labour’s First Century by Duncan Tanner, Pat Thane, and Nick Tiratsoo
- ^ The Longman Companion to The Labour Party 1900-1998 by Harry Harmer
- ^ The Evolution of the British Welfare State by Derek Fraser
- ^ A companion to early twentieth-century Britain by Chris Wrigley
- ^ Serving the People: Co-operative Party History from Fred Perry to Gordon Brown
- ^ The People’s Party: the History of the Labour Party by Tony Wright and Matt Carter