Liberalism and the National Government, 1931 – 1940
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Liberalism AnD tHe National Government, 1931 – 1940 The National Government of 1931 was formed as a result of the collapse of the Labour administration in the face of economic crisis. Politicians of the three main parties came together in an atmosphere of fear: fear of a collapse in the value of the pound sterling; fear of a repetition in Britain of the hyper- oalitions in the British the Lib–Lab Pact of 1977–78.1 The inflation that had system are most likely other type of situation is the coali- wrecked the German to be the product of one tion that grows out of a national of two very different emergency – the intrusion of exter- economy in the early sorts of situation. A coa- nal factors which compel parties to Clition can, as in 2010, be the result of put their parochial differences aside 1920s. The government arithmetical necessity. Only by two and unite in the face of a common so formed was to last or more parties coming together threat from beyond Westminster, can a parliamentary majority be usually war. The coalitions of 1915 until 1940. Dr David assembled and the hazards and and 1940 self-evidently fall into instability of minority administra- this category. But so too does the Dutton examines the tion be avoided. Sometimes such National Government of 1931–40.2 impact of the National an arrangement falls some way The external threat may not in this short of full coalition as in the case case have been war, but the leading Government on the of the Liberal Party’s generally actors in the drama appear to have benevolent attitude towards the believed that the economic crisis of Liberal Party. first Labour government in 1924 or 1931 was the most serious challenge 38 Journal of Liberal History 72 Autumn 2011 Liberalism AnD tHe National Government, 1931 – 1940 to have faced the country since the notwithstanding its dramatic elec- was achieved after the general elec- German spring offensive of 1918. toral setback in 1931. Even in that tions of 1923 and 1929, and, as has Politicians of the three main parties year, despite dropping to just fifty- often been pointed out, the Liberal came together in an atmosphere of two MPs, Labour held on to 30.6 per Party let itself down by failing fear: fear of a collapse in the value cent of the popular vote, marginally to use this position to extract an of the pound sterling; fear of a rep- higher than the percentage that had agreed programme of Liberal goals etition in Britain of the hyper-infla- brought the party to government from the minority Labour gov- tion that had wrecked the German after the general election of 1923. ernment that was formed on each economy in the early 1920s.3 Moreover, irrespective of the fig- occasion.8 Their problem, however, As Neville Chamberlain put it, ures, the events of 1931 confirmed was deeper and more fundamen- ‘the problem was to restore foreign a Conservative–Labour duopoly as tal. Liberals in the 1920s could not confidence in British credit. This the only two serious contenders for give a clear answer to the question could only be done by announcing power in the British polity after the of which of the two larger parties such a cut in national expenditure as brief experience of three-party pol- they would prefer to support in would convince him [the foreigner] itics in the 1920s. No, the real losers office. Indeed, not even individual that we had sufficient courage to of this time were the Liberals, even Liberal politicians of this era gave tackle the situation.’4 And, as this though the economic crisis and the consistent answers to this question. task proved beyond the capacity resulting formation of a National While Lloyd George moved from of Ramsay MacDonald’s Labour Government brought them back being the head of a Conservative– Cabinet, the three party leaders into government for the first time in Liberal coalition in the early 1920s, accepted the king’s suggestion of a almost a decade. to seeking an agreement to sustain National Government.5 For most of To understand the prob- Ramsay MacDonald’s minority its existence, however, the National lems experienced by the Liberal Labour administration at the end Government had a further, politi- Party in relation to the National Left: five Liberal of the decade, other Liberal lumi- cal, purpose – to keep the irrespon- Government, a word must be said ministers in naries moved in the opposite direc- sible Labour Party out of power. In about their experience of the previ- Downing Street tion. John Simon, who declared in some ways, therefore, it represented ous decade. During the 1920s, the in October 1931, 1922 that, when it came to practi- the belated triumph of the 1920s party, which had been the govern- just before the cal business, the immediate objects coalitionists, those who believed ing party of 1914, dropped rapidly calling of the he wanted to pursue were objects that only cooperation between to third place in the British politi- general election. which Labour men and women Conservatives and Liberals could cal system, scarcely having had From left: Sir also wanted to pursue,9 had by 1930 block Labour’s seemingly remorse- time to savour the status of being Donald Maclean, become the leading opponent of less rise – this, even though the two His Majesty’s Opposition. In such Lord Lothian, Lloyd George’s pro-Labour strat- leading Conservative architects of a position, though Liberals could Sir Archibald egy and was opening secret nego- the National Government, Stanley still talk optimistically of a future Sinclair, Sir tiations for a parliamentary pact Baldwin and Neville Chamberlain, Liberal government, in their more Herbert Samuel, with the Conservatives.10 Though had both been in the anti-coalition- sober moments they understood Lord Reading the dilemma of 1931 and beyond ist camp in the Tory split of 1922.6 that their more realistic ambition (Manchester was not occasioned by the same Yet Labour was not the real loser of was to hold the balance of power in Guardian, 3 sort of parliamentary arithmetic the era of National Government, a hung parliament.7 This, of course, October 1931). as had existed in 1923 and 1929, the Journal of Liberal History 72 Autumn 2011 39 Liberalism AnD tHe nAtional Government, 1931–1940 problem was fundamentally the office, while the Labour govern- majority of Liberal candidates same. Opposition to Labour as the ment – which had caused such as National Liberals to indicate party which had run away from divisions in the Liberals’ ranks that they were supportive of the the economic crisis was not suffi- – was now consigned to history. National Government, a categori- cient to hold many Liberals within But this internal harmony did not sation which included almost all, a Conservative-dominated admin- last long, as the purpose and func- even if with varying degrees of istration. Indeed, by the time of the tion of the National Government enthusiasm, apart from the small, 1935 general election many Liberals, quickly changed. At its formation in largely family, group surround- Lloyd George included, were back August, noted Austen Chamberlain, ing Lloyd George, who unequivo- to seeing Labour as their partner of the idea was for ‘a national govt cally opposed the holding of an preference.11 to deal with the present financial election. For this minority the As I have written elsewhere, the emergency. Not a coalition but designation of ‘Liberal’ or ‘inde- chief problem for the Liberals in cooperation. Dissolved as soon as its though pendent Liberal’ was reserved. their association with the National immediate task is accomplished and the previ- Samuel himself used the descrip- Government was the effect that it the following general election to be tion ‘Liberal and National candi- had on their unity.12 Indeed, the fought by the three Parties inde- ous period date’ in his address to the electors fragmentation of the Liberal Party pendently.’16 Within weeks, how- of Darwen in Lancashire.19 Lists did was, from the outset, an objective ever, the Tories, supported by those of Labour exist to differentiate the Samuelite of at least one leading Conservative. Liberals who looked to Simon for and Simonite camps, but even these Neville Chamberlain was deter- leadership, were pressing for a gen- government were not definitive and a few names mined that the Liberal Party should eral election fought by the National appeared on both. Samuelites were be made ‘to face up to the fiscal Government on the issue of tar- had served far more likely to be opposed by decision … The decision will split iffs. Around this proposition three Conservatives than were Simonites, it from top to bottom and … will separate Liberal factions began to to re-open but again this was not a hard and end it, the two sections going off coalesce. fast rule and there were excep- in opposite directions, and bring The Conservative Business and in some tions. Some MPs were remarkably us back nearly to the two party sys- Committee, the Shadow Cabinet of successful in misleading their elec- tem.’13 To begin with, of course, the the day, meeting on 24 September, cases to torates as to their true affiliation. entire Liberal Party gave its support were ‘all agreed as to the great Right down to 1935, Huddersfield’s to the National Government. Two importance of pitching our tariff reconfigure MP, William Mabane, managed to places in the Emergency Cabinet of demands high enough to make sure present himself as a Samuelite in ten, Herbert Samuel at the Home of getting rid of Samuel and, if pos- the divisions the constituency while behaving Office and the Marquess of Reading sible, Reading’.17 At the same time as a Simonite at Westminster.20 In a surprise appointment as Foreign Leslie Hore-Belisha took the lead in that had Dumfriesshire Dr Joseph Hunter Secretary, with additional senior organising a memorial to the prime plagued Lib- said little about his precise alle- posts for Donald Maclean, Lord minister, MacDonald, promising giance before suddenly announc- Lothian, Archie Sinclair and the unqualified support for any meas- eralism since ing in 1934 that he had accepted Marquess of Crewe, was a reason- ures necessary in the interests of the appointment as National Organiser able reward considering the respec- country.