New Liberalism

New Liberalism and Motives for Reforms

The Liberal Party:

• In the late 1800s, British politics was dominated by two major parties: the Conservatives and the Liberals.
• While the Liberals were often seen as the party most likely to gain working-class support, many of their members and MPs did not favor changing the government's laissez-faire approach to poverty.

The Emergence of New Liberals:

• Prime Minister Henry Campbell Bannerman, an 'Old Liberal,' passed away in 1908 and was succeeded by Herbert Asquith, who was more supportive of change.
• Asquith appointed individuals like David Lloyd George and Winston Churchill, the 'New Liberals,' who advocated for a different approach to addressing poverty.

David Lloyd George:

• Lloyd George's upbringing exposed him to the challenges faced by many in Britain, as his father's death forced the family to move.
• He initially trained as a lawyer before becoming involved in local and national politics.

1906 Election Result:

• In the 1906 election, Labour gained 29 MPs, comprising less than 5% of the total number of MPs in Parliament. Their share of the vote was only 4.8%.
• In contrast, the Liberals secured 397 MPs, nearly 14 times as many as Labour.
• This suggests that the Liberals had no immediate threat from Labour and acted out of genuine belief in their reforms.

The New Liberals' Vision:

• Lloyd George and fellow New Liberals believed that society should be fairer, leading to a more prosperous and strong Britain.
• The size of the Liberal Party in comparison to Labour indicates that their concern for social issues was not driven by electoral competition but by genuine conviction.

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New Liberalism

Internal Opposition within Liberals:

• Many other Liberals, including former Liberal leader Lord Rosebery, strongly opposed some of the party's plans.
• Some Liberal MPs elected before 1906 had not previously taken significant action to improve the lives of the working class, possibly prompted by the rise of Labour.

The People's Budget:

• Lloyd George introduced the People's Budget in 1909, aiming to raise funds to tackle poverty and finance welfare reform.
• It proposed taxing land owned by wealthy individuals in Britain and increasing taxes on alcohol and tobacco.

Reaction to the Budget:

• The People's Budget triggered outrage in British politics, with the House of Lords refusing to agree to it.
• In response, the Liberals dissolved the government and called two general elections in 1910, leading to the 1911 Parliament Act, which curtailed the House of Lords' power.

A "War Budget"

• Lloyd George described his budget as a "war budget", with the "war" being the fight against extreme poverty in Britain.
• Interestingly, the budget also allocated £3 million for new Dreadnought ships, suggesting that military concerns might have taken precedence over social reforms for some Liberals.

Conclusion:

New Liberalism marked a significant shift within the Liberal Party, as leaders like David Lloyd George championed social reforms and a more active role of government in addressing poverty. The Liberals' commitment to these reforms was evident in their willingness to call elections and enact significant changes despite the budget's controversial nature.