History of the Labour Party

• The Labour Party was founded in 1900 on socialist principles. Aimed to take a parliamentary and peaceful route to socialism. It has been shown to be more committed to social democracy which seeks to reform capitalism as opposed to overthrowing.
• In the 1945 General Election, Labour came into power under Clement Attlee. They campaigned to deliver reforms following the horrors of World War 2. Labour developed a Welfare State and oversaw the creation of the NHS
• Old Labour believed that people are of equal worth and there should be no inequality in society. However New Labour believed in individualism, that each person should realise their own potential.
• Old Labour believed that Capitalism must be controlled, and redistribution of wealth was necessary.
• New Labour accepted the Conservative privatisation programmes, moving away from traditional Labour policies on tax and spending. They accepted that a free market is the best form of wealth creation
• What was Claude IV of the Labour Manifesto?

  Outlined the party’s belief in the need for wealth to be distribution and in state ownership of main national industries (nationalisation)
• Under the leadership of Tony Blair, Clause IV of the party constituiton was reworded
• Example of a way Blair accepted Thatcher’s economic reforms

  Kept the top rate of taxation at 40 % (which was done by Thatcher’s chancellor, Nigel Lawson)
• New Labour policy that showed the state was more of an ‘enabler; rather than a provider

  State schools were given greater independence from local authorities and tuition fees were introduced so that students have to contribute towards the cost of their higher education
• What did New Labou introduce to combat crime?

  Anti social behaviour orders
• How did New Labour remain committed to social justice?

  Introduced the minimum wage and significantly increased spending on public services