UK National Government

In the United Kingdom the term National Government is in an abstract sense used to refer to a coalition of some or all major political parties. In a historical sense it usually refers primarily to the governments of Ramsay MacDonald, Stanley Baldwin and Neville Chamberlain which held office from 1931 until 1940.

Formation

In the 1929 general election the result was a hung Parliament where neither the Conservatives nor Labour had an overall majority, whilst the Liberals held the balance of power. Labour formed a minority government under Ramsay MacDonald but found the Parliamentary situation difficult to implement their legislation over the next two years.

Related Topics:
1929 general election - Hung Parliament - Conservatives - Labour - Liberals - Ramsay MacDonald

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Later in 1929 the Wall Street Crash heralded the global Great Depression and Britain was particularly badly hit. The government found itself in the difficult position of trying to maintain Britain's economic position by maintaining the Pound on the Gold Standard, balancing the Budget and providing assistance and relief to tackle unemployment. In 1931 the situation deteriorated and there was much fear that the Budget was unbalanced, which was borne out by the independent May Report which triggered a confidence crisis and a run on the Pound. The Labour Government agreed to make changes in taxation and expenditure in order to balance the Budget and restore confidence, but could not agree to either introduce tariffs or make 20% cuts in unemployment benefit. When a final vote was taken the Cabinet was split 12:9 with the minority threatening resignation rather than accede, and including many political heavyweights. On August 24 1931 the government resigned.

Related Topics:
1929 - Wall Street Crash - Great Depression - Pound - Gold Standard - 1931 - May Report - Tariffs - August 24

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The political crisis generated much concern and the leaders of both the Conservative and Liberal parties met with King George V and MacDonald, at first to discuss support for the measures to be taken but later to discuss the shape of the next administration. On August 24 MacDonald agreed to form a National Government comprised of "men from all parties" with the specific aim of balancing the Budget and restoring confidence. The government would then dissolve itself and a general election would be held on party lines. A small Cabinet of just ten Ministers was formed to take emergency decisions, with ministerial posts divided as proportionally as possible between the three parties, though relatively few Labour members joined the government.

Related Topics:
King George V - August 24

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