Britain's Political Transformation (1918-1922): The Lloyd George Coalition Era
David Lloyd George emerged as a pivotal figure in British politics following World War I. Despite his popularity, his lack of a dedicated political party led to the innovative 'coupon' scheme, where Conservative support became crucial for his governance. The 1918 election results showed Conservatives backing Lloyd George winning 345 seats, while his Liberals secured 133 seats, demonstrating the coalition's dominance.
Ireland presented a significant challenge during this period. The Easter Rising of 1916 and Sinn Fein's subsequent electoral success with 73 seats highlighted the growing tensions between Protestant Northeast Ireland and Catholic South Ireland. This complex situation ultimately strengthened Conservative influence within the coalition rather than Lloyd George's personal authority.
Industrial relations faced severe challenges post-war. Britain's industrial sector lagged behind competitors, having missed the Second Industrial Revolution's innovations in chemicals, consumer goods, and engineering. The coal industry's push for nationalization led to the establishment of the Sankey Commission, though this was largely a Conservative delaying tactic.
Highlight: The Geddes Axe exemplified the return to Gladstonian economics, implementing significant government spending cuts despite Labour opposition.
The economic landscape was marked by 50% inflation 1918−1919, benefiting property owners while challenging those with fixed incomes. The debate over returning to the Gold Standard highlighted the tension between monetary stability and economic growth. The implementation of the Geddes Axe, focusing on budget balancing rather than economic stimulus, reflected a clear return to traditional Conservative fiscal principles.