Why was a National government Formed in 1931?

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  • Created by: GrB
  • Created on: 02-05-17 21:14

Why was a National Government formed in 1931?

Events leading to the formation:

. MacDonald's cabinet disagreed about the necessary cuts, a figure of £56 million was considered (deficit of £120 million)

.Snowden proposed cuts of £78 milion but the TUGC and the Labour National Executive would not agree (Bevin and Citrine didn't want bankers to dictate policy)

.Cabinet eventually agreed on £56 million but MacDonald insisted it wasn't enough, divisions formed and a compromise of £68.5 million was reached

.MacDonald met with the king saying his cabinet would not agree to the necessary cuts of £78 million, opposition leaders met with the kin and agreed to serve in a coalition

.MacDonald's cabinet agreed an extra £10 million in cuts but only by 11-9 many amongst the 9 being key ministers (eg. Henderson and Clynes), there was too much division to continue

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