Published online by Cambridge University Press: 11 February 2009
‘Socialist planning’ was a notable, if unlikely casualty of Labour government after the Second World War. Between 1931 and the election victory of 1945, central economic planning was, in the words of G.D.H. Cole, the ‘professed creed of the Labour Party’. Depression and war demonstrated that the anarchy of free-market capitalism had to ‘give way to ordered planning under national control’. Labour won the election of 1945 with a commitment to ‘plan from the ground up’ through the socialization of industry, the establishment of a national investment board and the use of wide-ranging economic controls. Planning was the defining characteristic of Labour's socialism in this period and it could indeed be argued that the party did not find so effective a political rhetoric until ‘Labour and the scientific revolution’ in 1963.
1 A version of this paper was presented to the seminar on twentieth-century British politics at the Institute for Historical Research and I express my appreciation to the participants for their comments, Professor Ben Pimlott in particular. I would like to thank Sir Henry Phelps Brown, Lord Diamond, Lord Jay and Dr John Bowlby for interviews. I am particularly grateful to Mrs Marjorie Durbin and Dr Elizabeth Durbin for their generous and invaluable help.
2 Cole, G. D. H., ‘Planning and socialism’, New Statesman and Nation (London), 9 05 1936Google Scholar.
3 Labour party, The old world and the new society (London, 1942)Google Scholar.
4 Labour party, Let us face the future (London, 1945)Google ScholarPubMed.
5 Parliamentary debates (Commons), 5th series, vol. 474, 18 04 1950, c. 40Google Scholar.
6 Cairncross, Alec, Years of recovery (London, 1985), p. 303Google Scholar.
7 See ibid.; Barker, R. S., ‘Civil service attitudes and the economic planning of the Attlee government’, Journal of Contemporary History, XXI (1986), 473–86CrossRefGoogle Scholar.
8 Beer, Samuel, Modern British politics (London, 1965), ch. IIGoogle Scholar; Panitch, Leo, Social democracy and industrial militancy (Cambridge, 1976), ch. ICrossRefGoogle Scholar.
9 See Addison, Paul, The road to 1945 (London, 1975), ch. XGoogle Scholar: Budd, Alan. The politics of economic planning (London, 1978), ch. IVGoogle Scholar.
10 Shonfield, Andrew, British economic policy since the war (Harmondsworth, 1959 edn), p. 169Google Scholar.
11 In particular, see Durbin, Elizabeth, New Jerusalems (London, 1985)Google Scholar and Pimlott, Ben, Labour and the left in the 1930s (Cambridge, 1977), ch. IVCrossRefGoogle Scholar.
12 Durbin, E. F. M., ‘The importance of planning’, in Catlin, G. E. G. (ed.), New trends in socialism (London, 1935), p. 152Google Scholar.
13 Leruez, Jacques, Economic planning and politics in Britain (London, 1975), trans. Harrison, Martin, p. 31Google Scholar.
14 Pimlott, Ben (ed.), The second world war diaries of Hugh Dalton (London, 1986), 31 Oct. 1940, p. 96Google Scholar.
15 British Library of Political and Economic Science [hereafter B.L.P.E.S.], Evan Durbin papers, 3/2 1945 election literature; see also Tottenham and Edmonton Weekly Herald (London), 3 08 1945Google Scholar.
16 Lord Diamond, interview, 26 July 1988.
17 See Crosland, C. A. R., The future of socialism (London, 1956)Google Scholar; R. H. S. Crossman, ‘Towards a new philosophy of socialism’ and Jenkins, Roy, ‘Equality’, in Crossman, R. H. S. (ed.), New Fabian essays (London, 1952)Google Scholar.
18 Dr John Bowlby, interview, 10 Oct. 1988.
19 B.L.P.E.S., Evan Durbin papers, 3/2, Durbin to Reginald Bassett, 10 June 1945.
20 Foote, Geoffrey, The Labour party's political thought (London, 1985), p. 198Google Scholar; see also Rodgers, William, The politics of change (London, 1982), pp. 4–7Google Scholar; Marquand, David, The unprincipled society (London, 1988), p. 26Google Scholar and ‘Phoenix from the ashes: revising the progressive tradition’, in Kilmarnock, Alastair (ed.), The radical challenge (London, 1987), pp. 19–23Google Scholar; Warde, Alan, Consensus and beyond (Manchester, 1982)Google Scholar; Clarke, Peter, ‘Liberals and Social Democrats in historical perspective’ in Bogdanor, Vernon (ed.), Liberal party politics (Oxford, 1938), pp. 28–40Google Scholar; against this, see Bryan, D. E. H., ‘The development of revisionist thought among British Labour intellectuals and politicians, 1931–1964’ (unpublished D. Phil, thesis, Oxford, 1984)Google Scholar.
21 B.L.P.E.S., Evan Durbin papers, 4/7, Report of the twenty-ninth Annual General Meeting of Edmonton Borough Labour party, 27 Feb. 1947.
22 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Parliamentary institutions and economic planning’, no date [1945–1948]Google Scholar.
23 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Nationalisation’, no date [1945–1948]Google Scholar.
24 Durbin, E. F. M., Problems of economic planning (London, 1949), XGoogle Scholar; see Robbins, Lionel, The great depression (1934)Google Scholar; Hayek, F. A. (ed.), Collectivist economic planning (1935)Google Scholar; Hayek, F. A., The road to serfdom (1944)Google Scholar.
25 Durbin, , ‘The importance of planning’, in Catlin, , New trends, pp. 149–50Google Scholar.
26 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Parliamentary institutions and economic planning’, no date [1945–1948]Google Scholar.
27 See Durbin, Elizabeth, New Jerusalems, pp. 175–9Google Scholar.
28 B.L.P.E.S., Evan Durbin papers, 6/1, Durbin to Maurice Dobb, 21 July 1942; see also Durbin, E. F. M., ‘Economic calculus in a planned economy’, Economic Journal, XLVI (1936), 679–90Google Scholar.
29 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Notes on the movement of labour’, no date [1945–1948]Google Scholar.
30 B.L.P.E.S., Evan Durbin papers, 4/1, ‘Economic planning and political liberty’, no date [03 1940]Google Scholar.
31 Durbin, E. F. M., ‘Professor Hayek and political liberty’, Economic Journal, LV (1945), 363Google Scholar; see also Durbin, , ‘The problems of the socialized sector’, in Problems of economic planning, p. 60Google Scholar.
32 Durbin, E. F. M., ‘The right to choose your job’, Evening Standard (London), 24 09 1945Google Scholar.
33 Durbin, , ‘The importance of planning’, in Catlin, , New trends, p. 166Google Scholar; see also Durbin, Elizabeth, New Jerusalems, pp. 126–9, 269–70Google Scholar.
34 Wootton, Barbara, Freedom under planning (London, 1945), pp. 136–40Google Scholar.
35 Congress House, T.U.C. Archives, Economic Committee minutes, (8), 9 Feb. 1944; see also Trades Union Congress, Interim report on post-war reconstruction (London, 1944)Google Scholar and Trades union congress report (1943).
36 See Brooke, Stephen, ‘Revisionists and fundamentalists: the Labour party and economic policy during the Second World War’, Historical Journal, XXXII (1989)Google Scholar.
37 B.L.P.E.S., Evan Durbin papers, 6/1, Durbin to Attlee, no date [Feb. 1943].
38 Dalton, Hugh, High tide and after (London, 1962), p. 187Google Scholar.
39 Cmd. 7046, Economic survey for 1947 (Fib. 1947), para. 127; see also manpower debate of 27–8 Feb. 1946 in Parliamentary debates (commons), fifth series, vol. 419 an d Cmd. 7018. Statement on the economic considerations affecting relations between employers and workers (Jan. 1947).
40 The Times (London), 26 02 1947Google ScholarPubMed; see also Beer, , British politics, pp. 194–6Google Scholar.
41 Economist (London), 8 03 1947Google ScholarPubMed.
42 See Parliamentary debates (commons), 5th series, vol. 434, 10 03 1947, cs. 1009, 1062Google Scholar.
43 See, for instance, New Statesman, 22 March 1947, 5 April 1947, 26 July 1947.
44 Keep left (1947), p. 41.
45 Labour party conference report (1947), p. 158.
46 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Notes on the movement of labour’, no date [1945–1948]Google Scholar; see also ‘Summer campaign 1946’; and Durbin's comments recorded in B.L.P.E.S., Hugh Dalton papers, 9/1/10–11, ‘Notes of an informal discussion on future policy and problems: Victors' party, St Ermin's restaurant, 30 July 1945’.
47 B.L.P.E.S., Evan Durbin papers, 4/2, ‘Britain's economic crisis’, 01 1948Google Scholar; see also ‘Application to crisis’, no date [1947].
48 Cole, G. D. H., Socialist economics (London, 1950), p. 49Google Scholar; see also the comments in B.L.P.E.S., Evan Durbin papers, 6/1, Durbin to G. D. H. Cole, 25 Jan. 1943.
49 B.L.P.E.S., Hugh Dalton papers, 9/2/39, Durbin to Dalton, 12 Sept. 1946.
50 Bodleian Library, Oxford, Attlee papers, 57/160, Durbin to Attlee, 23 July 1947.
51 Parliamentary debates (commons), 5th series, vol. 419, 28 02 1946, c. 2119Google Scholar.
52 Cmd. 7046. Economic survey for 1947 (Feb. 1947).
53 Trades union congress report (1947), p. 573.
54 Leuruez, , Economic planning, p. 56Google Scholar.
55 See B.L.P.E.S., Evan Durbin papers, 4/7, ‘Application to crisis’, no date [1947]Google Scholar.
56 B.L.P.E.S., Evan Durbin papers, 3/10, Hayek to Durbin, 17 Feb. 1948; Mrs Marjorie Durbin, interview, 7 Aug. 1988; Dr Elizabeth Durbin, interview, 1 July 1988; Lord Diamond, interview, 26 July 1988.
57 Parliamentary debates (commons), 5th series, vol. 441, 3 11 1947, c. 1415Google Scholar; Lord Jay, interview, 4 Aug. 1988.
58 See Durbin, Elizabeth, New Jerusalems, p. 270Google Scholar.
59 Labour party conference report (1949), p. 172.
60 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Wages policy’, no date [1945–1948]Google Scholar and ‘Summer campaign 1946’, 1946.
61 B.L.P.E.S., Evan Durbin papers, 4/7, ‘White Paper [sic] on personal incomes’, no date [02 1948]Google Scholar.
62 B.L.P.E.S., Evan Durbin papers, 4/7, ‘The next five years’, no date [1945–1948]Google Scholar.
63 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Summer campaign 1946’, 1946Google Scholar.
64 B.L.P.E.S., Evan Durbin papers, 4/7, ‘White Paper [sic] on personal incomes’, no date [02 1948]Google Scholar.
65 Durbin, , ‘The importance of planning’, in, Catlin, , New trends, p. 166Google Scholar.
66 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Summer campaign 1946’, 1946Google Scholar.
67 B.L.P.E.S., Evan Durbin papers, 4/7, ‘Summer campaign 1946’, 1946Google Scholar.
68 See B.L.P.E.S., Evan Durbin papers, 3/14, Durbin to W. D. Hughes, 9 May 1946 and attached draft of ‘For a national wages policy’ by Armstrong, Bernard. Published in Fabian Quarterly, 51 (09 1946), 14–17Google Scholar.
69 Durbin, E. F. M., ‘The economic problems facing the Labour government’, in Munro, Donald (ed.), Socialism: The British way (London, 1948), pp. 3–29Google Scholar.
70 Labour party conference report (1947), p. 149.
71 Crosland, C. A. R., ‘Manpower’, Socialist Commentary, 04 1949, 602–6Google Scholar.
72 ‘The next five years’, New Statesman, 12 March 1947.
73 Balogh, T., ‘Britain's economic crisis’, Quarterly Journal of Economics, LXIII (1949), 32–67CrossRefGoogle Scholar.
74 Economist, 8 March 1947.
75 Pimlott, Ben, Hugh Dalton (London, 1985), p. 473Google Scholar.
76 Labour party conference report (1947), pp. 154–7.
77 See, for instance, Public Record Office, Kew, Cabinet Office [CAB], 128/12, Cabinet minutes, 13 Nov. 1947.
78 Cmd. 7321. Statement on personal incomes, costs and prices (Feb. 1948), para. 6.
79 See Morgan, Kenneth O., Labour in power (Oxford, 1984), pp. 371–3, 378–9Google ScholarPubMed; Roberts, Ben C., National wages policy in war and peace (London, 1957), pp. 35–57Google Scholar.
80 See Trade union congress report (1947), p. 573 and ibid. (1948), p. 219.
81 Trades union congress report (1951), pp. 526–30.
82 Trades union congress report (1952), pp. 505–9.
83 For the original remark, see Crossman, , ‘Towards a philosophy of socialism’, in Grossman, (ed.), New Fabian essays, p. 6Google Scholar.
84 See Wilson, T., ‘Manpower’, in Ady, P. H. and Worswick, G. D. N. (ed.), The British economy 1945–50 (Oxford, 1952), pp. 224–52Google Scholar.
85 Cairncross, , Recovery, p. 332Google Scholar.
86 Lewis, Arthur, Principles of economic planning (London, 1949), pp. 75–114Google Scholar; see also Meade, James, Planning and the price mechanism: a Liberal-Socialist solution (London, 1948)Google Scholar.
87 Beer, , British politics, p. 199Google Scholar.
88 Worswick, G. D. N., ‘Direct controls’, in Ady, and Worswick, , British economy, p. 312Google Scholar.
89 Bodleian Library, Attlee papers, 61/200, Durbin to Attlee, 8 Oct. 1947.
90 Williams, Philip (ed.), The diary of Hugh Gaitskell 1945–1956 (London, 1983), entry for 4 Dec. 1947, p. 47Google Scholar.
91 See Labour Party Archives, Walworth Road, London, Policy committee minutes, (3), 13 Sept. 1948.
92 See transcripts of the conferences on ‘Problems ahead’ held in Buscot and Oxford in 1949 and 1950, in Nuffield College, Oxford, G. D. H. Cole papers, B3/5/E, box 1, folios a, b, c and f.
93 Crossman, R. H. S., Socialism and the new despotism (London, Fabian tract no. 298, 02 1956), p. 8Google Scholar; see also Wootton, Barbara, The social foundations of a wage policy (London, 1955, 1965 edn)Google Scholar and G. D. H. Cole, Socialist economics.