5 million men returning from the war had to be demobilized. Health
facilities, unemployment pay and pensions were to be improved.
However by 1922, the government had to cut back rather than
expand upon social welfare with the Geddes Axe, cutting the army,
education, hospitals, housing, etc.
Lloyd George campaigned to provide "homes fit for heroes."
Addison, the minister of health, introduced the Housing and
Town Planning Act 1919. This would clear slums and build
council houses. However, Addison was paying £910 for each
built unit when the building cost was only £385. By 1922, only
200,000 houses had been built leaving a shortage of 800,000.
Coal was increasingly difficult to mine profitable as wartime
blockade had greatly reduced foreign orders. Mining unions
demanded that mining should be renationalised but Lloyd
George was unable to satisfy them on this.
Unemployment rose above one million.
Foreign Policy
The Easter Rising 1916 occurred in retaliation to the
suspension of the Irish Home Rule act. INP members
seized the General Post Office in Dublin and announced the
establishment of the Irish Republic. British forces tried and
shot the seven leaders and eight others involved. In 1918
Sinn Fein beat INP in election and formed IRA, dedicated to
guerilla warfare. Lloyd George sanctioned force, "Black and
Tans," to deal with situation, who were accused of
terrorising civilians of Ireland and INP turned against him.
Anglo-Irish Treaty 1921 partitioned Ireland into
independent South and North remained part of UK.
All Irish parties split and civil war broke out
between pro-treaty Nationalists and anti-treaty
Nationalists. Unionists felt betrayed by Lloyd
George; regarded treaty as republican terrorism
and could not forget his use of Black and Tans.
Giving away part of empire also caused tensions
with Conservatives, who supported Unionists.
Treaty of Versailles caused tensions with Conservatives, who
wanted Lloyd George to "squeeze Germany until the pips squeaked."
The Chanak Affair was the threat of war between the Greeks and
Turks who wanted to take back lost territories. Lloyd George ordered
British reinforcements to Chanak. Luckily, diplomacy prevailed and the
Turks withdrew, but Conservatives condemned Lloyd George's actions
as irresponsible and unnecessary.
Scandals and Personality
Sold honours and titles on commission basis - 90
peerages and 20,000 OBEs were purchased.
Marconi scandal occurred pre-war when it was
suggested that he used inside knowledge as
Chancellor of Exchequer to buy and sell shares of the
Marconi company for large profit.
Known to have affairs with women - cheated on both
his wife and mistress. The Conservatives also found
him arrogant and dishonest.
Conservatives
Bonar Law, the "lynchpin" of the
coalition, resigned and weakened
relationship of Lloyd Geoge and
Conservatives.
Baldwin urged other Conservatives to abandon Lloyd
George in next election as he "shattered the Liberal
party and was well on his way to do that same to the
Conservative party."