It hardly needs emphasising that this wartime technological revolution marked a complete departure from Victorian and Edwardian laissez-faire orthodoxy. Given time for consolidation and further development – probably under some form of protection such as fostered the growth of American, German and Japanese industry – Britain's wartime achievements might have served as the starting-point for a root-and-branch modernisation of Britain as an industrial society. Indeed, the 1918 report of the Committee on Commercial and Industrial Policy virtually recommended this.
More fundamentally still, the wartime revolution could have served as the prototype for a new British "total strategy", based on Britain's own technological strength: in other words, the German and Japanese version of capitalism, a partnership between state and industry, rather than the Anglo-Saxon version. But instead Britain tried after the war to revert to her Victorian and Edwardian total strategy based on laissez-faire, the City of London, the gold-standard pound sterling and the Empire – with consequences which would only be fully revealed when the Second World War submitted Britain to yet another audit of industrial capability.

The mistake was enshrined in the preamble to the first German Navy Bill of 1900, by which the new High Seas Fleet was to be big enough to constitute a provocation and a worry to the British, but not big enough to defeat the Royal Navy. The Germans thus drove the British into alliance with their enemies without as a compensation being able to defend German overseas colonies and trade... The basic truth about the High Seas Fleet was that it should never have been built.

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Machine-tools, ball-bearings, magnetos, internal combustion engines, drugs – it is hard to name a basic necessity of advanced technology in which Britain was self-sufficient in 1915... Thus the audit rendered by the first two years of the war on Britain's own capabilities in newer technologies proved harsh enough. Nonetheless, economic historians might object that Britain's Victorian and Edwardian "total strategy" actually served her well enough in wartime. Thanks to her accumulated wealth and her credit as the centre of a global free trade economy and thanks also to British seapower, she could buy in all the technological imports that she needed – largely from North America. But there are two snags here. First, wealth and credit are wasting assets when spent, while the spending only serves to profit other countries' manufacturers and build up their industries. In contrast, up-to-date export industries of your own are long-term earners. Secondly, the high degree to which free trade had rendered Britain dependent on imports of food and raw materials actually brought her near to complete national defeat in 1917 at the hands of the U-boat... Moreover, even though the U-boat was narrowly beaten, Britain had to devote immense naval resources to the merely defensive purpose of keeping open her sea lifelines. This pattern was to be repeated in the Second World War.

[I]n the course of the first half of the nineteenth century a moral revolution was completed in England; a revolution which was in the long term to exercise decisive influence on the shaping and conduct of English foreign policy. It is indeed in the transformation of the British character and outlook by this moral revolution that lies the first cause, from which all else was to spring, of the British plight in 1940. The revolution had begun to gather momentum in the late Georgian age; a peculiarly English manifestation of the romantic movement common to all Western Europe. The essence of romanticism was to value feeling above calculation or judgement. Romanticism exalted sentiment – soon crudened into sentimentality – over sense... For the first time since the doctrinaire seventeenth century a concern for principle had begun to manifest itself in politics by the early part of George III's reign, when, for example, the war against the rebellious American colonies was denounced by politicians like Burke as unjust as well as unwise... After 1793 Charles James Fox attacked the war with revolutionary France as being an attempt to crush a noble experiment in human liberty rather than the parrying of a national danger. Radicals of the day, like Samuel Whitbread, the brewer MP, were even more passionately moralistic in denouncing English policy and excusing French actions, thereby setting a pattern of emotional response to be followed by the romantic left of politics down to the present day.

In the eighteenth century the English ruling classes – squirearchy, merchants, aristocracy – were men hard of mind and hard of will. Aggressive and acquisitive, they saw foreign policy in terms of concrete interest: markets, natural resources, colonial real estate, navel bases, profits. At the same time they were concerned to preserve the independence and parliamentary institutions of England in the face of the hostility of European absolute monarchies. Liberty and interest alike seemed to the Georgians therefore to demand a strategic approach to international relations. They saw national power as the essential foundation of national independence; commercial wealth as a means to power; and war as among the means to all three. They accepted it as natural and inevitable that nations should be engaged in a ceaseless struggle for survival, prosperity and predominance. Such public opinion as existed in the eighteenth century did not dissent from this world-view. The House of Commons itself reflected the unsentimental realism of an essentially rural society. Patriotism coupled with dislike and suspicion of foreigners were perhaps the only emotions that leavened the vigorous English pursuit of their interests; a pursuit softened but hardly impeded by the mutual conveniences and decencies of international custom and good manners.

So the new or re-vamped public schools did not set out to equip their pupils to lead great industrial enterprises or a great industrial nation, but to turn them into Christian gentlemen able to govern the Empire and ornament the ancient professions like the Church and the Law. The eighteenth-century dissenting academy tradition of blending the arts and science into a practical preparation for a working life withered away. The prestige of the public schools as an avenue into gentility and the upper class seduced businessmen and engineers alike into sending their children to them. The public schools not only failed to educate a technical élite, they served to starve industry of the nation's highest available intellectual talent and the socially most prestigious groups. Industry and technology became what modern research confirms it still is in Britain—low in status, and hence, in a continual vicious circle, low in reward and low in human calibre compared with our rivals. By the 1850s an immense gulf had opened, from both sides, between industry and such education as there was—between the "practical man" despising education on the one hand, and the public schools on the other concentrating on the classics, religion and games.

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In provoking even the peace-loving and feeble Addington Cabinet into a unanimous decision for war Bonaparte had committed the most catastrophic blunder of his entire career. It sprang in the first place from a failure to understand the English character and English institutions, or comprehend England's strength. Since his youthful studies he had regarded her as the modern Carthage, a mere nation of traders doomed to destruction at the hands of a martial state like France. And certainly there was little about English society that accorded with Bonaparte's own ideas as to what constituted a powerful and well-governed state. Vacillating cabinets precariously depended on the hazardous outcome of parliamentary votes. Instead of the central government directing the national life, the national life arranged itself by some mysterious organic process. The nobility and gentry governed the English shires virtually without reference to London, even controlling the militia, that important part of the English military system. The new volunteer movement had sprung up spontaneously as private and independent associations of citizens. The legal profession and the universities jealously guarded their independence. The City of London, the world's greatest financial centre, formed yet another self-governing republic. The Industrial Revolution, already well under way in England but not yet to begin in Europe, owed everything to personal initiative and nothing to State direction or encouragement. All in all, English society consisted of innumerable co-existing private clubs. The apparent anarchy of the English scene found supreme expression in a free press which hounded politicians, the nobility and even the royal family with cruel lampoons. How could such a cloud of human atoms, such a nation of usurers lacking even a great army, contended against Bonaparte's own logical, efficient military state directed by a single mind of genius?

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How then was the Admiralty to find a fleet for Singapore, as had been repeatedly promised (though with waning conviction) to Australia and New Zealand before and since the outbreak of war with Germany and Italy? It went far deeper than a mere question of naval strategy and deployment. As Sir Samuel Hoare, the then First Lord of the Admiralty, had remarked to the 1937 Imperial Conference, "the very existence of the British Commonwealth as now constituted" rested on the ability of Britain to send a battlefleet to Singapore. But this in turn posed an even more profound question about Britain's very own existence as the centre of this oceanic empire, the immediate practical implications of which were so starkly confronting her leaders in the summer and autumn of 1941. For in retrospect it can be seen that it was an illusion for the British to believe that the Commonwealth and the Empire made Britain a great world power. Rather the strategic and economic balance sheet in 1941 demonstrates that the Commonwealth and Empire (with the notable exception of Canada and perhaps South Africa) were not an asset, but a net drain on Britain's strength; a predicament. For the imperial pink splashed across the map of the world in British atlases did not represent strength, as the British romantically believed, but one of the most outstanding examples of strategic overstretch in history.

I am dismayed by the RSA's change of institutional Schwerpunkt from hardnosed concern with education and training for personal and national capability to generalised small ‘l’ liberal do-goodery, or, in the words of your chief executive, the driving of "social progress". While we waste time and effort on this right-on idealism, poor old Britain is confronting ever tougher competition from old rivals like Europe and North America, and new ones like India and China. You would hardly guess from the contents of your Journal that it is a ruthlessly hard world out there, and getting harder every decade.

There are of course the neo-Puginites or neo-Morrisites who like to think of Britain as leading the world into a post-industrial phase where this form of capability will be obsolete, and who despise so material a matter as GNP as unethical or—the trendy version—unecological. Yet these high-minded escapists are among the first to howl about the need for more resources to be invested in hospitals, schools, good works, prison improvement, subsidies for the arts and what not. A country of static or declining GNP will not be an 'Erewhon' but a pinched and increasingly bitter place. Poverty may be noble as a concept; it is rarely so in in the flesh.

Since the Great War was an artillery war, shells for field and medium guns stood at the top of the list. But that list also included motor transport, aircraft and aero-engines, small arms and ammunition, telecommunications kit, drugs, and later, tanks and poison gas. It was here that "the audit of war" (to coin a phrase) in 1914–1916 showed up the British industrial system as widely inadequate or obsolescent... To take the basic industrial sinew, British steel production in 1910 was little more than half the German total... According to the History of the Ministry of Munitions: "British manufacturers were behind other countries in research, plant and method. Many of the iron and steel firms were working on a small scale, old systems and uneconomic plant, their cost of production being so high that competition with the steel works of the United States and Germany was becoming impossible". In fact, this history draws the conclusion that in 1914–1916, "it was only the ability of the Allies to import shell and shell steel from neutral America...that averted the decisive victory of the enemy". More than 50 per cent of shells fired off in the Battle of the Somme in 1916 were American and Canadian.

On the basis of legal advice sketchy enough to be put on one side of a sheet of A4, and from a single lawyer who was also a cabinet minister, Blair finally took Britain to war against a country which posed no threat at all to British interests, let alone to the United Kingdom itself.
There can be no sterner test of a national leader's soundness of judgement than when he has to decide between peace and war. And there can be no sterner test of his probity than his choice of the means of persuading his countrymen to back him. Both these tests Tony Blair has unquestionably failed. As a result, he stands convicted of being wholly unworthy of our trust. This is the central fact of this election, and we should vote accordingly.

Nor, except in the garden or allotment or on the sports field, did Britons generally evince an eagerness for strenuous effort. A journalist with the British Army advancing into the heart of Germany in April 1945 noted: "It occurs to me that the Germans are a menacing race by reason of their docility and their ability to toil. No man ought to love work as they do – it's indecent, certainly uncivilised. We English don't love work in this slavelike way, and thank God for it." And a week later the same journalist, J. L. Hodson, confided to his notebook that the reason why the British were unable to maintain hatred for long was their temperament was "too lazy, too indifferent, too good-natured".

Yet although Bonaparte could not perceive it, those atoms were held together by a principle – love of liberty; the right to arrange your own affairs in association with your fellows without being told what to do by a government and its bureaucrats. He could not begin to comprehend that through such free association and debate Englishmen might arrive at a union far more resilient than the brittle artificial unanimity he had imposed on France; at a truly national purpose in contrast to the mere acquiescence of the French people in his own designs. He failed as well to note the dynamism of a country where initiative and decision flourished everywhere in the soil of liberty instead of being the monopoly of one man at the top like himself. And despite his fulminations about English gold buying allies to fight against France, he no less underestimated the strategic importance of England's resources as the world's most powerful industrial and trading nation.

It is impossible to exaggerate the long-term consequences, social and psychological, of the experiences of the new industrial workforce in the raw factory settlements of the late Georgian and early Victorian England under conditions of ferocious competition and unbridled exploitation. It was in that era, when men, women and children were flooding into these settlements from the countryside and exchanging the slow, natural rhythms of the land or self-employed crafts (however hard that life might have been) for the harsh mechanical discipline and the pace and clamour of the mill, exchanging the village for the back-to-back terrace, that the British industrial working class, with its peculiar and enduring character as a culture apart, an alienated group often embittered and hostile, was created. It happened that water power and coal and iron largely existed in the bleak, wild landscapes of northern England, South Wales and lowland Scotland – regions hitherto lacking the numerous population and rich civilisation of the south; indeed regions traditionally turbulent and remote from the government of the Crown since the middle ages. Rare it was for the new factory settlements to cluster round an established city, as later would German industries develop round Leipzig and Dresden, Düsseldorf and Cologne: instead villages like Manchester, Birmingham, Leeds, Huddersfield, Bradford, Halifax, Middlesbrough proliferated into vast brick-built industrial camps; nothing but mean dwellings, drink-shops and "works".