Cobden in his boundless mid-Victorian optimism about free trade could no more have imagined such a plight than Adam Smith could have imagined refrigerated cargo ships bringing meat from the New World to undercut British livestock farmers. Perhaps their intellectual descendants today are at times too preoccupied with peacetime world trade and the advantages of economic specialisation between nations, to the neglect of the total-strategic implications in wartime of such specialisation. But at least Adam Smith himself recognised that, in his words, "defence, however, is of much greater importance than opulence".
British military historian (1927–2022)
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Ever since the war we had lived in a form of state socialism with tremendous controls and regulations over economic and social life. I can remember when you couldn't even buy a house abroad without special permission from the Bank of England. People who think the pre-Thatcher years were a golden age really didn't live through them: just ask anyone who rode on the clapped-out railways or tried to make a telephone call when the Post Office ran the phones.
When she came to power she transformed the country. The moribund industries relying on taxpayer funding – all gone. The trade unions – all gone. She abolished exchange controls, completely liquidated the state sector of industry and threw the economy wide open.
It's certainly true that she was so powerful a person that cabinet government in the collegiate sense began to diminish. More and more they were like a collection of staff officers around the general. Blair has taken that further and deliberately adopted a presidential style in every possible way. The main difference was that she had genuine feeling, conviction and leadership. In my view, during the last eight years, Blair has proved a very plausible conman who promises much but hasn't achieved it.
Between 1946 and 1950, the most desperate period of the post-war export campaign and of national dependence on American loans and handouts, there were sixteen major strikes in British docks, cumulatively involving nearly 137,000 workers and losing a total of over 1,000,000 worker-days. Between 1950 and 1955...the dockers were out eighteen times playing the big matches and 168 times in instant and short-lived kick-abouts. The big matches drew onto the pitch a cumulative total of nearly 155,000 players, costing nearly 2,000,000 worker-days.
But mere statistics cannot properly record the ramifying harm inflicted on British industry and commerce by these repeated blockades. For they meant export delivery dates missed and foreign customers infuriated; factories held up for want of raw materials and equipment from abroad; wholesalers and retailers running out of imported foodstuffs; transport to and from afflicted ports backing up in standstill and confusion; telegrams and telephone calls crowding an out-of-date and already overloaded telecommunications net as victims of the blockades tried to sort out their troubles; and an immense waste of time and effort by ministers and civil servants in attempting to deal with the strikes and their immediate impact. More insidious still was the moral harm done to Britain at home and abroad by such spectacular mutinies, further helping to convey the impression of a nation without disciplined purpose, and instead blindly intent on self-mutilation.
[I]t was the young pilots of Fighter Command who passed into British myth as "The Few" who outfought vast German airfleets. Today, 70 years on, we can acknowledge that the young men in the Messerschmitts were just as gallant, high-spirited and skilful. But whereas the German pilots were fighting for a hideous tyrant in the delusion that they were patriotically defending the Fatherland, the pilots of Fighter Command were modern-day Spartans, holding the pass for the free world against the barbarian. They included volunteers from the British Dominions overseas, from countries under Nazi occupation such as Czechoslovakia and Poland, and even a handful from neutral America.
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In the 1960s and 1970s British folk-wisdom cherished (perhaps still cherishes) a comfortable explanation for Britain's relative economic decline since the Second World War, and especially her then all too evident industrial backwardness compared with West Germany. West Germany, so the story goes, had all her industries and transport system bombed flat during the war, and then, thanks to Marshall Aid, was able to completely rebuild them with the most up-to-date equipment. Meanwhile poor old Britain had to struggle on with worn-out or obsolete kit.
This favourite British "wooden leg" excuse is pure myth. In the first place, West German industrial capacity in 1948 stood at 90 per cent of 1936 despite wartime bombing and postwar reparations. Secondly, Britain in fact received a third more Marshall Aid than West Germany – $2.7 billion net as against Germany's $1.7 billion. She indeed pocketed the largest share of any European nation.
Now...came a further threat to the power of employers (no longer "masters"): the arrival of national trade unions or federations of unions. So the employers too began to organise themselves on an industry-wide scale. Their purpose was well expressed by Colonel Dyer, the American leader of the Federation of Engineering Employers (founded in 1896), in respect of his own industry. It was "to obtain the freedom to manage their own affairs which has proved so beneficial to the American manufacturers as to enable them to compete...in what was formally an English monopoly..." Just how far that freedom had been cumulatively shackled by the past step-by-step gains of the trade unions was revealed by books and newspaper campaigns urging Britain to "wake up" to German and American competition. In 1894 appeared the bestselling British Industries and Foreign Competition. In 1896 followed a "Made in Germany" press panic, on publication of a book under that title. In 1901 the Daily Mail followed a Daily Express series entitled "Wake up England!" with its own on "American Invaders". In 1900–1901 The Times, governing-class opinion incarnate, ran major articles on "The Crisis in British Industry" and "American Competition and Progress". Technical journals critically examined the efficiency of particular industries. All exposed British owners and managers as now widely old-fashioned in outlook, lethargic in action, and smug. But also fully explored was the opposition of the unions to new machines and new methods; the shackling effect of union restrictive practices on efficiency and productivity.
A navy is no more than the armour and the weapons-system of seapower. The hull, providing essential buoyancy, is the national wealth. The propulsion is commercial and industrial success, which creates the national wealth. By the end of the Second German War in May 1945 British national wealth, once the greatest in the world, had given way to bankruptcy, with overseas debts exceeding reserves of gold and foreign currency by nearly fifteen times. Whereas in 1870 Britain's foreign trade had nearly equalled that of France, Germany and the United States put together, in 1945 her export trade had collapsed to less than one-third of the 1939 level, and her visible exports could finance no more than one-tenth of her overseas requirements. Worse still, the British industrial machine, once the envied model for the rest of the world, had been revealed by the war to the government, though not to the British people at large, as out-of-date in equipment, methods and attitudes; crippled by poor management and obstructive workforces; and weak in advanced technologies. All this was especially true of shipbuilding.
The deal between the French and the Israelis was struck in Paris on 1 October 1956. An eighteenth-century British cabinet would not have hesitated to join in... In contrast, Eden's cabinet was riven by moral squeamishness; so too were the house prefects of the Foreign Office.
The irony lay in that the political and psychological shackles which the morally squeamish now found so uncomfortable had been forged by themselves. It was they and their predecessors who since 1918 had brought about the prevailing climate of opinion in which a state's naked pursuit of self-interest, if necessary by armed diplomacy, if necessary by war, was deemed a sin, even a crime. In furtherance of their romantic vision that a "world community" ruled by law could, and would, replace the existing world arena of group struggle, they and their predecessors had first created the League of Nations and its futile Covenant, and then, after the Second World War, the United Nations Organisation and its Charter. Since this document outlawed war except in clear cases of self-defence, it now supplied an peculiarly uncomfortable shackle for Britain, for here she was, a Permanent Member of the UN Security Council and yet secretly plotting to revert to realpolitik.
If therefore you look at Britain as an industrial society around 1944–5 in all its aspects, including education, it is clear that what was needed was fundamental reform and reconstruction; massive capital investment in rebuilding and re-equipping; a huge expansion of education and training at all levels. In a word, an "economic miracle" such as Germany and other European states, Japan too, actually carried out in the late 1940s and early 1950s. Yet no such "economic miracle" ever took place in Britain—even though she was to receive a third more Marshall Aid than West Germany, for instance: 2.7 billion dollars to 1.7 billion. It never took place because of fundamental policy decisions taken by the wartime coalition government in 1943–5, and to which postwar governments broadly adhered for some three decades.
For the British...Jutland has a much deeper significance, for it was in fact a defeat for British technology. More than that, as with the French at Crécy and Sedan, a social system had been exposed by battle as decadent and uncreative. Jutland proves that already in 1914, when Britain and her empire had never seemed richer, more powerful, more technologically able, dry rot was crumbling the inner structure of the vast mansion. Jutland proves that the spectacular collapse of British power and British industrial vigour after 1945 was not a sudden disaster due, as comforting legend has it, to the sale of overseas investments in 1914–18 and 1939–45, but the final acute phase of seventy years of decline. For the principal armed service of a country—in its professional attitudes, its equipment, its officer corps—is an extension, a reflection, of that country's whole society, and especially of its dominating groups.
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.
The evidence also justifies a verdict that the British character in peacetime...lacked not only hardness of mind, but also (except perhaps among the trade union barons and the shop-floor mutineers) hardness of will. In a corruption of the virtue of tolerance into a vice, the British too readily put up with slackness; they shrank from weeding out and discarding the incompetent, whether these wore the executive homburg or the workman's overalls or the teacher's gown. They lacked, moreover, the dynamism powered in America by individual and corporate ambition and in post-war Germany by obsession with Leistung (achievement). For long since out of fashion in Britain was the restless energy displayed by British entrepreneurship in the full momentum of the industrial revolution. Instead, in the shrewd diagnosis of a distinguished economic commentator in 1963 (and fully justified by the historical evidence), "The very niceness of the British, the national desire to do the decent thing...has become an enormous force for immobilisme..."
Meeting Simon could only impress Hitler the more vividly with English feebleness. Here, in Simon, Hitler met for the first time a Foreign Secretary of England, the greatest of all imperial powers, the nation which had thwarted the ambitions of Kaiser Wilhelm II – this sanctimonious and deferential old gentleman of mild and episcopal appearance. In a situation which called for a breezy, brutal arrogance of a Palmerston, the chilling dignity of a Castlereagh, or the blunt, plain-speaking and dominant will of a Wellington, Simon could only make a sorry attempt at ingratiation.
The war embraced infinitely complex elements and motives. The most important single one of those elements was the struggle for power in Europe, and the world. Between 1870 and 1914 Britain and France had been stagnant and declining in comparative industrial vigour. They nevertheless owned great territories and enjoyed vast traditional overseas markets. Germany...had been comfortably and steadily taking over the markets before 1914; she would have liked the possessions as well. No wonder France and Britain had been so much in favour of defending the political status quo. Yet, as the endless surges and recessions of power throughout history indicate, a fixed status quo is an absurdity because static. The problem of the world of nation states before 1914 was the eternal problem of continually adjusting political structure so that it always fits and expresses the reality of power.
There was yet another powerful element in British public opinion in 1933 which made a return to the balance of power and the line-up of 1918 wholly out of the question. Despite the failure of the League of Nations over the Japanese aggression in Manchuria, the faith of internationalists in the future of the new world order remained undiminished. That the general situation in the world had so much worsened since the happy days of 1929, with the rise of Nazism in Germany and militarism in Japan, only stimulated the internationalists into even greater activity; the more disquieting the facts, the more faith must conquer them. The rather smug optimism evinced by internationalists in the 1920s, when they thought war and aggression had been banished for ever, gave way to a somewhat hysterical eagerness to explain away the inherent impotence and fallaciousness of the League and its Covenant so brutally exposed by the Manchurian affair, and prove how the League nevertheless could and would prevail.