This is interesting. I take on board a lot of what you've said. However, allow me to put a few things back to you and see what you think.
I think a pretty fair chunk of the returning servicemen would actually go to get retrained and reskilled. They've been in an organization that is much more meritocratic than society back home. Indeed, this was a Labour policy in 1945, It just wasn't implemented in full due to...you know, the whole country going bankrupt in the late 1940s thing.
What do you mean by road building programs in the mid-1940s? British infrastructure in the 1930s was much below the standard in Germany. I think any sensible government would have done that. Labour tried to as well. They had grand plans for London in particular. Again, money.
As for Powell, I feel the same. But it's fun. And better than writing in 25 similar minor functionaries in the Conservative Research Department.
Now, on paying for it, I do think that this is a legitimate point, and one that I've spent a fair bit of time thinking about. However, honestly, I don't think it will cost an absurd amount. A lot of this is just a government guarantee of loans, meaning that the money actually comes from the private sector. Britain still had quite a lot of loanable funds in the 1940s, because it hadn't yet all gone overseas (again, in my view, due to tax policy). I think the most expensive parts of the platform are going to be infrastructure, which I think is easily paid for by not nationalizing everything that can move. What do you think on the specifics of the cost, because that's an area I have lots of concerns.
Chris,
1,) From my research and reading over the last few decades, I haven't quite seen the evidence for a substantial portion of returning British servicemen going into either tertiary education or retraining, which was more suited to the particular circumstances of the United States. There are other areas of expenditure of higher priority than university funding given the essentially limited national purse.
2.) My reference to road building programmes is the National Highways Act, which is pushing expenditure onto an area where Britain did not necessarily need it in the mid 1940s. Germany was a different country and isn't 'the standard' anymore than the USA was. It is something that is worth spending on in the mid 1950s after the initial wave of reconstruction and building houses when general affluence encourage more purchases of motor cars. You've got the (motorised) cart before the horse.
3.) Using Powell might be fun, but pushes your work well into the "story" territory as compared to a viable timeline. It simply comes across as a bit much.
4.) Overall on cost, you might benefit from examining details on government spending in the postwar period. I can definitely recommend
https://www.ukpublicspending.co.uk/ for many periods. In particular, there is a fair bit available on postwar spending:
1945
Government Revenue 1945: £3698.8 million
Government Spending 1945: £6969.3 million
Deficit: 3270.5
(Defence 5153.3, Debt 571.6, Education 232.9, Welfare 169.4, Fuel/Energy 144.7, Health 140.9, Transport 138.7, Post Office 123.4, Housing 72, Protection 63.3, Pensions 39.7, Other 25.5, General Govt 19.5)
1946
Government Revenue 1946: 3769.6 million
Government Spending 1946: £6460 million
Deficit: 2690.4
(Defence 4446.4, Debt 603.8, Education 299.3, Welfare 176.1, Fuel/Energy 160.6, Health 154.9, Transport 154.5, Post Office 124.3, Housing 93.5, Pensions 41.6, Other 39.8, General Govt 20.5)
1947
Government Revenue 1947: 3771 million (NI 186)
Government Spending 1947: £5284 million
Deficit: 1513
(Defence 1746, Food/Supply 663.2 Debt 629.4, Education 361.1, Welfare 250.6, Health 217.1, Housing 200.5, Fuel/Energy 195, Transport 154.5, Post Office 133.8, Pensions 96.9, General Govt 24.7)
1948
Government Revenue 1948: 4056 million (NI 257, Income Tax 1601, Indirect Taxation 1856, Business/Other Tax 356)
Government Spending 1948: 4695.2 million
Deficit: 639
(Defence 913, Education 430.5, Food/Supply 430.4, Welfare 380.4, Pensions 354.2, Transport 331.3, Housing 327.8, Health 256.2, Energy 220.1, Communication 146, Other 132.4, Protection 80, Water Supply 43.6, General Govt 27.2)
1949
Government Revenue 1949: 5012 million (NI 361)
Government Spending 1949: 4580.9 million (36% of GDP)
(Defence 820.5, Education 502.2, Welfare 399.4, Housing 377.6, Pensions 367, Transport 342.5, Food/Supply 310.8, Health 296.1, Other 155.9, Protection 102.4, Fuel/Energy 71, Water Supply 51.2, General Govt 29.1)
1950
Government Revenue 1950: 5378 million (NI 437)
Government Spending 1950: 4776.8 million (35.9% of GDP)
(Defence 804, Education 564.9, Food/Supply 437.1, Welfare 402, Housing 374.5, Pensions 371.2, Health 353, Transport 332.6, Post Office 168.2, Other 131.5, Protection 119.4, Water Supply 58.7, General Govt 31, Fuel/Energy 9.5)
Notes for Thought:
- Income Tax didn't cover a huge amount
- National Insurance was fairly low in its initial years
- There was a very big cut in overall expenditure in 1946, but that doesn't mean that there was extra room for further tax cuts
- The bugbears of nationalisation costs...didn't factor into budgetary expenditure too much beyond a one year increase
- Education, Health and Housing all rose significantly and it would be a very courageous government to try and do otherwise
- Britain wasn't bankrupt as some would suggest, but chose to direct its limited assets to what the people had indicated they were in favour of.
- The large expenditure on Food/Supply was a function of continued rationing, the adjustment to the abrupt cessation of Lend Lease, finite shipping, the winter of 1946/47 and subsequent annus horribilis and quite a few other factors.
- That could be a bit of a muddle from the website, as there is an absence of Debt Interest payments in the last three years of 48-50
- Between feeding the population and paying the interest on the national debt in 1947 alone, you are approaching almost 20% of total government expenditure. That is the area where the money went and that is the area where a longer term approach could be very interesting.
- GDP, percentages of government spending and GDP growth are important areas of concern, but just as significant was the issue of the British current account and where it owed debt; might be an area of interest.
- Britain didn't have a postwar boom, but a flatter recovery that was somewhat arrested by Korean rearmament. The roots of that are wartime and prewar.
- Even with a very high level of peacetime defence spending, Britain hit big troubles in what it could afford; it couldn't pay the price of superpower status off the GDP of Great Britain and Northern Ireland alone.
There was a finite amount of money around at the time and that is better directed towards reconstruction and industry. Nationalisation of coal, railways and other bits and pieces didn't cost a huge amount.
I don't believe you are off base in terms of seeing the benefits of improving infrastructure, but you are better off going back before the war and spreading things out over a much longer period. That way, you avoid the issue of cramming everything in one fell swoop.