nationalisation

   The taking-over of an industry, services or the land by the state, which then runs them in the public interest. Advocated by Karl Marx, it became one of the main doctrines of socialism. It was adopted as a policy by the Labour Party in 1918, forming Clause IV of the party’s constitution. Early examples of nationalisation were the creation of the Port of London Authority (1909) and the state control of the mines and railways in the two world wars. However, the main era of nationalisation was during the lifetime of the Attlee Government from 1945 to 1951 when several industries and services came under state ownership, among them the Bank of England, coal, electricity and gas supplies, the railways and the iron and steel industry. In most cases, they were to be run by a public corporation such as the National Coal Board. The Conservatives restored private ownership to most road haulage and also partially in the iron and steel industry in the early 1950s, but it was not until the Thatcher/Major era that they privatised most remaining nationalised concerns.

   Nationalisation did not fulfil all of the hopes of its supporters and although the left was keen on the policy, the centre-right of the Labour Party was unenthusiastic about any significant extension of public ownership after 1951. Abortive attempts were made to revise Clause IV but this was not finally achieved until Tony Blair attained the party leadership.