In 1945, following the defeat of Fascism, the Labour Party was swept into power with a mandate to bring about radical change to British society. There followed the nationalization of transport, energy, communications, the establishment of the National Health System, an overhaul of education (actually done by the preceding Tory government), massive investment in public housing.
We were promised Socialism, what we got however was a 'reformed' capitalism, Keynesianism, and for domestic consumption only, elsewise it was 'business as usual', except that the state was broke and in debt up to its eyeballs to the US (a debt only recently paid off).
The reality however was that those changes were demanded by the organized working class through its trade unions and constituency (local) Labour Parties and of course supported by our minuscule left. In other words, it was propelled by grassroots activism and importantly, they were demands that could not be ignored. British capitalism was not only broke it was backward in a big way. Had they not reformed capitalism, in all likelyhood there would have been a real revolution (not that the US would have allowed it anymore than it did in France and Italy). It really was the case of the Labour government heading off revolution at the pass, but then this has been the Labour Party's role since its founding.
The post-war Labour government effectively bought off the working class without altering one iota of its imperialist mission: the defence of Empire, even if now it was no more than a poodle for US imperialism and literally on the frontline of the Cold War.
This view of the role of the Labour Party doesn't sit well with many on the left, especially those who cut their teeth during that post-war period, wedded as they were (and many still are) to the idea of reforming a Labour government slowly, ever so slowly, leading us, we were led to believe to a real socialist society. Just how wrong they were is surely obvious now even to the most myopic.
The contrast with 'New' Labour's response to the latest and worst crisis of capital could not be more illuminating and the reasons obvious to those who look. The labour movement is a shadow of its former self, the constituency Labour Parties pretty well emasculated and a left even more marginalized and fragmented than it has ever been. This is the real legacy of 'reformism'.
Thus without pressure from below, New Labour is free to act in the interests of the class it really represents, the capitalist class. What's left of the organized working class whilst it may have the occasional spat with New Labour, especially the critical (to the state) public employees unions, as long as the interests of their members are protected, we can expect nothing of substance from the trade unions to challenge the power of the state and capital.
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