Blair & New Labour in Power, 1997-2007 (AQA A Level History: Component 2: Depth study): Revision Note

Exam code: 7042

Lottie Bates

Written by: Lottie Bates

Reviewed by: Bridgette Barrett

Updated on

Summary

  • Tony Blair led Labour to three successive general election victories in 1997, 2001 and 2005

    • He remained Prime Minister until June 2007

  • Blair governed in a more presidential style, relying on a small circle of advisers and tightly controlled media presentation and party messaging

  • New Labour drew on the Third Way, accepting the market economy while arguing that government should still promote greater social justice

  • Domestic policy focused on education, health, crime and social exclusion

    • Rising public spending was combined with greater use of targets and performance measures

  • New Labour also faced growing criticism

    • Critics on the left argued that it had accepted too much of the Thatcherite settlement

    • Rural protests, top-up fees and political scandals created further difficulties

  • The key question asks how far New Labour's domestic programme was successful, or whether it ultimately fell short of its promises

Tony Blair: character and ideology

Photograph of Tony Blair, showing him smiling in a dark suit, white shirt and patterned tie.
© European Communities, 1997, CC BY 4.0, via Wikimedia Commons

Blair in office, 1997–2007

  • Tony Blair became Prime Minister on 2 May 1997, aged 43

    • He was the youngest prime minister since Lord Liverpool in 1812

    • Labour's landslide victory gave him a majority of 179

  • Blair then won two further general elections

    • Labour's majority fell from 167 in 2001 to 66 in 2005

    • The smaller majority in 2005 partly reflected anger over the Iraq War

  • Blair resigned on 27 June 2007

    • He was succeeded by Gordon Brown

Blair's leadership and character

Charismatic

  • Blair was a confident performer who was comfortable with television and the press

  • After the death of Diana, Princess of Wales, in 1997, he described her as the "people's princess"

    • The phrase helped present him as someone who understood the public mood

Modern

  • Blair was closely linked to the image of Cool Britannia

    • This promoted Britain as youthful, creative and forward-looking

  • His informal style helped reinforce the idea that New Labour was different from older forms of politics

In touch with ordinary voters

  • Blair presented himself as relatable despite a relatively privileged background

    • He attended Fettes College and Oxford

    • However, he was the MP for Sedgefield in the North East, wore casual clothes and played in a rock band at university

Presidential

  • Blair relied heavily on a small circle of advisers rather than always working through the full Cabinet

    • Critics called this the "sofa cabinet"

    • Unelected advisers, especially Alastair Campbell, gained considerable influence

  • The Butler Review (2004) later criticised the informal way some decisions were taken

Media-focused

  • Presentation was central to Blair's style of government

    • Labour used professional communication teams and tightly controlled its message

    • Critics accused the government of relying too heavily on spin doctors

  • Scandals weakened Blair's promise to restore trust

    • In 1997, Labour returned a £1 million donation from Bernie Ecclestone after controversy over Formula One's exemption from a tobacco advertising ban

    • From 2006, the cash-for-honours inquiry damaged the government's image, although Blair was not charged

Clear priorities

  • Blair set out a small number of simple aims for government

    • He famously promised "education, education, education"

    • He also pledged to be "tough on crime, tough on the causes of crime"

Blair's ideology

  • Blair believed New Labour had to keep modernising to remain relevant

    • He argued that social and economic change since 1979 meant Labour could not simply return to older policies

  • He accepted much of the market-based economy created under Thatcher and Major

  • Instead, Blair drew on the Third Way

    • This aimed to find a middle path between Old Labour state socialism and Thatcherism

  • His politics also stressed:

    • community

    • individual responsibility

Blair and Brown

  • Blair and Chancellor Gordon Brown had a close but increasingly difficult relationship

    • Their rivalry dated back to the 1994 Labour when Brown agreed not to stand against Blair for the Labour leadership

  • Brown became a powerful figure inside government

    • His control over economic policy gave him influence over much of domestic policy

    • His popularity within Labour also made him difficult for Blair to remove

  • Tension increased after 2001

    • Brown expected Blair eventually to stand aside

    • Blair's supporters wanted him to remain Prime Minister

  • In 2004, Blair said he would not fight a fourth general election

    • By 2006, pressure over the succession led him to promise to leave office within a year

Blair's strengths and weaknesses

Strengths

  • Won three general elections in a row, a first for a Labour leader

  • Communicated effectively and appealed beyond Labour's traditional base

  • Kept Labour focused on a clear modernising message

  • Set clear priorities in areas such as education and crime

  • Maintained party unity for much of his premiership

Weaknesses

  • Relied heavily on a small circle of advisers

  • Critics argued that Cabinet government was weakened

  • Accused of putting presentation and spin ahead of policy

  • Scandals weakened his promise to restore trust

  • Rivalry with Brown increasingly divided the government

“As I stand here before No. 10 Downing Street, I know what this country has voted for today. It is a mandate for New Labour. We ran for office as New Labour, we will govern as New Labour. This is not a mandate for dogma or for doctrine, or a return to the past, but it was a mandate to get those things done in our country that desperately need doing for the future of Britain. A new Labour Government that remembers that it was a previous Labour Government that formed the welfare state and the National Health Service. It shall be our job to modernise it for a modern world. We will work in partnership with business to create the dynamic economy, the competitive economy of the new century and new age. It will be a government that seeks to restore trust in politics in this country. That cleans it up. And it shall be a government that gives this country strength and confidence in leadership both at home and abroad, particularly in Europe.”

Tony Blair, Prime Minister, speech outside 10 Downing Street on his first day in office, reported in The Irish Times, 2 May 1997

Approach: The source is useful because it shows how Blair wanted New Labour to be understood in government. He presents it as modern, reforming and focused on public services while also working with business.

However, this was a statement of intent, not evidence that those promises had already been achieved. Its value is therefore strongest when compared with what the government later delivered.

Examiner Tips and Tricks

Be careful with the word “presidential”. It was a criticism of Blair’s style, not a literal description of the British system. A stronger answer explains what looked presidential, such as reliance on advisers and tighter control from Downing Street, while recognising that Blair still depended on Cabinet, Parliament and his party.

The 'Third Way'

Origins of the Third Way

  • The Third Way was presented as a middle path between two older political approaches

    • Old Labour:

      • greater state ownership

      • higher taxation

      • stronger trade unions

    • Thatcherism and the New Right:

      • free markets

      • smaller state

      • weaker trade unions

  • Its best-known thinker was the sociologist Anthony Giddens

    • He became director of the London School of Economics in 1997

    • His book The Third Way: The Renewal of Social Democracy (1998) set out many of its ideas

  • Similar thinking influenced other centre-left governments

    • Blair developed a close relationship with US President Bill Clinton

      • The two took part in meetings of centre-left leaders promoting this approach internationally

Key ideas

Accepting the market economy

  • New Labour no longer aimed to replace capitalism with widespread state ownership

    • It accepted the free market

Combining economic growth with social justice

  • Blair argued that a successful economy should help widen opportunity

    • Economic growth could provide the money needed to reduce poverty and improve public services

    • The emphasis was more on equality of opportunity than equality of outcome

An enabling state

  • The belief that the government should help people improve their own opportunities

    • Education, training and welfare-to-work schemes were intended to help people become more independent

  • Blair argued that the quality of a public service mattered more than whether it was delivered by the public or private sector

    • This helped justify greater private-sector involvement in public services, including schemes such as the Private Finance Initiative (PFI)

Rights and responsibilities

  • Receiving support from the state also brought duties

    • People claiming welfare were expected to take active steps towards employment

  • The same principle appeared in New Labour policies on crime and anti-social behaviour

The Third Way in practice

  • New Labour kept several important parts of the Thatcherite settlement

    • It retained the trade union laws introduced during the 1980s

    • It did not restore privatised industries to state ownership

    • It did not raise the basic or higher rates of income tax

  • However, New Labour also introduced policies that differed from Conservative governments

    • A national minimum wage was introduced from April 1999

    • Britain signed the Social Chapter of the Maastricht Treaty in 1997

    • Public spending on areas such as health and education rose substantially, particularly after 2000

  • The Third Way therefore mixed continuity with change

    • It accepted many market reforms introduced under Thatcher and Major

    • But it also used government action and public spending to pursue social goals

How different was the Third Way from Thatcherism?

  • Critics on the left argued that New Labour had accepted too much of the free-market settlement

    • Some described it as neo-liberalism with a more moderate image

  • Supporters argued that it represented a modern form of social democracy

    • Markets were accepted, but government still had a responsibility to reduce inequality and improve public services

  • Others questioned whether the Third Way was a clear ideology at all

    • It could also be seen as a flexible political approach designed to attract a broad range of voters

“The Labour election victory in 1997 took place at a moment of great political opportunity. Thatcherism had been rejected by the electorate. But 18 years of Thatcherite rule had radically altered British society. There was, therefore, a fundamental choice of direction for the incoming government. One was to offer an alternative radical strategy to Thatcherism, attuned to the shifts that had occurred in the 1970s and 1980s. The other choice was, of course, to adapt to Thatcherite, neo-liberal terrain. New Labour is difficult to characterise. The fact is that New Labour is a hybrid regime, composed of two strands. However, one strand, the neo-liberal, is in the dominant position. The other strand, the social democratic, is subordinate. At the moment, the resistance to the New Labour project is coming mainly from the backwash of the invasion of Iraq. We need to build the different, particular points of opposition (the war, private-public initiatives, opposition to privatisation) into a more substantive critique in order that a more coherent vision can emerge from the left.”

Stuart Hall, left-wing academic and political commentator, article in the left-leaning newspaper The Guardian, 2003

Approach: The source is useful because Hall argues that New Labour combined social democratic and neo-liberal ideas, but that the free-market side was dominant. This supports the criticism that Blair adapted Labour to much of the Thatcherite settlement rather than replacing it

However, Hall was writing from the political left and wanted New Labour to move further away from Thatcherism, so his judgement should be tested against policies such as the minimum wage, higher public spending and the Social Chapter

“I don’t accept the simplistic idea that New Labour was just a continuation of Thatcherism. Labour’s policies involved extensive government intervention in economic life. And there was a genuine preoccupation with increasing social justice, a notion alien to Margaret Thatcher and her guru Milton Friedman. Yet Blair and Brown should have made it much clearer than they did that recognising the virtues of markets is quite different from being powerless before them. Market fundamentalism should have been more explicitly criticised ... The other parties have had to respond to the agenda that New Labour set”

Anthony Giddens, sociologist and architect of the Third Way, article in the left-wing journal the New Statesman, written shortly after Labour lost the 2010 general election, 17 May 2010

Approach: The source is useful because he rejects the idea that New Labour simply continued Thatcherism, pointing instead to government intervention and greater concern with social justice

However, Giddens was defending ideas he had helped develop, so he had a clear interest in presenting the Third Way as distinctive. His argument should be tested against policies that New Labour retained from the Thatcher period

Examiner Tips and Tricks

Hall and Giddens give contrasting interpretations of the same issue. Hall argues that the neo-liberal side of New Labour was dominant, while Giddens argues that New Labour was not simply Thatcherism continued. Use specific policies to test both interpretations rather than dismissing either because of their political position

Domestic and public service policies

Pledges, priorities and targets

  • New Labour entered government with five key pledges from the 1997 election campaign

    • Cut class sizes to 30 for 5–7-year-olds

    • Fast-track punishment for persistent young offenders

    • Cut NHS waiting lists by 100,000

    • Get 250,000 under-25s off benefit and into work

    • No rise in income tax rates and low inflation

  • By 2001, the government claimed that all five had been met

    • However, critics argued that some targets encouraged organisations to focus on what was measured rather than on wider needs

      • For example, hospitals could prioritise patients whose treatment helped meet waiting-list targets

  • Blair became frustrated with what he saw as the slow pace of public-service improvement

    • In 2001, he created the Prime Minister's Delivery Unit to monitor progress

    • Government departments were given numerous targets covering areas such as exam results and National Health Service (NHS) waiting times

  • During Labour's second and third terms, reform placed greater emphasis on choice and competition

    • Parents and patients were offered more choice over schools and hospitals

    • Critics on the Labour left argued that this brought too many market-style ideas into public services

Education

  • Education was one of Blair's main domestic priorities

    • Primary schools introduced dedicated literacy and numeracy hours

    • Infant class sizes were limited to 30

  • New Labour combined extra investment with continued measurement of school performance

    • It retained league tables and Ofsted inspections introduced under the Conservatives

    • Specialist schools were encouraged

    • From 2000, the government developed academies, which operated independently of local councils

      • The first academies opened in 2002

  • Higher education also expanded

    • In 1999, Blair set a target for 50% of young people to enter higher education

    • Tuition fees of up to £1,000 a year were introduced in 1998

    • The Higher Education Act (2004) introduced top-up fees of up to £3,000 a year

      • This was controversial as Labour's 2001 manifesto had promised not to introduce them

      • The bill passed its second reading by only 316 votes to 311

Health

  • Spending on the NHS rose sharply, particularly after 2000

    • The NHS Plan of July 2000 linked increasing funding to reform and performance targets

    • It promised 7,500 more consultants, 20,000 more nurses and 100 new hospital schemes

  • New Labour also changed how some hospitals were managed

    • Foundation hospitals, introduced from 2003, received greater freedom from central government control

      • Many Labour MPs opposed the policy as they believed it introduced too much competition into the NHS

  • By the mid-2000s, there were signs of improvement

    • Waiting times fell

    • However, critics argued that too many targets could make hospitals focus more on meeting targets than on patients' wider needs

“Our task is instead to provide both the money and the reform to make the health service and its founding principle live on and prosper in the 21st century ... By 2005, booked appointments will have taken the place of the old waiting lists”

Tony Blair, Prime Minister, statement to the House of Commons launching the NHS Plan, 27 July 2000

Approach: The source is useful because it shows New Labour’s approach to public services: more funding was linked directly to reform, targets and measurable improvements

However, this was a government announcing its own programme, so the promises should be compared with what actually happened to NHS staffing, spending and waiting times

“It was therefore already known that the plan would contain more targets even though the current targets have not been met, and more pledges even though the current pledges have not been met. The only difference between the contents of this statement and the pledges in the Labour manifesto of four years ago is that the Prime Minister has set the targets so far in the future that he will not be held to account for whether or not they are met”

William Hague, leader of the Opposition, reply to the Prime Minister’s statement in the House of Commons, 27 July 2000

Approach: The source is useful because it shows the Conservative criticism that New Labour relied too heavily on targets and pledges, including some that had not yet been achieved

As the opposition leader, Hague had a clear reason to attack the government’s record, but his criticism is useful for identifying one of the main arguments surrounding New Labour’s public-service reforms

Crime, welfare and social exclusion

  • Blair’s promise to be “tough on crime” shaped New Labour’s approach

    • Anti-Social Behaviour Orders (ASBOs) were introduced in 1998

    • Crime measured by the British Crime Survey fell by around a third between 1997 and 2007

      • Although public fear of crime remained high

  • New Labour also tried to tackle the social causes of crime and poverty

    • The Social Exclusion Unit was created in 1997

    • Sure Start centres provided support for families with young children

    • The New Deal, tax credits and the national minimum wage aimed to make employment more financially worthwhile

    • In 1999, Blair set the long-term aim of ending child poverty by 2020

  • Social reform also extended personal freedoms

    • Civil partnerships were introduced

    • Section 28 was repealed

Rural discontent

  • New Labour faced criticism that its politics did not understand the concerns of rural communities

    • In 2000, rising fuel prices contributed to blockades of fuel depots by farmers and lorry drivers

  • The foot-and-mouth outbreak of 2001 created a further crisis

    • More than six million animals were slaughtered in attempts to control the disease

    • The outbreak caused major disruption and hardship to farmers

  • Opposition to government countryside policies became highly visible

    • The Countryside Alliance organised the Liberty and Livelihood March in London in September 2002

      • Around 400,000 people took part, protesting over hunting and wider concerns about rural life

    • The Hunting Act (2004) banned hunting wild mammals, such as foxes, with dogs

Examiner Tips and Tricks

When assessing New Labour’s domestic record, separate inputs from outcomes. More money, more staff and more targets show what the government put into a service; falling waiting times, exam results or crime rates show what actually changed

Also distinguish between investment and reform. New Labour did not simply spend more on public services. It combined higher spending with targets, inspections, greater choice and, in some areas, more private-sector involvement. That combination is central to judging how distinctive its domestic programme really was

How successful was New Labour's domestic programme?

  • This question asks whether New Labour's domestic programme was primarily a success, or whether it fell short of its promises

    • Some key evidence for each side is presented below

Evidence that the programme was successful

  • New Labour delivered many of the core promises it had made in 1997

    • Public services received much greater attention and investment

    • Education, health and crime were all treated as major government priorities

  • There were clear improvements in some measurable outcomes

    • NHS waiting times fell

    • School results improved and participation in higher education increased

    • Recorded crime also fell over the period

  • New Labour introduced reforms that became a lasting part of British society

    • The minimum wage, civil partnerships and the repeal of Section 28 were not reversed by later Conservative governments

  • The government also retained broad electoral support for much of the period

    • Labour won three successive general elections, suggesting that its domestic programme remained acceptable to many voters

Evidence that the programme fell short

  • New Labour's heavy use of targets created problems

    • Critics argued that schools, hospitals and other services could focus too much on meeting government targets rather than wider needs

  • Higher spending did not always produce improvements at the same rate

    • Critics questioned whether the NHS became more productive as quickly as spending increased

    • PFI also allowed new hospitals and schools to be built while creating long-term repayment costs

  • Some reforms caused political opposition

    • Top-up fees broke an earlier manifesto promise and produced a large Labour rebellion

    • Rural protests showed that some communities felt ignored by the government

  • New Labour also struggled to reduce some deeper inequalities

    • The gap between rich and poor began to widen in some areas

    • Progress towards reducing child poverty was slower than the government had hoped

    • University expansion mainly benefited middle-class students

  • Blair's promise to restore trust in politics was also weakened

    • Spin, donations controversies and later scandals damaged the government's image

“The truth is that there is just one good thing I can say about this Prime Minister, but it is a very big thing indeed. Britain is a nicer place than when he entered Downing Street nearly ten years ago. His premiership has helped to make it so. Tony Blair has placed his personal stamp on a genuinely new era for Britain, an altered culture, a permanent change in our national mood. Without any shadow of doubt, Mr Blair will leave a happier country than he found. Concrete examples are legion: civil partnerships, the scrapping of the ‘section 28’, the minimum wage (towards which I was at first sceptical), childcare provision, the ‘social inclusion agenda’, relaxations on licensing hours, the reclassification of cannabis, a relentless campaign of oratory and example on religious tolerance, and a brave opening of the doors to Eastern European labour from the new EU members. That at least is a legacy of which he should be proud”

Matthew Parris, former Conservative MP and newspaper columnist, opinion column in The Times, 23 December 2006

Approach: The source is useful because his praise carries extra weight: as a critic of Blair, he still accepts that New Labour helped create a more liberal and tolerant Britain

However, most of the examples he chooses are social reforms, so the source says much less about New Labour’s record on the NHS, education, inequality or the use of targets

Examiner Tips and Tricks

A strong answer should ask three separate questions:

  • What changed?

  • How far did outcomes improve?

  • What problems remained?

That keeps the judgement focused and avoids turning the answer into a list of policies

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Lottie Bates

Author: Lottie Bates

Expertise: Curriculum Expert

Lottie has worked in education as a teacher of History and Classical subjects, supporting students across GCSE, IGCSE and A Level. This has given her a strong understanding of how to help students succeed in exams, particularly when structuring written answers and using specific evidence effectively. She believes that studying history helps students make sense of the modern world, and is passionate about making complex topics clear, accessible and relevant to exam success.

Bridgette Barrett

Reviewer: Bridgette Barrett

Expertise: Development Editor

After graduating with a degree in Geography, Bridgette completed a PGCE over 30 years ago. She later gained an MA Learning, Technology and Education from the University of Nottingham focussing on online learning. At a time when the study of geography has never been more important, Bridgette is passionate about creating content which supports students in achieving their potential in geography and builds their confidence.