Escalating in the last quarter of the XIX century. industrial capitalism into monopoly had a great impact on Britain's position in the world and develop its political system. During this period, Great Britain, which used was the "workshop of the world" has lost the world championship in the industry. At the end of XIX – beginning of XX century, the basis of British capitalism was not the industrial and commercial, and colonial monopoly. At a time when monopoly capital gradually began to play a crucial role in the economy has undergone significant change and the party system. Conservative Party began to turn into a party of big industrial and financial owners. The Liberal Party, composed mainly of middle-class, gradually deprived of the social base of political positions and lost, thus accelerating the formation in 1906 of a new party – the Labour Party.
Labor party originated as a result of the rising working class movement and the emergence in England of socialist groups and organizations. In 70 – 80 years was approved by a series of laws, including the introduction of the secret ballot (1872), punishment for bribery Voters (1886). Of particular importance were the laws of 1884 and 1885. Who came third in the XIX century. electoral reform. The reform of 1884 increased the electorate from 3 to 5.5 million people. In urban property qualification was abolished, and in County to participate in the elections become smaller tenants (and on the same terms that apply to the city's voters on the reform of 1867) 3, as well as all taxpayers who have lived in the district for six months.