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History of the Co-operative Party

For the first seventy years of the history of he Co-operative Movement, from the foundation of the Rochdale Pioneers, the Movement as a whole had largely refrained from participation in the formal political processes.

The Rochdale Pionners, indeed, had pronounced that their Society should be 'politically neutral' and this principle was held for decades almost as a sacred cow and is still quoted now. Co-operation was held by many to be (to paraphrase) such a great idea that everyone would come round to it eventually, and it therefore felt no need to engage in politics.

What is usually overlooked is that, for most of the 19th century, the overwhelming majority of Co-operative Society members could play no part in the political processes of Britain as they did not possess the necessary property qualifications. The argument of 'political neutrality' prevented the Co-operative Movement from participating in the foundation of the Labour Party in 1900, though it was probably true that most of those concerned would have been Co-operative Society members.

On the outbreak of the Great War and the consequent introduction of rationing and conscription, it became clear that the Movement still had many bitter enemies within the ruling power structure of the country. Local conscription and rationing Boards were set up and were packed with representatives of capitalist interests.

Many local co-operative societies henceforth found it difficult, if not impossible, to obtain the staple foodstuffs that were on ration, and some societies found the majority of their workforces conscripted - sometimes overnight. No such problems faced the private traders. Other actions by Government unfairly penalised the over 1000 societies that made up the Movement, and at a special Congress in 1917 it was resolved that a Co-operative Representation Committee (soon renamed the Co-operative Party) was set up.

It fought six seats in the 1918 'khaki election' and saw its first MP elected: Alfred Waterson in Kettering. He took the Labour whip in Parliament, as the Movement clearly saw that its best interests would be served by an alliance with Labour. An electoral agreement was signed in 1927 and has remained (though amended) ever since.

Because of the fact that the Co-operative Movement has consisted mostly of the retail Societies with their relatively large resources, little had been made of other aspects of co-operation until the mid 1970s when the Industrial Common Ownership Acts and the Housing Co-operatives Act were passed. The (national) Co-operative Development Agency (axed under the Thatcher government) was also founded at that time and at the end of the 1970s the Credit Union Act also came into being. Since then, the 'new co-operative movement' (housing co-ops, workers' co-ops, credit unions, community co-ops, etc) has begun to thrive and take its rightful place in the spectrum of activities backed by the Party.

Representatives are styled 'Labour and Co-operative' and the Party was registered as a bona fide political Party under the Registration of Political Parties Act of 1999.

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