The main aim for Labour at the start of the 20th century was to establish itself as a party that recognised and appealed to the working classes, as well as breaking down the two-party system in Britain with the addition of a new political force. The founding of the Labour Representation Committee can be attributed somewhat to Keir Hardie in the late 1800s, a movement that grew noticeably after World War One under Henderson and Macdonald. In the forty-five years up to 1945, Labour had progressed from a basic, inexperienced force to one that had served in government on several occasions. Such progress was ultimately the underlying reason for the decline of the Liberal party, with the strength or indeed lack of strength of the opposition being the most influential factor in the fluctuating fortunes of Labour during the period. Party policy was key in attaching Labour to a particular group of the electorate and assuring voters they were moderate and trustworthy in government, yet the breakthrough of the party and its success during the 1920s would not have materialised without the divisions evident within the Liberals and the unconvincing leadership of the Conservatives.
Party policy was significant for the Labour party as it established itself as an independent entity aside from the dominant Liberals and Conservatives and was much of the reason why their popularity grew throughout the 1910s and into the 1920s. However, their policy was never strictly defined, simply to politically educate the working class and award them political equality, or particularly distinct from the status quo. By 1906, they had won 29 seats in Parliament despite a lack of clear policy, won simply on the back of their agreement with the Liberals after the Lib-Lab pact in 1903, where the parties wouldn't run candidates against the others'. This evidence perhaps suggests that the