Sidney Webb 1889 The Basis of Socialism

The record of the century in English social history begins with the trial and hopeless failure of an almost complete industrial individualism, in which, however, unrestrained private ownership of land and capital was accompanied by subjection to a political oligarchy [...]

In the present Socialist movement these two streams are united: advocates of social reconstruction have learned the lesson of Democracy, and know that it is through the slow and gradual turning of the popular mind to new principles that social reorganization bit by bit comes. All students of society who are abreast of their time, Socialists as well as Individualists, realize that important organic changes can only be (1) democratic, and thus acceptable to a majority of the people, and prepared for in the minds of all; (2) gradual, and thus causing no dislocation, however rapid may be the rate of progress; (3) not regarded as immoral by the mass of the people, and thus not subjectively demoralizing to them; and (4) in this country at any rate, constitutional and peaceful [...]

[The ] root of the difficulty is economic; and there is every day a wider consensus that the inevitable outcome of Democracy is the control by the people themselves, not only of their own political organization, but, through that, also of the main instruments of wealth production; the gradual substitution of organized cooperation for the anarchy of the competitive struggle; and the consequent recovery, in the only possible way, of what John Stuart Mill calls "the enormous share which the possessors of the instruments of industry are able to take from the produce."The economic side of the democratic idea is, in fact, Socialism itself [...]

The event which brought to a head the influences making for political change was the French Revolution. The fall of the Bastille was hailed by all who had been touched by the new ideas. "How much the greatest event it is that ever happened in the world; and how much the best!" wrote Charles James Fox. It showed, or seemed to show, to men that a genuine social reconstruction was not only desirable but possible [...]

The result of the industrial revolution, with its dissolution of medievalism amid an impetuous reaction against the bureaucratic tyranny of the past, was to leave all the new elements of society in a state of unrestrained license. Individual liberty, in the sense of freedom privately to appropriate the means of production, reached its maximum at the commencement of the century. No sentimental regulations hindered the free employment of land and capital to the greatest possible pecuniary gain of the proprietors, however many lives of men, women and children were used up in the process [...]

Meanwhile, caring for none of these things, the practical man had been irresistibly driven in the same direction. In the teeth of the current Political Economy, and in spite of all the efforts of the mill-owning Liberals, England was compelled to put forth her hand to succor and protect her weaker members. Any number of Local Improvement Acts, Drainage Acts, Truck Acts, Mines Regulation Acts, Factory Acts, Public Health Acts, Adulteration Acts, were passing into law…

It was inevitable that the Democracy should learn this lesson. With the masses painfully conscious of the failure of Individualism to create a decent social life for four-fifths of the people, it might have been foreseen that Individualism could not survive their advent to political power. If private property in land and capital necessarily keeps the many workers permanently poor (through no fault of their own) in order to make the few idlers rich (from no merit of their own), private property in land and capital will inevitably go the way of the feudalism which it superseded [...]

It is, of course, possible, … that the whole experience of the century is a mistake, and that political power will once more swing back into the hands of a monarch or an aristocratic oligarchy. It is, indeed, want of faith in Democracy which holds back most educated sympathisers with Socialism from frankly accepting its principles. What the economic side of such political atavism would be it is not easy to forecast. The machine industry and steam power could hardly be dismissed with the caucus and the ballot-box. So long, however, as Democracy in political administration continues to be the dominant principle, Socialism may be quite safely predicted as its economic obverse, in spite of those freaks or aberrations of Democracy which have already here and there thrown up a short-lived monarchy or a romantic dictatorship. Every increase in the political power of the proletariat will most surely be used by them for their economic and social protection. In England, at any rate, the history of the century serves at once as their guide and their justification.

Source: http://www.econlib.org/library/YPDBooks/Shaw/shwFS1.html#The%20Basis%20of%20Socialism,%20Historic,%20by%20Sidney%20Webb