After the 1923 general election was called, seven Liberal associations asked Churchill to stand as their candidate, and he selected Leicester West, but he did not win the seat. A Labour government led by Ramsay MacDonald took power. Churchill had hoped they would be defeated by a Conservative-Liberal coalition. He strongly opposed the MacDonald government's decision to loan money to Soviet Russia and feared the signing of an Anglo-Soviet Treaty.
On 27 December 1923, Daisuke Namba attempted to assassinate Hirohito in the Toranomon Incident but his attempt failed. During interrogation, he claimed to be a communist and was executed, but some have suggested that he was in contact with the Nagacho faction in the Army.