England, United kingdom
To ensure funding for their reforms, Lloyd George and Churchill denounced Reginald McKenna's policy of naval expansion, refusing to believe that war with Germany was inevitable. As Chancellor of the Exchequer, Lloyd George presented his "People's Budget" on 29 April 1909, calling it a war budget to eliminate poverty. He proposed unprecedented taxes on the rich to fund the Liberal welfare programs. The budget was vetoed by the Conservative peers who dominated the House of Lords. His social reforms under threat, Churchill warned that upper-class obstruction could anger working-class Britons and lead to class war.