They needed better working conditions and more working rights, they wanted the right to vote, better living conditions, and less division of the classes - which was sharpened greatly. With the British economy slowing down from 1875 - 1900, plus bigger competition from abroad, especially USA and Germany who were at that time booming, and the gradual decline of British agriculture, more people got pushed into towns. In 1851 the population was fifty percent rural and fifty percent urban. In 1911 there was twenty percent rural and eighty percent urban. As Britain was becoming more urban, the working class stayed in the inner cities and the richer people moved to the borders, thus creating a stereotypical working class culture. The culture was pubs, fish and chips, soccer and day trips to Blackpool.
Unemployment was becoming a problem, as the population was outgrowing its capacity of jobs. Housing also became a problem, and slums' were where most working class people lived. A survey taken by Charles Booth showed that thirty percent of the population was living in poverty. .
This thirty percent of the whole population was just waiting for a party that could stand up for them. (Bearing in mind when the working class do get the vote, it is only the men).
The roots of the labour party can be traced back to various socialist groups in the late nineteenth century. There was the SDF (Social Democratic Federation) who actually helped to create the LRC. The leader of the SDF, H.M. Hyndman was hostile towards the Liberals, and wanted a creation of a separate party. .
The ILP (Independent Labour Party) was created by Keir Hardie in 1893, who went on to influence the LRC greatly.
The Fabians had some influence, and some ideas were applied to policy making, but in comparison to the other parties they're influence was small. .
The LRC (Labour Representation Committee) was formed in 1900 as a result of initiative from Trade Union Congress (TUC).