21 December 1844: The Rochdale Pioneers open for business
On this day in 1844, the Rochdale Pioneers opened a little shop on Toad Lane in Rochdale, Lancashire, which became a model for co-operatives around the world.
The Rochdale Society of Equitable Pioneers didn't invent the idea of the co-operative, but the model established by the Rochdale Pioneers, as they became known, was to be the most enduring. Indeed, in time, it became the go-to model for would-be co-operatives around the world.
It all started towards the end of 1843, on one of those damp "and disagreeable days which no Frenchman can be brought to admire", noted George Jacob Holyoake in his 1858 history of the Pioneers, Self-help by the people. "A few poor weavers out of employ quite out of heart with the social state", got together to see what they could do to better their lot.
They determined that they would "commence the battle of life on their own account". They formed a little group, and for 2d a week (a sum "these Rochdale Rothschilds did not know how to pay"), you could buy a subscription. Of the original 28 members, many were skilled in shoemaking and cabinet making, for example and flannel weaving, which was the trade of ten of its members.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
What set the Rochdale Pioneers' model apart from all those that had failed before them were The Rochdale Principles. You can see a full list of them here. In short, they outlined the basic principle that the co-operative would be run by its members and for its members (by committee at the Weavers' Arms pub), and that trading and governorship would be always fair and honest. In time, they would own their own means of production (the mills, etc), right down to the selling of their goods to the consumer.
As with all pioneering ventures, their beginnings were humble. On 21 December 1844, the Pioneers had amassed enough capital, around £15, to open a little shop on Toad Lane in Rochdale, Lancashire (now the site of the Rochdale Pioneers museum). Their money didn't buy much to begin with: some flour, butter, sugar and oatmeal "the entire quantity would hardly stock a homeopathic grocer's shop".
Nevertheless, the little shop thrived. After a year's trading, the subscription list had grown to 74 members, with takings amounting to £710. The shop didn't sell the best quality goods, nor were they by any means the cheapest, but it achieved a loyal following, with people choosing to spend their money there. As Holyoake put it: "If there are to be moral sellers, there must be moral buyers."
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
Chris Carter spent three glorious years reading English literature on the beautiful Welsh coast at Aberystwyth University. Graduating in 2005, he left for the University of York to specialise in Renaissance literature for his MA, before returning to his native Twickenham, in southwest London. He joined a Richmond-based recruitment company, where he worked with several clients, including the Queen’s bank, Coutts, as well as the super luxury, Dorchester-owned Coworth Park country house hotel, near Ascot in Berkshire.
Then, in 2011, Chris joined MoneyWeek. Initially working as part of the website production team, Chris soon rose to the lofty heights of wealth editor, overseeing MoneyWeek’s Spending It lifestyle section. Chris travels the globe in pursuit of his work, soaking up the local culture and sampling the very finest in cuisine, hotels and resorts for the magazine’s discerning readership. He also enjoys writing his fortnightly page on collectables, delving into the fascinating world of auctions and art, classic cars, coins, watches, wine and whisky investing.
You can follow Chris on Instagram.
-
James Halstead drives profits: should you buy?
James Halstead will rebound from a weak patch, while tax changes would be a buying opportunity
By Jamie Ward Published
-
Premium Bond winners – who won the November £1 million jackpot?
NS&I unveils November’s Premium Bond winners. Who bagged the jackpot and what other prizes are on offer?
By Vaishali Varu Published
-
31 August 1957: the Federation of Malaya declares independence from the UK
Features On this day in 1957, after ten years of preparation, the Federation of Malaya became an independent nation.
By Jasper Spires Published
-
13 April 1960: the first satellite navigation system is launched
Features On this day in 1960, Nasa sent the Transit 1B satellite into orbit to provide positioning for the US Navy’s fleet of Polaris ballistic missile submarines.
By Ben Judge Published
-
9 April 1838: National Gallery opens in Trafalgar Square
Features On this day in 1838, William Wilkins’ new National Gallery building in Trafalgar Square opened to the public.
By Ben Judge Published
-
3 March 1962: British Antarctic Territory is created
Features On this day in 1962, Britain formed the British Antarctic Territory administered from the Falkland Islands.
By Chris Carter Published
-
10 March 2000: the dotcom bubble peaks
Features Tech mania fanned by the dawning of the internet age inflated the dotcom bubble to maximum extent, on this day in 2000.
By Chris Carter Last updated
-
9 March 1776: Adam Smith publishes 'The Wealth of Nations'
Features On this day in 1776, Adam Smith, the “father of modern economics”, published his hugely influential book The Wealth of Nations.
By Ben Judge Last updated
-
8 March 1817: the New York Stock Exchange is formed
Features On this day in 1817, a group of brokers moved out of a New York coffee house to form what would become the biggest stock exchange in the world.
By Chris Carter Last updated
-
7 March 1969: Queen Elizabeth II officially opens the Victoria Line
Features On this day in 1969, Queen Elizabeth II took only her second trip on the tube to officially open the underground’s newest line – the Victoria Line.
By Ben Judge Last updated