The continued relevance of industrial nationalisation (a centrepiece of the post-War Labour government's programme) had been a key point of contention in Labour's internal struggles of the 1950s and early 1960s. Wilson's predecessor as leader, Hugh Gaitskell, had tried in 1960 to tackle the controversy head-on, with a proposal to expunge Clause Four (the public ownership clause) from the party's constitution, but had been forced to climb down. Wilson took a characteristically more subtle approach: No significant expansion of public ownership took place under Wilson's government, however, he placated the party's left-wing by renationalising the steel industry under the Iron and Steel Act 1967 (which had been denationalised by the Conservatives in the 1950s) creating the British Steel Corporation.
the continued rELevAnce of inDUstriAl natIonaLisaTion (a centrepIecE OF tHe post-wAr labOUr goVErnmENt'S PrOgramme) had Been a KEy POint of conTENtion iN labour'S INteRnaL STrugGLes of the 1950s and eaRlY 1960s. wILsoN's predEcESsOR as leAder, huGH gaitskeLl, HAD tRiEd in 1960 tO tackLe thE ConTRoVeRsY head-On, witH A proPosal To expungE clAuse foUR (tHe pUbLic OWNership clAusE) from The parTy's coNStItUtioN, buT had been fORced tO climb down. wilsON took a cHAracteriStiCAlly mORe subtle APproach: nO sIgNIficant ExpansiOn OF PuBlic oWNersHip took pLace UnDer WilSON's GOvERnmEnT, hOWeVer, HE PlaCAtEd The PARty's lEft-WinG by reNATiOnAlisinG the steeL INdusTry UNdeR tHe iron AnD STeel act 1967 (whicH hAD bEen denatioNalIsed bY THe COnServatIVEs In The 1950s) cREatinG tHE BritisH steel corporatiOn.