A Liberal Government In Britain in 1948?

For those who like alternative history, here's a timeline where Archibald Sinclair leads a Liberal Government. It's not a very nice world though:

The 10th Duke of Devonshire paced his rooms in a silent fury. How dare the BBC relay this disgusting rubbish out of Germany ?! But ever since the Liberal victory in the aftermath of the economic collapse, the UK had been to Hell in a hand-basket. He fairly shook with anger. To think that his own eldest son had perished fighting these bastards, killed by the nuke that exploded above the invasion fleet in the Channel ! And now this, this indescribable appeasement ! For he was sure that was what this was - a New Appeasement, as the right-wing newspapers had it

He came to the window overlooking the main road, and stood stock still. The interpreter's voice still relayed Goering's words to his ears, but now he observed the scene on the road outside. He frowned at the sight of an Alvis sitting at the turning, all burgundy-and-cream, pre-war colours if there was such a thing. Had its owner hidden it during the years of blackout, or was it newly repainted ? No, it did not seem to be; he could see scratches along its side. How odd...