Born in Fife as one of nine children, Daly's father Jimmy was a miner and a founder member of the Communist Party of Great Britain (CPGB), who suffered blacklisting due to his activities during the 1926 general strike. Jimmy was of Irish Catholic extraction whilst Lawrence's mother Janet was a Presbyterian. Lawrence was educated at local Catholic schools: he later said that his education had left him with both a considerable knowledge of Scottish poetry and "a need for a strongly authoritative dogma". He subsequently pursued adult education through correspondence courses organised by the National Council of Labour Colleges. At 15, Lawrence Daly began work as a miner at Glencraig Colliery. At this time he also joined the Young Communist League.