Sentence:  He sees the idiocy of an educational system founded on the Greek lexicon and the wax-ended cane; on the other hand, he has no use for the new kind of school that is coming up in the 'fifties and 'sixties, the “modern” school, with its gritty insistence on “facts”. What, then, "does" he want? As always, what he appears to want is a <WSD>moralised</WSD> version of the existing thing—the old type of school, but with no caning, no bullying or underfeeding, and not quite so much Greek. 
Meaning of the word marked with <WSD> tags:  To render moral; to correct the morals of; to give the appearance of morality to.