Also remember that distributism was very much an English social idea. Belloc, for example, became a naturalized British subject in 1902, while retaining his French citizenship, and Chesterton was British as well.
So, look at the history of Britain in order to comprehend where distributism came from.
What major shift in land ownership took place? How about the Dissolution of the Monasteries? So all of a sudden, you have these Church lands that are widely scattered to support over 850 different monasteries/priories/convents/friaries, and poof! All of a sudden, the King says, “These are mine. And I’ll give them to who I please.” And who did it please him to give them to? To the nobility and aristocracy.
It took four years to shut down over 800 of those 850 establishments. They had owned about one third of all the land in England and Wales.
What else was happening in the centuries prior to the Dissolution? The Guild System was developing and flourishing. A lot of the great estates had been broken up prior to the Norman Invasion. The population tripled in the 200 years between the time of the Domesday Book (1086) and 1300. The economy exploded, too. Things were definitely rough during the Plague and the Famine, but they recovered. And things were ticking along pretty well for a lot of people…
…and then a third of the land got taken up and given to people who already were major landowners. And poof. You lost your hostels. You lost your schools. You lost your hospitals. The poor lost a significant safety-net. The government struggled to do what the Church used to do.
Then about 200 years later, you get the Industrial Revolution. It leads to a giant middle class… but this middle class is made up of factory workers who work long hours in grueling conditions for pennies. They don’t have the same access to proportional profits as, say, the Guild System that used to be in place, because the laborers aren’t the ones who own the factories.