The first bombing of London was supposedly an accident when two German aircraft dropped bombs on the city. It is thought this because earlier Hitler had said that bombing of civilian targets were not allowed. Even though Hitler has said this Churchill decided to react so the RAF sneaked past the German defences and bombed Berlin as revenge for the Germans bombing London. Hitler grew angry and decided to begin attacking cities in Britain not only for Revenge but for other important reasons as well.
One of these reasons was to cripple the British economy and stop any sort of industry. Ports were attacked stopping vital supplies from entering the country, which people needed most, to survive and fight a war. Factories were bombed so the production of munitions and living supplies was greatly reduced. The railway was also destroyed affecting trade and transport. This made the movement of supplies across Britain a lot harder.
Another reason was to break the morale of the British people. By destroying their homes, ruining their lives and separating their families. Night after night, tonnes and tonnes of bombes were being dropped on cities all over Britain with little or no resistance, the Germans wanted there to be total chaos and every sense of normality o peoples lives taken away. People’s morale was affected but never broken due to civilians being there for each other, be it in the tube stations or in the air-raid shelters or anywhere else, and just simply the fact they could never surrender and submit to foreign rule.
The Royal family also played an important role in keeping morale high because they continued to stay in Buckingham Palace even though it was getting bombed. In fact it is said that peoples morale was increased during the Blitz due to the desire to end the war and the unwavering will of the Prime Minister.
Hitler was not ignorant he knew that Britain would never surrender no matter what its people went through especially with Churchill as its leader that is why he decided to bomb the cities and make invading a lot easier. Britain was already wounded and all that he was doing now was finishing it off.