Lyric discussion by 1968again 

Cover art for Spring-Heeled Jim lyrics by Morrissey

The film the song samples is "We are the Lambeth Boys"a 1950s documentary about the young men (and women) who hang out at a certain youth club in london (it is not about the last men to be hung in the UK). The film is a deliberately sympathetic account of a certain demographic who were often looked on, and feared, as delinquents in their time.
http://video.google.com/videoplay?docid=232669605535093695 Morrissey, however, has chosen the parts of the dialogue which represent that side of their personality which the film is trying to soften - i.e. the aggressive gang culture. He also emphasises the repressed homoerotic aspects of their relationships.