Transcript LIBERAL WELFARE REFORMS

Britain in 1900
The Death of Laissez-faire?
What was Britain like in 1900?
Britain was one of the world’s richest
and strongest countries
The Industrial Revolution brought
wealth and importance to Britain
There was a growing middle class but
most of the population were working
class
Many people lived in poverty
Laissez Faire
Laissez-faire, a French term, means
'leave alone'.
It wasn’t the government’s job to help the
poor
Left to their own devices, according to this
argument, people will develop habits of
sturdy self-reliance, but if they are
supported by the state, people will rapidly
become dependent.
The Poor Law System
Those in need of help had to prove they
were poor. They were then allowed into
the workhouse
Life in the workhouse was tough
In Scotland Poorhouses were built –
these weren’t as harsh but only the
disabled, widows, orphans, the old and
sick had a right to help. You didn’t have
to work in the Poorhouse.
Self-Help
Samuel Smiles – a Scottish doctor
Smiles believed that positive thinking
could make anything possible
The only way for someone to escape
poverty was through their own efforts
The average worker could avoid poverty
by working hard and saving some of
their wages
What Self-help was there?
Friendly Societies – each member puts
in money while he is in good health for
which he receives money when he is ill
or old.
Savings Banks
Cooperatives – the community getting
together to provide low cost food and
services
Many people were unable to save
anything
Work of Charities
Gradually Middle Classes began to
realise there was a need for charity
Move away from self-help (but not direct
govt. intervention)
Christian, Socialist organisations spring
up in C19: YMCA; Salvation Army; Dr.
Barnardo’s;
Salvation Army Poster - 1919
The work of Booth
Charles Booth investigated poverty in
London
Initially intended to disprove the poverty
figures produced by Hyndman
Actually discovered that statistics were
worse than thought
Introduced the ‘poverty line’
Life and Labour of the People in London
Rowntree’s Work
Seebohm Rowntree investigated poverty in
York
Refined the ‘poverty line’
Differentiates between primary and
secondary poverty
Poverty a Study of Town Life
Would go on to study poverty in rural areas
Politics
Extension of the franchise in 1832, 1867 and
1884 led to an increasing number of working
class men getting to vote
Political parties had to compete for working
class votes
The Conservatives introduced a number of
reforms: Housing Act; Education Act;
Workmen’s Compensation Acts
New Liberalism was influenced by men such as
David Lloyd George
Continued
Men like Keir Hardie and Ramsay
Macdonald started the Labour Party
Growth of Trade Unions – influence on
government and business
Fabians – middle class
BUT…
Social changes were moderate, and slow
Most Liberals and Tories were still in
favour of Self Help even in 1900
The impact of the Labour Party was not
really felt until the Great War
Politicians were unwilling to raise taxes or
annoy private insurance firms
Most reforms did not come until the Liberal
Government of 1906-14
LIBERAL WELFARE
REFORMS
Motivation
New Liberalism
Booth and Rowntree
National Efficiency
Continuing with Conservative reforms
Threat from new Labour Party
Pressure from Trade Unions and
Socialist groups
The Young
School Meals Act (1906) –allowed local
authorities to arrange for school meals
School Medical Inspections (1907) –
sneaked into a more general
administrative Act.
Children’s Charter (1908) – forbade
child begging, children in pubs or the
sale of alcohol/tobacco to children
under 16
The Old
The Old Age Pensions Act 1909 – pensions
of 5s. Per week to persons over 70 years old
(7s.6d. To married couples)
The People’s Budget – supposed to raise
£15m for defence and old age pensions.
Budget increased income tax, death duties,
licensing, tobacco and spirit duties; new taxes
on cars, petrol and land. Rejected in Nov 09
but passed the following April.
The Employed
Workmen’s Compensation Act 1906 – made
compensation payable for accidents arising
out of the workman’s employment
Coal Mines Act 1909 – limited the working
day of coalminers to 8 hours
Trade Boards Act 1909 – fixed minimum
wage for sweated trades
cont
National Insurance Act 1911
Shops Act 1911 – gave shop workers
guaranteed time off work
Minimum Wage for miners – 1912
The Sick and Unemployed
Labour Exchanges – 1908
National Insurance Act 1911 –
Part I: Sickness Benefit
Employees contributed 4d a week,
employers contributed 3d a week and the
State contributed 2d a week (‘9d for 3d’).
Benefits include free medical treatment,
maternity benefit and sick pay for up to 26
weeks
cont
Part II: Unemployment Benefit
Employees contributed 2.5d per week,
employers contributed 2.5d per week
the State contributed 1 2/3d per week.
Benefits included 7s per week for up to
15 weeks paid through the Labour
Exchanges
The Parliament Act 1911
Came about after the People’s Budget
and Constitutional Crisis
Reduced the powers of the House of
Lords – stall Bills
Reduced the life of Parliament to 5
years
Gave MPs a wage – set at £400 pa
General Success
State became involved in the regulation of
life for the young – children better fed,
healthier and better educated
OAPs were financed from general tax’
Pensions were administered by the Post
Office removing the shame of the Poor
Law
Unemployment benefits were administered
by the Labour Exchanges
General Criticisms
Local Authorities did not have to provide
school meals
Medical inspections for children merely
identified problems – not a solution
OAPs were limited to the over 70s
Health Insurance only covered the worker,
not the family
Labour Exchanges were voluntary
Unemployment Benefit was for a limited
number of industries
Historians’ Views
Cross and Williams are of the view that the
Liberal Reforms were successful and “laid the
foundations of the future Welfare State”
C.Cross
Evans and Hay think the reforms were more
limited: “many participants in the creation of
the Liberal reforms had no thought of creating
a ‘Welfare State’ of the type which developed
after 1945” J.R. Hay
Essay Questions
Explain why attitudes to poverty were
changing in Britain at the start of the
twentieth century.