Theme 2 - provision of social welfare Flashcards
what was the provision of welfare in 1918?
based on Victorian poor laws and pre-war Liberal welfare reforms, which introduced unemployment insurance
1920 Unemployment Insurance Act
expanded national insurance from 4 mill people (1919) to 11.4 mill (1921)
benefits increased to 75p for men and 60p for women
- still low compared to working wages
created a state funded benefit available to the unemployed without means testing
how was the growth of welfare in the interwar period justified?
need to reduce high unemployment for fear of poverty leading to revolution, like 1917 Russia
popular desire to help those who had fought in the War
why was the growth of welfare in the 30s controversial?
the size of the welfare budget grew, which was controversial due to the state of the British economy
disagreement led to downfall of government and MacDonald forming the National Government
1931 National Economy Act
widely unpopular
introduced a means test to reduce benefits bill
- this exacerbated hardships, particularly in deprived areas
- disqualified ‘short-time workers’
benefits could only be claimed for 6 months, would need to reapply after
introduced ‘transitional payments’ to help unemployed people after 6 months
- Public Assistance Committee investigated claimant’s circumstances
unemployed parents with working children would lose their benefits
- forced children of working age to move out
1934 Unemployment Act
reversed 10% cut in benefits for short-term unemployed
after 6 months, long-term unemployed could apply for further benefits
- cut in benefits for long-term unemployed led to protests
- Jan 935: government suspended the cut
means testing continued, but payments made at a lower rate
how did WW2 impact social welfare provision?
increased the role of the state
- responsible for directing the economy
- ensure the welfare of the population
1942 Beveridge Report
what was the effect of evacuation?
brought together sectors of society that may not otherwise have met
1939: 1.5 mill children relocated, but authorities didn’t cater for their needs
the government then learnt from mistakes and in later evacuations children were provided with essentials (clothes, bedding, food)
what was the effect of rationing?
made people feel more equal as they all suffered hardships for the war effort
Jan 1940: food rationing
- diet improved
- Food Policy Committee authorised subsidised milk and heating fuel for mothers with small children
June 1941: clothes rationed
what was the 1942 Beveridge Report?
set out a vision for post-war Britain in which state welfare remedied squalor, ignorance, disease, etc
advocated for co-operation between the state and the individual
advocated universal benefits and rejected means testing
what were the reactions to the 1942 Beveridge Report?
extremely popular - sold several hundred thousand copies
used as propaganda - sent to British troops overseas to encourage them to fight for a better Britain
Ministry of Information found it had support from all elements of society
what was Labour’s 1945 manifesto ‘Let Us Face the Future’?
made connection between social welfare and economic success
- economic success required to pay for welfare
- claimed welfare could promote economic growth and efficiency - healthy, better-educated workers would be better equipped to work productively
Family Allowances Act
1945
created child benefits - 5 shillings a week for each child
benefit paid to the mother
National Insurance Act
1946
unemployment and sickness benefits available to all workers
pensions to all men over 65 and women over 60
- £1.30 a week for a single person
- £2.10 for married couple
universality - everyone covered and required to make contributions
- abolished means testing
- flawed because everyone paid the same amount into the scheme
Industrial Injuries Act
1946
gave workers the right to compensation for accidents and injuries in the workplace
- on average 2,425 people killed each year at work in the 40s (over 1/4 were miners)
National Assistance Act
1948
offered welfare to those who weren’t covered by national insurance because they didn’t work (homeless, disabled, unmarried mothers, pensioners)
abolished Public Assistance Committees, replaced them with a centralised National Assistance Board
when was the NHS created?
July 1948
major achievement of welfare state legislation
‘The Middle Way’
book published by Macmillan in 1938
advocated government action to end social deprivation
the welfare consensus (1939-64)
broad agreement between parties over the role of the state and provision of welfare
centre and left of Conservatives saw welfare as essential to modern Britain
- also knew cuts would be unpopular and make them unelectable
what was the cost of the welfare state in the 50s?
in the 1950s, the cost of welfare as a percentage of total GDP rose from 3-4%
in what way was the welfare state ineffective?
1965: Child Poverty Action Group claimed 720,000 children lived in poverty
increasing costs led to debate over the effectiveness of the welfare state
- 1970: Conservatives began to challenge commitment to high levels of welfare spending
how did the welfare state contribute to economic decline?
1964: Labour won election and Wilson inherited £800 mill budget deficit
- still refused to cut welfare benefits, which led to successive economic issues
- forced to pay for growing welfare provision through taxation, which led to growing resentment
National Insurance Act (1970)
gave pension rights to 100,000 people who weren’t covered by the 1948 Act
increased child allowance given to mothers
made rent subsidies available for low-income families in private accommodation
how did Keith Joseph argue against the welfare state?
argued that welfare spending led to economic inefficiency
- government would spend money inefficiently as they didn’t need to make profit
claimed there was a relationship between welfare and inflation
- high levels of borrowing for welfare spending created inflation
- govt would try to fix it with more welfare spending, which would only worsen inflation
argued the welfare state created dependency culture
