Benefits from Unemployment Insurance Act 1911 - providing 7 shillings per week for 15 weeks per year
Low payment as average salary was 20 shillings per week
10% of male population covered by this Act
Reliant on private charity for any medical care
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Growth in 1920s Welfare Provison
Unemployment Insurance Act 1920 - Insurance from 4 million workers to 11.4 million.
75p per week for men and 60p per week for women
Low as average bus driver earnt £3 per week
State funded dole without a means test justified by fears a Revolution like in Russia 1917 would occur, the need to support soldiers (1/3 of unemployed were ex servicemen) and the idea that the state should provide for those in need
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Welfare in the 1930s
Controversial due to economy
Snowden advocated a 10% cut in benefits leading to downfall of Labour in 1931 and formation of National Government
The 1931 National Economy Act (due to frantic selling of £ in America) - means test for unemployed disqualifying short term workers (affected shipyards - season work) & areas like Wales and Tyneside. Benefits could only be claimed for 6 months. After 6 months, Public Assistance Committee would investigate your case
The Unemployment Act 1934 - reserved 10% cut in benefit but made cuts to long-term workers. 300,000 marched in Wales
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Welfare in WW2
Evacuation - 1939 - 1.5 million children assuming private charity would support so no clothes/food etc
Rationing - January 1940. Bacon, butter and sugar. Jam, tea and eggs followed in 1941. Point system but people grew vegetables. Alcohol increased in price- 3p-7p for a pint of beer. Health of public largely increased with subsidised milk for children
Clothes - 1941 onwards - 66 coupons with a dress costing 11 coupons. Utility clothing designed but pre-war clothing was very good quality
Black Market thrived but only Upper Classes could afford this
Resturants also became rationed offering limited amount of meat/fish
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The Beveridge Report 1942
Post-war Britain vision by William Beveridge
Identifed five giant evils --> squalor, ignorance, idelness, want and disease
New welfare state with universal benefits
Sent to soldiers as form of propaganda and endorsed by The Times and The Telegraph which was typically conservative
Sold many copies as form of morale
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Labour's Creation of the Welfare State
1945 - Landslide victory with slogan 'Let us Face the Future'
Aimed to create a Welfare State 'From the cradle to the grave'
The Family Allowances Act 1945 - 25p a week child benefits payable to mother - small income
The National Insurance Act 1946- 25p charge on all wages. Pension to men over 65 and women over 60 - £1.30 a week for single & £2.10 per week for married couple. Everyone paid same amount regardless of wealth
The Industrial Injuries Act 1946 - Workers having a legal right to compensation. 1/4 of deaths in workplace in mines. 2500 killed a year at work
The National Assistance Act 1948- Welfare to those not covered by NI including disabled and women. Abolished Public Assistance Committee and gave responsibilities to LAs
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Welfare Consensus
Broad agreement over the role of the state
Harold Macmillan was very popular and wrote The Middle Way. He claimed that Conservatives had a duty to proivde for working classes
Britain spent less on welfare than France and Germany
Child Povery Action group claimed - 720,000 children living in poverty
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Challenges to state Welfare Provision, 1964-79
Sir Keith Joseph argued it created a dependency culture inspired by writings of Friedrich Hayek
Led to economic inefficiency. Private businesses run to make a profit
High amount of borrowing leading to inflation as no increase of goods in the economy
People preferred to live off small handouts than a wage and wouldn't get a job
More of the working class became aspirational
IMF Cuts - loan of $4billion led to £2.5billion in cuts
Press critical of dependency state like Financial Times and Telegraph
Conservatives attacked Wilson's policies such as Universal Child Benefit but in 1970 National Insurance Act Heath created generous welfare benefits including pension rights to 100,000 more and rent subsidies for low income families
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