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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
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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;
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
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.