The Making of Modern Britain, 1880–1951 Flashcards

1
Q

Causes of poverty in the early 1900s

A
  • Wages were very low – even employed workers often lived below the poverty line.
  • Many jobs were seasonal, such as farming or shipbuilding - at other times of the year these workers had little or no income.
  • Large families were common and placed a burden on parents with many mouths to feed.
  • Sickness or injury caused by poor working conditions often prevented people from earning.
  • Those off work due to illness would not be paid and had the added costs of medical consultation and treatment.
  • The death of a wage earner could plunge a family into poverty
  • There were no state benefits (for example sickness or unemployment benefit) and poor people often relied on charity.
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2
Q

Problems caused by poverty

A
  • Poor housing (eg, dampness, vermin, shared outside toilets)
  • Poor health/lack of affordable health-care - many people who were ill had to go without any treatment.
  • Overcrowding and poor quality housing often led to disease spreading (eg Tuberculosis).
  • People could not afford fresh fruit, vegetables or meat and had a poor quality diet. This led to malnutrition and people were more likely to get sick, eg Rickets.
  • There were high levels of destitution and homelessness.
  • Death rates were high, especially of young children/vulnerable people.
  • Many people feared that they would end up in the workhouse/poorhouse - splitting up of families and creating social stigma.
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3
Q

The Poor Law System

A

The Poor Law system was one of the few ways the governments gave some help to the poor. Under the Poor Law each parish area had to have a workhouse (called a poorhouse in Scotland) and it was where people ended up when they were too poor to look after themselves.

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4
Q

Who was eligible for the Poor Law System?

A
  • Disabled people
  • Widows
  • Deserted wives with children
  • Orphans
  • Elderly people
  • Sick people
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5
Q

Aims of the Poor Law System?

A

The Poor Law aimed to:

  • reduce the cost of looking after the poor
  • take beggars off the streets
  • encourage poor people to work hard to support themselves

The Poor Law ensured that the poor were housed in workhouses, clothed and fed. Children who entered the workhouse would receive some schooling. In return for this care, all workhouse paupers would have to work for several hours each day.

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6
Q

Effectiveness of the Poor Law System?

A

Poor houses were not effective at addressing poverty. Originally designed for rural areas, they struggled to cope with the large number of people in cities, especially after the closure of major factories. Once in a poor house, people became dependent since they had no other sources of income that would enable them to survive in the outside world. Poor houses treated the symptoms of poverty but did nothing to address the root causes.

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7
Q

Self-help, charities and other support for the poor

A
  • In the early 1900s it was widely believed that being poor was a person’s own fault and it was their own responsibility to find a way out of poverty. This was known as ‘Self-Help’.
  • The British Government acted according to the principle of ‘laissez faire’. This was the belief that the Government should not be involved in issues of poverty and hardship. Government involvement would cost money, leading to a rise in taxes – middle and upper class citizens would have to pay more to support people in poverty. Laissez faire meant leave things alone and don’t interfere.
  • The poor were seen by the wealthy as an unfortunate but inevitable part of society. It was the responsibility of the individual to work hard to get out themselves out of poverty.
  • Savings banks encouraged people to save money to help them during times of hardship.
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8
Q

Charles Booth Report

A

Booth conducted research in London, between 1886 and 1903. He produced a report entitled Life and Labour of the People in London:

  • Booth believed that politicians were wrong about the extent of poverty in Britain since his research showed that 31% of people in London lived in abject poverty. This was much higher than had been previously believed. This shocked the public and government/provided evidence of poverty that could not be ignored.
  • Booth’s work showed that poor people and rich people often lived closely together in neighbourhoods. He identified problems of overcrowding, poor sanitation and the spread of disease.
  • Booth’s work identified stages of life where people were more likely to be poor, for example during childhood and in old age. He argued that the government should take actions to help people at these times of their lives.
  • Booth’s investigations established that some people were poor through no fault of their own
  • Booth’s work influenced many in Britain. They listened to his warnings that failure to tackle poverty could lead to a violent revolution.
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9
Q

Seebohm Rowntree Report

A

Seebohm Rowntree was part of the Rowntree Chocolate business. He was also a sociological researcher and social reformer. In 1901 Rowntree published a report about levels of poverty in York, entitled ‘Poverty, a Study of Town Life’.

  • Rowntree’s report showed that 27.8% of the population of York were living in poverty.
  • Rowntree’s report established that poverty wasn’t just in London and he argued that something had to be done to tackle poverty across Britain.
  • Rowntree’s report showed that there was a cycle of poverty, so helped convince people that the poor needed help at particular times of their lives.
  • Rowntree studied the relationship between earnings and the price of food to establish how much money a family needed in order to avoid poverty. This level of income was known as the ‘Poverty Line’.
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10
Q

Changing attitudes and pressure for reform: Impact of Booth and Rowntree

A
  • The reports of Booth and Rowntree highlighted the need for government intervention to tackle poverty. - Booth’s survey revealed high levels of poverty in London while Rowntree’s survey showed that the problem was not confined to London and that provincial cities like York were affected too.
  • Many people were shocked by the Booth and Rowntree Reports which created pressure for change. There was a concern that unless something was done to address poverty there was a danger of a violent revolution in Britain.
  • Attitudes towards poverty were changing. People realised that children were often born into poverty through no fault of their own and deserved help. It was also recognised that the elderly were often unable to work and needed support.
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11
Q

Changing attitudes and pressure for reform: Concerns about Britain’s Health

A
  • The Booth and Rowntree reports highlighted the link between poor health and poverty.
  • During Boer War many recruits were deemed to be too unfit to join the army to fight. This highlighted the need to improve the general health of the population by tackling poverty.
  • Many working days were lost in Britain through the sickness or ill health of British workers. This created concerns over national efficiency and the health of Britain’s economy.
  • Other countries were beginning to challenge Britain’s position in the world, particularly Germany and the USA. This added to the pressure to tackle poverty and poor health in Britain.
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12
Q

Changing attitudes and pressure for reform: Development Abroad

A
  • Other countries were beginning to challenge Britain’s position in the world, particularly Germany and the USA. In the first decade of the 20th century the economic output of both had overtaken Britain.
  • Germany had introduced some welfare reforms to tackle poverty and the ‘German Model’ was studied and copied by the British.
  • To maintain Britain’s status as a leading economy, politicians and industrialists realised that something needed to be done to improve address the effects of poverty.
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13
Q

Changing attitudes and pressure for reform: Political Changes

A
  • Leading politicians such as David Lloyd George came from a working class background and had genuine concern for the poor.
  • Changes to the franchise meant that more men from working classes could now vote so political parties had to change their policies on poverty to avoid losing votes, particularly to the newly formed Labour Party.
  • Trade unions were becoming bigger and more influential and had helped to form the Labour Party which was pushing for reforms to help the poor. Trade unions put pressure on the Liberals and Conservatives, to do more to help the poor.
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14
Q

Reforms to help the young: The 1908 Children’s Act/Children’s Charter

A
  • The Children Act/Children’s Charter was introduced by the Liberal Government of 1908.
  • The legislation aimed to improve the lives of young people accused of crimes because they would no longer be treated as adult criminals or sentenced to death. Young criminals would be sent to borstals instead of adult prisons.
  • The Act also aimed to prevent the abuse and neglect of children. By law children could be removed from parents who did not take proper care of them.
  • Children were banned from begging.
  • Fires in homes had to be guarded helping to prevent children from being burned in accidents.
  • Children under 16 were banned from buying tobacco and children under 18 from were prevented from buying alcohol and fireworks.
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15
Q

Reforms to help the young: Education Reforms

A
  • In 1907 the Education Act included a guarantee that 25% of all secondary school places must be reserved for children from poor backgrounds. The aim was to allow able children from poorer backgrounds to achieve a better education.
  • School boards could act against parents who sent children to school in poor condition.
  • In 1907 the Liberals introduced medical inspections in schools. This policy meant that every child was to be inspected three times for health problems during their time at school. This led to the establishment of school clinics in 1912 to treat sick children.
  • The School Meals Act was introduced in 1906. Free school meals made children healthier because this was often the only meal that many children received each day. However, free school meals were not made compulsory until 1914 so many children did not benefit until after 1914.
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16
Q

Reforms to help the young: Impact

A
  • The Liberal reforms gave young people some level protection from neglect and abuse and improved the lives of young criminals.
  • However, the Government of the day found it difficult to enforce some laws. For example, conditions in borstals could be very violent, meaning there was little improvement to the lives of some young people.
  • Liberal reforms did little to reduce the level of tobacco and alcohol bought by the young in Britain.
  • Reforms did not reduce the level of crime carried out by young people in Britain.
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17
Q

Reforms to help the elderly: Old Age Pensions

A
  • The Old Age Pension Act 1908 meant that by 1914 more than a million people over the age of 70 became entitled to receive a pension.
  • Those over 70 with an annual income of £21 to £31 would receive a pension (1 to 5 shillings per week).
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18
Q

Reforms to help the elderly: Eligibility

A
  • Pensions were means tested, meaning only some poorer people were eligible to claim them. People earning less than £21 per year received a full pension. Those with an income of £21-£31 got a smaller amount. Everyone else received nothing.
  • Many pensioners had no birth certificate to prove their age so were not eligible for a pension. People had to be British and to have lived in the UK for the past 20 years to receive a pension.
  • Those who had served time in prison during the past 10 years were not eligible.
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19
Q

Reforms to help the elderly: Impact

A
  • Old age pensions prevented many elderly from having to end their lives in the workhouse and gave poor elderly poor enough extra money to survive.
  • For many old people, the pension was not enough to survive on as it was below the poverty line established by Booth and Rowntree. Many died from hardship before they reached 70.
  • Strict regulation meant that many elderly people were ineligible to claim pensions.
  • Means testing ruled out anyone with an annual income over £31, so a large proportion of the elderly population remained in poverty despite the reforms.
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20
Q

Reforms to help the sick: National Insurance Act

A
  • At the start of the 20th century people in Britain had to pay to see a doctor. Most could not afford to do this. In 1911 the liberals introduced the National Insurance Act, which included provisions to help the sick.
  • The Act introduced a contributory scheme with workers, employers and the state paying into the scheme. Workers paid 4 pence per week from their wages towards the insurance payment; the state contributed 2 pence and employers contributed 3 pence.
  • The scheme meant that insured workers would receive free medical care when they were sick
  • The Scheme was promoted by Government as ‘9d for 4d’. National Insurance was compulsory for all workers who earned under £160 per year. (Note: ‘d’ was the symbol for pence)
  • Insured workers received benefits when they were off sick (10 shillings per week for 26 weeks/5 shillings a week after that until fit to return to work).
21
Q

Reforms to help the sick: Reforms and Benefits

A
  • Maternity grants were given to families after the birth of children.
  • School medical inspections were introduced in 1907. School clinics were introduced in 1912.
  • All midwives had to be trained and registered.
  • In 1906 children in poverty were eligible for free school meals.
    Local councils received grants from the government to provide medical treatment for the poor.
  • The Workmen’s Compensation Act provided compensation for workers injured or made ill through work.
22
Q

Reforms to help the sick: Impact

A
  • National Insurance helped to make workers healthier because free medical treatment and medicine was provided for insured workers. This made a big difference in the treatment of diseases such as tuberculosis.
  • However, National Insurance covered wage-earners, but not their families. After 13 weeks of absence from work people received no income.
  • Employers often tried to avoid paying compensation to workers injured or made ill through work. Workers had to go to court to prove that their injury had been their employers fault and many people could not afford to do this, at least without the help of a trade union.
23
Q

Reforms to help the unemployed: Unemployment Pay

A
  • The National Insurance Act (Part 2) in 1911 improved the lives of the unemployed because some workers received unemployment benefit when they lost their jobs, helping them to stay out of poverty.
  • As part of the scheme workers paid 2.5d per week, employers paid 2d per week, state paid 3d per week. (Note: ‘d’ was the symbol for pence)
  • After one week of unemployment, an insured worker would receive 7 shillings a week, for 15 weeks.
  • For many trades the scheme was compulsory, including shipbuilding, mechanical engineering, construction, iron founding, and sawmilling.
  • National Insurance became too expensive after World War I and was abandoned by the government.
24
Q

Reforms to help the unemployed: Labour Exchanges Act

A
  • In 1908 the Liberal government introduced the Labour Exchanges Act. This was a similar scheme to modern job centres today.
  • Workers went to the exchanges to find job information, and employers could go there to look for workers.
  • People looking for work could also wash and mend their clothes using facilities found in the exchanges.
  • When the first labour exchanges opened in 1910 there were 80 across Britain. By 1911 this number had increased to over 400.
25
Q

Reforms to help the unemployed: Impact of Employment Reforms

A
  • Unemployment pay meant that people who lost their jobs did not face immediate poverty or even homelessness. By 1914 around 2 million workers in Britain were benefiting from the scheme.
  • However, the temporary nature of the insurance scheme meant that people in areas of long term unemployment soon fell into poverty.
  • Also, most of the jobs covered were only for skilled men, so women generally did not benefit from the scheme. Workers fired for bad conduct, received no benefit.
  • Insurance was only available in certain trades and only insured about 2 million workers.
  • Labour exchanges helped many people find a job. By 1914 every day around 3,000 people found work at exchanges.
  • However some people we’re critical of the exchanges. Trade unions argued it led to lower wages since employers could find cheaper workers at the exchanges.
26
Q

Reforms to help working class patient

A
  • The Workmen’s Compensation Act 1906 improved the lives of workers because they could receive compensation for illness or injury caused by work.
  • Labour exchanges improved the lives of the unemployed because they helped them to find a job and earn money.
  • The Coal Mines Regulation Act 1908 set the maximum working day for miners at 8 hours.
  • The Trade Boards Act 1909 set up boards to negotiate a minimum wage in box-making, lace-making, chain-making and tailoring trades. This benefitted 200,000 workers.
  • The Shops Act 1911 set the maximum working week for shop workers at 60 hours and granted workers a weekly half-day holiday.
27
Q

Overall Impact of Liberal Reforms: Positives

A
  • Poor people and the working classes were now better protected through national insurance.
  • Some workers were better protected against the hardships of unemployment through unemployment pay.
  • Some elderly people were better protected through having access to a pension.
  • Legislation such as the Workmen’s Compensation Act gave workers some rights.
  • Children and young people had some level of legal protection from neglect and abuse.
  • Some health policies such as free school meals and medical inspections helped to address health related poverty issues.
28
Q

Overall Impact of Liberal Reforms: Negatives

A
  • Reforms were selective and only helped some groups in society.
  • Benefit levels were ungenerous and often below subsistence level/poverty line (eg pensions).
  • Many of the reforms were voluntary/optional with control given to local authorities (eg, school meals were only made compulsory in 1914).
  • Unemployment benefit was only paid for short-term (15 weeks), so did not tackle long-term unemployment.
  • Unemployment insurance was only for certain trades, eg shipbuilding and coal mining, which meant that many workers were not eligible.
  • The Workmen’s Compensation Act helped protect workers injured at work but many employers found ways out of paying compensation. It often required workers to go to court to prove that their injury had been their employers fault and many people could not afford to do this without the help of a trade union.
  • Elderly people were not eligible for pensions until they were aged 70 – well above average life-expectancy at the time. Many died before the age of 70. Also, there were many categories of people that were not eligible, eg those who had been in prison and those who were not British.
  • Medical inspections in schools identified problems but did not provide treatment for children until 1912 when school clinics introduced were introduced by law.
29
Q

Social impact of WWII: Conscription

A
  • Conscription played an important role in changing attitudes to poverty.
  • Money or social class played no role in deciding if men or women were to be called up.
  • Rich people and poor people served side by side, helping to break down class barriers.
  • Conscription brought social classes closer together and raised awareness of poverty and hardship.
30
Q

Social impact of WWII: Rationing

A
  • The government worried that Britain would run out of food, leading to starvation and stopping the soldiers from fighting.
  • From 1940 rationing was introduced, meaning the government controlled the food that people were allowed.
  • Rationing created the belief that people across Britain, whether rich or poor, deserved to get equal treatment. This was an important step in changing social attitudes towards poverty.
  • Rationing did not end completely until 1954, nearly a decade after the end of the war, and the UK was the last country to end rationing.
31
Q

Social impact of WWII: Women Working

A
  • During WW2, with thousands of men abroad fighting, Britain needed more people to work in important jobs and to keep the country running.
  • Many women entered the workforce in both manufacturing and service industries learning new skills and trades.
  • The female workforce was drawn from all social classes and serving their country in this way brought women closer together which helped raised awareness about issues such as poverty.
32
Q

Social impact of WWII: The Blitz

A
  • During the Blitz, bomb damage to Britain’s towns and cities affected all the social classes, which created a sense of shared suffering and community spirit.
  • When people took refuge in bomb shelters, they were all together, not separated by social class. This helped bring people of different classes closer together and changed people’s attitudes towards poverty.
  • During the German bombing, British children were moved out of cities to live with other families in the countryside. Many of the countryside families were shocked at the poverty faced by the evacuees.
  • Evacuation raised awareness of levels of poverty and created a national determination to tackle poverty amongst children.
33
Q

Social impact of WWII: Government Intervention

A
  • WWII established the precedent that the government could take more control over the lives of British people, for example through rationing and taking over industries to support the war effort.
  • This meant that when the war ended, British people were more supportive of government intervention in their lives to tackle national problems such as poverty and poor housing.
  • Immediately after the war there was a general election and the Labour Party became the new government. Labour introduced major reforms to improve health, increase state benefits, change education and build more houses. Their reforms included the National Health Service and the creation of new towns across Britain.
  • WWII brought people of different social classes closer together and made people determined to create a better Britain for everyone. The war also demonstrated how government could play a major role in tackling social issues such as poverty, squalor, poor health and unemployment.
34
Q

The Beveridge Report & the ‘Five Giants’

A

During World War Two, a study was undertaken to determine how Britain could tackle poverty after the war ended. This was led by William Beveridge who identified the country’s main problems and these became known as the ‘Five Giants’.

IGNORANCE - poor education

IDLENESS - unemployment

SQUALOR - bad housing

DISEASE - poor health

WANT - poverty

Beveridge proposed that all working people should pay a weekly contribution to the state. In return, benefits would be paid to the unemployed, the sick, the retired and the widowed. Beveridge wanted to ensure that there was an acceptable minimum standard of living in Britain below which nobody fell.

Beveridge’s recommendations published in 1942 included:

  • the creation of a welfare system that would look after people from the “cradle to the grave”.
  • a social security system, providing benefits for the unemployed, the sick, –the elderly and widows.
  • the creation of a National Health Service.
  • a huge programme of housebuilding and the creation of new homes.
  • a government policy of full employment.
35
Q

Labour reforms to improve Health: National Health Service

A
  • Introduced by Labour’s Aneurin Bevan, the National Health Service (NHS) was established in 1948.
  • The NHS provided free access to doctors, dentists, opticians and hospitals. It was based on 3 principles:
    it provided universal access, meaning anyone could use it.
    it would be free at the point of use, meaning there was no charge for any service
    all problems would be treated.
  • For the first time, everyone in Britain could access a range of health services without worrying about the cost. For example, 5.5 million spectacles were issued between 1948 and 1949. Many of these people would have been unable to afford eye care before the NHS.
36
Q

Labour reforms to improve Health: Limitations

A
  • There was a huge demand for NHS services after it was introduced. Doctors, dentists and opticians were inundated with new patients requesting treatment that they had previously been unable to afford. This made the NHS very costly to administer. Eventually prescription charges were introduced to help pay for treatment.
  • Despite the principle of universal access to health care, many hospitals were out of date and in a poor condition, limiting the effectiveness of treatment.
37
Q

Labour reforms to address Poverty: National Insurance Act

A
  • National Insurance Act was introduced in 1946 to prevent all workers from falling into poverty when they were sick or unemployed.
  • The Act required people in work to pay compulsory contributions for unemployment, sickness, maternity and widows’ benefits and old age pensions.
  • Paying a national weekly insurance provided financial protection in the event of unemployment and sickness.
  • Employers and employees made weekly contributions, with the government funding the balance.
  • People in work, except married women, paid 4s 11d a week in National Insurance contributions.
  • National Insurance was universal/comprehensive (people were covered from the cradle to the grave).
  • Old age pensions were also paid for through National Insurance contributions. Men could claim pensions from the age of 65, whilst women were eligible from age 60.
38
Q

Labour reforms to address Poverty: Family Allowance

A
  • In 1945, plans for child benefit were introduced. All families with two or more children were eligible to receive weekly payments from the government.
  • Family allowance payments helped all families, not just those in poverty, which raised living standards across the country.
39
Q

Labour reforms to address Poverty: Limitations

A
  • A huge number of officials were needed to operate the new laws and policies.
  • The new insurance schemes did not provide for those who were not in work and had not made contributions. Married women and self-employed people were all excluded. This undermined the universal ideals of the welfare state.
  • Not everyone could afford to pay National Insurance contributions. This included people like the unemployed, low paid, homeless, and disabled, which meant they would miss out on government assistance.
40
Q

Labour reforms to improve Housing: Housing Problems

A
  • Housing problems in Britain included overcrowding, poor quality buildings, dirty living conditions and a lack of modern facilities.
  • Inadequate housing and high levels of squalor led to illness and disease in disadvantaged communities.
  • The destruction/bombing during WWII had created a huge housing shortage.
  • A great deal of slum housing still existed after WWII.
  • Post-war marriage and baby boom added to pressure for more housing.
41
Q

Labour reforms to improve Housing: Housing Reforms

A
  • The Labour government announced plans to build 200,000 new houses each year, with features such as central heating and indoor toilets. Most would be available for rent and so were affordable for ordinary workers.
  • Prefab houses were quickly built and this played a role in reducing overcrowding.
  • Many jobs were also created to construct these new homes, reducing unemployment.
  • New towns were created to move people out of overcrowded city slums and into nicer countryside areas.
  • 12 new towns were planned in Scotland, although only 5 were built - Irvine, Glenrothes, East Kilbride, Livingston, and Cumbernauld.
42
Q

Labour reforms to improve Housing: Limitations

A
  • There was a shortage of building materials and skilled labour which made it difficult to meet housing targets. Although new houses were built, the number was less than the 200,000 per year target.
  • This meant that overcrowding continued for many people. By 1951 there was a shortage of 750,000 homes in Britain.
  • The government faced financial restraints and had to prioritise – the provision of prefab houses was seen as a temporary solution to the housing shortage but they only had a life span of 10 years.
  • New towns were isolated and lacked the amenities available in previous communities, such as shops and leisure facilities.
  • There were few jobs or industries to be found in the new towns. This meant that although people could live there, they often faced long journeys to travel to work.
43
Q

Labour reforms to improve Education: Ignorance

A
  • The Beveridge report identified ‘Ignorance’ as one of the five giant problems facing the country. This referred to the poor standard of education post war Britain.
  • Many disadvantaged pupils left school in their early teens because schools failed to cater adequately for their education needs. There was little opportunity to study vocational or technical subjects.
  • Some pupils left school at age 13 or 14 to find work.
  • Overall levels of literacy and numeracy were low.
  • Since many poor young people got a limited education, this made it hard to get anything other than low skilled work, keeping them in poverty.
  • Along with the poor standards of education, many of Britain’s schools were in a poor state with outdated facilities.
44
Q

Labour reforms to improve Education: Education Reforms

A
  • The 1944 Education Act raised the school leaving age to 15.
  • The Education Act made it a legal responsibility for all local authorities to provide free primary, secondary and further education.
  • The 11 plus exam was introduced (12 in Scotland) to determine which type of secondary school pupils would attend after primary.
  • Pupils that did well in the test went to senior secondaries and studied ‘academic’ subjects such as science and history. Pupils that performed poorly in the exam went to junior secondaries, where they studied ‘technical’ subjects such as woodworking or cooking.
  • Labour also introduced a nationwide program to build new schools. This was partly due to increased numbers of children as a result of the growth in the birth rate after World War Two. New schools were also required due to damage caused during the war.
45
Q

Labour reforms to improve Education: Limitations

A
  • Many people complained that the 11 Plus system meant students from poor backgrounds that failed the exam would be kept in poverty. Others said it was unfair to determine a child’s future when they were only 11 years old.
  • Some critics argued that creating ‘academic’ and ‘vocational’ style schools was socially divisive.
  • Due to the high costs of building new schools, many children continued to be taught in outdated buildings.
46
Q

Labour reforms to address Unemployment: Nationalisation

A
  • One of the main reasons that Labour won the election in 1945 was that voters wanted a stronger economy so they could find work and avoid poverty.
  • The Labour government believed that certain key industries should be owned by Britain, and not by private companies or individual people. The government (or the nation) took control of these industries, a system known as ‘nationalisation’.
  • Nationalised industries included electricity, railways, coal mining and the Bank of England.
  • Once the government owned these industries, they could use taxpayers’ money to keep unprofitable businesses going, which helped reduce and control unemployment.
  • The unemployment rate was generally low under Labour, only around 3%.
47
Q

Labour reforms to address Unemployment: Limits of Nationalisation

A
  • Nationalisation was very expensive to implement and took money away from other government priorities.
  • Nationalisation created very few create new jobs, it just helped people that already had a job.
  • Many argued that nationalised industries were unprofitable and inefficient because there was no pressure to make a profit.
48
Q

Overall impact of Labour Reforms: Successes

A
  • The National Health Service provided medical treatment for many people who could not previously have afforded it.
  • National Insurance Act prevented workers from falling into poverty when they were sick or unemployed.
  • New laws established standardised minimal living conditions for the employed.
  • People received old age pensions which helped them avoid poverty when they could no longer work.
  • Those who were temporarily absent from work due to injury could receive benefit.
  • All families with two or more children were eligible to receive weekly benefit payments from the government.
  • Many new houses were built in a short space of time and new towns were created which moved people from city slums to the countryside.
  • New education laws increased the school leaving age to 15 and required Councils to provide free comprehensive education for all primary and secondary age children.
  • New schools were built to replace those damaged in the war.
  • The nationalisation of key industries kept many people in work and unemployment was low.
49
Q

Overall impact of Labour Reforms: Limits

A
  • The new national insurance schemes did not provide for those members of society who were not in work and had not made contributions. Married women and self-employed people were all excluded. This undermined the universal ideals of the welfare state.
  • Not everyone could afford to pay National Insurance contributions. This included people like the unemployed, low paid, homeless, and disabled, which meant they would miss out on government assistance.
  • Some argued that benefit levels were set at too low, meaning that some people did not escape poverty.
  • Although new houses were built, it was less than the 200,000 per year target. This meant that overcrowding continued for many people. By 1951 there was a shortage of 750,000 homes in Britain.
  • New towns were isolated and lacked the amenities available in previous communities, such as shops and leisure facilities. There were few jobs or industries to be found in the new towns. This meant that although people could live there, they often faced long journeys to travel to work.
  • Although it was planned to build many new schools, restrictions of building materials and money meant that many students continued to be education in old and inadequate buildings.
  • The 11 Plus system of testing was seen by some as being socially divisive.
  • Although nationalisation kept many workers in a job and unemployment rates low, critics argued that nationalised industries were inefficient and provided poor value for taxpayers.