The Liberal Welfare Reforms Syllabus requirements Government and People: socio-economic problems in the period and changing role of central government in addressing them as exemplified in: - Liberal Government 1906 – 14 and the problem of poverty i.e. considering origins of the welfare state* system whereby the government takes responsibility for the social and economic security of its population, e.g. old pensions.

Poverty & the Decline of Laissez-Faire Up to c1870, governments followed policy of ‘laissez-faire’ – 1900 policy increasingly challenged Laissez-faire is the belief that the state should not interfere in the lives of the people or in the workings of the market economy.

19 th C Beliefs Individuals free to run own life If destitute then own fault, due to moral failings Poor relief made harsh to avoid laziness ‘Age of Individualism’ (Dicey) Laissez-faire challenged ‘Age of Collectivism’ (Dicey) Governments accept need to regulate and care for their citizens in certain limited areas onwards Dicey too rigid in classifications Overlap Gradual intervention since 1840’s Series of acts governing factories and public health

Why change in policy? 1870’s ’s period of severe economic depression – mass unemployment – state and voluntary efforts could not cope. Social investigations revealed extent of poverty. Journalistic reports on slum life pricked Middle Class consciences. Public and private poor relief system deemed wholly inadequate.

Why change in policy? Political thinkers like T. H. Green, gave the intellectual ammunition for the ‘New’ Liberals to challenge traditional individualist ideology of their party. Socialist/collectivist ideas spread through groups such as the SDF (Social Democratic Federation) and Fabian Society. Pressure for change resulted in welfare legislation tackling public health, education and poor relief.

Welfare State of late 19 th C Transition period Ideas of self-help endured but private solutions no longer capable of tackling the severe problems of that period Poor Law inadequate - help from the wealthy was forthcoming but in the form of philanthropy, i.e. private charity Although not collectivist in response it was a shift away from laissez-faire notion of self-help

Charitable Organisations Christian or humanitarian motives Tried to care for the weakest members of society. YMCA (1844) Dr Barnardo’s Homes (1869) Salvation Army (1866) RSPCC (1884) Actions contradicted social ‘Darwinism’, i.e. survival of the fittest.

Charity Organisation (C.O.S.) Founded 1867 Aim: more rigorous/coherent approach to tackling poverty Key figure: C.S. Loch – did not believe in indiscriminate charity – help ‘deserving’ poor + investigate applicants – restore person’s independence and self respect 1890’s: more moderate line –Widespread economic distress –Acceptance some poverty unavoidable –Economic reasons

Situation 1880’s & 1890’s Poverty largely untreated –Few wanted shame of entering poorhouse 1880’s 3% of population received poor relief; 30% in dire poverty Poor Law viewed as inadequate and fundamentally wrong –No point frightening unemployed worker into finding work when none available –Failed to deal with mass poverty revealed in investigations

Refuge for homeless women

The Investigation of Charles Booth Aim: disprove H. M. Hyndman’s view that wages of a ¼ of working men insufficient to keep them healthy Defined poverty/line Insufficient to obtain ‘necessities of life’ i.e. minimum income 18/- to 21/- per week for family with 3 children Findings a shock 30% below poverty line Philanthropy ineffective Challenged Poor Law stats. Some poverty due to moral failings Biggest problem: casual labour, poor pay & unemployment – outwith individual’s control Wealth ship owner Studied London poor 1886 – 1903 ‘The Life and Labour of the People of London’ Team incl. Beatrice Webb

The Investigation of Seebohm Rowntree Distinguished between ‘Primary’ & ‘Secondary’ Poverty Primary – income sufficient to meet basic needs Secondary – income sufficient, but misspent so as to produce poverty Poverty line: minimum necessary for necessities: food, rent, clothing, light, fuel, etc. = 21/8 Findings 27.8% poor (1899) Related to chocolate firm, Rowntrees Studied York Other writers: Less academic approach Largely emotive descriptions of poverty Increased awareness of poverty by the middle class. Drift towards ‘collective’ belief in social reform.

Other reasons for change in opinion Due partially to fear of working class agitation Political parties had to address needs of working class with their enfranchisement in 1867 & 1884 Boer War recruitment saw 1/3 rd rejection rate leading to campaign for ‘national efficiency’ - fit population needed Other countries developing welfare schemes

Reasons for poor response by Gladstone’s Liberals Keep public expenditure down Gladstone’s belief in self help Preoccupation with Irish question led to Liberal split & out of office most of 1886 – 1906 Main aim: preserve personal freedom Little change: Poor Law modified Job creation schemes at exceptional times Local govt. would not accept that poverty no always the individual’s fault

Situation c1900 Private charity + self help still fashionable BUT, increased help for ‘deserving’ poor + deterrents for ‘undeserving’ to stop abuse of system Turning point: Liberal Govt. social reforms 1906 – 14.

Conservatives and Reform In power most of 1870 – 1900 Lord Randolph Churchill advocated social reform but deemed too radical Resigned 1886 J.A. Gorst also critic of poor Conservative record 3 significant reforms: –1890 Housing Act – slum clearance + house building –1891 Education Act – free elementary (primary) education –1897, 1900 Workmen’s Compensation Acts – compensation for injury at work without having to prove employer negligence – only some occupations

Did rise of Labour force pace of social reform? 1880s Appeal of socialism had to be tackled by both political parties Marxists like Hyndman saw social reforms as inadequate - capitalism itself needed to be destroyed. Fabian Society wanted increased intervention to relieve poverty – Webbs’ thinking spread through their books, etc

By 1900 Labour Party established –Protect Trade Union rights + interests –Represented WC so put pressure on other parties to attract voters Historical Debate Disagreement over the importance of the working class and Socialists in forcing pace of reform D. Fraser regards the Socialists and the Labour as ‘a threat to the other two parties’ However, H. Pelling saw pressure from WC as ‘negligible’ before WW1