The Labour Reforms 1945-1951

Aims: Examine the main reforms which tried to tackle ‘Want’. Assess the effectiveness of these reforms.

The Labour Government 1945-1951 After coming to power in a landslide election victory, the new Labour Government led by Clement Atlee introduced reforms in the following areas: Social Security Health Housing Education Employment These reforms clearly established a welfare state in Britain.

Dealing With Want - Social Security Four main reforms were implemented by the Labour Government: Family Allowance Act, 1945 National Insurance (Industrial Injuries) Act 1946 National Insurance Act 1946 National Assistance Act 1948

Family Allowance Act 1945 Passed by the coalition government in 1945. Started operating in 1946. Available to 2-3 families with more than one child regardless of their status.

Industrial Injuries Act 1946 Compulsory for all workers. Paid through contributions by workers and employers. Applied to anyone injured at work – benefit for 6 months. If the injury lasted beyond the person was entitled to a pension.

National Insurance Act 1946 Compulsory for all workers Covered sickness and unemployment benefits, maternity benefits, widow and guardian benefits, old age and a death grant. Ministry of National Insurance set up – 40,000 civil servants to run the system. National Insurance would pay for itself as long as unemployment was less than 8.5%.

National Assistance Act 1948 Covered those who could not afford to make insurance contributions e.g. unemployed, those on low wages or handicapped. The main claimant had to pass as ‘Needs Test’. Payments were low – it could be weekly or a one-off grant. This act also did away with the workhouse.

Criticisms of Social Security Benefit levels were fixed for 5 years but prices rose (inflation) and money was worth less. Benefits were only 19% of the average wage and not enough to keep people above the poverty line. However the population was covered from the ‘cradle to the grave’. If people were in need the government would be there to help. Poverty was reduced but not eliminated.

The Labour Reforms 1945-1951 Housing

Aims: Examine the main reforms which tried to tackle ‘Squalor’. Assess the effectiveness of these reforms.

A Critical Situation Major housing shortages at the end of the war – 700,000 had been destroyed. In Scotland alone 469,000 new homes were needed One-third of all houses were in need of repair and renovation. There was a shortage of constructions workers and a shortage/high cost of building materials.

‘The generally accepted estimate of 3,000,000 to 4,000,000 houses is a broad indication of the probable housing need during the first 10-12 years of the peace’ Aneurin Bevan was in charge of the Ministry of Health which had responsibility for housing.

Housing the Homeless The first priority was to house the homeless. The government continued with the war-time policy of putting up ‘pre-fabricated’ homes. Prefabs were ready made factory built houses that would be put up quickly 157,000 prefabs were built – they were used for much longer than was originally planned.

Prefabs in Edinburgh which were built in the 1940s

New Towns Act, 1946 This act tried to solve the problem of overcrowding in cities by planning new communities. 12 new towns including Glenrothes and East Kilbride in Scotland were planned. These new towns were carefully planned out industrial areas would be built away from housing areas. Communities would have schools, shops and leisure facilities.

Glenrothes was designed to house 30,000 to 35,000 people East Kilbride 1949

Town and Country Planning Act, 1947 Local authorities could buy land for building low cost homes. Local authorities received a 75% subsidy for building council houses. By 1951 700,000 houses had been built but there was still a shortage of 750,000 homes. Poor housing and homelessness were still serious problems.

Overall Assessment Prefabs provided temporary housing. 700,000 council houses built. 12 New Towns designed and built. A great deal was achieved despite shortages of workers/materials. Many prefabs were used much longer than planned. Government did not create a separate Ministry of Housing 750,000 homes still needed. Homelessness and poor housing continued