P12 - Atlee gov + foundation of the welfare state

Was the party socialist (2) (2)

-committed to Clause 4 and nationalisation

-socialists in cabinet e.g. Bevan

created a mixed economy

moderates in the cabinet e.g. Bevin, Beveridge (lib) and Keynes advised the gov

Main aims of the labour gov (3)

public ownership of industry

create universal state welfare provision

create NHS

Aim 1 :Nationalisation

ppl accustomed to state planning and ownership during war - felt would work + saw pros

-20% industry nationalised + gov employed 10% workforce

-owned most of

• 1946 Bank of England -set interest rates

• 1946 coal run by national coal boards

• 1947 electricity boards

• 1947 transport - rail, canals, road haulage

• 1948 gas - after 800 Con changes

• 1950 - iron + steel - Cons opposed led to parliament act 1949

arguments for nationalisation (6)

-restore post war trade + revive declining industries

-full employment + better conditions

-profits to gov to fund welfare state

-effective planning + directing recourses + improve cooperation between industries

-coal + rail may have collapsed without nationalisation

-important industries would be run for social need and not private gain

Against nationalisation (5)

-Cons oppose steel + road transport as felt would become inefficient

-required compensation to private owners - 2.7B

-pay and conditions didn’t improve much

-some nationalised industries competed against each other e.g. coal and gas

-burdened taxpayers with coal + rail subsidies

Aim 2: creating a welfare state / 1942 Beveridge report

based on the 1942 Beveridge report - aimed to solve the 5 giants

-able to be claimed by all

want insurance scheme - compulsory for all - for min income when sick, unemployed , old

• scheme would also pay for the NHS

• state pay family allowance to children

• “from the cradle to the grave”

Beveridge report affect on the ppl (3)

inspired the imagination

-”let us face the future” + “new Britain”

-gov argued if they could defeat Hitler, why couldn’t it defeat hardship, poverty + unfairness

seen as a blueprint for social reconstruction in bringing a more equal society

why did labour plan to intro a welfare state (5)

-war created sense of community - want fairer society

-evacuations had showed deprivation of some city children

-differences between health and living standards between classes + regions

-Beveridge report caught mood of the nation + desire

-acceptance of extended state intervention

5 giants

disease - NHS

ignorance - education improvements

want - lack of basic life needs - benefit system + allowances

idleness - full employment

squalor - improve housing

ignorance - education act 1944

mainly the work of the war time coalition but Butler intro it:

free + compulsory secondary education to 15, then up to 16

paid by taxation

free school meals + milk and extended medical service

11 + taken by all

tripartite system - grammar, secondary modern, technical

-not many tech schools made

-private schools still flourished + act didn’t create education equality

Children’s allowance act 1945

family receive 5 shillings a week for each child until 16

no means test

consensus policy - all parties agree area requires focus

-fear would lead to working class in having more children

Want - National insurance act 1946

every working person paid small fee each week + employers and gov

insured person in return got weekly benefits for sick, unemployed + grants for maternity and death

-problem of required to make 156 weekly contributions before it came into effect

-sick had no time limit, vs unemployed aid lasted 6 months

National insurance industrial injuries act 1946

universal - covered whole workforce

increased comp for injuries and illness caused at work up to 6 months

tribunals made to see how much compensation should be paid

-popular in dangerous jobs e.g. mines

National assistance act 1948 - Bevan (6)

help those in great need - replaced poor law

created boards to prevent extreme poverty and ensure ppl have min income

know as social security 1974

provide homes for the homeless

funded through taxation

-criticised pay was too low when price rose, but did remove Public assistance committees

disease - National health service act 1946

Minister of health - Bevan

NHS paid from tax + national insurance contributions

-free, comprehensive, universal medical service

tripartite system

• hospital care, primary care (GPs, dentist, opticians) , Community services (health visitors, vaccination, midwives)

• free medical, dental, optical + hospital treatment

• spectacles, false teeth, medicine free

Opposition to NHS + how solved (4)

-too socialist measures - Cons agree with principle, but opposed cost grounds - Lab had majority

-Drs not like idea of working where state demanded - forced Bevan to consult with basic salary + fee for each patient treated

-wanted private practice + paid fees - consultants allowed to have

• “stuff their mouths with gold.”

-BMA fear of losing professional status give central role in the NHS

Squalor - Housing

shortage after war + ppl living in pre-fabs (temp accommodation)

built 1.5m homes - mainly council - insisting 3 bedrooms, indoor bath + toilet

rent controls to protect tenants

-turned a blind eye to squatting

1945 - 51 - 250,000 houses made

New towns act 1946

prevent overcrowding by developing new towns 30 miles away from main cities

12 towns planned to house 50,000ppl e.g. Skelmersdale, Crawley

-still housing shortage in 1951

• but bombed building must be cleared, fund shortage , mat shortage

• also marriage increase post war + baby boom

Town and countryside act

required local authorities to plan future development in their area

create green belt to stop urban sprawl

idleness - eliminate unemployment

by 1950 labour had created almost full employment

industry recover with Marshall aid

austerity - helped create jobs

-was a decline in employed 1947-8 in severe winter + coal shortage

Success of the welfare state + NHS (7)

-187,000 prescriptions, 8.5m dental patients helped, 5.25 specs issued

-TB + infant mortality fell

-95% enrolled - very popular

-increase in children in secondary education + can go to grammar

-family allowance can go directly to women + helped working class mothers

Failures (7)

NHS admin not unified - 19 regional hospital boards

only 10,000 dentists for 47m ppl - shortage of trained staff

-NHS very expensive - led to financial crisis 1951 which forced charging on prescriptions

• Bevan thought it would be self-funded - resigned + split cabinet

-Nuffield Trust reported 1952 - although spending on health increased, there was no equal improvement in quality of med practice

benefit rate low + flat + poverty not removed

hard for ppl to prove injury developed in work

little tech schools made + many left without qualifications

Overall verdict of gov - success (7)

-brough br through financial crisis

-maintained virtually full employment

-continued with similar social measures following

-Cons didn’t dismantle all measures once in power

-maintained industrial peace

-1m new homes

-means test removed

Negatives of gov (7)

-poverty not eliminated

-Bevan resigned + split 1951

-social class divisions remained + no major shift in redistribution of wealth

-tend to nationalise failing industries

-Indian independent

-reforms expensive + inefficient to some

-tied to the US through Marshall aid - dragged into cold war e.g. Korea

• nuclear weapon strain financial