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Welfare Policy in Britain: The Road from 1945 PDF

238 Pages·1999·23.103 MB·English
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WELFARE POLICY IN BRITAIN THE ROAD FROM 1945 CONTEMPORARY HISTORY IN CONTEXT Published in association with the Institute of Contemporary British History General Editor: Peter Catterall, Director, Institute of Contemporary British History Titles include: Oliver Bange THE EEC CRISIS OF 1963: Kennedy, Macmillan, de Gaulle and Adenauer in Conflict Christopher Brady UNITED STATES FOREIGN POLICY TOWARDS CAMBODIA, 1977-92 Peter Catterall and Sean McDougall (editors) THE NORTHERN IRELAND QUESTION IN BRITISH POLITICS Helen Fawcett and Rodney Lowe (editors) WELFARE POLICY IN BRITAIN: The Road from 1945 Harriet Jones and Michael Kandiah (editors) THE MYTH OF CONSENSUS: New Views on British History, 1945--64 Wolfram Kaiser USING EUROPE, ABUSING THE EUROPEANS: Britain and European Integration, 1945-63 Spencer Mawby CONTAINING GERMANY: Britain and the Arming of the Federal Republic Jeffrey Pickering BRITAIN'S WITHDRAWAL FROM EAST OF SUEZ: The Politics of Retrenchment L.v. Scott MACMILLAN, KENNEDY AND THE CUBAN MISSILE CRISIS: Political, Military and Intelligence Aspects Paul Sharp THATCHER'S DIPLOMACY: The Revival of British Foreign Policy Contemporary History in Context Series Standing Order ISBN 978-0-333-71470-6 (outside North America only) You can receive future titles in this series as they are published by placing a standing order. Please contact your bookseller or, in case of difficulty, write to us at the address below with your name and address, the title of the series and the ISBN quoted above. Customer Services Department, Macmillan Distribution Ltd Houndmills, Basingstoke, Hampshire R021 6XS, England Welfare Policy in Britain The Road from 1945 Edited by Helen Fawcett Jean Monnet Fellow and Lecturer in European Public Policy University of Strathclyde and Rodney Lowe Professor of Contemporary History University of Bristol in association with PALGRAVE MACMILLAN ICBH First published in Great Britain 1999 by MACMILLAN PRESS LTD Houndmills, Basingstoke, Hampshire RG21 6XS and London Companies and representatives throughout the world A catalogue record for this book is available from the British Library. ISBN 978-1-349-27324-9 ISBN 978-1-349-27322-5 (eBook) DOI 10.1007/978-1-349-27322-5 First published in the United States of America 1999 by ST. MARTIN'S PRESS, INC., Scholarly and Reference Division, 175 Fifth Avenue, New York, N.Y. 10010 ISBN 978-0-312-21954-3 Library of Congress Cataloging-in-Publication Data Welfare policy in Britain: the road from 1945 I edited by Helen Fawcett and Rodney Lowe. p. cm. - (Contemporary history in context series) Includes bibliographical references and index. ISBN 978-0-312-21954-3 (cloth) I. Public welfare-Government policy-Great Britain. 2. Great Britain-Social policy. 3. Great Britain-Economic policy-1945- 4. Great Britain-Politics and government-1945- I. Fawcett, Helen. II. Lowe, Rodney. III. Series. HV245.W46 1999 361.941'09'045-dc21 98-47548 CIP Selection and editorial matter © Helen Fawcett and Rodney Lowe 1999 General Editor's Preface © Peter Catterall 1999 Chapter I © Rodney Lowe 1999 Chapter 8 © Helen Fawcett 1999 Chapters 2-7, 9-10 © Macmillan Press Ltd 1999 Softcover reprint of the hardcover 1 st edition 1999 978-0-333-67513-7 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No paragraph of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, 90 Tottenham Court Road, London WIP 9HE. Any person who does any unauthorised act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The authors have asserted their rights to be identified as the authors of this work in accordance with the Copyright, Designs and Patents Act 1988. This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. 109876543 2 I 08 07 06 05 04 03 02 01 00 99 Contents Notes on the Contributors vi General Editor's Preface viii Acknowledgements xi 1 Introduction: The Road from 1945 1 Rodney Lowe 2 Inequality, Redistribution and Living Standards in Britain since 1945 18 Paul Johnson 3 Renegotiating the Boundaries: Risk and Responsibility in Personal Welfare since 1945 34 David Gladstone 4 The Voluntary Sector and the State in Twentieth Century Britain 52 Jane Lewis 5 From 'Problem Family' to 'Underclass', 1945-95 69 John Macnicol 6 Democratic Socialism and Equality 94 Lord Plant 7 The National Assistance Board and the 'Rediscovery' of Poverty 116 John Veit-Wilson 8 Jack Jones, the Social Contract and Social Policy 1970-4 158 Helen Fawcett 9 Immigration and Economics: The Politics of Race in the Postwar Period 184 Shamit Saggar 10 The Welfare State: From Beveridge to Borrie 208 Chris Pierson Index 225 v Notes on the Contributors Helen Fawcett is Jean Monnet Fellow and Lecturer in European Public Policy at the University of Strathclyde. She was previously University Lecturer in European Studies at the University of Oxford and Visiting Scholar at the Center for European Studies at the University of Harvard. She has published on the theory of welfare state regimes, the impact of social democracy on welfare provision, state pension policy and unemployment arrangements in the European Union, and the development of the 'social dimension' in Europe. David Gladstone previously worked in the Scottish Office and at the University of Exeter before moving to the University of Bristol where he is currently director of undergraduate programmes in Social Policy. His research and teaching interests are in nineteenth and twentieth century social policy. He is editor of British Social Welfare: Past, Present and Future (1995) and of Pioneers in Social Welfare, a major reprint from primary sources (1995-9). In addition, he has published a considerable number of articles, chapters in edited collections and reports on welfare past and present, and has held several visiting appointments especially in the USA. Jane Lewis is Professor of Social Policy at the University of Nottingham, having held similar posts at the London School of Economics and the University of Oxford. She has written extensively on the history of welfare policy as well as current practice in Britain and Europe, with a particular emphasis on gender issues. Amongst her latest publications are The Voluntary Sector, the State and Social Work in Britain (1995); with H. Glennerster, Implementing Community Care (1996); and, with K. Kiernan and H. Land, Lone Motherhood in Twentieth Century Britain (1998) Rodney Lowe is Professor of Contemporary History at the University of Bristol. He is the author of The Welfare State in Britain since 1945 (1998) and has published widely on twentieth-century welfare history. Paul Johnson is Reader in Economic History at the London School of Economics and Political Science. He has written widely on the history of the welfare state, retirement and living standards, and is editor of Twentieth Century Britain: Economic, Social and Cultural Change (1994). vi Notes on the Contributors vii John Macnicol is Reader in Social Policy at Royal Holloway, University of London. He has published widely in the history of social policy, and is currently researching the history of the 'underclass' idea, and of old age, retirement and state pensions. His latest book is The Politics of Retirement, 1878-1948 (1998). Lord Plant is Master of St Catherine's College, Oxford, and was previ ously Professor of Politics at Southampton University. He is a Labour peer and has published eight books on political theory. Chris Pierson is Professor of Politics at the University of Nottingham. His work focuses upon the reform of welfare states and more general problems of social democratic governance. His most recent publica tions include Socialism After Commission: The New Market Socialism (1995) and The Modem State (1996). Shami t Saggar is Senior Lecturer in Government at Queen Mary and Westfield College, London. His books include Race and Public Policy (1991) and Race and Politics in Britain (1992). John Veit-Wilson is Emeritus Professor of Social Policy at the University of Northumbria and Visiting Professor in the Department of Social Policy at the University of Newcastle-upon-Tyne. A member of the Abel-Smith and Townsend poverty research team in the 1960s, his principal research interests since then have focused on concepts of poverty and minimum human needs. He is currently working on a ten country study of Government Minimum Income Standards. General Editor's Preface In 1910, in a lecture to the Royal Statistical Society, Lord George Hamilton complained: 'We, the richest nation in Europe, have the heaviest pauperism, yet the more we spend the worse the position seems to be.'! Britain is certainly no longer the richest nation in Europe. But it is ending the century with all parties uncomfortably aware of the rising cost of welfare. This in itself is not a new aspect of the post-war years; concern about the cost of the welfare state has been a recurring theme throughout its history. To this, however, has been added growing doubts about the efficacy of that spending. This problem has proved a major factor in the increasing willingness shown in recent years to question aspects of the state welfarism which emerged in the aftermath of the Second World War, and to shift its focus. The 1940s in contrast marked the culmination of a long-term trend towards growing faith in the state as the key provider of solutions to social problems. Unemployment, cyclical in the late nineteenth century and mass during the inter-war years, was one key factor in this process. The labour market policy of the Poor Law, the deterrent effect of less eligibility, was, as Hamilton recognised, a failure in addressing this. And the particular problem to which he drew atten tion was the consequent ineffectiveness of Poor Law expenditure. Instead, the operation of the Poor Law was largely remedial. Alongside it, however, the state was in contrast from the 1880s increasingly portrayed as ameliorative, able to intervene to promote social welfare and important corollaries such as national efficiency. The perceived fiscal constraints upon the state nevertheless acted to slow its advance into social policy before 1945. Nor was there much agreement, at this time, even within the parties, over exactly what form that intervention should take. For instance, at various times ele ments within the labour movement favoured action through industrial restructuring or through municipalisation, rather than through the central government route essentially adopted by the Attlee Government. There was nothing preordained about the character of the Welfare State that then emerged. If, nevertheless, the Attlee Government decided the form of the Welfare State, what was the Welfare State then set up actually for? viii General Editor's Preface ix Some New Liberals had been tutored by the idealism of T. H. Green to see state action as a means of advancing liberty for those con strained by the limitations of laissez-faire capitalism. Many early socialists similarly saw state action as necessary for the advancement of liberty and personal fulfillment. As one recollected in 1956: We would be wise to remind ourselves that the pioneers of the Movement sought what is now called the Welfare State not as an end in itself but as a means of providing people with opportunities for greater happiness.2 The question was how: through the eradication of hardship and poverty, the promotion of social equality, the encouragement of active citizenship, the use of social policy as a supply side measure? There were elements of all these objectives in the 1940s, even if some, not least citizenship, were less conspicuous in the thinking behind the eventual Attlee legislation. But not all of them featured in all the leg islation; indeed some, such as social equality, were clearly felt to be neglected by the left in, for instance, the implementation of the 1944 Education Act. There was thus no one theme to the Welfare State, and certainly not as it developed in ensuing years. The complexity of the post-war British welfare state is reflected in the various contributions to this volume in the Contemporary History in Context series. The work of the Institute of Contemporary British History, the progenitor of this series, is to promote awareness of the nature of the recent past. This it does through its various edu cational publications and activities, through its support for archival deposition and its involvement in the collection of oral archives and, as in this book, through the encouragement of new research. All of the essays that follow present new findings and several draw heavily on previously untrawled material from the Public Record Office or elsewhere. In the process they all also highlight the way in which thinking about social policy in post-war Britain has addressed one or other of the range of objectives mentioned above. Different chap ters examine the debates taking place in particular policy areas within Whitehall, the political parties, the trade union movement or the voluntary sector. Their interest lies not only in the stages of development in thinking about social policy which they examine, and their clarification of the policy process within these various bodies. They also cast light upon the criteria on which that thinking was

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