Liberal Reforms 1906-1914Reforms to help the sick

In 1906 to 1914 the Liberal Government passed reforms to help reduce poverty. Legislation included the introduction of old age pensions, free school meals, National Insurance and labour exchanges.

Part of HistoryThe making of modern Britain (1880-1951)

Reforms to help the sick

National Insurance Act (Part 1) 1911

The successes of this were:

  • provided compulsory health insurance for workers earning under £160 per year
  • a worker paid 4 pence, the employer paid 3 pence and the state paid 2 pence - to build up funds to cover sickness benefit
  • if ill, male workers were paid 10 shillings and female workers 7 shillings and 6 pence per week for up to 26 weeks
  • they were offered free medical treatment
  • women were offered 30 shillings for maternity benefit

The limitations of this were:

  • after 26 weeks' absence from work, benefits were lost and the had to provide for the worker
  • there was no provision for the worker’s family
  • many found that the contributions actually made poverty worse as they were paid less