System of social services, benefits, and programmes provided by the governmentto help people in need
By the beginning of the 20th century, most areas of Britain had hospital provision of some sort, but the system was fragmented
Types of hospitals
Private fee-paying hospitals
Voluntary hospitals run by charities
Hospitals set up by local councils
The areas which needed hospitals most were least well-provided, e.g. the first hospital in the Rhondda Valley was not built until 1887 and had only four beds for 100,000 inhabitants
During the 19th century most politicians had believed that poverty was the fault of the individual
Gradually this attitude began to change and in the years leading up to World War One, the Liberal governments of 1906–1914 introduced a series of welfare reforms to help people who fell into difficulty because of sickness, old age or unemployment
The beginnings of the modern welfare state can be traced back to this period
National Insurance Scheme 1911
Scheme established by David Lloyd George, the Chancellor of the Exchequer, where contributions were made by workers, employers and government
Lloyd George promised 9d for 4d which meant that workers received 9d worth of cover for every 4d they paid in
National Insurance Scheme
Provided workers with free medical care and sickness benefits if they became ill
Only covered some occupations and did not include the families of those covered, the elderly or the long-term sick
In 1920, the scheme was extended to cover all workers earning up to £250 a year (except farm workers and domestic servants) though families were still not included
The scheme brought benefits to many people, but during the Depression of the 1930s it came under severe pressure
As unemployment rose to over 3,000,000, people could not keep up their contributions to the scheme, and the government also cut its contributions, further reducing the effectiveness of the scheme
For many families in the poorer areas of Britain, the quality of healthcare deteriorated in the 1930s, as people could not afford medical care, leading to a rise in infant mortality in areas like the south Wales valleys