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Domestic Affairs

In his speech during World War II British Prime Minister Winston Churchill said, "We are not fighting to restore the past. We must plan and create a noble future".

The years during and immediately after the war the British government concentrated on the reforms providing social welfare in Britain. These reforms were introduced by both the Conservative and Labour governments. In 1944, free compulsory secondary education (up to the age of fifteen) was established. This innovation gave rise to secondary modern schools, which were soon set up all over the country.

In 1946, the National Health Service was established to provide free treatment for different layers of society.

Both the Conservative and Labour Parties shared the ideas of the welfare state, which gives support to people in need. The state provided for its people all basic human rights. Today the government not only gives financial help, but also looks after people's welfare.

Step by step the life after World War II became better. Thanks to the US Marshall Aid Programme, which helped the countries suffering in the war, Britain could quickly restore its economy. Thanks to the economic recovery the living standards rose. People began to buy cars, which were now much less expensive. The 1950s and 1960s are considered to be favourable years for British economy and social life.

But beginning with the 1970s Britain was gradually falling behind its European neighbours — by 1979 Britain became almost the sick man of Europe, economically declining. It happened as a result of rising prices and growing unemployment coupled with the arrival of immigrants from the former colonies into the country. The number of unemployed people reached 3,5 million by 1985. In many towns 15 % of the working population was out of work. Difficult conditions of living were worsened by inflation — between 1954 and 1984 the prices multiplied by six.

This was the period, when the first woman — the leader of the Conservative Party Margaret Thatcher became Prime Minister. Mrs Thatcher called the nation for hard work, patriotism and self-help. She attached great importance to free trade, individual enterprise and minimal government interference in economy. A number of nationalised industries were returned to the private sector. By 1987, telecommunications, gas, British Airways, British Aero-space and British Shipbuilders were already in private ownership. However the industrial decline was not stopped. From 1979 to 1983, industrial production fell by 10 % and unemployment rose to over 3 million. But the most serious problem was that society became more unequal — a society of "two nations" — the wealthy and the poor. The number of poor people, who received only government help increased from 12 million in 1979 to over 16 million in 1983.

Cultural Focus: Welfare in Britain

Britain has a long-living system of welfare, which continues to serve people's needs today. Before the 20th century, welfare was produced by local parishes, which were responsible for their poor people. In the 19th century, there was the system of workhouses — much hated institutions where the old, the sick, the mentally handicapped and the orphans were sent.

The major welfare benefits were introduced in the 20th century — in 1908, a small old-age pension scheme was established, in 1912 — partial sickness and unemployment insurance, in 1934 — the unemployment benefits.

In 1946, the government gave everybody the right to free medical treatment and two years later, in 1948, the National Health Service was set up.

Today social welfare is an effective and responsible system of help for various layers of population — the elderly, sick, disabled, unemployed, widowed or bringing up children. There exist three parts of Britain's social welfare system:

  • the National Health Service covers medicine expenditures;

  • the personal social services are provided for elderly and disabled people;

  • the social security system provides a basic standard living for people who are not able to work.

Nowadays this system is coming under increasing pressure because the number of unemployed people and pensioners rises. People, who receive unemployment benefits, are known as being "on the dole" and the money itself is often called "dole money". To get this money people have to present government forms UB 40 and prove that they do not have work. Then in the post-office they will get a cheque, which is often called a "giro".

The National Health Service works on one scheme for the whole population of Britain. It is based on medical insurance, which is organised by the government and is compulsory. It provides treatment through the system of local doctors.

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