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National Insurance Act 1946
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National Insurance Act 1946
The Promise Made.
People in work, except married women, paid 4s 11d a week in National Insurance contributions. For the average worker, this amounted to nearly 5 per cent of their income. James Griffiths, the new Minister of National Insurance, claimed that it was "the best and cheapest insurance policy offered to the British people, of any people anywhere."
In 1946 the Clement Attlee and his Labour Government passed the revolutionary National Insurance Act that created the structure of the Welfare State. The legislation instituted a comprehensive state health service, effective from 5th July 1948
The 1945 Labour Party manifesto they promised if they won the 1945 General Election they would bring in a Welfare State: "What will the Labour Party do? First, the whole of the national resources, in land, material and labour must be fully employed. Secondly, a high and constant purchasing power can be maintained through good wages, social services and insurance, and taxation which bears less heavily on the lower-income groups."
Winston Churchill, the leader of the Conservative Party, objected to this policy: "I must tell you that a socialist policy is abhorrent to British ideas on freedom. There is to be one State, to which all are to be obedient in every act of their lives
This included Guardian’s (or Orphans) Allowances, Death Grants, Unemployment Benefit, Widow’s Benefits, Sickness Benefit, and Retirement Pension
Brief
It was clear that there could be no return to past conditions. The old pattern was worn out and it was for us to weave the new. We had not been elected to try to patch up an old system but to make something new. Our policy was not a reformed capitalism but progress towards a democratic socialism.
There were some criticisms of the Act, such as the fact that married women and a number of self-employed workers were not included under the schemes.
As a fact there was very little oppositopn, to the act, most people were thrilled with the Act and thought it gave people an overall better quality of life.
After The Act
THE END
BY MOE AND HANNAH
The National Insurance Act 1946 was a British Act of Parliament which established a comprehensive system of social security throughout the United Kingdom. All persons of working age had to pay a weekly contribution and in return were entitled to a wide range of benefits.