OCR GCSE History B (J411) — Britain in Peace and War (1900–1918)
Over a third of British men who volunteered to fight in the Boer War were rejected because they were physically unfit. This shocking military statistic revealed that between 33% and 60% of the working-class population suffered from severe health defects. It sparked a panic over National Efficiency, creating fears that Britain's workforce and army were too weak to compete with rising powers like Germany and the USA.
At the same time, groundbreaking social research shifted public opinion on poverty. Investigations by Charles Booth in London and Seebohm Rowntree in York provided hard statistical evidence that poverty was largely unavoidable. They proved people were poor due to low wages, sickness, and old age, rather than laziness.
This evidence destroyed the traditional Victorian belief in Laissez-faire, paving the way for a radical change in government ideology. Led by the "Terrible Twins"—David Lloyd George and Winston Churchill—the Liberal Party embraced New Liberalism. This was the revolutionary idea that the state had a duty to intervene and provide a basic safety net for its most vulnerable citizens.
| Feature | Laissez-Faire (Traditional) | New Liberalism |
|---|---|---|
| Government Role | Minimal state interference in the economy or daily life. | The state must actively provide a "safety net" for the vulnerable. |
| Cause of Poverty | Viewed as a moral failing, idleness, or personal laziness. | Recognised as structural (caused by low wages, sickness, or age). |
| Focus | Individual self-reliance and minimal taxation. | State intervention funded by wealth redistribution. |
Today, we expect the government to provide healthcare and pensions, but in 1906, surviving sickness or old age was entirely your own responsibility. The Liberal reforms changed this by targeting four specific vulnerable groups: the young, the old, the sick, and the unemployed.
Reforms for the "Young" aimed directly at improving future soldiers and workers. The 1906 Education (Provision of Meals) Act allowed local authorities to provide free school meals, feeding 150,000 children daily by 1914. This was followed by compulsory medical inspections in 1907, the 1908 Children's Act (which established juvenile courts and banned selling alcohol to minors), and the creation of school clinics in 1912.
Reforms for the "Old" were introduced via the 1908 Old Age Pensions Act. It provided a non-contributory pension (funded entirely by taxes) of (shillings) per week for single people over 70, and for married couples. However, the age limit of 70 was far higher than the average life expectancy of a poor worker, and applicants had to pass a strict "character test" to prove they had no prison record.
Support for the "Sick" and "Unemployed" relied on a compulsory insurance model. The 1909 Labour Exchanges Act, managed by William Beveridge, set up job centres to help workers find employment. The monumental 1911 National Insurance Act was split into two parts: Part I provided sick pay and free GP care for workers earning under . Part II provided unemployment pay for up to 15 weeks in "unstable" trades like shipbuilding.
Funding for health insurance relied on the famous "9d for 4d" scheme, where workers paid less than half of the total fund value. A major limitation of this system was that it only covered the male worker, leaving his wife and children without free medical care.
Calculate the total weekly contribution paid into the National Insurance fund for a single factory worker under the "9d for 4d" scheme, and determine how much the worker personally contributed over a 4-week month.
Step 1: Identify the weekly contributions for the scheme.
Step 2: Calculate the total weekly fund per worker.
Step 3: Calculate the worker's personal contribution over 4 weeks.
If a government wants to spend millions on social welfare and new battleships, it has to find the money somewhere. By 1909, David Lloyd George faced a massive financial deficit. This was caused by a trade depression, the cost of Old Age Pensions, and an expensive naval race with Germany requiring for eight new Dreadnought battleships.
To raise the funds, Lloyd George introduced the "People's Budget", framing it as a "War Budget" to wage war against poverty. It introduced radical new taxes targeting the wealthy, including raising Income Tax from to in the pound for high earners, and creating a new Super-tax of in the pound for incomes over . It also introduced indirect taxes on petrol, tobacco, and spirits.
Most controversially, the Budget attacked wealthy landowners by introducing a tax on the Unearned Increment of land, and a tax on undeveloped land. In his fiery 1909 Limehouse Speech, Lloyd George openly attacked "Dukes" and aristocratic landlords for avoiding their social responsibilities.
The Budget was incredibly radical because it was the first time taxation was deliberately used to redistribute wealth from the rich to the poor. Naturally, it infuriated Vested Interests, including the Conservative Party, brewers, and wealthy landowners who felt directly targeted.
When an unelected group of wealthy landowners tries to block the decisions of an elected government, a political explosion is inevitable. Infuriated by the new taxes, the Conservative-dominated House of Lords rejected the People's Budget in November 1909 by 350 votes to 75. This triggered a massive Constitutional Crisis because it broke a 250-year convention that the Lords never interfered with financial legislation.
The Liberals fought back by calling two General Elections in 1910 under the campaign slogan "Peers vs. the People". After securing a mandate, the Liberal government sought Royal intervention. King George V agreed to create 500 new Liberal peers to swamp the House of Lords if they continued to block the legislation.
Terrified that an influx of 500 new peers would destroy their social exclusivity, the Lords finally backed down and passed the Parliament Act on 10 August 1911 by 131 to 114 votes. The Act permanently established the Primacy of the Commons, legally confirming the elected lower house as the supreme power in Britain.
The 1911 Act included three major provisions:
The removal of the absolute veto was highly significant for the Irish Nationalist Party, as it finally cleared the path for Irish Home Rule to become law.
Students often state that the 1911 Parliament Act changed who sat in the House of Lords. It did not change their composition; it only changed their powers.
OCR markers look for explicit links between the Boer War unfitness statistics (33-60%) and the specific Liberal reforms aimed at the 'Young' (like school meals) to improve future soldiers.
When discussing the limitations of the welfare reforms, always highlight the strict 'character test' for pensions and the fact that National Insurance only covered the worker, leaving their family unprotected.
In a source evaluation question about the People's Budget, examiners expect you to contrast Lloyd George's genuine desire for 'social reform' with the Conservative view that the budget was a deliberate 'political trap' to provoke the House of Lords.
National Efficiency
A political and social movement aiming to improve the health and education of the British population to ensure the country remained a top global military and economic power.
Laissez-faire
The traditional Victorian belief that the government should not interfere in the economy or the daily lives of the people.
New Liberalism
A shift in Liberal Party ideology towards the belief that the state has a responsibility to provide a basic safety net for its most vulnerable citizens.
"9d for 4d" scheme
The funding model for the 1911 National Insurance Act where workers paid 4d, employers paid 3d, and the state paid 2d to create a 9d weekly fund.
Unearned Increment
The profit made on land value that increases because of surrounding public development rather than the owner's own effort or investment.
Vested Interests
Specific groups, such as landowners or brewers, who opposed the People's Budget because the new taxes threatened their personal wealth and privileges.
Constitutional Crisis
The 1909–1911 political struggle over whether the elected House of Commons or the unelected House of Lords held supreme legal power in Britain.
Primacy of the Commons
The constitutional principle, legally established by the 1911 Parliament Act, that the elected House of Commons holds supreme power over the House of Lords.
Suspensory Veto
The reduced power of the House of Lords to delay legislation for a maximum of two years, rather than blocking it indefinitely.
Money Bill
A piece of legislation certified by the Speaker of the House of Commons as dealing exclusively with taxation or public spending, which the House of Lords cannot block.
Irish Home Rule
The movement to give Ireland its own parliament and domestic self-government, which was made possible after the Lords' veto was removed.
Put your knowledge into practice — try past paper questions for History B
National Efficiency
A political and social movement aiming to improve the health and education of the British population to ensure the country remained a top global military and economic power.
Laissez-faire
The traditional Victorian belief that the government should not interfere in the economy or the daily lives of the people.
New Liberalism
A shift in Liberal Party ideology towards the belief that the state has a responsibility to provide a basic safety net for its most vulnerable citizens.
"9d for 4d" scheme
The funding model for the 1911 National Insurance Act where workers paid 4d, employers paid 3d, and the state paid 2d to create a 9d weekly fund.
Unearned Increment
The profit made on land value that increases because of surrounding public development rather than the owner's own effort or investment.
Vested Interests
Specific groups, such as landowners or brewers, who opposed the People's Budget because the new taxes threatened their personal wealth and privileges.
Constitutional Crisis
The 1909–1911 political struggle over whether the elected House of Commons or the unelected House of Lords held supreme legal power in Britain.
Primacy of the Commons
The constitutional principle, legally established by the 1911 Parliament Act, that the elected House of Commons holds supreme power over the House of Lords.
Suspensory Veto
The reduced power of the House of Lords to delay legislation for a maximum of two years, rather than blocking it indefinitely.
Money Bill
A piece of legislation certified by the Speaker of the House of Commons as dealing exclusively with taxation or public spending, which the House of Lords cannot block.
Irish Home Rule
The movement to give Ireland its own parliament and domestic self-government, which was made possible after the Lords' veto was removed.
