Friendly Societies

Early friendly societies were inspired by European medieval guilds. Built around specific trades, the guilds had insured members during periods of economic hardship. The decline of the guild system left many workers in a state of financial insecurity, creating the need for new forms of mutual aid.

Friendly societies first became popular in England during the seventeenth century. British writer Daniel Defoe (1660-1731) alludes to the proliferation of friendly societies in An Essay Upon Projects (1697), a set of proposals designed to revitalize the nation’s economy. These associations received formal government recognition in 1793 with the passage of the Friendly Societies Act, which acknowledged their benefit to society while granting them certain legal protections.

England’s rapid industrialization led to a steady rise in the number of friendly societies in the 19th century. Membership was voluntary and required payment of regular dues. These dues went into a collective fund, which was held in reserve for times of financial need. In addition to distributing payments for illness, injury or other hardships, funds also covered funeral expenses for deceased workers and assisted their widows and children. 

Democratic in structure, friendly societies allowed members to vote on financial decisions, leadership selection and other matters. Members often gathered in public houses (or pubs) to discuss meeting agendas and socialize. Over time, many friendly societies developed specific rituals intended to build a shared identity among members. These practices often had a secretive, self-mythologizing quality, lending mystique to a group’s proceedings. The names of several friendly societies of this era notably the Independent Order of Oddfellows and the Order of Druids reflect this aura of mystery.

By the early 20th century, roughly half of the adult male population of England belonged to friendly societies. In the years preceding World War I, however, the organizations entered a steady decline. With the passage of the National Insurance Act in 1911, workers began paying into government insurance plans, rendering most mutual aid groups redundant. The rise of trade unions, combined with the formation of the National Health Service (NHS) in 1948, further diminished the role of friendly societies. Although a handful of friendly societies reorganized as private insurance companies, the majority disbanded.

While friendly societies no longer play a prominent role in British society, the practice of mutual aid survives. Trade associations and other social organizations continue to foster camaraderie and trust among members committed to common economic goals, making the possibility of collective action a vital tool for workers to this day. 

Contributor: Matt Price