In 1908 the Liberal Government passed the Old Age Pensions Act. This came into force on 1 January 1909. It provided a payment to elderly people over 70 years who had an income of less than £31 10s [£31.50] a year. The payment was five shillings or 25p per week. The new pension was a crucial step to improve the quality of lives of many thousands of old people. It freed them of the fear of being sent to the workhouse. In 1910 the Chancellor of the Exchequer, Lloyd George, also provided the first financial and other assistance to the unemployed. Later, companies like Horrockses of Preston began to provide pension payments to their retired employees.