In 1915,
Sir Kenneth Muir Mackenzie, the Permanent Secretary to the
Lord Chancellor's Office, was close to retirement. The Lord Chancellor,
Lord Haldane, believed that the duties of the lord chancellorship were too much for one man, and should be divided between a lord chancellor and a minister of justice. As such, he looked for a Permanent Secretary who was a qualified lawyer and who could help him set up a Ministry of Justice after the war, appointing Schuster in early 1915. he was forced to resign several months before Schuster started work on 2 July 1915 after being accused of pro-German sympathies.
Lords Buckmaster and Findlay (1915–1916, 1916–1919) The first Lord Chancellor under whom Schuster served was
Lord Buckmaster, who was appointed on 27 May 1915. Although most senior government offices at this time were held by wealthy aristocrats, the office of Lord Chancellor stood out as most of the appointees were lawyers from the middle class. Buckmaster and Schuster had similar outlooks on
World War I, with both their sons serving on the
Western Front; Schuster almost certainly helped write the 1915 memorandum Buckmaster circulated to
Cabinet arguing that forces should be concentrated on the Western Front rather than spread out in an attempt to assault other areas.
H. H. Asquith resigned as Prime Minister in December 1916, and as a member of Asquith's cabinet Buckmaster followed him. He was replaced by
Lord Finlay who was appointed on 12 December. Aged 74 when he was appointed, Finlay was the oldest person to be made Lord Chancellor since
Lord Campbell, who was 80 when he was appointed in 1859, and his age showed, with his decisions being slow and cautious. Although Finlay was not a member of the
War Cabinet, which limited his political influence to some extent, he was close friends with
Lord Haldane and through Haldane Schuster made contacts with up and coming politicians such as
Sir Alan Sykes and
Jimmy Thomas; the group was described as "the future Labour Cabinet". During Findlay's tenure as Lord Chancellor the question of a Ministry of Justice again came up; while the
Law Society was in favour of such a department the
Bar Council along with Schuster was opposed to any changes in the status quo, and as the person who prepared a report on the matter for the Lord Chancellor Schuster did his best to express his disapproval of any changes. For his continued work in the Civil Service, Schuster was made a
Commander of the Royal Victorian Order in 1918. Despite this he was surprised when he was dismissed after the
1918 general election, first hearing about it when it was mentioned in the newspapers. Birkenhead and Schuster established a strong partnership, and Schuster played a part in instituting Birkenhead's legal reforms, particularly those relating to the
law of real property. Real property law in the English and Welsh legal system had evolved from
feudalism, and was an immensely complex system understood by only a small number of lawyers. In particular, peculiarities meant that land owned by beneficiaries could be sold without the agreement of all the beneficiaries involved, something partially rectified by the
Settled Land Act 1882 and the Land Transfer Act 1897. In March 1917 a Reconstruction Subcommittee under
Sir Leslie Scott was created to consider land policy after the
First World War, and Schuster (who had
devilled for Scott when working as a barrister in Liverpool) was appointed as a member. Although there was general agreement that property law should be reformed, the process was made more difficult by the various vested interests involved; the Law Society, for example, was opposed to the changes because it would reduce the fees dedicated property solicitors could earn by making it possible for more solicitors to understand that area of law and become involved. When the bill finally got to the
House of Commons it met additional opposition from Members of Parliament who were also members of the Law Society and Bar Council, as well as
Lord Cave who later became Lord Chancellor. After further negotiations the bill was passed on 8 June 1922, with Birkenhead taking the credit, and it became the Law of Property Act 1922. Schuster also assisted Birkenhead in his attempts to reform the administration of the court system, particularly in his preparation of the
Supreme Court of Judicature (Consolidation) Act 1925. A committee was also set up to look into the reform of the
Supreme Court of Judicature, the
County Courts and the
Probate Services, divided into a subcommittee for each institution. Although the Supreme Court was resistant the committee did succeed in making some changes, such as introducing mandatory retirement ages for
masters and
clerks; they were unable, however, to end the patronage. The commission concluded that the
Treasury had mismanaged the County Courts, and on 1 August 1922 the
Lord Chancellor's Office instead became responsible for the courts, with Schuster becoming Accounting Officer.
Lords Cave and Haldane (1922–1924, 1924) By the summer of 1922 the
coalition government Birkenhead was a member of began to splinter, and when it finally collapsed, Birkenhead was forced to resign on 25 October 1922. The Conservative government under
Stanley Baldwin soon ran into trouble due to his desire to introduce
protectionist tariffs to protect British jobs. Baldwin called an early general election in
December 1923 to serve as a referendum on the subject, and although the Conservatives remained the largest party, they did not have enough Members of Parliament to claim a parliamentary majority. The king asked Lord Cave for a way around this problem, and as an expert on constitutional issues, Schuster helped draft the response. He was replaced by
Lord Haldane, who was serving for a second time and was sworn in on 25 January. Haldane was in favour of the creation of a Ministry of Justice, and although Schuster was privately against it he suggested that he would have accepted the responsibilities of such a Ministry on the condition that it remained under his control as the Lord Chancellor's Office was. Haldane was ill, however, and the Labour government lasted only ten months thanks to the publishing of the
Zinoviev Letter, and no large-scale reforms such as the creation of a Ministry of Justice were ever pushed through.
Lords Cave and Hailsham (1924–1928, 1928–1929) After the collapse of the Labour government in October 1924, the Conservative Party returned to power, and
Lord Cave became Lord Chancellor for a second time on 7 November. Spending four and a half years in office Cave had time to push through some significant reforms, including the
Law of Property Act 1925 based on the 1922 act Schuster had been involved in. The expansion of the Lord Chancellor's Office he had overseen also gave him greater opportunities to delegate to his subordinates, allowing him more time to spend on committees and inquiries directly influencing the way the government worked.
Lord Cave resigned on 28 March 1928 due to ill health and died the day after. His replacement was
Lord Hailsham, who was appointed by
Stanley Baldwin on 29 March 1928. Hailsham's first tenure as Lord Chancellor lasted barely a year and highlighted the fact that despite his abilities (many thought that if he had not accepted the offer to become Lord Chancellor he would likely have become Prime Minister) he was not a particularly innovative Lord Chancellor. For a short period in August 1928 he acted as Prime Minister (Baldwin was on holiday in
Aix-en-Provence) with Schuster as his chief adviser, but he rarely went to
10 Downing Street and nothing eventful happened during his time in charge. Sankey was appointed on Schuster's advice, and served longer with him than any other Lord Chancellor. Sankey was a "reforming" Lord Chancellor, and as part of one of his first reforms Schuster helped him draft and pass the
Statute of Westminster in 1931. As Permanent Secretary Schuster was tasked with ensuring that the courts ran correctly, and although the Judges were independent they were paid by the Lord Chancellor's Office. Although a Select Committee in 1878 had recommended that
County Court Judges be paid £2,000 a year this increase had still failed to appear due to the economic hardships caused by the
First World War. The protests from the judges increased through 1931 and 1932, with several judges including
Mr Justice Clauson and
Mr Justice Luxmoore threatening to sue the government. The 1931 Royal Commission on the Civil Service recommended that all Civil Service departments take a more business-like approach to their work, and spurred Schuster into making a further attempt to reorganise and reform the Lord Chancellor's Office. He also attempted to have the number of jury trials in civil cases reduced, something which Hanworth supported but which was blocked by the
King's Bench Division. The committee produced 86 reports from 1934 to 1939 on a variety of subjects, and many of their recommendations were made into legislation after negotiations with the
Home Office. On 7 December 1934 his clerk found a
bill amongst Hewart's parliamentary papers with a clause that allowed the Lord Chancellor to appoint any
Lord Justice of Appeal as vice-president of the
Court of Appeal, a right traditionally held by the Lord Chief Justice. Immediately after second reading Hewart rose and began a speech that was "as violent an attack as has ever been made in the Lords". In it he criticised the officials of the Lord Chancellor's Department (which to listeners clearly meant Schuster specifically) and insinuated that the bill was part of a conspiracy to move power from the judiciary to the politicians (and thus the civil service) and create a Ministry of Justice. and the following Friday
Lord Hailsham, at the time the
Leader of the House of Lords, made a defence of Schuster, saying that "I can show that this is an absolute delusion [and] that there was no such scheme ever hatched". He showed that the proposal of a Ministry of Justice had originated in 1836, long before Schuster became Permanent Secretary, and in addition that the report Schuster had helped prepare for Sankey was clearly biased against the creation of such a Ministry as he himself was opposed to it. The
Second Italo-Abyssinian War alerted the Civil Service and MI5 to the ambitions of Italy and Germany, and the
Committee of Imperial Defence was asked to review the defence legislation that had been used in the
First World War and present it to
Warren Fisher.
Norman Brook, later head of the Civil Service, served as secretary, and the committee was described as "a model piece of organisation" thanks to the work of Schuster as chairman. His appointment was done on Schuster's advice and was considered quite a surprise as he had no real political experience; even Maugham himself admitted he had not expected to be offered the job. Schuster and Maugham had a difficult relationship, especially after the start of the
Second World War in 1939, due to their differing political opinions. Schuster did not play an active part in policy decisions in this period, partially because of his disagreements with Maugham and partially because Maugham preferred to work on legislation and policy changes himself. Schuster later said that he got on with all of his Lord Chancellors except one—Maugham. Caldecote only held the office for eight months, but during this period spent a large amount of time preparing legislation for the
Second World War. Putting the country on a war footing would impact on the ability of people to fulfil their civil obligations if, for example, they were conscripted, and Schuster was made chairman of a Cabinet subcommittee "to consider the problems arising from the inability of persons, owing to war conditions, to fulfil their contractual and other obligations, and in particular to consider the complaints already made to MPs and government departments". The subcommittee made six reports and their recommendations were eventually made into the Liabilities (Wartime Adjustment) Acts of 1941 and 1944. Simon frequently delegated to Schuster and accepted his advice on judicial appointments, such as that of
Tom Denning to the
High Court in 1944. Schuster also had influence in committee appointments; when Simon was asked to select a chairman for the Committee on Reconstruction Priorities he delegated to Schuster, who chose
Sir Walter Monckton. ==Retirement==