Britain’s social security system badly needs reform. It is too dependent on means testing, is excessively punitive and intrusive, and fails the key test of a robust safety net against poverty.
Yet there is little agreement on the nature of reform. Returning to the pre-2010 position by restoring former benefit levels is not the answer. This approach would merely retain a system still heavily dependent on means testing, still highly conditional and still lacking a guaranteed income floor.
Instead it is time for a radical upgrade of the Beveridge model with a new social contract fit for the 21st century, one founded on four key principles. First, the construction of an initial income floor through the provision of a guaranteed, basic income for all citizens, as of right. Secondly, greater universalism, with a lowering of the role of means testing. Thirdly, an end to today’s ‘hostile environment’ towards the poor. Finally, the income floor should be gradually raised over time by tapping into Britain’s personal wealth mountain.
