As Ian Mulheirn reaches the end of his 5-year stint as Director of the Social Market Foundation, his final blog looks at what we have learnt about the relationship between the market and the state over the last five years.
This series of essays explores the crisis of legitimacy in working age welfare. It examines the policy options for what to do about financial support for the unemployed.
This briefing note examines the detailed proposals for the all-important payment by results aspect of the scheme. The analysis shows that the proposed payment regime creates perverse incentives such that providers risk making losses if they seek to cut reoffending. The paper offers solutions to the problems identified that would improve incentives on providers and offer much better value for money to the taxpayer.