Poverty and citizenship – learning from Britain's social security system

The social security system in South Africa is in need of reform. How can the government best learn from the experiences of countries such as the United Kingdom? How can young people be targeted for employment? Is court the best place for dealing with appeals? This research analyses the system in the United Kingdom and asks what lessons South Africa can learn from it.

Since the new Labour government came to power, the United Kingdom has undertaken significant reform of its social security system. This study covers the main issues, including (1) social security and poverty, (2) the re-distributive impact of social security benefits, (3) interventions to help young unemployed, (4) disability and the role of social security and (5) adjudication and tribunals for social security in the UK.

The research outlines the system of social security benefits and looks at the way in which it responds to changing poverty and demographic profiles. The study assesses the success of the government’s aim to reduce child poverty, and to use the tax system to support low-income workers. It also examines the effect on the distribution of income of means-tested social security benefits. This is a particularly important issue for the South African government. Another major concern is the provision of work for young people in the context of growing unemployment. The paper looks at the role and financing of disability benefits in enabling people to be integrated into society. Finally, the advantage of an independent appeals adjudication system is assessed.

In its analysis of the British system, the study found that:

• Greater efficiency in means-testing does not necessarily result in all of the poor receiving benefits. This is because means-tested benefits (1) are sometimes not generous enough to alleviate poverty, (2) are not offered to some parts of the population and (3) generally involve a lower take-up rate than non-means tested benefits.
• The changing family structure, and in particular the rise in lone parenting and the numbers of elderly, has shaped the profile of the poor.
• The new Labour government has a particular concern with promoting welfare to work arrangements.
• The New Deal for Young People aims to reduce youth unemployment through focused support, training and work experience.
• The multi-agency approach to dealing with youth unemployment and labour market disadvantage is particularly innovative. It combines work experience, training, subsidised employment and education.

In terms of policy implications, the research noted that:

• European trends indicate that successful youth employment strategies incorporate (1) close contact with the local labour market, (2) an appropriate mix of education and work-based learning and (3) a range of supportive services as well as ladders to further education and training opportunities.
• In the OECD countries, active policies are being developed in response to the increase in the number of people claiming disability benefits, which is far exceeding expectations.
• An alternative strategy for disability benefit in the UK would be to separate income maintenance payments and active labour market polices for people of working age with disabilities. Additional payments would be described as ‘cost benefits’.
• The separation of the administration and adjudication of appeals from the courts in Britain makes the system less cumbersome in legal terms. It also makes the atmosphere less formal and allows for genuine lay participation.

Source(s):
‘Alleviating Poverty and Building Citizenship in South Africa: What Lessons from the UK Experience?’, Department of Social Policy and Social Work, Oxford University, by Robert van Niekerk, Myfanwy Lloyd, Michael Noble, Marilyn Howard and Jo Webb, March 2001

Funded by: Department for International Development, UK

id21 Research Highlight: 20 August 2002

Further Information:
Social Disadvantage Research Centre (SDRC)
Department of Social Policy and Social Work
Barnett House
32 Wellington Square
Oxford
OX1 3BH
UK

Tel: + 44 (0)1865 270348
Fax: + 44 (0)1865 270324
Contact the contributor: Robert.vanniekerk@socres.ox.ac.uk

Department of Social Policy and Social Work, University of Oxford, UK

Other related links:
'Enhancing welfare or reinforcing insecurity? Social security in rural China'

'World Labour Report 2000 - Income security and social protection in a changing world'

'Social security in Egypt: an analysis and agenda for policy reform'

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