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Analysis: The Future of Welfare

The Future of Welfare

BBC Radio 4 - Analysis, The Future of Welfare

Should Britain’s social insurance system be more German?

In Germany, if you are made redundant you receive 60% of your income for a year. The furlough scheme has raised a question: should Britain’s social insurance be more German?

The furlough scheme, introduced in response to Covid-19, has raised a question: should Britain’s social insurance be a bit more German?  Germany has what’s known as an earnings-related contributory system – individuals pay quite a lot in, and if they lose their job, they receive quite a lot out - around 60% of their previous salary, for at least a year.  Critics of the German system say it’s costly and puts too little emphasis on redistribution. But advocates claim it commands far wider support than the British system. So does the pandemic and the calls it has provoked for a fresh look at the shape and scope of our welfare state provide an opportunity? Should Britain move towards a system that is more like Germany’s?  
 
 
Presenter Ben Chu
Producer David Edmonds
Editor Jasper Corbett

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