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Free healthcare is a big part of a welfare state - the government looks after people's wellbeing from cradle to grave
Laws and taxes are not the only way a government can make society fairer. Many governments also run services and payments that protect people from the worst effects of poverty, illness, old age and unemployment. When a government takes this responsibility for the wellbeing of its citizens, we call it a welfare state.
Key terms:
Remember from the last lesson that benefits move money from taxpayers to people who need it. A welfare state goes further. It also provides services, such as schools and hospitals, and it aims to give everyone a safety net so that nobody falls into the deepest poverty.
Before welfare states, help for the poor, sick and old came mostly from families, charities and religious groups. Industrialisation changed this. Many people moved to towns and worked in factories, and a worker who lost a job or became ill could quickly have no income at all. Governments came under pressure to act.
Welfare states are not all the same. Some give support to everyone (universal). Others give it only to people who pass a means test.
In many countries the state pays for schools, so every child can attend whatever their parents earn. Education leads to qualifications, and qualifications lead to better jobs and income. This improves life chances in education and employment, and it can help social mobility.
Where healthcare is free or low cost at the point of use, people can see a doctor without worrying about the bill. This should help people to treat illness early, stay healthy and live longer, which improves life expectancy and the chance of staying in work.
Some governments or local authorities build homes and rent them out at a lower rent than private landlords charge. This is often called social housing. It helps families on low incomes to afford a safe, warm home, which supports their health and their children's education.
All three services are paid for by taxes. Better-off people usually pay more in tax, while everyone can use the services. In this way the welfare state spreads opportunities more evenly across society.
A state pension gives older people a regular income after they stop working, helping protect them from poverty
Unemployment benefits are payments made to people who have lost their job and are looking for work. They give a basic income while the person searches, so they can still pay for food and rent. In many countries people must show that they are looking for work to keep receiving them.
Pensions are regular payments made to people who have reached a certain age and have stopped working. Without a pension, many older people would have no income, because they can no longer earn a wage. A state pension protects older people from poverty.
Both payments act as a safety net. They do not remove inequality, but they reduce the gap between people who are working and those who cannot work.
A man called Kofi loses his job. Without unemployment benefits he could not pay rent, and he might lose his home. This would make it harder to find a new job. With benefits he can keep his home and spend his time looking for work. The benefit protects his life chances during a difficult period.
Universal basic income (UBI) is a regular payment made by the government to every citizen, with no means test and no requirement to work. Every person receives the same amount, whether they are rich or poor.
Remember that life chances are the opportunities a person has to gain things that are valued in society, such as education, a good job, health and a long life. Welfare states can improve life chances in several ways.
However, welfare does not remove inequality altogether. Wealthier families can still pay for private education and healthcare, and some people may not claim the help they are entitled to. How well welfare states work, and the criticisms of them, are covered in later lessons.
Writing that a welfare state gives everyone the same income. It does not; it provides a safety net and services. Another mistake is to call every benefit "universal". A benefit that only people on low incomes can claim is means-tested, not universal. Finally, do not write only about what the service is: always explain how it changes life chances.
(a) Define the term welfare state. [2 marks]
(b) Explain three ways in which a welfare state can improve the life chances of people on low incomes. [6 marks]
(a) A welfare state is a system in which the government provides services and payments (1), paid for mainly through taxes, to support the wellbeing of its citizens (1).
(b) First, free education means children from poor families can gain qualifications, which gives them a better chance of a well-paid job (1 + 1). Second, free healthcare means that people on low incomes can see a doctor without paying, so they can treat illness early and stay healthy enough to work (1 + 1). Third, unemployment benefits give people an income while they look for work, so they can keep their home and avoid falling into poverty (1 + 1).
For a "three ways" question, give three different examples and, for each one, add a "which means..." sentence that links it to life chances. That second sentence earns the second mark.