in Economics No . 01 - 05 STEVENSON LECTURES in CITIZENSHIP : 1 . " Making Welfare Work : the Politics of Reform " , by Frank Field 2 . " EU Enlargement

Welfare reform, if it is to be successful in the longer-term, needs to be based on a carefully thought out political strategy. The new political arithmetic, where the poor are an electoral minority, and many working class voters have rising aspirations, requires welfare reform to appeal to the interests of the majority. While welfare reform similarly must work with rather than against the grain of human nature, self-interest has to be harnessed in a way which builds an inclusive programme. The Government's drive towards ever greater means-tested provision looks good in year one. The penalties means-tests impose on working, saving and honesty become apparent only later with an ever-growing proportion of the population having to think about how best to work this system. Equally importantly, this drive to even greater means-tested dependency is set to blow apart some of the key characteristics which underpin a common citizenship.