Britain's New Deal and the Next Round of U.S. Welfare Reform

The United States will begin another round of debate on welfare reform during the 107th Congress, which convened in January 2001. The new congress and administration must decide on reauthorization of funding for Temporary Assistance for Needy Families, the program established in 1996 as a replacement for Aid to Families with Dependent Children. Among other things, the reauthorization debate will focus on issues of program funding, rationalization, performance, best practice, and direction. This paper argues that all phases of this debate would benefit from more widespread understanding and appreciation of the British Labour government's welfare reform program, including both the New Deal welfare-to-work programs and related changes in benefits and coverage. This paper reviews the ideology, strategy, and implementation of British innovations with regard to links to U.S. reforms and as a source of new perspectives and ideas for the reauthorization debate.