Social reform moves slowly

Insights Newsletter
25 September, 2015

To say that the National government has been farcical this past week would not be unreasonable. Light on policy and heavy on everything from flags, to pandas, to limiting property rights, it is no wonder commentators too are turning Monty Python-esque.
 
The question on political pundits’ lips: what has the Key government ever done for us?
 
Well, apart from the loopy rules report, the government has at least been given credit for its social reform agenda.
 
The NBR’s Rob Hosking argues that “the shift toward a greater use of community and other private providers to deliver social services is – potentially – the most important change in New Zealand's welfare state since the 1970s.”
 
In policy circles and within the Wellington beltway, social reform does indeed hold much promise as Key’s potential legacy. Beginning with the establishment of the Welfare Working Group in 2010, and the announcement of a new investment approach applied to the welfare system in 2012, it has been clear from an early stage that this government plans to do social policy differently.
 
Since then, state housing has become social housing, reducing the state dominance of the sector. That was announced in Budget 2013. The Child, Youth and Family system, notorious for its systemic challenges and poor outcomes, is also due for an overhaul.
 
Meanwhile, the Productivity Commission has recently released its final report on social services which looked at “how to make social services more responsive, client-focused, accountable and innovative.”
 
It would appear much is occurring in the background of the social policy space. Both the government and media continue to talk about social investment as a tool for directing taxpayers’ money to where it can have the most effect. Predictive modelling tools have also yielded important and insightful information about the risk-profiles of certain groups.
 
But when does data collection become applied policy? The government is collecting data. That much we know. We also know this is an achievement in itself, given Bill English has acknowledged that until now the government has been ‘flying blind’ with taxpayers’ money, without assessing the effectiveness of the services it provides.
 
What we do not know is how the government’s new approach has improved social services, and in turn affected long-term outcomes.
 
If social reform stands to be National’s true legacy, there is very little to show for it so far.

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