The smarter state: Between the ‘magic money tree’ and the ‘reform fairy’

Performance – in terms of access, quality and experience – across many public services is worse now than in 2010 and is lagging behind best practice abroad. This is resulting in low and falling public satisfaction. Moreover, citizens are convinced that things are and will continue to get worse.

Policymakers will need to combine both funding and reform to create a smarter state to solve the crisis. Some argue that the only solution to poor public services is significant increases in funding – the ‘magic money tree’. Others believe the only tool we have left is the ‘reform fairy’. Neither of these approaches are right. We will need both funding and reform to create a smarter state. This report starts to set out the reforms needed to deliver on this.