Margaret Thatcher served as Prime Minister of the United Kingdom from 1979 to 1990. During her time in office, she implemented a number of policies that had a significant impact on the welfare system, including the introduction of means-testing for welfare benefits.
Means-testing is a system of determining eligibility for welfare benefits based on an individual's income and assets. Under a means-tested system, benefits are only available to those who meet certain income and asset thresholds. This is in contrast to universal benefits, which are available to everyone regardless of their income or assets.
Prior to the introduction of means-testing, many welfare benefits in the UK were universal. This meant that they were available to everyone, regardless of their income or assets. However, this was seen by some as a waste of resources, as benefits were being paid to people who did not actually need them.
Means-testing was introduced in an effort to target welfare benefits to those who needed them most. By only providing benefits to those who met certain income and asset thresholds, the government could save money and ensure that benefits were going to those who were most in need.
However, means-testing has also been criticized. Some argue that it can be difficult for people to understand and navigate the complex rules surrounding means-testing. Additionally, means-testing can act as a disincentive to work, as it can reduce the amount of benefits that people receive if they take on a job.
Despite these criticisms, means-testing remains a significant part of the UK welfare system. The majority of welfare benefits are now means-tested, and the government continues to make changes to the means-testing rules in an effort to make the system more efficient and effective.