Employment

The increased adoption of means-tested benefits and tax credits in the UK and elsewhere has refocused employment policy on creating incentives for lower-skilled individuals to gain and retain employment. This has been the subject of increased attention in our research.

Ageing of the population has also focused attention on incentives for early retirement in the benefit and pension systems. Quantifying their impact is essential in designing effective policy and evaluating policy reform. IFS has carried out extensive modelling of labour supply decisions, and these models are being developed further to address important new tax, benefit and pension policy questions.

There are three main areas where further development is planned. First, labour supply decisions within the family. This area is particularly relevant given the growing importance of in-work benefits and childcare subsidies. Second, incentives in the tax and welfare system for employment retention and earnings enhancement once in the labour market. This is closely allied to the issue of wage progression and our research on human capital accumulation. Third, labour supply decisions for older workers and the complex interactions between early retirement incentives in pension systems, incapacity benefit rules and working opportunities for older people.

Public sector pay in the next parliament

| Briefing Note

This briefing note analyses the Conservative, Labour and Liberal Democrat plans for public sector pay, and what the implications of their policies are for the public sector.

Find out more

Police workforce and funding in England and Wales

| Briefing Note

This briefing note provides background information on the police service in England and Wales. It details recent changes in police numbers and in police funding, and examines some indicators of police performance in the light of these changes. Finally, it considers briefly the Labour Party’s proposal to increase the number of police officers.

Find out more

Minimum wages in the next parliament

| Briefing Note

This briefing note, released as part of the IFS's pre-election analysis, provides key information about minimum wages in the next parliament.

Find out more