For many in Europe, the welfare state is at the heart of what it means to be European. The values which underpin it are deeply embedded in European societies. Compared to the rest of the world, what unites European welfare states is stronger than what separates them. Yet all welfare states in Europe face common challenges. If they are to be competitive assets in the future, welfare states have to be reformed.
This publication suggests ways forward on a national and EU level in order to ensure sustainable welfare states which are able to fulfil their core functions and ensure the well-being of European citizens. The first chapter outlines the background and general challenges, whilst the following three focus on specific aspects of these challenges and suggest reform options: On social equality and convergence, on the distribution of contributions and benefits across generations, and finally on the governance processes behind policy decisions.
