Frank has long advocated a revived ‘something for something’ system of National Insurance which puts the contributory principle back at the heart of the welfare state.
He believes that an effective, affordable and fair system requires contributors and taxpayers to own and control a series of mutuals covering unemployment, pensions, health and social care.
In Autumn 2013, Frank launched Politeia’s new economic series Paying for the Future: Contributory or Tax funded Systems with a lecture and pamphlet on the role of National Insurance.
In his lecture, Frank called for a new contract whereby increased contributions are protected from politicians’ sticky fingers, and proposed:
- A new system based on the John Lewis Partnership, funded by National Insurance contributions with individual member ownership and control through elected boards.
- Government’s sole aim should be to establish a legal framework and ensure that benefit is linked to contribution.
- The Labour Party should ask the Government actuary for costs, in looking at how a fundamentally restructured National Insurance scheme could work.
You can read the full pamphlet here
. Frank's proposals were also covered by The Guardian.