The Private Sector and the NHS: redefining the welfare state

There is a mismatch between the demand for state welfare generated by the evergrowing array of social rights embodied in the concept of British citizenship and the finite supply of public finance from taxpayers. In dealing with the consequent political problem, the state is obliged to redefine its relationship with the private sector. But as it moves towards a mixed economy of welfare, the state faces the key management task of reconciling the requirements of public accountability with the flexibilities of market mechanisms.