The comparative study of welfare states has long stressed British distinctiveness. While the continued collective provision of goods, especially health (the NHS), certainly differentiates the United Kingdom from the United States, the UK (sometimes with the addition of Ireland) stands alone within Europe as representing a liberal world of welfare, distinct from both social-democratic and conservative worlds. Today, in terms of the extent of income inequality and poverty, the UK is mostly an outlier within western Europe, while the movement from passive to active labour-market policies has taken a particularly punitive form. [...]
While the self-image of the US is that it is classless compared to Europe, in fact no country of old Europe matches its class divide—not even Britain. Yet in many ways the British social structure is now less European than before. This is not only a question of poverty and inequality. The degradation (and denigration) of its traditional working class has gone furthest and its management has become the most Americanised.
In the past Italy, with its north-south divide, was the European country with the greatest regional differences. Now the growing gap between London and the south on the one hand and the northern cities on the other means that Britain resembles a US slash-and-burn pattern of economic growth. [...]
As some social historians have noticed, the origins of this divergence lie in the de-industrialisation of the 1980s. While deindustrialisation was a common process across the democratic welfare states of western Europe, in the UK it was interwoven with the Thatcherite political onslaught on the trade union movement. Far more so than elsewhere, in the UK deindustrialisation constituted an explicit undermining of social citizenship.