This chapter covers the development of social policies and the modern Welfare State. Welfare states represent recognition that the key welfare needs of the country will be met by the state through the provision of income transfers and key public services. Their development has been closely associated with the expansion of citizenship and human rights. In the UK the Poor Law was a long-lasting historical core on which the nation’s welfare state was built, and was associated with the important infrastructure of local authorities, health systems, and education along with the provision of payments in times of need. A well-functioning welfare state is important for the wellbeing of the population and has valuable redistributive roles. They provide social investment in children’s early lives and guard against social risks such as unemployment and poverty. They have the potential to assist economic growth and to provide the infrastructure and support for human capital, such as through the creation of a ‘healthy workforce’. Generally, the more egalitarian states perform better on a range of well-being measures. They remain a central pillar of the maintenance and improvement of the quality of life of people with disabilities associated with mental health conditions.