Lessons to be learnt? The role of evaluations of active labour market programmes in evidence-based policy making

The interest in results-based policy formulation requires us to examine the impact of evaluations. This article focuses on the production and use of impact evaluations of UK active labour market programmes. It is intended to be useful for non-evaluators and for those working in developing and transition countries. The UK provides a case study where there is good evaluation data, available expertise and high-level political commitment to evaluation. However, obstacles remain in the generation and use of impact data. The article seeks to identify the opportunities and difficulties faced in the UK, and it considers the implications for other countries. It suggests that the measurement of impact concepts will prove difficult in countries that do not have sound administrative data, comprehensive labour market statistics and well-established macroeconomic and tax-benefit models. Furthermore, the use of evaluation data may be limited by a range of factors, most crucially those emanating from the legislative and policy-making environment. The conclusion is that if knowledge-based policy management is to be improved, changes in evaluation methodology will only be effective if supported by changes in the wider government environment. Copyright (c) 2006 John Wiley & Sons, Ltd.