The government should abandon blunt ministerial exhortation to reduce alcoholism, anti-social behaviour, obesity and educational underachievement and instead enlist subtle techniques such as graduation ceremonies and voluntary compacts between the state and the individual, according to a new discussion paper by the prime minister's thinktank.
The paper, which is not government policy, also suggests pension savings could be increased by making workers opt out if they do not want a proportion of their pay increases to go into a savings fund. It warns that blunt measures such as health taxes can increase inequality, and should only be introduced if the public regards them as acceptable.
The discussion of the social psychology of change comes in a paper by the government's strategy unit, which examines the most effective role for the government in influencing personal behaviour and increasing social responsibility.
It argues that policy makers have not tapped into "a mature and growing body of knowledge in psychology offering a more sophisticated approach to behaviour and behavioural change".
The issue is politically sensitive to a government the Tories accuse of being determined to introduce a nanny state.
The strategy unit attempted to withdraw the document after one national newspaper claimed the government was on the verge of introducing fat taxes - one idea of several floated in the paper.
The health secretary, John Reid, who is due to produce a white paper on public health in the summer, favours a policy of informed choice rather than legislation or taxation.
The discussion paper says: "It has become increasingly clear that [the] government cannot simply deliver key policy outcomes to a disengaged and passive public."
Key policy goals rest on motivating individuals and not just on sanctions and economic incentives. Doctors, rather than the government, may be the best people to influence smokers or the obese, the paper says. For example, letters from GPs should emphasise the numbers of years a patient would lose if he or she did not give up smoking.
It suggests a "lifestyle health component" be included in parenting classes, with advice on diet and exercise for children. GPs and obese patients could sign a formal agreement, or compact, regarding diet and exercise.
The paper also explores "graduation incentives" in which youngsters receive a benefit, such as an education maintenance allowance, in return for staying on at school and attending lessons.
But it warns excessive intervention in education could backfire as pupils need to be self-motivated. Research shows that educational mentoring programmes work best when they are directed at the whole of an underachieving class, rather than an individual, because the latter could stigmatise particular pupils and highlight their lower aspirations.
It also suggests that young criminals be threatened with losing their driving licences or baby bonds if they misbehave.
Compulsory parenting classes have also proven effective. "Such classes have been ultimately welcomed by the parents themselves as they have given them the tools to interact more effectively with their challenging children," the paper says.
It suggests disabled people should not be forced to work but instead encouraged to move into work "as part of the process of encouraging their greater social acceptance".
The government is particularly concerned about encouraging healthy eating habits, as the number of obese people has soared from less than 10% of the population in the 1980s to more than 20% in 2001.