[1][2][3] The Institute advocates free market and classical liberal ideas, primarily via the formation of policy options with regard to public choice theory, which political decision makers seek to develop upon.

[6] A number of the policies presented by organisation were adopted by the administrations of John Major and Tony Blair and members of the ASI have also advised non-United Kingdom governments.

[7][8] Beyond policy development, the organisation advocates free market ideas through the publication and distribution of literature, the promotion of Tax Freedom Day, the hosting of speaker events for students and young people, media appearances and blogging.

[8] Unlike the CPS, which had been established by Thatcher and Keith Joseph; and the IEA, which focused on more theoretical matters, the ASI was well-placed to produce bold and direct policies.

[citation needed] Other policy recommendations which Douglas Mason published with the ASI included the privatisation of the Royal Mail (The Last Post − 1991); the introduction of charges in British public libraries (Ex Libris – 1986); the privatisation of the Forestry Commission;[19] the complete removal of arts subsidies (Expounding The Arts – 1987); and the abolition of restrictions on drinking (Time To Call Time – 1986).

In November 1994, the Institute began a review of welfare reform called Operation Underclass,[20] aimed at methods of creating jobs for the long-term unemployed.

[25] The ASI then collaborated with the MORI organisation on a series of opinion polls to measure such things as the goals of young people and students, and public attitudes to state services.

The paper argued that the Moon's land should be divided and given to different countries that would then be rented to companies in order to increase economic growth through space tourism and exploration.

Contributors giving £1,000 a year were offered "opportunities to attend power lunches and patrons dinners with influential figures, including politicians, ministers, journalists and academics.

[39] The Institute calculates the figure by expressing the government's take of the economy as a percentage of the year, including all forms of taxation, direct and indirect, national and local.

[39] The Liberty League was a United Kingdom student organisation in the early 2010s, was founded by members of the Next Generation Committee (James Lawson, William Hamilton and Anton Howes).

Other influences include the United Kingdom's cutting of the highest rate of income tax from 83% to 40% in the late 1980s and its liberalisation of alcohol licensing laws.

– discuss] A 2005 paper by the Institute proposed a flat-rate income tax of 22% for United Kingdom taxpayers, with the above-referenced tax-free personal allowance of £12,000.

[51] With its author Kenneth Irvine, the ASI says it pioneered the privatisation of British Rail with private companies competing for franchises on a separately owned national network (The Right Lines – 1987).

The ASI believes that instead of simply putting a blanket ban on building in the areas surrounding cities, planning permission should be granted based on the environmental, historic and scientific value of the land.