There is a mismatch between the way public services are designed, and the chronic dilemmas of the welfare state. Through two case studies we show how tool-dependent, instrumental and systems-oriented approaches fall short in tackling these dilemmas, and how the there is a need for a new, relational turn in design. Relational design takes into account interdependencies and dynamic situation of society, and calls for a new design vocabulary that discusses and approaches the relational aspects and opens up for a more situational and sensitive design agency.