A key foundation to building back better
Imagine on the 1st of every month money arrived in your bank account – no strings attached. The money would always be there for you regardless of your income, wealth or employment status. It was money paid to you for simply existing and you could spend it how you wished.
Imagine people on low incomes no longer having to worry about whether they should spend the money they’ve earned on staying warm or eating. Imagine people in precarious jobs, such as those on zero hour contracts, no longer having to worry about whether they’ll be given enough hours next week. Imagine people who hate they’re job being able to quit and take the time to find out what they really want to do, whether it be pursuing a career as an artist, going back to school or setting up that online business they always dreamed of. Imagine those who want to care for elderly parents no longer having to make the choice between going to work and caring for that parent. Imagine a woman trapped in an abusive relationship finally having the means to leave and start again. Imagine.
A Universal Basic Income (UBI) will not only offer the above freedom of choice, but it is also the simplest, fairest and most inclusive way of addressing a failing welfare system that is responsible for a rise in homelessness and poverty. A UBI will not be a silver bullet in terms of eradicating poverty and addressing all of the problems caused by years of austerity, but it must be the foundation from which we build back better.
In Wales, for instance, the Equality and Human Rights Commission (EHRC) reported that in 2015/16 one in four adults in Wales (25.3%) were living in relative poverty – an increase of 4.7% from the 2010/11 figure. This was higher than in England (19.6%) and Scotland (18.6%). Further, the EHRC stated that a fifth of people (21.1%) of people aged 16–59 in Wales experienced material deprivation. Again, this was higher than in England (17.8%) and Scotland (14.8%). Of course, these numbers are pre-pandemic, meaning they will increase following the end of the furlough scheme and economic downturn.
We need radical solutions to address poverty and inequality, because the way in which we are addressing them at the moment is not working. That’s why there are growing calls for fundamental change to the social contract and that change can be brought about with a UBI. The pandemic has been the great revealer in that it has shown just how financially insecure we actually are, with many being just two paychecks away from losing everything. That is why people are now calling for a better safety net that ensures no one is left behind – as we have seen with the millions of people excluded from receiving support.
In Wales, there is growing interest in UBI, with Labs springing up in Cardiff, Gwynedd, RCT and Swansea – and we hope other Labs in Wales will soon follow. Politicians cross-party are now showing serious interest in the idea with the Liberal Democrats recently adopting UBI as official party policy thanks to the hard work Jane Dodds and others in getting it on the agenda, the Future Generation’s Commissioner backing the policy, and the First Minister of Wales stating he is happy to play his part in an experiment.
On Wednesday (30th) Jack Sargeant’s UBI motion will be debated in the Senedd. This is a huge step forward for the movement and we hope that debate leads to the Welsh Government agreeing that Wales needs to pilot a UBI. We must try to find new ways that help to address the growing levels of poverty and inequality that will only be exacerbated by the pandemic.
More about the author
Jonathan Williams - @JRWill26
Cardiff, Wales
Jonathan is a trainee solicitor at Watkins and Gunn Solicitors. He was recently awarded Cardiff and District Law Society’s Junior Lawyer of the Year Award, in part for his charitable work with veterans and his efforts in helping to set up Cardiff Lawyers Care.