Universal Basic Income: A roadmap for the elimination of poverty?
Original image by Tabea Damm
The idea of a basic income has been around a long time. Economists, philosophers and politicians have long debated how to abolish poverty. The 1945 Labour Government began this journey in earnest by establishing the welfare state; and it worked for many decades. It took the unemployed, those unable to work and those in low paid work out of poverty.
It worked reasonably well in a society where there was near full employment , strong trade unionism and a public commitment to the common good .
During the nineteen eighties and subsequent decades those three prerequisites which underpinned the welfare state have been increasingly whittled away and undermined, culminating in the disgraceful Tory Welfare Reform Act of 2010
The attempt to create a new Universal Credit started off on the right track with cross party support but along side the bedroom tax became discredited by a Tory Government fixated with austerity. Since the days of Margaret Thatcher political attitudes towards those on benefits has become increasingly hostile. Consistent headlines about benefit cheats , welfare scroungers and the latest Tory mantra “the deserving poor” have increasingly masked the poverty and inequality that has increasingly destabilised our society
Now is the time for new thinking and new ideas. The emergence of the idea of a Universal Basic Income is timely and welcome .
The underlying principle for a UBI is that all adults should be paid an amount of money sufficient to have a reasonable basic standard of living. There is the nub. What is reasonable, what is basic, and what is sufficient. Added to that are many other challenges. We already have some universal benefits such as free prescriptions and child benefit (until recent changes) which go to everyone and are paid for by everyone. Universal Basic Income would be the same. It is in some ways no different to the concept of a basic tax free allowance except it goes further and becomes a non means tested payment to every adult.
There can off course be special top ups for special needs. That is one of the concepts but there are many variations.
Making it work and winning support is the real challenge. Will society accept it? Will those who work be prepared to accept this concept? How will it impact on wages and those in work? What obligations will it place on society to ensure that socially useful and proper work is available and that people take up that work? What are the responsibilities of the recipients? How do you enforce those responsibilities. There are many other questions.
If the idea of a UBI has the potential to eliminate poverty, we must consider it, discuss it, debate it and then come to a conclusion. Jack Sargent MS has got the ball rolling by proposing an individual members’ debate in the Senedd. Lets enter the debate with an open mind. We have much to gain and little to lose.
More about the author
Mick Antoniw MS - @MickAntoniw1
Pontypridd, Wales
Mick is the Senedd / Welsh Parliament Member for Pontypridd and Chair of the Legislation , Justice and Constitution Committee.