Friday, 9 October 2020

Still Not The Time For Universal Basic Income

When the unemployment queues grew substantially as employers laid off workers due to the Coronavirus pandemic, the UK Government stepped in to pay 80% of workers wages in companies across the nation, effectively nationalising massive swathes of the private sector by paying most of the wages of workers instead of their employers in order to prevent the economy from imploding.
Sensing the time is ripe, advocators of the Universal Basic Income (UBI) are now pushing for the Government to go the full hog and introduce it to the UK and the idea seems to be appealing to the left who see it as a way to cut poverty and inequality but this is one of those times where i just can't agree with them.
I understand the argument that it would eradicate poverty and free people to do what they want but struggle to get my head around how this could possibly work and how we can afford to give each citizen a monthly payment of £520 as is being suggested.
My query was answered by a man with some calculations on a back of a fag packet who explained that by folding in all the current elements of the welfare state and the tax relief system, each person in the UK could receive £520 per month and the UK economy would not be adversely affected.
As it would be impossible to live on £6240 per year, most people would still need to work although they could possibly reduce their hours which would create more employment opportunities which is fine if you can work, some people can't and as things stand they get extra financial support but £6240 UBI is all the welfare benefits they will get.
I like the idea in principle but in order to work and to not have to worry about making ends meet if you can't work, the figure for each person will need to be much higher and no Government Finances could sustain that so until the man with the fag packet comes back to me with a better solution to pay for it, i'm out.

1 comment:

Falling on a bruise said...

Unaffordable so barking up the wrong tree with it.