- Posted by: Mike Hedges MS
- Categories: Latest News, Press Releases
Mike Hedges MS welcomes news that Wales is to pilot a Universal Basic Income.
Speaking from his office, local MS Mike Hedges said… ‘ I welcome news that Wales is to pilot a Universal Basic Income scheme’ (UBI). Alleviating poverty will be one of the core features of the new Welsh Government, and it is really exciting that it has opted to trial a UBI Scheme.
I am aware that Swansea Council has offered to be a test area for such a scheme, and I hope that the Welsh Government take the council up on their offer.
UBI Schemes offer real hope that the Poverty Trap can be reduced if not eliminated because the level of income will not reduce if the person gets income from other sources.
I hope that this will be the first eye catching initiatives aimed at reducing poverty and health inequalities over the next 5 years.’
People leaving care could be chosen for a proposed pilot for a universal basic income (UBI) in Wales, the Welsh government has said.
UBI would be a sum of money paid to everyone, which supporters say would ensure people do not fall through gaps in the benefit system.
What is a universal basic income?
A universal basic income (UBI) is where a government pays all individuals a set salary regardless of their means.
Currently most benefits in the UK are determined on several different factors, such as employment, whether someone has children, or whether they have a disability.
Under UBI, everyone would get a set amount of money, regardless of circumstances.
An important decision would be how much it would pay out – it could be set to be enough to live on, or a partial sum of that.