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Today a temporary basic income plan is urgent. Full UBI in place already would have massively simplified dealing with the job effects of virus protection measures. Without it millions are at risk, and the benefit claim system will soon break down. What is the best way to do this?
My thoughts:
Any claim-based system means more admin than public services can handle. But ‘just pay everyone’ lacks a mechanism that would reach the most in need right now: low paid employees at risk. We could start by directing an immediate amount to lower tax self-employed…
Any claim-based system means more admin than public services can handle. But ‘just pay everyone’ lacks a mechanism that would reach the most in need right now: low paid employees at risk. We could start by directing an immediate amount to lower tax self-employed…
Another possibly simple first step: all private contractors for public sector services should be instructed to continue paying all wages in full as if it is a normal week, regardless of employee contract terms, underwritten by Govt.
To reach our pub, cafe workers and hairdressers with temp UBI is harder but I am still wary of relying on claims. Those who are families still on tax credits or registered for UC disability or Housing Benefit could have an amount unconditionally paid though.
That would leave many fewer needing to claim the UBI. Systems are not integrated, but then comparing who’s been paid in these ways with council tax systems and PAYE could identify those missed who have a lower income and are not salaried public servants either to pay or contact?
The key thing is that we are much higher in population than some countries who are running claim based schemes and so I want to maximise the proactive ways to pay we have to reduce the risk of breakdown.
The more I look at this the more I think Council Tax ‘refunds’ are the way to push out UBI most simply. They can also identify single households, pensioners who might need checking for practical support if they get ill (or conversely may have a more secure basic income already).
And it means no conditional application forms and Govt distributing funds via hundreds of councils not thousands of employers. Those Councils would obv need a lot of extra help to manage this though.
There would still be gaps and people needing to claim for various reasons but would this minimise that the most of all the options?
Thank you for all the considered responses to this, and the new ideas and edge cases raised. And please sign this petition too: https://petition.parliament.uk/petitions/302284
Almost spat out my tea at hearing the chancellor say ‘work with trade unions’ just now.
But seriously it does sound like a wage replacement scheme via employers is in mind now. Danger here is small firms without admin support and casual workers can’t take it up.
But seriously it does sound like a wage replacement scheme via employers is in mind now. Danger here is small firms without admin support and casual workers can’t take it up.
And it risks leaving those already laid off in the worst position of all.
