Plans to pay 30 people £1,600 per month have been drawn up in what will be England’s first ever trial of a universal income scheme.
Participants will receive the monthly lump sum over a period of two years, and will have no conditions imposed upon them.
Researchers will be looking to gather information on what effects the cash has on their lives.
The money will be given to 15 participants in Jarrow, south Tyneside, and 15 in East Finchley, North London.
The scheme sparked chaos during a fiery debate on GB News’ Dewbs & Co, where former Brexit Party MEP Ben Habib hit out at the plan, while Labour Uncut editor Atul Hatwal suggested it may have its merits.
Habib said: “People are not working because it doesn’t pay to work, and you want to increase benefits?”
Hatwal responded: “We have unemployment amongst the lowest levels it has been, we have a million vacancies in the economy.”
Habib said in a fiery retort: “Unemployment only measures those people who are looking for work, we have a record 5.9 million people on Universal Credit!”
A new Universal income scheme has sparked controversy
PA
The Labour Uncut editor went on to argue that people are out of the workforce due to long term illnesses and a strong welfare system is required as a result.
Habib stated people not working is at an all-time high, and the increase of “nanny state” provisions is exacerbating the problem.
Commenting on the plan, Habib said: “To pay people to do the square root of nothing is utterly mad. When I read this policy for the first time, I had to blink four times to get my head around what this complete nonsense of a policy is trying to promote.
“It is socialism going utterly lunatic. It will break this country!”
Will Stronge, director of research at the think-tank Autonomy which is running the scheme, admitted a “substantial” amount is being paid out to participants.
He told The Guardian: “Universal basic income usually covers people's basic needs but we want to see what effect this unconditional lump sum has on people's mental and physical health, whether they choose to work or not.
“Our society is going to require some form of basic income in the coming years, given the tumult of climate change, tech disruption and industrial transition that lies ahead.
“This is why building the evidence base and public engagement now is so important, so the ground is well prepared for national implementation.”
The scheme will cost more than £1.6 million to run, and a separate group have been established by the think-tank to be monitored by the recipients.
Similar studies are underway elsewhere in the worldwide, with the Welsh Government paying £1,600 per month to more than 500 young adults leaving care last year in a new trial.
