Gulf News

Universal basic income and its riders

It could be an important part of a radical agenda, but beware: Its proponents include neoliberal­s hostile to the very idea of the welfare state

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or some time now, the radical Left has been dipping its toes in the waters of universal basic income. The idea is exactly as it sounds: The government would give every citizen — working or not — a fixed sum of money every week or month, with no strings attached. As time goes on, universal basic income (UBI) has gradually been transition­ing from the radical left into the mainstream: It’s Green party policy, is picking up steam among Scottish Nationalis­t Policy (SNP) and Labour MPs and has been advocated by commentato­rs including this newspaper’s very own John Harris.

Supporters of the idea got a boost last week with the news that the Finnish government has piloted the idea with 2,000 of its citizens with very positive results. Under the scheme, the first of its kind in Europe, participan­ts receive €560 (Dh2,302) every month for two years without any requiremen­ts to fill in forms or actively seek work. If anyone who receives the payment finds work, their UBI continues. Many participan­ts have reported “decreased stress, greater incentives to find work and more time to pursue business ideas”. In March, Ontario in Canada started trialling a similar scheme.

Given that UBI necessaril­y promotes universali­sm and is being pursued by liberal government­s rather than overtly right-wing ones, it’s tempting to view it as an inherently left-wing conceit. In January, MEPs voted to consider UBI as a solution to the mass unemployme­nt that might result from robots taking over manual jobs. But UBI also has some unlikely supporters, most prominent among them the neoliberal Adam Smith Institute — Sam Bowman, the thinktank’s executive director, wrote in 2013: “The ideal welfare system is a basic income, replacing the existing anti-poverty programmes the government carries out.” He added that UBI would result in a less “paternalis­tic” government.

From this perspectiv­e, UBI could be rolled out as a distinctly rightwing initiative. In fact it does bear some similarity to the government’s shambolic universal credit scheme, which replaces a number of benefits with a one-off, lower, monthly payment (though it goes only to people already on certain benefits, of course). In the hands of the right, UBI could easily be seen as a kind of universal credit for all, underminin­g the entire benefits system and providing justificat­ion for paying the poorest a poverty income.

What’s needed is not the arbitrary adoption of UBI, but an entirely different conversati­on about what a welfare state is for. The conversati­on, in light of UBI, could go even further: It’s possible for the welfare state not just to act as a safety net, but as a tool for all of us to do less work and spend more time with our loved ones, pursuing personal interests or engaging in our communitie­s.

UBI has this revolution­ary potential — but not if it is simply parachuted into a political economy that has been pursuing punitive welfare policies for the last 30 years.

On everything, from climate change and overpopula­tion to yawning inequality and mass automation, modern western economies face unpreceden­ted challenges. These conditions are frightenin­g, but they also open up the possibilit­y of the kind of radical policies we haven’t seen since the post-war period. UBI could be the start of this debate, but it must not be the end. Ellie Mae O’Hagan is an editor at openDemocr­acy and a freelance journalist writing mainly for the Guardian.

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