So what would they do with £26,000?
In August 2016, there were 3.7 million Brits on out-of-work benefits…
What would you do if you were handed £26,000 with no strings attached? It’s a concept that many of us can only dream of. Would you invest the money? Start your own business? Or splash the cash on cars, fancy clothes and holidays?
Although it sounds too good to be true, that’s exactly what Channel 5’s documentary, The Great British Benefits Handout, is about. Now back for its second series, the show gives an Unconditional Cash Transfer (UCT) of £26,000 – the maximum amount a family surviving totally on benefits can receive – to those who previously survived on welfare. They’re free to do what they want with the money, in exchange for not signing on for 12 months.
The sum is approximately the national average wage, and the idea is that the individuals use the lump sum to attempt to get themselves in a better financial position.
The first series aired in 2016 and followed various families, one of which was Scott Gavin, 32, his wife Leanne, 27, and their four kids. He’d previously worked as an engineer, but had struggled to look after his family, as well as paying the rent and bills.
The couple have an autistic child, and when Scott spoke to the Benefits Agency, he was told he’d receive £500 a week, as well as getting housing and council tax benefits, if he became a carer for his son.
‘I believe that you’re more respectful of money if you earn it yourself,’ Scott said. ‘But if the Government is just going to hand it over, it’s hard to say no.’
Once given the cash injection, the Gavin family splurged some of the money on Champagne and a PlayStation, but also set up a successful party business and mini-zoo with exotic pets.
‘Being on the programme changed our lives,’ he said. ‘It wasn’t a lottery win, but it did the same job. It gave us options, choices.’
And it’s not only the Gavin family this has worked for. Everyone from the first series says the money has had a positive impact on their lives, and UCT has been used in developing countries to reduce poverty. It’s currently being considered as a strategy in first world countries like Finland and Switzerland.
But given the opportunity, would everyone use the cash to invest in their future?
In the current series, 38-year-old mother-of-three Donna, blows £6,000 on posh meals and clothes as well as trainers, rather than investing in a hairdressing business. And another woman, grandmother Lorraine from Essex, spends £1,120 of her money on Botox.
So would this concept really work to get people off benefits? It’s difficult to know, but it’s certainly an intriguing idea. l
The Great British Benefits Handout, Channel 5, Thursdays, 9pm