Tories criticise Welsh Government’s £1600 a month care leavers basic income trial
The Tories have criticised the Welsh Government’s plan for a £1600 a month basic income pilot for care leavers in Wales.
Welsh Conservative Shadow Minister for Social Partnership, Joel James MS, said that the Welsh Government is “not even close to living in reality with this trial”.
He insisted that he “wholeheartedly” supports “helping the poorest and most vulnerable in our country”, but argued that basic income “fails to incentivise work”, and is a “waste of public money”.
All young people leaving care who turn 18 during a 12 month period, across all local authority areas, will be offered the opportunity to take part in the pilot.
It will run for a minimum of three years with each member of the cohort receiving a basic income payment of £1600 per month for a duration of 24 months from the month after their 18th birthday.
The pilot will begin during the next financial year and the Welsh Government anticipate over 500 young people will be eligible to join the scheme.
Minister for Social Justice Jane Hutt said that the aim was to ensure that the most vulnerable in our society are supported.
Joel James said: “Whilst I wholeheartedly support helping the poorest and most vulnerable in our country, the Labour Government is not even close to living in reality with this trial.
“Countless trials from across the globe have found Basic Income does not have the expected outcomes as it fails to incentivise work and proves time after time to be a waste of public money.
“If rolled-out across the board with every adult in Wales receiving £1,600 a month it would cost nearly £50 billion a year, and at the same time reward the wealthiest in society rather than helping those who need it most.
“Our NHS is at breaking point and our economy is in a fragile state, but instead of tackling those issues head-on, Labour are more interested in Basic Income – which will cost the country an absolute fortune.”
‘Cost of living crisis’
Jane Hutt said: “We know we’re in the midst of a cost of living crisis and we’re determined to continually look at how best to support individuals in Wales who live in poverty.
“Care leavers have a right to be properly supported as they develop into independent young adults. It’s also important to note that this policy is underpinned by the United Nations Convention on the Rights of the Child (UNCRC), emphasising our commitment to strengthening the rights of children and young people in Wales.
“Yet, too many young people leaving care continue to face significant barriers to achieving a successful transition into adulthood. Our Basic Income pilot is an exciting project to deliver financial stability for a generation of young people that need it most.
“The pilot will build on the existing support offered to looked after children in Wales and ensure young people who take part in this pilot get all the support they need to give them the best possible chance to make their way in life and the transition out of care better, easier and more positive.
“We are fully committed to supporting those living in poverty, ensuring they receive adequate financial support so that everyone in Wales can live happy and healthy lives.”
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