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Wales has been trialling Universal Basic Income for the past year and this is how it works

Home> News

Published 16:25 8 Jun 2023 GMT+1

Wales has been trialling Universal Basic Income for the past year and this is how it works

The Welsh Government launched a Universal Basic Income trial scheme last year

Dominic Smithers

Dominic Smithers

This week, it was announced that England could be set to trial its first ever Universal Basic Income scheme.

The controversial pilot would see some lucky people receive £1,600 each month for the next two years.

The basic idea is to see whether or not the extra money in their bank account will make a big difference to their lives.

However, the scheme, which will need a fair bit of funding before it actually gets the green light, will only be available for people living in a few parts of the country, namely East Finchley in London and Jarrow in the North East.

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Understandably, it's been pretty divisive, with some arguing that it could be the answer to offering people security and pulling them out of poverty, while others think it's a waste of money.

Wales launched its Universal Basic Income trial last year.
Longtown Media/Alamy

But while this will be a first for England, if it actually happens, Wales - and before that, Finland - launched its own pilot scheme a year ago, though you probably haven't heard of it.

The Welsh Government announced that it was trialling a version of the UBI, targeting people coming out of the state care system.

Under the £20 million plan, which began in July, over 500 teenagers were to be given £1,600 every month for two years to help them 'make the transition to adult life'.

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In order to qualify for the scheme, participants had to be leaving care and turning 18 between 1 July 2022 and 30 June 2023.

They could also qualify if they had been looked after by a local authority for a total of 13 weeks that started after they reached the age of 14 and ended before they turned 16.

Politicians said they hoped participants would be able to use the money to gain a level of independence and 'empower them to make decisions about their future'.

And as well as the financial support, they will also receive individual advice and support with things like budgeting to help them manage their finances.

The Welsh UBI scheme is targeted at teenagers leaving the care system.
Rosemary Roberts/Alamy

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Explaining why care leavers were chosen as the subject for the scheme, the Welsh Government said it was to help 'understand the unique challenges care leavers themselves face and whether extending the time they are supported could have a positive impact on their entry into adulthood'.

Speaking at the time, First Minister Mark Drakeford said it could help many people's lives.

"Many of those involved in this pilot don’t have the support lots of people, myself included, have been lucky enough to enjoy as we started out on our path to adulthood," he explained.

"Our radical initiative will not only improve the lives of those taking part in the pilot, but will reap rewards for the rest of Welsh society.

"If we succeed in what we are attempting today this will be just the first step in what could be a journey that benefits generations to come."

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But with it being just a year into the trial, the jury is still out as to whether or not it has been a 'success'.

Featured Image Credit: Pixabay Longtownmedia/Alamy

Topics: UK News, Politics

Dominic Smithers
Dominic Smithers

Dominic Smithers is LADbible's Editorial Lead. After graduating from the University of Leeds with a degree in French and History, he went on to write for the Manchester Evening News, the Accrington Observer and the Macclesfield Express. So as you can imagine, he’s spent many a night wondering just how useful that second language has been. But c'est la vie.

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@SmithersDom

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