What does it feel like to fall off a cliff? “In the past 18 months, 25 of our members committed suicide, and this winter we are even more afraid. ”
Jennifer Griffiths, co-director of Excluded UK, issued a severe warning about what was about to happen because the government The biggest overnight social security cut since World War II With the end of the £20 general credit boost, and the end of the vacation plan.
In the Looney Tunes cartoon, when Wile E Coyote jumped off the cliff, It usually takes a few seconds for the character to levitate in mid-air, running on both legs, and then gravity will have an effect. Many families are in this state now. Although the general credit was cut on October 6, it still takes a few weeks for families to really feel the true meaning of their next payment, reducing £1,040 per year.
according to Latest NEF modeling, The government policy will enable 21.4 million people (32% of the total population, including 7 million children) to live in families that cannot afford the basic living expenses. This level is called the minimum income standard.
Politically, we are in a state of uncertainty before this month’s fall budget. Will the government take action to mitigate the impact of widespread credit cuts?The Conservative Party clearly wants to change the narrative to “Get paid for work.” The general credit reduction rate (percentage of a person’s loss of income per £1 on UC) has changed from 63% to 60%, and rumors of a possible minimum wage increase reflect this. NEF analysis It shows that the impact of the cut in interest rates cannot make up for the losses that people have suffered from the 20 pound cut.
Talk about one ““High-wage, high-productivity” economy sounds attractive. But high-wage, high-productivity economies There is often a high level of social security. This is like trying to create a Scandinavian economic model without a strong social security infrastructure to make it work. We cannot talk about high wages without talking about high welfare. They are not mutually exclusive. In recent years, trade unions have been raising this situation, and progressives need to have the confidence to advocate for both.
Although we may have lost the parliamentary fight to stop the 20 pound cut, Keep lifeline active Basically won a public debate, exposing the insufficiency of social security. Recent vote It shows that most people do not support the reduction of universal credit, but we must now start to win the next argument: What is a more suitable system?
Sooner or later, we as progressives need to do better than “Something better.” For NEF, living income is better.
You will often hear opposition politicians say that they will abolish or replace universal credit, just because their verdict has also fallen to the edge of a cliff, without specifying what they will replace it with.
Sir Kil Starmer said last week that the Labour Party would like to see it be “Something better”. Sooner or later, we as progressives need to do more than “Something better”. For NEF, it’s better Living income.
Living income is a bold reimagining of income support, which will address the challenges and opportunities presented by the post-Covid world and the economy we live in. When you need it most, set a level where no one can fall.
This idea draws on some principles of universal basic income advocated by the mayor of Greater Manchester Andy Burnham, this Liberal Democratic Party And will soon be Welsh Government. It inserts a Universal cash payment every week Enter the system to replace the regressive personal allowance.
However, living income will also provide tailor-made support for those in need of additional help to pay for disability, housing, nursing work, or raising children. The result will be a national safety blanket, ensuring that everyone can afford a decent standard of living.
This idea is sometimes called a minimum income guarantee, and it is supported by the government in Scotland. Scottish workers provide a minimum income guarantee In May, I told Pam Duncan Glancy MSP about a Recent NEF events That “Living income is very important”.
Her British colleague, the Labour Party’s Jonathan Reynolds MP, and the Shadow Work and Pension Minister also spoke at the event and said that there is more work to be done before the Labour Party outlines its complete vision. ‘A better” social system, but gave him “I will work with NEF as an absolute promise in terms of living income”.
This work is now to win widespread public support for a more generous social security system and to win controversy. NEF is building a coalition of organizations to help shift the debate to income for living. Together, we can establish an alternative to universal credit to end the cost of living crisis forever.
Photo: Ella Carman
