Friday 15 April 2022

Millions going to foodbanks, poverty on the rise, time to introduce a Universal Basic Income

The number of people using foodbanks has risen incredibly over recent years. The Covid pandemic saw increasing numbers seeking help. Now with food and energy prices rising, the foodbanks are expecting to be busier than ever. These voluntary bodies could be the difference between many people having to choose, whether they eat or have heat. The statistics make for shocking reading, with the number of people going to foodbanks rising from 25,000 in 2008/9 to 2.5 million in 2020/21 (source:Trussell Trust). The numbers going to foodbanks in London has gone from 11,800 in 2011/12 to 421,000 in 2021. There are now 2,200 foodbanks operating in the UK (source: House of Commons library). That is 900 more outlets than Macdonald's. The question remains as to why in the fifth largest economy in the world, millions have to go to foodbanks - it is a national disgrace One of the major reasons people go to foodbanks is due to benefit issues. This can be due to delays in receiving benefits, like Universal Credit. Also, the inadequately low level of benefits. Things improved for many of the poorest in society when the £20 a week extra was added to Universal Credit during Covid. Unfortunately, this was taken away by the government as Covid eased, thrusting many back into poverty. There are also those on benefits and accessing foodbanks, who do low paid work. So effectively bad employers are being subsidised by everyone else. One move that could see some of the pressure eased on the poorest would be the introduction of a Universal Basic Income (UBI) for everyone This would provide a basic threshold income, below which no one would fall. The idea has been trialed in a number of places, including Finland and parts of the US. There is also a three year project ongoing in Wales, focusing on those leaving care. The deployment of the furlough scheme, for some during the pandemic, was also based on UBI principles. In countries where trialed, UBI has helped reduce poverty and not proved a disincentive to work. Introduction of UBI would be a major move toward reducing those needing foodbank support and living in poverty in the UK. The increasing numbers living in poverty is the result of political decisions, it must be time to reverse the indices in favour of the poorest in society. Introducing UBI would be a move be a radical move, that would help address the national disgrace of so many struggling just to provide food for the table.

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