The Case for a Minimum Income Guarantee: A Pathway to Stability and Opportunity

This blog update was written by CBIN board member Colette Walker.

On Tuesday, September 23, 2025, I attended a Minimum Income Guarantee (MIG) event in Glasgow, organised by Poverty Alliance. The session featured speakers involved in developing the MIG report, a carers’ representative, and individuals with lived experience, followed by a brief Q&A and table group discussions. Our table focused on key issues, including the importance of using clear, accessible language to explain MIG. I emphasised tailoring the message for different demographics to ensure understanding and engagement, as trusted community voices are more effective than officials in spreading the concept. We were also asked to use “Minimum Income Guarantee” instead of the abbreviation MIG, as it’s less known than Universal Basic Income (UBI), which has gained recognition over time.

Additionally, we discussed the vital role of unions in promoting MIG, agreeing their involvement could significantly boost awareness.

On reflection after this event and reading more about it I have come to the following thoughts :-

In an era of economic uncertainty, technological disruption, and growing inequality, the concept of a minimum income guarantee (MIG) has emerged as a bold, forward-thinking solution to address systemic challenges. A minimum income guarantee ensures that every individual receives a baseline level of financial support, regardless of their employment status, or background. This policy has the potential to transform societies by reducing poverty, fostering economic stability, and empowering individuals to pursue opportunities without the constant threat of destitution. A minimum income guarantee is not just a moral imperative but a practical and economically sound strategy for the future. Poverty is a persistent global challenge that traps millions in cycles of hardship, limiting access to education, healthcare, and economic opportunity. A minimum income guarantee directly addresses this by providing a financial safety net. Case studies looking into a minimum income guarantee showed it reduced stress, improved job prospects, and better overall well-being. By ensuring a baseline income, a MIG lifts people out of extreme poverty, narrows the wealth gap, and promotes a more equitable society.

Automation and artificial intelligence are reshaping the labour market, displacing workers in industries like manufacturing, retail, and transportation. The World Economic Forum estimates that by 2030, automation could displace up to 30% of current jobs. A minimum income guarantee acts as a buffer, giving workers the financial security to retrain, pursue education, or transition to new industries without the immediate pressure of economic survival. This flexibility fosters a more adaptable workforce, ready to meet the demands of a rapidly evolving economy. Critics often argue that a MIG is too costly, but evidence suggests it can stimulate economic activity. When people have more disposable income, they spend it on goods and services, boosting local economies. Pilot schemes such as the Stockton experiment showed that recipients spent most of their payments on essentials like food, utilities, and transportation, directly supporting local businesses. Additionally, by reducing financial insecurity, an MIG encourages entrepreneurship and risk-taking, as individuals feel more confident starting businesses or pursuing creative endeavours without fear of financial ruin.

Financial insecurity is a major driver of stress, anxiety, and mental health challenges. By providing a reliable income floor, a MIG alleviates the psychological burden of poverty, enabling individuals to focus on personal growth, family, and community engagement. A society where basic needs are met is less likely to face social unrest, crime, or other symptoms of systemic inequality. Promoting Independence and dignity is at the core of a minimum income guarantee. It recognises that access to basic resources is a fundamental human right, not a privilege tied to employment or status. By giving people the freedom to make choices, whether to pursue education, care for loved ones, or start a business, a MIG empowers individuals to live with greater autonomy and purpose.

This aligns with the values of fairness and opportunity that underpin democratic societies.

Common concerns often raised about the cost of an MIG or its potential to discourage work. However, pilot programmes worldwide, from Finland to Kenya, have shown that unconditional cash transfers do not significantly reduce employment rates; instead, they often lead to better job matches and increased productivity. On the funding side, options like progressive taxation, wealth taxes, or reallocating existing welfare budgets can make a MIG financially viable. A minimum income guarantee is not a cure-all, but it is a powerful tool to build a more resilient, equitable, and dynamic society. By ensuring that no one is left behind, it creates a foundation for innovation, social cohesion, and human flourishing. As we navigate the challenges of the 21st century, from climate change to technological upheaval, a MIG offers a pragmatic and compassionate way to secure a better future for all. This form of Minimum Income Guarantee, where there is a financial baseline that nobody should live under , using social security in the manner it is meant , there for you in times of need. This, I feel , would be more palpable to people .

It’s time to embrace the minimum income guarantee not as a radical experiment, but as a necessary evolution of our social contract. Let’s invest in people, unlock their potential, and build a world where everyone has the chance to thrive.