Minimum Income Guarantee: Experts by Experience Panel report - executive summary

Key findings

The Expert by Experience Panel deliberated on the complexities of designing a Minimum Income Guarantee and provided rich insights which continue to inform the Expert Group's decision making. There was a range of views on the elements that make up a Minimum Income Guarantee and the overall ambition of the policy, this resulted in constructive discussion which considers varying viewpoints.

While there was no universal consensus, members reflected throughout on the potential societal and economic benefits of introducing a Minimum Income Guarantee. Overall, members felt that it has the potential to eliminate poverty, enhance social mobility, enable people to follow their passions and improve national wellbeing.

However, members also acknowledged several challenges that would need to be addressed for a Minimum Income Guarantee to be successful and sustainable. This included recognition of the limits of the current devolution of powers, political and public support, economic and labour market impacts and how it could be finananced.

The Panel, alongside the Expert Group, developed their understanding of a Minimum Income Guarantee from concept towards an implementable policy. To do so, they discussed what a dignified life should feel like and showed general concensus for a Minimum Income Guarantee level set at 75% of the Minimum Income Standard (MIS) with the aim of achieving around 85% of the MIS longer-term. The Panel also idenified the need for a system that is flexible, person-centred, without punitive sanctions, delivered with compassion and provides wrap-around support. This was important to the majority of members to ensure varying circumstances across households were addressed and that the negative design elements of the current system, that can often create or worsen stress and anxiety, are not repeated in a Minimum Income Guaranatee. Members also considered the role of paid work, the value of supporting unpaid work and the need to incentivise work – they expressed a range of views on how to support people to realise their potential.

In the final two meetings, members reflected on earlier discussions to generate a set of principles to inform ongoing decision making. The principles reflect what panel members have decided is important to guide the development of a Minimum Income Guarantee having synthesised their experiential knowledge with learning about process, options, context, and supported by data.

These co-developed principles provide a guidance tool for decision-makers in respect of the Minimum Income Guarantee; following these principles will ensure that design of the Minimum Income Guarantee embeds diverse voices and lived experience. While generated specifically for the Minimum Income Guarantee these principles are of wider value to anyone making decisions on welfare reform who seek to embed lived experience of financial insecurity into their decision-making.

If members did not support a principle they were given the opportunity to explain what would be needed for them to support it. However the comments made in response to this predominantly came from one participant who does not agree with the idea of a Minimum Income Guarantee. Their responses were not considerations that would enable them to support the principle because they do not support the Minimum Income Guarantee. However it is important that we do recognise that this member does not agree with the Minimum Income Guarantee (in particular, the social security element) and that their comments reflected two main reasons for this; they feel it will cost the nation money, and they feel social security payments discourage aspiration.

The summaries here are taken from the principles and principle rationales in the full report, they are written in the words of panel members.

Principle one: fairness

The Minimum Income Guarantee should be delivered with fairness and in a non- discriminative and non-punitive manner (without sanctions) to all, reducing inequalities and eradicating poverty.

Overall supported by 96% of panel members.

This principle is about fairness in wider society and reflects that a Minimum Income Guarantee should be delivered through a combination of earnings, social security, cost of living reductions, access to services, and should be available to all eligible households.

There is a need for public education and awareness of people's rights and responsibilities and options for accessing support. What a household looks like could be different due to variable personal circumstances.

Principle two: compassion

The Minimum Income Gurantee should be delivered with compassion and dignity, providing an assurance of a decent quality of life and fostering a caring society.

The system should be delivered by well-trained and empathetic staff, aimed at reducing unnecessary stress, ensuring people feel confident to access support and understand that the Minimum Income Guarantee is for everyone.

Overall supported by 97% of panel members.

The Minimum Income Guarantee should be designed to avoid stigma and shame when accessing support, should foster a caring society, acknowledge that a minimum standard of living is a universal human right, be delivered efficiently by trained and empathetic, supportive staff, and provide financial security and stability to enable a dignified quality of life; one that enables people to make choices through alleviating poverty.

Principle three: inclusive and accessible

The Minimum Income Guarantee should be delivered so that it is inclusive and accessible to all. The system should be flexible and account for people's differing needs through providing both financial and wider support.

Overall supported by 96% of panel members.

This principle is about the Minimum Income Guarantee not leaving anyone behind. The Minimum Income Guarantee level should be reached in a way that is inclusive and accessible to all individuals or groups in society. This principle recognises the need for ensuring access and financial equity when some groups may need more to be able to reach a dignified standard of living. It also reflects that the Minimum

Income Guarantee should be easy to apply for and that appropriate support services are included for particular groups where they may be needed.

Principle four: monitoring and evaluation

The Minimum Income Guarantee should be delivered with continuous monitoring, evaluation and learning. This should be reviewed regularly to ensure it continues to deliver the policy objectives.

Overall supported by 96% of panel members.

There is a need to regularly review the Minimum Income Guarantee level to ensure that it is fit for purpose, delivers the policy objectives, and provides accountability to society. The principle also reflects the need to monitor how the rollout of the Minimum Income Guarantee impacts on individuals and society, including how there could be unintended positive and negative impacts both financially and socially that should be monitored.

Principle five: a holistic system

The Minimum Income Guarantee should be delivered as part of a holistic system which considers a wide range of needs and the most appropriate support to meet them. This should focus on social security, fair work and universal services – working with the public, private and third sector in its delivery.

Overall supported by 92% of panel members.

This should be a nurturing system, where people feel they belong and are supported. This principle is about the importance of all the other systems and services that would interact with and deliver a Minimum Income Guarantee including housing, employment, mental health and education. It also includes the potential role for services as part of the way a Minimum Income Guarantee could be met.

Principle six: transparency

The Minimum Income Guarantee should be delivered with transparency. This needs a governance system that demonstrates accountability and ensures cost effective delivery, financial sustainability and is communicated clearly to the public.

Overall supported by 96% of panel members.

The Minimum Income Guarantee should have an effective and accountable system of governance that includes the wider public, businesses and trade unions, those with lived experience, and experts in poverty and equality.

This principle also reflects that the Minimum Income Guarantee should prepare for wider risks and impacts as it is rolled out, including potential impact on the economy, public support, individual responsibility and accountability.

Principle seven: wellbeing

The Minimum Income Guarantee should be delivered to support financial, physical and mental wellbeing. The system should provide financial security and collaborating with services which empowers people to make genuine choices and participate in society.

Overall supported by 96% of panel members.

This principle is about the importance of financial security and de-stigmatisation of both physical and mental health. Poverty and misfortune are not a personal failing but a reflection on society. When all people have good physical and mental health they can flourish and contribute positively to society.

Principle eight: fairwork

The Minimum Income Guarantee should be delivered with support for fair paid work and should value unpaid work, as far as is reasonably practical.

Overall supported by 96% of panel members.

People who carry out unpaid roles, including unpaid carers, volunteers and people doing any other sort of unpaid work should be eligible for the Minimum Income Guarantee. People require choices, but within the boundaries of what is practical for everyone to live a good life.

The unpaid sector in Scotland does a lot to support society and the paid sector. This must be recognised as part of a Minimum Income Guarantee.

For people who work, this work must be fair to enable a decent quality of life.