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Liverpool is close to pioneering a new benefit system that would see people in the city given a set basic income.

The ECHO reported last month how the UK is thought to be on 'the brink' of testing out a new Universal Basic Income for everyone, which could replace benefits including the highly controversial Universal Credit.

Campaigners believe the plan - where everyone would be paid a basic wage - could end poverty altogether.

Following trials in other countries like Canada and Finland, four Scottish councils have been working on the idea since 2017.

But it appears like Liverpool's potential piloting of the scheme is also looking more likely.

Labour's shadow chancellor John McDonnell has approved plans for his home city to be one of the trial areas for the scheme, if his party gets into government.

And with many predicting a General Election could take place soon to break the Brexit deadlock, it is an increasingly possible plan.

(Image: PA)

Liverpool Councillor Ann O'Byrne has pushed the case for Liverpool to pilot a UBI - which would potentially see everyone handed a regular payment, regardless of their situation.

Cllr O'Byrne explained: "Last year Myself and Cllr Patrick Hurley submitted a council motion calling on Government to introduce a Universal Basic Income. Also calling on shadow chancellor John McDonnell to include Liverpool in any UBI pilot proposals.

"We met with John at the launch of the UBI report in London and proposed Liverpool as one of the pilot areas and were delighted when this was announced a few days later.

"When we win the next General election the Labour Finance team will begin to roll out the pilot areas."

Cllr O'Byrne is also planning an event in Liverpool in July, with Mr McDonnell, former Labour leader Ed Miliband and Guy Standing, the author of the recent high profile report into Universal Basic Income.

She added: "It’s so clear how transformational UBI will be. By providing a safety net to every person this would reduce inequality and poverty, reduce stress and anxiety, it would enhance economic security, enable families to plan for their future, it would also dramatically reduce the number of people on means tested benefits.

"As a feminist, this would transform the lives of so many women. There are more women than men in very low paid, insecure work, often doing more than one job to keep their families going.

"This safety net would enable women the security of finding more secure work without the fear of destitution. It also allows people setting up small businesses, social enterprises and cooperatives, the majority of whom are women in Liverpool the chance to grow and develop their enterprises without having to take on other jobs just to live.

"I am really excited about this opportunity for Liverpool to show the rest of the country how successful UBI can be for our citizens and for the economy, ahead of this being rolled out nationwide"

So how much would everyone get?

Current suggestions would see everyone receive an initial basic income of £2,400 a year for adults - with £1,500 paid to every child.

The idea would be to eventually double the adult payments to £4,800 per person - which would work out at £400 per month.

The idea of a Universal Basic Income is that everyone gets it - whether you are in work or not.

It has not been made clear thus far whether its plan would include extra support payments for those who may struggle to manage living costs on just £400 a month.