Societal debt - social credits
Let people borrow £500,000 from the community over 50 years, receiving £10,000 a year or £833 a month
Universal basic income has typically been criticised by being unaffordable.
But there's a financial trick that makes it affordable over the long term. We simply make every social credit payment a debt to society. Your tax rate is increased to pay for the debt. In the UK student finance is given with the same principle - you pay 9% of your salary towards your student debt.
Repayments to your societal credit would be against your earnings. So rather than the majority people paying 20% tax, everybody would pay 60% tax on their earnings.
The social credit would be dispersed at £833 each month over 50 years.
We would borrow or print £56,644,000,000 (56 billion) every month to pay for every citizen (68 million) in the UK with the goal it would all be paid back over time as people worked it off.
Bear in mind the UK printed £375 billion as quantitative easing in one year that's new money being introduced to the economy. Theres no reason except inflation that we can't increase that to £672 a year.
Societal debt is a delayed gratification. People over a lifetime should pay back the money they are given.
The society would charge a small percentage of interest to counter inflation and make the investment in individuals worthwhile.
