Investment Minister Jason Stockwood has suggested that the United Kingdom could implement a universal basic income scheme to protect workers whose jobs are being displaced by artificial intelligence. The Labour peer's comments come amid growing concerns about AI's disruptive impact on the British workforce and economy.
Government Considering UBI as AI Disruption Intensifies
Lord Stockwood revealed that discussions about universal basic income are actively taking place within government circles. "People are definitely talking about it," he confirmed to the Financial Times, acknowledging the need for measures to address the societal changes brought about by rapid technological advancement.
Addressing the "Bumpy" Transition to AI-Driven Economy
The minister described the transition to an AI-dominated economy as potentially "bumpy" and emphasised the necessity for "some sort of concessionary arrangement with jobs that go immediately." He stressed the importance of creating mechanisms to "soft-land those industries that go away" through potential UBI implementation and lifelong retraining opportunities.
Stockwood, who assumed his ministerial position in September, explained that part of his motivation for joining government was to help prepare the workforce for these significant technological shifts. The technology entrepreneur brings substantial commercial experience from senior roles at Lastminute.com, Travelocity and Match.com, along with overseeing the $490 million sale of Simply Business to Travelers in 2017.
Research Highlights UK's Vulnerability to AI Job Displacement
The minister's remarks coincide with alarming research findings about AI's impact on the UK job market. A recent Morgan Stanley study revealed that Britain is losing more jobs than it is creating due to artificial intelligence, with the country experiencing more severe effects than other major economies.
Growing Concerns Across Political and Business Leadership
Concerns about AI's employment consequences extend beyond ministerial circles. London Mayor Sadiq Khan recently warned that artificial intelligence could destroy substantial numbers of jobs in the capital, potentially "ushering in a new era of mass unemployment."
Internationally, Jamie Dimon, chief executive of JP Morgan, told the World Economic Forum in Davos that governments and businesses must intervene to assist workers displaced by technology, cautioning that failure to do so could lead to civil unrest.
Minister's Background and Previous Policy Positions
While Stockwood has previously advocated for wealth taxation in the UK, he told the Financial Times he hasn't recently reiterated calls for increased taxes on the wealthy. However, he expressed strong views about corporate responsibility, stating: "If you make your money and the first thing you do is you speak to a tax adviser to ask: 'Where can we pay the lowest tax?' we don't want those people in this country."
The minister emphasised the importance of commitment to communities and long-term national success, suggesting that tax avoidance demonstrates insufficient dedication to these principles. Stockwood succeeds Poppy Gustafsson, former Darktrace chief executive, who served as investment minister for less than a year before stepping down.
As artificial intelligence continues to transform industries and employment patterns, the discussion around universal basic income represents one potential approach to mitigating the social and economic consequences of technological disruption in the United Kingdom.
