EVERY 18-year-old leaving care in Wales will be able to receive £1,600 a month under a basic income scheme set to be rolled out this year. 

It is estimated that about 500 young people will be eligible for the scheme, which will cost the Welsh government £20 million over the next three years. 

Officials described the project, announced today, as the most generous basic income scheme delivered anywhere in the world. 

Ministers want to use the scheme to assess the effect receiving a basic income has on young people as they leave care, particularly those from disadvantaged backgrounds.

The £1,600 will be subject to tax and will affect access to benefits, but it will not be removed if the care-leaver gets a job.

All young people leaving care will be given the opportunity to join the two-year pilot scheme. 

Minister for Social Justice Jane Hutt said: “We know we’re in the midst of a cost-of-living crisis and we’re determined to continually look at how best to support individuals in Wales who live in poverty.

“Care-leavers have a right to be properly supported as they develop into independent young adults.”