Tom Elliott reacts to the proposed overhaul of welfare from the Greens

The Greens want to overhaul Australia’s welfare system, proposing a “liveable income guarantee” for those on income support payments.

Tom Elliott says it won’t work.

Under the policy, payments to those looking for work, unable to work, or studying full-time would increase to a base rate of $32,000 a year.

“The idea is you eliminate poverty,” Tom Elliott said, adding that was a noble idea.

But he has a few concerns about the concept, in practice.

“Where does the money come from?” Tom Elliott asked.

“Secondly, how many people out there would just go and spend it on stupid things – drugs, alcohol and gambling – those sorts of things.

“They’d be no better off, in fact they might even be worse off.”

Press PLAY below to hear Tom Elliott explain why

John Quiggin, Professor in Economics at the University of Queensland, said the proposal wasn’t radical.

“What they are suggesting, really, is a return to the kind of institutions we had before,” he said.

“There have been a series of reforms in the last 50 years which have basically focused on punitive compliance for the unemployed.”

Press PLAY below to hear his thoughts on the policy

Picture: Getty iStock