But part of the problem in the UK is that the highest tax rates paid are those by the working poor : As more money is earned, benefits are subtracted at an alar

But part of the problem in the UK is that the highest tax rates paid are those by the working poor : As more money is earned, benefits are subtracted at an alarming rate. That means there's a huge disincentive for getting off the couch. The idea of this 'flat payout' is that it provides a baseline - and any money earned thereafter is a pure win (even after you pay taxes on the money earned).