It would reduce mental health issues in terms of the stress and worry about basic living requirements

It would also massively simplify the complex benefits systems and reduce the stigma around people who are legitimately on benefits. If people don't want to work they are always going to find ways around it, so stop trying to get people who don't want to work to work and start focussing on those who do, by providing a better education system based on the technology we have available to us now and what's coming in the near future, more funding for higher education, better apprenticeships and less stress on pupils.