Laura Sharman 26 March 2015

Study shows low-income families struggling with welfare reforms

The Government’s welfare reforms have caused social housing tenants to run up debts or reduce spending on food, according to a new study.

The research was conducted by the LSE to explore the impact the reforms have had on low-income communities over the past two years. It found that one in ten tenants have found work as a result of reforms, although the majority of these are part-time with uncertain hours.

Is Welfare Reform Working? also found that most social housing tenants face ‘persistent’ barriers to work such as ill health or disability, lack of suitable jobs, poor skills levels and high childcare costs.

A third of tenants are struggling financially as a result of the reforms, with 63% saying they are cutting spending on food, getting into debt to pay bills or borrowing from family and friends.

Anne Power, Professor of Social Policy at LSE, said: ‘Four hundred interviews with two hundred tenants over two years paints a powerful and painful picture of low income tenants struggling to cope with falling incomes. Social landlords are offering more support but can’t close the gap.’

Other key findings were:

• While the majority of tenants find their links with the Jobcentre unhelpful, they are generally positive about free training opportunities, particularly those provided through Learn Direct.
• Sanctions and reassessments of tenants’ benefits have the potential to destabilise households and cause debt and arrears that increase household vulnerability.
• The majority of tenants commonly go for advice to Citizens Advice and other support agencies.
• Three quarters (74%) of economically inactive tenants care for disabled family members, volunteer in their communities or take care of young children.

SIGN UP
For your free daily news bulletin
Highways jobs

Director of Public Health

Royal Borough of Greenwich
Up to £131,210
The Public Health department is at the heart of the council’s business. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Head of Regeneration and Growth

Plymouth City Council
£68,387 - £74,411 (MFS and relocation available, pay award pending)
This is a unique opportunity to lead our award-winning development team and directly deliver hundreds of millions of pounds of projects. Plymouth, Devon
Recuriter: Plymouth City Council

Director of Adult Social Care

Wiltshire Council
£119,390 - £127,137
Join us as the Director of Adult Social Care and make a real difference to people’s lives. Wiltshire
Recuriter: Wiltshire Council

Assistant Director Planning, Performance & Engagement

East Sussex County Council
up to £97,700
With strong local communities, unspoilt countryside and vibrant coastal towns, East Sussex offers an exceptional quality of life to many. East Sussex
Recuriter: East Sussex County Council

Director of Finance & Commerce

Lancashire County Council
Up to £114,339
You will play a critical role in driving the organisation through complex change and innovation. Lancashire
Recuriter: Lancashire County Council
Linkedin Banner