Laura Sharman 18 May 2015

Welfare reforms could hinder innovation warns report

Cuts to welfare funding will put pressure on local authorities to support vulnerable people and deliver efficiency plans, new research is warning.

A report, published by Grant Thornton, finds that many councils are currently plugging the finding gap with temporary measures such as local hardship funding and discretionary housing payment (DHP) allocations. However, it says these schemes are likely to be impacted by future cuts by the Government.

Paul Dossett, head of local government at Grant Thornton UK LLP, said: ‘In general, welfare reform has prompted an impressive response from many local authorities and housing associations and has been a key driver for innovation and improvement. The question is, can they continue to make efficient use of rapidly reducing resources?

‘Our research suggests that without flexibility from Whitehall and further measures, such as devolution of welfare funding, this is unlikely.’

The survey revealed that nearly half of local authorities (47%) said housing benefit is significantly more expensive to administer following welfare reforms, with the majority also seeing a rise in council tax and rent arrears as a result of reforms.

The respondents also said some policies have not been as effective as planned, with less than 10% of residents affected by the bedroom tax moving to a smaller property.

Mr Dossett added: ‘The collective impact of welfare reform on those in need of support is to some degree hidden due to the lack of data on the causal link between welfare reform and poverty. Our research found that only 42% of local authorities track poverty levels to measure the impact of welfare reform.’

The report calls on the Government to devolve funding and powers for welfare administration to local government.

SIGN UP
For your free daily news bulletin
Highways jobs

Front of House Assistant

Durham County Council
Grade 3 £25,185 - £25,989 pro rata
We’re looking for a friendly, enthusiastic Front of House Assistants to help deliver a warm welcome and excellent visitor experience at Killhope, a un Durham
Recuriter: Durham County Council

Front of House Officer

Durham County Council
Grade 4 £25,583 - £26,824 Pro-rata
We’re looking for a friendly, confident and customer-focused Front of House Officer to welcome visitors to Killhope and help deliver an exceptional ex Durham
Recuriter: Durham County Council

Senior Technician

Durham County Council
Grade 8 £32,597 - £36,363
This is an exciting opportunity to lead in the delivery of all productions at our three cultural venues; Gala Durham, Empire Consett and Bishop Auckla Durham
Recuriter: Durham County Council

Residential Support Workers - Development Programme

Durham County Council
£26,403 - £28,598
Residential Support Workers – Temporary 12 Month development opportunity Salary
Recuriter: Durham County Council

Independent Reviewing Officer Administration Officer

Durham County Council
Grade 5 £26,403 - £28,598 pro rata to hours worked
We have an exciting opportunity for a part time Independent Reviewing Officer (IRO) Administration Officer within the Quality and Review Team.     WHA Stanley
Recuriter: Durham County Council
Linkedin Banner