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

Tenant Engagement Team Leader

Sandwell Metropolitan Borough Council
Band G SCP 32-37 (£42,839 - £48,226 per annum)
We are looking for a strategic and experienced Tenant & Resident Engagement Lead. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Planning Policy Officer

The Royal Borough of Windsor & Maidenhead
£34,962 to £38,791 per annum.
We have an exciting opportunity for a Planning Policy Officer to join us! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead

Real Time Analyst

North Yorkshire Council
£29,064 - £31,537
Are you passionate about delivering exceptional Customer Service and how we meet their needs? Northallerton, North Yorkshire
Recuriter: North Yorkshire Council

Senior Engineer - Delivery Management (Traffic Management and Safety)

Derbyshire County Council
Grade 12 £44,433 - £47,925 per annum
We are seeking an experienced Senior Engineer – Delivery Management (Traffic Management & Safety) Derbyshire
Recuriter: Derbyshire County Council

Adults Social Worker - Mid Essex

Essex County Council
£37185 - £50081 per annum
Register your interest here to be notified of upcoming Social Worker opportunities within Essex County Council's Adult Social Care services in Mid Es England, Essex, Chelmsford
Recuriter: Essex County Council
Linkedin Banner