Agenda item

ORDERED that the Executive approve

 

1. The refreshed Welfare Support for Residents in Financial Crisis Policy which included the following minor changes:

 

a)    Additional payment methods, making it easier and faster for payment to be made.

·         Allowing payment via text message to send funds direct to a resident’s bank account. In addition, e-vouchers can be provided through text messages or emails to a resident with a voucher code which can be redeemed at a supermarket of their choice.

b)    A refresh of the language and some minor amendments to the policy.

c)    Alignment to the Corporate Welfare Strategy

The Executive Member for Finance submitted a report for Executive consideration the purpose of which was to conduct a review of the Welfare Support Policy for Residents in Financial Crisis as part of the three-year review cycle, and to ensure that the current support provided to residents was keeping pace, reflected any changes in legislation, and included any necessary amendments or alterations. It was also noted that it was anticipated that further changes would be necessary to this Policy as the Council developed its approach to resolving poverty across the Town.

 

The Council recognised there were circumstances that fell outside a resident’s control that could impact upon their financial situation and may place them into crisis. This could present as an immediate financial risk to the resident or a member of their household where short-term support could prevent longer term issues from occurring.

 

Crisis could occur at any time and situations could be very different. Each case was independently assessed by experienced Officers. Although the list cited in the report was not exhaustive, some of the more frequent reasons Crisis Support was were:-

 

·         Reduction in working hours resulting in loss of earnings.

·         Awaiting benefit entitlement/Change in circumstances

·         Potential Homelessness

·         Theft or loss of essential goods.

·         Burglaries

 

The Council provided crisis support via the Community Support Team through a number of different options to alleviate resident’s immediate need. This offer had been significantly enhanced over the last three years through the introduction of the Corporate Welfare Strategy. Whilst short term support was provided through the Welfare Support for residents in financial crisis, longer term resolve/prevention formed part of the Welfare Support Strategy and underpinned the Council’s approach to responding to Poverty. With the introduction of the Welfare Support Team, and the introduction of a single front door for Residents would ensure support was easily accessible to those in genuine need.

 

Since 1 April 2024 the Council had provided support to over 1000 households through either Crisis or Housing Support with payments of around £370,000, this would likely increase to around £410,000 by 31 March 2025. In addition, through close working with partners such as the Department for Work and Pensions, Officers liaised directly to ensure benefit claims, queries were resolved quickly, and benefit was paid which eliminated the immediate Crisis. In conjunction with this the Council’s Welfare Rights Team had supported over 1,191 residents with claims for benefit and had secured benefit in excess of £2m. A more recent example included an internal referral into the team £88,000.00 of unclaimed State Pension was identified by the Welfare Rights Team for one resident. This was an example of the great work that the Council’s Welfare Support Team were doing to maximise unclaimed benefits.

 

Members discussed how residents could apply for support and if they could apply for different payments. It was clarified the main intention of the report was not to top regular income, but more than one criterion could be considered for applications.

 

It was also commented the policy would be publicised via the Council’s usual communication channels and would also be communicated to other partners and agencies, such as the Financial Inclusion Group.

 

OPTIONS

 

Do nothing. The current policy did not refer to the enhanced support options available to residents, such as OpenPay or E-Vouchers. In addition, the policy was due to be reviewed as the previous three-year period has expired therefore a refresh of the current offering is required.

 

ORDERED that the Executive approve

 

1.    The refreshed Welfare Support for Residents in Financial Crisis Policy which included the following minor changes:

 

a)    Additional payment methods, making it easier and faster for payment to be made.

·         Allowing payment via text message to send funds direct to a resident’s bank

account. In addition, e-vouchers can be provided through text messages or emails to a resident with a voucher code which can be redeemed at a supermarket of their choice.

b)    A refresh of the language and some minor amendments to the policy.

c)    Alignment to the Corporate Welfare Strategy

 

2.    Provided delegated authority to the Director of Finance and Transformation and the Executive Member of Finance to make any future minor revisions/modifications to reflect the financial / economic climate as necessary.

 

REASONS

 

The policy was a key decision that impacted on two or more wards and as such required Executive approval.

 

The updated policy upheld good practice within democratic processes and enabled the refreshed policy to maintain visibility with the Executive.

 

The delegated authority to the Director of Finance and Transformation and Executive Member of Finance to approve future minor modifications to the policy helped maintain service operation levels. As a working policy, failure to keep pace with new legislation or working practices left the Council at risk and could result in inconsistent practices.

 

The proposals provided clarification and ensured vulnerable residents had a clear understanding of the Council’s approach to crisis situations and the support available.