New report on the impact of welfare reforms
- 14 Jul
A report called Real Life Reform has revealed the impact of the government's welfare reforms on people living in social housing.
The Real Life Reform research was carried out between April and early May and reveals that people are dealing with mounting debt, borrowing from loan sharks and turning to food banks, reports 24dash.
The report found that unemployed households were left with just £1.46 per day after bills which is a 17% drop since 2013.
The number of in-debt household owing more than £2,000 has risen to 52.8% from 44% since the last report in March.
The report also shows that 12.5% of respondents have used a food bank at least once in the last three months and the weekly spending on fuel is 9.1 per cent higher than at the start of the study, with an average of £28.37 being spent per week.
There has been a 29% reduction in money left each week after bills for those in full time employment. They now have an average of £46.43 left each week after bills.
Andy Williams, director of neighbourhood services at Liverpool Housing Trust (LHT) and chair of the Real Life Reform Steering Group, said: "These latest findings show just how hard families are continuing to be hit as they try to cope with the benefit changes. As well as average weekly debt repayments doubling, a considerable number of people are relying on loan sharks and pay-day lenders. For many there appears to be no light at the end of the tunnel because they have no idea whether they'll ever be able to pay back what they've borrowed. Meanwhile, families are struggling with little or no food. Almost a third of households spend less that £20 a week on food, while some are relying on foodbanks to survive. It would also seem that some people in very real poverty are not using a foodbank and we plan to investigate this further in the next round to find out why. The prominence of zero-hours contracts is a real issue and is causing people a great deal of stress. The uncertainty prevents them planning for the future and adds to other worries about coping financially. Combined, these issues could explain why concerns about the impact of all the changes on participants' health are growing."
24dash state the key findings from the report to be:
• 24% of people in debt owe money to a pay day lender or loan shark
• 43.5% of people in debt will take more than 4 years to repay their debts or don't know when they will be paid off
• The percentage of in-debt households owing more than £2,000 has risen to 52.8% from 44% in the last report
• Average weekly debt repayments have more than doubled. Nine months ago they were £18.21. They now total £37.36 per week
• 12.5% have used a food bank at least once in the last 3 months
• Weekly spending on fuel is 9.1% higher than at the start of the study, with an average of £28.37 being spent per week
• Spend per person per day on fuel has increased to £4.05 from £1.97 in September 2013
• Spend on food per person per day has reduced to £2.79 from £3.28 in September 2013
• Three out of 10 households spend less than £20 per week on food
• Average money left after bills has increased slightly but at £2.82 per day across all of the households is not proving to be sufficient to cope with unexpected expenditure
• There has been a 29% reduction in money left each week after bills for those in full time employment. They now have an average of £46.43 left each week after bills
• Unemployed households have got poorer. With £10.32 per week, or £1.47 per day, left after bills, this is a 17% reduction since the start of the study.
What do you think of this? Tweet us your comments @suppsolutions
Image source: http://www.freeimages.com/photo/1435033
Related articles
- 08 Nov
NHS BOSS SETS OUT A CASE FOR CASH BOOST
The speech by Mr Stevens at the NHS Providers' annual conference of health managers is being made at the time when three reputable health think-thanks- the Health Foundation, the King's Fund and the...
- 09 Jun
THERESA MAY PLEDGES TO REPLACE THE MENTAL HEALTH ACT 1983
According to Ms May, the new bill would introduce the following:According to the Tories, the proposals were described as the biggest change to mental health treatment law in over 30 years.Ms May...
- 30 May
THE PRESENT FIRST PRIME MINISTER OF SCOTLAND IS TO PLEDGE AGAINST ANY PLANS TO PRIVATISE THE NHS
It is also expected that Sturgeon will do the following as proof of her party's commitment to fighting against further austerity:Sturgeon said this before Tuesday's manifesto launch:"While the polls...
- 17 Mar
402 MILLION POUNDS WILL BE INVESTED IN COUNCILS WITH THE GREATEST HOMELESSNESS DEMAND FROM APRIL 2017
Presently, funding is only used for homeless households and not for the prevention of homelessness in the first instance.The funding by the Department for Communities and Local Government is set to...
- 15 Mar
RULES AROUND PERSONAL INDEPENDENCE PAYMENTS MAY CHANGE ON THURSDAY
Ministers have advised chief executives of over 30 charities which claimed that people will be left without vital financial support, to restrict access to a disability benefit.The Disability Benefits...
- 06 Mar
THE GOVERNMENT HAS BEEN URGED BY THE BMA TO INCREASE HEALTH SPENDING BY 10 BILLION POUNDS
This increase in health spending to a proportion of GDP that matched that of the 10 leading economies across Europe could pay for at least 35,000 extra beds a day and many more GP's, according to the...
- 05 Sep
MANY DOMESTIC VIOLENCE REFUGES AT RISK OF CLOSING DUE TO HOUSING BENEFIT CAP
Women who have been victims of domestic violence as well as their children are at risk of falling into the hands of their violent partners if the government caps housing benefit in the social sector...
- 03 Sep
Data on disability benefits refused by DWP
DWP officials have refused a second request for basic information on disability benefits using the “Section 22” exemption they used previously, reports The Independent.The Department had been...
- 02 Sep
UN to investigate how welfare reforms will affect disability rights
A disability charity in Scotland has said it’s been contacted by the UN’s Committee on the Rights of Persons with Disabilities as part of an inquiry into Britain’s treatment of people with...
- 01 Sep
Benefit cuts affecting 48,500 families in Liverpool
Analysis from Liverpool City Council has found that around 48,500 households are likely to lose their benefits due to new government reforms, reports the Liverpool Echo. Councillor Jane Corbett has...
Support Solutions 5th National Housing Support & Social Care Conference 2014 The Social and Financial return seminar was very helpful, helped me think about our approach to bidding, negotiating for funding and keeping hold of what we have! The New Technology seminar was really an eye opener- really got me thinking about potential applications for older people. P.M - Four Housing
