Decision details

Social Fund Reform - Local Welfare Assistance Scheme

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Decisions:

The Interim Director of Finance presented the proposed year one policy for a new local discretionary support scheme ‘Local Welfare Assistance’ to be administered by the local authority from April 2013 to replace the crisis loans and community care grants currently administered by the Department for Work and Pensions. He commented that the matter had been previously considered by the Council Excellence Overview and Scrutiny Committee on 27 November 2012 (minute 42 refers) and their views and concerns had been included in his report. The funding provided for the scheme was less than the current DWP spend on Crisis Loans and Community Care Grants and it would therefore be necessary for the scheme to be robust, to maximise the number of awards granted and to prioritise those most in need.

 

The Policy was intended as a one year scheme, which would be closely monitored to identify any changes and development for incorporation into year two. It had been designed with a view to being able to continue to provide support for a wide range of needs, which were currently supported by the DWP. To do this, it was proposed to avoid cash payments where possible, so as to avoid abuse and make the scheme less appealing for fraudulent applications. The purchase of good quality refurbished or new items on behalf of applicants could also be more cost effective and would ensure that the award was used on what it was intended for.

 

The Interim Director highlighted the risks associated with the design and implementation of a new scheme and the Chair commented upon the programme funding for the years 2013/2014 and 2014/2015, which was £229,575 less than the DWP’s full year expenditure against Crisis Loans and Community Care Grants in 2011/2012. In addition, should awards exceed the DWP grant, the money would have to be found from the Council’s current budgets. While all applications would be considered under this policy, officers would be mindful of the impact of awards exceeding grant.

 

On a motion by Councillor P Davies and seconded by Councillor A McLachlan, it was –

 

Resolved –

 

(1)  That the Wirral Local Welfare Assistance Scheme Policy 2013/2014, set out at Appendix 1 to the report now submitted, be approved.

 

(2)  That a further report be submitted reviewing the first six months of the 2013/2014 scheme, providing analysis and recommendations for the year two policy.

 

(3)  That Cabinet believes that the Government should not transfer responsibility for Crisis Loans for Living Expenses and Community Care Grants to local authorities via a local scheme and, in the case of Wirral, cut the funding for these schemes by £229,575. At a time when a range of benefits are being cut by the Government, to reduce the amount of money to help people in crisis and to ask Councils to administer it demonstrates a clear need for this decision to be reviewed.

 

(4)  That Cabinet believes that together with Council Tax Benefit, it is difficult to see how such decisions by Government are consistent with localism, particularly where adequate resources are not devolved to local Councils to enable them to deliver effective services to local residents.

Publication date: 29/01/2013

Date of decision: 24/01/2013

Decided at meeting: 24/01/2013 - Cabinet

Effective from: 06/02/2013

Accompanying Documents: