Local Welfare Provision Consultation

Overview

Birmingham City Council is undertaking a consultation on a proposal to reduce the available budget for Local Welfare Provision payments from April 2018.

The Council’s Benefit Service administers the Local Welfare Provision payments that enable the Council to provide financial support for vulnerable people in the city who find themselves in financial crisis. 

There are 2 types of payment made from this Provision:

• Crisis payments are made to claimants to meet their needs for subsistence in terms of essential food and/or clothing.
• Community Support Grants are paid to claimants to meet their immediate needs for essential furniture or white goods to sustain their housing needs and to gain greater independence within the community.

From April 2013, central government passed responsibility for Local Welfare Provision to Local Authorities.  The Government provided funding for the two years up to 31^st March 2015.  The Council found the resources to continue the scheme from April 2015 to March 2018. However, the scale of the cuts imposed by central government on the Council and the demands to protect children  and adult social care for the most vulnerable means that the Council will not have the resources to continue to fund the same level of Provision beyond March 2018.

The LWP funds white goods for citizens who are moving into a tenancy perhaps for the first time to help with the setting up of a home and around 90% of the fund is spent in this area. In addition the LWP also funds emergency assistance in the form of a payment card where citizens can use this to access food,clothing etc. to meet their immediate short term needs. Currently 10% of the fund is utilised for this purpose.

The reduction in funding would reduce the white goods element but leave the crisis payment element for food and utilities at its current level. Sign posting of alternative provision will be done, these include local furniture projects and food banks which offer recycled furniture, white goods and food parcels to citizens in receipt of benefits.The available fund will reduce from £1.3 Million to £800k.   

Why your views matter

Due to the scale of demand we have had for this Provision and the needs we have been addressing we believe that it is important to consult specifically and in greater detail on this proposal.

You can let us know your views by completing this questionnaire