Will welfare reform address problems rather than creating greater ones?

This post is not about the pros and cons of welfare reform.  I think many of the ambitions behind welfare reform are to be welcomed. Rather, this post looks at the practical implementation of these measures and some unintended consequences.

Regarding the Bedroom Tax (I feel I can call it that given that on Monday a government minister at a conference organised by Crisis accepted that that is the phrase he uses) is resulting in a large proportion of tenants failing to pay the resulting shortfall in their rent.  Riverside Group has revealed that around half of its 6,000 households receiving housing benefit had not paid anything at all to cover the shortfall.  A quarter had contributed something but were not paying their rent in full.  Just one in four tenants impacted by the bedroom tax paid the full amount.

Guinness Partnership said that around 1,000 of their 3,000 tenants affected by the under occupation regulations have not met the shortfall.  Their experience is similar to a number of other housing associations around the country.  Inside Housing is covering this issue on its front page in today’s edition.

Because we tend to work almost exclusively with single homeless people, and our housing stock is largely one-bedroom flats, this is not an issue amongst our tenants. However, I would anticipate that, in due course, we will begin seeing tenants of other social landlords presenting at our advice centres in Brighton, Eastbourne and Hastings requiring assistance because they are facing eviction.

There have been warnings about this which have gone largely unheeded.  A more widespread risk relates to the payment of rent direct to tenants rather than to landlords.  This will undermine the confidence of private landlords to take people who are receiving housing benefit, see an increase in arrears and bad debts faced by landlords in both the private rented and social sectors, and cause a loss of confidence amongst financial institutions who lend money for the building of homes for rent.

Julian Ashby, the chair of the regulation committee at the Homes and Communities Agency has warned that housing providers face being hit by a ‘double whammy’ of increased rent collection costs and reduced income due to welfare reform.

In a report published today by Housemark, it has been estimated that social landlords face losing £1.4 billion of rental income a year as a result of welfare reform.

There is also concern amongst social housing providers regarding the move to making claims online.  In a survey taken in November 2012, Ipsos Mori showed that just 60% of local authority tenants and 64% of housing association tenants had access to the Internet.  I’m not aware of any similar research regarding tenants in the private rented sector but, given the efforts taken by social landlords to increase digital inclusion, and in the absence of a similar programme in the private rented sector, I would imagine digital inclusion is much, much lower.

BHT did its own survey around that time and we found that79% of our clients, tenants of both private and social landlords as well as some owner occupiers, and meaningful access to the Internet.  However, when you remove the provision made available to our clients by BHT itself, that number falls to 19%.

There is still time for the government to pause and think about whether it is going about these matters in a way that will address problems rather than creating greater ones.

Calling on Sussex Members of Parliament to ensure letting agents are required by law to belong to an ombudsman scheme

On Tuesday, the House of Commons is discussing an amendment to the Enterprise and Regulatory Reform (ERR) Bill.  If approved, the changes would see letting agents required by law to belong to an ombudsman scheme. I have written to the six Members of Parliament in the areas in which BHT works, to encourage them to support the amendment.  The MP’s are Amber Rudd (Hastings and Rye), Stephen Lloyd (Eastbourne), Norman Baker (Lewes), Simon Kirby (Brighton Kemptown), Caroline Lucas (Brighton Pavilion), and Mike Weatherley (Hove).

Since 2008 estate agents have been required by law to be part of an approved redress scheme, but letting agents are not.

The Property Ombudsman received more than 8,000 complaints about letting agents from landlords and tenants in 2012 – an increase of 9% on the previous year.  Yet only 12 prosecutions were carried out last year by trading standards teams in 20 of the biggest councils in England, Scotland and Wales.

Baroness Hayter has said: “Legislation already requires estate agents to be part of an ombudsman scheme. What this amendment would do is extend that so that letting agents would also have to be members of an ombudsman scheme.  At the moment anybody could set up as a letting agent. They don’t have to promise to give minimum standards to the tenants or to the landlords.”

A spokesman from the Department for Communities and Local Government said: “People living in private rented homes should be treated fairly and honestly, but we want to avoid excessive red tape that would push up the cost of rents and reduce choice for tenants.  The first priority must be to make sure that landlords and tenants are well informed and empowered to exercise their rights. Agents are subject to consumer protection laws and dissatisfied customers can report bad practice to local trading standards officers.”

My concern is that with changes to Legal Aid, specifically the reduction in what we can do under legal help, as well as a reduction in the numbers we can assist, it is unlikely that tenants will have the necessary power to exercise their rights.

Landlords, too, do not get a fair deal from letting agents.  The Association of Residential Letting Agents (ARLA), the leading trade body, has said it was disappointed by the low numbers being prosecuted and that if there was seen to be a robust procedure then that in itself would be a deterrent.

The Housing Minister has said he is not keen on new regulations, but I understand that he has said he is open to debate.  I have urged the six MP’s to support the amendment on Tuesday.

Changes to Legal Aid come in to force today

Today is a sad day. For the first time in many years our advice centres in Brighton, Eastbourne and Hastings may have to turn people away.

While changes to the NHS, welfare reform and the ability of Iain Duncan Smith to live off £52 per week are dominating the headlines, changes to who has access to legal advice and representation come into force.  The CAB has on its website a clear summary of the changes to legal aid

Of course, everyone has the right to access the law, but as Judge Sturgess once said, “Justice is open to everyone in the same way as the Ritz Hotel”. The reality is that many people who might need advice and representation might, as of today, not get it.

If you feel you might need advice, do find out whether you are eligible. Thanks to support from Brighton and Hove City Council, Eastbourne Borough Council, and Hastings Borough Council, we may still be able to help.

You can find contact details for our advice centres here.

Good news as BHT-led partnership is given the go-ahead to bid for £9.2 million Big Lottery funding

We have had some very good news this week which is attracting some media interest.  A consortium, being led by BHT, is in the running for funding from the Big Lottery of up to £10 million over 8 years.  The initiative is designed to improve services for men and women with complex needs (a combination of mental ill health, homelessness, offending behaviour and substance misuse problems) in Brighton, Eastbourne and Hastings. Between now and September, a full bid and business plan needs to be prepared.  A decision will then be made by the Big Lottery and the new services will begin from April 2014.

The purpose of this funding is to bring about lasting change in how services work with people with multiple and complex needs; this funding is a vehicle to help bring about that change. The legacy of the 8 year programme will be that systems and services in all 3 geographical areas will better meet the needs of this group.

At this stage we have been awarded funding to develop the bid on behalf of our partnership which includes partners in local government and in the third / charity sectors.  Should the partnership be successful, it won’t just be BHT staff (contrary to what the Argus reported this morning) who will provide services.

My colleagues, Nikki Homewood and Jo Berry, are leading on this initiative for BHT. Nikki said: “As the lead partner for the Brighton and Hove, Eastbourne and Hastings area, BHT is thrilled to receive funding to develop our partnership bid to ensure better service provision for people with the most complex needs.

“Using the wealth of knowledge and expertise within our local Core Group, comprising seven voluntary sector organisations and five statutory partners including commissioners, along with the 60+ organisations in our Partnership Group, we will develop a programme that will truly bring about change for the clients the programme work with, and local communities.

“Our vision is to bring about long-term systemic change by putting service users at the heart of services, fully understanding what they need in order to move forward with their lives: thorough monitoring and evaluation will result in well-evidenced findings, which will then be used to influence future commissioning.”

BHT’s partners in this initiative, and who are represented on the local Core Group, include: Brighton and Hove City Council, Brighton Women’s Centre, CRI, East Sussex County Council, Eastbourne Borough Council, Hastings Borough Council, Homeless Link, Sanctuary Supported Living, Southdown Housing Association, Sussex Oakleaf, Sussex Probation Service

Seeking advice at the earliest possible time can save a huge amount of time, added complications and worry

We can’t pick up the newspapers these days without hearing about the struggle ordinary people have in making ends meet. Inflation is up again, fuel bills are causing huge anxiety, and many households going ow having to cope with the additional cost of Christmas.

Where households are getting into financial difficulties it is important that they get advice at the earliest possible time.

I’ve recently been told that our Eastbourne Advice Centre is seeing an increase in the number of people who are delaying seeking advice until their situation is at a critical point.

My colleague, Sue Hennell,  BHT’s Advice Services Manager  in East Sussex  told me  that it is very common for people to feel unable to face up to the growing difficulties if at all possible.  She said that it is never too late to get advice but that her advice is not to delay if at all possible.  Early advice can save a huge amount of time, added complications and worry.

Sue told me: “In over 80% of housing cases, we either prevent homelessness or achieve other positive outcomes such as sorting out disrepair and helping with finding accommodation.”

Here is an example of a client, John (not his real name) who we have helped. John was a client of our Eastbourne Advice Centre and knows first-hand how important it is to get advice as soon as possible. He said: “I came to the advice centre because I was unemployed and six months behind on my mortgage payments. I had left it and left it and eventually it got so bad that the mortgage company applied to the County Court for a Warrant of Possession.

“I thought that I would lose my home and couldn’t see a way out of it.

“I went to see an adviser at BHT Sussex and they realised I had not been receiving a state pension or pension credits. They were able to adjourn the hearing for 6 weeks and make an application for the state pension and pension credits.

“I received a backdated payment which allowed me to pay off my mortgage arrears and I was then able to pay my mortgage each month with the on-going payments.

“I had spent the last six months worrying about losing my home and wondering what I was going to do. Early advice would have prevented all of this worry and stress. I should have sought advice as soon as the problem started.”

BHT Sussex Eastbourne Advice has recently moved to share an office with Citizens Advice Bureau, Eastbourne. The co-location of the two advice agencies has resulted in a ‘one stop shop’ for advice in Eastbourne.

Click here for contact details of our advice centres in Brighton, Eastbourne and Hastings.

Meeting housing need requires cross-authority co-operation in Sussex

Martin Randall, head of planning and public protection at Brighton and Hove City Council, has called on neighbouring authorities, including the South Downs National Park Authority, to help the region meet housing need.  I think Martin is absolutely right.  The National Housing Federation has said that the number of new homes needed in East Sussex alone is set to increase from 354,600 in 2012 to 434,000 by 2033.

Yet the National Housing Federation has reported that Sussex Councils have reduced their house-building targets for the next 15 years by 43%. In Mid Sussex the target has been reduced from 17,100 to just 10,600.

Neighbouring authorities may not like it, but the Brighton and Hove economy is the powerhouse within the region and the well-being of neighbouring authorities, including Adur, Worthing, Crawley, Lewes, Mid Sussex and others, depend on a balance provision of housing and jobs across all authorities.

Eastbourne Borough Council deserves praise, having increased its target from 4,800 new homes to 5,022, and Worthing which has maintained its 4,000 target.

Brighton and Hove, under successive administrations, has had vision regarding the provision of housing, its economic success and that of the sub region. Far from Brighton and Hove trying to push housing need onto neighbouring areas, as claimed by the leader of Crawley Borough Council, the City Council is doing what it can but wider co-operation is necessary if we are to meet the housing needs of our children and others, and for the ongoing success of the sub regional economy.

 

We need to put an end to rough sleeping once and for all

A 21-year-old homeless woman was killed on Saturday night when a large spruce tree fell on the tent she was living in. Police said that three other people were injured by the tree which was brought down in the severe weather that lashed parts of the country at the weekend.

Last Thursday night, in terrible weather, colleagues from BHT, CRI, local authorities and the police did the annual headcount of rough sleepers in Brighton, Eastbourne and Hastings.  In Brighton the new official figure was 43, up six from the previous year.    There is a general consensus that the actual number is probably nearer 60.

Why is it in this day and age, in one of the richest countries in the world, do we still have people living on the streets?

There is some brilliant work going on by many agencies, and CRI’s No Second Night Out initiative is the latest in a long line of services that help people make that transition from street homelessness into accommodation.  The worker in this particular initiative has, over the last three months, engaged with 31 individuals , 30 of whom she has got into accommodation.

As we approach Christmas, members of the public are extremely generous to organisations such as BHT.  In fact, we rely on this generosity to sustain us throughout the year.  People are more inclined to donate at this time because it is the Season of Goodwill and because of the appalling weather that we are now experiencing.

Even though we are having gales blow down trees and flooding across the country, this is not regarded in government circles as “severe weather” and homeless people remain on the streets. Successive governments have had a policy that emergency provision only comes into being if the forecast has temperatures falling to below freezing for three consecutive nights.  Two nights of freezing weather, no emergency shelters.  Gales and flooding, similarly, no emergency shelter.

It is time that the government rethinks its policy for emergency shelters at times of severe weather.  Last Saturday’s tragedy could have been avoided.

Actually, a lot more is needed. We need to put an end to rough sleeping once and for all.

 

The case for advice, and the case for investment in advice services

One of the unfortunate aspects of politics over the last 20 years has been ‘Government by Anecdote’ where a handful of extreme cases are used to justify fundamental changes to the welfare state. For example, we have heard a great deal in recent months regarding people on housing benefit claim over £100,000 per annum. In reality, this has happened on just three occasions. I would agree that this is three cases too many. Unfortunately, such anecdotes are used to justify the wholesale changes to housing benefit provision currently being introduced.

Similar stories have been told regarding ‘fat cat’ lawyers getting rich on legal aid. The reality is that most legal aid practitioners work for far less than they could earn if they were in private practice. So why do they do it?

People sometimes have complex problems and sometimes they need technical and practical assistance to give them breathing space to get on with their lives. Such technical and practical assistance often comes from legal aid practitioners. They do it because it is the right thing to do, not because of the money.

If this specialist advice was to be lost, more individuals would flounder, with consequences for their health, their mental well-being, their homes, and their families. For society, the financial costs can be enormous. The cost of legal aid is small by comparison.

I believe Parliament has been short-sighted in deciding to restrict the availability of legal aid. But we are where we are. Legal aid is being restricted, saving the Treasury just £450 million a year. This saving may well be exceeded by the fall out of not ensuring that people are properly advised and represented.

One consequence of changes to legal aid provision is to put in jeopardy independent advice centres up and down the country. Shelter, for example, has recently announced that it will be closing eight of its legal aid centres.

BHT’s own legal aid centres in Brighton, Eastbourne and Hastings have an uncertain future. Our legal aid funding is likely to be reduced by about 40%, thereby undermining the financial viability of these services. Already they run at a loss of over £200,000 each year.

One of the tough decisions for local councils is to decide whether to fund such services. Everyone knows that local government is having to make huge savings from their own budgets. To expect them not merely to maintain their investment in advice services but to increase it might appear, on the surface, to be unreasonable.

Yet there is a strong case for increased investment. Take BHT’s Brighton Advice Centre. It advises and represents 4,500 residents of Brighton and Hove each year and prevents 2,500 households from becoming homeless.

BHT does its part.  We bring into the City over a £1 million from the Legal Services Commission, Big Lottery funding and funding for work in the private rented sector.

So what does Brighton and Hove get from this investment? First and foremost it ensures that its residents have a first rate legal aid centre so that those who might otherwise flounder, who need breathing space, can have their complex problems dealt with through specialist advice and representation.

Using the concept of the ‘Local Multiplier’, the £1.5 million cost of our Brighton legal services is worth over £4 million to the local economy. The Local Multiplier has it that investment in jobs within the local economy sees that investment recycled within that economy to the factor of up to 3 times.

All of this leads me to say how delighted I am that the draft budget for the City Council is seeking to invest in advice services provided by BHT and others.  This is a matter above party politics and I hope that there will be all-party support for this part of the council’s budget.

Bringing services and organisations together must be the way forward

Today we had an event to mark the co-location of BHT’s Eastbourne Advice Centre with Eastbourne CAB. The purpose of this is to improve the service for clients as well as to save money. BHT Advice in Eastbourne has moved from its old offices into Highlight House, the existing home of the CAB.

This move follows closely on the heels of the setting up of the Advice and Community Hub in Hastings where three advice agencies, CAB 1066, the Hastings Advice and Representation Centre (HARC) and BHT Hastings Advice, now provide their services under one roof.

This approach, a testimony to the farsightedness of all agencies concerned, must be the way things will be done in the future. The CAB is the best known brand and will inevitably attract the greatest footfall. It should not matter to the other agencies if one agency has a higher profile than the others. What is important is that those needing general or specialist advice know where to go. And most people know the CAB.

The future for advice services looks grim. We need to do whatever it takes to make sure that those in need of advice and representation have the best possible chance of receiving it. I am very proud of that BHT Sussex is working with other agencies in this way. I hope to see more of it in the future.

Eastbourne CAB and BHT’s Eastbourne Advice Centre can be contacted at Highlight House, 8 St Leonard’s Road, Eastbourne, BN21 3UH

Providing highly-rated support to men and women in Eastbourne

I have been sent quotes from clients of BHT’s Home Works project in Eastbourne which we run in a partnership with Southdown Housing Association. The service is funded by East Sussex County Council through the Supporting People programme.

“…the workers have given me more confidence and I can do things I couldn’t believe (possible)”

“…the support and guidance was amazing.  She has helped build my confidence and made me a stronger, happier person”

“…from start to finish my needs were met beyond my expectation……there is always room for improvement although since I have received such good support I fail to see where improvements could be made”

“I am in awe of the support that I have been given”

“…without doubt I would not still be here if not for you and your team…”

“…I have accessed Housing Benefit myself to get my rent paid directly to me after having meetings with my worker, I have more capability to do things on my own…”

“…..I was treated with respect and as an individual despite my disability, and my personal choice adhered to…”

What is great about Home Works is that men and women from across East Sussex don’t have to worry about approaching different organisations. It is just Home Works whether you live in Eastbourne, Hastings, Wealden, Rother or Lewes. You can be assured of a first class service whether it is provided by BHT or Southdown staff

If you live in Eastbourne, Lewes or Wealden, contact Home Works West on 01273 898700

If you live in Hastings or Rother, contact Home Works East on 01424 858341