88% of local authorities admit that housing support cuts will ‘put vulnerable people at risk’

Promoting Independence Report

Almost 9 out of 10 (88 per cent) local authorities admit that cuts to housing support ‘will put vulnerable people at risk’ and more than 90 per cent say they ‘will create more costs elsewhere in the system’, according to a major new report published today.

Promoting Independence Report (1.2 MB)

These are the findings of ‘Promoting Independence: the future of housing related support’ - published by the Local Government Information Unit (LGiU) and Circle Housing Group. The research, into cuts to Supporting People (SP) budgets, surveyed 139 local authorities in the UK.

The report also found that while 93 per cent of respondents agreed or strongly agreed that Supporting People services have been successful, 44 per cent reported that they were reducing the level of service they could offer in order to make savings.

Supporting People (SP) budgets – which include housing related support – are designed to support the most vulnerable to live independently. This includes helping older people, the homeless, people with mental health problems and women at risk of domestic violence. Local authorities’ SP budgets are no longer ring-fenced but are rolled into the Government’s formula grant, which includes allocations for other services.

The report revealed the true benefits of investing in these crucial services. Some councils are rising to the challenge and developing innovative ways of saving money and increasing efficiency while protecting front-line services. Councils who measured their outcomes for every £1 spent on Supporting People showed they saved an average of £2.63. Ten local authorities who invested in housing related support undertook local research regarding the impact of these services found that it saved them an average of £13.5 million a year. This is equivalent to the amount a County Council might spend on youth services each year.

What are 'Supporting People' services

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Recommendations

LGiU and Circle are calling on national government to prioritise support for local community budgets. This would see spending by different departments and agencies pooled within a geographical area to improve efficiency and measure savings.

Communities and Local Government is currently piloting community budgets in 16 areas and plans to roll-out the scheme nationally in 2012-14.

The report also calls on councils to recognise the importance of preventative support services and nominate one portfolio holder who moves across service areas. Councils should also continue to collect outcomes data on housing related support services, to show the benefits and strengthen the case for these services to continue.

Key findings from Promoting Independence

On the financial case for SP services

“The costs of supporting the individual through SP are lower than the overall costs of either withdrawing or reducing support, or of switching to a more intensive form of support offering a lower degree of independent living”

On savings to the public purse

“Savings to the public purse delivered by SP are of benefit to agencies other than the council…the programme is particularly valuable to the NHS and the Police, in the form of lower rates of admission to hospitals, or fewer incidents of anti-social behaviour.”

On the outcomes of SP services

“90 per cent of service users maximised their income; 73 per cent obtained settled accommodation and 88 per cent developed confidence and the ability to have greater choice and control of their lives.”

Positive action by Local Authorities:

In spite of these difficult circumstances, many councils are developing innovative ways of to promote independent living while increasing efficiency. These included:

  • Personalisation - 73 per cent of local authorities surveyed said that individual budget models would deliver better outcomes for service users in the future.
  • Payment by results – This has allowed some councils to get more from their contracts. 77 per cent of respondents thought that payment by results for providers would be very important in the future.
  • Telecare - 90 per cent of respondents identified telecare as a critical area for the delivery of services in the next five years.

Mark Rogers, Chief Executive of Circle, said: “Investing in housing related support gives people real independence by enabling them to remain in their own homes for longer, and saves councils and the taxpayer millions in expensive acute services. This report shows the value of these services in both social outcomes and financial savings and provides the evidence for champions of housing related support to fight for these services at a local and national level.’

Andy Sawford, Chief Executive, Local Government Information Unit (LGiU) said: “The Supporting People programme has helped many vulnerable people in society to live more independently. All the evidence shows that this leads to healthier and happier lives, and less cost to the state in the long term. We recognise that councils face severe funding pressures but we hope that our research will encourage them to maintain Supporting People and similar preventative approaches. We also have a message for government, to stop procrastinating on community budgets and press forward, with support across Whitehall, so that at a local level councils can connect up funding to improve preventative services and make savings”.

Promoting Independence Report (1.2 MB)

ENDS

Notes to Editors

Case studies are available on request

For a copy of the full report please email katie@insightpa.com

About Circle

Circle is one of the UK’s leading providers of affordable housing. With a dedicated team of more than 2,200 staff, Circle manages more than 63,000 homes, including supported and sheltered housing, for around 200,000 people across the UK. Its mission is to enhance the Life Chances of its residents by providing great homes and reliable services, and building sustainable communities.

The Circle Group includes 12 partners. Nine registered providers (RPs): South Anglia Housing, Wherry Housing Association, Old Ford Housing Association, Circle 33 Housing Trust, Merton Priory Homes, Mole Valley Housing Association, Mercian Housing Association, Roddons Housing Association and Russet Homes; two support and care partners: Circle Support and Invicta Telecare, as well as Circle Living for sales and marketing and management of shared ownership, market rent and private sale properties, and property repairs.

About LGiU

The LGiU is an award winning think tank and membership organisation. Their mission is to strengthen local democracy by putting citizens in control of their own lives, communities and local services. They work with local councils and other public services providers, along with a wider network of public, private and civil society organisations.

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