Cuts risk undermining progress in tackling homelessness in 4 in 10 areas

Survey reveals 'unjustifiable' spending cuts being planned by 41% of councils.

Figures released today reveal the extent of cuts being planned by many English councils to funding for housing related support services. 

Launched at an event to celebrate the impact of the services that support homeless people, ‘Counting the cost of cuts’ details the planned reductions by 84 local authorities to ‘Supporting People’ funding, as well as the impact that 500 homeless charities think this will have.

In 2010, the Government announced that local council budgets would be cut from 2011/12, but urged them to protect services for the most vulnerable people. The national budget for tackling homelessness, much of which goes to local authorities, was not cut and the overall cut to Supporting People funding was kept at 2.7% for 2011/12. There was variation in how this affected individual councils.

Homeless Link has been tracking the decisions that are being made by the local authorities who control funds for housing related support and speaking to local services about what the plans are likely to mean for them. The findings indicate that:

• 41% of these councils are cutting their budgets by more than they have lost from central Government;
• 14% are making like for like cuts; and
• 45% are reducing their budgets by less than the amount they have lost from central Government.

The amount by which councils are planning to reduce their Supporting People budgets varies widely, with funding reductions ranging from 1% - 45%.

Homeless Link represents homelessness charities working in England. They have over recent years, made huge progress in supporting vulnerable homeless people to gain skills and back into employment and housing. The success in moving people out of homelessness and into independence improves not only the well being of the person concerned but also helps the communities that in the past were blighted by the symptoms of homelessness. 45% of authorities are making “protective cuts” that reflect their understanding of the widespread value of this work. However, 41% are hitting this work disproportionately.

According to Homeless Link’s survey of 500 homeless service providers, the planned cuts could result in support for the most vulnerable being severely hit in many areas. Homelessness organisations are facing an average funding cut of 25%, with the number of bed spaces in England predicted to fall by 16%. Charities fear that day centres, accommodation and support services may have to close and many think they will have to lay off front-line staff.

These cuts come at a time when 77% of accommodation services are running at full capacity, with pressure likely to increase in the current climate.

Commenting on the findings, Chief Executive of Homeless Link, Jenny Edwards said:

“Homelessness services do more than just provide a bed, they give a reason to get out of it. They help people who have hit rock bottom to regain their confidence, gain skills, sort out health issues and move on into homes and jobs. Research shows that this work is good for the community and the public purse as well as life changing for the people concerned. 

“Councils that have taken action to protect services that support homeless people recognise this value. But others are making cuts that make no long-term sense, are disproportionate, hit some of their most vulnerable residents and cannot be justified.

“The evidence is clear, if you cut homeless services today, communities are highly likely to pay tomorrow - seeing higher rates of addiction, ill health and anti-social behaviour. We call on people to campaign for their local services that support these most vulnerable homeless people and to let their councilors know that this matters to them.”

The report recommends steps that councils can take to reduce the impact on homeless people, which include:

• Working closely with charities to identify and trial new ways to prevent homelessness;
• Jointly commissioning services with neighbouring councils; and
• Extending the length of contracts and reducing the administrative demands on charities so they can focus resources on the frontline. 

To download the report, including a list of local authorities, visit www.homeless.org.uk/cuts2011.