1. Stockton Council Scrutiny Review of Financial Inclusion & Welfare Reform 23 January 2014 Kath Heathcote – Director of Financial Inclusion & Housing Nicola Hall – Director of Communications & Performance

2. Five Lamps - Integrated Service Portfolio Work Programme Family Wise Get On In Life (GOIL) Evening and weekend youth club activities Personal Loans Helping Hand Welfare Assistance Warm Homes Healthy People HMP Kirklevington Empty Homes New Enterprise Allowance Loan and Mentoring Service Enterprise Workshops Start-Up Loan Fund Mybnk Economic Development Employability To have a positive impact and increase employment figures in Stockton- on- Tees, by supporting people to access training and sustainable job opportunities Enterprise To have a positive impact and increase employment figures within the Tees Valley, by supporting people to start their own businesses. Youth Services To provide NEET young people with skills and qualifications to prepare them for employment. To provide a range of evening and weekend activities for young people to raise their confidence and aspiration. Financial Inclusion & Housing To provide affordable credit and financial support to financially excluded individuals across the North East, enabling them to move away from their reliance on unaffordable or illegal credit. To reduce the number of long term empty properties

3. Financial Inclusion Personal loans –15,000 loans to financially excluded individuals –APR 49.9% - 89.9% –7 day turnaround –42% of the UK CDFI lending by loan volume –Responsible lending Debt Advice –First stage debt advice –Capacity Builders –Mybnk Energy Debt Advice –Warm Homes Healthy People –Big Energy Savings Network

4. Welfare Assistance Abolition of the DWP discretionary Crisis Loan and Community Care Grant elements Local Authorities have commissioned new Welfare Assistance schemes Five Lamps have been successful in securing contracts to deliver services for three local authorities, in varying capacities, which in turn has provided the organisation with invaluable data including emerging themes and key trends. –Back on Track (Stockton Council) –HAND (Durham Council) –NETs (Northumberland Council)

5. Back on Track: Aims Crisis Support This may be awarded when there is an immediate need for items or services such as food, fuel payments, baby consumables, clothing or emergency travel. Settlement Support For those applicants who find themselves in a period of transition or resettlement, such as moving back into the community after a stay in supported or unsettled accommodation and can be assisted with the provision of items including white goods, furniture and flooring etc.

6. Back on Track – Progress to date

7. Comparison with other schemes

9. Level of Demand – Key Findings The anticipated floodgates did not open on 1st April 2013 Figures produced by DWP were not comparable to the way Local Authorities set up and administered their funds and therefore like for like spend cannot justifiably be compared “Social Fund” culture Some argue that the decrease in number of awards from the DWP scheme is owing to the scheme being administered more robustly and the fact that needs are met by means other than a cash payment. Additional factors to consider, notably a lack of awareness of schemes

10. Level of Demand – Key Findings Common themes presented by applicants submitting eligible applications include; Crisis/Emergency Support Lost or stolen wallet/purse Poor budgeting skills On-going debt issues Ongoing benefit issues including sanctions, appeals, rapid reclaims etc. Settlement/Transitional Support Issues with private landlords Family breakdown Fleeing domestic violence Release from short/long term hospital care/prison Unable to continue with maintenance and upkeep of exiting residence

11. Back on Track: Reasons for customers not being eligible for support

12. Back on Track - Signposting

13. Back on Track - Awards

14. The future of social fund as a local service Challenges Only 6 months operational data Has impact of welfare reform hit yet? Reviewing pilot and criteria Gaps in provision – paper submitted to Officers for further discussion Anticipated spend v actual Links with other discretionary funds Funding post March 2015

15. Concluding thoughts Five Lamps due to publish report “Lessons learned & best practice in WA provision” March 14 Some authorities have found stakeholder consultation events useful in reviewing and amending schemes Continuing financial pressures – possibility for shared LA scheme – economies of scale Opportunities for WA schemes to be broadened to meet other needs as a consequence of welfare reform