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Local support to replace Community Care Grants and Crisis Loans for living expenses

27 June 2011

The Government has now responded to the call for evidence on the ending of discretionary payments under the social fund (community care grants and crisis loans). The abolition of these payments is being introduced in part 3 of the Welfare Reform Act, currently going through parliament.

Background

This DWP call for evidence, published February 2011, sets out the Government’s proposals on local delivery of assistance to replace community care grants and crisis loans for general living expenses.

It sets out our plans for delivery by local authorities in England in more detail and invites involvement in discussions about how the locally-based service could be designed and administered. We would value your contribution.

The intention is that the new locally-based assistance will be implemented from April 2013. At this point community care grants and crisis loans will be withdrawn.

There will be no new statutory duty requiring local authorities to deliver the service. The new assistance will be delivered in England using existing powers in the Local Government Act 2000.

However, to support the transition the Secretary of State will write to local authorities to set out the Government’s policy expectations for the new funding.

The closing date for responses was 15 April 2011.

You can view DA's response to this consultation, made on behalf of the Disability Rights Partnership, at www.disabilityalliance.org/r70.htm.

The Government's response

The structure of the new scheme will be up to local authorities to decide but the Government response states:

• The eligibility criteria for the new scheme will be up to local authorities.
• The government considers that the new scheme will be a grant scheme though the response leaves it open to local authorities to operate a loan system or even a goods system in place of cash (both of these are unlikely to happen). For those who require bespoke and adapted items, there may be some potential for linking the new service with other existing support such as the Disabled Facilities Grant which funds adaptations to the home, to provide a 'more holistic package of support at the point of need'.
• There will be no statutory right of appeal. It will be up to the local authority to devise a complaints system. It is likely that this will be similar to that already in existence, in which case the advice in our Factsheet F6 - complaining about local authority decisions would apply.
• The Government is considering publishing central guidance on the new scheme, in consultation with the Local Government Association. The government will be looking to identify the aspects of the new service that local authorities are seeking guidance on and how this can best be achieved.
• Local authorities can, if they wish, contract out the scheme or enter into contracted partnership arrangements with neighbouring authorities where this would be mutually beneficial.

DA says:

We are particularly disappointed with the Government refusal to ring-fence funding or issue minimum standards. The Government acknowledges the high level of concern for funding to be ring-fenced but chooses to ignore the issue in the aim of not ‘burdening’ councils. This is a massive disappointment for disabled people who will be most at risk of losing support through Government plans.

Disabled people are twice as likely to live in poverty as other citizens and are more reliant on support of this nature. To fail to allow minimum standards across the country, or a ring-fenced and accountable system inevitably risks vital support not reach disadvantaged disabled people and their families at times of crisis and is deeply regrettable.

More information

• consultation and response - dwp website

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