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A thinktank popular with the Conservatives has called on government to offer incentives for social landlords who help their tenants into work, in a report welcomed by the Department for Work and Pensions (DWP).
In a report published today, the Centre for Social Justice (CSJ) has recommended that housing associations are rewarded for supporting residents who are on benefits, by means such as offering skills training and organising work placements.
The report claims the measures would trigger a surge in employment among those without jobs and save the taxpayer up to £3bn.
It found that households living in social housing are four times more likely to be out of work than those in private housing.
Housing associations, with their established personal relationships with tenants, are “best placed to support individuals facing barriers to work”, it argues.
The report cited the case of Yarlington Housing Group based in Somerset, which has helped 800 people back into work in three years. It says this boosted the local economy by £4m.
Currently, 40% of housing associations offer skills training and organise work placements.
Andy Cook, chief executive of the CSJ, said: “The fact that so many social renters are out of work is a great social injustice.
“Children in workless households are five times more likely to be living in poverty than children in working families. They are almost twice as likely as children in working families to fail at every stage of their education.
“At the moment housing associations are incentivised to boost supply, which is absolutely right, but they have the potential to be the catalysts for change too.
“The vast majority of those currently unemployed want to take control of their own lives. They want the sense of purpose and responsibility and the workplace community a job provides.”
A DWP spokesperson said: “Across our national network of job centres, work is taking place with housing associations to support people into employment.
“We welcome the encouragement of this initiative, and will continue to work with housing partners to help people overcome the employment barriers they face so they get the same opportunity as others to fulfil their potential.”
The CSJ was founded by former work and pensions secretary Iain Duncan Smith and Conservative journalist Tim Montgomerie in 2004.
It was regarded as one of the most influential on David Cameron’s government.
Read our article looking at how Universal Credit could be made to work better