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Welsh Government in housing grant U-turn

Ministers in Wales have agreed to launch a new housing-related grant for vulnerable people, dropping previous plans for a poverty prevention mega-grant.

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Picture: Getty
Picture: Getty
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At last year’s budget, it was revealed that the Welsh Government intended to merge Supporting People – a £125m programme which sees councils given cash to fund housing support services for vulnerable people – with nine other grants to form an Early Intervention, Prevention and Support Grant.

Service providers receiving Supporting People money to pay for homelessness support schemes and projects aimed at helping disabled and older people in their homes widely criticised the move.

They warned the grant merger could lead to effective cuts in funding as cash-strapped local authorities divert the funds to other areas.


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In June, 10 housing and homeless bodies in Wales, including Community Housing Cymru (CHC), Cymorth Cymru and the Chartered Institute of Housing Cymru, published proposals for a new Homelessness and Housing-Related Support Grant, which would see four housing-related grant streams rolled into one.

This week, the Welsh Government announced that “after carefully considering” the experience of pathfinder councils for its poverty prevention grant, it now intends to pursue two separate grants, one housing-related and one non-housing-related.

Inside Housing reported in August that officials were carrying out scoping work for a new housing-related grant.

The new grants – called the Housing Support Grant and the Children and Communities Grant – will come into effect from April 2019.

Rebecca Evans, housing and regeneration minister for the Welsh Government, said: “We are grateful to those who have played a crucial role in testing the Early Intervention, Prevention and Support Grant, we have listened to the outcomes of the evaluation and understand the need for stability in the planning and delivery of these crucial services.

“We will support the sector to make a success of this new structure and are united in our commitment to improve outcomes for individuals and communities who benefit from services funded via the grants.”

Alun Davies, local government and public services secretary, said the two grants “will ensure these crucial preventative services are integrated as effectively as possible”.

The Housing Support Grant will combine Supporting People, Homelessness Prevention and Rent Smart Wales enforcement.

“At a time when budgets are tight and financial pressures are impacting on services, we are pleased Welsh Government has acted to protect funding for homelessness and housing-related support in Wales,” said Stuart Ropke, chief executive of CHC.

“This decision will provide housing associations with greater stability and certainty to plan services for the long term, and allow us to work closely with Welsh Government to review and improve on current services.”

Katie Dalton, director of Cymorth Cymru, said: “Now more than ever, it is essential that we retain a sharp focus on homelessness and we are extremely pleased that funding will continue to be targeted at services that address this issue and support people to live independent and fulfilled lives.”