Support for housing costs in the reformed welfare system: Evidence from the national domestic violence charity Refuge

Transcription

1 Support for housing costs in the reformed welfare system: Evidence from the national domestic violence charity Refuge 1. Executive summary 1.1 The majority of women using our services have been systematically financially abused by their partner. The housing payment proposals within Universal Credit further disadvantage women and children escaping domestic violence. 1.2 Of particular concern are women with more than two children because the more children a woman has the more likely it is she will exceed the benefit cap and therefore be penalised by having her housing payments reduced. 1.3 This, coupled with localised arrangements for local welfare assistance for women who are forced to move home because of domestic violence, is having a huge impact. The changes to housing payments and localised funding are very likely to lead to increased levels of homelessness, increased levels of debt and may ultimately mean that some women may feel they have no choice other than to either remain with, or return to, a perpetrator of domestic violence. 1.4 Another matter of concern regards women who choose/need to stay in their own homes because they have had sanctuary measures installed in a separate room for safety purposes. With the application of the under occupancy tax this arrangement has become unacceptable. Refuge is therefore asking for the women who have sanctuary measures in their homes to be exempt from the under occupancy tax. 1.5 Refuge is becoming increasingly concerned that the continued delay in resolving the issue around exempt accommodation status for refuges is resulting in uncertainty and inconsistent decision making by local authorities. In addition to this, unacceptable delays in administration of discretionary housing payments are resulting in growing financial implications for Refuge. We would ask that a decision is made quickly. 2. Introduction to Refuge 2.1 Refuge, a registered social landlord, opened the world s first refuge in 1971 and is now the largest single provider of specialist domestic violence services in the country. On any one day, we support 3,000 women and children through our national network of services. These services include: Freephone 24 Hour National Domestic Violence Helpline: run in partnership between Refuge and Women s Aid, the Helpline provides support to 400 women on a daily basis and acts as the national gateway to domestic violence services across the country. Refuge accommodation: Refuge runs 36 refuges across 16 local authority areas. In total these refuges support almost 600 women and children on any one day. They include culturally specific refuges for South Asian and African-Caribbean women. Floating support: Refuge supports over 200 women and children on any one day through this service which works with women who are either still living with the abuser and/or those who have left the abuser and who require support. 1

2 Community outreach scheme: Refuge reaches out and provides support to women from ethnic minority groups through this scheme, including Vietnamese and East European women from Bulgaria, Poland and Romania. Independent advocacy: Refuge s independent domestic violence advocates operate across London, Coventry and Warrington. At any given time, each Independent Domestic Violence Advocate (IDVA) has the capacity to support a caseload of women for an average of three months, each supporting around women per annum. Child support workers: Providing valuable support to children in our refuges and outreach services. Prevention and education: Refuge raises public awareness of domestic violence through award-winning pro-bono campaigns and campaigns for better provision of services and protection for women and children experiencing domestic violence. 3. About domestic violence 3.1 Two women are killed every week in England and Wales by current or former partners and one in nine are severely physically abused each year. In 90% of domestic violence incidents, children are in the same or the next room. 38% of women calling the 24 Hour National Domestic Violence Helpline (run in partnership with Women s Aid) are in immediate danger and need to escape with their children to emergency safe accommodation. Victims of domestic abuse are at greatest risk of homicide when they are attempting to separate from a violent partner. They often leave everything behind and arrive with very few possessions. 3.2 Research by Refuge found that 80% of women accessing its services had experienced financial abuse, and the majority of those women were what the Government considers to be financially excluded. Around one-third of women accessing Refuge s services do not have a bank account. Prior to April 2013 a large number of women in refuges would have applied for a Crisis Loan either prior to coming into a refuge or whilst in a refuge due to financial abuse. Often, at point of entry into a refuge, women will arrive with no money and few (if any) personal possessions for themselves or their children. 4. The impact of the exempt accommodation status of refuges on women 4.1 The definition of exempt accommodation remains a serious concern for Refuge. The Prime Minister stated in a recent Liaison Committee hearing that he would be discussing this issue with the DWP, to ensure that refuges are not impacted by the changes. Refuge also understands that the DWP plans to add a second type of housing category which will not be subject to universal credit, the bedroom tax or the total benefit cap. This housing will be either designed or designated to provide support to the resident; but only where that the support provided to the resident is funded by a public body. This type of housing would still be subject to the general housing benefit rules on maximum charges but, will be potentially/make allowances for excluded tenancies where the council has the discretion to meet the charge and get full subsidy. It is therefore likely that refuge provision would fit within this new housing category. 4.2 However we do have some concerns about this. The DWP should be aware that allowing local authority discretion can in some cases be an issue. Often local authorities refer rents to a rent officer for assessment and once they do this they lose the right to exercise discretion and are bound by the rent officer s determined figure. In the case of refuges, rent officers often do not have a like for like comparison for determining rent and often compare specialist refuges with 2

3 generic hostel provision, where rents are much lower. In one particular area where our accommodation meets the exempt definition, the local authority still chose to refer our rents to the rent officer. Following assessment our rents were reduced which resulted in a tribunal appeal. Whilst we were successful in our tribunal claim this took two years to resolve during which time the service ran at a substantial deficit. That deficit and additional cost had to be funded by Refuge. Smaller refuge providers could not survive in such circumstances, and Refuge will only survive like this for so long. 4.3 To date three local authorities who fund Refuge to provide supported accommodation have taken the decision to review the exempt status of refuges in their area and having disallowed the exemption are now applying the benefit cap to women. The level of reduction in one particular refuge where six women are affected ranges from for one woman to for another. 4.4 These local authorities have encouraged women to claim discretionary housing payment to subsidise the shortfall. However all decisions on claims are still outstanding, with average delays of weeks. This means that Refuge is again subsidising a deficit in rental income for an extended period of time. 4.5 Refuge is also mindful that both the level of discretionary housing payment and the length of time a payment will be made for are arbitrary. Indications to date show that any payments which are being made will only meet short-term needs, this is because funding is limited and as it is no longer ring-fenced there are many other competing issues after the same pot of funds. 5. Localised arrangements for social welfare assistance 5.1 Whilst the local arrangements for wider/more general financial support in a crisis are not within scope of this particular call for evidence, Refuge is concerned about the compound impact of the numerous welfare reforms on women and children experiencing domestic violence. The discretionary elements of the Social Fund, which have traditionally been an important resource for vulnerable families in crisis, are crucial to women who are forced to set up new homes because they are fleeing domestic violence. 5.2 Although most local authorities are providing local support, there is no statutory responsibility to do so and local authorities are being asked to provide support with less funding. 5.3 Local welfare support has been reduced and redesigned and this could lead to increased levels of homelessness, increased levels of debt and may ultimately mean that some women may feel they have no choice other than to either remain with or return to a perpetrator of domestic violence. 5.4 Many authorities have been granted inadequate amounts for the set-up of the new processes and systems for administering the new welfare assistance support. This has meant that despite good intentions they are lacking in the necessary infrastructure and staffing skills to implement a new local welfare assistance service and this has caused problems. 5.5 In addition the absence of ring-fenced funds and no central guidance on determining eligibility for local welfare assistance has resulted in inconsistency and in some cases inappropriate criteria for assistance being used which really does not meet need the needs of women escaping domestic violence. To illustrate, in one county district, the amount of social fund 3

4 available for all client groups is less than was paid out last year for two thirds of just domestic violence service related claims. This means the local pot of money is unable to meet the needs of women escaping domestic violence domestic violence let alone any other client group. 5.6 The moves women are forced to make to escape domestic violence are becoming more difficult. Many women have no financial resources and having to move further entrenches their financial difficulties. Moving to a new home, where basic items such as beds and white goods are not provided, can mean a woman faces a stark choice to either accept a significant drop in living standards or increase her levels of debt in order to receive essential goods. In one case where a woman was moving from a refuge, the woman approached social services for financial help for her children but was told this was not possible. Instead social services told the woman that they would be prepared to take the children in to care. 5.7 As a result specialist domestic violence support workers have to spend more and more time trying to source the basic essentials for women such as food, clothes, beds, furniture and white goods. This is thereby having a knock on cost impact to Refuge. 5.8 The new welfare reform processes, which are meant to have been designed to provide help, are at risk of further narrowing options for women and children escaping domestic violence. Welfare reform must not place additional burdens on women who are trying to regain control of their lives and recover from financial abuse. 6. Under Occupancy Tax 6.1 Some women who have used sanctuary schemes to improve the safety of their homes are now being told they must pay the under occupancy tax on their properties because they have a spare bedroom. If women cannot afford to pay the under-occupancy tax, they may have no choice other than to leave a home where considerable investment has been made in installing measures to keep them safe. We also know of a woman who is being asked to pay council tax and the under occupancy tax on her existing property whilst she is staying in a refuge. This situation is likely to be happening to many other women in this country and needs to be redressed. 6.2 In many areas there is a shortage of smaller accommodation; in particular one bedroom properties are very scarce. This limits women s options, meaning that some women will have to leave areas where they have built up a network of support because they cannot afford to stay in their community. 6.3 If a person is on benefits, any additional payments they have to make as a result of the under occupancy tax or, for example, Council Tax could push them towards debt, poverty and material deprivation. Those who do not have a network of support are likely to become more vulnerable. 7. Recommendations 7.1 The Government should expedite the decision on the definition of exempt supported accommodation. 7.2 Local welfare assistance should be ring-fenced to ensure those in priority need get the help they need. 4

5 7.3 The under occupancy tax should not apply to women who have sanctuary measures installed in their properties. 7.4 The government needs to look into the compound impact of the welfare reforms on women and children experiencing domestic violence. 5