Official figures masking true scale of homelessness problem

By The Press Association4th February 2015News EnglandAusterity, Benefits, Homelessness, News England, Poverty / Austerity, Welfare / Benefits

Rising numbers of people are facing homelessness in England amid a string of benefit cuts and a “woeful lack of affordable housing” – with an estimated 280,000 cases taking place last year, a report has found.

The research, published jointly by Crisis and the Joseph Rowntree Foundation (JRF), argued that official figures are masking the true scale of the problem, as councils are increasingly using informal approaches to tackle homelessness – such as assisting people with debt advice, help to stay in a tenancy or family mediation.

Trends uncovered in the report, which surveyed councils across the country, included growing numbers of people being forced to live away from their area amid a lack of affordable housing locally, and more people needing help to cope with debts.

Government figures show that just over 52,000 households were accepted as homeless in England in 2013/14, marking a 3% year-on-year fall.

But the analysis released by Crisis and the JRF found that, when official figures are combined with other steps being taken to combat homelessness, the number of cases in 2013/14 actually grew by 9% year-on-year to 280,070.

Those behind the findings said that the number of cases reflects the number of actions that councils said they had taken, both formal and informal.

They said that while it is not possible to tell from the number of cases how many households were actually involved, the general upward trend in people facing homelessness is “very clear” in the study – which has been running for five years.

The report, which was commissioned to look at the impact of the Government’s welfare and housing reforms, includes people sleeping rough and people living in hostels or other temporary accommodation.

“Hidden homeless households” are also captured in the report, such as those living in severely overcrowded conditions, squatters, and people “sofa surfing” around the homes of friends or relatives.

The latest research, which was carried out among England’s 326 local authorities in early autumn last year, found that only one in 10 councils think the homelessness impacts of welfare reform had largely run their course – and most (53%) fear worse is to come over the next two years.

Jon Sparkes, chief executive of homeless charity Crisis, said: “Council officials are clear that benefit cuts and sanctions are taking a dreadful toll on people’s lives, with rising numbers facing the loss of their home at a time when councils are being forced to cut services. This is a desperate state of affairs.”

He said that with a general election looming: “We want to see manifestos that commit to tackling the woeful lack of affordable housing, reviewing sanctions and cuts to housing benefit and to funding and supporting local homelessness services.”

The Homelessness Monitor report found that problems are particularly acute in London, where a “prime structural contributor to homelessness” is a shortfall in the level of new homes being built to cope with levels of demand.

In London, councils face a particular problem in finding people affordable housing in their local area, according to the findings. Services expressed particular concerns over women fleeing domestic violence being housed away from family and friends.

And more people are being forced to live away from their local area across the country generally, the report found. Almost one in four (24%) placements last year were “out of area”, marking a 26% year-on-year increase.

Councils are also dealing with rising numbers of debt problems. In 2013/14, councils dealt with 50,000 cases of debt advice or financial assistance, showing a 47% year-on-year increase.

The findings also suggest a sharp increase in the number of people becoming homeless after losing their privately-rented home, which now account for 30% of cases.

The report said that this is due “in large part” to housing benefit cuts, which are making it harder for councils to rehouse people who lose their home.

One council representative told the survey: “It takes time for people to get into difficulties due to benefit reductions… I don’t think we have experienced (even) the tip of the iceberg yet.”

Councils were particularly concerned that the impact of the “bedroom tax” is yet to be fully felt and is currently being masked by a combination of discretionary housing payments and landlord forbearance.

The removal of the spare room subsidy, or bedroom tax, deducts money from housing benefit where a household has more bedrooms than residents, with some exemptions.

The research was compiled by academics based at Heriot-Watt University, the University of New South Wales and the University of York.

Julia Unwin, chief executive of the JRF, said: “If we are to prevent a deepening crisis, we must look to secure alternatives to home ownership to those who cannot afford to buy – longer-term, secure accommodation at prices that those on the lowest incomes can afford.”

Campbell Robb, chief executive of Shelter, said: “These shocking findings make it clear that the official homelessness figures are only the tip of the iceberg.

“Behind these statistics stand thousands of people and families faced with the trauma of losing their home. We speak to parents every day who are forced to cut back on essentials or even skip meals as they battle against the spiralling cost of housing.”

Mr Robb said the failure of successive governments to build enough affordable homes and a “safety net in tatters” mean that the situation “can only get worse”.

But Homelessness Minster Kris Hopkins said: “These claims are misleading and the fact is statutory homelessness remains lower than in 27 of the last 30 years.

“The figures include those who councils have helped avoid being made homeless as well as those accepted as homeless and shows the wide range of options available to help prevent homelessness in the first place.

“This Government has increased spending to prevent homelessness and rough sleeping, making over £500 million available to local authorities and the voluntary sector.

“Our support for the No Second Night Out and StreetLink initiatives have helped thousands of vulnerable people off the streets and we’ve provided Crisis with nearly £14 million in funding which will help around 10,000 single homeless people find and sustain accommodation in the private rented sector.

“However, we’re determined to do more through our £15 million Fair Chance Fund that will help 1,600 of the most vulnerable homeless young people get their lives back on track and the £8 million Help for Single Homeless Fund will improve services for around 22,000 single people with multiple needs.”

A Government spokesman said: “This report is misleading. Homelessness is at one of the lowest levels for the last 30 years and official evaluation does not show a link to welfare reforms – which are focused on helping people improve their circumstances.

“As the report itself says, a ‘wide definition’ of homelessness is used including people staying with friends or relatives.”

Shadow housing minister Emma Reynolds said: “This report reveals the extent of rising homelessness in England. It’s a tragedy that so many people are without a home or struggling to keep a roof over their head.

“It’s clear that David Cameron has broken his promises to tackle homelessness. Rising housing costs and low pay have made it more and more difficult for people to stay in their home.

“The Tory-led Government has presided over the lowest levels of housebuilding since the 1920s, a drop in the number of affordable homes being built and policies like the Bedroom Tax have made things even worse.

“Labour is committed to tackling homelessness and the housing crisis by building more affordable homes, getting a fairer deal for private renters and abolishing the unfair Bedroom Tax.”