Income Support (Hansard, 19 October 1988)

§ Mr. Scott

As a result of monitoring the operation of the new social security scheme, we have concluded that there is scope for improving the arrangements for helping homeless people. We are therefore taking the following steps.

First, we are issuing further guidance to local offices to ensure that claimants are paid their full income support entitlement as soon as possible after the start of a claim. This will draw attention, in particular, to the power to pay some benefit in the first week of a claim, including a full week's board and lodging payment if this falls due during the period covered.

Secondly, we will be expanding the guidance in the social fund manual to ensure that officers dealing with crisis loan applications are aware of the potential risks to health and safety that may be faced by the homeless. Crisis loans may be available in advance of the normal income support pay day to meet accommodation charges, including the payment of rent in advance.

Finally, we are extending the direct payment arrangements. Existing provisions allow for the accommodation charge within income support to be paid direct to a hostel from the start of a claim if the hostel is akin to a resettlement unit or provides facilities for alcoholics or drug addicts. We will be extending these arrangements to cover all hostels. This should help more claimants to secure accommodation.

We continue to believe that payment of income support in arrears is the most sensible arrangement for the majority of people below pension age. This is in line with the way wages and other benefits are normally paid.

In addition, landlords providing board and lodging accommodation were informed of the new payment arrangements before income support was introduced and

Caseload and costs of the community charge benefit scheme—latest estimates
	Community charge benefit	Rate rebates
	caseload thousands	(individuals) thousands	Cost £ million	caseload thousands	cost £ million
England	6,860	(9,380)	1,525	5,115	1,265
Scotland	780	(1,040)	165	600	160
Wales	440	(600)	60	295	45
Great Britain	8,080	(11,020)	1,750	6,015	1,470

Notes:

1. The caseload figures in columns one and four are take-up estimates of numbers of claimants. They thus treat both partners in a married or unmarried couple as one. Column two gives the estimated number of individuals who would receive community charge benefit.

2. The rate rebate figures are estimates for 1988–89.

3. The community charge benefit figures are based on a maximum benefit of 80 per cent, of liability and a prescribed taper of 15 per cent.

The current housing benefit rules for assessing the levels of the applicable amounts, the treatment of capital and income and a minimum benefit of 50p per week per claim have been used throughout. The figures are based on the most recent illustrative estimates of what community charges would have been in 1988–89 had they been in operation.