Acceptance and Distribution of Household Support Fund - supporting our most vulnerable residents in their time of need

June 8, 2023 Cabinet (Cabinet collective) Approved View on council website
Full council record

Decision

For the reason set out in
the report and its appendices Cabinet RESOLVED to AGREE:
 

i) 
To accept the Council’s allocation of the
Household Support Fund of £6,678,390;

 

ii) 
The distribution of the Household Support Fund of
£6,678,390 (to be spent from 1
April 2023 to 31 March 2024) via the approach as set out in
Appendix 1; and.

 

iii) 
To authorise the Corporate Director of Inclusive
Economy and Housing, in consultation with the Lead Members for
Inclusive Economy and Housing and Children’s Services and
Education, to commence and undertake roll out of the fund through
the Our Newham Money service, to ensure delivery to residents most
in need, by 31March 2024.
 
Alternatives
Considered
 

i) 
Officers have suggested the distribution of funds as
set out in appendix 1 as the most preferred approach.

 

ii) 
Although this is a discretionary grant, there is
guidance which restricts the use of the funding. The DWP
guidance states that ‘Authorities have the ability to deliver
the scheme through a variety of routes including providing vouchers
to households, making direct provision of food, or issuing grants
to third parties. Authorities have the local ties and knowledge,
making them best placed to identify and help those most in
need’.
 

iii) 
Given the timescales and the significant grant
amount we need to identity a suitable distribution method to suit
Newham.

 

iv) 
3 distribution options were explored:

 

a) 
Firstly - A direct claims approach to the Council
where residents are informed of the fund and the eligibility
criteria and they simply send in a claim.

 

This approach is not preferred – there are
many disadvantages including danger of high demand and a slow
response time from LBN with possible reputational damage. Residents
may not be aware of the fund or how to apply

 

b) 
Secondly - Outsource the distribution function to a
commercial provider.

This approach is not preferred because it is a
potentially more expensive and time consuming option requiring a
significant procurement approach which would allow at best only
limited operational time within the distribution period. The
provider would likely have no local specialist knowledge, and again
it would represent only one route to reach the most vulnerable,
seldom engaged residents. It would fail to take advantage of
partners in the VCFS who have a track record in working with the
Council to distribute hardship funds. 

 

c) 
Thirdly - a cross departmental and cross partner
approach led by Our Newham Money that enhances additional Council
led hardship funds, but also works with a number of departments
within the Council and VCFS to give a variety of routes to reach
the most vulnerable, seldom engaged residents as quickly and
efficiently as possible. As the funding must be distributed by 31
March 2024, this represents the most efficient time and effective
delivery model.

 

The paper recommends the third option - creating a
system that identifies and reaches our most vulnerable residents
matching demand, supply and speed of distribution optimally whilst
working closely with many valued partners.
 

Supporting Documents

05. Household Support Fund Cabinet Paper Final 250523 BU.pdf

Details

OutcomeDecision approved
Decision date8 Jun 2023
Subject to call-inYes