Select Committee on Office of the Deputy Prime Minister: Housing, Planning, Local Government and the Regions Minutes of Evidence


Examination of Witnesses (Questions 100-117)

COUNCILLOR ANGELA HARVEY, MR STEVE MOORE, COUNCILLOR TONY NEWMAN AND MS GENEVIEVE MACKLIN

30 NOVEMBER 2004

  Q100 Mr Clelland: The supply is uneven across London. Is this not something which is really too big an issue for the individual boroughs to deal with? Should this not be a GLA issue, the whole question of homelessness in London?

  Cllr Newman: I think there is a role for the GLA, but if you look at how well local borough homelessness strategies have worked, and the word "local" is key here because in boroughs of between 100,000 and 300,000 people, these are significant-sized places, having a local input into the local need I think is critical. The ALG and the GLA have worked together on some projects, and Notify is a project where information about those people who move into temporary accommodation in London is shared, and I think a balanced approach where it is right to have a London view and pan-London information with, I think, still the delivery focused at the local borough level has, I think, worked reasonably well. I think around some of these strategies is the concern of some of them that if you went pan-London with them, you would lose that connection with what is actually happening in local communities and lose the solutions and the answers as well, so I think there is a balance to be struck.

  Mr Moore: We do not believe that one size fits all. London is a very, very large city with lots of dynamics and lots of different requirements, and what fits residents in the centre of London is worlds apart from the leafy suburbs of Bromley in the south and Enfield in the north to the centre of London, Kensington and Chelsea, ourselves and Lambeth and Southwark, so I think the issue for us is that the GLA has a part to play clearly, as does the ALG, and we make sure that we tap into those resources and we make sure that we use any conduit that we can to further the aims that we have, but at the same time we do require local discretion.

  Cllr Harvey: If I can just add to that, I think that if we want to strengthen and make more cohesive our communities, to do it on the local borough basis will help enhance that rather than diminish it.

  Q101 Mr Sanders: Moving into Supporting People, there have been major cuts and increasing uncertainties in funding for the Supporting People programme. What has been the impact in providing services for the homeless in London?

  Ms Macklin: About 35% of the Supporting People funding in London goes into homelessness projects, so it is a fairly high proportion and I think probably higher than anywhere else in the country, so the sort of reductions in the funding could potentially have significant issues. I think one of the things that the boroughs are grappling with at the moment is really the kind of timing of when the reviews of their strategies are taking place because with the uncertainty about how the funding will be distributed and the formula, it necessarily means when you develop a formulaic approach that some boroughs will lose and some boroughs will be better off, so they need time to be able to review what they are doing with their Supporting People services in order to be able to ensure that they can adjust their programmes and meet the needs and particularly those of homeless families. I think at the moment the issue that they are most concerned about is having sufficient time to be able to review those strategies and adjust them in order to take account of the funding changes that will happen.

  Mr Moore: We have about 50% of our Supporting People grant going into our homelessness or associated funding streams, so clearly we have been hit quite hard, as other boroughs have, by the formulaic approach in terms of no increases for inflation and real cuts in percentages. The way we have dealt with those to date is to take a very hard-nosed look at all of the contracts that we have and actually impose reflective cuts in the amount that we are prepared to pay and shave some of the frills off the edges, if you like, in terms of the overall. Where we are now is that we are waiting for next year's grant announcement, any day now, we are told, which does not really give us a great lead-in time to the 1st April to actually put in place what we will need to make it fit, but quite clearly we are concerned with the sort of noises we are getting in terms of what may be the imposed cut this year which will have a direct effect on the services that we can provide and we will have to start cutting services.

  Q102 Mr Sanders: What is your view of the bureaucracy associated with the programme? Is there anything the Government could do or you could do at the local level to ease some of the complexities of monitoring and the bureaucracy associated with Supporting People?

  Mr Moore: I think there was a learning curve at the outset on Supporting People and I have to say I put my hand up because I still do not feel that I adequately know the full complexities of the Supporting People regime, and I am very fortunate to be in a team where we have people who understand it a lot better than I do, but it is complex. It is complex in the way it is put together, the way the bids were put together and the way it is applied across the board.

  Q103 Chairman: Could the Government simplify it?

  Mr Moore: We believe so, yes, that there are ways of simplifying the way forward.

  Q104 Chairman: So that would actually mean that the money got spent on people rather than government and local authority bureaucracy?

  Mr Moore: Well, we certainly have not got massive bureaucracy going into it, but certainly any regime where it ends up on the first day that you have got to carry out a major review of those contracts cannot be one that has been set up directly accountable.

  Q105 Mr Betts: Homeless people often have a variety of problems, apart from the fact that they have not got a home. It could be that those problems are created because they are homeless or it could be that they are homeless because of those problems, whether they are older people, people with mental health problems or people with alcohol or drug abuse problems. Have you got those problems sorted out so that you are actually dealing with the issues in a comprehensive way and other people providing services, other organisations, are actually linking into your homelessness strategy and is it actually working?

  Mr Moore: It does work, I would say, very much so. I think probably in terms of national averages we have double the amount of people presenting to us who are accepted as homeless who have, for example, mental health problems. About 20% of our cases are mental health cases and about 20% of our cases perhaps are physical disabilities and a further 10% are elderly. Now, in all of those categories, they are about double the national average, so we have had to respond to those with direct links into floating support services and mental health professionals. We fund, along with the Wellcome Fund, and ODPM, I would hasten to add, various services around mental health assessments and ongoing support and these areas are vital in actually making sure that the homelessness issue is not just a matter of finding a home and putting somebody in there, but supporting the person as well and we are very clear that our services are holistic and they need to cover the range that we believe they do.

  Q106 Mr Betts: And is this an area where the Supporting People budget gets pushed down so that it creates further problems?

  Mr Moore: I think that the future on SP, as I have already intimated to a colleague of yours, is that the pressure which will happen from here on in will mean that services will have to be cut and some very hard and difficult decisions will have to be made and that could well be one of the areas.

  Q107 Mr Betts: In many cases homeless people, although they may be housed, are actually housed in temporary accommodation away from their normal area of residence and that then causes difficulties in terms of them accessing the support services for mental illness or drug and alcohol abuse, so is that a major problem area?

  Cllr Newman: I think that is a critical issue, and returning and linking that to something we said earlier around whether we should be investing in areas of London that are high cost, critically we  should support services to temporary accommodation, the ability to have accessible and easy move-ons for somebody who has been homeless perhaps with other issues and challenges they are facing into temporary accommodation of one sort or another and the ability to be supported within what is their local community, and the ability perhaps for links in terms of family is critical here as well and the support structures there. So although there is an initial, if you like, extra cost and it is very easy to see housing in terms of saying it would just be cheaper to build everything in the Thames Gateway, clearly we need areas of growth as well and it is vital that the infrastructure is in place, but also investing across the capital is equally important, otherwise we are going to see whole areas of London where unless you are earning £200,000 a year, no one is going to be living there. I think a holistic approach is needed as to how the investment is looked at here because all the costs in terms of people with mental health problems or looking at the education costs of families moving around and the impact that has on education budgets, national health budgets and everything else, just seeing this in terms of housing and housing investment ultimately is not where we need to be.

  Q108 Christine Russell: The Government claims that the target for cutting the number of rough sleepers by two-thirds has been met. Has it in Westminster and across London?

  Mr Moore: Unfortunately not. We are experiencing extreme difficulty in dealing with the rough sleeping issue in Westminster. We are working very, very closely with the ODPM on our policies there, but we have not seen the reductions that we would have liked to have seen. We were targeting a reduction this year to below 100 by the end of the year and sadly I do not believe we will be achieving that. We have managed to reduce the numbers this year and our latest count brought the number down to 144 of rough sleepers, excluding the EU Accession States cases, of which there were a further 24 rough sleepers, but we are clearly struggling to get that number down. In order to try and move from our current system, in discussions with both the voluntary sector, with whom we work very closely, the police, who carry out enforcement services for us, and indeed the ODPM, who have sat down and worked out that we do need to move from where we are at the moment, which is a system where we are actually providing services on the street and to a certain extent that does, we acknowledge, sustain rough sleepers where they are, what we are moving to from next April is a building-based approach by which there will be a safety net on the streets to make sure that the most vulnerable do still receive services, but that all other people will be signposted to various hostels where those services and a more detailed and better assessment can be carried out indoors, and we want to make that break between services on the street and services inhouse. We hope and believe that that will be successful and we will start making strides towards reducing the numbers, which we are seeking.

  Q109 Christine Russell: What are you going to do if they refuse it, they just point blank refuse to go to any kind of support?

  Cllr Harvey: We will support them, we will continue to support those who are most vulnerable.

  Q110 Christine Russell: On the streets?

  Cllr Harvey: Certainly we will do that, but we hope that will be a very small number because those on the streets very clearly know that they are much more likely to be victims of crime, to get tuberculosis, that it is a rotten life, so if we can get people into the building base, on to education programmes and through the system and into a normal life, then that is obviously much better for them, but we will continue to support them. What I want to say very quickly though is of course that Westminster is the recipient of the rough sleeping problem of many other parts of the country where other councils do not have their own rough sleeping policy as clearly in place as ourselves, and, as I say, the mediation to get people to go back to where they have come from has been very successful, but for every 15 we get off the street, another 14 arrive.

  Q111 Christine Russell: That is the actual statistic?

  Cllr Harvey: Those are the statistics that we have been given and the numbers who arrive, new people, is 43 new people, never been seen rough sleeping before, so the churn is enormous.

  Q112 Mr Betts: Can I just raise the issue of hostel accommodation and, first of all, is there a pressure problem there where, like bed-blocking, people are staying in hostels far too long and, therefore, not making the spaces available when people want them sometimes on a temporary basis, and can anything be done about that immediately? Also, what about the quality of hostel accommodation and are steps being taken to improve it?

  Cllr Newman: It goes back to the need to have adequate move-on. There is pressure on hostel accommodation, but the way to address that is where people go from there and we are back into discussions about temporary accommodation, the adequate supply of temporary accommodation in terms of how we are funding that through housing benefit, often very high housing benefit rates, and whether that money could be invested elsewhere. Therefore, to keep the answer brief, Chairman, there are pressures and the long-term solution and answer that we need to continue to work on is the move-on accommodation from hostel accommodation.

  Mr Moore: We have a significant number of hostel beds in Westminster, around 1,100, and every night they are full. We have carried out a study of those and we believe there is a significant number of people who at one point may have needed that type of accommodation, but do not need it now, so part of our approach to this and move to the building base is to try to sift as many of the hostels as possible, and we are working very closely with the voluntary sector there to make sure that we get move-on in significant numbers to be able to move people off the streets because without the place to support them, the building-based approach will not work, so we are working very hard on that at the moment.

  Q113 Mr Clelland: Councillor Harvey was keen to talk about the local connections, so this is your opportunity. Are they appropriate to London and, if not, how will you change them?

  Cllr Harvey: The dysfunction is between the money which comes which is no longer local, but the requirement to house still is, and that is really the nub of it. We have had cut down to a fifth the amount of money that came into Westminster to build affordable housing and, as you can see, the number of people on our homeless register continues to rise.

  Q114 Mr Clelland: What changes do you want? Do you want more resources?

  Cllr Harvey: Yes, please! Also if there is a disconnection between supply and demand, we have got to do something about that, so what we would like is to see the local connection rule changed and perhaps instead of after six months or no local connection at all, we could move to some kind of compromise, a connection of two years in the last four, something like that, so that we still have a local connection rule so that we still regard communities and make them cohesive, but that we should not have to accept over half of our people at the moment that we have on the housing register with a connection of nothing at all or only six months in the last 12.

  Q115 Mr Clelland: What about the arrangements by which local authorities refer homeless applicants to each other, the interconnection between local authorities? Do these work well?

  Mr Moore: That works well. Clearly everyone is suffering from supply difficulties, but clearly we do have instances where a particular case wants to be in a particular area, not necessarily within our sub-region, and we have these reciprocal arrangements. They have worked for many years and certainly I know with Tony's authority we have certainly accepted Croydon cases before and indeed they have taken some back in the other direction.

  Q116 Chairman: Do you think you have managed to refer enough on to the City of London? I will need a phrase from you rather than smiles to get it on the record!

  Mr Moore: They are reciprocal arrangements that we have got.

  Q117 Chairman: Would it not be better if the situation got worse in London because would that not convince a lot more people that it was worth moving back to the north of England, to places like Stoke or Burnley, places in the north-east where there are empty homes?

  Cllr Newman: Well, we have at the ALG got schemes which the ODPM has actually supported in terms of working with all those places and others that you have just named and some people have taken the opportunity to move, but clearly there is a link here, perhaps speaking with a Local Government Association hat on briefly, in terms of where we are going with employment opportunities and training opportunities because the pressures that we get in London which feed back from those authorities and others that you named are that they can see some of these people as a burden on them and it is very much encouraging families to move on if there are employment and education opportunities in other parts of the country and I think that is where we need to get to. I do think that we need to wonder really in terms of what are still some of the projected large-scale demolitions in parts of the country. I know a place in Hull very well and plans to knock down large swathes of that are still in place and there has been a mini housing boom in Hull, so it has gone from £5,000 a property to £30,000 a property. People do want to move into some of these areas, but whether anyone from London would go there, I do not know.

  Chairman: Thank you very much indeed for your evidence.





 
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