The cost of failing to prevent homelessness Emma Insley Insley Consulting Reconnecting Families

Homeless Link research showed the impact of the service on clients and parents My brief was to undertake a cost-benefit analysis and prepare a report that makes the case for investing in homelessness prevention

Background to the research Homelessness on the increase Youth unemployment Benefit reforms Cuts G v Southwark Ruling

Homeless Link’s findings Out of 10 young people: Nine were more able to maintain positive relationships with their family. All reported increased motivation. Seven had improved anger management techniques. Nine were more able to respond positively to authority / challenges to behaviour. Six said they had better involvement / attendance within education.

Feedback from young people and their parents "I am much happier now and no longer feel suicidal; I needed this help from someone on the outside to talk to us.“ (Parent)

Feedback from young people and their parents “My mum and dad split up and I wasn’t myself, I kept getting into trouble with the police, I assaulted my mum. I was always arguing with my mum’s boyfriend and I’d call dad and play them off against each other. She [the Reconnect worker] helped us all get back together; she keeps putting us back together.” (Young person)

Depaul UK’s own monitoring Homelessness was prevented in 82 per cent of clients Housing was resolved for at least six months in 76 per cent of clients referred to Oldham Reconnect An average of three sessions are needed to prevent homelessness

The benefits of early intervention

Cost-benefit analysis

Cost benefit analysis Cost of Oldham Reconnect£46,429 Number of young people supported128 Number of successful preventions (where known)62 If homelessness was not prevented: year olds likely to be assessed as in need and accommodated under Children Act year olds likely to be housed under housing act Cost of accommodating under relevant legislation: Children Act Housing Act £39,848 £3,978 Suggested savings by Oldham Council by investing in homelessness prevention (35 x £3,978) + (27 x £39,848) £1,215,126

Cost benefit analysis Average cost per caseTotal costs divided by the number of households supported by the scheme £ 363 Cost per preventionTotal costs divided by the number of households who would otherwise have been statutory homeless £ 749 Savings per prevention Cost of temporary housing for a statutory homeless household and any other savings avoided Temporary & settled accommodation for year old under Housing Act £ 3,978 Annual cost of accommodating a year old under Section 20 (1) of Children Act £ 39,848 Average savings per case Total savings from preventing homelessness under the scheme divided by the number of households supported £ 9,493

Can we afford not to? Homelessness has life inhibiting impacts on a young person’s health, economic and social wellbeing It also costs a lot of money For year olds assessed as in need it costs an awful lot of money If Reconnect saves the local authority from accommodating just two people under Section 20 it has justified its funding

#canweaffordnotto?

Contact Emma Insley Insley Consulting