1. Impact of recent benefit changes.

2. Turn2us is a national charity helping people in financial hardship to gain access to welfare benefits, charitable grants and support services. From May 2015 both Elizabeth Finn Care and Turn2us came under the Turn2us brand. Last year we helped over 3.9 million people facing hardship.

3. The recent Welfare Reform measures have seen the most fundamental changes to the social security system for over 60 years. As a result of many of the new Welfare Reform changes increasing numbers of people are struggling to make ends meet and are left feeling overwhelmed by the complexity of the welfare system, and as a result are turning to us charities for vital help and support.

4. Recent Benefit Changes Impacting on People Benefit Cap Benefit Sanctions (JSA/ESA ) Social Sector Size Criteria (Bedroom Tax) Local Housing Allowance Council Tax Changes Grant and Emergency Payment Changes Move to ESA and PIP and Universal Credit

5. Benefit Cap The government since April 2013 has capped the total amount of benefit that working-age claimants can receive to £26,000 per year. (£500 a week for families / £350 a week for single people) If claimants are over cap amount HB or UC reduced. There are some exceptions, mainly for people claiming Working Tax Credits or disability benefits. Since the introduction of the cap to Feb 2015 the DWP state that just over 58k households have had their HB reduced.

6. Benefit Cap The cap has had a significant impact on larger families and those with higher rents who have seen a dramatic fall in their income. From Feb 2015 83% of capped households were capped by £100 or less a week (Source: DWP) The government is proposing to reduce the cap further to £23,000 per year - pushing more families into poverty and potentially out of their homes charities report.

7. Benefit Cap IFS report that reducing the cap to £23k would result in the 24,000 families presently capped losing around £3k per year.

8. Benefits Sanctions ( JSA/ESA ) New tougher sanction rules came into force for JSA and ESA claimants at end of 2012. Turn2us, with advice organisations, has raised concerns over the increasing numbers of people receiving sanctions, which reduce or remove benefit for varying periods due to non-compliance with benefit rules. 83% of food banks report sanctioning is causing rising numbers to turn to them. (Source: Trussell Trust)

9. Benefits Sanctions ( JSA/ESA ) Over 900,000 people received emergency food from Trussell Trust food banks in 2013/2014 compared to over 300,000 in 2012/2013. The fact that the number of sanctions are rising indicates that the system is not working as a deterrent and sanctions are being applied excessively, causing hardship, destitution and ill health.

10. Social Sector Size Criteria (Bedroom Tax) Most social sector tenants under pension age since April 2013 receive HB based on their household size. Where a property is deemed to be ‘under occupied’ less housing benefit is paid. There are exceptions for people who need overnight care and some other groups. Affecting about 460k families currently, who lose an average of £15 per week ( Source: IFS) Discretionary Housing Payment help is available – but the threat of further evictions will rise after a cut in the budget for DHP moves from £165m to £125m this year.

11. Local Housing Allowance The amount of HB that can be paid to private tenants is now fixed by the LHA rates which are uprated annually in line with the Consumer Price Index. LHA rates are causing shortfalls in rent. Shelter report that over two thirds (69%) of areas are now unaffordable for families affected by LHA From 2012 the shared room rate for people aged under 35 was introduced –making it more difficult for young people to live independently.

12. Council Tax Changes Localised support for Council Tax has been introduced since April 2013 resulting in most working age people now having to make a contribution towards the tax. For people already struggling on benefit income this CT change in many cases is an additional cost they cannot afford to meet.

13. Grant and Emergency Payment Changes Since April 2013 Community Care Grants and Crisis Loans have been abolished. Instead LAs have been given the power to provide their own local schemes for emergency payments. There is however growing criticism and concern that the localised schemes are difficult to access. Leaving many vulnerable people without vital assistance, causing an increase in people turning to our charities for essential help.

14. Move to ESA and PIP and Universal Credit The move to ESA and PIP (which is gradually replacing DLA for adults) sees claimants now facing tougher qualifying conditions to get sickness and disability benefits. Move to Universal Credit from April 2013 - transitional payment protection in place to ensure people yet to be migrated not worse off initially. Incentive to work through higher earnings disregard. Financial impact of UC not yet seen.

15. Impact of Recent Benefit Changes on Charities/Grant Giving Trusts  Increasing numbers of people seeking crisis assistance from charities as a result of Benefit Cap and sanctions.  Increase numbers seeking assistance in relation to housing costs (to prevent homelessness) if not awarded DHP help.  Increase numbers of people needing signposting for specialist help to challenge benefit decisions.

16. Turn2us Helping You www.turn2us.org.uk  Benefits Calculator and Grant Search Tool  Benefit Resources – Guides / Benefit Changes Timetable  Turn2us Newsletter www.turn2us.org.uk/About-Us/E-Newsletter