The City Mayor will answer questions raised by members of the Overview Select Committee on issues not covered elsewhere on the agenda.
Minutes:
1. Question from the Chair, Councillor Cassidy:
‘In light of the Government’s withdrawal of the £20 weekly universal credit uplift, what impact are we likely to see this have upon our most vulnerable residents and families in Leicester? And what else can we do to try and support those most severely affected by this withdrawal?’
The City Mayor stated in response that the impact of this would be harsh and significant for families, and whilst the authority could do things to mitigate the impact this alone would not be enough. It was noted that in October, the Government had withdrawn the uplift to the personal allowance element of UC which had been in place from March 2020.
The City Mayor had asked officers to try and assess the numbers involved, and had been provided with the following information:
· 48,000 households across the city were affected, comprising of 35,000 UC households and a further 13,000 household receiving Working Tax Credit.
· Each of those households faced the prospect of losing over £1,000 a year, and the loss of income would be devastating.
· It was recognised that 5% of benefit recipients (over 2,000 households) would not be able to meet essential costs, and this included many families with children affected.
· It was suggested in looking at the national impact that a further 10% who were already unable to make ends meet would be pushed deeper into poverty. This equated to a further 4,500 households in Leicester and affected many people.
· The cuts in benefits were against a backdrop of rising inflation, a rise in energy bills and food costs, and while those figures were significant for those experiencing poverty, those bills would be a higher proportion of income and severe impact would be felt.
· The Council was seeking to provide additional funding, to help with discretionary housing payments to take the total funding up to £1.8million, increasing council tax relief by taking funds to £1million, and awarding grant funds of around £500k.
· The context of scale and loss meant there was a need out there that could not be met.
· In addition the Council was to communication to people information about where they could look for help from the Council and others. A message would be sent to people struggling to pay Council Tax to consider make alternative arrangements.
· Discretionary relief would be focused where it would be of most help. Over 700 households had already been helped, over 500 of which were households in receipt of UC.
· It was believed that by the end of September 2021, 30% of households claiming UC experienced significant debts, which ran the risk of being exacerbated with the increased loss of the uplift payment.
· The Council was looking to use the £3.4million Household Support Fund to help households meet higher fuel and food bills, and would be particularly targeted at those households in most need.
· Also, the Council was seeking to provide debt advice to people, and an additional two Debt Advisers had been invested in for the city over the winter. The Authority was also working with Citizens Advice who had very helpfully provided a useful budgeting tool.
· Officers had also targeted Welfare Rights support on challenging DWP decisions on other benefits. For example, the removal of Personal Independence Payments for disabled people, and had a high success rate of over 90% in doing so, bringing in over £2.5million for people.
The City Mayor concluded that some of the most deprived and poorest people in the city were suffering due to the withdrawal of the benefit. He stated that the Council would do all it could to help them, but they could not simply issue to them the money that had been taken away.
Members were informed the information provided would be made available to them.
Members present were asked if they had any further questions for the City Mayor.
2/ Question from Councillor Porter:
The meeting was informed that the liquidators report with regards to the Haymarket Theatre was online. The City Mayor was asked if the Council would chase the Haymarket Consortium for the £600,000 lent to them by the Council?
The City Mayor asked Councillor Porter to send him an email with a request for information, and that a response would then be provided by an officer.
3/ Question from Councillor Gee:
With regards to disabled access for Abbey Park, could the Council look at signposting the appropriate entrance at the event and allow for movement at the venue for disabled people?
The City Mayor thanked Councillor Gee for the question. He stated that he had noticed that people were able to access the area for disabled people at the event, but he acknowledged there may be issues in getting into the venue and would check the level of signposting which was there. He referred to how well security had managed disabled access and were courteous and helpful towards people.