The 2011/2012 Annual Report on the Social Fund makes the case for reform of the Social Fund describing it as ‘complex, over-centralised, poorly targeted and failing those it is meant to help the most ‘. www.dwp.gov.uk/docs/2012-annual-report-social-fund.pdfC:/Users/Neil/Documents/Ableton
From April 2013, the Welfare Reform Act 2012 abolishes the current system of discretionary payments from April 2013. In their place will be-
· A locally based provision to replace Community Care Grants and Crisis Loans delivered by local authorities in England and the devolved administrations in Scotland and Wales; and
· national provision in the form of advances of benefit delivered by DWP to replace Budgeting Loans and alignment to benefit Crisis Loans.
The present Budgeting Loan scheme will stay in place until the full rollout of Universal Credit to help those still receiving the current income related benefits.
Click here for our Welfare Reform Briefing3 for managers/ policy makers and also frontline staff.