Covid-19: Funding for Local Authorities

Stephen Timms Excerpts
Tuesday 24th November 2020

(3 years, 5 months ago)

Westminster Hall
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Stephen Timms Portrait Stephen Timms (East Ham) (Lab)
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Local authorities all over the country are the frontline in this public health crisis. As a recent all-party parliamentary group on faith and society report shows, councils have set up imaginative partnerships with faith groups to provide food and care to struggling families. I support the call made recently by the hon. Member for Devizes (Danny Kruger) in his report to the Prime Minister for a new deal for faith groups.

Covid-19 hit Newham, my very diverse borough, extremely hard. It is next door to Tower Hamlets, which we heard about from my hon. Friends the Members for Bethnal Green and Bow (Rushanara Ali) and for Poplar and Limehouse (Apsana Begum). As elsewhere, the council has been imaginative and effective. It recruited volunteer health champions to disseminate key health messages and to obtain feedback from the community. It set up Newham Food Alliance with faith and community groups. Bonny Downs Baptist church, Highway Vineyard church, Manor Park Christian Centre, Ibrahim mosque and the Newham Community Project have all done extraordinary work in East Ham.

The council has increased support for temporarily accommodated homeless families and it has extended support to rough sleepers and families with no recourse to public funds. It has spent £25.3 million extra on the pandemic this financial year. It has lost £13.3 million in income and has been unable to deliver £7.4 million in planned service cuts. That is a £59.5 million hit, but Government funding has been £36.8 million.

Some 3 million extra people have had to claim universal credit this year, but hard-working families, who work legally but have no recourse to public funds due to their immigration status, do not have that safety net. They can get council help under section 17 of the Children Act 1989 if they have children, and under the Care Act 2014 if they need additional care.

In March, local authorities were told by the Minister to support single homeless adults without care needs. I very much applaud his initiative—I wish the Home Office had shown a similar degree of enlightenment—but there was no clear legal basis for that instruction, so provision has varied immensely.

Local welfare assistance and £500 track and trace payments are available for families with no recourse to public funds only by discretion. Andy Jolly of the University of Wolverhampton reports that many families were refused council help during the pandemic. We need new funding for basic council support for families with no recourse to public funds. Will the Minister commit to providing it?