The cost of living crisis could have a ‘catastrophic’ impact on homelessness for the new Prime Minister and her Government

The cost of living crisis could have a ‘catastrophic’ impact on homelessness if the new Prime Minister and her Government do not treat it with the same level of urgency seen at the start of the pandemic.

That is the warning today from an influential group of experts from the housing, homelessness, health and political sectors.

The Kerslake Commission on Homelessness and Rough Sleeping has published a new report entitled ‘A New Way of Working: Ending Rough Sleeping Together – Progress Report September 2022 which assesses the steps made towards ending rough sleeping in England and considers the impact of the current economic crisis.

The Commission – chaired by the former Head of the Civil Service Lord Bob Kerslake – is an independent group of 36 experts from the health, housing and homelessness sectors, including people with lived experience, as well as representatives from local and national government. The secretariat function is provided by leading homelessness charity St Mungo’s.

In its latest report The Commission tracks the progress against its original recommendations made last September, grading them as green, amber or red – as well as providing an updated set of recommendations reflecting the present cost of living emergency.

These include reintroducing a temporary ban on evictions, as seen during the pandemic, to ensure that no one is made homeless as a result of the cost of living crisis – mirroring what was announced in Scotland earlier this month and increasing the benefit cap and bringing benefits in line with inflation immediately – not in April 2023 as planned.

In total, 27% of The Commission’s original recommendations were rated ‘green’, meaning that they have been achieved.

Commission Chair Lord Kerslake said: “This Commission was formed in the wake of the Covid-19 crisis and we have seen much progress and excellent work done since as detailed in this report including some significant policy changes from the Government, and the publication of its new Rough Sleeping Strategy earlier this month.

“However, two years on from the pandemic we are facing a new crisis. The cause may be different by it the response must be equally urgent.

“The new Prime Minister has already announced plans to cap average household energy bills at £2,500 a year from next month. And this, while welcome,is not enough.

“Even with this help thousands of people are still facing the very real prospect of losing their homes because they are struggling to manage. The devastating effect this is having can be clearly seen in the testimonies of people who so kindly shared their personal experience with The Commission.

“We once again need to see the strong, decisive leadership from the Government we did during ‘Everyone In’, backed by resources and funding. But this time the focus must be two pronged. It is no longer just about getting people off the streets, it is about ensuring people who are currently at risk of homelessness don’t end up on them.

“Failure to act could see this become a homelessness as well as an economic crisis and the results could be catastrophic; with all the good achieved in reducing street homelessness since the pandemic lost, and any hope of the Government meeting its manifesto pledge to end rough sleeping by 2024 gone.”

Rebecca Sycamore, Interim Chief Executive of St Mungo’s said: “We are once again happy to support the excellent work of the Commission. When it was convened it was always intended to have longevity and not to produce reports that just sit on a shelf gathering dust but which provide practical and achievable recommendations to help to end rough sleeping.

“As a leading provider of frontline homelessness services we see every day the very real and very harsh reality of this financial crisis.

“And with more price increases, and the colder weather coming, it is very likely many of those currently just scraping by will no longer be able to manage, and could be at real risk of losing their homes.

“In order to prevent this from becoming a homelessness crisis action is needed now – and we fully support the new recommendations made by the Commission and urge Liz Truss and her ministers to introduce these measures as a matter of urgency to prevent more people ending up homeless this winter.”

Cllr James Jamieson, LGA Chairman, said:

“Councils share the concerns of the Commission over the potential impact of the cost-of-living crisis on homelessness. It is right in calling for us to draw on the successes seen during the pandemic, where councils supported thousands of people sleeping rough off the streets into safe accommodation.

“By working together, councils, government and partners can ensure that people at risk of homelessness get the help they need and prevent homelessness.

“In particular, we are calling for a fair, accessible and sufficient mainstream benefits system providing financial stability for low income households, protecting those who are unable to work, reducing health inequalities and linking effectively with key local partners to improve job opportunities and socio-economic wellbeing.

“We’re also pleased the Commission supports the expansion of the LGA’s peer review temporary accommodation model, as well as for the Government to carry out a consultation on a new Duty to Collaborate, which will encourage public bodies and councils to work together to prevent and tackle homelessness where it occurs.”

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