A fund that has helped vulnerable people in Renfrewshire during the brutal cost-of-living crisis remains “under significant pressure”, a report has said.
The Scottish Welfare Fund – delivered by the council on behalf of the Scottish Government – provides a safety net for people on low incomes through crisis and community care grants.
But a paper to this Thursday’s finance, resources and customer services policy board of Renfrewshire Council indicated the coffers have been squeezed as people continue to struggle in a challenging economic climate.
The document authored by Emma Shields, strategic service delivery manager, outlined 71.5 per cent of the total budget was spent by the end of December.
It explained: “In line with Scottish Government legislative guidance, applications for the crisis and community care grants (CCGs) are categorised as low; medium; high and high, most compelling priority, both in terms of the circumstances of the applicant and the items requested (in the case of CCGs).
“Due to the financial pressure on the budget, the council has been awarding on a high priority basis since May 2021 and has only ever made awards on a high, most compelling basis twice before, most recently in 2018/19 for a short period.
“Under high priority, awards are likely to be made to customers considered highly vulnerable and who are in immediate and severe need of the goods applied for.
“With a switch to high, most compelling, customers would need to be both highly vulnerable and at immediate risk, with a need for goods which is extremely severe.
“The Scottish Welfare Fund budget is under significant pressure. Average community care grant awards are 28 per cent higher than last year’s average due to the effect of high inflation coupled with the continuing cost-of-living crisis.”
The local authority had allocated £600,000 of additional funds to allow awards to remain at the ‘high’ priority level, the report continued.
Recent extra funding from the Scottish Government has lessened the urgency of it using these funds in 2024/25. However, national funding is expected to stay the same for 2025/26 with limited likelihood of top-up cash in future years.
As a result, it is anticipated the pressure on the fund will endure in the short-term. Councillors will, therefore, be asked to hold £600,000 in reserve for potential use in 2025/26 to prevent a switch to the ‘high, most compelling’ priority level.
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