Report of the Director of Homelessness

As reported to the Executive on the 14th October 2020, it is anticipated the implications of Covid-19 will have a significant impact on the Council’s finances for a number of years, the current potential budget gap for 2021/22 is £105m, after mitigations are taken account of. The report of the Deputy Chief Executive and City Treasurer, elsewhere on the agenda provides the detailed update on the Council's MTFP focusing on the financial position and strategy from 2021/22.

This report provides the high level budget context and priorities for Homelessness across 2021/22 and the feedback from the budget conversation, which has been used for the development of savings options 2021/22 and investment requirements to fund population driven and other budget pressures.

The Committee considered the report of the Director of Homelessness that provided the high level budget context and priorities for Homelessness across 2021/22 and the feedback from the budget conversation, which had been used for the development of savings options 2021/22 and investment requirements to fund population driven and other budget pressures. The Committee was invited to comment on the report prior to its submission to the Executive on 11 November 2020.

The main points and themes within the report included: -

·         Providing an introduction and context of the report;

·         An overview of the budget strategy for Homelessness;

·         A summary of the directorate budget;

·         Describing the savings options and proposals;

·         An overview of additional options to be considered;

·         Analysis of overall impacts; and

·         Workforce impact.

Some of the key points that arose from the Committee’s discussions were: -

·         Noting that the budget options were being considered in the context of the imposition of a decade of austerity and cuts to public services;

·         Despite the cuts Manchester had sought to defend the most vulnerable residents in the city, and in doing so the Committee paid tribute to all of the staff working in the homelessness service, particularly during the COVID19 pandemic;

·         Unanimously reject the officer proposals, commenting that any cuts in this service would have implications on other service budgets ;

·         Noting that the cost in providing accommodation for those previously sleeping rough in response to COVID19 and Everyone In was £7m, the Committee called upon the government to meet this cost;

·         Noting the positive feedback received on the Everyone In scheme;

·         Recommending the establishment of a task force comprised of the Revenue and Benefits Unit, local charities, faith groups and VCSE partners to consider homelessness prevention;

·         The GMCA (Greater Manchester Combined Authority) should increase their financial contribution to Manchester to support the work to address homelessness;

·         Working in partnership with local registered housing providers, the Capital budget should be used to purchase properties to house homeless families;

·         Noting the significant funds paid to private Bed and Breakfast (B&B) providers the Council should commission and manage its own B&B provision;

·         Noting the importance of the need to prevent homelessness, the Section 21 team and the Private Rented Sector Team needed to be maintained; and

·         Recognising the important work of staff working in the homelessness service the Committee rejected any proposal to reduce staffing.

The Director of Homelessness welcomed the comments from the Members. He stated that it was recognised that the use of B&B accommodation was not always appropriate, particularly for families. He stated that the Service Transformation Programme would form the core of the approach to tackling and reducing homelessness over the next three years. It would be the framework in which reductions in temporary accommodation and rough sleeping would be achieved through a radical reorganisation of the Homelessness Service and its activities. The programme would focus on five key areas; the strategic vision, redesigning the journey through the system, prevention, accommodation and communication and development.

The Director of Homelessness stated that the Section 21 Team had been funded through an uplift in the service budget as part of the previous year’s budget considerations and commented that it was anticipated that evictions might increase as a result of COVID19.

The Director of Homelessness responded to the suggestion of establishing a task force by describing that the multi agency Manchester Homeless Partnership was already established. In response to the positive comments received regarding the Everyone In service he stated that this had achieved many positive outcomes for the individuals they had assisted, noting that this had been achieved by working collaboratively with VCSE partners.

The Executive Member for Skills, Culture and Leisure stated that despite the promises made to Manchester and all other local authorities that financial assistance would be made available to support councils to accommodate homeless people during the pandemic this had not been provided. He described this as a failure of government, however despite this Manchester had responded to the situation and sought to support the most vulnerable residents in the city and he now called upon the government to fund Manchester appropriately and fairly. 

Decisions

The Committee recommended that when the Executive are asked to consider the officer cuts and savings options that they take into account the feedback and recommendations from this scrutiny committee.

1. The Committee reject the homelessness options as described within the report.

2. The Committee recommend that Executive Member for Skills, Culture and Leisure write to the government and ask for the additional £7 million for the continued provision of accommodation during the COVID19 pandemic for those who previously slept rough.

3. The Committee recommend that that Executive Member for Skills, Culture and Leisure establish a task force comprised of the Revenue and Benefits Unit, local charities, faith groups and VCSE partners to consider homelessness prevention work.

4. The Committee recommend that the Council, in partnership with local registered housing providers should purchase properties funded via the capital budget to house homeless families.

5. The Committee recommend that the Greater Manchester Combined Authority should reimburse Manchester the £0.5m to fund the A Bed Every Night provision.