More Debt Advice From Local Councils For Adur & Worthing Households

Nearly half of all households vulnerable to falling into serious debt in Worthing are failing to claim all the benefits they're potentially entitled to, or aren't seeking help.

And the figure in neighbouring Adur District is a little over 50%.

Now, the Borough and District councils have launched a pilot project to offer these households advice about money management, with the aim of helping their residents avoid extra debt.

The project comes as calculations made for the Councils draw on evidence that up to 20 per cent of workers currently furloughed could lose their jobs when the scheme comes to an end.

Figures from the local authorities showed that, if this happened, their Council Tax Support caseload could rise by 29 per cent in Adur and 32 per cent in Worthing.

Further calculations showed the cost of paying additional benefits would rise by £174,000 per month in Adur and £249,000 in Worthing placing huge burdens on local authority finances.

Data work identified more than 11,500 residents already either in Council Tax or rent arrears across both borough and district.

A report to the Councils' Joint Strategic Committee, due to meet on Tuesday (July 13) detailed some of the examples of those the pilot scheme helped including a recently widowed woman who had got into rent arrears.

The report said: 

"Mrs D told us that without that support, she would have been overwhelmed, would not have returned the form, and could have got into further debt and experienced increased anxiety."

The authorities intend to continue the pilot scheme, with the possibility of more resources and digital solutions to help residents avoid getting further into trouble being added if success was sustained.

Adur District Council's Executive Member for Health and Wellbeing, Cllr Kevin Boram, said: 

"Our research clearly shows that the pandemic will push more people into poverty and a feeling of helplessness.  

"This scheme will deliver early intervention with support and some cases finance, in order to reduce the impact of financial difficulties to mitigate against a potentially bad situation getting worse."

Worthing Borough Council's Executive Member for Health and Wellbeing, Cllr Sean McDonald, said:

"Revenues we collect are spent providing vital services to our community so this is something of a virtuous circle."

In response to the Conservative-led council's statements, Labour members said Worthing Borough Council should be worthing still harder, and faster, to relieve the underlying issues creating poverty across Adur and Worthing.

Cllr. Sally Smith said:

"While the Labour Group welcomes an initiative to assist residents in financial need, we need to work harder and faster to address underlying causes of poverty in our community.

"Lack of affordable housing and  insecure employment have led to rising levels of inequality over the past decade, now severely exacerbated by the pandemic.

"The Worthing Labour Group has also consistently argued that Worthing Council could and should relieve poverty by following the example of Adur and scrap the £5 levy for those residents on the very lowest income a measure it has consistently rejected."