Tag: Joseph Rowntree Foundation

Cancel the Cut: ONE HUNDRED organisations urge Prime Minister not to cut Universal Credit

The largest coalition of organisations to date on this issue has signed a joint open letter to the Prime Minster calling on him not to go ahead with the planned £20-a-week cut to Universal Credit and Working Tax Credit, due to come into effect on 6 October.

The joint letter, coordinated by the Joseph Rowntree Foundation, is signed by a wide range of 100 organisations that operate at a national level as well as in communities across the UK. Among the signatories are leading voices on health, education, children, housing, poverty, the economy and other aspects of public policy.

OPEN LETTER

Dear Prime Minister,

We are writing to collectively urge you not to go ahead with the planned £20-a-week cut to Universal Credit and Working Tax Credit at the beginning of October.

Many of us provide frontline support in communities up and down our country and see first-hand the importance of our social security system. Life is full of crises that we cannot plan for, such as job loss or illness, and periods of lower earnings or caring responsibilities. We all need the security and stability of a strong lifeline, not just during a national crisis, but every day.

Imposing what is effectively the biggest overnight cut to the basic rate of social security since World War II will pile unnecessary financial pressure on around 5.5 million families, both in and out of work.

At the start of the pandemic, the Chancellor rightly said that he was introducing the £20 increase to “strengthen the safety net” – a tacit admission that a decade of cuts and freezes had left it unfit to provide the support families need. We all strongly supported this crucial improvement in support.

We are at risk of repeating the same mistakes that were made after the last economic crisis, where our country’s recovery was too often not felt by people on the lowest incomes. The erosion of social security support was one of the main drivers of the rise in in-work and child poverty, and contributed to a soaring need for food banks, rising debt and worsening health inequalities.

We deeply regret that the Department for Work & Pensions has not published its assessment on the impact of cutting Universal Credit and Working Tax Credit. However, the latest independent analysis from the Joseph Rowntree Foundation (JRF) shows it risks plunging 500,000 people into poverty, including 200,000 children. It will take the main rate of out of work support down to its lowest levels in real terms since around 1990.

This is not a question of having to choose between a recovery based on getting people into jobs or investing in social security, in fact most families impacted by this cut to Universal Credit and Working Tax Credit are already in work. The reality of the UK labour market means that to improve living standards, we need to both improve job quality and strengthen the social security system. We also must never lose sight of the need to provide adequate support to families who are not able to work so they can meet their needs with dignity.

Six former Conservative Work & Pensions Secretaries believe previous cuts to social security spending went too far and oppose this cut, and your own Conservative MPs are warning that it will have deep and far-reaching effects in their constituencies.

Recent analysis from JRF shows that 413 parliamentary constituencies across Great Britain will see over a third of working-age families with children hit by the planned cut to Universal Credit and Working Tax Credit on 6 October 2021. Of these 413 constituencies, 191 are Conservative – 53 of which were newly won at the last general election or in a subsequent by-election.

This looming cut would fundamentally undermine the Government’s mission to level up. Citizens Advice has identified that people are one and a half times more likely to claim Universal Credit in places the Government has prioritised for levelling up investment. They also found for every £1 that could be invested from the Levelling Up Fund in England, £1.80 would be taken from these local economies if the Government presses ahead.

Furthermore, it is unacceptable that legacy benefits, such as Employment and Support Allowance, Jobseeker’s Allowance and Income Support, continue to be excluded from this crucial improvement in support, mostly impacting people who are sick, disabled or carers. 

We are rapidly approaching a national crossroads which will reveal the true depth of the Government’s commitment to improving the lives of families on the lowest incomes.

We all want a social security system that supports families to escape poverty rather than pulling them deeper into it. However, this cut risks causing immense, immediate, and avoidable hardship. A strong social security system is a crucial first step to building back better. We strongly urge you to make the right decision.

Yours sincerely,

Action For Children

Advice NI

APLE Collective

The Association of Charitable Organisations

Become

Bevan Foundation

The Big Issue

Bright Blue

The British Association of Social Workers

British Psychological Society

Business in the Community

Carers UK

Caritas Social Action Network

Centre for Cities

Centrepoint

Child Poverty Action Group

Children England

Christians Against Poverty

Church Action on Poverty

Citizens Advice

Citizens Advice Scotland

Citizens UK

Communities that Work

Crisis

Disability Benefits Consortium (a network of over 100 disability organisations)

Employment Related Services Association (ERSA)

End Child Poverty Coalition

End Furniture Poverty

The Equality Trust

The Faculty of Public Health

Family Fund

Feeding Britain

The Food Foundation

Generation Rent

Gingerbread, the charity for single parent families

Greater Manchester Poverty Action

The Health Foundation

Homeless Link

The Hygiene Bank

Independent Food Aid Network

Institute for Public Policy Research (IPPR)

Joseph Rowntree Foundation

Jubilee Debt Campaign

Learning and Work Institute

Little Village

Lloyds Bank Foundation for England & Wales

Macmillan Cancer Support

Mental Health Foundation

Mind

Money Advice Trust

The MS Society

National AIDS Trust

National Association of Head Teachers (NAHT)

National Children’s Bureau

National Education Union

National Housing Federation

National Residential Landlords Association

National Survivor User Network

Neighbourly

New Economics Foundation

North East Child Poverty Commission

Northern Housing Consortium

Octavia

One Parent Families Scotland

Oxfam GB

PlaceShapers

Policy in Practice

The Poverty Alliance

The Poverty Truth Community

Rethink Mental Illness

RNIB (Royal National Institute of Blind People)

RNID

The Robertson Trust

Royal College of Paediatrics and Child Health

Royal College of Psychiatrists

Royal Society for Public Health

The Runnymede Trust

The Salvation Army

Save the Children

Scope

Scottish Out of School Care Network

Shelter

St Mungo’s

Standard Life Foundation

StepChange

Sustain: the alliance for better food and farming

SVP Northern Ireland

Transforming Lives for Good (TLG)

The Trussell Trust

Trust for London

TUC (Trades Union Congress)

Turn2us

UCL Institute of Health Equity

UK Women’s Budget Group

Women’s Regional Consortium Northern Ireland

Working Families

Young Lives vs Cancer

Young Women’s Trust

Z2K

4in10 London’s Child Poverty Network

Media collaboration offers opportunities to writers from under-represented backgrounds

A new initiative co-funded by the Joseph Rowntree Foundation and supported by the New Statesman and Daily Mirror aims to increase opportunities for aspiring writers and journalists from under-represented backgrounds.

A WRITING CHANCE is a UK-wide programme, delivered by New Writing North and literature organisations nationally, with research from Northumbria University. It is looking for fresh perspectives and great stories from people whose voices have historically not been heard in publishing and the media.

Through mentoring with established writers and journalists, bursaries, insight days, broadcast and publication with by-lines, A Writing Chance seeks to prise open a persistently elitist industry to encourage access for all.

A Writing Chance is a positive intervention, designed to discover new talent, support new writers from under-represented backgrounds to break into the creative industries, and empower publishers and editors to make space for a broader range of perspectives.

Who gets to write for the British media we all read?

The media may be one of the most competitive industries to break into, but it isn’t a meritocracy. For many new writers, progress does not always correspond to their talent and those with huge potential are often held back by a range of barriers.

A London-centric industry; unpaid and low-paid internships; the casualisation of jobs; and a reliance on personal contacts make finding work in the media far more difficult for people from working-class and lower income backgrounds. What’s more, people from these backgrounds often face intersecting challenges due to historic under-representation in the media, including but not limited to ethnicity, disability, sexuality, gender identity, age and religious beliefs.

  • 47% of authors and writers are from the most privileged social starting points, contrasting with only 10% from working-class backgrounds. Office for National Statistics’ Labour Force Survey, 2014
  • 12.6% of those working in publishing come from working-class social origins, compared with a third of the population as a whole. Cultural Capital: Arts Graduates, Spatial Inequality, and London’s Impact on Cultural Labor Markets, 2017
  • Newspaper columnists, who significantly shape the national conversation, draw from a particularly small pool, with 44% attending independent school (compared with 7% of the population) and 33% coming through the independent school to Oxbridge ‘pipeline’ alone (compared with less than 1% of the population who attend Oxbridge). Sutton Trust, Elitist Britain 2019
  • Just 0.2% of British journalists are Black (compared to 3% of the population) and 0.4% of British journalists are Muslim (compared to nearly 5% of the population). City University, 2016

Husna Mortuza, Deputy Director of Advocacy and Public Engagement, Joseph Rowntree Foundation said: “We are delighted to support ‘A Writing Chance’. This powerful project will bring new voices to the public, and address inclusivity in our media and publishing industries head on.

“Far too often, talented storytellers from working-class backgrounds have found it difficult to break into the industry whether through lack of support, networks or space to develop their craft. This project aims to better understand the many barriers that budding writers from under-represented groups face, and to create opportunities for more non-fiction and creative writers to be part of the industry.

“Hearing a diverse range of voices from across society matters, and both writers and readers will benefit from a widening of the lens. I look forward to reading some new work and fresh perspectives on the year we’ve just lived: Life in 2020-2021.”

Alison Phillips, Editor-in-Chief of the Mirror, said: “At the Mirror we understand the power of having a voice and holding people accountable.

“Ensuring that everyone has access to that power will only make the national conversation that much more interesting and effective. I can’t wait to see the new talent this project uncovers.”

Jason Cowley, Editor of the New Statesman, said: “For too long the world of journalism has favoured a privileged minority. The New Statesman, which thrives on discovering new voices, is delighted to lend its support to this vital scheme to redress the balance.”

A Writing Chance is now open for application until 26 March 2021. A group of ten new and aspiring writers of journalism, fiction and creative non-fiction will be selected for the programme, which includes the opportunity to have work published in the New Statesman or Daily Mirror (in print or online), or broadcast as part of a new podcast series.

Full details of A Writing Chance are available at AWritingChance.co.uk

Job Support Scheme launches

Millions of jobs will continue to be supported over the winter months with the UK government’s Job Support Scheme (JSS) available to businesses across the UK from Sunday, 1 November.

  • combined with the Job Retention Bonus (JRB), the Job Support Scheme (JSS) will cover at least 95% of the total employment costs for average previously furloughed employee until February
  • when factoring in the JRB analysis shows employers will receive the full employment costs of around half of people on JSS Open – which is available to businesses across all parts of the UK from Sunday
  • data shows the Coronavirus Job Retention Scheme (CJRS) has successfully protected jobs – with 90% of people returning to the same job after being furloughed

It comes as analysis reveals the generosity of the government’s income support schemes – with many firms receiving the full employment costs of staff.

Chancellor of the Exchequer, Rishi Sunak, said: “I’m pleased that the IMF this week called our response to the pandemic one of the best examples of coordinated action globally – the furlough scheme has been central to that, supporting 9.6 million jobs through some of the most challenging economic times.

“But it’s right that as we move towards a more targeted approach to tackle the virus, our support becomes more targeted too.

“The Jobs Support Scheme will continue to protect jobs throughout the difficult months ahead and is part of our comprehensive Plan for Jobs.”

The JSS scheme launches on Sunday and is designed to support businesses across the whole of the UK who are either legally required to close or facing lower demand over the winter months.

Under the JSS Open part of the scheme, which was made more generous last week, the government contributes 62% towards the wages of staff for the hours they do not work, whilst the employers pay just 5% plus NICS and pensions contributions. Employees receive a minimum of 73% of their wages.

Under JSS Closed, which is for businesses legally required to close due to coronavirus restrictions, the government will pay two thirds of each employees’ salary with employers just covering NICs and pension contributions, a very small proportion of overall employment costs.

Firms who retain staff that have previously been furloughed until the end of January will also receive a £1,000 per eligible employee payment under the JRB.

Taken together, the two schemes (JSSO and JRB) will cover 95% of the employment costs of the average previously furloughed employee until the end of January. For those earning less than £1,100 per month the JRB offsets all the employer costs of the JSS Open– meaning businesses will not have to make any contributions. Under the original CJRS around half of furloughed workers had earnings below this level.

For many lower earning employees on Universal Credit (UC), the combined impact of the support of the JSS and UC will mean they could receive around 90% of their normal net income (whilst working only 20% of the hours).

The CJRS closes today on Saturday 31 October ahead of the JSS launch tomorrow on Sunday 1 November.

As the scheme draws to a close new data published by HMRC shows that during the scheme’s eight month life it has protected 9.6 million jobs through some of the most challenging economic times the country has ever faced – with 90% of those coming off furlough by August returning to the same job.

The JSS and JRB are just one part of the UK Government’s package of measures that includes the extended business grants and Self-Employed Income Support Schemes announced last week, which will continue to support businesses and livelihoods across the country over the winter months.

Further information:

  • there is no gap in support between the CJRS and JSS
  • the deadline for submitting CJRS claims is 30 November
  • the JSS launches on 1 November, and employers can submit claims directly to HMRC from December 2020
  • HMRC stats show that 90% of those coming of furlough before August returned to the same job
  • for more information, see the Covid-19 Financial Support Package: Fact Sheet (PDF, 189KB, 10 pages)

Case studies

Example 1 – Job Support Scheme Open

  • Andrew normally works 5 days a week and earns £1400 a month, working in at a restaurant in the hospitality sector. His company is suffering reduced sales due to coronavirus. Rather than making Andrew redundant, the company puts Andrew on the Job Support Scheme, working 20% of his usual hours.
  • His employer pays Andrew £280 a month for these hours.
  • And for the time he is not working (80%), he will get 66.67% of his pay for that time. His total wage package is 73%, equal to £1,027. The government will give a grant worth £691 (61.67% of hours not worked) to Andrew’s employer to support them in keeping Andrew’s job, and his employer will pay a further £56 for hours not worked (5% of wages).
  • In addition, the employer will cover the Employer NICs and autoenrollment pension contribution on the payment (£56).
  • His employer may also be eligible for the Job Retention Bonus worth £1,000, this would cover 94.6% of employers total costs for retaining Andrew on the JSS between November and January.
  • For many lower earning employees on Universal Credit (UC), the combined impact of the support of the JSS and UC will mean they could receive around 90% of their normal net income (whilst working only 20% of the hours).

Example 2 – Job Support Scheme Open

  • Elena normally works part-time and earns £1,100 a month. Her company is suffering reduced sales due to coronavirus. Rather than making Elena redundant, the company puts Elena on the Job Support Scheme, working 20% of her usual hours.
  • Her employer pays Elena £220 a month for these hours.
  • And for the time she is not working (80%), she will get 66.67% of her pay for that time. Her total wage package is 73%, equal to £807.
  • The government will give a grant worth £543 (61.67% of hours not worked) to Elena’s employer to support them in keeping Elena’ job, and her employer will pay a further £44 for hours not worked (5% of wages).
  • In addition, the employer will cover the Employer NICs and autoenrollment pension contribution on the payment (£19).
  • Her employer may also be eligible for the Job Retention Bonus worth £1,000, this would cover over 100% of employers total costs for retaining Elena on the JSS between November and January.
  • For many lower earning employees on Universal Credit (UC), the combined impact of the support of the JSS and UC will mean they could receive around 90% of their normal net income (whilst working only 20% of the hours).

Example 3 – Job Support Scheme Closed

  • Charlie normally earns £1,400 a month and his company needs to close due to coronavirus. Rather than making Charlie redundant, the company puts Charlie on the Job Support Scheme Closed.
  • The government will give a grant worth 66.67% of Charlie’s pay to his employer to support them in keeping Charlie’ job.
  • That means for the time he is not working, he will get 66.67% of his pay. His total wage package is equal to £933.
  • The employer will cover the Employer NICs and autoenrollment pension contribution on the payment.
  • For many lower earning employees on Universal Credit (UC), the combined impact of the support of the JSS and UC will mean they could receive around 90% of their normal net income (whilst working only 20% of the hours).

Example 4 – Job Support Scheme Closed

  • Dalia normally earns £1,100 a month part-time and her company needs to close due to coronavirus. Rather than making Dalia redundant, the company puts Dalia on the Job Support Scheme Closed.
  • The government will give a grant worth 66.67% of Dalia’s pay to her employer to support them in keeping Dalia’s job.
  • That means for the time she is not working, she will get 66.67% of her pay. Her total wage package is equal to £733.
  • The employer will cover the Employer NICs and autoenrollment pension contribution on the payment.
  • For many lower earning employees on Universal Credit (UC), the combined impact of the support of the JSS and UC will mean they could receive around 90% of their normal net income (whilst working only 20% of the hours).
https://twitter.com/i/status/1316334131811356672

The Joseph Rowntree Foundation says there are still gaps in support that need to be filled, despite the Treasury’s support schemes.

The mortgage holiday scheme introduced at the start of the Covid-19 crisis ends on Saturday as does the job furlough scheme, which is being replaced by the Job Support Scheme.

It will leave a fifth of mortgage holders – around 1.6 million households – worried about paying their mortgage over the next three months, according to the poverty charity.

JRF said: “There is a real risk that mortgage-holders on low incomes will be pulled into poverty and hardship.

“890,000 working households with a mortgage expect to see a drop in earnings over the next month, but 85% of them – 750,000 households – aren’t eligible for any government support with their housing costs.

“It’s not right that during a time of huge uncertainty, many households are discovering that they are excluded from the only lifeline that could help meet their housing costs,” said Darren Baxter, policy and partnerships manager at the charity.”

The Joseph Rowntree Foundation wants the Support for Mortgage Interest payment to be reformed to help people who lose their jobs to keep their homes as they weather the coronavirus storm.

One million Scots on precipice of poverty

One in six live ‘precarious and insecure’ lives

Scotland must show “bolder ambition” if it is to meet targets for tackling child poverty, a new report by the Joesph Rowntree Foundation (JRF) has warned.

Over one million Scots – one in six people – are living ‘precarious and insecure’ lives, according to JRF’s latest Poverty in Scotland annual report – and the situation is likely to become even more critical with the ongoing cornavirus and the imminent end of the furlough scheme this month.

Child poverty now stands at 24% – almost one in four of our children now lives in poverty. The Scottish Government’s target is to reduce this figure to 18% or less by 2023 – 24 -but unless there is radical action this target is unlikely to be met.

JRF’s associate director for Scotland Jim McCormick, who also chaired Edinburgh’s Poverty Commission, said we are at a “crucial moment”.

“The decisions we make will determine whether we reach our ambitious child poverty targets by the middle of the next parliament,” he said. “As the shape of our economy changes, it is vital to do all we can to protect people’s jobs, homes and living standards, so more families are not pulled into poverty.”

The JRF report calls on the Scottish Government to be more ambitious.

A Scottish Government spokesperson said the government is ‘absolutely committed’ to tackling child poverty and said initiatives including Scottish Child Payments, Best Start Grants and Best Start Foods are evidence of this. The spokesperson called for the UK Government to match Scotland’s ambition.

poverty_in_scotland_2020Download

Break the grip of poverty to “truly level up” our uneven nation

Poverty’s grip on some parts of the UK, some families and among renters shows the scale of the challenge faced by the government in its attempts to “unite and level up” the UK following years of political turmoil around Brexit.

jrf_-_uk_poverty_2019-20_report

jrf_-_uk_poverty_2019-20_findings

Scotland needs ‘game-changer’ policies to meet child poverty targets, says JRF

Scotland needs new “game-changer” social policies if it is to meet the government’s child poverty targets, according to new research published by the Joseph Rowntree Foundation during Challenge Poverty Week. Continue reading Scotland needs ‘game-changer’ policies to meet child poverty targets, says JRF

‘Unjustifiable’ benefits freeze means another tough year ahead for low income families

Families in poverty face another year of frozen benefits amid the uncertainty of Brexit, according to the Joseph Rowntree Foundation.

More are likely to be pulled into poverty following the Government’s decision to continue the freeze on working-age benefits and tax credits until 2020, despite declaring austerity over. Continue reading ‘Unjustifiable’ benefits freeze means another tough year ahead for low income families

People in poverty must not pay the price for Brexit, say charities

poverty family JRF

A coalition of charities have urged the Government to take urgent steps to protect people and places in poverty from the financial consequences of Brexit, including no-deal. Continue reading People in poverty must not pay the price for Brexit, say charities

Unacceptable rises in child poverty as more working parents left unable to make ends meet

Rowntree Foundation urges Universal Credit reform

The Joseph Rowntree Foundation is urging the government to reform Universal Credit (UC) so families with children can keep more of what they earn. The respected social policy charity is the latest organisation to urge the Westminster Government to rethink the controversial benefit.

Continue reading Rowntree Foundation urges Universal Credit reform