Brown Watch

FAMILY BREAKDOWN

1.    We recommended cabinet level representation for the family. (See 4.8.1.)

The Government established the department for Children, Schools and Families.

2.    We recommended an increase in the Carer’s Allowance, and in the allowable level of extra earnings – effectively, raising the income threshold above which the allowance decreases.

The deputy leader of the Labour Party (Harriet Harman) has announced that the government will increase the income threshold for receipt of the carer’s allowance.[1]

3.    We drew attention to the specific needs of families with disabled children and the need for investment in particular programmes such as respite care and easier access to relationship counselling. (See 4.3)

The 2010 Green Paper advocated investment in relationship counselling for families with disabled children.

4.    We advocated the creation of Family Relationship Hubs to provide much easier access to services for families. (See 4.1)

The 2010 Green Paper advocated improving access to services and making them more ‘friendly and welcoming’ for all family members

ECONOMIC DEPENDENCY

5.    We proposed that those people with disabilities or long-term health conditions who are nonetheless capable of some work must actively seek, or prepare for, work for a minimum of five or twenty hours per week depending on their circumstances. (See 2.4.2.)

The Government announced a new medical test which will accompany Employment and Support Allowance (ESA) which replaced Incapacity Benefit. The Work and Pensions Secretary (Peter Hain) said the test will establish what job a person can do, rather than what they can’t.[2]

6.    We proposed that welfare-to-work services for claimants who need intensive and customised support should be delivered by best performing private and third sector organisations. (See 3.4.2)

The Government pledged the national roll-out of its Pathways to Work pilots, facilitated by a mixture of private and voluntary organisations.[3]

7.    We proposed that all JSA claimants have a responsibility to take part in active labour or community schemes. (See 2.4.2.)

The Government has announced as part of the ‘Flexible New Deal’ that from next year all long-term JSA claimants must work for at least four weeks works to continue receiving the benefit.[4]

8.    We recommended that providers of work programmes are paid on the basis of results rather than delivery. (See 3.4.2.)

The Work and Pensions Secretary (James Purnell) says that  the ‘Flexible New Deal’ “will reward the providers on what they achieve, precisely so we can free them to decide how to get those results.”

9.    We recommended that support for jobseekers must be flexible and personalised.

The Work and Pensions Secretary (James Purnell) says that  the ‘Flexible New Deal’ will promote “personalised support for each of our customers”.[5]

EDUCATION

10. We expounded the need for a clearer definition of the “corporate parent” with regards to looked-after children at 4.1.6.

The Government’s White Paper on looked-after children, Every Child Matters, is keen to establish the role of the ‘corporate parent’ more precisely.[6]                                                                                     

ADDICTION AND GAMBLING

11. We argued that increasing alcohol prices through taxation (along with other measures) can be an effective part of a strategy to reduce binge-drinking and excessive alcohol consumption.

In the 2008 budget, the government lifted its 10-year freeze on spirit duties. Duty on a bottle of spirits increased by 55p, on a bottle of wine by 14p, a pint of beer by 4p and a litre of cider by 3p, in the recognition that this must be part of a drive to tackle binge-drinking. There will an increase of 2% above inflation on alcohol for the next two years. [7]

CJS COMMENT: We recommended a duty increase which would be ring-fenced to fund better treatment facilities. The Government has chosen instead to use this £600m income to pay for an increase in child benefit and child tax credit. We are not convinced that the government has a serious plan to tackle alcoholism; rather this duty increase is a money-spinner to fund generosity elsewhere. Our welfare proposals were carefully tailored so that they can pay for themselves.

12. We argued for reclassification of cannabis at 3.6.5.

Cannabis was reclassified as Class B drug (previously Class C) in January 2009

13. Our ‘Addictions: Special Report: Gambling Addictions’ report argued strongly for the reduction in opportunities to gamble.

The Government halted the development of the Manchester super-casino.

THIRD SECTOR

Many of the Government’s recent recommendations to strengthen the third sector are very similar to proposals made in Breakthrough Britain:[8]

14. We proposed a £50 million to fund the community foundation network. (See 3.3.8.)

The Government has pledged a “£50 million local endowment match fund enabling local independent foundations to develop community endowments to provide sustainability in future grant making.”

15. We proposed that the Government double the Community Asset Fund. (See 3.3.9.)

The Government has pledged “at least £10 million of new investment in community anchor organisations and community asset and enterprise development, building on the £30 million Community Assets Fund announced in the 2006 Pre–Budget Report.”

16. We proposed that children design and implement social action projects as part of their PHSE courses.

The Government wants social enterprise to be a part of the Key Stage 3 and 4 curriculum from 2008 onwards.

17. We proposed that Local Area Agreements should include a strategy for promoting the engagement of TSOs. (See 3.3.4)

The Government wants to build relationships between Local Authorities and local organisations to promote the involvement of third sector organisations, and establish guidelines to judge the effectiveness of local partnership working, including the involvement of the third sector.

18. We proposed a third-sector research centre to increase resources and knowledge for small third to medium TSOs. (See 3.6.3.)

The Government has created a Research Centre for Charitable Giving and Philanthropy.[9]

SERIOUS PERSONAL DEBT

19. We proposed the prohibition of unsolicited increases in credit limits either for loans, credit cards or other forms of finance. (See 4.4)

The government has pledged to review this practice.

20. We proposed an increase in the number and strength of Credit Unions to the levels found in other developed countries.

The Treasury’s Legislative Reform Order for Credit Unions and Industrial Provident Societies in Great Britain addresses this.[10]

21. We proposed a strengthening of local community based debt management and advice.

The Treasury-commissioned Thoresen Review recommended that money guidance be ‘multi-channel’ – available through the internet, over the phone and face-to-face and available through ‘trusted local sources’.[11]

22. We proposed the incorporation of financial education into the curriculum.

The Macdonald report said that there should be personal financial education as a compulsory part of PSHE. Ed Balls accepted the findings of the report and expressed his support for it.[12]

23. We proposed that IVAs should be made available to those with smaller consumer debts.

The insolvency service, part of BERR, created an IVA protocol which recommends a ‘Simple Voluntary Agreement’ (SIVA) that could meet the needs of those with smaller consumer debts (below £25.000). [13]

24. We proposed that doorstep lenders should be more transparent about their products, encourage greater competition and combat excessively high interest rates charged.

The OFT is tackling this and published a Financial Services Plan in July 2009 - and will soon publish the results of its Irresponsible Lending Project – dealing with this. This is also addressed by the Banking Code of Business Sourcebook, Payment Services Regulations 2009 and the Payment Services Directive.

25. We proposed an investigation into the effect of benefit receipt on those in debt, and the potential for the social fund to become a source of affordable credit.

The DWP consultation document ‘The Social Fund: A new approach’ commits £80 million over six years to increase the supply of affordable credit.[14] Moreover, the government’s Welfare Reform Bill, which deals with much of this, will have its Third reading on 03/11/09.

26. We proposed the introduction of a code of practice for responsible debt collection.

This is part of BERR’s Consumer Credit Directive, due to be implemented by June 2010 following the EU directive.

27. We proposed that all lending institutions, not just credit card companies, clearly identify all charges or default penalties as part of the original granting of the loan or credit card, that summary boxes needed to be clearer and consistency, and should clearly spell out in plain English the impact of making minimum repayments for prolonged periods.

This is part of BERR’s Consumer Credit Directive, due to be implemented by June 2010 following the EU directive.

28. We proposed that the calculation of APRs should be required to be consistent.

This is part of BERR’s Consumer Credit Directive, due to be implemented by June 2010 following the EU directive.

29. We proposed it be made easier for banks and lenders to share information so that they know the scale of their clients’ existing debt obligations and enforce competition in the sub-prime credit market.

This is part of BERR’s Consumer Credit Directive, due to be implemented by June 2010 following the EU directive.

30. We proposed the prohibition of the automatic issuance of credit card cheques. We stated that this should not be the default position and customers wishing to take advantage of credit cards should instead be required to opt in to the system. (See 4.4)

The government has pledged to outlaw this practice in the ‘A Better Deal for Consumers’ White Paper.

COULDN’T CARE LESS: A POLICY REPORT FROM THE CHILDREN IN CARE WORKING GROUP

31. Paying all Foster Carers a living wage

This was the subject of an amendment by the Government to the Children and Young Persons Bill.

THE NEXT GENERATION: A POLICY REPORT FROM THE EARLY YEARS COMMISSION

32. We recommended specialised training programmes for all professionals whose work impacts upon children in their early years, focusing especially on relationships and inter-agency working. (See5.5)

The 2010 Green Paper recommended examining “ways of mainstreaming more effective training on relationship support into the professional development of frontline staff.”

33. We recommended that intensive ‘family fostering’ schemes be offered across the country. (See 5.3)

The 2010 Green Paper seeks to ensure “every local authority will be able to offer an intensive family intervention service for families with the most complex needs.”

LOCKED UP POTENTIAL: A STRATEGY FOR REFORMING PRISONS AND REHABILITATING PRISONERS

34. Scrap the Titan Prison project  

The Government announced it would scrap the Titan Prison project.[15]

35. We proposed that schools and other agencies are notified when a parent goes to prison. (See 5.9.1)

The 2010 Government Green Paper on the Family stressed that “it is crucial that professionals in adult services, for example drug or mental health services, or prisons and probation services, are alert to implications of their clients’ problems for other family members, especially children. It is also important that information is shared intelligently between services that work with adults and children.”