View these webinar slides to learn about national, regional and local case studies.
You will hear:
1. Nationally: How the two child limit to tax credits is set to drive child poverty up by 10% by 2020
2. Regionally: First wave results from our work tracking income, employment and poverty for over half a million low-income households across London
3. Locally: How Winchester City Council's data led strategy uncovered hidden pockets of poverty
Background
The post-2015 welfare reforms will take almost £13bn a year from claimants by 2020-21, bringing the cumulative loss since 2010 to £27bn a year. This is equivalent to £690 a year for every adult of working age, according to analysis by Centre for Regional Economic and Social Research.
Professor Christina Beatty said that the worst is yet to come for those who will be most severly hit, namely low income families with children. She urged local authorities to plan ahead for the impact.
Understanding exactly which low income households will be impacted by the welfare reforms, and how, is the challenge. Policy in Practice works with local authorities to do just that.
Our Low Income Family Tracker combines local authority data with a powerful modelling engine to show the aggregate and cumulative impact of reforms on each household so that local authorities can get the right support to those who need help the most, before crisis hits.
More info
Visit http://policyinpractice.co.uk/low-income-family-tracker/ for more details or email hello@policyinpractice.co.uk.
4. We make the welfare system
simple to understand, so that
people can make the decisions
that are right for them
5. Agenda
1. National case study: Welfare reform impacts
2. Regional case study: London
3. Local case study: Winchester
4. LIFT dashboard: Low Income Family Tracker
5. Next steps
6.
7. National case study
• Policy in Practice analysed the
impact of the two child limit to tax
credits.
• From April, a third child born to low
income families will miss out on up
to £2,780 of tax credit support a
year.
• This change will affect 8,000
children born in April and one million
children by 2020.
See policyinpractice.co.uk/blog
8. National case study
• Welfare reforms will
take almost £13bn a
year from claimants
by 2020-21
• Cumulative loss since
2010 to £27bn a year
• Equivalent to £690 a
year for every adult of
working age
source: Centre for Regional
Economic and Social Research
9. National case study
"The worst is yet to come
for those who will be
most severely hit, namely
low income families with
children. Local authorities
need to plan ahead for
the impact."
Professor Christina
Beatty, Centre for
Regional Economic and
Social Research
source: Centre for Regional
Economic and Social Research
10. Analysis must address local needs
• Analysis at the national level is rarely transformed in concrete actions at the
regional and local level
• Organisations tasked to deliver welfare programmes on the front-line need
actionable information
• Household level data allows to extrapolate information at every desired level
11. 111111
Poll 1: How do you currently assess
the impact a policy change will have
on your customer?
14. 14 London Boroughs Sharing Data!
• 443,619 low income
households
• 544,985 adults
• 354,048 children
• 5.6m records collected
across 12 months
• 5 separate policy
scenarios from 2015 -
2020
• 27% of the total population
in participating boroughs
15.
16. Policy in Practice’s approach
Your Housing Benefit /
Council Tax data
Our Universal Benefit
Calculator
Rich, detailed impact
assessment: who is
impacted and what are the
Council-wide effects?
1. Use local data and insights
to inform better decision
making
2. See the impact of different
models together with ongoing
welfare reforms
3. Inform better strategic and
operational decisions
17. From one policy on many people, to
many policies on one person
18. Impact of welfare reform
3 boroughs most affected by benefit cap:
1. Enfield (1,038 households)
2. Hackney (997 households)
3. Lambeth (537 households)
Number of
households affected
Average weekly
income reduction
for those affected
Total yearly
income
reduction
Under-occupation 23,385 £21.68 £26,365,831
LHA Cap 51,149 £47.30 £125,806,080
Benefit cap (£23k) * 6,560 £72.84 £24,847,181
Council Tax Support 256,497 £3.91 £52,150,970
Cumulative impact of
welfare reform
273,964 £16.10 £229,362,661
Total DHPallocation across
14 boroughs
Table 1: The impact of individual welfare reforms
Pre-2017 reforms
£21,093,222
19.
20. Measuring living standards and
economic deprivation
Two approaches to capture levels of economic deprivations in London
Relative poverty measure
(60% of median income)
Financial risk indicator
Income vs Needs
Advantages
Simple & established measure Develops from households' needs
Provide a homogenous benchmark
Provide a close estimate of families real financial
circumstances
Useful in setting policy objectives Highly operational insight
Disadvantages
Doesn't capture costs Complex to model and measure
Does not describe how households' are coping
Parameters can be tweaked, harder to enforce
consistently
Limited operational implications
21. In relative poverty At financial risk Overall cohort
Total number of households 79,252 93,042 443,619
1. Social rent
(59.8%)
1.Social rent
(58.9%)
1. Social rent
(60.6 %)
2. Owner-
occupiers (25.5%)
2. Private rent
(27.6%)
2. Private rent
(25.2%)
Percentage in work
17.0% 24.7% 32.9%
Average rent £547.70 £822.49 £686.63
Highly impacted by welfare
reform 6.6% 19.9% 9.2%
Receiving sickness or
disability benefits 20.3% 23.6% 30.9%
Tenure types most affected
Living standards (Jan 2017)
22. Hackney and Enfield show the highest % of economic deprivations, under both measures. H&F,
Lambeth & Camden show higher % of people at financial risk than households living in poverty
Relative poverty vs financial risk indicators,
by borough
24. Tracking households over time
12 months worth of data allow us to track changes in circumstances for each
household
452,101
households
in Jan 2016
443,619
households
in Jan 2017
67,397
households
moved off
HB
58,915
households
joined the
data
25. Conclusions
• Aggregate statistics and KPIs overshadow the complex dynamics affecting
the pockets and prospects of low-income households.
• Benchmarking performance with your peers is a powerful way to shape your
regional anti-poverty strategy toward what is most effective.
• Understanding the impact of welfare reform, and changes in employment
and housing can be useful predictors of risk and crisis, allowing you to act
pre-emptively.
• Welfare reform will continue to impact large numbers of families. We have
shown how you can target your support to households most likely to be
facing financial crisis.
26. Local case study - Winchester
• Winchester Council want to track the
effectiveness of introducing a new financial tool
in support of their tenants
• A new type of bank account has been
developed to safeguard claimants who will
struggle to pay their monthly rent
• Ahead of UC roll out, Winchester Council want
to test whether the new financial product will
help families improve their budgeting skills,
reducing arrears and limit the risk of
transitioning to the new system.
27. Testing the effectiveness of
interventions
• Experimental approach: 2 groups of 100 hig
risk households in receipt of housing benefits
and living in council owned properties, one trial
and one control group
• Selected through a randomised sample
methodology by the University of Southampton
• Policy in Practice will support the Winchester
Council by providing an objective analysis of
the overall economic circumstances of both
groups before and after the trial
28. Low Income Family Tracker (LIFT)
Give visibility
Explain the complex picture of reforms to Cabinet
and show Members who in their ward is affected by
reforms. See the situation of households you rarely
engage with.
Identify trends and act
Combine snapshots of your data over time to spot
developing trends. Use sophisticated targeting
techniques to predict where you should target
support. Evidence the impact your interventions are
having.
Forecast future need
See the individual and cumulative impacts of
current and future reforms, including mitigating
measures, will affect individual households through
to 2020.
Access insights in a click
Dissect your data yourself. Compare impacts by
location, by vulnerable groups, by tenure, or other
factors you need. View sub groups, such as those
in arrears.
33. Next steps
Short survey:
• Any questions
• Request a tailored demo and quote for a Policy Dashboard
• Request the Winchester City Council case study
So today’s agenda
Why you are here
The difference between the two sessions today
What we need from you and what you get in return
Next Steps:
DWP Letter
Your participation in the project
Universal Credit data
Intros :Go round the room, introduce yourself and say what you want to get out of today, what would you like to see the analysis or software do? I have a full presentation but can tailor it to your needs.
Policy : l’ll quickly recap the welfare reform changes that are still to come in this parliament, that we know of, and share some of the analysis we’ve done on the national impact that welfare reforms have had to date.
Local picture: More interestingly, I’ll then focus on the local picture of welfare reforms and share some examples of work we’ve done with other clients. I’ll demonstrate why every household matters by showing you the different impacts of reforms on next door neighbours.
Our approach: By now you’ll want to know how we do the analysis so I’ll take you through our approach and show you a dataset
CTRS: I have some examples of the CTRS modelling work we’ve done for other clients to show you
Software: And then we’ll take a look at our software
Feedback from other clients and frontline advisors
Next steps
Slide shows the uneven impact of welfare reforms. This is all welfare reforms to 20-21 by region. North West and North East will be worst hit.
Slide shows the timeline of welfare reforms still to come
Poll 1: How do you currently assess the impact a policy change will have on your customer?
We don’t carry out any type of analysisI rely on the information provided by the DWP and other government agenciesI look for studies published by academics and think tanks (i.e. LGA)
We carry out analysis and research in house
We commission this type of work to third party organisations
Our approach to complete a person centred Impact Assessment using your Housing Benefit and Council Tax Data Sets- REDACTED data – speak to this. and our software will cleanse the data so that our software can recognise the format and we run it through our engine and it creates reports of actionable insights.
It will show who and how people are going to be affected by current and future reforms.
If a question comes up
We currently work offline however are looking to run this through a online server to speed up the process. However if this was a concern we can still do this through a local server.
Governments may know how one policy affects many people. We can show how all policies combined affect one person. We make the welfare system simple to understand so people can make decisions that are right for them.
Governments may know how one policy affects many people. We can show how all policies combined affect one person. We make the welfare system simple to understand so people can make decisions that are right for them.
Poll 2: How do you currently use your data?
A:
We don't use data effectively
We have a corporate team that does that
We do that, but not very well
I use data effectively in my day to day role
Departments across the council use data effectively in their day to day role
Q: How long would a typical case take to assess?
Q: How long does it take to get started with this software?
Q: What customisations can you do for me?
Q: What training and support do you give for clients? Account management story: training (webinars, Olark) / on boarding / roll out / usage monitoring