Work Programme: '20% of people referred to charities and housing groups'

Published by Ross Macmillan for 24dash.com in Housing and also in Local Government

Just 20% of people engaged in the Government's £5 billion Work Programme are receiving support from the voluntary sector, which includes housing associations, Government figures show.

Latest projections from the Department for Work and Pensions (DWP) show that over 650,000 people will be referred to the programme as a whole in 2011/12.

Launched in the summer, the programme replaces the popular Future Jobs Fund, and sees nearly 20 prime contractors, mainly private firms, sub-contract to specialist providers, including housing associations, to provide the unemployed with job skills training.

This support can be anything from helping someone beat a substance addiction, overcome homelessness or manage a health condition. The government pays prime contractors by results who then in turn pay the sub-contractors.

However, the uptake from housing associations has been slow because there are no guarantees of funding or referrals. Landlords also feel they're not being treated fairly by prime contractors for the work they're being asked to do. In September just 11 had been contracted to do any work with the prime contractors themselves.

Writing for 24housing magazine in September, Lindsey Williams, chief executive of Futures Housing Group, said: "One of the key issues affecting take-up however seems to be an assumption from Prime Contractors that service delivery providers prefixed with the words ‘charity’ or ‘non-for-profit’ should not be recompensed for their work.  However, in a climate where there is increased pressure on housing associations to operate as commercial entities, we need to be treated equitably."

Associations involved in the Work Programme include the likes of the Papworth Trust, Affinity Sutton, Framework Housing Association, Helena Partnerships and Twin Valley Homes.

The Government insists voluntary sector organisations are an "integral" part of the Government’s Work Programme and that the figure of 20% of referrals was "in line" with expectations.

Minister for Employment Chris Grayling said: “It is still early days, but I am encouraged to see there are people receiving the specialist help they need from the Work Programme.

“These organisations provide a vital service helping us give people the tailored support they need to get into employment. They bring with them specialised skills and expertise to help some of the most vulnerable unemployed people find sustainable jobs.”