A COUNCIL overspent by more than £60,000 during the pandemic to give extra support to residents struggling with housing costs last year, figures reveal.
The Department for Work and Pensions data shows Brighton and Hove City Council paid £1.2 million in Discretionary Housing Payments in 2020-21.
The council spent £65,138 more than the £1,169,565 pot given to the authority by the government.
That allocation was already a 41 per cent increase on the previous year, the figures show.
The money helped 1,720 claimants across Brighton and Hove in 2020-21 – 466 more than the year before.
The Local Government Association (LGA) said the coronavirus pandemic has exposed the level of pressure on low-income families, with many councils across England and Wales spending more than their allocated pot to help struggling benefit claimants.
The cash is intended to provide those already in receipt of housing benefits with extra help such as covering rent shortfalls or the costs of moving.
The council says it used a range of “discretionary funds in combination with specific Covid grants provided by the government” to ensure it supported households and businesses.
A spokesman said: “Last year was an exceptional year because of Covid.
“The available funds have been managed to ensure that discretionary overspends are met with specific Covid funding and have no impact on capacity to provide future services.”
Across England and Wales, councils spent £171 million on Discretionary Housing Payments, with 103 of 327 local authorities spending above the government’s contribution, despite a £40 million increase in funding on the previous year.
A spokesman for the LGA said: "The fact that many councils put additional funding into Discretionary Housing Payments on top of their government allocation during a year when we have seen other protections brought in due to the Covid-19 pandemic, such as a ban on evictions and the £20 per week increase to Universal Credit, shows the level of pressure likely to be on low-income households.
“We are concerned about what the impact the removal of these protections will have on low-income households, many of whom have built up debt and arrears during the pandemic."
They added that Discretionary Housing Payment funding for the current year had dropped back to pre-pandemic levels.
“The LGA would like to see a review of the Discretionary Housing Payment scheme, alongside other safety net funding, to ensure councils have adequate, sustainable funding and can provide a safety net for their residents without seeing other services affected,” the spokesman said.
The government said it has taken unprecedented action to protect renters during the pandemic, including banning evictions and increasing the local housing allowance rates, used to calculate housing benefits.
A DWP spokesman said: "Support for private renters is significantly higher than it was before the pandemic, as a result of us increasing and maintaining local housing allowance rates in recent years.
"We have also provided over £1 billion in Discretionary Housing Payment funding since 2011 to support thousands of families."
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel