The Board received a presentation that provided an update on the cost-of-living crisis, its impact on residents and the measures being taken at the local and national level to mitigate those impacts.  The main points of the discussion maybe summarised as follows:

The Board

v  Noted that due to a combination of factors, both internal and external to Tower Hamlets, the cost of standard household items like energy and food have increased significantly and continue to do so. Whilst the Government has announced a number of measures that will support households, these will not cover the additional costs households will incur in full. Therefore, the Council has to find ways to support its most vulnerable residents.

v  Noted that in April 2022 the energy price cap increased by 54%, which is £700 a year for an average household.  Whilst in October it is likely to increase by a further £800. This will mean that in the space of a year, the cost of energy bills has more than doubled.

v  Noted that food prices have increased by an average of 5.9%, the largest increase since 2011. However, there are items have exceeded this increase, such as pasta (10.1%), milk, cheese, and eggs (8.6%). Lamb (16.9%), beef (8.9% and oils and fats (18.1%). In other words, items which are household staples have seen the largest increases, meaning the largest proportional impact is on low-income households.

v  Noted that the British Retail Consortium expects this trend to continue across the year. With an increase in energy, processing costs rising even further than expected, driving further retail price increases.

v  Noted that residents can get help with essential costs from LBTH through the ‘the Household Support Fund’ that provides help for those struggling to afford things such as (i) energy and water bills; (ii) food; and (iii) other essential items.

v  Was informed that (i) this Fund is aimed at anyone who is vulnerable or cannot pay for essentials; (ii) they do not have to be getting benefits to get help from LBTH; and (iii) those already in receipt of benefits, will not be affected if they also get a payment from the Household Support Fund scheme.

v  Agreed that if LBTH did not provide any intervention other than those funded by the Household Support Fund. This will lead to many more vulnerable residents remaining in crisis, with an associated detrimental impact on their physical and mental health.

v  Recognised that it is likely that not supporting residents at an early stage would lead to increased costs for LBTH when residents make contact needing emergency support.

v  Commented that this situation is unfolding whilst benefits are at a 35 year low in real terms, and while coming out of a pandemic which has disproportionately impacted those on low incomes.

v  Noted that the Government has also confirmed that another tranche of Household Support Funding will be given to Local Authorities for use between October 2022- March 2023 which should particularly target those who were ineligible for the above measures.

v  Welcomed the fact that LBTH and its partners are working very hard to ensure that everybody across the partnership understands the offer from both (i) Central Government; and (ii) LBTH so as to ensure that everybody entitled gets the aforementioned financial support as many families do not always accept all of the benefits to which they are entitled.  Accordingly, LBTH and its partners are  looking at a more systematic approach whereby frontline practitioners are empowered help families.

v  Noted that LBTH and its partners want service providers to think harder about other ways in which they can help mitigate the impacts of the cost-of-living crisis on residents.

v  Agreed that (i) living in poverty can lead to an increased likelihood of adverse effects on physical and mental wellbeing, in addition to poorer future life outcomes; and (ii) it is more difficult for those children living in poverty to access education at the same level emotionally and mentally as children who are not living in poverty.

v  Welcomed the programme to poverty proofing of the School Day which consists of an audit for each individual school, questioning pupils, staff, parents/carers, and governors. This result in an action plan tailored to each individual school to address any stigmatising policies or practices.

v  Agreed that the cost-of-living crisis hits residents in different ways.  There is obviously the economic impact, but as mentioned that there is also the wellbeing element with people suffering from anxiety, depression and isolation and a decrease in their quality of life because of financial pressures. 

v  Agreed that by working in partnership with partners from across Tower Hamlets LBTH can ensure that everything is being done to help residents through the challenges ahead.

v  Welcomed the intention to publicise what is being done which will give residents the assurance that they are not alone and together the Council, and its partners are doing everything to connect systems so that people have the advice and support that they need.

v  Agreed that the information on advice and support available on the internet needs to recognise that all users will have different needs at different times and in different circumstances. Accessibility being about making sure that the service can be used by as many people as possible to make sure that nobody is excluded e.g., looking at the various local papers and radio stations, not just the digital channels and obviously to make sure that all partners are aware, especially those who come into regular daily contact with people in greatest need.

v  Noted that with people of all ages there are concerns around self-neglect and practitioners in the community can find collaborating with people who self-neglect extremely challenging. Therefore, it is important to consider how to engage with people, to offer support them without causing distress, and to understand the limitations to interventions should a resident not wish to engage.

v  Agreed that any form of abuse is unacceptable, no matter what justification or reason may be given for it, and it is very important that all practitioners are aware of this and those in need know that help is available.

In conclusion, the Chair thanked the officers for their presentation and all attendees for their contributions to the discussions on this significant topic