Additional Funding Committed to Tackling Debt
Highland Councillors have agreed to increase their support for money advice and welfare rights services in the Highlands by providing additional funding of £100,000, bringing the total annual funding to more than £1.2 million. At the same time, measures are being taken to improve access to advice and information services across the Highlands through new working arrangements and revised service delivery contracts with advice agencies.
The Council’s Resources Committee approved the additional spending at its meeting today (Wednesday) when members highlighted their commitment to helping reduce financial hardship within the Highlands.
Committee members were told that contact with people seeking welfare rights and money advice in Highlands shows that not only is the service in demand but that levels of unclaimed benefits are significant and levels of personal debt are high.
Up to 3,000 requests are made each month for general and welfare rights advice in the Highlands. In a year, that advice amounts to over £4m of financial gain to customers. More than 1,000 people seek specific money advice in a year and more than half have an annual income of less than £10,000; yet current average debt is £12,000.
The Council currently funds nine advice agencies including seven Citizen Advice Bureaux and two which are in the process of joining the CAB network. The Council also has a small team providing money advice and advice on maximising benefits people are entitled to. The aim of increasing the funding and agreeing new three-year contracts with advice agencies is to reach more customers (an increase of 5%) and at the same time increase the financial benefits gained from contact by 5%.
Councillor Carolyn Wilson, Chairman of the Resources Committee, warmly welcomed the increased commitment to advice and information services in the Highlands, which mirrored the priorities of the Programme for Administration.
She said: “The Council greatly values the work of the voluntary sector and in recognition of the services they provide and of the proven need for these services we have committed an extra £100,000 per year to increase advice provision across the sectors. Information on service delivery will be presented at Ward Business Meetings and an annual report of performance will be brought to the Resources Committee.”
Carol Greer, Advisory Officer, Citizens Advice Scotland, said: “I am delighted that The Highland Council has recognised the good work carried out by the advice services in the Highlands by increasing their investment in this way and we welcome the measures being taken to assure quality and consistency. We are looking forward to continuing to work in partnership with the council to make services to clients even better than they are.”