Autumn Budget Brings Mixed News for Homelessness Sector, Society of St James Urges Further Support
The Society of St James (SSJ) has responded to the recent UK Autumn Budget with a mixture of cautious optimism and concern. While the Chancellor’s announcement of increased funding for local authorities and the Affordable Homes project represents a welcome step forward in tackling homelessness, SSJ remains concerned about the challenges ahead, particularly around funding uncertainty and rising costs for charities.
Shadow Chancellor Rachel Reeves announced £233 million in additional funding for local authorities to help prevent a rise in the number of families placed in temporary accommodation and to reduce rough sleeping. The government also committed £500 million to the Affordable Homes Programme, which will support the construction of up to 5,000 new affordable homes. The budget also introduced a rise in employer National Insurance contributions (NICs), increasing the rate from 13.8% to 15% and lowering the threshold from £9,100 to £5,000. In addition, the National Living Wage will increase by 6.7% to £12.21 per hour.
“The increased funding for local authorities and the Affordable Homes project will undoubtedly help address the growing homelessness crisis across Hampshire” stated Tania Marsh, the Chief Executive at the Society of St James. “However, SSJ faces several challenges in the coming months, including a lack of clear information on budget allocations and the future of existing funding streams. These unknowns, coupled with the Chancellor’s announcement of a rise in employer National Insurance contributions, add further strain to an already stretched sector.”
Tania continued “The Society of St James, alongside Homeless Link and the National Council for Voluntary Organisations (NCVO), calls on the Chancellor to exempt charities from this National Insurance increase. Such a measure would ensure that vital services can continue to operate without further disruption, ensuring that charities can focus their resources on supporting the most vulnerable in society.”
“Ending homelessness requires a long-term, cross-party commitment to sustainable solutions, and we are deeply concerned about the short-term consequences these recent announcements will have on our ability to support people experiencing, or at risk of, homelessness. We are extremely grateful to our local authority partners, our fellow charities, and our MPs for their continued support, and we look forward to working together to secure the funding and exemption from National Insurance contributions that are crucial for the future of the sector.”
As the Society of St James continues its work to end homelessness across Hampshire, it urges the government to work collaboratively with local authorities and charities to ensure that the resources needed to support those experiencing homelessness are protected and enhanced in the months ahead.