An eye-opening week of trying to live on £53 convinced Lynne Sacale that housing organisations can do more
In a moment of madness I agreed to support rural housing week by doing what Iain Duncan Smith refused to do and live on £53 a week. The UK work and pensions secretary claimed in a radio interview that he would manage on a budget of just £7.50 if he had to but later refused to rise to the challenge.
I like a challenge but recognised before starting that this was ‘mission impossible’ and hoped that with support from colleagues, partner agencies, friends and family I could get through the week and learn from the experience.
Each day of the week was themed, bringing in partner organisations, views from ministers and others to realise the impossible nature of the challenge. Day 1 in itself clearly outlined I hadn’t got enough money to last the week. With a Cantref money and employment adviser informing me that by the time my budget covered all essentials (utilities, water, phone, service charges), it left just £15 for food, travel and any unforeseen expenses.
In my naivety I ditched the phone and assumed very little travel would be needed. As the week progressed I realised it was impossible given one has to arrange job interviews and confirm essential appointments and so another £5 was deducted.
Whilst managing my budget I promised to put a video each day on to youtube, telling how it was. By day 3, I was already finding it hard to concentrate, lacked focus and was panicking about what I could scrape together for supper, making the videoing an additional annoyance to my now stressful life. Thursday was a relief, knowing I had a Board meeting to attend with a decent, hearty meal provided – definitely a big incentive for our customers to attend!
I looked at growing your own veg, living healthily on a budget and felt I did more than enough to make my food go a long way without making my health suffer. Partner organisations and agencies were fantastic – Credit Unions, Cardigan Food Bank, Coleg Ceredigion, the local authorities, CIH Cymru, CHC, partner RSLs, ministers, Cantref staff and customers. However, I still overspent by £10 and had nothing to eat for Sunday!
So what did I learn ?
The idea in itself was ridiculous under normal circumstances, coping with the very basics, without even contemplating additional unexpected expenses. What if my fridge broke down, or with winter fast approaching I needed a warm coat? Being in rural Wales also has its own challenges – I never realised travelling one way from Newcastle Emlyn to Cardigan (just 11 miles) costs £4.90!
For me it has broadened my thinking, helped my understanding of the practicalities and meant that when looking at our strategies we do really and truly put the customer at the heart of everything we do.
Service charges are definitely a focus for Cantref right now. These are costs not always covered by welfare benefits and certainly an extra burden. We have to ensure best value for money for our tenants – work harder and smarter.
Cantref employed two money and employment advisers who have already more than proved their worth by supporting our most vulnerable tenants, ensuring they are budgeting as effectively as possible and are able to maintain their tenancy. We have obtained a grant to support digital inclusion with the employment of a digital welfare officer. Here we aim to support our customers with access to the internet via satellites provided jointly with partner organisations. Minimal basic costs for phone and broadband are approximately £20 – as an RSL we are being proactive and saving these additional costs for our customers.
We have also been proactive with our Cantref outreach vehicle – taking our services to the customers with our ‘on your doorstep’ programme. Again we have internet access, partner with job clubs, credit unions and others to ensure our customers in the rural areas don’t suffer the costs of travel, broadband, etc.
We are engaging with projects and initiatives where our customers can see the benefits – energy switching, financial inclusion, money lending, digital inclusion and others. The more we can do, the better
for our customers. In conclusion, it’s easy to point the finger at IDS, Government and those who implement these policies. Welfare changes are happening and will get worse. We can argue, oppose and debate and perhaps in the meantime bury our heads in the sand hiding from the reality facing our customers on a daily basis.
A real example hit home recently – making me realise I am fortunate I only had to live like this for one week. The individual claims job seekers allowance, lives in a one-bedroom flat (one of the lucky ones to find a one-bed flat here!), has outgoings for utilities, water and rent shortfall, leaving them with £23.30. With loan repayments of £11.50 a week and the need for a phone, the actual amount left at the end of the week for food and transport is £6.80. From experience I know just one trip into town will take most of that. That’s not living that’s ‘existing’ and we, as landlords, with a little bit of thought, can easily do a lot more to address the issues ourselves.
Lynne Sacale is chief executive of Cantref Housing Association