1b. COL Data Dashboard final
Renfrewshire Council · 5 June 2024
Back to Fairer Renfrewshire Sub-committee — 5 June 2024 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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Prepared by: Policy and Partnerships tacklingpoverty@renfrewshire.gov.uk Cost of Living Dashboard May 2024 Fairer Renfrewshire
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Cost of Living Dashboard FAIRER RENFREWSHIRE This dashboard has been developed to provide a summary of key indicators relating to how local households might be impacted by the cost-of-living crisis It has four key sections: economy, social security, financial insecurity and housing Each section has an overview with key indicators and their movement from the last period, supported by additional information and graphs showing further analysis and longer-term trends The dashboard is still in development, and feedback is welcome on the information included and its presentation to ensure it is a useful tool
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Key statistics - economy OVERVIEW 5.25% 2.3% £18.33 149.54p 3.2% £1,690 • Inflation falling, driven by decreases in food inflation • No change in interest rates • Energy price cap falling, for the first-time prepayment meters comparatively cheaper than direct debit • Hourly pay increasing, slightly ahead of Scotland average
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Inflation The inflation rate inApril 2024 is 2.3%, down from 3.2% in March. The reduction is not consistent across all categories, and is driven by reductions in energy prices. The fall was not as great as expected, largely attributed to service sector inflation. Interest Rates The Bank of England’s base rate is currently 5.25%, having increased significantly over the last year. Interest rate projections are difficult to predict, however many analysts are predicting modest decreases over the next two years. 0.00 1.00 2.00 3.00 4.00 5.00 6.00 Aug 2016 Nov 2017 Aug 2018 Mar 2020 Mar 2020 Dec 2021 Feb 2022 Mar 2022 May 2022 Jun 2022 Aug 2022 Sep 2022 Nov 2022 Dec 2022 Feb 2023 Mar 2023 May 2023 Jun 2023 Aug 2023 Sep 2023 Oct 2023 Nov 2023 Dec 2023 Jan 2024 Bank of England Bank Interest Rate -5.0 0.0 5.0 10.0 15.0 20.0 25.0 Aug-16 Dec-16 Apr-17 Aug-17 Dec-17 Apr-18 Aug-18 Dec-18 Apr-19 Aug-19 Dec-19 Apr-20 Aug-20 Dec-20 Apr-21 Aug-21 Dec-21 Apr-22 Aug-22 Dec-22 Apr-23 Aug-23 Dec-23 CPI Inflation Percentages Food Inflation CPI
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Earnings Based on the ONS annual survey of hours and earnings, in 2023 the median hourly pay (excluding overtime) for workers in Renfrewshire is higher compared to that for workers in Scotland, or the rest of Great Britain. It should be noted that the median hourly wage for females in Renfrewshire is less than that for workers in Scotland. The gender pay gap has been declining slowly over time. £18.33 £18.09 £17.49 £19.23 £18.17 £18.15 £17.80 £18.00 £16.64 £15.00 £15.50 £16.00 £16.50 £17.00 £17.50 £18.00 £18.50 £19.00 £19.50 Renfrewshire Scotland Great Britain Full-time Workers Male Full-time workers Female Full-time workers Employment Rate The ONS Labour Force Survey shows the Claimant Count for those claiming benefits 'principally for the reason of being unemployed', which now stands at 3,590. This is based on numbers claiming JSA and Universal Credit. These numbers are based on those aged 16 and over. The Renfrewshire unemployment rate of 3.1% is the same as Scotland (3.1%) but lower than that of Great Britain (3.9%). 3,660 3,825 3,975 3,7803,720 3,825 3,755 3,585 3,505 3,595 3,6803,6203,6153,590 3,200 3,300 3,400 3,500 3,600 3,700 3,800 3,900 4,000 4,100 Claimant Count
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Economic Inactivity The ONS Labour Force Survey also provides details on those aged 16+ that are economically inactive and not seeking work. Between January 2023 to December 2023, of the 25,100 people aged 16-64 that are classed as economically inactive, 80% are not looking for employment (either in the long-term or short/medium term). The percentage of economically inactive people aged 16- 64 that want to gain employment (either in long-term or short/medium term) in Renfrewshire (20%) is significantly higher than that of the rates in Scotland (16.5%) and Great Britain (17.6%). Student 24% Looking after family/home 19% Long-Term Sick 35% Retired 20% Other 2% Economically Inactive
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Fuel Prices From the UK Government’s weekly fuel price publication, the average UK pump price on 6 May 2024 is 149.54 pence per litre for petrol, and 157.64 pence per litre for diesel. Energy Price Cap The Energy Price Cap sets a limit on the maximum amount suppliers can charge for each unit of gas and electricity used and sets a maximum daily standing charge. That means there is no upper limit to what a user pays, if more energy is used,more is paid. The Energy Price Cap now changes every three months (previously six), mainly based on average energy wholesale prices in the months leading up to each change. From April 2024 the Energy Price Cap will reduce to £1,690 per year for those on a monthly direct debit, and to £1,643 per year for those with a prepayment meter. It should be noted that between October 2022 and June 2023, no one paid the full amount under the Price Cap. Due to high energy prices the UK Government introduced the Energy Price Guarantee which provided a discount on the Price Cap for households. £0 £1,000 £2,000 £3,000 £4,000 £5,000 Direct Debit Prepayment
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Key statistics - social security OVERVIEW 15,479 10,670 5,858 4,759 • Households claiming Universal Credit increasing, this includes new cases and managed migration from tax credits • Increase in number of children receiving Scottish Child Payment, largely positive as this is a relatively new benefit
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Universal Credit Households on Universal Credit (UC) continue to rise with 15,177 households in Renfrewshire receiving Universal Credit as of February 2024. Starting in August 2023, the managed migration from tax credits to UC will see further rises in the UC caseload, with the legacy tax credit caseload closing this year. From April 2024, the managed migration process will commence for those claimants still on Income Support, Jobseeker’s Allowance, Housing Benefit and Employment and Support Allowance. Following the UK Spring Budget announcements, from June 2023 the maximum levels of childcare costs paid by Universal Credit has increased, with childcare costs paid at a higher level within UC compared to tax credits. The DWP have been publicising that some people may be better off on UC compared to tax credits, which may be driving some of the increase in UC numbers. 12,000 12,500 13,000 13,500 14,000 14,500 15,000 15,500 16,000 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Number of Households on UC
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Free School Meals and Clothing Grants The 2023/24 Free School Meals and Clothing Grant application process commenced in June 2023 and closed in April 2024. The number of applications received during 2023/24 is down compared to the same period in 2022/23. 0 1000 2000 3000 4000 5000 6000 7000 8000 9000 Applications Received Number of Children Awarded CG Awarded FSM Period June to April 2021/22 2022/23 2023/24
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Key statistics - financial insecurity OVERVIEW 1,368 £740,768 6,484 3,011 • Foodbank demand rising compared to last period and same period last year • Number of people approaching local advice agencies down this period, but wider trend is upward
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More than 3 vouchers needed in the last 6 months In terms of more than 3 vouchers needed in the last 6 months, there has been a steady increase in the number awarded due to a Benefit delay or sanction. This will be monitored going forward, due to an increase in the sanction regime being implemented within Universal Credit. Foodbank Vouchers Foodbank vouchers issued in Q4 2023/24 (1,368) assisted 759 children and 1,771 adults. 973 979 1291 1243 1395 1009 1362 1632 1148 1295 1456 1368 0 200 400 600 800 1000 1200 1400 1600 1800 21/22 Q1 21/22 Q2 21/22 Q3 21/22 Q4 22/23 Q1 22/23 Q2 22/23 Q3 22/23 Q4 23/24 Q1 23/24 Q2 23/24 Q3 23/24 Q4 Foodbank Vouchers Issued by Quarter 0 100 200 300 400 500 600 700 800 Reasons for needing more than 3 vouchers in the last 6 months - 2023/24
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Advice Advice Works and Renfrewshire Citizens Advice Bureau (RCAB) are supporting a high level of new clients. The number of clients who received appointment support during 2023/24 compared to 2022/23 showed a 7.8% increase. N.B. These figures do not include the number of calls/emails from people looking for signposting information. Combined, there was a client financial gain of over £12m from advice provided by Advice Works and RCAB in 2023/24. Debt Under Management Advice Works and Renfrewshire Citizens Advice Bureau continue to deal with a high level of enquiries regarding debt. The combined level of new debt cases under management is shown below, by quarter over the last 3 years. By comparing the debt under management during 2023/24 compared to 2022/23, there is a 30% increase. Whilst it might be too early to make a definitive statement, the higher levels may reflect the recent increases in interest rates, making debt repayments unaffordable without advice and support. £0.00 £200,000.00 £400,000.00 £600,000.00 £800,000.00 £1,000,000.00 £1,200,000.00 Q1 Q2 Q3 Q4 2021/22 2022/23 2023/24 - 500 1,000 1,500 2,000 2,500 3,000 3,500 Q1 Q2 Q3 Q4 Combined RCAB and Advice Works New Clients 2021/22 2022/23 2023/24
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Scottish Welfare Fund There have been 9,722 applications for Crisis Grants between April 2023 and March 2024 with £753,268 awarded. This is an average award rate of 67%. Nationwide, the main reasons for a CG not being awarded are “reasons for application do not meet the conditions of award” and “excluded as a result of previous applications”. Generally, awards are restricted to 3 within a 12-month rolling period however discretion can be used. In Renfrewshire, discretion isfrequently exercised. Cost-of-living pressures will for many households result in immediate financial crises more often with less flexibility to manage budgets. Nationwide 52% of Crisis Grant awards are made to single persons, with 22% made to single parents. This suggests single people and single parents, who rely on one income within the household, are financially struggling in terms of income and disproportionately by expenditure due to housing, energy, fuel, and food costs. 0 200 400 600 800 1000 1200 1400 April '22 May '22 June '22 July '22 August '22 September '22 October '22 November '22 December '22 January '23 February '23 March '23 April ' 23 May '23 June '23 July '23 August '23 September '23 October '23 November '23 December '23 January '24 February '24 March '24 April '24 Crisis Grant Applications by month
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Key statistics - housing OVERVIEW 15,6724,678 274 2,740 • New homeless cases marginally down this period, but wider trend is upward. • Significant increase in people presenting who were either in private tenancies or living in parental/relative homes. • Fewer tenants in rent arrears this period, although an increase compared to same period last year.
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Council Tenants in arrears As at the end of March 2024, 2,740 current tenants were in rent arrears totaling £2,109,169. This figure includes all levels of arrears some of which are caused by Universal Credit payment processes. Staff within Housing Services continue to work with tenants to address rent arrears and provide advice/signpost tenants to Support Services and Agencies where financial difficulties are identified. For the period October 2023 –March 2024, 161 tenants have qualified for Tenant Support Fund assistance with circa £32k awarded. Renfrewshire Council tenancy rents increased by 6% this year. Homeless Cases The Housing and Homeless Advice Service had 274 new cases within Q4 in 2023/24 compared to 250 for the same period in 2022/23. There has been a 10% increase in homeless applications this year compared to last year. The largest increases in reasons given are being asked to leave, disputes/breakdown in relationship or other action taken by the landlord resulting in the termination of the tenancy. 221 247 214 250264 261 227 274 0 50 100 150 200 250 300 Q1 Q2 Q3 Q4 New Homeless Cases 2022/23 2023/24 £0 £500,000 £1,000,000 £1,500,000 £2,000,000 £2,500,000 £3,000,000 £3,500,000 £4,000,000 1 2 3 4 5 6 7 8 9 10 11 12 Current Tenant Arrears 2022/23 2023/24 2024/25
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Housing CostsAverage Monthly Rent Costs From the Scottish Government’s Private Sector Rent Statistics publication dated November 2023, figures show average rent changes. These statistics are based predominantly on advertised rents, and so do not represent rent changes for existing tenants. LHA rates are the maximum amount that can be paid for Housing Benefit and Universal Credit (Housing Costs) for those renting from a private landlord. Any shortfall between charged rent and the amount of Housing Benefit/Universal Credit Housing Costs awarded would have to be made up by the tenant, although Discretionary Housing Payments can be awarded to provide support. Rent Affordability Average monthly rent for all types of properties have increased between 2021 and 2023. Although 4-bedroom properties showed almost the lowest increase between 2021 and 2023, they have seen the biggest increases since 2010 with a 70.7% increase during this period. Renfrewshire Monthly LHA Rates Current LHA Rate April 2024 LHA Rate 1 Bedroom Shared £294 £360 1 Bedroom £350 £400 2 Bedroom £450 £525 3 Bedroom £550 £600 4 Bedroom £1,000 £1,100 % Increase in Average Renfrewshire Monthly Rents by Property Size Period 1 Bedroom Shared 1 Bedroom 2 Bedroom 3 Bedroom 4 Bedroom Increase between 2022 and 2023 12.43 8.94 16.64 9.09 9.04 Increase between 2010 and 2023 40.54 23.8 34.88 23.53 70.74 Ren - Average Monthly Rent 2010 2021 2022 2023 1 bedroom shared £296 £332 £370 £416 1 bedroom £374 £392 £425 £463 2 bedroom £473 £518 £547 £638 3 bedroom £612 £642 £693 £756 4 bedroom £834 £1,238 £1,306 £1,424