Families in social housing 'could be better off with budgeting lessons'
By Lucy Bower
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A financial training scheme, run by Santander Bank and the Citizen's Advice Bureau for families in social housing, made 78% of participants change their spending behavior.
Benefit reforms planned by the Government for next year mean that families in social housing will be responsible for paying landlords themselves instead of their benefit going directly to their landlord. The roll out of the 'Universal Credit' next year has raised concerns that families in social housing could face financial hardship without budgeting help.
The average household in the study had an income of £200 per week and the training scheme made each household £10 a week better off on average.
Participants began saving an additional £11 every week on average. This may not sound impressive to some people, but it is a step forward considering that the median (average) income for social housing tenants is £10,900, compared with a national median of £23,320.
Recently the Department for Work and Pensions (DWP) announced that budgeting bank accounts could also help Universal Credit recipients manage their money well. It recommended 'jam jar' accounts, which basically separate money for bills and other important expenses from the income that's available to spend.
Image © spectrumblue - Fotolia house
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