| Circular SWSG7/94 5458 - Community Care - The
Housing Dimention
ANNEX 5
SOURCES OF FUNDING
Introduction
1. This Annex sets out possible sources of capital and
revenue funding for housing for community care client groups; indicating for each type of
funding the source, which bodies are eligible, and for what purposes the funds can be
used.
General
2. While for convenience capital and revenue funding
sources are discussed separately, naturally they will need to be considered together in
the funding of an individual project; and often more than one source of funding will have
to be used to cover project costs. This is particularly true of revenue funding. Housing,
social work and health bodies will therefore wish to consider funding at an early stage,
including not only capital and other start up costs, and short term revenue funding; but
also long term revenue funding arrangements which will allow the project to
continue for the foreseeable future. It is recognised that commitments to long term
funding will be subject to performance standards being met, and that funders will be able
to commit their budgets in advance for only a limited number of years. Nevertheless,
programme and project managers should aim to assemble a package of funding which has a
reasonable prospect of continuing for the long term. This is particularly important for
housing associations and other voluntary providers which may find it difficult to meet
shortfalls from other sources. Funders will wish to bear in mind the consequences for
their own community care plans if community care housing is lost because of financial
problems, particularly where the occupants have been moved from hospital or residential
accommodation which has since closed.
3. Revenue funding packages should also be based on
realistic assessments of void percentages, and hence the loss of income from voids.
Funders should ensure that the number of voids is not increased unnecessarily, for example
because of delays in community care assessments.
Capital Funding
4. Unless otherwise indicated, capital funding can be used
for new build, conversion, adaptations, and provision of equipment.
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Housing
Revenue Account (HRA) Capital Allocations
|
SOEnv
|
Local
housing authorities
|
New
build, work on housing authorities' own stock. |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Non
Housing Revenue Account Capital Allocations
|
SOEnv
|
Local
housing authorities |
Different
purposes are covered by different grants from the non-HRA discretionary improvement grants
for works to make a house suitable for the welfare, accommodation or employment of a
disabled occupant. Grant to provide an additional standard amenity for meeting a disabled
occupant's particular needs is available as a right. Grants for other community care
groups under a Care and Repair scheme which may be administered by a voluntary body.
Assistance can be given by authorities to private sector landlords under section 24 of the
Local Government Act 1988, and to housing associations under section 59 of the Housing
Associations Act 1985. |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Capital
Allocations (mainly funded by receipts)
|
SOID
|
New
Towns Development Corporation
|
Provision
of new amenity housing and some modernisation of existing stock. |
| Grant
in aid/ private finance
|
SOEnv
|
Scottish
Homes
|
Own
stock - as for housing authority HRA. Also covers assistance to housing associations and
others discussed below. |
| Social
Work Capital Allocations
|
SOHHD
(SWSG)
|
Social
work authorities and through them voluntary sector care providers
|
Contribution
to costs of new build or conversion for those requiring social care. Movable aids and
equipment (SDD40/85 /SWSG17/1985). |
| Funding
of Aids/equipment
|
Health
Boards
|
Appropriate
users with physical disabilities
|
Aids
or equipment directly related to management of an illness. |
|
Social
work authorities |
|
Moveable
equipment. |
|
Housing
authorities
|
|
Permanent
equipment (SDD40/85 SWSG17/85; NHS1985(GEN)33) |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Mental
Illness Capital Grants
|
SOHHD
|
Voluntary
organisations
|
Development
of community based facilities for the mentally ill (including those who would otherwise be
admitted to hospital - covers dementia, brain injuries). |
| Housing
Association Grant (HAG)
|
Scottish
Homes
|
Registered
Housing Associations
|
New
build or rehabilitation of housing for community care groups. |
| Special
Needs Capital Grant
|
Scottish
Homes
|
Private
sector and voluntary sector not covered by HAG - 40% grant maximum |
as
HAG. |
| Private
Finance (including charitable finance)
|
Private
Sector
|
a)
private sector's own projects b) contribution to statutory or voluntary sector projects
|
In
principle all community care housing, but commercial funders require commercial return. |
Revenue Funding
5. The following list of sources of revenue does not
explicitly cover the residents' own income, though it does refer to social security
benefits. The latter may be linked to charges to residents. Social work authorities are
required to charge for residential or nursing home care which they arrange to provide in
their own homes or otherwise, and they may charge for other social work services. Benefit
payments to individuals and other income/capital available to them is likely to be taken
into account.
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Housing
Revenue Account (HRA) Revenue Expenditure
|
Mainly
Rent Income
|
Local
housing authorities
|
Management
and maintenance of council owned accommodation; provision of housing welfare services to
council tenants; financing of aids and adaptations to council housing stock (may also be
met from general fund). |
| General
Fund - housing authorities
|
Scottish
Office/Charges
|
Local
housing authorities
|
Housing
welfare services - may also be charged to HRA. |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Housing
Support Grant
|
SOEnv
|
Local
Housing Authorities
|
To
meet net running costs of local authority housing department hostels. |
| Own
Revenue
|
SOEnv/ID
Rents etc
|
Scottish
Homes/housing associations, new towns
|
Housing
management costs (including welfare except new towns), repairs, maintenance - not social
or health care. |
| Social
Care Funding
|
Social
work authorities
|
Social
Work Authorities and through them voluntary and private care providers |
General
contribution to social care costs. |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Bridging
Finance
|
NHS
Management Executive
|
Health
Boards via social work authorities and co-partners (statutory and voluntary agencies)
|
Double
running costs of running long stay hospitals simultaneously with replacement community
care services and facilities. |
| Joint/Support
Finance
|
Health
Boards
|
Housing
associations Community care and other voluntary housing agencies
|
projects
benefiting NHS. |
| Resource
Transfers
|
Health
Boards
|
Social
work authorities, and via them statutory and voluntary bodies
|
To
meet social care and support costs previously borne by NHS but released through
contraction of long-stay sector. |
| Mental
Illness Specific Grant
|
SOHHD
|
Social
work authorities and via them independent care providers
|
Development
of community based facilities for mentally ill (including those who would otherwise be
admitted to hospital - also dementia, brain injury). |
| Urban
Programme
|
SOID
|
Projects
in deprived areas - competitive, LA sponsorship required |
Revenue
costs for 3 to maximum 7 years. |
| Type
of Funding |
Source
|
Those
Eligible |
Purpose
|
| Special
Needs Allowance Package
|
Scottish
Homes
|
Registered
housing associations and co-operatives
|
Enhanced
housing management costs of supported housing. |
| Housing
Benefit
|
Local
housing authorities, new towns and Scottish Homes
|
Individuals
not in residential care
|
Housing
costs - not service, meals, or care costs. |
| Income
Support Preserved Rights
|
DSS
Benefits Agency
|
Individuals
in - residential* care - or nursing homes+ before 1 April 1993
|
Accommodation
costs, including social and nursing care costs. |
| Income
Support - No Preserved Rights
|
DSS
Benefits Agency
|
Individuals
in registered residential care or nursing homes who become resident from 1 April 1993 or
later |
Contribution
towards the accommodation costs, including social care costs. |
| Residential
Care Allowance
|
Social
Work Authorities
|
Individuals
in registered residential* care or nursing homes+ or other non-registered supported
accommodation resident from 1 April 1993 or later |
Care
costs. |
| Other
Social Security Benefits
|
DSS
Benefits Agency
|
Eligible
individuals eg disabled
|
Depends
on benefit - may cover some costs, and/or increase income of individual. |
* Registered with Social Work authority.
+ Registered with Health Board.
|
