To assist people into work

• The individual loses £ for £ what they earn over the earnings disregard (including losing their housing benefit and council tax benefit) This throws people’s claims into chaos for months, creating problems such as threat of eviction and debt which is a struggle to repay
• The loss of earnings also creates a disincentive to do any work as the individual is no better off for having worked
• For many people who have been unemployed for a long time they may lack the confidence and skills necessary to progress back into work
• These difficulties may encourage people to participate in the informal economy which can mean working for below the minimum wage in exploitative situations and long term being unable to draw on either their experience or references for future employment opportunities

The Community Allowance would enable people to:

• Have their benefits protected (including housing and council tax benefits, free prescriptions etc) for up to 52 weeks while they are on the Community Allowance
• Earn up to an extra £4305 (the equivalent of up to 15 hours a week on the minimum wage) over the course of the year through work they undertake that strengthens their neighbourhood
• Gain access to personalised, tailored support and training from their local community anchor organisation to address barriers preventing them from getting back into work
• Increase their confidence, skills, knowledge and experience
• Build new connections with people and groups in their neighbourhood, increasing their health and well-being