CSR 2010 preview: Working Neighbourhoods Fund

In the run-up to next week’s Comprehensive Spending Review we are examining the likely fate of regeneration funds and programmes. Today, we look at the Working Neighbourhoods Fund.

What is it? Announced in 2007, this fund aims to help unemployed people back to work in the 65 English areas with the greatest levels of worklessness and deprivation. As part of the area-based grant to local authorities, it is not ring-fenced and not subject to central targets. The most common areas for spending have been training, providing help to local employers, financial inclusion work and assisting business start-ups.

What has funding been worth? The DCLG pledged £450 million for the fund for 2008/09, and more than £500 million in both 2009/10 and 2010/11. Additional money came from the Department for Work and Pensions. In June, the coalition Government cut the DCLG contribution by £50 million to £458 million.

CSR prospects The DWP intends to phase out existing welfare-to-work initiatives, including the Working Neighbourhoods Fund, and replace them with a single Work Programme. The scheme, which could be rolled out as early as next year, will seek bids for private and third sector providers to run personalised programmes for the unemployed.

• Regeneration & Renewal’s full Which Funds Will Survive? article can be viewed here.