Employment minister Chris Grayling announces new payment-by-results scheme
More than half of the organisations involved in a new £200m payment-by-results project to help troubled families will be from the voluntary sector, according to the Department for Work and Pensions.
Employment minister Chris Grayling announced details of the scheme this morning. He said organisations were "staking their own money on their ability to turn the lives of these people around".
Eight welfare-to-work providers will lead the initiative by working with councils and local organisations to identify and provide services that will help the most troubled families in England.
This follows Prime Minister David Cameron’s announcement on 15 December that turning around the lives of 120,000 of the most troubled families was a priority for the government.
The Wise Group threatened to take legal action against the DWP last year after it was overlooked in the bidding for Work Programme prime contracts.
The other organisations, which are all from the private sector, are: G4S Care and Justice Services, Reed in Partnership, Skills Training UK, Paragon Concord, EOS and Twin Training International.
Grayling said in a statement: "This is our second big payment-by-results project and demonstrates clearly that there is a real commitment out there to deliver social change and to help people do much better with their lives."
A DWP press release said more than 200 local organisations that are currently delivering the Work Programme would be involved, adding "the majority of the work" would be "delivered on the ground by local charitable groups".
It said: "These providers will bring with them the expertise needed for the job and over 50 per cent of the organisations are from the voluntary and social sectors."
The programme is expected to offer services such as CV writing, parenting support and debt management.