Community Allowance scheme pilots announced

Foresight, Learning Links and St Peter's Partnerships will benefit from DWP scheme for unemployed

A Government-backed project to help community organisations employ people on benefits has unveiled the three organisations that will pilot the scheme.

The Community Allowance scheme will allow people on Incapacity Benefit or Employment Support Allowance to do up to 16 hours a week of work that benefits their community, paying them up to £92 a week without affecting their benefit entitlements.

It is run by the Create Consortium, a group of not-for-profit organisations set up to promote the scheme, on behalf of the Department for Work and Pensions.

The three organisations that will take part are disability charity Foresight in north-east Lincolnshire, educational charity Learning Links in Portsmouth and the Isle of Wight, and community charity St Peter's Partnerships in Manchester.

The project is expected to run for two years from January.

A report from the New Economics Foundation, released at the launch of the scheme at the Houses of Parliament this week, estimates that for every £1 spent the scheme will create £10 of "social value", which takes into account factors such as community benefit and saving to the taxpayer.

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