6. What steps is the Welsh Government taking to help charities that provide housing support and homelessness services? OQ59248

Thank you, Peter Fox. The Welsh Government continues to support local authorities and third sector providers to assist people in housing need. We have provided over £207 million for housing support and homelessness services this financial year alone, supporting local authorities and third sector providers to deliver front-line services to prevent and relieve homelessness.

Thank you, Minister. As you know, more than 60,000 people across Wales currently rely on the housing support grant, which provides much-needed aid for those facing societal problems. The decision of your Government in its final budget to deliver a real-terms cut to this grant has unsurprisingly brought huge concerns through the third sector. One of those concerned organisations is the charity Pobl. They previously warned the Welsh Government that it was crucial that the grant funding be increased because homelessness and housing support services are already facing a 10.1 per cent increase in costs this year. But because of the real-terms cut to the grant, they have told me that some essential housing services and homelessness services are now under threat. Minister, do you agree with me that it was a mistake not to increase funding for the grant, and what will your Government do now to ease the third sector's serious concerns?

Thank you, Peter. In support of our ambition to end homelessness, as I said, we're already investing over £207 million in homelessness and housing support services this financial year alone. Our main homelessness prevention grant is the housing support grant, which is provided to local authorities. In 2021-22, this was increased by £40 million, which is over a 30 per cent increase, to £166.763 million. For 2023-24, we've been able to maintain that increase in the housing support grant budget, so it remains at £166.763 million, despite the extraordinarily difficult budgetary position we currently face. We also uplifted funding for the vast majority of projects funded by the homelessness prevention grant by 6 per cent in 2023-24. We recognise the pressure on homelessness services, so the homelessness prevention budget also will increase by £15 million in 2023-24, which is an additional £10 million more than previously planned.

We face an unprecedented problem, don't we, with the inflation. The inflation is causing a real problem out there, but it's also causing a real problem in here. The money we have had goes less far, and the money they have goes less far. So we've been working with our local authorities to make sure that services can be maintained. We're currently running a recruitment campaign into housing advisory services. I really pay tribute to the staff, who have worked tirelessly throughout the pandemic and really stepped up to the mark; I'm proud of what Wales has achieved. But the budget situation this year has been awful—it's the worst I've ever seen, and I've been a Minister here for a very long time now. It has not been possible to do everything we'd wanted to do. But we have managed to maintain an unprecedented increase in that budget, and we've put the homelessness prevention budget, as I say, up by £15 million already. I have a lot of sympathy with the sector, I pay tribute to the work that they do, but the budget situation this year has been very difficult.