A fledgling scheme to provide emergency help to the poorest in the country is in chaos, with £67m left unspent and record numbers of families being turned away.{jcomments on}

Figures released in response to Freedom of Information Act requests indicate that by the end of January councils in England were sitting on £67m of the £136m that had been allocated to local welfare schemes.

Half of local authorities had spent less than 40% of their funds.

An analysis by the Guardian shows that under the new local welfare assistance schemes, four in 10 applications for emergency funds are turned down, despite evidence that many applicants have been made penniless by benefits sanctions and delays in processing benefit claims.

Under the previous system – the social fund – just two in 10 were. In some parts of the country, as few as one in 10 applicants obtain crisis help.

The schemes were designed to help low-income families in crisis, such as those in danger of becoming homeless or subjected to domestic violence.

Charities and MPs have warned that those denied help are turning to food banks and loan sharks.

Read the full story in the Guardian

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