Money saved from washing machines, vacuum cleaners could go on food bank
Posted On July 17, 2021
The UK is facing a $1.3bn shortfall in food bank funding as more people turn to self-sufficient farming and more people rely on loans to buy their groceries.
Key points:Food banks are now a huge part of UK’s economy and are facing a financial crisisFood banks have seen a spike in demand since the Brexit voteIn total, food banks provide about £1.6bn of funding to the UK’s food bank systemThe number of food bank users in the UK has been on the rise since the election, with more than 1.5m people applying for a job in 2016Food banks were created in the 1950s to provide a lifeline to people in crisis after a family was left without enough to eat, often due to a lack of savings.
But with the number of people relying on the system soaring, the government has since introduced legislation which has allowed food banks to become more widely accepted, helping to reduce the financial burden on the government.
More than £300m in food has been used in UK food banks since 2015, according to the Foodbank Foundation, an organisation which supports the sector.
This funding has been largely allocated towards the creation of food banks across the UK, with the latest figures showing a record £1,100m being allocated to the sector in 2016.
The UK is now in the midst of a financial disaster and a new generation of people are looking to get their hands on some cash to help feed their families.
The government is also introducing an increase in the amount of people who can apply for a loan to help with the cost of food, with people being able to apply for up to £10,000 for the first time.
These measures have helped to stabilise the food bank sector, and as the government prepares to announce a further increase in food stamp payments, this trend is set to continue.
Food banks currently receive about £7bn a year from the government, with about one in three food banks is in need of financial support.
But the government is set on boosting food bank spending by £600m over the next four years, which will see food banks receive up to $4bn in extra funding over the same period.
As well as food banks, the UK also has other types of food assistance available, such as cash grants to low-income households.
In order to receive cash grants, a food bank must meet criteria such as having at least one person with the same disability or age, or needing some sort of support to get by.
The money will be given to households with the most severe needs and the lowest income, with some funding going to those who are already on low incomes.
The new rules will apply to food banks in England and Wales from 1 July 2017, but there are also plans to extend the scheme across the country.
The increase in funding will be in addition to other measures announced by the government to help address the crisis.
In February, the Conservatives introduced a bill to help fund a series of changes to the food and farming industry.
These include: a £4bn increase in subsidies for the UK food industry, including a 10 per cent increase in tariffs on UK imports; an increase to the minimum wage, as well as raising the income threshold for the national minimum wage from £7.50 to £9.00; and the creation a new food bank for people who have been unable to afford to buy food.
The bill will also provide £400m to help farmers and producers, with other funding to be provided in future.
Foodbanks have also been at the forefront of campaigning for the establishment of a new social housing strategy, with campaigners warning that the current system of housing benefit and rent subsidy is leaving too many people unable to make ends meet.
But it seems the government’s plans will not be enough to keep the food banks afloat.
With many food banks facing financial problems and food banks already facing a shortage of funding, there are fears the Government will not continue to provide any help to help people in need.
But there are a number of organisations who are fighting to keep food banks going, and are hoping that the government will continue to fund them.
For more information on food banks and how you can help, see our guide to food bank issues