The decision to axe the Social Fund, a Department for Work and Pensions pot of community care grants and loans, has seen responsibility for helping families in financial crisis handed to councils since April.
But in its report Nowhere to Turn? Changes to Emergency Support, the charity has found that government money given to councils to replace Social Fund cash has been cut by almost half (46 per cent) since 2010.
For the year 2013/14, councils have been allocated £178m to spend on localised elements of the Social Fund. This is £151m less in real terms of the money on offer in 2010.
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