Reasons for picking Pak as an anti-poverty partner

In particular, the authors of those letters question the selection of Pak’s supermarket as the retail partner for the scheme, and I am writing on behalf of the group to explain the clear rationale for this decision.

At their meeting on 12th December, members of the group expressed concern about the growing number of Rotherham people being forced to access high cost credit to cover their short-term living expenses, including food – a situation that is always made worse by the cost of Christmas. The group – which has members from the Council, the NHS, Voluntary Action Rotherham, the Department for Work and Pensions and South Yorkshire Police – agreed to look at how they might support those families facing financial hardship this year by facilitating interest-free loans for a limited period, for food only.

As has been widely reported, Rotherham Borough Council has contributed £80,000 for the loan fund itself, and NHS Rotherham has provided a further £20,000 to support the food banks already in existence and providing support to the homeless and other vulnerable local people. It was agreed that the loans would be in the form of vouchers, the redemption of which would be limited to food and non-alcoholic drinks only, with alcohol, cigarettes and lottery tickets excluded from the scheme.

Once the decision had been taken, the scheme had to be set up and ready to run in a week (effectively five working days) if it was to be available to people at their time of greatest need. This necessitated a considerable amount of work to ensure that a credit union had the right systems and enough people to administer the scheme, and that the potential for counterfeit vouchers to be produced was minimised.

Due to the tight timescale, it was agreed that the retail partner selected to deliver the scheme would need to respond quickly and flexibly, with the ability for speedy local decision-making. At least one other major retailer, for example, indicated that they would need at least 12 months’ notice to deliver such a project, and that decision-making would need to be through their Head Office. They also expressed reservations at their ability to 'police' the use of the vouchers on the proposed restricted items.

For these reasons, the locally-managed Rotherham branch of well-established retailer Pak’s (also with branches in Birmingham and Leicester) was approached. The store offered a number of advantages over other retailers – a willingness to administer the voucher scheme with its associated restrictions; offering an excellent selection of fresh fruit and vegetables; a 'no alcohol' sales policy; opening hours across the Christmas period and easy access for local people. The Welfare Reform Steering Group is grateful for the continued support of Laser Credit Union and Pak supermarket for their willingness to work quickly and flexibly to administer the scheme.

The scheme as it stands has been well-received and the number of loans issued has reached more than 80. There have been no complaints from the individuals and families choosing to access the scheme and indeed, a number have indicated their appreciation at the quality of produce and service received.

Subject to a detailed evaluation of the 2012 scheme once it has concluded, it is hoped that similar support can also be provided to needy families and individuals next Christmas. An early decision on this would enable longer-term planning and the opportunity to involve other/more supermarkets earlier in the process to extend the reach of the scheme.

I would take this opportunity to remind people who feel they may qualify for the loan scheme that the fund will be available until 2pm on 11th January, and any vouchers issues will remain valid until 31st January.

Carole Haywood Manager, Rotherham Partnership