More and more people receive social assistance and more and more people struggle with financial difficulties

Price increases have left many people under greater financial pressure. Most can handle the increased expenses, but for some the situation has become so demanding that they need NAV's help. The Directorate of Labor and Social Welfare asked the 12 largest municipalities in the country about the development of the situation in the area of ​​social assistance over the last year. The survey shows that:

• In September this year 16% used social assistance. more compared to the same period last year. This increase varies in individual communes and ranges from 8 to 35 percent.
• The largest group of new recipients are Ukrainian refugees
• Some people receiving NAV benefits needs additional social assistance
• More and more families with children and teenagers up to 30 years of age benefit from social assistance
• More people on low incomes or previously living on the margins receive social assistance
• More and more people are seeking financial advice and debt advice

Municipal authorities also note an increase in the number of people needing financial and debt counseling. NAV director Hans Christian Holte is not surprised by the development.

– This both confirms and nuances the stories we have seen and heard in the media and from other entities. When we see a growing number of people in Norway who do not have enough money to pay for basic things such as housing, electricity, food and activities for children, this is a development we do not want and which we must counter, says Holte.

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The labor market in Norway is strong, with low unemployment and labor shortages

Among the new beneficiaries of social assistance, the largest group are Ukrainian refugees. Most of them participate in Norwegian introductory programs and training under the auspices of municipalities. Until they start the program and receive the introductory allowance, they can benefit from social assistance. After completing the induction program, the goal is to get a job. However, for those who have not found a job, economic social assistance will often be the only option to receive monetary support from NAV, as they are not entitled to other benefits.

– We believe that many people in this group have good conditions for getting a job. We see more and more people employed, but to be even more successful we need more and more employers to open their doors, says Holte.

He adds that the labor market in Norway is strong, with low unemployment and a labor shortage. This creates good conditions for attracting more people from outside.

Greater attention to children's needs

All NAV offices participating in the survey also said that more attention was paid to children. Two changes in particular are clear: NAV offices have become more generous towards children and are mapping children's needs more systematically. Part of the explanation is that the law required the exclusion of child support when calculating financial social assistance and that the supervision by the State Administrator was effective.

– The fact that children are getting more attention is a very positive thing and something we have been actively working on all along. We know that the earlier we detect vulnerable children, the greater the chances of reversing unfortunate developments and the unfortunate consequences of difficult living conditions. Therefore, when making decisions, we must always think about children, and this study shows that we do it too, says the director of NAV.

Increased pressure on NAV offices

Housing is a big topic in the survey. It seems that a large part of the problems people face revolve around housing. As interest rates and prices rose, rental property prices rose. The supply of rental housing is also very poor in several places and has become even smaller in result of Norway's adoption many Ukrainian refugees.

In addition, 12 municipalities mention that changes in specialist health services have resulted in a greater need for temporary housing. In practice, this means that very sick people go home earlier than before, and some of this group find it difficult to find an apartment for them. However, none of the surveyed communes stated that they were unable to find apartments for people in need. However, they inform that there is pressure on the services.

Although municipalities assure that they are coping with the situation, they do not hide the fact that the pressure on social care has increased.

Hand in hand with volunteers

Some of the people NAV helps also receive help from volunteers. In many places there is close and good cooperation between NAV and the voluntary sector. Three of the surveyed municipalities have volunteer coordinators, and many of them regularly meet with volunteers. In some municipalities, NAV and volunteers cooperate in their areas.

– NAV and the voluntary sector play different roles, but what they have in common is that we meet many of the same people. In the current situation, where many people are facing financial difficulties, it is especially important that we stick together and use each other's knowledge to help people in the best way possible, says Holte.