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A Global First Direct Cash Transfer Study Shows Promising Results for People Recently Homeless - PRNewswire

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"When I found out I had been accepted to receive the cash transfer, I was living in an emergency shelter, trying to find a way forward," says Ray, a New Leaf project participant. "The money gave me the resources I needed to get out of the shelter and push for the social programs and the computer class I needed. It was an important stepping-stone and it gave me a choice. It gave me a chance." 

Foundations for Social Change CEO, Claire Williams, wanted to show the viability of cash transfers for people who are experiencing homelessness. "To prevent people from becoming entrenched in homelessness, we need to provide meaningful support as close to the time of becoming homeless as possible," says Williams. "Our research shows that cash transfers allowed people to access housing faster, improving stability and lowering the risk of trauma."

Foundations for Social Change conducted the New Leaf project in partnership with UBC in spring 2018 using science-based measures to track outcomes and evaluate the impact of giving direct cash transfers. The study compared a group who received the cash transfers with a control group that did not. A variety of other support was available to both groups. All participants were assured of anonymity and privacy. 

"To receive a direct cash transfer, participants had to meet criteria that showed no misuse or abuse of substances," explains Dr. Jiaying Zhao, Principal Investigator and Professor, UBC. "These individuals also demonstrated no major symptomology for mental health disorders, and showed a readiness for change." 

By empowering individuals to meet their own needs, research shows that participants reduced spending on goods such as alcohol, cigarettes, or drugs, spent fewer days homeless, and achieved greater food security. Moving out of a shelter into housing provides stability, reduces the risk of experiencing trauma, improves health and frees up shelter beds for others in need.

Homelessness is a pervasive problem with no single solution that is effective in all cases. The New Leaf project shows that a direct cash transfer is a bold and innovative solution for people who have recently become homeless and provides solid evidence that a lump sum of money can provide a transformational difference.  

Further data results and study parameters: forsocialchange.org 
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About

Foundations for Social Change is a Vancouver-based charitable organization that develops innovative programs helping vulnerable populations in our communities. We seek solutions to ongoing social issues, such as homelessness, with a bold entrepreneurial mindset using data and evidence to evaluate our work and measure impact. Bound by our shared humanity, we stand for an inclusive society where everyone has the opportunity to achieve their full potential. forsocialchange.org 

We believe that economic inclusion is critical to being able to participate in society and that no one should be left behind. This requires disrupting the status quo, and compels us to think radically and test innovative solutions that have not been tried before. 

SOURCE Foundations for Social Change

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