03/01/2012 14:28 GMT

Chris Grayling Announces £200m Package For 'Troubled Families'

A £200 million package to help turn around the lives of Britain's most troubled families was unveiled by employment minister Chris Grayling today.

The outreach programme will be delivered by a mixture of public, private and voluntary organisations which will be paid by results.

Focusing on households with at least one member on benefits, the scheme will complement work by local authorities to help the 120,000 most dysfunctional households in the country.

Prime Minister David Cameron last month announced £448m for councils to send in trouble-shooters to such families over the next four years.

The latest initiative, based on the same principles as the payment-by-results Work Programme, is designed to help people acquire the skills to find work and stay in it.

It will also assist with family and parenting issues, money management, alcohol and drug abuse and housing problems.

Eight welfare-to-work companies have been appointed by Grayling to work with councils and more than 200 local organisations, most of which are voluntary or charitable groups.

It will be funded out of money from the European Social Fund.

Grayling said: "This will be a big part of the work we do to tackle the challenge of troubled families.

"The organisations taking part in this programme are staking their own money on their ability to turn the lives of these people around.

"This is our second big payment by results project, and demonstrates clearly that there is a real commitment out there to deliver social change and to help people do much better with their lives.

"We now have a comprehensive programme, built on a partnership between national and local government, that I believe can make a real difference to these troubled families."

In December, Mr Cameron pledged to help the most chaotic 120,000 families who he said were costing taxpayers £9 billion a year through drug addiction, alcohol abuse and crime.