Halifax reaction to study that suggests giving cash to people experiencing homelessness

A new study with a small sample size out of the University of British Columbia suggests giving those experiencing homelessness an infusion of cash could help get them off the streets.

This approach has people like Allan DeYoung talking.

The coming winter will be DeYoung’s third living in a shed in Dartmouth. “I’m one of the lucky ones because I have this,” he said pointing to the space he calls home.

He said he feels lucky to have the shed because many others in Halifax have just a tent separating them from the elements.

But there may soon be a new approach to tackling the homeless issues in Canada.

“People tend to dehumanize individuals in homelessness. We think they are less warm, less competent and less capable especially when it comes to money matters,” said Jiaying Zhao.

Dr. Jiaying Zhao is an associate professor of psychology at University of British Columbia. As an experiment, a group from the school gave 50 homeless people in Vancouver $7,500 and then followed them for a year to track their progress.

The study found most money was spent on rent, food, housing, transit, furniture, a used car and clothes. It also proved to be a money saver for government.

Allan DeYoung pictured Aug. 30, 2023. (CTV Atlantic/Jonathan MacInnis)

“The cash transfer generated a net savings for government and society. It’s actually cheaper than what we currently spend on homelessness,” Zhao said.

When asked what he would do with $7,500, DeYoung didn’t hesitate with his answer.

“I would keep $1000 for myself, put it in my bank account and donate the rest to Margaret’s House,” DeYoung said.

Margaret’s House is a Dartmouth charity that gives free hot meals to adults in need.

“I go to Margaret’s House to get my meals and stuff,” he said.

Bill Lord, a volunteer at St. Paul’s Church in Halifax, said many of the people living in tents in the city’s Grand Parade have been forced there due to renovictions.

“They can’t afford an apartment anymore and so they’re reduced to using tents,” said Lord.

Lord read the UBC study and would like to see a similar trial attempted here.

“Well the $7500 is a nice idea, it simply shows that the people who receive that money use it wisely rather than fritter it away.”

With the study over, there is talk about bringing it to other cities in the U.S. and Canada, so there is a chance it could show up here in the Maritimes.