Vulnerable households across the country will be able to access a new £500m Household Support Fund to help them with essentials over the coming months as the country continues its recovery from the pandemic.
The new Household Support Fund will support millions of households and in England and will be distributed by councils within local areas to directly help those who need it most, including for example, through small grants to meet daily needs such as food, clothing, and utilities The cash will be made available to Local Authorities in October 2021.
Richard Fuller, MP for North East Bedfordshire, said:
The £500m Household Support Fund will provide help for the families most in need this winter..
As we enter the final stages of our recovery and the country returns to normal, this fund is being launched for vulnerable households who need some extra support over the coming months with the cost of essentials, adding to the support the government is already providing to help people with the cost of living.
At least half of the fund will help families with children and will bolster existing measures the government has introduced for low-income households, such as increasing the national living wage, the rise in the Local Housing Allowance, expanding the £221 million Holiday Activities and Food which will be offering nutritious meals and enriching activities to disadvantaged children this Christmas, doubling free childcare for eligible working parents and increasing the value of Healthy Start vouchers by over a third.
The Fund also sits alongside the Warm Home Discount which provides a £140 rebate on energy bills each winter to over 2.2 million low-income households and the Cold Weather Payment which provides £25 extra a week for poorer households when the temperature is consistently below zero.
The Barnett formula will apply in the usual way to additional funding in England. The devolved administrations will therefore receive up to £79m of the £500m.