DWP offers £421m cost of living payments package after Rachel Reeves winter fuel cuts
Millions of vulnerable people will receive more help this winter through the Household Support Fund, according to the DWP.
The Department for Work and Pensions (DWP) has announced that vulnerable households will receive more support for essential costs this winter with a six-month extension to the Household Support Fund.
The £421million extension aims to provide Local Authorities across England with certainty until April 2025 as they assist those facing difficulties with energy, food, and water costs. It comes after Chancellor Rachel Reeves made huge cuts to winter fuel payments for pensioners in a move which has sparked outrage and concern.
Pensioners and others having trouble heating their homes or affording essential items are encouraged to contact their local council for information on available support. Details on the new scheme will be shared with local authorities and councils in the coming weeks, according to the DWP.
Many councils also use the Fund beyond emergency support, including working with local charities and community groups to provide residents with key appliances, school uniforms, cookery classes, and items to improve energy efficiency in the home.
An estimated £79million will be allocated to Devolved Administrations through the Barnett formula. This funding allows administrations in Scotland, Wales, and Northern Ireland to decide how to distribute the additional resources.
The Government said it will continue to collaborate with these administrations to support vulnerable individuals across the country.
This follows reports that up to 1.3 million more people have fallen into poverty since 2010, with living standards experiencing the largest year-on-year drop since records began in 2022/23.
Liz Kendall MP, Secretary of State for Work and Pensions, commented: “We are extending the Household Support Fund for the next six months because it is a lifeline for people who are struggling with the cost of living.
“The dire inheritance we face means more people are living in poverty now than 14 years ago – and this Government is taking immediate action to prevent a cliff edge of support for the most vulnerable in our society.
“At the same time, we are taking action to fix the foundations of our country through our plans to grow the economy, make work pay, and Get Britain Working again.”
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Chancellor Rachel Reeves said: “The £22billion blackhole inherited from the previous Governments means we have to take tough decisions to fix the foundations of our economy.
But extending the Household Support Fund is the right thing to do - provide targeted support for those who need it most as we head into the winter months.”
Councils in England determine how to allocate their funds based on local knowledge and community input. Each council makes its own decisions on how to distribute the support, and payments can vary from anything between £50 to up to £550.
People can find out what their local councils are offering and who is eligible to apply by visiting the respective websites.
