Thousands of households across the UK are set to receive a £200 cost of living payment from the government this year, even if they are not currently claiming traditional benefits such as Universal Credit or Jobseeker’s Allowance. The Department for Work and Pensions (DWP) and local authorities are disbursing these payments through a lesser-known channel – the Household Support Fund – to help vulnerable residents manage the rising costs of energy, food, and other essentials.
This development comes as part of the government’s wider effort to alleviate the financial pressure on low-income households, many of whom are struggling amid record inflation and soaring fuel prices. With energy costs still significantly higher than pre-crisis levels and food inflation remaining stubbornly high, the impact of the cost of living crunch continues to be felt across the country.
What Is the Household Support Fund?
The Household Support Fund (HSF) was first launched in October 2021 and has been extended multiple times, with a renewed funding package of £842 million for use between April 1, 2023, and March 31, 2024. The HSF is administered by local councils across England and is designed to assist households that might not qualify for other forms of government support.
One of the key strengths of the HSF is its flexibility. While similar support schemes require recipients to be on certain benefits, the HSF allows councils to decide how and to whom the money is distributed. This means that those who are not claiming benefits – such as pensioners, low-income workers, or self-employed individuals with unstable incomes – can also obtain financial help.
The exact structure of support varies from area to area. In some regions, eligible households receive direct cash payments of up to £200, while in others, support comes in the form of supermarket vouchers, fuel vouchers, or help with rent and utility arrears.
Who Is Eligible for the £200 Payment?
Eligibility for the payment largely depends on criteria set by each local council. Since the government has allowed local authorities to use their discretion, it is important for residents to check with their councils about the form of assistance provided and the application process.
Generally, councils target support at vulnerable households, including the elderly, families with children, people with disabilities, carers, and people on low incomes. Many councils automatically identify eligible households using existing records, but others require residents to apply directly.
For example, some councils automatically send supermarket vouchers to families who are already eligible for free school meals, while others open online application portals for residents to submit information about their household income, employment status, and living costs.
Recent Case Examples
In Kent, the county council announced an additional £200 payment for eligible low-income households this winter, specifically targeting those with higher heating or food costs. The payment is being managed in partnership with local district councils and distributed via direct bank transfers or voucher schemes.
Similarly, in Nottinghamshire, the local council has been using the HSF to provide one-off £200 grants to households facing hardship, regardless of whether they are on DWP-administered benefits.
Further north, in County Durham, the council’s approach has included extending help to working families who are above the benefits threshold but still struggle financially, reflecting the government’s push to include more lower-middle-income households.
How to Apply or Check Eligibility
Since the Household Support Fund is administered locally, residents should visit their local council’s website or contact the council directly to find out what help is available. Most councils have dedicated cost of living or Household Support Fund sections where eligibility criteria, application processes, and deadlines are outlined.
Here are a few general steps residents can take:
1. Visit the official website of your local council.
2. Search for the “Household Support Fund” or “cost of living help” section.
3. Check eligibility requirements and determine if you need to apply.
4. Submit an application form if required, including documents such as proof of income, housing costs, or energy bills.
It is advised to act quickly, as some councils operate the fund on a first-come, first-served basis until their allocated funds run out. In some areas, applications must be submitted before specific deadlines in order to be processed in time.
Why This Matters
While the better-known cost of living support payments from the DWP generally go to those on means-tested benefits, the existence of the Household Support Fund ensures that support reaches a broader swathe of the population who may be struggling but fall outside the traditional welfare system. This includes the working poor, those between jobs, informal carers who receive little financial recognition, and households facing unexpected financial emergencies.
With fuel costs remaining high and colder months approaching, any financial support – whether it comes as a direct payment, voucher, or energy grant – can make a considerable difference.
Time Is Running Out
The current round of the Household Support Fund is only scheduled to run until March 31, 2024, unless new funding is announced in the Spring Budget or through emergency measures. Households who believe they might be eligible are encouraged to seek support as early as possible to maximize their chances of receiving help.
While the £200 payment may not solve all financial woes, it represents a crucial lifeline for many and highlights the importance of exploring local sources of assistance beyond national welfare.
