October 2021 – Furlough Ends and New Support Fund Begins

05/10/2021

As the furlough scheme and £20 uplift to Universal Credit and Working Tax Credit come to an end, the government has launched a £500 million support fund to help vulnerable households with essentials over winter.

The new Household Support Fund which will be distributed by councils in England and is designed to help those who need it most, including for example, through small grants to meet daily needs such as food, clothing and utilities. It will run over winter and those in need of support will have to contact their local council.

The support available through the fund is provided on a discretionary basis to families facing emergency situations and it is feared that it will not come close to meeting the scale of the challenge facing millions families on low incomes. In addition, how to apply, the qualifying requirements and threshold levels will be up to each authority to decide and this is likely to lead to confusion and regional variation on who gets a grant and who does not.

The Warm Home Discount, which provides a one off £140 rebate on energy bills for those in receipt of the Guarantee Credit element of Pension Credit or on a low income and meet the energy supplier scheme criteria, will remain in place over winter. Cold Weather Payments will also still be available, paying poorer households £25 a week when the temperature falls below zero over winter.

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