Thousands of households to get £250 cost of living payment this winter – are you one of them?

THOUSANDS of families struggling with financial hardships can now claim cost of living payments worth up to £250.

Cash-strapped households can get access to the money through the government’s Household Support Fund (HSF) this winter.

The pot of cash is handed out by local councils and it varies from area to area.

The aid was set up in 2021, however, it has been extended by the UK government a number of times. 

How much you are eligible for is usually based on what benefits you already receive and your financial circumstances. 

Rotherham Council is now offering struggling families £250 grants to fight the cost of living.

It said the aim is to provide crisis support to financially vulnerable households most in need – and will come out of a £1million pot provided by the government.

The fund will also be available to support those who are struggling to afford household basics including food, energy, wider essentials, and exceptional costs.

Rotherham Council says to qualify for the grant, residents must have no more than £150 remaining each month after covering essential expenses like food, rent or mortgage and utility bills, the BBC reports.

A spokesperson from the council confirmed applicants did not need to be on benefits to apply for this fund.

To apply, residents will have to submit their bank statements and provide more information about their basic finances, including bills, earnings, and expenditures.

Chris Read, Rotherham Council leader, said: “We don’t want anyone to be worrying about turning off the heating this winter because they can’t afford their bill.

“Whatever your age, if you just aren’t able to keep up with your gas or electricity bills this winter, please do get in touch and see if our crisis scheme can help you.”

What if I don’t live in Rotherham?

It is not only households in Rotherham which get access to the Household Support Fund (HSF).

The government has released £421 million which will be distributed between councils and then dished out to vulnerable residents over the colder season.

The pot of cash will be available from October this year until March next year.

This comes as the current scheme closes today, September 30, after the latest round of £421 million was used to help struggling households across the country.

The portion of funding each council gets is based on the size of the population, catchment area, and need.

This time Birmingham will receive the greatest share for instance, worth £12.8million.

Receiving the second largest share will be Kent, with £11million, and Lancashire will get £9.7million.

Not every council will receive as much funding as this.

The Isle of Scilly will receive the least amount of cash, worth £11,130.

The City of London will also be allocated £63,080, and Rutland £157,371.

Councils which have higher numbers of vulnerable households will get more cash based on demand.

Tower Hamlets, for example, is the most deprived area in London and will get £3million.

How the cash gets distributed will be decided by each council, so what you can get will vary depending on where you live.

Around £79million is estimated to be provided to the devolved governments in Scotland, Wales and Northern Ireland for them to decide how best to support their citizens.

How do I apply?

To be eligible for help, you usually have to be in receipt of a council tax reduction or show proof of being in financial difficulty.

Each council has a different application process – so you’ll have to ask your local authority or find out via your council’s website.

Not all councils have decided how they will distribute the cash yet, so you may have to wait to get all the information.

To find out how to contact your local authority, use the gov.uk authority tool checker.

In the last round of funding, some residents received their share automatically, while others had to apply.

For example, Haringey London Council is issuing automatic payments to eligible residents, as well as a support fund which can be applied to.

It is also issuing payments to schools, which means they can distribute free school vouchers.

In previous years, other authorities have offered cost of living vouchers – such as Coventry City Council.

This has included a Community Supermarket scheme, where all Coventry residents could pay £5 weekly and receive a basket of food worth up to £25.

Residents of Effingham, near Guildford, have been able to claim up to £300 free cash to help with the cost of living crisis.

Surrey council previously poured £300,000 into food banks, where photo ID and proof of address is required, but no referral needed.

While some schemes, such as the Surrey Crisis Fund, which can offer up to £100 to those immediately in need, are reserved for those who also rely on other means-tested benefits.

What else can we expect from the new government?

The Household Support Fund was introduced by the Conservative government in 2021.

This year, Secretary of State for Work and Pensions, Liz Kendall MP, said:

“We have invested an extra half a billion pounds in the Household Support Fund to give struggling families and the poorest pensioners the help they need this winter.

“As local authorities across England deliver this lifeline support to help households with the costs of feeding children and heating homes, we are continuing our work to fix the foundations of our country, grow the economy and deliver opportunities for people to get work and get on in work, so everyone feels better off.”

The Labour government is set to announce a new scheme which they have named The Child Poverty Taskforce.

The information for this will not be published until Spring 2025, however the government have promised to regularly engage with people, communities, and organisations to help shape the strategy.