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The government’s Household Support Fund (HSF), which allows councils to help families via foodbanks, warm spaces and food vouchers, will be extended for six months.
Reading the Spring Budget earlier today, the chancellor explained he had listened to charities and MPs, and decided that access to the fund should be extended.
Jeremy Hunt said: “[The HSF] was set up on a temporary basis and due to conclude at the end of this month.
“Having listened carefully to representations from the Joseph Rowntree Foundation, The Trussell Trust and honourable members… I’ve decided that when the battle inflict against inflation still not over, now is not the time to stop the targeted help it offers.
“We will therefore continue it at current levels for another six months.”
The fund was launched in October 2021 amid the cost of living crisis to help households get through the winter. It was due to conclude on 31 March.
Over the past two-and-a-half years, £2.5bn has been given out through the HSF.
It is used to support households with the cost of essentials, although local authorities have flexibility in addressing local needs.
The fund applies to England only, with devolved governments receiving money through the Barnett formula alongside this.
Anyone can apply for the fund via their council, but the expectation was that the fund should be used to support households in the most need, particularly those who may not be eligible for other government support.
Support was offered to families, pensioners, people with disabilities and anyone else who could show they were struggling to make ends meet.
Charities had argued for the fund to be extended. Last month, more than 120 organisations wrote to Mr Hunt to urge him to extend it for at least another year.
A cross-party group of 160 councils in England said the HSF is a “vital lifeline”.
“Many at-risk households continue to face considerable challenges in meeting essential living costs, with demand for support greater than when the fund was first introduced,” said Pete Marland, chair of resources board at the Local Government Association.
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