People on low incomes can apply for financial help from their council. The government is putting another £421 million into the Household Support Fund, on top of a previous £1.5 billion aimed at helping those in serious need.
Local councils normally hand out fund money as cash or vouchers. The new cash, added to the fund yesterday (October 1, 2022) will be distributed until March 31, 2023.
Grants from the Household Support Fund are obtainable by contacting your local authority. If you’re not sure of your local council, you can find out by entering your postcode into the Government’s online tool.
READ MORE: Protestors march in Bristol against high energy bills
The Household Support Fund grants are intended to help people on low incomes pay for everyday essentials. Eligibility criteria, and the amount of money on offer, will vary between different local authorities.
Central Government is also rolling out a series of targeted cost of living payments. It has valued its package of cost of living support at £15 billion, The Mirror reports.
DWP minister Victoria Prentis said: "The Household Support Fund has been an important government support scheme for many of those in need over the past year, and I’m very pleased that our decision to extend it means it will continue to help people with the costs of essentials - including food and energy - this winter.”
Energy bills have risen for millions households from yesterday as the £2,500 Energy Price Guarantee comes into effect. Almost 500,000 people could be forced into higher energy bills with pre-payment meters
The new Government initiative replaces the Ofgem price cap - which would’ve seen bills rise to £3,549 for someone with typical use - and will be in place for two years. It means households won’t face the hideous rises that were expected to come next year - with analysts previously predicting that gas and electricity bills will hit £6,000 in 2023.
But the £2,500 figure that kicked in from yesterday is still higher than the current price cap, which is £1,971. Much like the old Ofgem price cap, what the Energy Price Guarantee will do is cap the unit rates you’re charged for gas and electricity, plus the standing charges.
Therefore if you use more energy you could end up paying more than £2,500. But use less energy and your bill should be less.
The £400 energy discount is still happening and is on top of the £2,500 figure - so this takes the average bill for someone with typical use to £2,100 a year. You should start to get the rebate from October, spread out over six months - you'll get £66 off your bill in October and November, then £67 from December 2022 to March 2023.
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