Councils in England will receive £500m to help support vulnerable households pay for daily essentials.
The new Household Support Fund will enable councils to provide small grants to those most in need to pay for food, clothing and utilities.
Secretary of state for work and pensions, Thérèse Coffey, said: 'Over the last year, we have helped millions of people provide for their families. Many are now back on their feet but we know that some may still need further support.
'Our targeted Household Support Fund is here to help those vulnerable households with essential costs as we push through the last stages of our recovery from the pandemic.'
The money will be allocated to councils using the Barnett formula in October 2021. The devolved administrations will receive up to £79m of the £500m.