The Household Support Fund (HSF) will be extended for another six months, Work and Pensions Secretary Liz Kendall has confirmed.
The £421m extension will help councils in England support those struggling with the cost of energy, food, and water up until April 2025.
An estimated £79m will also be given to the devolved administrations in Scotland, Wales and Northern Ireland via the Barnett formula.
Secretary of State for Work and Pensions, Liz Kendall MP, said the fund was ‘a lifeline for people who are struggling with the cost of living.’
‘The dire inheritance we face means more people are living in poverty now than 14 years ago – and this Government is taking immediate action to prevent a cliff edge of support for the most vulnerable in our society.’
The Local Government Association (LGA) warned last month that nearly 60% of councils would be unable to fund any additional local welfare assistance unless the HSF was extended.
Cllr Pete Marland, chair of the LGA’s Economy and Resources Board, said the announcement was 'very positive'.
He also added: 'Local government stands ready to work with the Government on a long-term plan for local welfare support, which shifts away from short term, crisis support so councils can instead invest in preventative services that address the underlying causes of poverty and is crucially underpinned by a sufficiently-resourced national safety net.'
Cllr Anthony Okereke, London Councils’ executive member for Communities, described the Government’s decision to extend the fund as ‘hugely welcome news.’
