Department for Work and Pensions announces cost of living package: Who is eligible?

The Department for Work and Pensions has extended its household support fund to provide an extra £500 million on the back of the budget. 

Work and Pensions Secretary Mel Stride has said the grant will go to the most vulnerable to help with the cost of living crisis. 

The support fund was first introduced in October 2021 and is the fourth six-month extension for those below an income level or on benefits. 

The DWP has said it will be paid directly via a transfer or in the form of a voucher to be redeemed for food and energy bills. 

Jeremy Hunt did not mention the fund in the budget. And with inflation falling as well as fuel and power prices going down, it might be the last such helping hand under the current administration. 

Mr Stride said: “Work is the best way to secure long-term financial security, which is why in this budget the government is rewarding hard work with more tax cuts, boosting growth and helping families with the challenges they’re facing.

“The long-term decisions announced by the chancellor will put £900 back in the pockets of 27 million employees this year and support the equivalent of 200,000 people into work - when taken together with the next generation of welfare reforms we’re already rolling out.” 

Meanwhile, millions of Britons are about to receive increases to their benefits while the DWP has warned that thousands could be missing out on a £218-a-week pension top-up.

The DWP has also recently announced its ‘Chance to Work Guarantee’ so that claimants on incapacity benefits can try to work without fear of losing their benefits.

Mr Stride added: “This was also a budget that recognised some people are still struggling and the extension of the household support fund will give vulnerable households the help they need.    

“Our plan is building a brighter future for millions of people.”