Families across the United Kingdom struggling with the cost of living could access significant financial support from the Department for Work and Pensions this winter. The DWP administers a variety of payments and discounts designed to help those on low incomes manage essential costs like energy bills and rent.
Key Benefits for Households on a Low Income
The support available ranges from direct monthly payments to one-off discounts on essential services. Eligibility often depends on your income, savings, and circumstances, but many households could be entitled to more than one type of assistance.
Universal Credit: Monthly Support for Living Costs
Universal Credit is a central benefit paid monthly to assist with living expenses. The amount received is not uniform; it varies based on an individual's specific situation. The standard monthly allowances are:
- £316.98 for single claimants under 25
- £400.13 for single claimants aged 25 or over
- £497.55 for couples where both partners are under 25
- £628.10 for couples where at least one partner is 25 or over
These amounts can be increased for those with children, disabilities, or health conditions. To qualify, you must be on a low income, be between 18 and State Pension age, reside in the UK, and have savings and investments totalling £16,000 or less.
Warm Home Discount: £150 Off Your Energy Bill
The Warm Home Discount scheme provides a crucial one-off discount of £150 on energy bills for eligible households. This is typically applied directly to your electricity bill by your supplier. For customers using a pre-payment meter, the discount may be issued as a voucher to top up the meter.
You could qualify if you receive a means-tested benefit and your name is on the electricity bill. The qualifying benefits include Income-based Jobseeker’s Allowance, Housing Benefit, Income-related Employment and Support Allowance, Universal Credit, the ‘Savings Credit’ element of Pension Credit, and Income Support.
Housing Benefit and Other Financial Aids
While largely replaced by Universal Credit for new claimants, Housing Benefit remains available for those who have reached State Pension age or live in supported, sheltered, or temporary housing. It provides help with rental costs. You cannot claim if your savings exceed £16,000 (unless you get Guarantee Credit of Pension Credit), you are paying a mortgage, or you live with a close relative, among other restrictions.
Furthermore, the National Concessionary Fuel Scheme offers free solid fuel or a cash allowance to ex-employees of the National Coal Board or British Coal Board. Eligibility checks can be made by contacting the NCFO helpline.
Another significant saving can be found through a Council Tax Reduction. Administered by local authorities, this scheme can substantially lower your council tax bill if you are on a low income. The level of support depends on factors like your income, benefits, and household composition, and varies across different councils.
