New £1billion cost of living voucher scheme revealed in Chancellors Spending Review – how to get help NOW

The Sun

11-06-2025

THOUSANDS of households will be able to access cost of living help through a new government scheme, the Chancellor has confirmed.
As part of her spending review today, Rachel Reeves announced that thousands of households will be able to apply for financial help through the Crisis and Resilience Fund.
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The fund will be given £1billion a year and will replace the existing Household Support Fund, which is designed to help anyone who is vulnerable or cannot pay for essentials.
It will provide funding to councils to help some of the poorest households so that children do not go hungry outside of term time.
The cash is aimed at helping people who have been faced with a financial crisis and aims to reduce the need for families to use emergency food parcels.
The fund will also incorporate Discretionary Housing Payments, which provide financial support to help with rent or housing costs.
Anti-poverty charity The Trussell Trust has praised the move and said that the cost of living continues to be a challenge.
Last year the charity provided almost three million parcels to people facing hunger and hardship across the UK.
Helen Barnard, director of policy at the charity, said: 'We warmly welcome the replacement of the Household Support Fund with a new multi-year Crisis and Resilience fund, which Trussell has been calling for.
'We know this helps prevent people facing short-term crisis from being pushed to having to turn to a food bank.'
But she warned that looming cuts to benefits for disabled people and carers will push many people into financial hardship.
The Spending Review also includes:
A pledge to end the use of migrant hotels by the next election
Confirmation that nine million pensioners will get the winter fuel allowance this year
Free school meals for half a million more children
An extra £39billion over the next decade for social housing
A £15billion boost to transport to "properly connect" Britain's towns and cities
£22billion investment in research and development and £2billion in Artificial Intelligence
A £30billion injection in clean energy including £14billion for nuclear energy
A rise in departmental budgets by 2.3% a year totalling £190billion more than the Tories
The Defence budget hiked to 2.6% of GDP by 2027
She said: 'Disabled people and carers still face the looming threat of planned record cuts to social security support which will push 440,000 people into severe hardship and at risk of needing a food bank.
Families can get FREE washing machines, fridges and kids' beds or £200 payments this summer – and you can apply now
'Unless the government changes course, disabled people on the lowest incomes will certainly not feel this government is 'on their side'.'
In March the Government announced that over one million Brits will have their disability benefits cut in a
In March the Government announced that over one million Brits will have their disability benefits cut in a £5billion cost-cutting reform.
Elsewhere, the Chancellor also announced that half a million more children will be eligible for free school meals.
Every child who lives in a Universal Credit household will now be eligible for state-sponsored lunches.
Previously, Universal Credit households needed to earn less than £7,400 a year to qualify.
The chancellor also vowed to pump £29billion into building more social and affordable housing across the UK.
What help is available now?
Household Support Fund
If you are struggling to pay your bills then you may be able to get help through the Household Support Fund.
Councils have been given a share of £742million from the Government to help their struggling residents.
Eligibility criteria varies depending on where you live but help is usually offered to those on benefits or a low income.
You need to apply to your council directly to get the help.
Several councils are currently offering support through the scheme.
Among them is North Somerset, where residents can apply for £100 worth of cash to help with the cost of living.
The fund will see more than £2.3million handed out to struggling families, pensioners and vulnerable residents across the region.
Hull residents can also apply for £200 worth of cash this summer.
The fund will be used to give eligible pensioners £200 to help them cover their costs after the Government slashed the Winter Fuel Payment last year.
Meanwhile, low income families will be eligible for a £40 school uniform grant, as well as food vouchers in school holidays for those with children who are eligible for free school meals.
Families in Richmond, London, can also apply for payments of up to £600 to help cover the cost of food, energy bills, clothes or other household essentials.
The exact amount you will get depends on the number of people in your household and if you have any children.
Free electricity and gadgets
Several energy suppliers are giving customers free gadgets to help them cut their energy bills.
Octopus Energy is handing out freebies including electric blankets to customers as part of its Octo Assist Fund.
The blankets could save customers up to £150 over winter.
Octopus customers can also borrow a thermal imaging camera to help them find places in their home where heat is escaping.
Once they have identified these draughts, they can look into ways to get them fixed, which can help to reduce their energy usage.
Meanwhile, EDF customers can get their hands on free energy-saving gadgets including air fryers, kettles and slow cookers.
EDF has also said it will replace poorly-working or broken appliances with energy-efficient ones.
Water bill hardship fund
Some water suppliers offer a hardship fund you can access if you fall behind on your water bill and owe more than a certain amount.
At Thames Water you can apply for the customer Assistance Fund if you owe it more than £120 and receive certain means-tested benefits.
The supplier will work with you to agree on an affordable monthly payment.
This will be based on your income and spending and the plan will stay in place for two years.
The payment will cover your current charges and paying towards your debt.
It does not impact your credit score.
Meanwhile, at United Utilities you can apply online for help if you are unable to pay your bill.
You can get help with water and/ or sewer charges and in certain situations you may be able to get white goods and beds.
Do you have a money problem that needs sorting? Get in touch by emailing [e-mail].