How to Apply Household Support Fund Online? Application Form, Process, Benefits & Eligibility

Government Announcement of Household Support Fund ($500 M):- Department of works and pension (DWP) has unveiled a humongous grant of $500 million to support the vulnerable population of the UK due to the economic impact of covid-19 with basic needs such as food and clothing and to pay bills for essential requirements.

What is the Government Announcement of Household Support Fund?

People of the United Kingdom will be provided the benefit by the councils, which is those in need of these grants will have to reach out to respective area councils, once the grants are released in winter, which will be launched next month. The new scheme will coincide with the end of the “Furlough Scheme” which was started last year and aimed to pay 80% of employees’ wages each hour they were not able to work in the Covid-19 pandemic.

How can I apply for the Household Support Grant?

According to the government Website, those in need of the grant may contact local authorities to avail the government scheme.

Rishi Sunak, who is the chancellor of the Exchequer of the UK will formally announce the mammoth fund in his speech during the Conservative party conference which will be held this Sunday.

How can I get money through the Household Support Fund stimulus package?

Government sources reported that the money will be distributed to regional councils starting from October 2021, like in the case of, Aylesbury Vale, Wycombe, South Bucks, and Chiltern and, Milton Keynes Council for the Borough of Milton Keynes, Buckinghamshire this will be Buckinghamshire Council.

The best way to reach out to masses also to most precise beneficiary it’s important to identify those, in utmost need. Therefore, the council of estates has been provided this responsibility as they are the one who has the record of individuals and households and they can plan out distribution effectively. For further guidelines, we will keep on posting the latest updates here itself.

Why has the government launched the scheme now?

The funds will help the vulnerable household in the country with basic needs such as food and clothing and to pay bills for essential requirements.

Till 1 Oct 2021, a total of 1,70,000 people have lost their lives due to COVID-19 and have resulted in serious recession (GDP got declined by 9.8% in 2020, never before).

To recover the declining economy Government and the bank of England have provided various supports for individuals and businesses. Now, the government will roll out stimulus if $500 M soon. The Department for Work and Pension (DWP) started, coming policy will also use Barnett formula to evenly distribute funds to UK nations (According to which England will get a share of £421 M out of the £500 M and Scotland will receive £41 M, Welsh will receive £ 25 M and Northern Ireland will get £14M).

What is the Barnett formula and why is this getting so popular?

It’s a formula used by the department of treasury in the UK Government to precisely calculate the annual block grants for the Scottish government, Northern Ireland, and Welsh governments.

The core idea behind the Barnett formula lies in the proportional distribution of grants which is calculated by devolved budgets which are by using the previous year’s budget as a reference point, and later adjusting it on the basis of increased or decreased spending per individual in England.

For instance, if total spending on healthcare in England is increased by £100m, then the Scottish government’s budget would also be increased by £9.7m because Scotland’s population is 9.7% of that of England’s population. Likewise, the Welsh government’s budget would be increased by £5.6m and the Northern Ireland nation budget would be increased by £3.4m.

As these devolved block grants are currently not in the ring-fenced scenario, respective administrations will be free to decide on the spending of the additional grant on other services than healthcare. Last year (2019-20), the distribution was distributed amongst the nations like this:

The above calculations are done post-tax devolution settlement and considering various factors like the population and the developed public services in that area.

Therese Coffey (Secretory of works and pension department) has also announced the Universal Credit Uplift which was a temporary £20 increase weekly payment, that will also be deprecated after closely monitoring the current COVID-19 recovery situation. As per the Health Department report, the total number of visits for online mental health and financial advice calls has almost increased two times from 30,761 in the year 2020 to 60,123 this year.

Duration for how long will the Household Support Initiative be executed?

The government sources have confirmed that this Household Support Measure will be available throughout the winter season and may be extended if required. Although a clear date for opening and closing dates has not been finalized by the Central government, by the end of October 2021 local government authorities/bodies will be handed over with sanctioned funds, to be utilized judiciously.

This fund can be called a successor to the earlier government scheme which was called the “furlough scheme” which has grabbed huge support from many citizens and it has benefited a lot of people who were unable to work or were unemployed due to job losses and inability to continue work during the coronavirus pandemic and its restrictions at both national and local levels.

As per sources, one government spokesperson has given a statement saying that the UK Government has kept supply for its Covid-related economic crisis in place until last month which is September, they believe that helping citizens through the toughest stages of the coronavirus pandemic and pledge that they will go beyond the end of the roadmap, by introducing more generous timelines than other European countries.”

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Other Supports by Government, available this winter?

As the winters are approaching a lot of people has been curious and are in dire need of support for their livelihood.

A Government representative said: “This stimulus bolsters support from Warm Home Discount which will provide a £140 sum of rebate on electricity bills every winter to over 2.2 million beneficiaries who are categorized into low-income households and the Cold Weather Scheme in which a payment is provided. A £25 extra a week for very poor households if the temperature is dropped below zero. Degree Celsius.  

“Earlier in 2021, the government has also expanded the £220 million sum amount of Food and Holiday Activities program, which has offered balanced, nutritious meals and enriching activities to underprivileged children across the Easter season and during Summer holidays, and planning to do so again this Christmas.”

Is the Scheme available just in England, or it is available for Scotland, Wales, and Northern Ireland too?

It is confirmed that the Government Latest Household support fund will be provided to all four UK’s Home Nation (England, Scotland, Wales, and Northern Ireland).