Household Support Fund: Extension

11. What assessment she has made of the potential impact of the extension of the household support fund in 2025-26 on low-income households.

15. What assessment she has made of the potential impact of the extension of the household support fund in 2025-26 on low-income households.

19. What assessment she has made of the potential impact of the extension of the household support fund in 2025-26 on low-income households.

No specific assessment has been made of the impact of the household support fund on low-income households in 2025-26, although we hear routinely from local authorities across the country about the impact of the fund in supporting those who are struggling. An evaluation of the fourth iteration of the scheme, running from April 2023 to March 2024, will be published shortly, exploring the benefits of the more than 19 million awards made during this period.

I agree that the payment of winter fuel allowance should be means-tested, because many pensioners who receive the winter fuel allowance simply do not need it. However, there are pensioners who are not entitled to pension credit who will struggle to heat their homes. Can the Minister please confirm the extent to which the household support fund will assist those pensioners in my Wolverhampton West constituency?

The household support fund is intended to support a wide range of households in need, including pensioner households. There has been no ringfencing of funding for specific groups since October 2022, meaning that local authorities have the flexibility to support pensioners who are just above the pension credit threshold. In the 2023-24 financial year, 26% of household support funding went towards meeting energy costs.

I welcome the Government’s decision to provide more than £1 billion in new funding for the household support fund, extending it all the way through next year, and to give much more notice to the local authorities that deliver it. The funding is so important not just to countless vulnerable residents, but to great local organisations, such as the Need Project food banks in my constituency. How will the Department work with local authorities to make the most of the notice and to ensure the funding goes as far as possible?

My hon. Friend is absolutely right. As a former local authority leader, I know that above all else, certainty will allow councils to design and deliver sustainable plans for local welfare assistance. The Government’s commitment to funding the HSF until March 2026 offers that certainty and time to plan with greater confidence. To that end, we will confirm individual allocations for the forthcoming one-year extension to the HSF as soon as possible, and ahead of the scheme beginning on 1 April.

Because the household support fund is devolved to local councils, there are lots of different examples of how the funding is spent, so how will the Minister ensure that the money from councils goes to the people who really need it?

Like me, my hon. Friend is a former local authority leader—albeit a directly elected mayor, and with a far greater mandate, therefore, than I ever enjoyed. Like me, he will appreciate the importance of empowering local areas to respond to local need. That said, all councils must develop delivery plans to show how they are targeting the funds to support the most vulnerable, to ensure that the spirit of the HSF is upheld in helping low-income households with the cost of essentials.