Thousands of UK households missing out on 'key' free £300 payment

September 04, 2024
Thousands of UK households missing out on 'key' free £300 payment

Labour Party government has extended the Household Support Fund beyond September 30, the original deadline.Thousands of UK families are missing out on essential payments from the Household Support Fund (HSF), according to warnings. The incoming Labour Party government has extended the Household Support Fund beyond September 30, the original deadline. Thousands of low-income households are missing out on more than £57 million in unclaimed cash. The cash boost comes from the Household Support Fund (HSF), with the most recent installment providing £421 million to authorities.

A Freedom of Information (FOI) request to English councils by loan provider Creditspring reveals over £57million out of the £421million is yet to be allocated. The lender's analysis reveals almost 100 councils are yet to dish out their full share of the fund.

It shows 22 authorities have over £1million each yet to hand out to residents in need. Neil Kadagathur, chief executive officer and co-founder of Creditspring, said: “The Household Support Fund provides a lifeline for thousands of families across the UK.

"However, given the huge sums that remain unclaimed, it’s clearly not working to its full potential and vulnerable people are missing out on vital support." Mr Kadagathur from Creditspring said: "Whilst the extension of the (HSF) scheme will benefit a huge number of households, it’s hugely important that councils also reassess how they are communicating the support available to boost awareness of the fund as well as simplify the application process."This will help to ensure that not only as many people are benefiting from these payments as possible, but also these vulnerable people aren’t forced to turn to predatory lenders or high-cost loans to make ends meet."


Creditspring found, in the West Midlands, Walsall Council has £1,342,860 left to share among residents in need. People with dependent children or receiving a council tax reduction received £300 grant payments automatically in the summer.

But others can still apply for the cash on the council's website.