UK households to get new £225 Cost of Living payments into bank accounts

UK households are set to receive a new £225 Cost of Living payment directly into their bank accounts. The Labour Party government has extended further Household Support Funding to Local Authorities, to be distributed between 1 October 2024 and 31 March 2025.

This is aimed at assisting those households most in need with essentials such as food and household energy bills. Doncaster Council has chosen to provide a one-off payment to households who receive Housing Benefit, Local Council Tax Reduction, Universal Credit which includes the housing element, or means-tested free school meals.

Back in November, Bristol City Council said there were no plans to award residents with a “blanket £250” in the city. Bristol City Council has been awarded a further £4m, with the funding being extended to March 2025.

However, Doncaster Council has decided a one-off payment will be made to those who apply and meet the eligibility criteria. The council will issue a £75 payment to childless households, a £150 payment to households with 1 or 2 dependent children; or a £225 payment to households with 3 or more dependent children.

Additionally, there will be a £50 payment to households receiving, or entitled to Pension Credit; or a £150 payment to households not receiving and not entitled to Pension Credit. Furthermore, £75k will be reserved to support Doncaster’s Food Banks and Hygiene Bank.

The council has disclosed plans for the unspent budget, saying any remaining funds will bolster the Local Assistance Scheme in the following financial year. In a statement, the council clarified: “Most households that received a payment under the previous Household Support Fund and who still meet the above criteria were automatically paid and did not need to apply. Payment was made directly into your bank account by 13 December 2024 using the information you previously provided, or we sent a cheque if we do not have your bank details.”, reports Birmingham Live.

They also emphasised the importance of updating contact details: “You must let us know straight away if your bank details change, or if you want us to pay direct into your bank instead of sending you a cheque. Please email householdsupportfund@doncaster.gov.uk and provide your name, National Insurance Number, your full address, your bank sort code, account number and name of the account holder.

“Households that did not receive a payment under the previous Household Support Fund, or that did not receive an automatic payment but are eligible, will have to submit an online application. The online application opened on 5 December 2024, and will close on Friday 28 February 2025 at 5pm.

“Applications may remain open longer if there is funding left, or may close earlier if the funding is spent.”

Image Credits and Reference: https://www.bristolpost.co.uk/news/uk-world-news/uk-households-new-225-cost-9861548

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