Overview
- Launching April 1, 2026, the three-year fund guarantees £1bn annually and replaces the Household Support Fund while absorbing Discretionary Housing Payments.
- The scheme creates two payments: a broadly accessible crisis payment and a targeted housing payment limited to Housing Benefit or Universal Credit claimants with the housing element.
- A third strand funds local “resilience services” such as debt advice and income maximisation delivered by charities and community organisations.
- DWP expects urgent cases to be paid within 48 hours and requires English councils to publish plans and open applications by April 1, with a cash-first approach via transfers or cash-out vouchers.
- Charities welcomed the shift to predictable, direct support, but councils warn funding is broadly unchanged, with an LGA survey showing only 2% think it meets need and just 15% confident of being ready by April; devolved administrations will receive proportionate shares to allocate.