£50 cost of living payment paid to households in UK area | Personal Finance | Finance

People living in one UK area can get payments of £50 each this year as long as they are claiming one of three DWP benefits.

The Royal Borough of Kensington and Chelsea is giving out the money from the government’s Household Support Fund, which has been extended for 2025-2026. The money is provided by the Department for Work and Pensions but handed to each local authority for them to decide how the money should be distributed at their own discretion. It means the amounts given out in different council areas are often wildly different, with different eligibility criteria set by each local authority individually.

In the London borough, the council is making a £50 payment to each individual household which qualifies for financial support based on several criteria it has set. It says: “Help is available for residents in the borough struggling with household bills, food, clothing or travel costs.

“The Council is supporting low-income households with a £50 payment to help with ongoing cost of living. Only one single payment of £50 will be made to each household (each address).

“You are eligible for a £50 payment if you are: resident in Kensington and Chelsea or placed in a household outside the borough by the Council’s Housing team; receiving at least one of the following benefits: Housing Benefit; Council Tax Reduction; Universal Credit Housing Allowance.

“If you are the tenant or owner of the property and are receiving Housing Benefit, Universal Credit Allowance or Council Tax Reduction, you do not need to apply: you will automatically receive this payment.

“We will send an email or a letter to all eligible residents asking you to confirm: your National Insurance number; whether you would like a bank payment or a Post Office payment; your bank account details if they have changed since spring 2024.”

Other councils give different amounts. Right now, The London Borough of Enfield is giving out cash payments of £250 to eligible households.

It has three rules for those looking to apply for the cash: they must live in the borough of Enfield, have an annual household income of under £40,000 and have less than £1,000 in savings. In Doncaster, Doncaster City Council is giving £300 payments to those on one of four benefits. Right now, Doncaster Council is offering up to £300 to households with three or more children, or payments of £100 to parents with one child and £200 for two children, as long as they are claiming Child Benefit for the child.

Some councils stipulate that they will give the money to those on benefits, but you don’t necessarily need to be claiming any benefits to qualify for support according to the government’s own rules on Household Support Fund eligibility.

The UK government’s website says: “Funding is aimed at anyone who’s vulnerable or cannot pay for essentials. You do not have to be getting benefits to get help from your local council.”

“If you get benefits, they will not be affected if you get a payment from a Household Support Fund scheme.”

Check here to see if you can apply where you live.