Government to offer cash payouts for people in financial crisis
Key Points:
- The new Crisis and Resilience Fund in England will provide £1bn annually for three years starting April, giving people on low incomes access to emergency cash through local councils regardless of benefit status.
- The fund replaces the Household Support Fund and aims to help those facing sudden financial shocks such as job loss or unexpected expenses, with councils able to allocate money for crisis payments, housing support, and resilience services.
- The scheme shifts from providing vouchers and food parcels to direct cash payments, allowing recipients greater choice and dignity, and aligns with government goals to reduce reliance on emergency food aid.
- While councils welcome the guaranteed funding period for better planning, some express concern that the funding level remains similar to the previous scheme and may be insufficient to meet