Millions due more than £1600 worth of financial support this winter

UK homes are set to receive a series of payments this winter, potentially landing by Christmas, to help cover essential costs. This additional financial aid could assist families, pensioners, disabled individuals and carers, and is designed to offset reductions to the Winter Fuel Payment and the rise in the Ofgem price cap.

The regulator has established the cap at £1,717 per year for an average household that uses electricity and gas and pays via direct debit, from October 1 to December 31. This signifies an increase of £149 or 10 per cent compared with the previous cap of £1,568, which was effective from July 1 to September 30.

As the weather turns colder and darker, many face larger bills and the concern of how to afford them. Despite relatively low inflation at 2.2 per cent, and dropping petrol prices, many essential living costs such as food, energy, water, housing and TV/internet packages remain high, reports .

The DWP has stopped making direct cost of living payments to support low-income households, with the last payment made in February 2024 and no further plans announced. Households requiring extra cash are being warned not to fall for scam texts asking for personal and financial details to claim government allowances for winter heating or the cost of living, as these are all fraudulent.

The Department for Work and Pensions, Social Security Scotland, the Department for Energy Security and Net Zero, along with councils across England, are providing a range of payments to low-income households this winter. These include the Winter Fuel Payment, which can reach up to £300.

Labour has limited the yearly payment so that only those receiving Pension Credit and certain other means-tested benefits are eligible. The DWP estimates that approximately 880,000 pensioners qualify for Pension Credit but aren't claiming it, and efforts are being made to boost uptake.

Those who successfully claim by December 21 will be eligible for the Winter Fuel Payment. Individuals can qualify for the payment in Winter 2024/2025 if they were born before September 23, 1958 - indicating they reached pension age by September 23 this year - and reside in England or Wales while receiving one of seven benefits.

These benefits include Pension Credit, Universal Credit, income-related Employment and Support Allowance (ESA), income-based Jobseeker's Allowance (JSA), Income Support, Child Tax Credit and Working Tax Credit. If you were born between September 23, 1944, and September 22, 1958, you should receive £200.

Those born prior to September 23, 1944, and thus aged 80 or above, qualify for the higher amount of £300. Letters advising eligible individuals how much they will receive are being dispatched from mid-October. The DWP states that most payments are automatically made in November or December.

The Warm Home Discount provides a single £150 reduction on electricity bills for households. If you receive both gas and electricity from the same supplier, you can request that the discount be applied to your gas bill instead.

Eligible households for this payment include those receiving the Guarantee Credit element of Pension Credit or another DWP low-income benefit and have high energy costs, as determined by the Department for Energy Security and Net Zero which now manages the scheme. Other qualifying benefits encompass the Savings Credit element of Pension Credit, income-related Employment and Support Allowance (ESA), income-based Jobseeker's Allowance (JSA), Universal Credit, Housing Benefit, Income Support, Child Tax Credit and Working Tax Credit.

Most qualifying households will receive a letter from the DWP confirming their eligibility between November and January. The payment is then directly made to the household's energy account between November and March.

Additionally, the DWP offers a Christmas Bonus of £10 each year. This one-off tax-free payment is made just before Christmas.

However, critics argue that the amount has remained stagnant since its inception in 1972, with no attempts made to increase it.

The bonus is automatically deposited into the bank accounts of those who are eligible. To qualify, you must live in the UK, Channel Islands, Isle of Man or Gibraltar during the qualifying week, typically the first week of December, and receive at least one of the following benefits: Adult Disability Payment, Armed Forces Independence Payment, Attendance Allowance, Carer's Allowance, Child Disability Payment, Constant Attendance Allowance (paid under Industrial Injuries or War Pensions schemes), Contribution-based Employment and Support Allowance (once the main phase of the benefit is entered after the first 13 weeks of claim), Disability Living Allowance and Incapacity Benefit at the long-term rate.

Those also eligible include recipients of Industrial Death Benefit (for widows or widowers), Mobility Supplement, Pension Credit guarantee element, Personal Independence Payment (PIP), State Pension (including Graduated Retirement Benefit), Severe Disablement Allowance (transitionally protected), Unemployability Supplement or Allowance (paid under Industrial Injuries or War Pensions schemes), War Disablement Pension at State Pension Age, War Widow's Pension, Widowed Mother's Allowance, Widowed Parent's Allowance or Widow's Pension.

Those who have postponed their State Pension claim and are ineligible for other qualifying benefits will not be privy to the Christmas Bonus. Each person in a marriage, civil partnership, or cohabitation arrangement who receives one of the qualifying benefits is entitled to a Christmas Bonus.

Typically, payments are made in early December. The Household Support Fund, established to aid the most vulnerable households, can offer up to £500 to cover essential expenses such as food, toiletries, and energy bills.

Individuals are being encouraged to verify if they can claim cash or vouchers from their local council this winter. An extra £421 million has been injected into the fund by the Government this year, enabling it to operate until the end of next March.

Furthermore, an additional investment of £1 billion is slated to extend its operation into the subsequent financial year. This money is allocated among local authorities across England to help those most in need.

The DWP is encouraging councils to set aside some funds for pensioners who exceed the Pension Credit threshold and are therefore likely to miss out on the Winter Fuel Payment under its new regulations. Councils decide how to distribute their share.

Some provide direct payments, others offer vouchers, appliances or other forms of support. Depending on the council managing the fund in their area, individuals can generally receive up to approximately £500.

Coventry City Council is extending a helping hand with gas, electricity, oil and water costs via PayPoint top-ups or vouchers. This support can be availed up to three times per customer from October through March.

Single individuals or couples without children are eligible for assistance worth £120, while families can avail of £160. On the other hand, Birmingham City Council is offering hardship grants amounting to £200 from early November to aid with food and energy costs, administered by Birmingham Voluntary Service Council.

The Cold Weather Payment is a £25 sum disbursed every time your local weather station records or forecasts the average temperature in your area as zero degrees Celsius or below over seven consecutive days. If you're eligible, the payment will be made automatically.

There's no cap on the number of payments you can receive and in previous years some have received three amounts, totalling £75, if there has been a series of severely cold spells affecting their postcode area. The scheme, which is contingent on the weather and does not guarantee payouts, is now open and will run from 1 November until the end of March.

The benefits that may qualify include Universal Credit, Pension Credit, Income Support, income-based Jobseeker's Allowance, income-related Employment and Support Allowance (ESA), and Support for Mortgage Interest.

In addition to your benefits, you typically need to be receiving a disability or pensioner premium, or have a disabled child or a child under five on your claim. After each period of severe cold weather in your area, you should receive a payment within 14 working days.

It's paid into the same bank or building society account as your benefit payments, with your National Insurance number followed by the identifying code DWP CWP for people in England and Wales. The Child Winter Heating Payment, which provides £251.50 to assist with energy costs, is available to Scottish residents.

Eligibility for this payment extends to those living with a child or young person under 19 who qualifies for either the highest rate of the care component of Child Disability Payment (CDP) or Disability Living Allowance (DLA), or the enhanced rate of the daily living component of Adult Disability Payment (ADP) or Personal Independence Payment (PIP). To qualify, individuals must have been claiming one of these benefits during the week of September 16-22, 2024.

Social Security Scotland has confirmed that payments began reaching eligible households' bank accounts in October and will continue throughout this month.

The Winter Heating Payment, worth £58.75 this year, is available to Scots who are eligible for certain benefits such as Pension Credit and Universal Credit. This payment, which replaces the Cold Weather Payment, does not rely on freezing temperatures and is made in a single payment between mid-December and February 2025.

The Carer's Allowance Supplement, an additional payment of £288.60, is given to unpaid carers in Scotland in acknowledgement of their contributions. Social Security Scotland automatically distributes it twice a year, with the next payment expected in December.

Scots who were receiving Carer Support Payment or Carer's Allowance on October 7, 2024, qualify for this payment. Those due a payment will receive a letter from Social Security Scotland beforehand.