Herefordshire Council has received an allocation of £1,329,601.78 from the Department for Work and Pensions (DWP) under the Household Support Fund. In line with DWP guidance most of the funding has been earmarked to support families with children and pensioner households who would otherwise struggle with energy, food and energy bills as well as other essential costs. The decision to support third party organisations will enable those organisations to support other Herefordshire households who are struggling to meet essential household bills.

The funding to third party organisations is an important component of the support that is provided to low-income households. Providing funding to third party organisations will mean that those organisations can provide residents who are struggling with the increase in the cost of living.
Having regard for the time available to deliver the scheme, Herefordshire Council identified existing trusted partners which had already been recipients of government grants to support low income households during the Covid 19 pandemic. The partners have also been identified based on the need to support all the eligible spend categories specified by the DWP guidance and to provide support to vulnerable households, across Herefordshire whatever their household composition.

Age UK Hereford and Localities - Support for food - £24,000
Bromyard Foodbank and Money Advice Centre - Support for food; support for energy; support for other essentials - £22, 680
Hereford Foodbank - Support for food - £22,825
Herefordshire Community Foundation - Support for energy; support for other essentials - £30,000
Ledbury Foodbank - Support for food; support for other essentials -£9,870
Leominster Foodbank (including the Money Advice Centre) - Support for food; support for energy; support for other essentials - £21,500
The Living Room - Support for food; support for energy; support for other essentials - £26,400
Mothers’ Union – Diocese of Hereford - Support for household essentials - £10,100
NILS Scheme - Support for household essentials - £20,000
Putson Baptist Church - Support for food; support for energy; support for other essentials - £28,120
Severn Wye Energy Agency - Support for energy - £28,750
Total: £244,245

Consumer prices, as measured by the Consumer Prices Index (CPI) rose by 9.4% in the 12 months to June 2022, up from 9.1% in May. The Bank of England expects inflation to rise further to around 11% in 2022 before levels start to fall during 2023. There have been significant increases in the price of energy and food and this is likely to increase with a further rise in the price cap on energy in October 2022. Low-income households spend a larger proportion than average on energy and food so will be more affected by price increases.

By utilising the funding from government, this will have a positive impact on low income households by minimising the debt burden on those that struggle to pay essential bills.