Some of Sheffield’s poorest families can breathe a sigh of relief after the Government decided to extend the Household Support Fund for six months for UK households.
The fund provides help for tens of thousands of households in Sheffield, who have struggled to afford energy, food and other basic living necessities.
It is also a crucial part of Sheffield City Council’s cost of living response.
The support was expected to end this month, but Chancellor Jeremy Hunt announced it would be extended during his Budget speech on Wednesday, March 6.
The extension comes after calls on the government from local authorities, including Sheffield City Council, to extend the fund beyond March 2024.
The Chair of the Education, Children and Families Policy Committee and Sheffield City Councillor, Dawn Dale said: “I believe ending the support will reduce vital support for people in our city who need it most and will create generational trauma.
“There is simply not enough money for these households to afford the basics. How can we expect children to have a happy and healthy childhood when they are hungry and witnessing stress in their home due to their family being unable to find a way despite their best efforts to provide the basics.”
In 2023/24, Sheffield received 10.4 million pounds from the Household Support Fund, which is also used to provide free school meal vouchers to 32,000 households during the school holidays.
Coun Dawn Dale said that removing this benefit combined with the additional necessary expenses required for basic standards of living could tip low-income households into “unmanageable high costs and sometimes dangerous debts”.
She added that ending the fund will impact the long-term mental health of children and will contribute to creating an environment where children are experiencing adverse childhood experiences.
The importance of the fund is undeniably crucial, with the support scheme receiving 47% more applications in 2023 compared to 2022.
More than 170 councils all over the UK including Sheffield City Council called on Chancellor Jeremy Hunt to extend the fund beyond March 2024.
On the extension, Mr Hunt said: “I have decided that with the battle against inflation still not over, now is not the time to stop the targeted help.”
Even though the fund has been extended, uncertainty about the fund will continue as the extension lasts only six months.
Households in Sheffield will be looking for more clarity and reassurance later this year and hoping that they will be supported during this cost-of-living crisis.
