Household Support Fund extended by six months 'with inflation battle not over'

The Household Support Fund has been extended for another six months while the country continues to battle against inflation. Chancellor Jeremy Hunt announced the measure to MPs during the Spring Budget this afternoon (March 6).

He explained that inflation now stands at four per cent, below the 11 per cent figure he inherited from the Liz Truss premiership, but still above the two per cent target. The Household Support Fund was due to come to an end this month, but will now run for another six months.

Mr Hunt said he came to the decision following feedback from the Joseph Rowntree Foundation, the Trussell Trust and MPs. He added: "I've decided that with the battle with inflation still not over, now is not the time to stop the targeted help it offers."

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The Household Support Fund is for local authorities, which is handed over to support people in their area who are struggling most with the cost of living. Mr Hunt also announced an extension to repay new budgeting advance loans from 12 to 24 months, for people on Universal Credit, while the £90 cost of a debt relief order is being scrapped.

Mr Hunt said that move would help 40,000 families a year, while almost one million households on Universal Credit take out budgeting advance loans. Today's Budget could be the last to take place before a General Election.

Prime Minister Rishi Sunak has previously hinted that he is planning for voters to head to the polls in the second half of this year, but there is speculation the vote could come sooner. Mr Sunak's Conservative party has been consistently behind Labour in opinion polls over the past two years.

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