The start of a new year can be a fresh start for many people but for some families getting through Christmas during the cost of living crisis can put unimaginable strain on finances. Many benefits and wages were paid early due to the festive Bank Holidays which can put extra pressure on people to make their money stretch until the next scheduled pay date in January.
However, households struggling with finances may not be aware that their local council can provide help with money, food or fuel during the cost of living crisis. If you are on a low income or certain benefits including Jobseeker's Allowance (JSA), Employment and Support Allowance (ESA) or Pension Credit, your council may be able to offer advice or check if you are missing out on any unclaimed benefits, discounts or redactions.
Each local council in Scotland has their own service with different rules and may be able to offer help with loans or grants, food vouchers, fuel vouchers and recycled clothes or household items - find your local council here.
The Scottish Welfare Fund is also a good source of financial help which provides Community Care Grants, to help people live independently, and Crisis Grants, which provide a safety net in a disaster or emergency.
Community Care Grants
You may be able to get a Community Care Grant if:
- you're leaving care or imprisonment and need help to start a settled home
- you've been homeless, or living an unsettled life, and need help to start a settled home
- you need support to stay out of care
- you're caring for someone who's been released from prison or a young offender's institution
- you're experiencing great pressure and need help to keep a settled home
- you're escaping domestic abuse
- a child's health is at risk
Your income
To get a Community Care Grant you need to be on a low income, but this does not mean you need to be on benefits.
What counts as a low income
There is no figure that confirms whether you have a low income. As a guide, if you're on one of the benefits below, or your income is about the same as someone who is, it's more likely you can get a Community Care Grant:
- Income Support
- Pension Credit
- Jobseeker's Allowance (JSA) - Income based
- Employment and Support Allowance (ESA) - Income based
- Universal Credit
Your savings
If you have savings of over £700, or £1,200 if you get a pension, you may be less likely to get a Community Care Grant - your local council will decide.
Find out more about Community Care Grants online here.
Crisis Grants
A Crisis Grant is a one-off payment that can provide much-needed cash during an emergency, but it cannot be given to support your income long-term. If you need help because you are on a low income, the quickest way to find out what financial support you may be able to claim is to use a benefits calculator.
These are independent, free and confidential and only take a few minutes to complete online - you can find out more about ones from Turn2Us, Advice Direct Scotland, entitledto and Policy in Practice at the end of this article.
If your total household income is £30,000 or less, you may be entitled to extra help, so don't dismiss using one of the benefits calculators because you think your income is above the average.
What is a Crisis Grant?
A Crisis Grant can be given to cover the costs of an emergency
Examples of this could include when:
- there is a fire or flood at home
- you have lost money
- an unexpected crisis happens
- you are a victim of domestic abuse and you need help with things like moving away from an abuser
- you are a grandparent or other relative who has taken over caring for a child, and you're waiting on a transfer of benefits
- you are facing a gap in your normal income because of a redundancy or change at work
Who is eligible for a Crisis Grant?
To get a Crisis Grant you need to be on a low income, however, this does not mean you need to be currently claiming benefits.
What counts as a low income
Similar to the Community Care Grant, the Scottish Government explains that there is "no figure that will be used to judge whether you have a low income".
As a guide, if you're on one of the benefits below, or your income is about the same as someone who is, it's more likely you will be able to get a Crisis Grant:
- Income Support
- Pension Credit
- Income Based Jobseeker's Allowance (JSA)
- Income Based Employment and Support Allowance (ESA)
- Universal Credit
What financial help is available?
If you do get a Crisis Grant, your local council will look at helping you with your most urgent living costs.
Some things this may include are help with the costs of:
- Food
- Heating costs
Many local councils have welfare rights advisers who can:
- tell you what benefits and other entitlements are available
- carry out checks so you don't miss out on any benefits
- help you complete forms
- give advice and support if your application for a benefit is turned down or you do not get the amount you were expecting
How to apply
You can apply directly to your local council through the Mygov.scot website here.
Online benefits calculators
You can use an independent benefits calculator to find out:
What benefits you could get
How to claim
How your benefits will be affected if you start work
These calculators are free to use, anonymous, and could indicate benefits you're missing out on.
Where to find help
Advice Direct Scotland
This new online tool is the first to fully integrate devolved benefits, including the Scottish Child Payment.
It provides a free and impartial assessment of entitlement to a range of benefits such as Universal Credit, crisis grants and support payments.
Turn2us
Information on income-related benefits, Tax Credits, Council Tax Reduction, Carer's Allowance, Universal Credit and how your benefits will be affected if you start work or change your working hours
Policy in Practice
Information on income-related benefits, Tax Credits, contribution-based benefits, Council Tax Reduction, Carer's Allowance, Universal Credit, how these are calculated and how your benefits will be affected if you start work or change your working hours
entitledto
Information on income-related benefits, Tax Credits, contribution-based benefits, Council Tax Reduction, Carer's Allowance, Universal Credit and how your benefits will be affected if you start work
What you will need
You will need accurate information about your:
Savings
Income, including your partner's
Existing benefits and pensions (including anyone living with you)
Outgoings (such as rent, mortgage, childcare payments)
Council Tax bill
To keep up to date with the latest cost of living news, join our Money Saving Scotland Facebook page here, or subscribe to our newsletter which goes out four times each week - sign up here.
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