THE cost of living crisis is still biting, and with colder months just around the corner, many families are dreading the hit to their bank accounts.
But there could be thousands of pounds of ‘free cash’ out there with your name on it.
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For a family on a low income, the total support available can add up to a staggering £41,742 a year, which could be a total game changer.
The key is knowing what to look for and where to claim it.
Universal Credit – claim up to £1,700 per month
The biggest lifeline for low-income families is Universal Credit, a monthly payment designed to help people who are out of work or on a low income.
Your total payment isn’t a single lump sum but is built from different “elements” depending on your circumstances.
A couple who are both over 25 start with a Standard Allowance of £628.10 a month.
On top of that, you can get extra cash for your children, with a monthly rate of £292.81 for a second child and the same amount for the first child if they were born on or after April 6, 2017.
If you have a child with a diability, you could get a huge extra chunk of up to £495.87 a month.
Childcare support – claim up to £1,769 a month
Working parents on UC can claim back 85% of childcare costs, worth up to £1,769 a month for two or more children.
The money is paid after you’ve submitted evidence of payment each month.
There are often delays, so it’s important to budget carefully or ask providers if they’ll accept delayed payment.
Apply through your UC account at www.gov.uk/universal-credit/childcare-costs.
Free childcare hours – claim £625 a month
This month, working families will be able to claim up to 30 hours of free childcare for children aged nine months to four years old.
It saves families an average of £7,500 a year.
To be eligible:
- Both parents must be working (or one, in single-parent households)
- You must earn at least £183/week and under £100,000/year
The Government says this will save families an average of £7,500 a year. More details at www.childcarechoices.gov.uk.
Sure Start Maternity Grant – claim £1,000
The Sure Start Maternity Grant is a scheme that offers a one-off payment to those expecting their first child or having multiple births such as twins.
The money is designed to help you cover the cost of caring for a newborn. You can get a payment of £500.
If you are having a multiple birth, you might be able to get more than £500.
For example, a parent expecting triplets who already has a child would get £1,000.
To qualify for the support, you or your partner must be claiming certain benefits such as Universal Credit, Pension Credit, Child Tax Credit, or Income Support.
You must also have no other children under the age of 16, unless you are expecting multiple births.
You do not have to pay the grant back, and it does not affect your other benefits.
If you are thinking about applying, you must claim the grant within 11 weeks of the baby’s due date or within 6 months after the baby’s birth.
To apply, you will need to fill out a Sure Start Maternity Grant (SF100) claim form.
This form needs to be printed off and then posted to ‘Freepost DWP SSMG’.
You will also need to provide evidence of the pregnancy or childbirth from a health professional, such as a doctor or midwife.
Child Tax Credit – claim up to £627 a month
The government is phasing out tax credits and moving people onto Universal Credit, but if you are still receiving Child Tax Credit, you should know what you are entitled to.
The Child Tax Credit provides financial support for families. For the 2025/26 tax year, the child element is worth up to £3,455 per year.
You can also get a disabled child rate of £4,170 per year and a severely disabled child rate of £5,850 per year.
Free School Meals – save thousands a year
To get free school meals, you must apply through your local council, usually via an online form on the GOV.UK website.
While children in Reception, Year 1, and Year 2 are automatically given a meal, parents of older children or children in these years receiving certain benefits need to apply for the school to receive extra funding.
You must be receiving qualifying benefits like Universal Credit with a low income, Income Support, or Income-based Jobseeker’s Allowance to be eligible.
School Uniform Grants – claim up to £200 for each child
If you’re struggling to afford the costs that come with the new school term, there are several ways you can get help.
If you receive certain benefits such as Universal Credit, you may be able to apply for a school uniform grant of up to £200 through your local council.
The amount and eligibility vary depending on where you live. In Wales, all councils offer a grant of £200 for eligible students.
In Scotland, the grants are typically between £130 and £180 depending on the school year.
If you live in England, you need to contact your local council to see what’s available, as they set their own criteria.
If your council doesn’t provide a school uniform grant, you may be able to apply for help through the Household Support Fund.
Healthy Start Scheme – claim up to £442 per year
The Healthy Start scheme supports pregnant people and families with young children.
The free cash support available can be used to fund groceries, including fruit, vegetables, and milk.
The scheme provides a weekly allowance of £4.25 for people over 10 weeks pregnant, £8.50 for the first year of a child’s life, and £4.25 a week for children aged one to four.
It’s always worth checking to see if you can claim, as it can be worth up to £442 a year per child.
Eligibility is based on income levels and entitlement to means-tested benefits such as Universal Credit.
How to check which benefits you could be entitled to
There are several free online benefit calculators that you can use to see how much you might be able to claim and via which benefit.
Before using the tools, make sure you have key financial information to hand, such as bank and savings statements, and information on pensions and existing benefits.
If you live with a partner or family, get their basic financial information together too as this could affect your claim.
Once you’ve used the tools you can use the contact information on Gov.uk to get the ball rolling and apply for what you’re owed.
Of course, the tools only provide an indicator of what benefits you can claim – and usually don’t include means-tested benefits, so you may be entitled to even more.
Entitledto’s free calculator works out whether you qualify for various benefits, tax credits and Universal Credit.
Entitledto’s data also powers benefit checkers from MoneySavingExpert.com and charity StepChange.
Use Policy in Practice’s calculator to not only find out which benefits you could receive but also to find out how much cash you’ll have leftover each month after paying for housing costs.
Usefully, it also includes links to claim for benefits.
Charity Turn2Us’ benefits calculator works out what means-tested benefits you might be entitled to, as well as whether you qualify for carers allowance.
It points out that it doesn’t calculate non-means tested benefits and contributory benefits, but it will include these in your results if you’re already getting them.
Turn2Us also has a tool that can help you check out grants available near you on its website.
Council Tax Help – save up to £2,280 a year
If you’re on a low income, you might be able to get a reduction on your council tax.
Whether you’re eligible or not depends on where you live as only some councils offer reductions. Some local authorities even give you a 100% reduction so you don’t have to pay at all.
To apply, you should visit your council’s website. You’ll need to provide the council with information on your earnings and what pensions and benefits you receive.
The average Band D council tax set by local authorities in England for this financial year is £2,280 – so you could save thousands.
Water Bill Help – slash your bill by up to £480
Water companies also offer social tariffs or capped rates for those on Universal Credit and similar benefits.
The schemes vary by supplier and the amount you can save will also depend on your usage.
But there is the potential to save hundreds of pounds.
For example, Affinity Water caps bills at £119.50 a year for eligible households. Given the average water bill in England and Wales is roughly £603 per year , that gives you an idea of how much you could save.
Energy Bill Help – get a grant of up to £2,000
Some energy firms offer hardship grants worth up to £2,000 to those struggling with their bills.
British Gas and EDF are among the suppliers that offer support.
If you are behind on your energy bills, you can apply for a grant from specific energy suppliers’ support funds, such as the British Gas Energy Trust, Scottish Power Hardship Fund, Ovo Customer Support Package, E.ON Next Energy Fund, EDF Energy Customer Support Fund, and Octopus Octo Assist fund.
Even if you are not a British Gas customer, you may be able to get a grant from the British Gas Energy Trust, but you will need to get debt advice first.
Discounted Broadband and Mobile Contracts – save up to £200 a year
You can often get social tariffs on your mobile and broadband contracts if you’re on certain benefits like Universal Credit or Pension Credit.
These ‘social’ or ‘essential’ tariffs offer the same service as regular packages but at a significantly lower price.
They typically come with no long-term contracts and a guarantee of no mid-contract price hikes.
Ofcom has found that millions of households could save up to £200 a year by switching to a social tariff.
How to get grants for low-income families
The charity Turn2us has a tool on its website that lets you search to see if you’re eligible for any free grants.
All you need to do is spend a few minutes answering some questions and the tool will then match your information to grants that might be suitable for you.
These grants are given by registered charitable organisations across the UK and can be based on your personal circumstances, such as a job you’ve worked at or a health condition you have.
The money you receive does not have to be paid back.
You can find the tool on the Turn2us website.
Household Support Fund – up to £500
Councils are offering emergency help for essentials such as food, white goods and energy bills.
The Household Support Fund runs until March 2026, but rules and payouts vary.
For example, Brent Council offers up to £500 for struggling families, Doncaster pays between £100 and £300, and Ribble Valley provides £200–£500 in supermarket vouchers.
Check your local council’s website and search “Household Support Fund” to apply.
If you aren’t sure which is your local council, you can use this tool.
Warm Home Discount – £150 off energy bills
Low-income households can get £150 knocked off winter electricity bills between October and March.
Most people don’t need to apply as energy suppliers automatically add the discount if the household qualifies.
Check eligibility at www.gov.uk/the-warm-home-discount-scheme.
Free prescriptions, dental care and eye tests
Many on Universal Credit qualify for free prescriptions, NHS dental treatment and eye tests.
This can save nearly £10 per prescription and £25.80 for a dental check-up, with the savings quickly adding up.
You’ll qualify if:
- You’re single and earn under £435/month
- Or your household earns under £935/month and gets the child element of UC or has limited capability for work
These savings can quickly add up:
- NHS prescriptions in England cost £9.90 each
- A standard NHS dental check-up is £25.80
Free or discounted travel
Jobcentre Plus offers travel discount card offers up to 50% off rail fares.
It’s available to jobseekers who have been claiming UC or JSA for at least 13 weeks (or longer depending on age). More info at www.nationalrail.co.uk.
Other discounts are available for students and young people, such as the 16–17 Saver Card, which you can apply for at www.16-17saver.co.uk.
Or you could get the Student Oyster Photocard in London, which offers 30% off travelcards and bus passes in London. See tfl.gov.uk.
