The cost of living crisis that began in 2021 has eased slightly, but millions of UK households still face high energy bills, rising rents, and stretched budgets. The government, local councils, and charities have introduced a patchwork of support schemes to help, but navigating them can be confusing. Some are automatic, others require an application, and eligibility rules vary by scheme and location. Here is a comprehensive guide to the cost of living support available in the UK in 2026, who qualifies, and how to claim it.
Energy Bill Support
Energy bills remain one of the biggest household costs, and several schemes provide help.
Energy Price Guarantee
The Energy Price Guarantee (EPG) caps the unit price of gas and electricity for households on standard variable tariffs. As of 2026, the EPG is set at a level that means a typical household using average amounts of energy pays around £1,900 per year (though actual bills depend on usage).
The EPG is automatic — you do not need to apply. It is applied by your energy supplier and appears as a discount on your bill. The cap is reviewed quarterly by Ofgem, the energy regulator, and can go up or down based on wholesale energy prices.
Warm Home Discount
The Warm Home Discount is a £150 discount on electricity bills for eligible households, paid between October and March each year.
You qualify automatically if you receive the Guarantee Credit element of Pension Credit. The discount is applied to your electricity bill (or, if you use a pre-payment meter, you receive a voucher).
If you are on a low income but do not receive Pension Credit, you may still qualify under your energy supplier's broader group criteria, which consider income, benefits, and household circumstances. Eligibility varies by supplier, and you usually need to apply between October and December. Check your supplier's website for details.
Energy Company Obligation (ECO4)
The ECO4 scheme provides grants to improve the energy efficiency of homes, including insulation, boiler upgrades, and heating system replacements. The scheme is aimed at low-income households and those living in poorly insulated homes.
You may qualify if you:
- Own or privately rent your home
- Receive certain benefits (Universal Credit, Pension Credit, Child Benefit, etc.)
- Have a low income and live in a property with an Energy Performance Certificate (EPC) rating of D, E, F, or G
The work is carried out by energy suppliers and their contractors, and you do not pay upfront. Contact your energy supplier or use the government's Simple Energy Advice service to check eligibility and find an installer.
Council Tax Support
Council Tax Support (also called Council Tax Reduction) can reduce your council tax bill by up to 100% if you are on a low income or receive benefits.
Eligibility and the amount of support vary by local authority. In England, each council sets its own scheme. In Scotland and Wales, the schemes are more standardised.
You may qualify if you:
- Receive Universal Credit, Pension Credit, or other means-tested benefits
- Have low income and savings below a certain threshold (usually £6,000–£16,000, depending on the council)
- Are responsible for paying council tax (owners or tenants)
To apply, contact your local council. Most councils have online application forms. You will need to provide proof of income, benefits, and household circumstances.
If you live alone, you may also qualify for a 25% single person discount, which is separate from Council Tax Support and applies regardless of income.
Cost of Living Payments
The government has made cost of living payments to households on means-tested benefits in recent years. These are one-off, tax-free payments designed to help with rising costs.
As of 2026, the government has not announced whether cost of living payments will continue. Previous payments included:
- £900 for households on Universal Credit, Pension Credit, or legacy benefits (paid in instalments)
- £300 for pensioner households (Winter Fuel Payment top-up)
- £150 for people on disability benefits
If cost of living payments are announced in 2026, they will be paid automatically to eligible households — you do not need to apply. Check GOV.UK for the latest announcements, usually made in the Budget (March) or Autumn Statement (November).
Pension Credit
Pension Credit is a benefit for people over State Pension age (currently 66) on low incomes. It tops up your weekly income to a minimum level (£201.05 per week for single people, £306.85 for couples, as of 2024–25 rates).
Pension Credit has two parts:
- Guarantee Credit — tops up your income to the minimum level
- Savings Credit — extra money if you have some savings or income (only available if you reached State Pension age before 6 April 2016)
Pension Credit is important because it unlocks access to other benefits, including:
- Warm Home Discount (automatic £150 discount)
- Free TV licence (for over-75s)
- Help with NHS costs (prescriptions, dental, glasses)
- Council Tax Support
Around 800,000 eligible pensioners do not claim Pension Credit, according to government estimates. If you are over State Pension age and have a low income, check your eligibility on GOV.UK or call the Pension Credit helpline on 0800 99 1234.
Universal Credit and Legacy Benefits
If you are on a low income or out of work, you may be eligible for Universal Credit or legacy benefits (such as Income Support, Jobseeker's Allowance, or Employment and Support Allowance).
Universal Credit is a monthly payment that helps with living costs. The amount you receive depends on your circumstances, including:
- Your income and savings
- Whether you have children
- Whether you have a disability or health condition
- Your housing costs
You can apply for Universal Credit online at GOV.UK. You will need to provide proof of identity, income, savings, and housing costs. The first payment is usually made five weeks after you apply (though you can request an advance if you cannot wait).
If you are already receiving legacy benefits, you do not need to switch to Universal Credit unless your circumstances change. The government is gradually moving everyone to Universal Credit, but the process is slow.
Household Support Fund
The Household Support Fund is a government grant given to local councils to provide emergency help with essentials like food, energy, and water bills. The fund is aimed at vulnerable households who are struggling to make ends meet.
Each council decides how to distribute the fund, so the help available varies by area. Some councils provide:
- Food vouchers or grants
- Energy bill grants (top-ups for pre-payment meters)
- Help with water bills
- White goods (fridges, washing machines) for families in crisis
To access the Household Support Fund, contact your local council. Many councils have online application forms or phone lines. You will usually need to provide proof of income, benefits, and the reason you need help.
The Household Support Fund has been extended several times, but it is not permanent. Check your council's website for the latest information.
Help with Water Bills
Most water companies offer social tariffs or support schemes for customers on low incomes or benefits. These can reduce your water bill by up to 50–90%, depending on the scheme.
Each water company runs its own scheme, so eligibility and discounts vary. Common schemes include:
- WaterSure (for large families or people with medical conditions that require high water use)
- Social tariffs (for customers on benefits or low incomes)
- Payment plans (spreading the cost over the year)
To apply, contact your water company directly. You will need to provide proof of benefits or income. Most water companies have online application forms or phone lines.
Free School Meals
If you have children, they may be eligible for free school meals if you receive certain benefits, including:
- Universal Credit (with net earnings below £7,400 per year)
- Income Support
- Jobseeker's Allowance
- Pension Credit
- Child Tax Credit (with income below £16,190 per year)
Free school meals are worth around £400–500 per child per year and can make a significant difference to household budgets.
To apply, contact your child's school or your local council. Most councils have online application forms. If your child is eligible, they will receive a free meal every school day.
NHS Help with Health Costs
If you are on a low income or receive certain benefits, you may be eligible for help with NHS costs, including:
- Free prescriptions
- Free dental treatment
- Free eye tests and glasses
- Help with travel costs to hospital
You qualify automatically if you receive:
- Universal Credit (and meet the income threshold)
- Pension Credit Guarantee Credit
- Income-based Jobseeker's Allowance or Employment and Support Allowance
If you do not receive these benefits but have a low income, you can apply for an NHS Low Income Scheme (LIS) certificate, which provides partial or full help with health costs.
Apply online at GOV.UK or pick up a form (HC1) from your GP surgery or Jobcentre Plus.
Debt and Money Advice
If you are struggling with debt or cannot afford essential bills, free debt advice is available from:
- Citizens Advice (0800 144 8848 or citizensadvice.org.uk)
- StepChange (0800 138 1111 or stepchange.org)
- National Debtline (0808 808 4000 or nationaldebtline.org)
These charities can help you negotiate with creditors, set up payment plans, and access emergency support. They can also check whether you are claiming all the benefits you are entitled to.
The Bottom Line
The UK has a complex patchwork of cost of living support in 2026, including the Energy Price Guarantee, Warm Home Discount, Council Tax Support, Pension Credit, Universal Credit, the Household Support Fund, and help with water bills and NHS costs. Some schemes are automatic, others require an application, and eligibility varies by scheme and location. Pension Credit is particularly important because it unlocks access to other benefits, yet 800,000 eligible pensioners do not claim it. If you are struggling, contact Citizens Advice, StepChange, or your local council for help. The government announces new cost of living support in the Budget and Autumn Statement, so check GOV.UK regularly for updates. The support available can make a significant difference to household budgets, but you need to know what you are entitled to and how to claim it.