Guidance

The Social Fund: technical guidance

Updated 30 September 2013

This guidance was withdrawn on 3 April 2018

This guidance is no longer current and is not being updated. Find up to date guidance about:

• Budgeting Loans
• Sure Start Maternity Grants
• Funeral Expenses Payments
• Cold Weather Payments
• Winter Fuel Payments

1. About this guide

This is 1 of several technical guides that give detailed information about benefits and entitlements from the Department for Work and Pensions (DWP). It is intended for use by professional and voluntary advisers, and members of the public who want to know more about the Social Fund.

1.1 This guide and the law

The information is only a guide to the Social Fund. It is not a full interpretation of the law relating to the Social Fund as laid down in directions, guidance and regulations.

2. How to contact us

Contact your Jobcentre Plus office. If you are aged 60 or over you may wish to seek advice from the Pension Service. You can find the phone number and address for your office on the Jobcentre Plus or Pension Service adverts in the business numbers section of the phone book.

Alternatively, you can get further information from The Pension Service. To contact us by e-mail go to the Contact Us section.

3. Introduction

This guide gives information about Budgeting Loans, Sure Start Maternity Grants, Funeral Payments, Cold Weather and Winter Fuel Payments. The guide applies equally to people of working age and to people over State Pension age

3.1 The Social Fund

A Budgeting Loan is an interest-free loan intended to help spread the cost of certain one-off expenses over a longer period. A Budgeting Loan can help towards the cost of various items for example, things needed for or to improve the home, clothing and footwear, travelling expenses and certain debts.

They are available to people getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit, or payment on account of 1 of them for at least 26 weeks. Budgeting Loans have to be repaid.

Sure Start Maternity Grants are to help pay for things for a new baby. You may be eligible for a Sure Start Maternity Grant if you or your partner are getting Universal Credit, Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit, Working Tax Credit where a disability or severe disability element is included in the award or Child Tax Credit at a rate higher than the family element. A Sure Start Maternity Grant is a lump sum payment which does not have to be repaid.

Funeral Payments are to help with the necessary costs of a respectful funeral which you or your partner are responsible for arranging. You may be eligible for a Funeral Payment if you are getting Universal Credit, Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit, Working Tax Credit where a disability or severe disability element is included in the award, Child Tax Credit at a rate higher than the family element, Housing Benefit. The payment covers various aspects of the funeral, but is recoverable from the deceased person’s estate if they have left one.

Cold Weather Payments are made to some people getting Income Support, income-based Jobseeker’s Allowance or Employment and Support Allowance (income-related), and to all people getting Pension Credit to help towards extra heating costs when there is a spell of very cold weather in the area where they live.

Winter Fuel Payments are made to people aged 60 or over to help towards their winter heating costs.

3.2 How decisions are made

Applications for Budgeting Loans are decided by a decision-maker at Jobcentre Plus. He or she is bound by directions and takes account of guidance from the Secretary of State to help to decide if you are eligible for the assistance you have requested, and how much you should get. For Budgeting Loans, decisions are mainly based on the common treatment of customers’ circumstances as directed by the Secretary of State. All loan decisions have to be considered against an annual budget. You have the right to ask for a review if you are unhappy with the decision.

Sure Start Maternity Grants, Funeral Payments, Cold Weather Payments and Winter Fuel Payments are made according to the law as set out in regulations. Decisions on these payments and grants are also made by decision-makers in Jobcentre Plus. If you meet the conditions set out in law, you will receive a payment or grant. If you are not happy with the decision, you, or someone else who has the authority to act on your behalf, can:

• ask for an explanation
• ask for a written statement of reasons for the decision
• ask us to look again at the decision
• appeal against the decision to an independent tribunal (but this must be in writing) You can do any of the actions listed above, or you can do all of them.

3.3 The Social Fund Budget

Every year in April Jobcentre Plus offices are given a budget to pay for Budgeting Loans. The money in this budget has to last all year and we have to consider this when making decisions on these applications.

For Budgeting Loans, all eligible applicants have 1 of 3 Budgeting Loan maximum amounts available to them depending on their personal circumstances. Everyone in the same circumstances has the same maximum amount available. How much these Budgeting Loan maximum amounts are depends on the overall state of the loans budget, so sometimes they will change. Any change applies equally to all eligible applicants. You can ask Jobcentre Plus what the Budgeting Loan maximum amounts are at any given time.

Note that the final size of the Budgeting Loan you get may be less than the Budgeting Loan maximum amount, for example, where you already have a Budgeting Loan to repay. Decisions are made as soon as possible after you make your application. If your application is refused or you are unhappy about the decision, you can ask for a review of the decision.

Sure Start Maternity Grants, Funeral Payments, Cold Weather Payments and Winter Fuel Payments are not limited by Social Fund Budgets in Jobcentre Plus, they are paid if you satisfy the regulations as laid down by law.

4. Budgeting Loans

A Budgeting Loan is an interest-free loan for people who have been on Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit or payment on account of 1 of these benefits, for at least 26 weeks. It is intended to help spread the cost of certain one-off expenses over a longer period. The amount you get is decided by the decision maker at Jobcentre Plus.

4.1 Who can get a Budgeting Loan?

To get a Budgeting Loan:

• you or your partner must not be disqualified from getting Jobseeker’s Allowance under section 14 of the Jobseekers Act 1995 (trade disputes)
• you must be getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit or payment on account of 1 of these benefits or entitlements
• you must also have been getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), or Pension Credit for the last 26 weeks, or have been the partner of someone getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit or payment on account of 1 of these benefits or entitlements, for you for 26 weeks, or a combination of them - if at any time during that period you or your partner stopped getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit or payment on account of 1 of these benefits or entitlements, any gaps of up to 28 days will be ignored

It is up to the decision maker to decide who should get a Budgeting Loan and how much they should get.

4.2 Needs covered by a Budgeting Loan

You can get a Budgeting Loan if you need help with:

• furniture or household items
• clothing and footwear
• rent in advance or removal expenses to secure fresh accommodation
• home improvements, maintenance or security
• travelling expenses within the UK
• looking for or starting work (including childcare costs)
• repaying hire purchase (HP) or other debts that have been taken out to pay for any of the above.
• funeral or maternity expenses You won’t need to list individual items or services that you need or explain why you need them. But you will need to say how much money you want to borrow.

If you need money for any other reason than the general categories above, we will not be able to pay you a Budgeting Loan.

4.3 How applications for Budgeting Loans are decided

Personal circumstances

We look at exactly the same circumstances for everyone when deciding how much we can pay you. These are:

• whether you are single
• whether you are a couple
• whether you are single or a couple, with children

There is a set maximum amount of Budgeting Loan at any given time for each of these 3 circumstances. Your award will be based on the maximum Budgeting Loan that fits your particular circumstances of the 3.

At the time your application is decided, you will have the same maximum Budgeting Loan amount available to you as everyone else has in your circumstances.

Priorities for Budgeting Loans

Jobcentre Plus has a fixed amount of money in its Social Fund budget to give out as loans. In order to ensure that this budget is not overspent, there are limits on the maximum amounts of Budgeting Loan allowable for the 3 different personal circumstances. These limits may go up or down depending on how much all Social Fund loan customers are applying for throughout the year.

The limit on the maximum amount of Budgeting Loan is first set for a single person, and then rules laid down by the Secretary of State give the limit for couples without children and 1 for families (including lone parents) with children. These are:

• a couple will get one and one third times a single person amount
• some-one with children will get two and one third times a single person amount

Because these limits on maximum amounts can be revised at any time, the amount appropriate to your particular circumstances can only be confirmed when your application is processed.

How much you can have

Your circumstances and the current overall state of the loan budget determine the maximum amount of Budgeting Loan you are allowed to have. But the actual amount awarded will also depend on whether you have existing Budgeting Loan debt.

If you have no existing Budgeting Loan debt you may be able to have a Budgeting Loan up to your maximum allowable amount.

However, if you do have existing Budgeting Loan debt, the size of any further Budgeting Loan you can have will depend on what you already owe. We can only consider a new Budgeting Loan for the difference between your maximum allowable amount and the amount you already owe (where this is a lesser amount). For example, a further loan of only £200 could be considered if all of the following apply:

• your maximum allowable Budgeting Loan is £700
• your existing Budgeting Loan debt is £500
• you apply for a further loan of £300

This is because the amount already owed (£500), plus any further loan (£300) cannot be more than the maximum amount of Budgeting Loan allowable (£700). In the same example, if the existing Budgeting Loan debt were £400 or lower, a further £300 loan could be considered.

The figures above are used only to show how awards are calculated.

Further adjustments to the final amount of a Budgeting Loan are made based on:

• any savings you have
• rules about minimum and maximum amounts of loan debt
• how much you can afford to repay

If you have any savings

The amount of loan you will get will be reduced, on a pound for pound basis, by any savings you or your partner have over £1,000 (£2,000 if you or your partner are aged 61 or over).

Minimum and maximum amounts

The minimum you can be paid as a Budgeting Loan is £100. Your maximum debt to the Social Fund, including both Budgeting Loan and Crisis Loan debt, cannot be more than £1,500. So, after deciding how much you can have as a new Budgeting Loan using all the preceding tests above, we may restrict this loan in order to keep your total debt within £1,500.

4.4 Repaying the Budgeting Loan

How much you can afford to repay

We will look at your total debt to the Social Fund. When looking at paying back a new loan, total debt means the new loan and any previous Budgeting Loans and Crisis Loans (that you took out before 1 April 2013) which you still owe.

We will consider:

• how much income you have
• what debts or other commitments you have

We will normally take into account all of your Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit except additions for housing costs. We will also take into account any Child Benefit or Child Tax Credit you are getting.

Your total debt to the Social Fund (both Budgeting Loan and Crisis Loan debt) must normally be repaid within 104 weeks (2 years).

How the loan is repaid

Before you get a loan, you will be asked to agree the amount of the weekly repayments. Repayments will be made by deductions from your or your partner’s Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit, as long as you get enough Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit to allow this. If you or your partner stop getting Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit, deductions can then be made from any of the following:

• Contribution-based Jobseeker’s Allowance
• Employment and Support Allowance (contributory)
• Maternity Allowance
• Incapacity Benefit
• Severe Disablement Allowance
• Industrial Injuries Disablement Benefit
• Industrial Disablement Pension
• Industrial Death Benefit
• Reduced Earnings Allowance
• Carer’s Allowance
• State Pension (including non-contributory State Pension)
• Widowed Mother’s Allowance
• Widowed Parent’s Allowance
• Widow’s Pension
• Bereavement Allowance
• Graduated Retirement Benefit

If you stop getting any of these, or if you are not getting enough for deductions to be made, other arrangements will be made with you for repayment. These might be by cash, cheque or postal order, or by direct debit from a bank account you have. You can also pay off all the money you owe in a lump sum, if you become able to do so.

Repayment terms

Repayment terms are made up of the time within which the total debt has to be repaid (repayment period) and the weekly amounts you have to pay back (repayment rates).

Repayment period

The total debt should normally be repaid in 104 weeks (2 years).

Repayment rates

There are 3 standard repayment rates which apply. These rates depend on your existing financial commitments.

The rates, excluding any housing costs, are equivalent to 12%, 10% and 5% of your weekly:

• Income Support available income (and including Child Benefit and Child Tax Credit where appropriate)
• Jobseeker’s Allowance available income (and including Child Benefit and Child Tax Credit where appropriate)
• Employment and Support Allowance available income (and including Child Benefit and Child Tax Credit where appropriate).
• Pension Credit (and including Child Benefit and Child Tax Credit where appropriate)

Repayment at 12% rate

If you have no other debts to repay, you will be expected to pay an amount, excluding any housing costs, equal to 12% of your weekly:

• Income Support available income (and including Child Benefit and Child Tax Credit where appropriate)
• Jobseeker’s Allowance available income (and including Child Benefit and Child Tax Credit where appropriate)
• Employment and Support Allowance available income (and including Child Benefit and Child Tax Credit where appropriate).
• Pension Credit (and including Child Benefit and Child Tax Credit where appropriate)

Repayment at 10% rate

If you have some other payments to make from your benefit, such as rent or fuel arrears, the repayment rate may be lowered to 10% of your weekly:

• Income Support available income (and including Child Benefit and Child Tax Credit where appropriate)
• Jobseeker’s Allowance available income (and including Child Benefit and Child Tax Credit where appropriate)
• Employment and Support Allowance available income (and including Child Benefit and Child Tax Credit where appropriate).
• Pension Credit (and including Child Benefit and Child Tax Credit where appropriate)

This is excluding any housing costs.

Repayment at 5% rate

If your commitments are larger (for example, you have higher payments to make from your benefit or are repaying several personal debts) the repayment rate will normally be 5% of your weekly:

• Income Support available income (and including Child Benefit and Child Tax Credit where appropriate)
• Jobseeker’s Allowance available income (and including Child Benefit and Child Tax Credit where appropriate)
• Employment and Support Allowance available income (and including Child Benefit and Child Tax Credit where appropriate).
• Pension Credit (and including Child Benefit and Child Tax Credit where appropriate)

This is excluding any housing costs.

If you can repay your total debt within 104 weeks (2 years) at 1 of the above standard repayment rates, we will make you 1 offer. If you cannot repay your total debt within 104 weeks, we may give you another choice based on the standard repayment rate. We may offer you a lower amount of new loan which can be repaid at a standard repayment rate in 104 weeks.

Non-standard repayment terms

We may offer you either the full amount of your new loan or a lower amount of new loan at a non standard repayment rate. This rate can be any weekly rate, up to a maximum of 20% of your Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or your Pension Credit (including Child Benefit or Child Tax Credit where appropriate) excluding housing costs. Again we may give you choices, based on recovery of your total debt in 104 weeks (2 years).

You may receive up to 3 different offer choices, from which you can choose the best 1 for you.

Budgeting loans

If you are having difficulty making the repayments

If you cannot make the repayments at the rate originally agreed we may be able to help, for example by extending the repayment period to reduce your payments. You should contact your Jobcentre Plus office for advice. If you are aged 61 or over, you may wish to seek advice from the Pension Service.

4.5 How to apply for a Budgeting Loan

You can find out how to apply for a Budgeting Loan here.

What happens when a decision is made

Once we have made a decision about your application, which will usually be within a week, you will be sent a letter telling you the decision. If you are offered a loan, the letter may give you up to 3 choices of different loan amounts, each with a different rate at which to repay. You will be asked to sign this letter, indicating which 1 of the offer choices you want to accept and showing that you understand the repayment terms and that you have to repay the loan. When you return the signed letter, you will be paid the loan and deductions will probably start with your next payment of benefit.

4.6 How you are paid your Budgeting Loan

Budgeting Loans will usually be paid in 1 lump sum into a bank, building society, or other account provider account which you have nominated.

You can have your Budgeting Loan paid into someone else’s account if you wish. For example, you could choose to have it paid to the person who looks after your money.

4.7 If your application for a Budgeting Loan is refused

There are several reasons why your application may be refused. You may not be eligible for a loan because you have not been getting a qualifying benefit for 26 weeks. You may have excess savings, already owe too much in existing social fund loans, or you may not be able to repay a loan.

If you are dissatisfied with the decision

If you are unhappy about the decision, you can ask for a review.

4.8 Effects of Budgeting Loans on other benefits

Normally, you will repay your Budgeting Loan by deductions from your weekly Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit until the loan has been repaid. Other than this, there will be no effect on any other benefit from having a Budgeting Loan. But see ‘Repaying the loan’ if your Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related) or Pension Credit stops before your repayments have finished.

4.9 Taking on further loans

If you already owe money to the Social Fund from a previous loan, you may get another 1 but we will consider, as part of your circumstances, the Budgeting Loan debt you already have and if you can afford to repay a further loan.

5. Reviews

You have the right to ask for a review if you are unhappy with the decision-maker’s decision on your Budgeting Loan application. You can ask for a review if you think, for example, that:

• the decision was made without the decision-maker knowing all the facts
• or the decision was wrong, or a mistake was made in your case
• or the law and/or directions have been used wrongly

To ask for a review, write a letter to your Jobcentre Plus office within 28 days of your decision letter and let us know why you want a review. If you write after 28 days, it will help if you give the reasons why. If some-one writes in for you, add your consent in writing to the letter. But you do not have to do this if that person is your appointee.

If we cannot change the decision to the one you want, a Reviewing Officer in Jobcentre Plus will offer you an interview. The interview is usually by phone but can be face to face in certain circumstances. We will explain the reason for the decision, and you can tell us about anything which you thought was wrong, or which you think we should know. After the interview we will review your case and if we change the decision we will issue a new decision letter. If we cannot change the decision we will write and tell you why.

5.1 Further review

If you still think the decision is wrong, you can ask for a further review by the office of the Independent Case Examiner. They can either agree with the Reviewing Officer’s decision, ask us to look at it again, or make their own decision. They will write to you explaining what their decision is, and why they reached it. These requests are normally e-mailed by Jobcentre Plus.

6. Sure Start Maternity Grants

A Sure Start Maternity Grant is intended to help you pay for the immediate needs of a new baby if you are getting a specified benefit or tax credit. We do not pay if there is another child under 16 in the family at the time of the claim unless the other child under 16 is:

• dependent on you or your partner and their baby is the subject of the claim in question, or
• 1 of twins or a greater number of children expected or born from the same pregnancy

New rules apply to claims from 13 August 2012 for multiple births expected or born on or after 29 October 2012. The scheme is being extended to provide for payment of a Sure Start Maternity Grant (SSMG) in circumstances where there is already a child under the age of 16 in the family and there is a subsequent multiple birth. A Sure Start Maternity Grant will be payable for the additional child(ren) born as a result of a subsequent multiple birth. For example:

• where any existing children under the age of 16 are all the result of single pregnancies an SSMG is payable for all but 1 of the new babies, so 1 SSMG will be payable where the claimant is expecting twins, 2 SSMGs would be payable where the claimant is expecting triplets
• where any of the existing children under the age of 16 are the result of a previous multiple birth an SSMG is payable for the number of new babies expected or born minus the maximum number of existing children who were born as part of an earlier single multiple birth, so if the claimant already has 6 year old twins but is now expecting triplets, 1 SSMG is payable in respect of the new babies.

The same principles apply where a dependant aged under 20 already has a child under the age of 16 but is now expecting more than 1 child. For example the dependant already has a 2 year old but is now expecting twins, 1 SSMG is payable for 1 of the new babies. [Legislation 1: Social Fund Maternity and Funeral Expenses (General) Regulations 2005, Regulation 5A].

A Sure Start Maternity Grant is paid from the Social Fund as a lump sum, and you do not have to pay it back. It is paid when the conditions below are satisfied. It is not limited by a budget and everyone who is entitled will get a grant. [Legislation 1A: The Social Fund Maternity and Funeral Expenses (General) Regulations 2005].

The grant is £500 in respect of each baby for whom an award is made. A grant cannot be awarded more than once for the same baby except in certain cases. These are where the grant was originally awarded to one of the natural family, but the baby is under 12 months when placed with a new family as a result of adoption proceedings, a residence or parental order, or legal guardianship. Or where the mother and the child’s other parent are not partners when the Sure Start Maternity Grant is claimed and the other parent is the one looking after the child.

6.1 Who can get Sure Start Maternity Grants?

You are only eligible for a Sure Start Maternity Grant if:

• the baby you are claiming for is the only child under 16 in the family (except as explained above);
• you or your partner are getting Universal Credit, Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance (income-related), Pension Credit, Working Tax Credit where a disability or severe disability element is included in the award or Child Tax Credit at a rate higher than the family element; [Legislation (2): From April 2012 to April 2013 this means a Child Tax Credit rate of £548 a year or more, or more than £1,095 a year if you have a baby under 1 year old.] and
• 1 of the following applies:
  • you or your partner are pregnant and expecting a baby within 11 weeks,
  • you or your partner have had a baby in the past 3 months,
  • you or your partner have a dependent child or dependent young person who is pregnant and expecting a baby within 11 weeks or who has had a baby in the past 3 months,
  • you are the responsible parent of a new baby, claim within 3 months of becoming responsible and are not the partner of the child’s mother at the date of claim

You can also claim if you or your partner are getting 1 of the benefits or entitlements above and have:

• been granted an adoption or residence order for a baby who is under 12 months old
• been granted a parental order in respect of a surrogate birth of a baby
• had a baby placed with you for adoption by an agency
• been appointed the legal guardian of a baby
• adopted a baby overseas where certain criteria are met If you have a partner, either of you may claim the grant, unless you are claiming because you have become the responsible parent of a baby and are not the partner of the child’s mother

We use partner to mean:

• a person you are married to or a person you live with as if you are married to them
• a civil partner or a person you live with as if you are civil partners

6.2 If you have any savings

Savings do not affect Sure Start Maternity Grants.

6.3 How Sure Start Maternity Grants are paid

Payment will usually be made by Direct Payment into a bank, building society or other account provider which you have nominated.

6.4 Effect on other benefits

There will be no effect on other benefits from having a Sure Start Maternity Grant.

6.5 How to claim

Contact Jobcentre Plus and ask for claim form SF100 (Sure Start). For details of your Jobcentre Plus office, look for the display advert in the business numbers section of the local phone book.

Sure Start Maternity Grant – including claim form

6.6 When to claim

You can claim if:

• you, your partner or dependent child are expecting a baby or have recently had a baby, you must claim during the period from 11 weeks before the week your baby is due up until your baby is 3 months old
• you are the responsible parent (but not the mother) of a baby not more than 12 months old, and you are not the mother’s partner, you must claim no later than 3 months after the date you became responsible
• you have been granted an adoption or residence order in respect of a baby, you can claim a grant as long as the baby is not more than 12 months old when you do. You must claim a Sure Start Maternity Grant within 3 months of adopting or within 3 months of the date of the residence order
• you and your partner have been granted a parental order for a baby under Section 30 of the Human Fertilisation and Embryology Act 1990 or Section 54 of the Human Fertilisation and Embryology Act 2008, you can claim a grant as long as the baby is not more than 12 months old when you do. You must claim within 3 months of the date shown on the parental order
• you have been appointed guardian of a baby, you can claim a grant as long as the baby is not more than 12 months old when you do. You must claim within 3 months of the guardianship taking effect
• you have had a baby placed with you for adoption, you can claim as long as the baby is not more than 12 months old when you do. You must claim within 3 months of the baby being placed with you
• you have adopted a baby overseas you can claim a grant as long as the baby is not more than 12 months old when you do and the adoption falls within section 66 (1) (c) to (e) of the Adoption and Children Act 2002. You must claim within 3 months of the adoption taking effect or being recognised

If you are waiting for a decision on a qualifying benefit or entitlement, you must still claim within the time limits above.

6.7 What information do I need to provide?

You will need to tell us the date your baby is due (sometimes called the expected date of confinement). If the baby has already been born, tell us the date of birth, adoption, residence order or parental order, or when the baby was placed with you for adoption or guardianship began.

For a Sure Start Maternity Grant you will also need to show that you have received advice on the health needs and general welfare of the new baby and, if you claim before the baby is born, on maternal health. There is a certificate on the back of the claim form for this.

The certificate must be signed by a health professional, for example a:

• community or hospital midwife
• health visitor
• practice nurse

6.8 Disputes and appeals

If you want to know more about the decision or you think it is wrong

Please get in touch with Jobcentre Plus within 1 month of the date of the decision letter. If you contact us later we may not be able to help you.

You, or someone else who has authority to act on your behalf, can:

• ask for an explanation
• ask for a written statement of reasons for our decision
• ask us to look again at the decision to see if it can be changed. There may be some facts you think we have overlooked or you may have more information which affects the decision
• appeal against the decision to an independent tribunal (but this must be in writing)

You can do any of the actions listed above, or you can do all of them.

You can find more information about decision making and appeals in leaflet GL24 “If you think our decision is wrong”. The GL24 is also available from any Jobcentre Plus office.

7. Funeral Payments

A Funeral Payment is intended to help you pay for a funeral if you are on a low income, and you are the person responsible for arranging the funeral. It is recoverable from the deceased person’s estate if they have left one. It is a regulated payment, and as long as you fulfil the conditions you will be paid. [Legislation (3): The Social Fund Maternity and Funeral Expenses (General) Regulations 2005]

7.1 Who can get a Funeral Payment?

The person who has died must have been ordinarily resident in the UK at the date of death and the funeral must normally take place in the UK. However, in certain circumstances, a Funeral Payment may be made for a funeral which takes place elsewhere in the European Economic Area (EEA) or in Switzerland. Members of the EEA are: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the United Kingdom. However, the amount awarded will be restricted to the amount which would have been paid if the funeral had taken place in the area where the deceased had lived in the UK.

You are eligible for a Funeral Payment if it is reasonable for you or your partner to take responsibility for the funeral costs and you are getting any of the following:

• Universal Credit
• Income Support
• Income-based Jobseeker’s Allowance
• Employment and Support Allowance (income-related)
• Pension Credit
• Housing Benefit
• Working Tax Credit where a disability or severe disability element is included in the award
• Child Tax Credit at a rate higher than the family element [Legislation (4): From April 2012 to April 2013 this means a Child Tax Credit rate of £548 a year or more, or £1,095 a year or more if you have a baby under 1 year old.]

7.2 Who should claim?

You should claim if you are the surviving partner of the deceased.

Where the person who died is a child, you should claim if you are the parent of or person responsible for the child. We will not, however, be able to make a payment if there is an absent parent of the child who has not been getting 1 of the following:

• Universal Credit
• Income Support
• income-based Jobseeker’s Allowance
• Employment and Support Allowance (income-related)
• Pension Credit
• Housing Benefit
• Working Tax Credit where a disability or severe disability element is included in the award
• Child Tax Credit at a rate higher than the family element [See Legislation (4) above]

This does not apply if they were estranged from the child at the date of death. (By estranged we mean that there was a breakdown in the relationship between the absent parent and child.)

If you are the parent or the partner of a parent of a stillborn child, we do not have to take into consideration whether there is an absent parent.

If there is no surviving partner and the deceased is not a child for whom you were receiving Child Benefit, you should claim if you are a parent, son, daughter, close relative or close friend of the person who has died. We will not be able to make a payment if there is a parent, son or daughter (other than yourself) of the person who has died who has not been awarded 1 of the qualifying benefits mentioned above. This will not include family members who are: aged under 18, qualifying young persons for the purposes of Child Benefit, full-time students, not ordinarily resident in the UK, members of religious orders, in prison or in hospital (and who had been awarded a qualifying benefit before they entered prison or hospital), asylum seekers being supported by the National Asylum Support Service, or a parent, son or daughter who was estranged from the person who has died.

Where you claim as a parent, son, daughter, close relative or close friend, we also have to decide whether it was reasonable for you to have accepted responsibility for the funeral expenses. We do this by considering the nature and extent of your contact with the person who has died.

Where there are other close relatives of the deceased we consider the nature and extent of the contact each of those relatives had with the person who has died. This will not include close relatives who are: aged under 18, qualifying young persons for the purposes of Child Benefit, full-time students, not ordinarily resident in the UK, members of religious orders, in prison or in hospital (and who had been awarded a qualifying benefit before they entered prison or hospital) or asylum seekers being supported by the National Asylum Support Service. If you had the most contact, then you may be entitled to a payment. If any close relative had closer contact than you, then you will not be entitled to a Funeral Payment. However, if 1 or more of the deceased’s close relatives had equally close contact as you with the deceased, we will go on to consider the financial circumstances of those people.

We will not be able to make a payment to you if those close relatives are not in receipt of 1 or more of the qualifying benefits listed below:

• Universal Credit
• Income Support
• income-based Jobseeker’s Allowance
• Employment and Support Allowance (income-related)
• Pension Credit
• Housing Benefit
• Working Tax Credit where a disability or severe disability element is included in the award
• Child Tax Credit at a rate higher than the family element [See Legislation (4) above]

7.3 What the Funeral Payment covers

A Funeral Payment can help with the necessary cost of a respectful funeral within the UK (funerals in other EEA states can, in certain circumstances, be considered). This includes:

• the necessary cost of a new burial plot with an exclusive right of burial or the cost of reopening an existing grave - for burials only
• the necessary burial fees charged by the authority responsible for cemeteries in the area where the burial takes place or by a private grave-digger - for burials only
• the necessary fees charged by the authority responsible for the cremation - for cremations only
• the cost of any medical references or doctor’s certificates - or cremations only
• the cost of any necessary removal of an active implanted medical device (for example, a pacemaker) - or cremations only
• the cost of documentation needed for the immediate release of assets of the deceased
• when it is necessary to move the body over 50 miles within the UK to the funeral director’s premises or place of rest, the reasonable cost of that part of the journey which is over 50 miles
• where the return journey to the funeral is necessarily over 50 miles, the reasonable cost of that part of the return journey that is over 50 miles for the transport of the coffin and bearers, plus 1 additional vehicle
• the necessary cost of a return journey for you, either to:
  • arrange the funeral, or
  • go to the funeral
• up to £700 for any other funeral expenses

Payments may be affected by a pre-paid funeral plan.

If you have any savings

Your savings do not affect Funeral Payments.

7.4 How to claim

Contact the DWP Bereavement Service. Where appropriate, they can take your Funeral Payment claim over the phone.

Or make a written claim by downloading ‘Form SF200, Funeral Payment claim form’ (PDF, 120KB)

7.5 When to claim

You must claim a Funeral Payment from the date of death and up to 3 months after the date of the funeral. If you are waiting for a decision on a qualifying benefit or entitlement you must still claim within the time limit above.

7.6 How Funeral Payments are made

If the funeral director’s bill has not already been paid, we will usually pay the Funeral Payment directly into the funeral director’s bank account. If the funeral director’s bill has been paid we will make the payment to you, normally direct into your bank or building society account.

7.7 Effect on other benefits

There is no effect on other benefits from having a Funeral Payment.

7.8 Repayment of the Funeral Payment

If you get a Funeral Payment, it will have to be paid back from any estate of the person who died. The estate means any money, property and other things that the deceased person owned. A house or personal things that are left to a widow, widower or surviving civil partner will not be counted as part of the estate.

7.9 Disputes and appeals

If you want to know more about the decision or you think it is wrong

Please get in touch with Jobcentre Plus within 1 month of the date of the decision letter. If you contact us later we may not be able to help you.

You, or someone else who has the authority to act on your behalf, can:

• ask for an explanation
• ask for a written statement of reasons for our decision
• ask us to look again at the decision to see if it can be changed. There may be some facts you think we have overlooked or you may have more information which affects the decision
• appeal against the decision to an independent tribunal (but this must be in writing)

You can do any of the actions listed above, or you can do all of them.

You can find more information about decision making and appeals in leaflet GL24 “If you think our decision is wrong”. The GL24 is also available from any Jobcentre Plus office.

8. Cold Weather Payments

A Cold Weather Payment is intended to help towards extra heating costs during very cold weather. A payment of £25.00 is paid automatically for each 7 day period of very cold weather between 1 November to 31 March. You do not have to pay it back. It is a regulated payment and not subject to a budget. As long as you fulfil the conditions below, you will be paid. [Legislation (5): The Social Fund Cold Weather Payments (General) Amendment Regulations 2010].

8.1 Who can get Cold Weather Payments?

You are eligible for a Cold Weather Payment if you get 1 of the following benefits:

• Income Support
• Employment and Support Allowance (income-related)
• income-based Jobseeker’s Allowance
• Pension Credit
• Universal Credit

If you get Income Support, Universal Credit, Employment and Support Allowance (income-related) during the assessment phase or income-based Jobseeker’s Allowance, you must also receive a pensioner or disability premium or have a child who is disabled or under the age of 5.

Do any savings you have affect the payment?

No. Savings do not affect Cold Weather Payments.

8.2 When are Cold Weather Payments made?

Cold Weather Payments are made when the average temperature for your area is recorded as 0° Celsius (freezing point) or below over 7 consecutive days. They are also made when the Meteorological Office forecasts such a spell of cold weather.

8.3 How are Cold Weather Payments made?

Payment will be made in the same way as your benefit/entitlement and will be sent out automatically to those who qualify. The amount is a set figure.

8.4 Effect on other benefits

Cold Weather Payments have no effect on other benefits.

8.5 How to claim

You do not need to make a claim. We will automatically send payments to those who qualify.

8.6 Disputes and appeals

If you want to know more about the decision or you think it is wrong

Please get in touch with Jobcentre Plus within 1 month of the date of the decision letter. If you contact us later we may not be able to help you.

You, or someone else who has the authority to act on your behalf, can:

• ask for an explanation
• ask for a written statement of reasons for our decision
• ask us to look again at the decision to see if it can be changed. There may be some facts you think we have overlooked or you may have more information which affects the decision
• appeal against the decision to an independent tribunal (but this must be in writing)

You can do any of the actions listed above, or you can do all of them.

You can find more information about decision making and appeals in leaflet GL24 “If you think our decision is wrong”. The GL24 is also available from any Jobcentre Plus office.

9. Winter Fuel Payments

A Winter Fuel Payment is an annual tax-free payment made to eligible people to help towards their winter heating costs. It is a lump sum and in most cases is paid automatically, but some people will need to claim.

All DWP information about Winter Fuel Payments can be found on the Winter Fuel Payments pages.

10. Further Information

10.1 DWP and other leaflets

Where to get leaflets

All the leaflets mentioned in this guide are free of charge and are available from most Jobcentres. If you are age 60 or over, you may be able to get some of the leaflets from The Pension Service.

For your Jobcentre or Pension Centre, look for the display advert in the business numbers section of the phone book.

Alternatively, you can get copies of leaflets from the DWP website.

Contact us by email.

Overview leaflet

This ‘Benefit and Pension Rates’ leaflet (PDF, 209KB)gives basic information about DWP/Jobcentre Plus and the benefits available.

Information leaflets

Information leaflets give information on the range of benefits that different groups of people can claim. They include technical guide leaflets giving detailed information on particlular benefits or benefit areas. They are intended for professional and voluntary advisers and for members of the public who want to know more about a particular subject. A full range of leaflets is available on the DWP website

Application and claim forms

Your application for a Social Fund payment can be made on 1 of the forms listed below. You will be given the correct one for you by the Jobcentre Plus office or Pension Centre.

Form number	Use of form	Where you get it
SF100 (Sure Start)	Sure Start Maternity Grants	your Jobcentre Plus office
SF200	Funeral Payments	your Jobcentre Plus office, Pension Centre or registrar
SF500	Budgeting Loans	your Jobcentre Plus office or Pension Centre

Advice or help in filling in forms

If you need further advice or help filling in forms, contact Jobcentre Plus. If you are over 60 you may wish to seek advice from the Pension Service.

For your Jobcentre or Pension Centre, look for the display advert in the business numbers section of the phone book.

10.2 Other benefits available

If the decision-maker decides you are not eligible for a Social Fund payment, you may still be eligible for other payments which you are not getting at the moment. To find out if you are eligible for any other payments, contact Jobcentre Plus. If you are age 60 or over, you may wish to contact The Pension Service.

For your Jobcentre or Pension Centre, look for the display advert in the business numbers section of the phone book.

For further information on Child Tax Credit and Working Tax Credit, contact HM Revenue & Customs. HM Revenue & Customs Tax Credit Helpline number is 0845 300 3900.

10.3 Other sources of money

There may be other sources of money for which you may be eligible, such as the Family Fund. The Family Fund is a Government fund administered independently by the Joseph Rowntree Trust to help families living in the United Kingdom and caring at home for a severely disabled or seriously ill child, under the age of 16. Ask your Jobcentre or Pension Centre whether there are any such sources of money for which you may be eligible.

10.4 The Acts, Regulations and The Social Fund Guide

You can buy copies of the following publications through bookshops or direct from the publisher – The Stationery Office. Many libraries will also hold copies for you to consult.

The Social Security Contributions and Benefits Act 1992

The laws that form the basis of the Social Fund scheme are the Social Security Contributions and Benefits Act 1992, the Social Security Administration Act 1992 and the Social Security Act 1998. The Acts lay down the framework of the legislation. The detailed rules of the scheme, including benefit rates and entitlement, are contained in regulations approved by Parliament and directions issued by the Secretary of State.

The Regulations

In the Sure Start Maternity Grant, Funeral Payment, Cold Weather Payment and Winter Fuel Payment sections of this leaflet, you are referred to the Regulations which cover particular rules. The Regulations may be changed or added to from time to time. The main Regulations and Legislation which govern this part of the Social Fund are currently:

• The Social Fund Maternity and Funeral Expenses (General) Regulations 2005
• The Social Fund Cold Weather Payments (General) Regulations 1988
• The Social Fund Winter Fuel Payments Regulations 2000
• The Social Security and Child Support (Decisions and Appeals) Regulations 1999.

The Social Fund Guide

For more detailed information on the Social Fund see ‘The Social Fund Guide’ (PDF 2.24MB) - which contains the directions and guidance for making Social Fund payments.