Provision of crisis payment
A crisis payment could be awarded to support low income households:
- where they have experienced financial shock, which is a sudden, unexpected expense or drop in income, that can place pressure on their budget and wellbeing, or
- where support would prevent individuals from entering crisis. Providing timely support so that people can manage pressures, maintain control and avoid being pushed into crisis or prevent crises from escalating
Examples of the type of crisis that causes a financial shock
- disasters - these will normally be unforeseen and result in significant damage to, or loss of, possessions or property, such as a serious flood or fire, gas explosion or a chemical leak
- accident, health emergency or mental health crisis, leading to unplanned spending or incurring increased expenses
- when an applicant is experiencing domestic abuse and leaving an abusive relationship/partner and needs immediate help, such as moving into an unfurnished property and needing help with furniture and appliances
- when an applicant is settling in the community after a period of unsettlement such as homelessness/placement in temporary accommodation
- breakage of an essential item, for example a boiler, medical equipment or white goods
- when the applicant has a short-term gap in regular income, for example, due to redundancy or a significant change in working pattern
This list is not exhaustive.
Examples of what a crisis payment could be awarded to support with
- food
- period and hygiene products such as soap and toothpaste
- water costs (including for sewage)
- fuel/energy costs (used for the purpose of domestic heating, cooking, lighting)
- clothing (including uniform, warm winter clothing and shoes)
- essential furniture and appliances such as beds and white goods
- essential transport-related costs such as repairing a car, buying a bicycle or bus pass or paying for fuel
- digital and connectivity essentials such as broadband or phone bills
This list is not exhaustive
District Councils within the administrative area of Essex County Council can support with Housing Costs via the Housing Payment strand of the CRF that they manage.
Where an individual cannot access a Housing Payment, either because they are not eligible (not entitled to a qualifying benefit) or the Housing Payment allocation has been exhausted by District Councils, there will be consideration if support can be provided by a Crisis Payment under this scheme.
Other things a decision maker should consider
What are the resources available to the applicant.
When assessing an applicant's need for financial support and appropriate referrals, you should consider resources available to the applicant and their household, such as
- money in savings, banks, building societies etc
- capital assets that can be realised, such as shares that could be cashed in
- or other assets
- help which might be available from any other source to meet or partly meet the need if there is a realistic expectation that help would be available in time such as charities and benevolent funds, friends and family
The possibility that some other person or body may wholly or partly meet that need.
In providing this help care must be taken to ensure the Crisis and Resilience Fund does not take over the role of other agencies in providing support. See Appendix A for a list of other schemes and funds to be considered but note this is not exhaustive.
Crisis Payments are intended to meet occasional or short-term needs and cannot provide an alternative source of regular income.
The decision maker could consider supporting applicants who are ineligible for Crisis Payments with Resilience Services (unless they have received them before as well).
Repeat Applications. Each case must be judged on its own merits. A person may have more than 1 crisis in a year, however, where they have accessed Resilience Services this should be noted and further questions asked as to whether this further crisis was avoidable given the support they have already received.
If the person is terminally ill they should be able to access and supply the SR1 form from their doctors - this form allows fast tracking for benefit claims such as Personal Independence Payment. If they have this evidence you could pass the claim quickly through processing without vast evidence gathering.
The award of a Crisis Payment will be linked to further provision of a Resilience Service. (unless evidenced as terminally ill - see above). By examining the cause of the need for a Crisis Payment and supporting applicants through further resilience activity this will reduce the need for an applicant to make further crisis applications.