Financial help for those struggling with housing payments is to fall in the Banbury and Bicester areas

Cherwell District Council has lost ‘matched funding’ of £187,383 from Oxfordshire County Council (OCC) to award people discretionary housing payments (DHP).

The money is given to those who need help for such things as rental deposits, rent in advance, removals costs and for those in exceptional need following changes to their benefits.

Cherwell administers grant aid from government which totals £187,383 per year. Last year this was matched by OCC giving the district council £374,766 with which to help those struggling to rent a home or maintain their tenancies.

But that county council contribution has been discontinued this year meaning there will be less in the pot to help those in the Banbury and Bicester areas.

In a report to next Monday’s Executive Meeting, councillors have been told there was a significant increase in 2020/21 due to affordability pressures in the private rental sector. For 2024/25 the funding amount was £187,383.00 allocated via the Department of Work and Pensions and this was matched by Oxfordshire County Council (OCC) bringing the total funding to £374,766. The county grant has ended.

Depending on the circumstances, the discretionary housing payment (DHP) can be paid as a weekly top up or a single payment.

The claimant must be entitled to Housing Benefit or Universal Credit housing costs at the time they apply for a DHP.

Local Authorities are allocated Central Government funding for DHP. Local Authorities can also make an additional local contribution to the fund (up to 2.5 of the Government allocation).

The funding must be awarded to claimants in the financial year it is allocated and once the fund is exhausted no further funding is available until the following financial year. Any DHP funding not awarded by the end of the financial year must be paid back to the Department of Work and Pensions.

"Cherwell District Council remains committed to identifying and assisting the most vulnerable residents through effective use of DHP monies in order to offer ongoing support to families in exceptional need affected by changes to Housing Benefit (HB) or Universal Credit housing costs,” the report says.

To apply for a DHP see here and to read the full report see here.