As families prepare for the festive season, many may not realize they can claim up to £3,850 in various benefits and cashback schemes. With the right actions, households can significantly boost their finances just in time for Christmas.
One of the primary sources of financial assistance comes from the Household Support Fund, which offers a one-off payment of £200 to eligible families across the UK. This initiative is part of a £742 million government scheme aimed at alleviating financial pressure during winter. The specifics of eligibility vary by local authority, meaning residents in different areas may have different access to these funds.
For instance, Islington Council in London has allocated £3.9 million to distribute £200 payments to low-income households. Residents can expect a decision on their application within 21 days. Similarly, the City of Doncaster Council offers varying amounts based on the number of dependent children in a household. Eligible childless households can receive £100, while those with one, two, or three dependent children can receive £100, £200, and £300, respectively. Payments are set to be processed around December 15.
In Cambridgeshire, the council offers up to £110 for low-income households, with applications processed within four weeks. To qualify, single adults must earn less than £24,876, while couples with two children need to have a combined income below £42,418.
Another significant financial opportunity lies in tax rebates. Many individuals aged 55 and older could be eligible for substantial refunds due to an “emergency tax” situation. For instance, during the period from July to September 2023, the HM Revenue and Customs (HMRC) reported paying out over £48 million in tax rebates, with the average rebate amounting to £3,539. Those with a two-digit tax code may be particularly affected. Taxpayers can quickly verify their status through the HMRC website or app.
To claim a tax rebate, individuals must complete specific forms, such as P55, P53Z, or P50Z. Submitting claims online can expedite the process, often resulting in refunds within 30 days, sometimes as quickly as five to ten working days.
In addition to government support, families can benefit from cashback schemes during their holiday shopping. The average household in the UK typically spends over £1,600 on food, gifts, and travel during the festive season. By using cashback websites and apps, shoppers can earn back approximately 5% of their total spending. This could equate to around £80 for an average household.
Popular cashback platforms include TopCashback, Quidco, and Rakuten, which showcase deals linked to major retailers. For example, TopCashback is currently offering a 10% rebate on purchases at Argos for first-time customers. While cashback is not guaranteed, it can provide a welcome bonus for savvy shoppers.
Specific retail promotions also offer substantial savings. For instance, TopCashback provides 5% back on shopping at Morrisons for first-time users spending over £40. Furthermore, Rakuten features deals such as 21% cashback on Ocado orders exceeding £40. These opportunities can significantly reduce holiday expenses.
Lastly, consumers should not overlook loyalty points accrued through supermarket loyalty programs. Retailers like Asda, Morrisons, Tesco, and Sainsbury’s allow customers to earn points that can be redeemed for discounts or cash vouchers. For instance, Sainsbury’s offers one point per £1 spent, which can accumulate to rewards over time.
As Christmas approaches, families have multiple avenues to enhance their financial situation. Whether through government funds, tax rebates, cashback offers, or loyalty points, each option can contribute to a more festive and financially secure holiday season.
