Spotlight on Methods of HSF Delivery - Data from Ipsos

Local councils and community hubs are essential in supporting vulnerable members of the community. The Household Support Fund (HSF) has become a cornerstone of local welfare. An independent evaluation by Ipsos UK (full report here) has provided valuable insights into the most effective ways councils deliver this support. Here’s a summary of the key findings and how councils are making a real difference. 

To see supporting graphs and slides from Huggg CEO Paul Wickers, click here.

1. Targeted Support: Focusing on Those Most in Need

One of the core takeaways from the Ipsos evaluation was the importance of targeting support to the most vulnerable. Councils have focused on:

• Families with children
• Pensioners
• People with disabilities (including physical and mental health needs)

The data highlights the impact of this targeted approach:

• 78% of recipients said the support helped them afford food and groceries.
• 60% reported assistance with energy and utility bills.
• 58% said it helped them keep warm homes.
• 61% said it enabled them to avoid borrowing money.
• 98% of recipients reported at least one positive benefit from their award.

By focusing on essentials like food and energy, councils ensured that funds were directed where they could have the greatest impact.

2. Flexible Delivery Models

The evaluation found that councils used a combination of methods to deliver support, ensuring that people could access help in the way that suited them best:

• Direct awards – Cash, vouchers, or physical goods provided automatically without an application.
• Applications – Allowing residents to apply for support based on set eligibility criteria.
• Referrals – Community organisations or third-party operators (TPOs) identifying and referring those in need.

Different methods worked better for different types of support:

• Food support was most often provided through direct awards, ensuring quick access.
• Cash and utility support were more commonly distributed through applications and referrals, allowing councils to verify need and target support effectively.

Importantly, satisfaction was highest when support was proactively provided rather than requiring residents to apply. This suggests that removing barriers to access improves outcomes.

3. Streamlined Administration

Simplifying the process of delivering support has been a major focus for councils. Streamlined systems have reduced the administrative burden for both councils and recipients.

Key improvements include:

• The introduction of integrated platforms like Huggg has enabled councils to distribute a variety of payout types (cash, vouchers, and physical goods) from a single system.
• The launch of the first energy voucher (usable for bill payments and top-ups) provided more flexibility for recipients.
• Improved integration of voucher platforms with CRM systems has sped up processing times and reduced administrative delays.

By reducing complexity, councils ensured that support reached people more quickly and with less frustration.

4. Proactive Communication

Many residents were unaware of the support available to them, highlighting the need for clearer communication. Councils have improved outreach and engagement through:

• Multi-channel communication – Using social media, local press, direct mail, and community networks to reach residents.
• Partnerships with community organisations – Leveraging trusted local groups to increase awareness and provide application support.
• Clarity and simplicity – Ensuring that eligibility criteria and the application process are easy to understand.

The evaluation showed a direct link between better communication and increased uptake of support. Clear messaging and accessible information ensured that more people could access the help they needed.

5. Data-Driven Decisions

Councils that tracked and analysed their support delivery were better able to refine and improve their strategies. The Ipsos evaluation highlighted how data-driven decision-making has strengthened local welfare delivery:

• Monitoring uptake patterns allowed councils to identify gaps and adjust support models.
• Tracking satisfaction levels helped councils shift toward delivery methods that generated higher positive feedback.
• Analysing demographic trends ensured that underrepresented groups were not left behind.

This adaptive approach ensured that support strategies remained responsive to changing needs and economic pressures.

Methods of Fund Disbursement

The Ipsos report provided detailed insights into how funds were distributed and which methods were most effective:

💷 Cash

• Provided flexibility for recipients to allocate funds based on their most pressing needs.
• Helped avoid the risk of funds being absorbed by overdrafts.

🛒 Vouchers (via Huggg)

• Over £250 million in vouchers have been distributed since 2020, with a voucher being redeemed every 15 seconds.
• Vouchers ensured that funds were used for essentials like food and energy and offered more control for the disbursing party.
• Energy vouchers allowed direct payment of bills and top-ups.

📦 Physical Goods

• Direct provision of essentials (e.g., food and winter clothing) met immediate needs.
• Most often distributed through direct awards for quick impact.

🔎 Direct Awards vs Applications vs Referrals

• Direct awards – Generated the highest satisfaction due to their simplicity and immediacy.
• Applications – Allowed for more targeted support but required more administrative effort.
• Referrals – Expanded reach to hard-to-identify groups through trusted community partners.

Conclusion

The Household Support Fund has shown that councils can effectively deliver local welfare by combining targeted support, flexible delivery models, and simplified administration. The data confirms that food and energy support were the highest priorities, with direct awards generating the most positive feedback from recipients.

By adopting a data-driven approach and improving communication, councils have ensured that support reaches those who need it most. Proactive delivery and streamlined processes have increased satisfaction and reduced financial stress for vulnerable households.

At Huggg, we’re proud to support councils and their partners in delivering this essential support. If you want to learn more about how we can help streamline your fund distribution, get in touch today.