Dorset's £2m cost of living fund could return

man working out bills with head in his handsImage source, Getty Images
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Dorset residents struggling with the rising cost of energy bills could benefit from the fund

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A £2m fund to help people struggling with the cost of living could be reinstated under new plans.

The Dorset Council scheme was initially set up in the last financial year by the former Conservative administration, but was not renewed.

The Liberal Democrats, who now have control of the authority, have said they plan to revive the fund.

A decision will be made at a council meeting on 11 June.

The money would help vulnerable people and address gaps in other support programmes, according to the authority.

To finance the plans, money would be taken from the council’s General Fund reserves, the Local Democracy Reporting Service said.

'Negative budgets'

The high cost of living relative to earnings was particularly bad in Dorset, a background report noted.

It said higher rental and mortgage payments meant people had less disposable income with which to pay for the rising cost of fuel, energy bills and food.

Citizens Advice told the council about 13,600 people in Dorset had asked for help in May.

"Dorset residents are facing mounting personal debt, and more Dorset residents start each month in 'negative budgets' mostly due to the rising costs of rents, energy and food," the charity said.

"[They] are struggling to pay their rent or mortgages... people are continuing to struggle to feed their families."