A fund that has helped vulnerable people in Renfrewshire during the cost-of-living crisis will be bolstered with £200,000 after a cash injection was given the green light.

The Scottish Welfare Fund – delivered by the council on behalf of the Scottish Government – provides a safety net for people on low incomes through crisis and community care grants.

The initiative’s budget has been “under significant pressure” of late, a report to the finance resources and customer services policy board confirmed.

However, the coffers will receive a boost after elected members approved a significant allocation at a recent meeting.

Councillor John Shaw, board convener and SNP representative for Renfrew North and Braehead, said: “The business services performance report … includes an additional allocation of £200,000 to the Scottish Welfare Fund to keep us at the ‘high’ rate – rather than us having to move to the ‘high, most compelling’ which would obviously mean lesser awards.

“We felt it was hugely important that we kept it at the ‘high’ rate, so again we’ve allocated an additional £200,000 in there.”

Depute council leader Jacqueline Cameron, an SNP representative for Johnstone South and Elderslie, said she supported the recommendation.

She added: “We’ve seen recent news headlines and it’s a stark situation for everyone, not just people on benefits.

“It’s really good to see that we can do something on a local level, even if it’s on a small scale.”

A paper, authored by Emma Shields, strategic service delivery manager, explained that without additional resources the local authority would have had to change the priority level it awards funds on.

It said: “In line with Scottish Government legislative guidance, applications for the crisis and community care grants (CCGs) are categorised as low; medium; high; and high, most compelling priority, both in terms of the circumstances of the applicant and the items requested (in the case of CCGs).

“Due to the financial pressure on the budget the council has been awarding on a high priority basis since May 2021 and has only ever made awards on a high, most compelling basis twice before, most recently in 2018/19 for a short period.

“Following close ongoing monitoring and review, and even adjusting award levels to the limits of the high priority category, without additional resources, the council will regrettably, require from September 12 to move to award on a high, most compelling basis.

“Under the ‘high priority’ category awards are likely to be made to customers considered highly vulnerable and who are in immediate and severe need of the goods applied for.

“With a switch to ‘high, most compelling’ customers would need to be both highly vulnerable and at immediate risk, with a need for goods which is extremely severe.”

The effect of such a change could have been “significant”, including the prospect of fewer awards as well as a lower average award.

But the paper added: “To avoid this severe impact to potentially vulnerable customers it is proposed that the council augments the fund by adding a further £200,000 to the £400,000 already provided this year.”

The step enables the service to continue awarding on a ‘high’ priority basis with sufficient resource to last until the end of March.

A crisis grant can help cover living costs in the case of an emergency or do so and replace household goods as a result of a disaster, such as a fire or flood.

A community care grant can assist in covering the costs of setting up or maintaining a home and supporting individuals and families facing exceptional pressure.

Councillor Alison Ann-Dowling, Labour group finance spokesperson and representative for Houston, Crosslee and Linwood, said: “I also welcome that additional £200,000 in funding.

“It is quite depressing that we are having to top up that fund by such an amount.

“It really does indicate how hard life is financially for many people in Renfrewshire.”