Tips & Advice
  • Debt Advice
  • >
  • What is the DAF Fund in Wales? Explaining the Discretionary Assistance Fund

What is the DAF Fund in Wales? Explaining the Discretionary Assistance Fund

What is the DAF Fund in Wales? Explaining the Discretionary Assistance Fund

Maxine McCreadie


The Discretionary Assistance Fund (DAF) in Wales is a government-supported scheme designed to provide financial assistance to individuals who are in urgent need due to an emergency or a crisis.

It is intended as a safety net to help those who do not have other means of support in times when they require urgent help to protect their well-being.

If you find yourself in such a situation, you may be eligible to apply for a one-off payment from the DAF, which can be used to cover essential costs like food, clothing, or utility bills.

These payments are known as Emergency Assistance Payments (EAPs) and there’s another form of support called Individual Assistance Payments (IAPs), aimed at helping you maintain independence in your community.

The objective of these payments isn’t to offer a long-term solution but to provide immediate relief from hardship.

Unlike loans from commercial providers, if you receive aid from the DAF, you are not required to repay the financial assistance provided.

The process to apply for DAF is made to be as straightforward as possible, with applications often made online or over the phone.

In assessing your application, consideration is given to your income, savings, and the circumstances that have led to your financial crisis.

It’s designed to ensure that the most vulnerable members of the community can receive swift and practical help when they need it the most.

We’ve helped over 250,000 with their debt

How much debt do you have?

Overview of DAF Fund

The DAF Fund, short for Discretionary Assistance Fund, is a source of financial aid established by the Welsh Government to provide support in emergency situations.

Purpose of the DAF Fund

Your understanding of the DAF Fund’s purpose is crucial. It is designed to offer non-repayable grants to you if you are in urgent financial need.

This might include circumstances where you need help to:

  • Pay for daily essentials due to an emergency or disaster
  • Cover costs for staying in your home or moving into a new home.

Origins and Development

The DAF Fund was developed to replace the Social Fund, which was a scheme previously managed by the UK Government.

Since its introduction in April 2013, the fund has evolved to better meet your immediate, short-term needs during financial hardships.

The goal is to ensure you have access to financial support in times of unforeseen adversity without the burden of repayment.

Eligibility Criteria

To access the Discretionary Assistance Fund (DAF) in Wales, you must meet certain eligibility criteria. You are eligible to apply if you are:

  • A resident in Wales.
  • Experiencing extreme financial hardship or in an emergency situation.
  • Unable to access other forms of financial support, such as from family, friends, or other lending sources.

The DAF provides two types of grants:

  1. Emergency Assistance Payment (EAP): Addresses immediate, severe financial need due to a crisis.
  2. Individual Assistance Payment (IAP): Helps you become more self-sufficient or take care of an urgent need that affects your health.

For EAP, you should be receiving one of the following benefits:

  • Income Support
  • Income-based Jobseeker’s Allowance
  • Income-related Employment and Support Allowance
  • Pension Credit
  • Universal Credit
  • Working Tax Credit

For IAP, additional criteria include:

  • Being likely to have to go into care unless you get some support.
  • Being released from prison or a young offender institution and needing help to set up in the community.
  • Lacking basic items, such as a bed, cooker, or refrigerator, which could affect your or your family’s health.

Critical Note: Previous awards from the DAF in a 12-month period may affect your eligibility, particularly if you have received three EAPs.

The fund is not a regular source of support but a last resort in a crisis or emergency.

When applying, ensure you have relevant documentation to prove your circumstances and financial situation.

This will support your application and help the decision-making process.

Debt Calculator

Find out what your monthly repayments could be under each of our different debt solutions.

Your total debt:

Application Process

To apply for the Discretionary Assistance Fund (DAF) in Wales, you need to understand the application steps and required documentation.

Ensure you follow the procedures accurately for a smooth application process.

Documentation Required

To apply for DAF support, you must provide:

  • Proof of identity: A passport, driving licence or birth certificate.
  • Income evidence: Recent bank statements or pay slips.
  • Proof of crisis: Documents evidencing your emergency, such as a notice of eviction.
  • Support letters: Optional, but these can come from professionals like social workers or healthcare providers.

Make sure your documents are up to date and readily accessible when you begin your application.

Assessment Procedure

Once you have gathered your documentation:

  1. Form Submission: Complete the application form online or over the phone.
  2. Verification: Your information and documents will be reviewed for eligibility.
  3. Decision: Expect a response regarding your application’s outcome within one working day for emergency assistance.
  4. Award: If approved, the fund is typically paid directly to the service provider or in the form of a cash grant via the PayPoint network.

Remember, the DAF aims to help those facing immediate financial hardship, so ensure that your application accurately reflects your situation.

Fund Allocation

The Discretionary Assistance Fund (DAF) in Wales provides crucial financial support to individuals and families in urgent need.

The fund is managed in a way that ensures equitable distribution and accountability.

Distribution Methods

The Welsh Government has developed specific criteria to determine how the DAF funds are distributed amongst eligible applicants.

Your eligibility depends on meeting these criteria, which take into account factors such as income and financial emergencies. Upon approval, the fund provides either:

  • Emergency Assistance Payments (EAPs): To help with essential costs following an emergency or disaster.
  • Individual Assistance Payments (IAPs): To improve the quality of life and facilitate independent living.

Funds are disbursed directly to you or to the service providers on your behalf.

Monitoring and Reporting

The Welsh Government requires thorough monitoring of the DAF to ensure the fund reaches its intended recipients. Financial audits are regularly conducted to maintain transparency. As a recipient, you may be required to provide:

  • Confirmation of spent funds, via receipts or invoices.
  • Feedback on the assistance received, which contributes to the improvement of the fund.

Reports are produced annually to publicly disclose the allocation and effectiveness of the fund.

This accountability measure ensures the DAF continues to serve you as intended, adaptively responding to the evolving needs of the Welsh population.

Impact of DAF Fund

The Discretionary Assistance Fund (DAF) in Wales provides crucial financial support to individuals and families in urgent need, helping to alleviate immediate hardship and contribute to the economic and social well-being of communities.

Success Stories

DAF Fund has facilitated numerous individuals in overcoming financial crises. For instance, after an unexpected job loss, a beneficiary was able to secure essential household items, preventing further debt accumulation.

Another success story involves a family that received emergency assistance for heating costs during a particularly cold winter, safeguarding their home’s warmth and safety.

  • Recipient A: Secured a fridge and a cooker, allowing them to store and prepare food, subsequently improving their quality of life.
  • Recipient B: Received rent support during a medical emergency, avoiding eviction and maintaining a stable living environment.

Community Benefits

The benefits of the DAF Fund ripple throughout communities, strengthening societal resilience and aid networks.

  • Local Economy: By supporting residents in need, funds are often spent within local businesses, stimulating economic activity.
  • Social Services: Reduced burden on other social service agencies, as immediate financial needs are met, allowing more focus on long-term solutions.

They actually care about their customers

I can’t rate this company highly enough. Extremely understanding, knowledgeable, and supportive staff.

Future Prospects

The Discretionary Assistance Fund (DAF) in Wales looks to continue providing vital financial support to individuals and families who find themselves in urgent need.

As a component of the social security system, your ability to access emergency funding in times of unforeseen hardship is anticipated to remain integral.

  • Stability: The fund’s stability is likely to be maintained, ensuring that you can depend on it during financial disruptions.
  • Policy Changes: Keep an eye on potential policy modifications that could expand the fund’s scope or alter eligibility.
  • Adaptability: Expect the DAF to adapt to changing social needs, potentially offering more tailored assistance.

You may see the fund integrating more with other social initiatives for a more cohesive support network. The Welsh Government’s commitment to supporting vulnerable populations suggests ongoing investment and refinements to the DAF. Anticipate technological advancements to streamline the application process, making it more accessible for users like you.

    • Digitalisation: Improvements in digital access are likely to make submitting requests and receiving funds quicker.
    • Outreach: Enhanced outreach efforts could ensure that you are aware of available aid, improving uptake rates.

Expect the DAF to evolve in ways that reflect demographic trends and economic challenges, aimed at maintaining a safety net for Welsh residents like you.

Maxine McCreadie
Maxine McCreadie

Maxine is an experienced writer, specialising in personal insolvency. With a wealth of experience in the finance industry, she has written extensively on the subject of Individual Voluntary Arrangements, Protected Trust Deed's, and various other debt solutions.

Related Articles