People living in overcrowded housing in Covid hotspots will be offered free accommodation to self isolate as part of new pilot schemes.
Nine of the worst-hit areas, including Blackburn and Darwen, in Lancashire, and the London boroughs of Hackney and Newham, will get help from a £11.9m funding pot.
The pilots will involve increased social care support for vulnerable adults, "buddying" services for people needing mental health assistance and translation services for non-English speakers.
But critics branded the response "late and lacking" after the Government has rebuffed repeated calls for a boost to sick pay to help people struggling afford to take time off work.
Labour has been urging ministers to expand eligibility for £500 isolation support grants, which are available to people claiming benefits such as Universal Credit or Working Tax Credit.
People who can't work from home or would lose income by self isolating can also claim the grant.
Health Secretary Matt Hancock said new variants could be the "trojan horse" for hard won progress against the virus as the spread of the Indian variant threatened to derail the UK's progress out of lockdown.
Ramped up testing has been rolled out in hotspot areas and the vaccination programme has been accelerated to stave off the threat of the new strain.
But hopes are mounting that the jab will hold firm against the new variant, with a new study by Public Health England saying the Pfizer vaccine was 88% effective against the Indian strain after two doses.
The AstraZeneca jab was 60% effective, compared with 66% against the Kent variant over the same period.
Both vaccines were 33% effective against symptomatic disease from the Indian variant three weeks after the first dose, compared with about 50% against the Kent strain.
Announcing the pilot schemes, Mr Hancock said: “Variants have the potential to be a trojan horse for our hard won progress and it is more vital than ever that we do what we can to show them the exit door, following the rules and self-isolating when asked.
"We recognise just how challenging self-isolation is for many people and these pilots will help us find the best ways to support people and making it easier for everyone to keep doing their bit."
But Lib Dem Health and Social Care Spokesperson Munira Wilson said: "These trials are late and lacking. How is it that other countries have had proper self-isolation support nationwide for some time, while we remain lagging behind?
"Everyone wants to do their bit and help stop the spread of the virus and its new variants, but when self-isolation support is so sparse and lacking it is understandable that many people find it too difficult to comply.
“No one should be forced out of isolation for lack of money or support."
The local authority areas include Newham and Hackney in London, Yorkshire and the Humber, Lancashire, Greater Manchester, Cheshire and Merseyside, Peterborough and Somerset.
