Millions of families will still face a devastating cost of living crisis this winter despite a new hardship fund announced by the Government.
A small number of the poorest households will be eligible for a hardship pay-out from their local council to help cover essential bills.
But economic experts predicted that payments from the £500m fund "won't come close" to covering the wider Universal Credit cuts.
Low-income families face the triple whammy of rising prices and energy bills along with falling income support.
Families with children are likely to be hit hardest by the upcoming cost of living squeeze, according to analysis from the Resolution Foundation.
A full-time working couple with two children would be £23 a week worse off over the next six months.
A single parent working part-time could see their income fall by £20 a week over the same period.
Even a low earner without children working full-time on the national living wage would see the £9 a week income boost from a planned rise wiped out by the soaring cost of living.
Mike Brewer, chief economist at the Resolution Foundation, said: “This new Household Support Fund should provide vital support for low-income families who are really struggling with Britain’s ongoing cost of living crisis, and who are able to access the scheme.
"But while welcome, these grants won’t come close to covering the far wider £20 a week losses that will result from cutting Universal Credit, and which will affect over four million families across the country.”
Chancellor Rishi Sunak, who was planning to announce the fund in his Tory conference speech next week before details were leaked, said: “Everyone should be able to afford the essentials, and we are committed to ensuring that is the case."
But around 4.4 million households across the UK will start losing their £20-a-week UC lifeline from next week.
It will leave the average family £107-a-month worse off, according to the Resolution Foundation.
Shopping bills will continue to soar due to rising inflation which is expected to hit 4% - the highest in a generation - over winter.
Energy costs will jump for 15m households on the energy price cap from next month, meaning a £139 average annual increase.
Fuel prices have already risen as a result on ongoing supply shortages at the pumps.
The new health and social care tax also kicks in from next April.
A 37p increase in the hourly national living wage and a higher than usual benefits uprating due to inflation should relieve some pressure next Spring.
Separately, the £70bn furlough schemes will end next month - with uncertainty for the future of almost one million workers still receiving support.
The £500m hardship programme will replicate last year’s Winter Covid Grant and cover daily needs such as food, clothing, and utilities from next month.
Labour described the new scheme as a "temporary and inadequate" sticking plaster to the cost of living crisis.
Shadow work and pensions secretary Jonathan Reynolds said: “Conservative choices have created a perfect storm this winter.
"They have left working people facing tax hikes, an energy crisis and cuts to Universal Credit.
"Temporary and inadequate sticking plasters are no substitute for a proper social security system that offers security to families in hard times."
