The Department for Work and Pensions (DWP) has confirmed more than 8 million families in the UK on means-tested benefits will automatically get £301 this Spring. It has also been announced more than 6.5 million people on disability benefits will receive a £150 payment this summer.
After confirming the schedule for five cost of living payments through the 2023/24 financial year, the DWP announced in Parliament last month more detail on the support. As reported by the Daily Record, this included estimates of how many people across the UK, and in each local authority and parliamentary constituency, will receive the first £301 Cost of Living Payment and the £150 Disability Payment, which follows on from up to £1,200 in support for low-income households in 2022.
New DWP guidance on GOV.UK states that exact payment windows and qualifying periods for eligibility will be announced soon, but are designed to ensure a consistent support offer throughout the year. The delay in confirming qualifying periods until the dates have passed also helps to reduce the risk of fraud from online crooks keen to exploit those waiting on the support.
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Those eligible do not need to apply for any of the payments, as they will all be made automatically like last year so if you receive a text or an email inviting you to apply - ignore it and either delete it immediately or report it. There has also been speculation that Chancellor Jeremy Hunt may announce additional support to help households with the cost of living crisis during this week's Budget (March 15), but nothing has been confirmed yet.
Cost of living payment schedule
- £301: First means-tested payment due this Spring
- £150: Disability payment due this summer
- £300: Second means-tested payment due this Autumn
- £300: Pensioner payment will be added to 2023/24 Winter Fuel Payment
- £299: Third means-tested payment due Spring 2024
There are several benefits that could make claimants eligible for the £301 Cost of Living Payment, including Universal Credit and Tax Credits - through which 5.4 million households across the UK are expected to qualify, and Pension Credit, through which 1.4 million pensioner households are expected to be paid. Some 1.3 million claimants will be eligible through legacy DWP benefits such as Jobseekers Allowance and Income Support, reaching a total of 8.1 million households.
Eligible individuals do not need to apply for payments, as they are made automatically and those eligible for cost of living payments through Tax Credits, and no other means-tested benefits, will be paid by HMRC shortly after DWP payments are made. Below is a guide to qualifying benefits for each of the cost of living payments.
£900 means-tested cost of living payment
- £301 - first payment to be made during Spring 2023
- £300 – second payment to be made during Autumn 2023
- £299 - third payment to be made during Spring 2024
This will be paid to eligible households receiving the following benefits:
- Universal Credit
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Pension Credit
- Working Tax Credit - paid by HMRC if no other DWP means-tested benefit is also claimed
- Child Tax Credit - paid by HMRC if no other DWP means-tested benefit is also claimed
This payment will be tax-free, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
£150 disability cost of living payment
- £150 - this one-off payment will be made during Summer 2023
This will be paid to eligible claimants receiving the following benefits:
- Disability Living Allowance
- Personal Independence Payment
- Adult Disability Payment
- Child Disability Payment
- Attendance Allowance
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
This payment will be tax-free and will not have any impact on existing benefit awards.
£300 Pensioner Payment
- £300 - this will be added to annual Winter Fuel Payments during Winter 2023/24
Older people in receipt of Pension Credit will also qualify for the £900 means-tested cost of living payment and the £150 payment if they are receiving support through one of the listed disability benefits.
In total, pensioner households could get an income boost of £1,350 during 2023/24.
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