The Government will be preparing to send further financial help to those with low incomes with the latest cost of living payment. The bonus, paid in three instalments, aims to help people who are struggling with the cost of living crisis.
A number of other schemes are also in place to help for the time being. Pensioners and other benefit recipients may be eligible for other support payments.
Here is everything you need to know about the cost of living payments, who is entitled to them and what other schemes you could benefit from.
Read more: New DWP payment rates for Universal Credit, PIP, State Pension and other benefits from April
Cost of living payments
When will the next cost of living payment be paid?
The next instalment, due in Spring 2023, should be expected in April after the start of the new tax year though this is not yet confirmed. Those on qualifying means-tested low-income benefits will be sent the money directly to their bank account.
How much is the cost of living payment?
The first payment of £301 will be paid in April. It will be followed by £300 in autumn 2023 and the final instalment of £299 in Spring 2024, totalling an extra £900.
Pensioners will be given a £300 payment in winter 2023 to bolster their winter fuel payment. While those with disabilities who are in receipt of an eligible disability benefit will be paid an extra £150.
Which benefits qualify for the cost of living payment?
Universal Credit
Income-based Jobseekers Allowance
Income-related Employment and Support Allowance
Income Support
Working Tax Credit
Child Tax Credit
Pension Credit
What other schemes are available?
Cold winter payments
With snow predicted in some areas of the UK across March, many people could still receive payments for "freezing" weather. Until March 31, you could receive £25 for each seven-day period when temperatures drop below zero degrees in your area.
The payment should be made automatically within 14 working days, and you can receive multiple Cold Weather Payments if there are several spells of freezing weather. So if this March is a frosty one - you could get paid twice.
The money is paid directly into your bank account and is automatic, you don’t need to apply. To get the Cold Weather Payment, you must be claiming at least one of these benefits:
Pension Credit
Income Support
Income-based Jobseeker’s Allowance
Income-related Employment and Support Allowance
Universal Credit
Support for Mortgage Interest
Winter Fuel Payment
The Winter Fuel Payment is available to help eligible people with their heating bills and they could receive between £250 and £600. If you were born on or before September 25, 1956, you will be eligible for the scheme.
This is usually paid automatically if you are eligible and get State Pension or another social security benefit (not Housing Benefit, Child Benefit or Universal Credit). If you’re eligible but don’t get paid automatically, you will need to make a claim.
If you’ve got a Winter Fuel Payment before, you do not need to claim again unless you’ve deferred your State Pension or moved abroad. The deadline for you to make a claim for winter 2022 to 2023 is 31 March 2023.
Energy bills discount
The UK Government has provided households with a £400 discount on their energy bills. Since October, discounts have been applied directly to energy bills in six monthly instalments.
Those on pre-payment meters were provided with vouchers during the first week of each month. These were issued by text, email or post, so if you have yet to claim these make sure you check your inbox.
For people who live in houseboats, park homes and with landlords that have business contracts, an online application portal was recently opened for people to apply online.
Help with childcare costs
Tax-free childcare
Parents can get up to £500 every three months (up to £2,000 a year) for each of their children to help with the cost of childcare. This goes up to £1,000 every three months if a child is disabled.
To get the allowance, parents must set up an online childcare account for their child and for every £8 paid into this account, the Government will pay in £2 to pay your childcare provider.
15 or 30 hours of free childcare
Families in England who have two-year-old children and on certain benefits can benefit from 15 hours of free childcare a week. While all families with children aged three and four can also access 15 hours of free childcare a week.
Eligible working families with three and four-year-old children can also claim 30 hours of free childcare or early education for 38 weeks.
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