Some people who claim Universal Credit are being denied the £326 cost of living payment from the UK Government.
The one-off sum was paid to millions of people across Scotland and the UK on a low income who claim qualifying means-tested benefits from the Department for Work and Pensions (DWP). The money is the first instalment of the £650 payment intended to help households through the cost of living crisis.
Over seven million people were transferred the money between July 14 and July 31. However, as reported by The Mirror, the payment has been denied to those who have been sanctioned by the JobCentre.
READ MORE — Cheapest Glasgow Airport September flights under £40 including France and Croatia
According to guidance given to DWP staff, Universal Credit claimants whose payments were stopped as a result of a sanction that occurred during the qualifying period for the £326 payment “will not be entitled to a cost of living payment”.
As a result, people who were sanctioned during this time may have missed out on the money even if they otherwise qualified. Here is a rundown of everything you need to know.
What is the £650 cost of living payment?
Earlier in 2022, the UK Government unveiled plans to help people on a low income during the cost of living crisis. One element was the £650 cost of living payment, issued to people claiming certain means-tested benefits.
The first £326 instalment of the £650 sum was issued in July to the majority of those eligible. The DWP has since confirmed that the second instalment will be paid before the end of October.
Who is being denied the payment?
According to The Mirror, Universal Credit claimants who were sanctioned by their local JobCentre during the qualifying period were not issued the payment. Claimants can be sanctioned for a range of reasons, including not turning up to appointments and failure to "take all reasonable actions to find paid work”.
Earlier this week, the DWP confirmed that it was refusing to pay the money to some claimants as a result of sanctions.
How many people have been affected?
The DWP has not disclosed how many Universal Credit claimants have missed out on the money as a result of sanctions. However, according to official data, it may be anywhere from hundreds to tens of thousands.
Campaigners have criticised the news, with Marc Francis of poverty charity the Z2K Trust stating: “These one-off payments are designed first and foremost to ensure people aren’t left unable to afford to put food on the table food or freezing in their homes."
He stated that sanctions were "notoriously over-zealous", and that claimants often "can’t find help" to appeal, "so just end up going without or turning to the local food bank".
Chief Executive of Rethink Mental Illness Mark Winstanley called the news "outrageous", commenting: "This decision compounds the distress sanctions cause, inflicting significant damage on people’s mental health. The DWP must urgently review this decision and administer the cost-of-living payment to those affected as soon as possible to prevent unnecessary suffering and harm.”
READ MORE —
- Drivers issued warning over fines of up to £2,500 for common mistakes
- Urgent cost of living payment warning as pensioners have just days left to qualify
- Glasgow drivers issued urgent warning ahead of thunderstorms and heavy rain
- Primark unveils Pokemon collection and 90s kids 'need one of everything'
- DWP Universal Credit change will see over 100,000 claimants pressured to get a job
