Universal Credit claimants will receive a temporary income boost next month as the first half of the £650 cost of living payments land in bank accounts.
Around eight million people who claim means-tested benefits - including Universal Credit - will be awarded the extra cash. The bonus payments will also not be taxable or affect whatever benefit you receive, a Department for Work and Pensions chief confirmed.
The first half of the bonus payment - worth £326 - will be sent to anyone currently claiming Universal Credit, income-related Employment and Support Allowance, income-based Jobseeker's Allowance, Income Support, and Pension Credit from July 14. The payments are widely expected to begin being sent out towards the end of July, the Mirror reports.
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However, the DWP has explained that there may be some delays to the payments. Meanwhile, the second payment should begin to land in people's bank accounts by autumn, but no official date has yet been declared.
Here's a breakdown of everyone who will be eligible for the extra payments.
Which benefit recipients are eligible for the £650 payment?
The £650 payments will only be provided to those who receive means-tested benefits (where your income and savings are calculate din relation to the benefit).
This includes:
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Child Tax Credit
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Income-based Jobseeker’s Allowance
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Income-related Employment and Support Allowance
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Income Support
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Pension Credit
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Universal Credit
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Working Tax Credit
However, the DWP will be using a computer system to identify everyone who is on means-tested benefits. Therefore, if you are not picked up by the system automatically, and don't receive the money, but you believe you are still eligible, you can contest the decision.
Other extra payments will also be handed out in the following months, including a £150 cost of living payment due in September and a Winter Fuel Payment for pensioners worth £300.
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