Millions of people will start receiving their first of three Cost of Living Payments from Tuesday.
Eight million households across the UK will get the £301 payment from the Department of Work and Pensions between April 25 and May 17.
A further one million families who receive tax credits only will get their payment between May 2 and May 9.
It is the first of three payments, totalling £900, that those who are eligible will receive during the 2023/24 financial year.
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A second payment of £300 will then be made in autumn 2023 for most people, and then £299 will be paid in spring 2024 for most people. The amounts, which add up to £900, are slightly different to allow DWP and HMRC to ensure support is targeted at those who need it and are eligible and to determine if a payee received the correct payments.
The payments will be made available to those who are on means-tested benefits such as Jobseeker’s Allowance, Income Support, and Universal Credit.
Claimants must also have received a payment from one of the qualifying benefits during the qualifying period - between January 26, 2023 and February 25, 2023. Furthermore, you will not be considered eligible if your benefit is reduced to £0 during the qualifying period - this is known as a 'nil reward' and can happen for a variety of reasons.
However, the DWP has clarified that if you receive a nil reward because money has been taken off you for something like rent or debt, you may still be considered eligible. The government department has also clarified that you will not be considered eligible if you only claim New Style Employment and Support Allowance, contributory Employment and Support Allowance, or New Style Jobseeker's Allowance.
The payments will be accompanied by a £150 payment for people on eligible disability benefits this summer, and a £300 payment on top of Winter Fuel Payments for pensioners at the end of 2023.
Jeremy Hunt, Chancellor of the Exchequer, said: "The best thing we can do to help people’s money go further is deliver on our priorities to halve inflation and grow the economy.
"But we’re also here to help people through these tough times, which is why we’re holding down energy bills, freezing fuel duty, increasing Universal Credit, and giving £900 payments to low income and vulnerable families - all in part funded through windfall taxes on energy profits."
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