More than eight million households are set to receive the £301 Cost of Living payments from the Department for Work and Pensions (DWP) between this week (April 25) and Wednesday, May 17. This will be the first of up to three payments for those eligible on means-tested benefits, including Universal Credit, Pension Credit and tax credits, totalling £900 through 2023/24.
What's more, the government says that these will be accompanied by a £150 payment for people on eligible disability benefits this summer, as well as a £300 payment on top of Winter Fuel Payments for pensioners at the end of 2023. Those eligible will not need to apply for the payment or do anything to receive it.
The government also says that payments made during this window (April 25 to May 17) will be staggered over the next couple of weeks, meaning not everyone eligible will receive their payments right away.
Read more: DWP plans new system to record disability health assessments
Mel Stride, Secretary of State for Work and Pensions, said: "This latest additional payment will be welcomed by millions of families - as will further payments due over the next year. We have continually supported those most vulnerable to rising costs, including through record benefits and national living wage increases as well as these exceptional Cost of Living Payments responding to the global pressures we are facing.
"We will also continue to deliver on our five priorities, including halving inflation, as this will ease pressure on households currently struggling with household bills and rising prices." Here's all you need to know about who is eligible and how and when your payment might appear in your account:
Who is eligible for this Cost of Living payment and how will it show up in my account?
The government guidelines state that people will be eligible for the Cost of Living payment if they have been entitled to a payment for one of seven benefits between January 26 and February 25, 2023. The eligible benefits are:
- Universal Credit
- Pension Credit
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Working Tax Credit
- Child Tax Credit
The DWP will send payments automatically and directly to recipients' bank accounts, with a reference of their National Insurance number, followed by 'DWP COL' . Once the majority of those who are entitled to a payment by the DWP have been paid, HM Revenue and Customs (HMRC) will make payments of £301 between Tuesday, May 2 and Tuesday, May 9, to one million eligible families receiving tax credits only, with the banking reference 'HMRC COLS'.
The latest payment follows on from the £650 Cost of Living Payment from the government in 2022, alongside another £150 disability payment and a £300 pensioner payment. To check your eligibility, you can use a benefits calculator on Gov.uk to get a better idea of what you could receive.
The Gov.uk website also says: "Low-income pensioners particularly should check their eligibility for Pension Credit, as they may still be able to receive the £301 Cost of Living Payment, and subsequent payments, if they make a successful backdated application by 19 May 2023. Those in need are also encouraged to contact their local council to see if any additional support is available in their local area, such as through the DWP’s Household Support Fund in England, worth over £2 billion across its lifetime."
Other payment criteria - including the £150 Disability Cost of Living Payment
More than six million people on qualifying disability benefits will receive a Disability Cost of Living Payment of £150 during Summer 2023. This includes those in receipt of one of the following benefits:
- Disability Living Allowance
- Personal Independence Payment
- Attendance Allowance
- Scottish Disability Benefits
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
The £300 Pensioner Cost of Living Payment will be paid to all households in receipt of Winter Fuel Payments, in the same way as 2022/2023 payments were made.
Read next:
- Martin Lewis urges Universal Credit claimants to check for cheap broadband as prices rise
- DWP: New rules on £150 energy discount issued to PIP claimants as 290,000 miss out
- Millions could be entitled to vouchers to help pay for energy bills - but there's not long left to claim
- The DWP benefits to be paid early next week - including PIP and Universal Credit
- Tesco Clubcard changes begin from today - what you need to know
