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Business
Linda Howard & Rom Preston-Ellis & Sonia Sharma

DWP £301 cost of living payment will not be paid to all benefit claimants

More than eight million families will receive the first part of the 2023/24 £900 means-tested cost of living payment soon - but some benefit claimants will miss out.

Over the next financial year, the Government will pay out £1,350 in cost of living support to those on a low-income, people claiming disability benefits and pensioner households. Claimants on qualifying benefits, including Universal Credit, Pension Credit and Tax Credits, will see the first payment for £301 land in their bank accounts automatically this spring.

However, the DWP also recently confirmed the reason why people on Contribution-based Employment and Support Allowance (ESA) will not be eligible for any of the means-tested payments. Minister for Social Mobility, Youth and Progression, Mims Davies, clarified that the new £900 cost of living payment is being targeted at low income households in receipt of a “means-tested income replacement benefit” - Contribution-based ESA is a non means-tested benefit.

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