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Glasgow Live
Glasgow Live
National
Linda Howard & Alexander Smail

DWP Cost of living payment update as some claimants will not receive money in July

The first instalment of the £650 cost of living payment from the Department for Work and Pensions (DWP) has started landing in people's bank accounts.

The £326 sum will be issued to people across Scotland and the UK who claim certain benefits from the UK Government department. Millions of households will receive the money in the coming weeks, with all claimants originally scheduled to get it by the end of July.

As reported by the Daily Record, the DWP has confirmed that seven million eligible households are "on track" to receive the money by the end of the month. However, those with "more complex circumstances" may need to wait longer for the payment.

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Parliamentary Under-Secretary of State for Welfare Delivery David Rutley stated that less than one per cent of claimants will have to wait longer than the end of the month. He also confirmed that “all eligible households will automatically receive the first instalment”.

His comments were in response to Labour’s Shadow Secretary of State for Work and Pensions Jonathan Ashworth, who asked the DWP to reveal how many people eligible for the £326 payment would not receive it in July. Mr Rutley commented: “DWP are on track to process this first instalment to seven million eligible, low-income households receiving benefits by the end of July, and this has not changed.

“In some cases, with more complex circumstances — less than 1% of those entitled to the instalment — the payments will take slightly longer to process. But all eligible households will automatically receive the first instalment.”

Earlier in July, he stated that there could be “potential delays for a small minority of cases due to their unique characteristics”. He added that payments would be staggered due to the high number of people receiving the money.

As reported by the Daily Record, here is what you need to know about the £326 cost of living payment.

What to do if you don’t receive the £326 payment

Before getting in touch with the DWP, you should first check to make sure that you are eligible for the payment. According to GOV.UK, a computer program was used to locate eligible claimants.

The guidance continues: “DWP and HMRC are using a computer program to identify those eligible to receive a Cost of Living Payment. If you are not content with this you can contact the office that pays your benefit or Tax Credits to discuss it.”

Visit theGOV.UK website here for information on how to contact your local Jobcentre Plus.

Qualifying benefits for the £326 payment

In order to qualify for the £326 payment, you must be in receipt of at least one of the following:

  • Universal Credit
  • Income-based Jobseeker’s Allowance
  • Income-related Employment and Support Allowance
  • Income Support
  • Pension Credit
  • Working Tax Credits - see further down for full details
  • Child Tax Credits - See further down for full details

Who is not eligible for the payment?

You do not qualify for the £326 payment if you receive:

  • New Style Employment and Support Allowance
  • Contributory Employment and Support Allowance
  • New Style Jobseeker’s Allowance, unless you get Universal Credit

£326 payment if you get Tax Credits

If you receive Tax Credits, you need to have been eligible for a payment (or later found to be eligible) of Child Tax Credit or Working Tax Credit.

Eligibility for Tax Credits claimants

To get the first Cost of Living Payment of £326, you must have received a payment, or an annual award of at least £26, of Tax Credits on any day in the period April 26, 2022 to May 25, 2022.

If you get both Child Tax Credit and Working Tax Credit, you will receive a Cost of Living Payment for Child Tax Credit only.

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