The Department for Work and Pensions (DWP) has clarified details surrounding the cost of living payment.
The DWP confirmed more than eight million low income households across the UK will receive £650 in financial aid to help with mounting costs as the price of energy, food and petrol skyrocket. . The payment will be split into two instalments as eligible claimants will receive £326 from July 14 with a further £324 due to land in bank accounts in the autumn.
People who qualify for both a means-tested benefit and Tax Credits from HM Revenue and Customs (HMRC), will receive the £326 from DWP next month. However, claimants have been confused on whether the £326 payment s per individual or per household - as The Daily Record reports.
READ MORE: DWP share reasons PIP and ESA award decisions are overturned for claimants
DWP has now clarified the details around next month's financial support. The payment depends on your household circumstances:
- If you claim as an individual for any of the qualifying means-tested benefits - you will get one payment for £326 in July
- If you, claim as a couple for any of the qualifying means-tested benefits - you will get one payment for £326 in July
Essentially, this is the equivalent of one payment per claim.
Mixed households
Here's an example of a mixed household to help you understand who will qualify for the July payment. Four people live in a mixed household, two are claiming a qualifying benefit jointly as a couple, the other two adults have two separate claims.
Who gets what?
- Three payments for £326 will be made to the household in July - one for the couple, one each for the other two adults
- This is a total of three claims for four people under one roof, which means three payments.
A DWP spokesperson added “As long as the people in the house-share get their own separate Universal Credit claims already - so the couple have one claim, the two other adults have one claim each - giving a total of three claims in the house then yes, it’ll be three payments to match the three claims.”
Qualifying benefits for the £326 payment
You may get a payment of £326 paid into your account from July 14 if you’re getting any 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
Eligibility for £326 payment
To get the first Cost of Living Payment of £326, you must have been entitled to a payment (or later found to be entitled to a payment) of either:
- Universal Credit for an assessment period that ended in the period April 26, 2022 to May 25, 2022
- Income-based JSA, Income-related ESA, Income Support or Pension Credit for any day in the period April 26, 2022 to May 25, 2022
You will not be eligible for a payment if you get:
- 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
To get the first Cost of Living Payment of £326, you must have been entitled to a payment (or later found to be entitled to a payment) of either:
- Child Tax Credit
- Working Tax Credit
Eligibility for £326 payment
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.
When you will be paid
If you only receive Tax Credits, you will get the first payment of £326 from Autumn 2022 and the second payment of £324 from winter 2022 - if you’re entitled.
If you get Tax Credits from HMRC and a low income benefit from DWP, you will get a Cost of Living Payment from DWP only, starting from July 14.
If you also get a qualifying disability benefit, you may get an additional £150 Disability Cost of Living Payment from DWP.
£150 if you get certain disability benefits
You may get a lump sum payment of £150 if you’re getting any of the following:
- Attendance Allowance
- Constant Attendance Allowance
- Disability Living Allowance for adults
- Disability Living Allowance for children
- Personal Independence Payment
- Adult Disability Payment
- Child Disability Payment
- Armed Forces Independence Payment
- War Pension Mobility Supplement
Eligibility
You must have received a payment (or later receive a payment) of one of these qualifying benefits for May 25, 2022 to get the payment.
If you get a qualifying disability benefit from the Ministry of Defence (MOD) and a qualifying disability benefit from DWP, you will get a Disability Cost of Living Payment from DWP only.
When you will get paid
Payments will be made in September 2022.
Receive newsletters with the latest news, sport and what's on updates from the Liverpool ECHO by signing up here
READ NEXT:
BA, easyJet and Ryanair strike update amid 'gruelling summer of travel chaos' warning
Spain, France, Greece and Portugal may refuse Brits entry under new scheme
Warning issued to anyone with paper £20 and £50 notes in purse or wallet
What does a faint line on a covid test mean and when you will recover
DWP explains why New Style ESA claimants will not receive £650 cost of living payment
