Spring is finally here which means an announcement on when the first part of the £900 means-tested cost of living payment will start landing in bank accounts across the country is due soon. The Department for Work and Pensions (DWP) has given no indication of a specific payment window for the £301 payment, nor the qualifying period.
What we do know is that payments will be made automatically to over eight million eligible households before the end of Spring. The first wave of financial support is for those receiving means-tested benefits from the DWP, or those receiving Tax Credits along with another qualifying DWP benefit - those only in receipt of Tax Credits from HM Revenue and Customs (HMRC) will get the money once the first DWP payment window closes.
DWP Minister Mims Davies MP recently shared that qualifying dates for the £301 and £150 disability cost of living payments are being set out in legislation and that payment dates for the “vast majority” of people will be announced on the official GOV.UK page.
Due to the ever-evolving technology criminals use, we won’t be posting a direct link to that page, but we will share the link to the GOV.UK home page here and tell you what to type into the search bar to take you directly to the Cost of Living page.
- Type in or copy: Cost of Living Payments 2023 to 2024
It should be at the top of the search results.
We will also be posting the payment window and qualifying period on here as soon as they are announced and in the Daily Record Money Saving Scotland Facebook group, here.
Ms Davies gave her response following a written query from Welsh MP Hywel Williams, who asked “when each cost of living payment will be made in the 2023-24 financial year”.
The Minister for Social Mobility, Youth and Progression, said: “The Government understands the pressures people are facing with the cost of living and is taking action to help through the cost of living payments and through a wider package of support.
“We will be delivering the means-tested cost of living payment of up to £900 in three separate payments. The first payment of £301 will be made from Spring 2023, the second payment of £300 from Autumn 2023 and the third payment of £299 from Spring 2024.
“People on qualifying disability benefits will receive a Payment of £150 during Summer 2023 and pensioner households will receive a £300 Pension Cost of Living Payment alongside their Winter Fuel Payment in winter 2023.”
She continued: “Qualifying dates for the means-tested and disability cost of living payments are being set out in secondary legislation and payment dates for the vast majority of people will be announced on our dedicated page on gov.uk once the relevant regulations have been made.
“We have an extensive communications plan in place, including a media and digital campaign, that sets out everything customers need to know about cost of living pPayments.”
More than 686,000 households in Scotland will be eligible for the £301 means-tested payment and 639,000 people on qualifying disability benefits are set to receive the £150 lump sum this summer.
There are several benefits that could make claimants eligible for the £301 cost of living payment, including Universal Credit and Tax Credits - through which 5.4 million households across the UK are expected to qualify, and Pension Credit, through which 1.4 million pensioner households are expected to be paid.
Some 1.3 million claimants will be eligible through legacy DWP benefits such as Jobseekers Allowance and Income Support, reaching a total of 8.1 million households. Below is a guide to qualifying benefits for each of the cost of living payments.
£900 means-tested cost of living payment
- £301 - first payment to be made during Spring 2023
- £300 – second payment to be made during Autumn 2023
- £299 - third payment to be made during Spring 2024
This will be paid to eligible households receiving the following benefits:
- Universal Credit
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Pension Credit
- Working Tax Credit - paid by HMRC if no other DWP means-tested benefit is also claimed
- Child Tax Credit - paid by HMRC if no other DWP means-tested benefit is also claimed
This payment will be tax-free, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
£150 disability cost of living payment
- £150 - this one-off payment will be made during Summer 2023
This will be paid to eligible claimants receiving the following benefits:
- Disability Living Allowance
- Personal Independence Payment
- Adult Disability Payment
- Child Disability Payment
- Attendance Allowance
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
This payment will be tax-free and will not have any impact on existing benefit awards.
£300 Pensioner Payment
- £300 - this will be added to annual Winter Fuel Payments during Winter 2023/24
Older people also in receipt of Pension Credit will also qualify for the £900 means-tested cost of living payment and the £150 payment if they are receiving support through one of the listed disability benefits.
In total, pensioner households could get an income boost of £1,350 during 2023/24.
To keep up to date with the latest cost of living news, join our Money Saving Scotland Facebook page here, follow us on Twitter @Record_Money, or subscribe to our newsletter which goes out Monday to Friday - sign up here.
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