HM Revenue and Customs (HMRC) recently confirmed that more than one million families claiming Tax Credits will receive the first part of the £650 means-tested cost of living payment between September 2 and 7. The payment of £326 will be made automatically into eligible Tax Credit-only customers’ bank accounts.
These next round of payments are for people only claiming Working Tax Credits or Child Tax Credits. Tax Credit claimants who also receive benefits from the Department for Work and Pensions (DWP) will have already received their first cost of living payment for £326 from July 2022.
However, HMRC has warned there may be a delay in payments for some people. If you have recently closed the bank account your Tax Credits are usually paid into and not informed HMRC of the change, the money will be paid into the old bank account, meaning the payment will be rejected.
