The Department for Work and Pensions (DWP) has said that the eligibility criteria for the new £900 means-tested cost of living payment due next year will be published “in due course”. Chancellor Jeremy Hunt announced during his Autumn Statement a series of new cost of living payments to help millions of households across the country mitigate soaring inflation and ever-increasing energy bills.
The new cost of living support package is worth £26 billion in 2023-24, in addition to benefits uprating, which is worth £11 billion to working age households and people with disabilities. This means that over eight million households across the UK, will be supported by additional cost of living payments.
While no details of when and how the payments will be made have been released yet, DWP Minister Mims Davies offered assurance that “Eligibility criteria for the 2023/24 Cost of Living Payments will be published in due course” in response to a recent query from Alba MP Neale Hanvey.
Backdated £650 cost of living payments
Last week, Ms Davies also explained that people determined to have a Universal Credit nil award during the qualifying assessment period could be eligible for a 2022/23 cost of living payment retrospectively if a sanction is successfully appealed, or if they are awarded a Hardship payment in the qualifying period.
Ms Davies explained: “Some 98.9% of sanctions are for failing to attend a mandatory appointment at a Jobcentre, and can often be resolved quickly by claimants getting in touch with the Jobcentre and attending their next appointment.
“Hardship payments are available as a safeguard to claimants who demonstrate that they cannot meet their immediate and most essential needs - including accommodation, heating, food and hygiene - as a result of their sanction.”
£900 cost of living payment 2023/24 qualifying benefits
The qualifying period for the £900 payment has still to be announced, but eligible means-tested benefits are listed below.
These include:
- Universal Credit
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Pension Credit
- Working Tax Credit
- Child Tax Credit
As before, people receiving Tax Credits-only will be paid separately by HM Revenue and Customs (HMRC). Anyone receiving Tax Credits along with a qualifying benefit from DWP will be paid by DWP only.
This payment will be tax-free, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
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