Millions of Britons entitled to receive a one-off £650 grant from the government under former chancellor Rishi Sunak’s plans to address the spiralling cost of living crisis should now have received their first instalment of the money.
The cash is being made available to recipients of means-tested state benefits, such as Child Tax Credit, Income-Based Jobseeker’s Allowance, Income-Related Employment and Support Allowance, Income Support, Pension Credit and Universal Credit.
According to the Department for Work and Pensions (DWP), the first tranche of £326 was scheduled for payment into accounts from 14 -31 July, with up to 8.4 million low-income families ultimately set to take delivery.
The remaining £324 due this autumn, as the new energy price cap of £3,549 comes into affect and the weather turns, with a more specific timeframe yet to be announced.
That said, the DWP has said that more complex claims or those awaiting an award decision might have to wait a little longer while their cases are resolved.
The exception to the above is for those on Tax Credits, received their first instalment between 2-7 September, with the second following this winter.
Mr Sunak’s successor in No 11, Nadhim Zahawi, has said: “I know that people are finding things difficult with rising prices and increasing pressure on household budgets. That’s why we're taking action to control inflation and providing immediate help for households.
“It’s so important that over 7 million vulnerable households have received £326 direct payments so far and there is also more help to come, with 8 million of the most vulnerable households receiving £1,200 of direct support to help with bills over the winter.”
COST OF LIVING: HOW TO GET HELP
- The cost of living crisis has touched every corner of the UK, pushing families to the brink with rising food and fuel prices. The Independent has asked experts to explain small ways you can stretch your money, including managing debt and obtaining items for free.
- If you need to access a food bank, find your local council’s website using gov.uk and then use the local authority’s site to locate your nearest centre. The Trussell Trust, which runs many foodbanks, has a similar tool.
- Citizens Advice provides free help to people in need. The organisation can help you find grants or benefits, or advise on rent, debt and budgeting.
- If you are experiencing feelings of distress and isolation, or are struggling to cope, The Samaritans offers support; you can speak to someone for free over the phone, in confidence, on 116 123 (UK and ROI), email jo@samaritans.org, or visit the Samaritans website to find details of your nearest branch.
If you are not eligible for the above cost of living payments, the government has laid out a number of other schemes to help Britons through the economic crisis, which continues to squeeze domestic budgets as the price of consumer goods, electricity and fuel all climb while record inflation threatens to lower living standards.
Every home across England, Scotland and Wales will receive a £400 discount that will be automatically applied to their energy bills, beginning in October and spread out over six months, while pensioners relying on the Winter Fuel Payment will be given an extra £300 to ensure they do not have to choose between heating and eating.
The household support fund, originally only intended to run from October 2021 to March 2022, has also been extended until March 2023, with the government granting local authorities an extra £1.5bn to hand out over 18 months to residents they deem to be most in need of financial help.
Precisely how much individuals receive could vary between households, depending on their circumstances, as the calculation is left up to councils’ discretion, although £200 is the headline rate.
The process of applying for this begins through your local council’s website, which you can find here by entering your postcode.
Search “household support fund” on your local authority’s website for more details about how funds are allocated and distributed in your area to see whether you are eligible for a grant, and, if so, how much.
