Millions to start getting £ 650 Cost of Living Payment in weeks –see when yours will arrive

People are to start receiving cash from the Government’s new £ 650 Cost of Living Payment in just a few weeks, it’s been confirmed. Rishi Sunak outlined a host of measures designed to help households with the cost of living crisis.

The Chancellor told the House of Commons that as a result of the previous and new measures, the vast majority of households will end up with an extra £ 550, pensioners will receive £ 850 and almost all of the eight million most vulnerable households in the country will in total receive support of £ 1,200.

The £ 550 consists of the £ 150 energy rebate already being given out through the council tax system and the £ 400 non-repayable grant towards electricity bills that’s coming later, in October. Before then, many others will begin to see additional money arriving from a £ 650 cost of living payment.

READ MORE: DWP Household Support Fund update as new hardship grants on offer to pay bills

The £ 650 will be paid in two parts to low-income households, specifically to those in receipt of the following benefits: income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, Income Support, Pension Credit and Universal Credit.

A DWP spokesperson said: “You will get one payment from July 2022 and a second payment in autumn 2022, if you’re entitled. You will need to have been entitled to one of these qualifying benefits on May 25, 2022 to get the first payment.

“You do not need to apply –if you’re eligible, you’ll be paid automatically. These payments are not taxable and will not affect the benefits or tax credits you get.”

The payments should appear in the same bank or building society account where your benefits are deposited. It’s thought that there will be two amounts of £ 325 each to look out for in your account.

The Government pointed out that in cases where someone has a joint benefit claim with a partner, only one allocation of £ 650 will be given. And it said that for anyone who also gets tax credits from HMRC, they won’t receive the cost of living cash in July but will have to wait until later in the year –with the first part coming in the autumn and the second in the winter.

Furthermore, if you get New Style Employment and Support Allowance, contributory Employment and Support Allowance, or New Style Jobseeker’s Allowance, you will not be entitled to the Cost of Living Payment, unless you get Universal Credit or a disability benefit as well.

Those who also get a qualifying disability benefit may get an additional Disability Cost of Living Payment of £ 150, by the end of September 2022.

Legacy benefits campaigners criticised the measures, saying that many people would still fall through the cracks and that a general increase to all benefit levels to match inflation would have been a better approach.

Get all your money-saving news with our free daily newsletters –you can sign up here to get all the latest updates delivered straight to your inbox.


Leave a Comment