MILLIONS of people will be getting the first part of the £900 cost of living payment from April.
It’s part of the government’s package of support that is designed to help with spiralling bills and essentials.
AlamyCheck your account for a cost of living payment and specific code[/caption]
Around eight million households on certain benefits, including Universal Credit, are set to get the cash from April 25.
And the cost of living payments will arrive in most people’s bank accounts before May 17.
Anyone getting the payment will be able to spot when it lands as it will come with a special code.
Any transaction where money is coming in or going out of your bank account has something to identify where it’s from – like a shop name.
And it’s no different with the cash from the government.
You’ll be able to see when the money has landed in your bank account by looking for the words: DWP COLP along with your National Insurance number.
For example, if your NI number is JT 83 42 97B your payment will show up as “DWP COLP JT 83 42 97B” on your statement.
The first payment is worth £301, with two more instalments – worth £299 and £300 – coming this autumn and Spring 2024.
The exact date of these payments is yet to be confirmed.
The cost of living cash will be paid in the same way as your usual benefit payment, for example, into the same bank account where you get Universal Credit.
It will be a separate payment on top of your usual benefit that you get in April.
As the government has to process a lot of payments, you could have to wait up to two weeks for the cash.
Payments are being staggered and the government has said it aims to get them to most people by May 17.
Am I eligible for the £900 cost of living payment?
Those eligible for the tax-free payment won’t have to do anything as it will be made automatically.
The full list of benefits that qualify people for the payment is:
Universal CreditIncome-based Jobseekers AllowanceIncome-related Employment and Support AllowanceIncome SupportWorking Tax CreditChild Tax CreditPension credit
If you were receiving any of the above benefits between January 26 and February 25 this year you will receive the £301 payment.
If you were later found to be entitled to any of the above benefits between January 26 and February 25 you will be eligible for the payment too.
The DWP said those on tax credits only will receive their payment from HMRC after the DWP payments begin.
But the government department did not give a specific date for when these payments will be made.
The DWP said low-income pensioners not already receiving pension credit should check their eligibility for the benefit.
Successful backdated pension credit claims made by May 19 will qualify for the £301 cost of living payment.
What other help is coming?
Millions of people with disabilities and pensioners will receive cost of living payments worth up to £300 later this year and into 2024 too.
Over six million people will receive a £150 disability cost of living payment this summer.
You may be entitled to the payment if you receive any of the following benefits:
Attendance AllowanceConstant Attendance AllowanceDisability Living Allowance for adultsDisability Living Allowance for childrenPersonal Independence PaymentAdult Disability Payment (in Scotland)Child Disability Payment (in Scotland)Armed Forces Independence PaymentWar Pension Mobility Supplement
Millions of pensioners will receive a £150 or £300 cost of living payment from November this year too.
You will be eligible for the payment if you are entitled to a Winter Fuel Payment for winter 2023/24.
Effectively, the cost of living payment will top up your Winter Fuel Payment.
Eligible households will be sent a letter in October or November telling them how much their total payment is.
In some circumstances, you might be eligible for all three cost of living payments.
That means you will get £1,350 free cash from the government.
Beyond the cost of living payments, extra help is coming via the Household Support Fund, which has been extended until March 31, 2024.
The fund is a central pot of money from government that is shared between local councils in England.
They then decide who to distribute the money to, and how to.
It can come in the form of a voucher, or a direct cash payment into your bank account.
In most cases, the support is offered to those on a low income or certain benefits.
You should check with your local council if you are eligible for any support
If you don’t know what council area you fall under, you can use the government’s council locator on its website.
Just type “find my local council” into Google and it should be the first link to click.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected]