Cost of living support
As the cost of living continues to affect households across the UK, the government has announced a new package of payments to help most households claiming benefits.
The current guidance that we are aware of is covered below but this help page will be updated when new details become available.
If you’re receiving means-tested benefits
A £650 cost of living payment will be made to households on a low income who are receiving, or have claimed, one of the following benefits:
- Universal Credit
- Income-based Jobseekers Allowance (1)
- Income-related Employment and Support Allowance (1)
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
(1) This doesn't include contribution based or new style JSA or ESA as these are based on someone's national insurance contributions and not their household income.
The £650 will be split into two payments, and we assume each of the payments will be for £325. Whether you are single or in a couple you will only get £650 as it's a payment for the household not the individual.
The first payment will be made in July 2022 (or in the Autumn for people receiving tax credits) to anyone who was receiving one of the qualifying benefits on 25 May 2022. People who started to make a claim by this date, and the claim ends up being successful, are also eligible.
The second payment will be made in the Autumn of 2022 (or during the Winter for people receiving tax credits).
Where possible, the payments will be made directly into people’s bank accounts, they won’t need to apply for them.
It's worth noting, someone doesn't need to switch to Universal Credit to benefit from the extra payment as it also goes to all existing claimants, including people on old-style ‘legacy’ benefits and tax credits.
If you’re receiving the Winter Fuel Payment
A £300 cost of living payment will be made to households who are eligible for the Winter Fuel Payment.
The Winter Fuel Payment is an automatic tax-free payment of between £100 and £300 (depending on age and circumstances) to most people over pension credit age. For the winter of 2022 to 2023 this means people born on or before 25 September 1956.
The cost of living amount is on top of the original Winter Fuel Payment amount, which will be paid at the same time in November or December.
Where possible, the payments will be made directly into people’s bank accounts, they won’t need to apply for them.
If you’re receiving a disability benefit
A £150 cost of living payment will be made to people who are receiving, or have claimed, one of the following benefits:
- Disability Living Allowance
- Personal Independence Payment
- Attendance Allowance
- Scottish Disability Benefits
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
The payment will be made by the end of September to anyone who was receiving one of the qualifying benefits on 25 May 2022.
Where possible, the payments will be made directly into people’s bank accounts, they won’t need to apply for them.
If you’re not receiving any of the above
If you’re on a low income and struggling with essential costs such as food, energy bills, water bills and other essentials, your local council may be able to help. Find out more on our Extra help from your local council help page, or contact your council to see what help may be available.
All households with an electricity supply in England, Scotland and Wales, regardless of their income, will also have £400 taken off their energy bills from October 2022. This was intended to be for £200 and a loan which would need to be repaid, but the Chancellor removed these conditions in May 2022.