MILLIONS of households will start receiving a tax-free payment worth £300 within days.
The cost of living payment from the Government is being made to Brits on certain benefits including Universal Credit.
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Those eligible won’t have to do anything as it will land in accounts automatically between October 31 and November 19.
The tax-free cash will show up in bank statements as your National Insurance number followed by either DWP COL or HMRC COLS.
Households on tax credits eligible for the payment will receive it from HMRC instead of the DWP between November 10 and 19.
This is to ensure those on other qualifying benefits and tax credits don’t receive the same payment twice.
The full list of benefits that qualify people is:
- Universal Credit
- Income-based jobseekers allowance
- Income-related employment and support allowance
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
You need to have been entitled to one of the above between August 18 and September 17 to qualify for the £300 payment.
If you were later found to be entitled to any of the above benefits between the same dates you will also be eligible for the free cash.
The latest £300 payment is the second instalment of three totalling £900.
The first instalment worth £301 was paid this spring, while the third worth £299 is set to be paid before spring 2024.
It comes after millions on the same benefits were issued a £650 payment in 2022.
It’s worth noting, there are around 850,000 people not claiming Pension Credit when they could – and it makes you eligible for the £300 cost of living payment.
This is because you can backdate Pension Credit payments by up to three months.
So you could make a claim now and meet the qualifying period for the £300 cost of living payment.
But the Department for Work and Pensions (DWP) previously told The Sun households should put in a claim by December 10.
Any later than this, and it may not be able to process your application in time and any backdated claim may not meet the qualifying period for the £300 cost of living payment.
What other help is coming?
Millions of pensioners are in line for a bumper Winter Fuel Payment worth up to £600 in the coming months.
You qualify for the payment if you were born before September 25, 1957 and, in most cases, live in the UK.
You should receive a letter in October or November telling you how much you will get.
The vast majority of eligible households don’t have to do anything and the tax-free payment will be made automatically.
You do not need to claim if you get any of the following:
- State Pension
- Pension Credit
- Attendance Allowance
- Personal Independence Payment (PIP)
- Carers Allowance
- Disability Living Allowance (DLA)
- Income Support
- income-related Employment and Support Allowance (ESA)
- income-based Jobseeker’s Allowance (JSA)
- awards from the War Pensions Scheme
- Industrial Injuries Disablement Benefit
- Incapacity Benefit
- Industrial Death Benefit
If you do not get any of these, you need to claim if either:
- you’ve not got the Winter Fuel Payment before
- you’ve deferred your State Pension since your last Winter Fuel Payment
You may also need to claim even if you are on one of the above benefits and you live abroad.
Check out the Government’s website for more details on countries where you can live and still claim the payment.
Any Winter Fuel Payments received won’t impact any other benefit entitlements.
You may also be able to get help with the cost of living via the Household Support Fund, worth £842million.
The pot of money has been split between councils in England who are allocating their share.
That means what you can get varies, from direct bank transfers to energy or food vouchers.
Usually help is offered to households on a low income or benefits.
If this is you, it’s worth getting in touch with your local council to see what you might be eligible for.
You can find what council authority you fall under by using the Government’s locator tool online.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
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