DWP payment claimants eligible for £900 cost of living support
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With inflation and energy bills likely to remain high for the foreseeable, households are being told to prepare for tough economic times. As the cost of living crisis continues, the Government has announced further the cost of living payments will be rolled out in 2023, following the measures in the last year which were intended to support the country’s most vulnerable. This includes a new £900 payment for those on means-tested benefit payments from the Department for Work and Pensions (DWP) next year.
Those on low income are more likely to be worse off by this rise in the cost of living, with many claiming means-tested benefits from the DWP, such as Universal Credit.
Earlier in 2022, a £650 cost of living payment was rolled out for those getting these benefits. It was separated into two instalments and awarded at different times of the year.
It is yet unknown how the £900 cost of living payment for 2023 will exactly be delivered or when it will be.
While little is known about the rollout of the £900, a similar method could be used to administer the payment to eligible benefit claimants in 2023.
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As well as this, many of the affected benefit payments are getting a 10.1 percent rate hike next year on top of the cost of living payment.
Among the qualifying DWP means-tested benefit payments for this £900 in cost of living, are:
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Universal Credit
- Working Tax Credit
- Child Tax Credit
- Pension Credit.
Laura Suter, the head of personal finance of AJ Bell, previously broke down all the other support Britons will be entitled to next year, outside of the £900 cost of living payment.
Ms Suter said: “Anyone eligible for the cost-of-living payments this year will also get a payout next year, with some getting a bigger handout.
“Those on Universal Credit and certain other benefits will receive £900 to help with the cost of living, an increase on 2022’s £650 payment.
“Pensioners and those on disability benefits will get the same as this year, getting £300 and £150 respectively. Some people will be eligible for all three payments, meaning the maximum you can claim is £1,350.”
However, the finance expert noted that the confirmation has yet to be given by the DWP in regards to when these payments will be handed out.
She added: “The Government hasn’t confirmed when it will make the payments or how people can expect to receive them.
“But it’s likely they will follow 2022’s playbook, with the first payments coming in the summer followed by more in the autumn and winter.
“To be eligible you have to be claiming certain benefits, so make sure you’re getting all the Government support you’re entitled to so you’re in line for these additional payments.”
Outside of these cost of living payments, Chancellor Jeremy Hunt confirmed in his Autumn Statement additional support for the country’s most vulnerable.”
An extra £1billion of funding is being reserved to allow another twelve-month extension to the Household Support Fund.
This is to further assist local authorities which are better equipped to immediately respond to people desperately in need of support.
On top of this, the energy price guarantee is set to continue until April 2024 but is being raised from £2,500 to £3,000.
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