Millions of low-income households to get cost of living payments in Spring

The Department for Work and Pensions (DWP) has announced more detail on the payment schedule for the next round of cost of living support unveiled in the Chancellor’s Autumn Statement, building on payments made to over eight million people in 2022.

The new £900 cash boost for over eight million eligible means-tested benefits claimants, including those on Universal Credit, Pension Credit and tax credits, starts in Spring and will go direct to bank accounts in three payments over the course of the financial year. There will also be a separate £150 for over six million disabled people and £300 for over eight million pensioners on top of their Winter Fuel Payments.

Exact payment windows will be announced closer to the time, but are spread across a longer period to ensure a consistent support offering throughout the year. They will be broadly as follows:

£301 – First Cost of Living Payment – during Spring 2023
£150 – Disability Payment – during Summer 2023
£300 – Second Cost of Living Payment – during Autumn 2023
£300 – Pensioner Payment – during Winter 2023/4
£299 – Third Cost of Living Payment – during Spring 2024

Work and Pensions Secretary, Mel Stride said “We are sticking by our promise to protect the most vulnerable and these payments, worth hundreds of pounds, will provide vital support next year for those on the lowest incomes.”

“The government’s wider support package has already helped more than eight million families as we continue to deal with the global consequences of Putin’s illegal war and the aftershocks of the pandemic.”

Chancellor of the Exchequer, Jeremy Hunt said “I know these are tough times for families across the UK who are struggling to meet rising food and energy costs, driven by the aftershocks of Covid and Putin’s war in Ukraine. That’s why we’re putting a further £900 into the pockets of over 8 million low income households next year. These payments are on top of above inflation increases to working-age benefits and the Energy Price Guarantee, which is insulating millions from even higher global gas prices.”

“Tackling inflation is this government’s number one priority and is the only way to ease the strain of high prices, drive long term economic growth and improve living standards for everyone.”