Although there were no further details of the grants in Mr Hunt’s 2023 Budget in March, prospective claimants received an update on the payment dates on Monday 27 March.
When will I get the cost of living payment in 2023?
The DWP confirmed that eligible households would receive the first £301 instalment of the cost of living payment between Tuesday 25 April and Wednesday 17 May.
It will be sent out automatically and directly to recipients – meaning those eligible do not need to apply or do anything to receive it.
Each instalment of the cost of living payment will be a slightly different amount, which makes it easier for DWP and HMRC to track which grants people have received, in order to minimise fraud risk.
While precise dates for the subsequent payments will be announced closer to the time, the broad schedule is as follows:
- £301 – first payment between 25 April and 17 May
- £300 – second payment during autumn 2023
- £299 – third payment during spring 2024
The payment reference for bank accounts will be “DWP COLP”, along with the claimant’s national insurance number.
Those who are eligible for the £301 cost of living payment solely through tax credits and are not eligible through DWP means-tested benefits, will be paid by HM Revenue and Customs (HMRC) shortly after DWP payments start.
Claimants have been warned that scammers may use cost-of-living payments as a fresh opportunity to try and trick people into handing over their banking details or money, by purporting to represent government organisations.
Who is eligible for the cost of living payment?
Just over eight million households will receive the cost of living payment in spring, with people who claim the following benefits eligible:
- Universal Credit
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
For universal credit, if someone had an assessment period ending between January 26 2023 and February 25 2023 that resulted in an entitlement to money, they will also be entitled to the £301 cost-of-living payment.
For other DWP means-tested benefits, people generally should have received a payment between January 26 and February 25 2023 to qualify for the £301 cost-of-living payment.
The DWP is also encouraging low-income pensioners not already getting pension credit to check their eligibility, as they can still qualify for the £301 cost-of-living payment if they make a successful backdated pension credit application by May 19.
What other cost of living payments are there?
There will also be further payments worth £150 for eligible people with disabilities and £300 for pensioners due later this year, meaning some people will receive up to £1,350 in direct payments.
Households on low incomes are also being encouraged to contact their local council to see what support is available for essential food and energy costs through the household support fund.
HMRC will publish specific details of when payments will be made to these people – you can see the details of all the cost of living payments being issued by the Government here.
Mel Stride, Secretary of State for Work and Pensions, said: “These payments will give a financial boost to more than 8 million households as we continue to wrap our arms around the most vulnerable, while the best way we can protect people from high costs is to halve inflation by the end of this year.”
Chancellor Jeremy Hunt said: “Not only are we providing £900 in direct cash payments to millions of the most vulnerable households, we’ve also extended the energy price guarantee to hold bills down until energy prices fall, raised the national living wage to £10.42, put an end to the prepayment meter premium and delivered a plan that will more than halve inflation this year – ensuring everyone’s incomes go further.”