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Who will get the cost of living payment and do you need to apply?
15 June 2022, 12:03
As the cost of living crisis continues to increase across the UK, Chancellor Rishi Sunak confirmed those who were struggling the most would receive additional support measures.
And as part of helping out, it was announced around eight million households with the lowest incomes would receive a cost of living grant.
Rishi said: "We need to make sure that for those whom the struggle is too hard and for whom the risks are too great they are supported."
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So who qualifies for the cost of living payment? And how do you apply? Here's what you need to know:
Who will get the cost of living grant?
The £650 payment will be given to the households who received means-tested benefits - where you income and capital are below a certain amount. This includes the following:
- Universal Credit
- Income-based Jobseekers’ Allowance
- Income Support
- Working tax credit
- Income-related employment and support allowance
- Child tax credit
- Pension credit
'It's gone past cost of living, it's about the cost of surviving.'
Do you need to apply for the cost of living grant?
If you are eligible for the payment, you will received it automatically with no need to apply.
The amount will be issued directly over two payments, one which is expected from July 14 of £326, and another in the autumn of £324.
If you qualify for the grant because you receive tax credit or working tax credit, then you can expect the two payments in autumn and winter instead.
The payment will not affect any existing benefit caps or awards and will be tax free.