New Cost of Living Payment

This is the first of three payments totalling up to £900 for those eligible and on means-tested benefits. This follows the £650 Cost-of-Living Payment made to over eight million people in 2022.

There will also be a further payment of £150 for eligible disabled people and £300 for pensioners due later in the year. This meaning the most vulnerable can receive up to £1,350 in direct payments.

The £301 payment will be sent out automatically and directly to recipients. Those eligible do not need to apply or do anything to receive it. The payment reference for bank accounts will be DWP COLP, along with the claimant’s National Insurance number.

The full list of benefit recipients that qualify for the upcoming Cost-of-Living payment are those who receive:

• Universal Credit.
• Income-based Jobseekers Allowance.
• Income-related Employment and Support Allowance.
• Income Support.
• Working Tax Credit.
• Child Tax Credit.
• Pension Credit.
  

The qualifying period for this payment is between 26 January and 25 February 2023.

To be eligible for the Cost-of-Living Payment, you need to have been entitled to a payment for one of these benefits between 26 January and 25 February 2023, or payment for an assessment period ending between these dates.

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 19 May.

Low-income households are also encouraged to contact their local council to see what support is available for essential food and energy costs through the Household Support Fund. Worth over £2 billion across its lifetime, the DWP fund is delivered through councils who are best placed to identify local need.

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 HMRC shortly after DWP payments begin. HMRC will publish specific details of when payments will be made to these customers along with the bank account payment reference.

Eligible customers will not need to apply or contact the Government at any stage to receive the £301 Cost of Living Payment.