Cost of living payment date alert as DWP issues update for benefit claimants

The Department for Work and Pensions (DWP) has shared details on how the qualifying period for the £301 cost of living payment was selected.

By Temie Laleye, Senior personal finance reporter with three years of experience specialising in the changes in mortgage and interest rates, benefits, side hustle success and personal scam stories.

cost of living

The £301 payment is part of a broader cost-of-living support package worth £900 (Image: GETTY)

The DWP has announced that certain people on means-tested benefits may be entitled to up to three Cost of Living Payments of £301, £300 and £299.

They ensured qualifying dates for these payments were “as close to the payment date as possible” to ensure only those who had recently received a means-tested benefit award would receive the money.

Labour MP Justin Madders, asked DWP why the qualifying assessment period for the first part of the £900 cost of living support, was selected as between January 26 to February 25, 2023.

In a written response on June 19, Minister for Social Mobility, Youth and Progression, Mims Davies MP explained: “Claimants who received a nil award during the qualifying period would not be entitled to a cost of living payment. Most nil awards will be as a result of increased earnings.

“Paying those with financial resources available, which would make them ineligible for means-tested benefits, is not the intention of the cost of living payments which are aimed at those on the lowest incomes.”

cost of living

Cost of living payments total £1,350 (Image: GETTY)

The £301 payment is part of a broader cost-of-living support package worth £900.

Those eligible for the £900 payment need to have been getting any of the following benefits or tax credits on certain dates:

  • Income-based Jobseeker’s Allowance (JSA)
  • Income-related Employment and Support Allowance (ESA)
  • Income Support
  • Pension Credit
  • Universal Credit
  • Child Tax Credit
  • Working Tax Credit

The payment will be made separately from their benefit payments.

Most people entitled to the payment will get:

  • £301 paid between April 25, 2023, and May 17, 2023, if they’re on DWP benefits
  • £301 paid between May 2 and 9, 2023 if they get tax credits only
  • £300 paid during autumn 2023
  • £299 paid during spring 2024.

cost of living

Those eligible for the £900 payment need to have been getting certain means-tested benefits (Image: EXPRESS)

If someone has a joint claim on the qualifying dates, a single payment of £301, £300 and £299 will be sent using the same payment method used between these dates, if they’re eligible.

People will not be eligible for the Cost-of-Living Payment if their benefit is reduced to £0 for the qualifying period. This is sometimes called a ‘nil award’.

Reasons the benefit may be reduced to £0 include:

  • They got more than one payment of earnings in their Universal Credit assessment period
  • Their earnings or their partners went up
  • Their savings or their partners went up
  • They started getting another benefit
  • They got a ‘sanction’ because they did not do something they agreed in their claimant commitment

Britons claiming certain disability benefits are due to receive a £150 cost of living payment from today as the two-week payment window opens.

Claimants will receive the payment between June 20, and July 4.

The payment forms part of a £26billion support package to help vulnerable Britons with rising cost pressures, as inflation persists at a high 8.7 percent.

Mel Stride, secretary of state for work and pensions, said the payment will help provide a vital financial boost to “six million” disabled people.

This is part of the broader support package that includes the separate means-tested cost of living payments totalling up to £900 and £300 pensioner cost of living payments.

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