As part of the government's £37 billion support package, the first of two cost of living payments will be sent out to seven million bank accounts between 14th July and 31st July 2022.
A second instalment will follow in autumn, with separate payments for pensioners, disabled people later this year. These payments are not taxable and do not affects any existing benefits or tax credits you get.
Combined with other support, millions of low-income households across the UK will receive at least £1,200 from the government by Christmas to ease the Cost of Living pressures whilst one in ten will receive a £150 disability payment and eight million pensioner households could receive an extra £300 from Winter Fuel payments in November and December.
Cost of Living Payment
If you get any of the following benefits, you might be entitled to a payment of £650, paid in two instalments in July and Autumn.
Income-based Jobseeker's Allowance (JSA)
Income-related Employment and Support Allowance(ESA)
Child Tax Credit
Working Tax Credit
If you have a joint claim with a partner, you will one payment for your joint claim.
Disability Cost of Living Payment
You might be entitled to £150 in September 2022 if you receive any of the following allowances for 25 May 2022
Constant Attendance Allowance
Disability Living Allowance for adults or children
Personal Independence Payment
Adult Disability Payment (Scotland)
Child Disability Payment (Scotland)
Armed Force Independence Payment
War Pension Mobility Supplement
Pensioner Cost of Living Payment
If you are entitled to a Winter Fuel Payment you will receive an extra £300 for your household paid with your normal payment from November 2022.
Chancellor of the Exchequer, Nadhim Zahawi said:
"It’s great that millions of the families who are most in need are starting to receive their Cost of Living Payments, which I know will be a massive help for people who are struggling."
"Alongside tax cuts, changes to Universal Credit and the Household Support Fund, these payments are a vital part of our £37 billion support package to help people deal with rising prices."