MILLIONS of Brits are set to receive a £299 cost of living payment in the new year.
The Department for Work and Pensions has now confirmed when it will issue the third instalment of the £900 cost of living payment.
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Households on certain benefits, including Universal Credit, will receive the £299 payment directly into their bank accounts between February 6 and February 22.
Those eligible for the tax-free payment won’t have to do anything as it will be made automatically.
The full list of benefits that qualify people for the payment is:
- Universal Credit
- Income-based jobseekers allowance
- Income-related employment and support allowance
- Income support
- Working tax credit
- Child tax credit
- Pension credit
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You need to have been entitled to a payment of any of the qualifying benefits above between November 13 and December 12 to be eligible for the free cash.
If you were later found to be entitled to any of the above benefits between the same dates you will also be eligible for the payment too.
Households on tax credits only will receive their payment from HMRC after the others paid by the DWP.
This is to ensure that those on other benefits and tax credits will not get the payment twice.
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The payment reference for bank accounts will be the recipient’s National Insurance number followed by DWP COL or HMRC COLS.
For example, if your NI number is JT 83 42 97B your payment will show up as “JT 83 42 97B DWP COLP” or “JT 83 42 97B HMRC COLP” on your bank statement.
The £299 payment is the final of three payments that form the £900 support.
The first instalment worth £301 was paid out to over eight million households in April and May.
It follows the £650 cost of living payment made to over eight million people in 2022.
Mel Stride, secretary of state for work and pensions, said: “We’ve delivered on our promise to halve inflation, putting money back in people’s pockets, while also providing millions of households with unprecedented financial support to ease cost of living pressures.
“We will always protect the most vulnerable while ensuring fairness for the taxpayer.
“We know that the best way to secure long-term financial security is through employment, so we’re rolling out the next generation of welfare reforms to put thousands more people on a pathway off benefits and into work.”
Jeremy Hunt, Chancellor of the Exchequer, added: “Inflation has halved, but I know some families are particularly vulnerable to cost of living pressures, which is why these payments are so important.
“The best way we can help families is by getting more people into good jobs, including through our Back to Work Plan which will help more than 1 million people look for work and grow the economy.”
The DWP is also encouraging low-income pensioners not already receiving pension credit to check their eligibility.
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This is because successful pension credit claims can be backdated by up to three months.
This means that thousands more could still qualify for the final cost of living payment as well as the third payment due in February.
