OVER a million people claiming pension credit are set to receive a £326 cost of living payment from Thursday.
The money forms part of the total £650 cost of living help on offer – with the remaining £324 due in the Autumn.
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The help was first announced in May in a bid to help Brits struggling with the cost of living.
The £650 payment isn’t exclusively available to those on pension credit. Those on Universal Credit and other means-tested benefits ware also eligible.
To get the first payment, you will need to be in receipt of any of these eligible benefit payments as of May 25 this year, or have started a claim by this date and later be successful.
Over 8 million households are eligible for the first chunk of the £650 payment.
All the cost of living payments will be tax-free and won’t affect any benefits you’re getting, or count towards the benefit cap.
A DWP Spokesperson said: “We want everyone to claim all the benefits to which they are entitled, including Pension Credit, which offers financial help for low-income households and is a passport to further support as well.
“If you think you might be able to get a benefit you haven’t yet claimed, please visit gov.uk/benefits-calculators to see what support you may be entitled to.”
When and how will I get the £326 payment?
Everyone eligible for the cost of living payment will start receiving the first half of the payment from July 14.
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You won’t need to actively do anything. The Department for Work and Pension will pay the money directly into your bank account.
The payment will be referenced in your bank account as “DWP Cost of Living”.
As millions are eligible for the payment, the DWP will stagger payments and it’s hoped that everyone eligible will get the first chunk by July 31.
The government said it expects only a “small minority” of cases where payment isn’t made by the end of July, and only where people have very unique or complicated circumstances.
Will pensioners get more help?
Pensioners will get further help later on in the year to help with their energy bills once the temperatures drop.
They’ll get an extra £300 one-off payment during the coldest months and those with disabilities will be handed £150.
What if I’m now eligible for pension credit or other benefits?
The DWP has told us that if you are later found to be eligible for Pension Credit (which is backdated) during the qualifying period for you will due to Cost of Living payment.
You’ll only get the £326 payment if you were eligible for backdated pension credit for at least a single day between April 26 and May 25.
