MILLIONS of people on benefits will get a one-off payment from tomorrow to help them cover rising bills in the cost of living crisis.
A package of support worth up to £1,500 for some people was announced by the government in May.
Among those eligible for the help are those on Universal Credit and other means-tested benefits.
They will get a £650 one-off payment starting from tomorrow to help pay for things like energy, fuel and food, which have all risen in price in recent months.
Former Chancellor Rishi Sunak announced the help to tackle the cost of living crisis which has seen inflation hit 9%.
And energy bills are set to rise further this winter, prompting the government to act.
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When will I get the £650 one-off cost of living payment?
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Ofgem said the price cap could rise pushing the typical dual fuel bill to £2,800 in October adding hundreds of pounds more to energy bills for millions of people.
The latest support package is designed to help those on thelowest incomes and most vulnerable households.
But Martin Lewis has highlighted that some people on benefits are not getting the £650 one-off cost of living payment.
The money saving expert grilled Mr Sunak about the help.
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He pointed out that some Brits on certain benefits – contributions based Employment Support Allowance and Personal Independence Payments (PIP) – as well as those who receive a Carers Allowance will miss out on the £650 payment.
Mr Sunak said that the support is being targeted at people on means-tested benefits, and suggested that they could be eligible for support under other schemes.
He said: "Our existing system is the best guide. That 8million are on means tested benefits.
"This is where the majority of calls were from for help. This comes on top of the £400 and likely the £150.
"A third of UK households will receive that support. There will always be other people who need support as well.
"We've put some support in place to help those with disability benefits. The majority of people on carers allowance will get those other things."
Means tested benefits are based on your income and savings, and include Universal Credit.
That means how much money you have coming in or in your bank account can affect how much of the benefit you get, and if you qualify for them at all.
But some benefits are not based on income, like PIP and contribution based ESA.
You can claim regardless of how much income or savings you have, and are for those in certain circumstance, like having a disability or health condition.
If you're getting a non-means tested benefit, then you won't get the £650 payment.
But you may qualify for the help if you claim other means-tested benefits on top, or get help under separate schemes.
Those getting statutory benefits, like sick pay, maternity or paternity pay also won't be eligible, but could qualify for other schemes.
And EVERY household will get a £400 energy bill discount this winter.
Who IS eligible for the £650 payment?
Those on the following benefits will get the £650 help, the government has said, known as the Cost of Living Payment.
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
If you get any of these benefits, you'll get the payment – the DWP has revealed payments might be a couple of weeks late reaching your bank account, but you can find out more about that here.
What benefits won't qualify for the £650 payment?
The following benefits on their own won't qualify you for the £650 one-off cost of living payment.
But often if you're getting these you could be eligible for the means-tested benefits above which mean you could get part of it.
Anyone can check if they are eligible for benefits using a simple calculator tool.
You can use a free benefits checker from Turn2Us, Policy in Practice or EntitledTo to see.
You could also qualify for a different one-off payment instead, for instance if you have a disability or are over state pension age – see more in the sections below.
- Attendance allowance
- Carer's allowance
- Child benefit
- Disability living allowance (DLA)
- Contributory, or "new style", Employment and Support Allowance (ESA)
- Guardian's allowance
- Contribution-based, or "new style", Jobseeker's Allowance (JSA)
- Maternity allowance
- Personal Independence payment
- State pension
- Statutory adoption, maternity, paternity and shared parental pay
- Statutory sick pay
Who will qualify for the £150 payment?
Around six million people will get an extra £150 payment if they are disabled and claiming certain benefits.
- Disability Living Allowance
- Personal Independence Payment
- Attendance Allowance
- Scottish Disability Benefits
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
Find out more about the payment here and when you'll get it.
Who will qualify for the £300 payment?
Millions of pensioners will get a £300 payment, known as the pensioner cost of living payment.
The payment will be made in November or December and is will help many heat their home this winter.
The cash is on top of the existing Winter Fuel Payment worth between £100 and £300 that those over state pension age get already.
Up to a million pensioners could be missing out on the £650 payment on top though.
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That's because they are eligible for pension credit – and so the £650 payment too – but have not applied.
Pensioners on low incomes are being being urged to claim so they can get the support.
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Cost of living payments: what you need to know
- All the key dates for cost of living payments revealed
- Every household will get a £400 cost of living payment to help with energy bills
- See the full list of benefits eligible for £650 cost of living cash
- Here's free cash you can get if you DON’T qualify for the £650 cost of living payment
- Millions of pensioners will get a £300 cost of living payment this winter
- Disabled Brits will get £150 this September
- Parents can get up to £200 towards school uniform costs
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