DWP Issues Cost-Of-Living Payment Reminder

Arts & Celebrities


The cost of living payment provides relief for struggling families

The DWP is offering a reminder to families living in Lincolnshire, including Grimsby, Scunthorpe, Skegness, Louth, Boston and Lincoln about the cost of living payment which could be the last.

The holiday season is often associated with joy and celebration, but for many families it can also bring financial pressure. Extra spending over Christmas can leave households in a perilous position in January and February.

However, there is good news on the horizon for around eight million households in the UK. The Department for Work and Pensions (DWP) has announced a cost of living payment which aims to help struggling families cope with the rising cost of bills and food.

The Cost of Living Payment is designed to provide financial assistance to families facing financial pressure after the holidays. Payment is made in three installments, with the final payment of £299 to be made between 16 and 22 February 2024.

Eligible households will receive a total of £900 over the past year, with the first payment of £301 paid out in the spring and the second payment of £300 spread over October and November.

Eligibility criteria

To be eligible for the cost of living payment, households must receive low income benefits or tax credits.

The DWP has clarified that there is no need to contact the government or apply for payment separately. The money will be automatically paid to eligible people. The following benefits and tax credits make people eligible for payment:

Income-based Jobseeker's Allowance (JSA)

Employment Allowance and Income-related Support (ESA)

Income support

Pension credit

Universal Credit

Tax credit for children

Work tax credit

Universal credit eligibility

People who were entitled to a Universal Credit payment between 13 November and 12 December 2023 are entitled to the cost of living payment.

Similarly, people who are entitled to an earnings-based JSA, earnings-based ESA, income support and pension credit payment for any day between 13 November and 12 December are also eligible. 2023.

Even those who are eligible for benefits but have not received any payment because their entitlement is between 1 and 9 p. they will be paid £299. Tax credit recipients who received a payment on a day between November 13 and December 12, 2023, or who later received a payment during that period, are also eligible.

However, people whose tax credit entitlement for the tax year is less than £26 will not be eligible for the payment.

Earlier this month, Prime Minister Rishi Sunak highlighted the need to reduce cost of living payments. He emphasized the importance of moving from high spending and debt.

Despite this, the government has implemented measures to support working people. A cut in National Insurance Tax will be implemented next month, reducing employee contributions from 12% of earnings to 10%. As a result, a worker earning £35,000 will have more than £450 added to their paycheck each year.

Mr. Sunak also mentioned the pension's triple lock, which guarantees an increase in the state pension each year due to wage growth, inflation or 2.5%, whichever is higher.

From April, pensioners will see an 8.5% rise in their state pension, taking it to more than £11,500 a year or £221.20 a week. These measures aim to reward working people and ensure they have more money in their pockets.

While the cost of living payment and other support measures are being rolled out, it is important to recognize the challenges many households in the UK face.

Rising inflation has led to rising bills and rising household costs, leaving families struggling to make ends meet. According to a UNICEF report, levels of child poverty in the UK have risen by a fifth in recent years, placing the country worst among some of the richest nations in the world.

It is clear that more needs to be done to address economic disparities and provide comprehensive support to vulnerable families.



Source

Leave a Reply

Your email address will not be published. Required fields are marked *