The Department for Work and Pensions (DWP) has confirmed when Tax Credit households will receive the first half of the cost of living payment.
Tax credit recipients have had longer to wait for the cost of living payment than those on other benefits with those who claim Universal Credit, income-related ESA and JSA, Income Support, and Pension Credit starting to receive this cash from the middle July.
It is the first of two payments accumulating to £650 as part of government plans to help ease the burden of the ongoing cost of living crisis.
Tax credit recipients can expect the £326 payment to hit their bank accounts in September, although the exact day is yet to be confirmed.
It also hasn’t confirmed when the second half of the cost of living payment, worth £324, will arrive although it is expected to hit bank accounts in the winter.
Who is eligible for the cost of living payment?
People may be entitled to receive the £650 in two lump sums if they receive certain support, such as Universal Credit, income-based Jobseeker’s Allowance (JSA), income-related Employment and Support Allowance (ESA), Income Support, Pension Credit, Child Tax Credit or Working Tax Credit.
The DWP and HM Revenue and Customs (HMRC) have been identifying those eligible to receive a cost-of-living payment.
Those eligible will be paid automatically, so they do not need to apply and payments may appear in accounts as “DWP Cost of Living”.
