Almost 1 million people to receive DWP £299 cost of living payment from TODAY
Amber Middleton
Content writerThe government is issuing its final instalment of the £900 cost of living payment with 1 million people still to receive it this week
About 1 million people will receive their cost of living payment worth £299 from TODAY.
This is the third and final instalment of a £900 payment issued to households claiming certain benefits amid the continuing cost of living crisis.
The DWP has already paid more than 7.6 million payments to families, out of the 8.2m million total households expecting payments.
From Friday, 16 February, HMRC will begin processing the final round of payments.
- Dozens of women may never have children after fertility clinic 'incident'
- At what age can my child stay home alone?
- £299 Cost of Living payment will only go to certain households
- Lidl launches new bottle-return scheme that PAYS you to recycle
Millions to receive £299
This round of payments will be sent out to those claiming working tax credit and child tax credit and will land in recipients' bank accounts any day from this Friday (16 February) to 22 February.
This comes after the DWP issued 7.6m payments (to date), from 6 February, totalling 6.4 million households. The payments were given to people claiming means-tested benefits such as Universal Credit and Pension credit.
The DWP made its payments first, with HMRC paying out from Friday.
It is estimated that around 8.2 million people will receive the £299 cost of living payment between 6 February and 22 February.
Who is eligible for the £299 payments?
So far, DWP has issued payments to people claiming the following means-tested benefits:
- Income-based Jobseeker’s Allowance
- Income-related Employment and Support Allowance
- Income Support
- Pension Credit
- Universal Credit
The issuing dates for this round of payments range from 6 February to 22 February 2024.
HMRC will then start issuing its own round of payments from this Friday. This will go out to the following:
- People claiming Child Tax Credit
- Those claiming Working Tax Credit
The pay period will be from 16 February to 22 February.
To receive a cost of living payment, you must have been claiming (or later found to be eligible for) any of the above eligible benefits during what's known as a qualifying period – for the £299 payment, it was between 13 November 2023 and 12 December 2023.
What are the cost of living payments?
The government's Cost of Living payments are cash grants given to families on low incomes to help them pay for essential living costs, as the rate of inflation has accelerated over the past couple of years.
The payments are given to anyone who claims certain eligible benefits including Universal Credit and tax credits.
Cost of Living payments were first introduced in 2022, when two payments worth a total of £650 were given out in July and November.
A second group of payments was then announced in November 2022 to cover the financial year 2023-2024, worth £900 in 3 separate handouts. The first two were issued during 2023.
Who issues the payments?
This is all dependent on who pays your benefits.
If you receive your benefits from the DWP, you will also receive the £299 from it with the payment reference: 'DWP COL' alongside your National Insurance number.
If you receive your payments from HMRC, it will also pay your cost of living payment with the payment reference: 'HMRC COLSD', along with your National Insurance number.
If you are eligible, you will be paid automatically into the bank account where you receive your benefits.
Will there be further cost of living payments?
The £299 is the fifth cost of living payment of its type.
There have been calls for payments to continue past spring 2024, however, it's looking unlikely for this to happen.
Labour MP, Sir George Howarth asked whether the DWP would be continuing the payments into 2024 and in response, Mims Davies, MP and former DWP representative confirmed there are currently no plans to extend the payments.
In a written response she said: 'There are currently no plans to extend the cost of living payments beyond the spring.'
This comes after the Chancellor announced that benefits would be increased by 6.7% in his Autumn Statement last month. This meant that 5.5 million households on Universal Credit would see an increase of £470 over the next tax year.
I'm not eligible for the £299 – what help can I get?
Anyone who isn't eligible for the Cost of Living payments, but is still struggling with household bills could get help through the Household Support Fund – an £842 million fund given to local councils to support low-income families in their area.
How councils allocate this money and who is eligible varies from council to council, but it could see you getting supermarket vouchers towards the food bill, cash grants and even air fryers and slow cookers in some situations.
Take a look at our guide for more advice on what families who aren't eligible for the £299 can get.
For more money advice, visit our Cost of Living hub for all the benefits you could be entitled to.
Plus, discover Money Saving Expert Martin Lewis's top tips on everything from switching bank accounts, energy bills, unmissable deals and more.
Related stories
I tried Martin Lewis' credit card tip and cleared my debt
