The Department for Work and Pensions has now disclosed how many people in each region of the UK will receive the extra financial help after ministers agreed that initial payments would start on July 14, 2022.
Additionally, they stated that the disability top-up would be deposited into accounts in September 2022.
The means-tested benefit cost of living payment will be received by nearly one in four families, according to these statistics, while the £150 disability top-up will go to nearly one in ten people overall.
As the government implements large initiatives to support groups who are most vulnerable to rising prices, millions of low-income households in England, Wales, Scotland, and Northern Ireland will initially be £326 better off as a result of the first cost of living instalment.
This year, the government will give at least £1,200 to millions of households to help them with growing prices.
Thérèse Coffey, the secretary for work and pensions, said:
We are taking action to directly assist families with the expense of living as the first of two cash instalments for millions of the lowest-income households will shortly be in their bank accounts.
This one-time payment of £650 is a component of our $47 billion cost-of-living assistance program, which will put an additional $1,200 in the pockets of those who need it the most.
Beginning in the fall, households with low incomes who qualify will get the second installment of £324. To reduce the possibility of fraud from individuals who would try to take advantage of this system, the payments are purposefully slightly out of balance.
The second instalment’s eligibility date will shortly be made public. Customers who are solely eligible based on tax credit receipts will be contacted by HMRC and will begin receiving payments automatically in the fall.
Customers on all other qualifying means-tested benefits will get payments from DWP; there is no need for them to get in touch with them or submit an application.
This year, low-income households are gaining from government assistance in a variety of ways as a result of rising costs for a number of necessities brought on by global inflationary pressures and the terrible war in Ukraine.
The government is providing £37 billion in assistance to strengthen budgets and lessen the worst of these pressures because it recognizes that many individuals are concerned about how these rising prices will affect their household finances.
The direct cost of living payment of up to £650 for over 8 million households receiving qualifying means-tested benefits, a separate payment of £300 for retirees, and a payment of £150 for qualified disabled individuals, which may be added to the £650 payment, are all examples of support.
Millions of the lowest-income homes will receive at least £1,200 in assistance this year in addition to the £400 for all households to help with energy bills and the additional £150 for houses in Council Tax categories A through D.
All of this is on top of adjustments to the Universal Credit taper rate, work allowances worth an average of £1,000 annually for 1.7 million claimants who are employed, an increase in the National Living Wage to £9.50 per hour, and a tax break for roughly 30 million workers through an increase in National Insurance contribution thresholds.
In addition to providing an additional £421 million for the Household Support Fund and an additional £79 million for devolved states, the government has increased its support for this program, bringing the total amount of this assistance to £1.5 billion. In addition, alcohol duty was frozen for 2022–2023 while fuel duty was reduced by 5p per litre for a 12-month period in March.