Brits to receive first cost of living payments from government starting today
Eight million Brits will begin receiving payments to help with the cost of living crisis on Thursday..
Direct payments will be automatically made into recipients’ bank, building society or credit union account, for low-income households on means-tested benefits.
The first payment, referred to as the DWP Cost of Living payment, will consist of £326 and be paid by the end of July.
This will be followed by a £324 payment in the autumn, to help households struggling with increases in energy, fuel and grocery costs.
“We are on track to process the first instalment by the end of July,” a spokesperson for the Department for Work and Pensions said.
“All eligible households will automatically receive the first instalment, and no one needs to worry they will miss out.
“There will be a few unique cases – such as those who were not initially entitled but have gained entitlement upon appeal – who will be paid after July, as soon as possible.”
“It’s a vital step in the right direction for those on lower incomes, but it’s a small step back from the precipice after millions of people have edged ever-closer over the past few months,” Sarah Coles, senior personal finance analyst, Hargreaves Lansdown explained.
The payments were a “positive step” for those on the lowest earnings, Coles added, with this cohort being hammered three times harder than higher earners by rising prices.
“However, it’s not enough to put people back where they were before price hikes,” she warned.