DEMSA 📢 #Announcement

The Department for Work & Pensions and HM Revenue and Customs will carry out a £299 Cost of Living Payment between February 6 and February 22. 

Approximately 8 million households are slated to receive the payment automatically, so there isn't any necessity for suitable individuals to submit applications.

Additional details can be found on “ https://gov.uk/helpforhouseholds ” website. 🖱

UK Government's £299 Cost of Living Boost

  Providing Relief Across the UK

This third of up to three Cost of Living Payments will be disbursed to eligible individuals receiving means-tested benefits between February 6 and February 22. It forms a critical component of a comprehensive support package that has provided much-needed relief to households since July 2022.   A Closer Look at the Support Package The announcement of the £299 Cost of Living Payment comes in the wake of the government's commitment to allocate £104 billion to cost of living support between 2022 and 2025, as outlined in November's Autumn Statement. This substantial allocation, equating to approximately £3,700 per household, encompasses various measures: - Uprating benefits by 6.7% - Increasing the state pension by 8.5% - Elevating the Local Housing Allowance by £7 billion  

Shaping a Brighter Economic Future

The government's approach reflects a pivotal shift in economic policy. The focus is transitioning from a period of significant government intervention, high spending, and borrowing to a new era characterized by long-term decision-making aimed at strengthening the economy and empowering individuals and families to build a more prosperous future.  

Next-Generation Welfare Reforms

As part of this commitment, the Department for Work and Pensions (DWP) plans to introduce the next generation of welfare reforms, encompassing comprehensive employment and health support. The £2.5 billion Back to Work Plan aims to benefit over a million people, including individuals with disabilities, health conditions, or a history of long-term unemployment. A pivotal element of this plan is the Chance to Work Guarantee, which will remove barriers to employment for numerous claimants, offering them the opportunity to work without the fear of reassessment or the loss of health benefit top-ups.   Automatic Payments for Eligible Recipients The £299 Cost of Living Payment for February 2024 will be automatically processed by the DWP and HM Revenue and Customs. Eligible recipients need not apply or take any action to receive this payment.   A History of Support for Vulnerable Households The government's efforts to support vulnerable households have yielded results. Since 2010, there has been a reduction of 1.7 million households in poverty. As part of ongoing support, the Local Housing Allowance increase, set to benefit thousands, will come into effect in April 2024. This £7 billion investment over five years will provide an £800 annual boost to approximately 1.6 million households. Additionally, the DWP encourages low-income pensioners who have not yet received Pension Credit to check their eligibility, as they may still qualify for the February cost-of-living payment.   Key Details for Eligibility For individuals wondering if they are eligible for the Cost of Living Payment, here are some important details: - Recipients' bank accounts will use their National Insurance Number followed by DWP COL as the payment reference. The HMRC payment reference will be HMRC COLS. - To qualify for the Cost of Living Payment from DWP, individuals must have received a payment for a qualifying benefit between November 13 and December 12 or at the end of an assessment period within these dates. - The full list of benefit recipients that qualify for the third Cost of Living Payment includes those who receive Universal Credit, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, Income Support, Working Tax Credit, Child Tax Credit, or Pension Credit.   A Supportive Future The £299 Cost of Living Payment is a vital part of the ongoing efforts to provide much-needed financial relief to households across the UK. It is one of three means-tested Cost of Living Payments made over the course of 2023/24, with a total value of up to £900. The government's commitment to supporting vulnerable families extends to England's councils, with a substantial £842 million extension to the Household Support Fund, aiming to provide the further cost of living support. For additional information, recipients can refer to the Department for Work and Pensions press notice on the £2.5 billion welfare reforms announced in the Autumn Statement here. The Chancellor's Autumn Statement is also available here. Eligibility details can be found above, and any queries can be reported through gov.uk starting from February 23.   Sources: THX News & Department for Work and Pensions. Read the full article