Extra £900 cost of living payment announced, find out if you're eligible

Chancellor Jeremy Hunt announced yesterday in his Autumn Statement that there will be extra help of up to £900 for vulnerablehouseholds. There will also be additional support for pensioners and people receiving disability benefits.

In the statement delivered yesterday, Hunt said, as per the Evening Standard:

For the most vulnerable, we will introduce additional cost of living payments next year, of £900 to households on means-tested benefits; £300 to pensioner households; and £150 for individuals on disability benefit.

Household support fund

The Government has introduced a cost of living package that is worth £26 billion for 2023-2024, with additional benefits for working-age households and people with disabilities worth £11 billion. Hunt went on to say:

We will also provide an additional £1 billion of funding to enable a further 12-month extension to the Household Support Fund, helping local authorities to assist those who might otherwise fall through the cracks

The £900 is expected to be a great help for those in need this winter with the £300 for pensioners and £150 for those on disability benefits providing additional support. Find out below if you qualify for the payment.

£900 cost of living payment

The one-off £900 payment is for the 8 million people who are on means tested benefits and they include, as per the Evening Standard:

• Universal Credit
• Income-based Jobseeker’s Allowance
• Income-related Employment and Support Allowance
• Income Support
• Pension Credit
• Working Tax Credit
• Child Tax Credit

The £900 is expected to be paid automatically to those eligible, will be tax free and not count towards the benefit cap with the Government’s cost of living payment guidance, saying:

If you’re eligible, you’ll be paid automatically in the same way you usually get your benefit or tax credits.

The chancellor announced several further measures to help vulnerable households with the cost of living crisis, including a promise to increase Universal Credit in line with inflation, as per Manchester Evening News.

Find out more on the UK government website.

Sources used:

- Evening Standard 'Who is eligible for the £900 cost of living payments, how to claim and when will it be paid?'

- Manchester Evening News 'Millions of households to receive one-off £900 cost of living payment, Jeremy Hunt announces'