Cost of Living payment: when is it due and will it be delayed?

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Delays in paying living expenses can affect those applying for Universal Credit, income-related ESA and JSA, Income Support, and Pension Credit

Payments will start on Thursday 14th July but will be staggered based on the number of payments made. DWP Minister David Rutley said some may not arrive until after the end of the month.

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Here’s everything you need to know about potential delays in paying living expenses.

What is the cost of living?

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Cabinet councils yesterday (Thursday 7 July) also approved a new £250,000 of living expenses crisis fund, with the first £50,000 going immediately to food banks to meet unprecedented high needs in the district now Photo by Tolga Akmen / AFP ) (Photo by TOLGA AKMEN/AFP via Getty Images)

In June, Rishi Sunak announced plans to make a £650 payment to vulnerable households to lower the cost of living. Payment will be made in two installments – one in July, one in the autumn – totaling £650 per household.

The first installment will be a payment of £326, with the remaining £324 making up the second installment.

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What makes someone eligible to receive the payments?

Anyone who claims a means-tested benefit is entitled to this living allowance.

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This includes anyone receiving Child Tax Credit, Earnings-Contingent Unemployment Assistance, Earnings-Contingent Employment and Assistance Allowance, Income Support, Retirement Credit, Universal Credit, and Labor Tax Credit.

Why might they be delayed?

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DWP Minister David Rutley has stated that payments, which start on Thursday 14 July, will be staggered based on demand. Not every eligible household will receive a payment immediately on that date.

In response to questions, Rutley said that while the DWP “currently expects the majority of payments to be made by the end of July, a small minority of cases have potential delays due to their unique characteristics.”

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Who might be affected by the delays?

According to the mirrorthis delay could impact those claiming Universal Credit, Income-Related ESA and JSA, Income Support, and Pension Credit.

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What if you’re entitled to a payment but haven’t received it?

The DWP has recommended that people who believe they are entitled to a payment but have not received one should contact the entity that normally pays for their benefits. They should be in the best position to help in this scenario.

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What about people receiving tax credits?

Individuals receiving tax credits receive this living expense payment with a delay. Your first payment comes in the fall, the second payment follows in the winter.

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No firm schedule or date has been announced for these payments.

How do you apply to receive payments?

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The payments arrive automatically in the bank accounts of the beneficiaries – a separate application is not required.

When is the second payment expected?

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The second installment – £324 in total – is due to be paid in the autumn, but there is no exact date on when it might arrive.

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