The Department of Work and Pensions (DWP) has released details about the next round of Cost of Living (CoL) announced by Prime Minister Jeremy Hunt in a statement this fall.
From spring 2023, millions will receive payments of up to £1,200.
The government has introduced a range of support measures to address the continuing cost of living crisis in the UK in 2022, including payments of £650 to low-income families and £150 to those on disability benefits.
Here’s everything you need to know about Extended Support in 2023.
What living expenses will be paid for in 2023?
The following support for 2023 has been announced:
- Payment of £900 to over 8 million eligible, means-tested claimants
- 150 pounds is more than 6 million people with disabilities
- £300 for over 8 million pensioners on top of winter fuel costs
When will people receive their £150 disability allowance?
A disability benefit of £150 will be awarded to anyone who receives any of the following:
- Disability living allowance
- individual self-reliance payments
- Nursing care allowance
- Scottish disability benefits
- military independence payment
- regular attendance allowance
- War Pension Transfer Compensation
Payment will be made in the summer of 2023.
This money is tax-free, does not count toward your benefit cap, and has no impact on your existing benefits.
When can people receive £900 living expenses?
This is paid to those who receive the following benefits:
- universal credit
- Job Seeker Allowance by Income
- Income-linked employment allowance
- income support
- pension credit
- work tax credit
- child tax credit
This money is paid out in three installments during the fiscal year starting in the spring.
The exact payment window will be announced soon, according to DWP, but will be spread out over a longer period to provide consistent support throughout the year.
DWP has issued the following guidelines:
- £301 – first payment in spring 2023
- £300 – second payment in autumn 2023
- £299 – third payment in Spring 2024
The slightly different payment amount is to make it easier for DWP and HMRC to track which grants have been received in order to minimize the risk of fraud.
As was the case with the previous £650 grant, claimants who are eligible for any payment, have received tax credits and have not received any other means-tested benefit, will be issued immediately after the DWP payment is issued will be paid by HMRC on
Payments are tax-free, do not count toward your benefit limit, and do not affect benefits for existing benefits.