29 November 2022

Cost of living payments

In his Autumn Statement, the Chancellor announced further Cost of Living Payments of up to £900 for households on means-tested benefits in 2023-24.  

As with Cost of Living Payments made in 2022 , eligible customers will not need to apply, and payments will be automatically made to the account they receive their benefits. These payments will be made across the UK, will be tax-free, will not count towards the benefit cap, and will not count as income in existing benefit awards.

More detail about the new payments, including the eligibility criteria and timing will be confirmed in due course.  

HMRC has written to tax credit customers about the second Cost of Living Payment of £324 for eligible claimants who receive tax credits and no other qualifying benefits to explain that the payments will be made between 23 and 30 November 2022. Anyone expecting a second Cost of Living Payment from HMRC but who hasn’t received it by 30 November, should wait until 7 December at the earliest to contact HMRC , to allow time for payment to be processed by their bank, building society or credit union.