1.1 MILLION low-income families in receipt of tax credits, including thousands here in Devon, have received their first Cost of Living Payment. A £326 payment from the Government is being paid automatically into bank accounts between 2 and 7 September. A second payment of £324 will be paid to those eligible in the autumn. These payments, worth £650 in total, are tax-free and will not affect existing benefit arrangements. When added to the £400 of help for all households to help with energy bills and the £150 Council Tax Rebate for the 80% of UK households that are in Council Tax bands A-D, the total support for these 1.1 million low income families will be at least £1,200.
These payments form part of the Government’s £37 billion support package to help families with the rising cost of living, which also includes £300 to every pensioner household in receipt of Winter Fuel Payments and £150 to people who receive disability benefits. 80% of UK households will receive at least £550.
Central Devon MP Mel Stride, who chairs the influential House of Commons Treasury Select Committee, said:
“These cost of living support payments are giving targeted help to those on the lowest incomes who have been hit hardest by the rising cost of living. Crucially, the money will be paid automatically into bank accounts so people don’t need to do anything to get this extra help – often an obstacle to ensuring support gets to those who need it the most.”
If a household believes they are eligible for the £326 payment but do not receive it between 2nd and 7th September, they should wait until 16th September and then contact HMRC. For more information visit www.gov.uk/contact-hmrc.