£324 cost-of-living payment to hit bank accounts this month

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The latest cost-of-living payments are being sent out

Almost one in four families across the UK will receive £324 from the government this month as the latest cost-of-living payments are sent out.

Over eight million households in England, Wales, Scotland and Northern Ireland who claimed qualifying means-tested benefits during the eligibility period will be automatically paid £324 this month, as part of up to £1,200 worth of direct help for households.

The payments, from the Department for Work and Pensions, are made directly into eligible recipients’ bank accounts, with no need for people to apply or do anything to receive it.

Those eligible to receive the second cost of living payment from today include people on Universal Credit, Income-based Jobseekers Allowance, Income-related Employment and Support Allowance, Income Support and Pension Credit.

To be eligible, claimants must have been claiming and entitled to a payment between 26 August and 25 September, with the exception of pensioner households, who may be able to have a new Pension Credit claim backdated.

Pensioners have until 18 December to submit a valid claim for Pension Credit, which could entitle them to the £324 Cost of Living payment. Anyone can check their eligibility for Pension Credit using the online calculator or by calling the freephone claim line (0800 99 1234).

Even if you are not on a qualifying DWP benefit you may still be eligible for the £324 payment, as HMRC are also making payments to over a million people who receive Working Tax Credit or Child Tax Credit and no other eligible benefits. These will automatically be paid between 23 and 30 November - you do not need to contact the government or apply for the payment at any stage. 

The payment reference on DWP recipients’ bank accounts will be their national insurance number, followed by 'DWP COL'. For HMRC recipients the payment reference will be 'HMRC COLS'.

Cost-of-living support includes the direct cost-of-living payment of up to £650 (paid in two instalments in July and November) for over 8 million households on eligible means-tested benefits, a separate £300 payment for pensioners, and a £150 payment for eligible disabled people, which can be paid on top of the £650 payment.

This is on top of £400 for all households to help with energy bills, and an extra £150 for properties in Council Tax bands A-D, meaning millions of the lowest-income households will receive at least £1,200 in support this year.