Low-income Families to Receive Cost of Living Assistance Starting Spring 2023

General News

The UK Government has announced that the poorest households will be given up to £1,350 in 2023/4 to assist with expenses of living.

The image depicts a vast amount of people, with the caption that millions of new households are set to join the housing market.

  • From Spring 2023, up to 8 million low-income households in the UK will be eligible to get a £1,200 financial aid package.
  • The £900 Cost of Living Payment for those receiving means-tested benefits will be distributed in three payments across the year.
  • Furthermore, certain disabled individuals and pensioners will receive additional cash support.


Today, the Department for Work and Pensions (DWP) has declared additional information regarding the timing of the forthcoming cost of living assistance, which was announced by the Chancellor in the Autumn Statement, and which will build on the monetary aid given to more than 8 million individuals in 2022.

This Spring, over eight million people who are eligible for means-tested benefits, such as Universal Credit, Pension Credit and tax credits, will receive a £900 cash injection that will be transferred into their bank accounts in three instalments throughout the course of the financial year. Additionally, over six million disabled persons and over eight million pensioners will be given an extra £150 and £300 respectively, beyond their Winter Fuel Payments.

The exact dates for payment will be specified nearer to the point in time they are due, however, they will be spread out over a greater duration to guarantee stable support provided during the year. An approximation of these dates is as follows:

  • In Spring 2023, an initial Cost of Living Payment of £301 will be issued
  • Following this, a Disability Payment of £150 will be distributed in Summer 2023
  • After this, a Second Cost of Living Payment worth £300 will be disbursed in the Autumn of 2023
  • The Pensioner Payment of £300 will be paid out during the Winter of 2023/4
  • Finally, the Third Cost of Living Payment of £299 will be given out in Spring 2024


Mel Stride, the Secretary for Work and Pensions, stated:


“Our commitment to safeguarding the vulnerable will remain in effect and these payments, worth several hundred pounds, will offer essential help for those with the least income in the upcoming year.”

“The public sector’s more extensive aid program has already provided aid to over eight million households as we continue to face the international repercussions of Putin’s illicit conflict and the aftereffects of the health crisis.”


Jeremy Hunt, the Chancellor of the Exchequer, commented further, saying:


“I know these are tough times for families across the UK who are struggling to meet rising food and energy costs, driven by the aftershocks of Covid and Putin’s war in Ukraine.”

“That’s why we’re putting a further £900 into the pockets of over 8 million low income households next year. These payments are on top of above inflation increases to working-age benefits and the Energy Price Guarantee, which is insulating millions from even higher global gas prices.”

“Tackling inflation is this government’s number one priority and is the only way to ease the strain of high prices, drive long term economic growth and improve living standards for everyone.”

Eligible individuals will be paid without having to apply – there is no need to do so. Those who qualify for the Cost of Living Payments and receive tax credits, but not any other kind of means-tested benefits, will get a payment from HMRC shortly after the DWP payments have been distributed.

To assist households in dealing with the increasing prices of goods due to the global pandemic and the conflict in Ukraine, the Government has provided an extensive support package. These payments are part of it.

The Government’s Energy Price Guarantee is still in place, providing households with an average savings of £900 for this winter and another £500 in 2023/24. From April 2023, the majority of working-age benefits and the State Pension will be raised by inflation, amounting to a 10% increase. Furthermore, April will see the maximum ever cash rise to the National Living Wage, with it reaching £10.42 per hour. Moreover, the Household Support Fund in England and the devolved nations will be extended for one more year, with a total budget of £1 billion.


On top of the assistance given in 2022, the package also included:

  • A Cost of Living payment of £650 was issued to benefit claimants who passed the means test. This payment was split in two, providing aid to more than 8 million households.
  • In addition, over 8 million pensioners and 6 million disabled people received payments of £300 and £150, respectively.
  • All households in Council Tax bands A-D were given a rebate of £150 on their Council Tax.
  • All households were also given a discount of £400 on their energy bills, which will remain valid until March.

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