Thousands on Universal Credit WON’T get £650 cost of living payment due to loophole
THOUSANDS on Universal Credit will miss out on the £650 cost of living payment due to a loophole in the rules.
Over 8million Brits on means-tested benefits will get the payment in two lump sums later this year.
However, the government website explains that if you have a joint benefit claim with a partner then you will only get one £650 payment.
It means that some households will only get one payment.
The guidance says: "If you have a joint claim with a partner, you will get one payment of £650 for both of you, paid in 2 lump sums from July 2022 and in autumn 2022, if eligible."
The new guidance could come to a shock to Brits expecting two payments for their households.
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Anna Stevenson, from Turn2us, said: “The one off £650 payment is a welcome cash injection to help people with the rising cost of living.
"However, the one size fits all flat rate payment to people on means tested benefits will result in all households receiving the same extra support regardless of the number of people in the household.
"Families claiming Universal Credit will have to make the same amount stretch between all of them, as opposed to single person households.
"According to the Resolution Foundation, families with three or more children, who already must stretch their Universal Credit payments due to the two-child limit, will also be more tightly squeezed as their bills are expected to rise by £500 more than those without children.
"The Chancellor needs to provide a more measured approach to the payment, ensuring people already struggling don’t fall through the cracks.”
The Sun has contacted the DWP for a comment.
Who get the £650 payment?
The £650 one-off cost of living payment will be paid in two chunks.
To get the first payment you will need to be on eligible benefits or have begun a successful claim which is later successful, as of May 25 2022.
The Department for Work and Pensions and HMRC will set out the eligibility date for the second payment in due course.
Those on the following benefits will get the £650 help, the government has said, known as the Cost of Living Payment.
- Income-based Jobseekers Allowance
- Income-related Employment and Support Allowance
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
We've previously explained which benefits don't qualify for the cash help.
Those who claim tax credits may have to wait longer for their cash.
How do you get the payment?
You don't need to do anything to get the £650 cost of living payment.
It will be given out automatically.
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The government is also paying a £300 to millions of pensioners and a £150 extra chunk to disabled Brits.
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The payments will be tax-free, and won't count towards the benefit cap or affect any benefits you're getting.
There are other payments and grants and you might be entitled to now if you're on benefits and are struggling to pay your bills - you can find out more about them here.
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