BANK BOOST
Millions to start receiving tax-free £299 lump sum within weeks – check if you’re eligible
Plus, the exact code you should look out for in your bank statement
MILLIONS of households on Universal Credit and other benefits will start receiving a £299 cost of living payment within weeks.
The Department for Work and Pensions and HMRC are issuing the third instalment of the £900 tax-free cash.
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The majority of households will receive the direct payment into their bank accounts between February 6 and February 22.
Those on tax credits only will receive the money from HMRC between February 16 and February 22.
This is to ensure those on other qualifying benefits as well as tax credits don't receive the same payment twice.
The full list of qualifying benefits is:
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- Universal Credit
- Income-based jobseekers allowance
- Income-related employment and support allowance
- Income support
- Working tax credit
- Child tax credit
- Pension credit
You need to have been entitled to any of the above benefits between November 13 and December 12 last year to be eligible for the £299.
However, if you were later found to be entitled you will qualify for the tax-free cash.
Anyone awaiting the payment will see it appear with a certain code in their bank statement.
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The payment reference for bank accounts will be the recipient's National Insurance number followed by DWP COL or HMRC COLS.
For example, if your NI number is JT 83 42 97B your payment will show up as "JT 83 42 97B DWP COL" or "JT 83 42 97B HMRC COLS" on your bank statement.
Anyone who qualifies for the £299 payment doesn't have to apply as it is made automatically.
It comes after the DWP and HMRC issued the first two instalments of the £900 cost of living money in 2023.
The first instalment worth £301 was paid out in April and May, while the second worth £300 was paid in October and November.
It follows the £650 cost of living payment made to over eight million people in 2022.
What other help is coming?
If you don't qualify for the £299 cost of living payment, or even if you do and still need help, there is other support on offer.
The Household Support Fund is one option. It is worth £842million and has been shared between councils in England.
They then decide how to distribute their portion.
But what you are entitled to varies on where you live as each local authority sets its own eligibility critera.
In the vast majority of cases, you will qualify if you are on benefits or a low income, or struggling financially.
You should approach your council to see if any help is on offer. You can find what council area you fall under by using the Government's council locator tool online.
You might also be able to claim a free grant from your energy firm if you're struggling to make payments.
British Gas, Octopus Energy and EDF are some of the major companies that offer help.
Eligibility requirements vary depending on the firm, but you'll usually have to provide evidence you're in energy debt or facing fuel poverty.
The Government classes fuel poverty as when a household has to spend a "high proportion" of its income to keep the temperature at a reasonable level.
It's worth checking if you qualify for benefits too, after the latest figures from analytics company Policy in Practice revealed £19billion worth of support goes unclaimed each year.
There are a number of free online calculators you can use to find out what you might be eligible for:
Not only could claiming benefits see you earn extra money from the benefits themselves, it could help you qualify for the £299 cost of living payment.
Meanwhile, anyone who pays for their energy with a prepayment meter might be able to get a fuel voucher to top up.
It comes via the Fuel Bank Foundation which provides emergency fuel vouchers to households in danger of running out of credit.
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They are worth £49 in the winter and £30 in the summer months, when the demand for heating is lower.
You can apply through your local council, which you can find using the Government's council locator tool.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected].
Plus, you can join our Facebook group to share your tips and stories.
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