Thérèse Coffey David Rutley Britain country Department Target Thérèse Coffey David Rutley Britain

DWP clarifies reason New Style ESA claimants will not receive cost of living payment next month

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dailyrecord.co.uk

The Department for Work and Pensions (DWP) has clarified why people in the support group for New Style Employment and Support Allowance (ESA) will not be eligible for the £650 Cost of Living Payment.

Last week, the DWP confirmed that more than eight million low-income households across the UK will receive a cash payment of £326 from July 14 to ease the rising cost of living pressures, with a further payment of £324 due to land in bank accounts in the autumn.

However, not everyone on benefits is eligible for the extra £650 cash support, prompting Labour MP, Alex Sobel, to ask the Secretary of State for Work and Pensions, Dr Therese Coffey: “What basis her Department made the decision to exclude people in the support group for New Style Employment and Support Allowance from the £650 cost of living payment?” In a written response on June 17, DWP Minister David Rutley MP, explained: “The [UK] Government is committed to managing the public finances in a responsible way by targeting the £650 Cost of Living Payment support at the eight million low income means-tested households where it is most needed.” He clarified: “Contributory based Employment and Support Allowance is not a means-tested benefit.”Disabled people also receiving one of the means-tested benefits below will receive the £650 payment too:If you receive a DWP means-tested benefit and Tax Credits, DWP will pay the £650 in two parts as outlined above (£326 from July 14).If you only receive Tax Credits, HM Revenue and Customs (HMRC) will pay you in two instalments - once in the autumn and another in the winter.

No specific dates have been released yet. Full details of all Cost of Living Payments can be found on the GOV.UK website here.

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