Millions of low income UK households will receive £301 directly from the Department for Work and Pensions (DWP) between 25 April and 17 May.

This is the first of three payments totalling up to £900 for households on means-tested benefits, such as Universal Credit or Pension Credit, in 2023/24.

There will also be further payments worth £150 for eligible disabled people and £300 for pensioners due later this year, meaning the most vulnerable can receive up to £1,350 in help from the government.

The £301 payment will be sent out automatically and directly to recipients, meaning those eligible do not need to apply or do anything to receive it.

The payment reference for bank accounts will be DWP COLP, along with the claimant’s National Insurance number.

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Mel Stride, secretary of state for work and pensions, said: “These payments will give a financial boost to more than eight million households as we continue to wrap our arms around the most vulnerable, while the best way we can protect people from high costs is to halve inflation by the end of this year.

“In the long term, we know work is the best route out of poverty, which is why we recently announced additional work coach support to help more people find work or increase their hours. Anyone looking to boost their skills or progress their career should speak to their work coach to ensure they’re accessing all the support the DWP can provide.”

Who qualifies for the cost of living payments?

People who receive any of the following benefits are eligible for the cost of living payments:

• Universal Credit
• Income-based Jobseekers Allowance
• Income-related Employment and Support Allowance
• Income Support
• Working Tax Credit
• Child Tax Credit
• Pension Credit

To be eligible for the Cost of Living Payment, you need to have been entitled to a payment for one of these benefits between 26 January and 25 February 2023, or payment for an assessment period ending between these dates.

Those who are eligible for the £301 cost of living payment solely through tax credits, and are not eligible through DWP means-tested benefits, will be paid by HMRC shortly after DWP payments begin. HMRC will publish specific details of when payments will be made to these customers along with the bank account payment reference.