As inflation continues to squeeze household budgets across the UK, the government has announced a one-off £90 Cost of Living Payment for eligible low-income families. This move comes as part of a broader strategy to cushion financially vulnerable groups from the ongoing cost crisis. If you receive certain means-tested benefits, this support could land directly in your account—no application needed.
Designed to ease the pressure of food, utility, and daily essentials, this payment is part of the UK’s growing Household Support Fund—an initiative aimed at helping the most affected communities survive economic uncertainty. But who actually qualifies, how does the process work, and when can you expect to see this money?
Understanding the £90 Cost of Living Payment
The £90 Cost of Living Payment is a one-time financial support provided by the Department for Work and Pensions (DWP). It targets households that are already receiving specific benefits, helping them cover basic expenses during tough economic times.
This payment is not universal. Instead, it is intended for a specific group of people—mainly those receiving means-tested benefits. No action is needed from the recipient’s side if they meet the criteria; the payment is expected to be processed automatically.
While £90 may not seem like a massive sum, for many families living paycheck to paycheck, it offers a temporary lifeline.
Who Qualifies for the £90 Payment?
Eligibility for the payment is tied to receiving one or more of the following benefits:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Pension Credit
If you’re currently receiving any of the above, you’re highly likely to qualify for this payment. However, benefit records must be up to date, and it’s important to ensure that all personal information, including bank account details, is current.
When Will the £90 Payment Be Made?
The government has confirmed that the payment will be rolled out in the 2025 financial year, although an exact date has not been announced. Households that qualify should expect the funds to arrive automatically, with no need to apply.
If you don’t see the money arrive by the expected timeframe, you may need to verify your status with the Department for Work and Pensions (DWP).
How Will the Payment Be Issued?
For most households, the process is simple and automatic. The £90 will be sent via bank transfer directly into the account registered with your benefits. Some local councils may also issue payments via cheques or vouchers, depending on specific circumstances.
It’s vital to check your communication preferences and bank details on file to avoid delays.
What If You Don’t Receive the Payment?
If you’re certain you meet the eligibility criteria but don’t receive the payment, you should take a few steps to clarify your situation:
- Check Your Benefit Status: Ensure your benefits are active and you’re receiving one of the qualifying forms of support.
- Update Personal Details: Verify that your bank and contact details are accurate with your local council or the DWP.
- Reach Out to DWP: If issues persist, contact DWP directly for assistance and guidance.
Being proactive ensures you don’t miss out on payments that could ease the burden of rising costs.
How to Apply (If Needed by Local Councils)
In rare cases, especially where payments are distributed through local councils, you may need to complete a brief application. Here’s what to do:
- Find Your Local Council: Use the council finder tool on GOV.UK.
- Confirm Eligibility Requirements: Different councils may have slight variations.
- Submit Financial Information: If requested, upload or provide proof of income and benefit status.
- Await Confirmation: Once approved, your payment will be processed via your chosen method—bank, cheque, or voucher.
Most payments, however, will require no application at all.
How This Fits into the Household Support Fund
The £90 payment is part of a larger initiative under the Household Support Fund, a government program launched to help vulnerable groups afford basic necessities. Other support under this fund includes:
- Free school meal vouchers
- Help with utility bills
- Emergency housing or heating support
Together, these measures are aimed at reducing the financial burden on struggling households across the country.
Tips for Managing Living Costs More Efficiently
Even with temporary government support, managing finances wisely is essential. Here are some simple strategies:
Reducing Utility Costs
- Switch energy suppliers for better rates.
- Unplug unused electronics to save power.
- Use energy-efficient appliances and insulation.
Smart Grocery Shopping
- Create weekly meal plans to avoid unnecessary purchases.
- Shop at discount supermarkets and take advantage of loyalty points.
- Buy in bulk when possible, especially non-perishable items.
Transportation Savings
- Use public transportation whenever feasible.
- Apply for travel cards or discounts for regular commutes.
- Consider carpooling with neighbors or coworkers to cut down on fuel costs.
These small steps can make a notable difference over time, especially when combined with short-term financial aid like the £90 payment.
FAQs
Who is eligible for the £90 Cost of Living Payment?
Anyone currently receiving Universal Credit, JSA (income-based), ESA (income-related), Income Support, or Pension Credit may qualify.
Do I need to apply to get the payment?
No. If you meet the criteria, the payment is issued automatically into your bank account.
When will the payment be made?
While exact dates aren’t confirmed, the payments are scheduled for the 2025 financial year. Keep an eye on DWP updates.
Can this payment be combined with other benefits?
Yes. This payment is a separate one-off support and does not affect your regular benefit amounts.
What if I haven’t received the payment but I think I qualify?
Contact DWP or your local council to verify your benefit status and ensure all information is up to date.
What is the Household Support Fund?
It’s a broader government initiative that includes the £90 payment and other forms of assistance like food vouchers and energy grants.
How will I receive the payment?
Most households will get it via bank transfer, though some may receive cheques or vouchers depending on the issuing authority.
Is this payment taxable or does it impact other benefits?
No, the £90 payment is non-taxable and won’t reduce other benefits you receive.
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Aanchal is a passionate writer with a keen interest in storytelling, content creation, and creative expression. She enjoys exploring diverse topics and crafting engaging narratives that captivate readers.
