The Department for Work and Pensions (DWP) issued the final £299 Cost of Living Payment between 6 and 22 February 2024. This payment was meant to support low-income households receiving qualifying benefits. If you expected this support and it didn’t arrive, here are the five most likely reasons why.
1. Nil Award During the Eligibility Window
A “nil award” happens when your benefit amount is reduced to £0 during the assessment period. This could happen if:
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Your earnings or savings increased
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You received multiple payments in one month
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You were sanctioned for failing to meet benefit requirements
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You started receiving another benefit that affected your existing claim
Even if you receive a nil award, you might still qualify if deductions (such as rent or debt repayments) brought your payment to zero.
2. You Only Receive Non-Qualifying Benefits
The £299 payment was only issued to those on specific means-tested benefits. If you were receiving only:
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New Style Jobseeker’s Allowance
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New Style Employment and Support Allowance
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Contribution-based benefits
you were not eligible for this Cost of Living Payment.
3. You Weren’t Receiving a Qualifying Benefit in Time
To receive the payment, you must have been entitled to at least one of the following between 13 November and 12 December 2023:
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Universal Credit
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Income-based Jobseeker’s Allowance
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Income-related Employment and Support Allowance
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Income Support
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Pension Credit
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Child Tax Credit
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Working Tax Credit
If you weren’t actively receiving one of these during the eligibility window, the payment would not be issued.
4. Bank Account Changes or Late Benefit Decisions
If your bank details changed around the time of the payment window, the deposit may have been delayed. Similarly, if your benefit was awarded after the payment window ended, the DWP might not have processed your entitlement in time.
You may still be paid later if your benefit is backdated to cover the qualifying period.
5. It Was Paid to a Joint Claim Household Member
For joint claims, only one £299 payment is issued per household. If you and your partner both receive qualifying benefits under a joint claim, the payment is made to the designated account holder.
Check with your partner or co-claimant if you believe the household received the payment but you didn’t personally see it.
What You Should Do Next
If you believe you were eligible and still haven’t received the payment:
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Gather your National Insurance number
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Collect details of the benefit you receive and the account it’s paid into
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Contact the relevant DWP or HMRC helpline to report the missing payment
Make sure your information is current and correct, including bank details and your benefit claim status.
FAQs
What is a nil award?
A nil award means your benefit amount was reduced to £0, usually due to increased earnings, changes in income, or sanctions.
Can I still receive the payment if my benefit was awarded after the deadline?
Yes, if the benefit is backdated to cover the eligibility period, you may still be paid the £299.
Do I need to apply to receive the Cost of Living Payment?
No application is needed. The payment is issued automatically to those who meet the criteria during the qualifying period.
Will these payments continue in 2025?
There is no official announcement yet about additional Cost of Living Payments for 2025, but standard benefits are expected to increase.
Does the payment affect my other benefits?
No, the £299 payment is tax-free and does not impact other benefits or credits you are entitled to 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.