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400,000 families in Wales to receive cost of living payment this spring

07 Feb 2023 3 minute read
The first cost of living payment will land in bank accounts this spring

Over 400,000 families in Wales on means-tested benefits will automatically receive £301 this spring.

The payment will be the first of five cost of living payments for the most vulnerable households, including pensioners and disabled people.

People on disability benefits in Wales will receive a £150 payment in the summer.

Secretary of State for Wales David TC Davies said: “It’s good to see that over 400,000 of those most in need in Wales are getting financial support from the UK Government with direct payments.

“We recognise the impact of the current high cost of living, and we are doing all we can to provide help to the most vulnerable households.

“This is just one part of a wider package of support we’ve put in place to combat the effects of high inflation caused by current global pressures.”

Exact payment windows and qualifying periods for eligibility are yet to be announced but will be broadly as follows:

  • £301 – First 2023/24 Cost of Living Payment – during Spring 2023
  • £150 – 2023 Disability Payment – during Summer 2023
  • £300 – Second 2023/24 Cost of Living Payment – during Autumn 2023
  • £300 – 2023 Pensioner Payment – during Winter 2023/4
  • £299 – Third 2023/24 Cost of Living Payment – during Spring 2024


Work and Pensions Secretary, Mel Stride said: “These direct payments will help people right across the UK over this year and the start of the next, as we continue to provide consistent, targeted and substantial support for the most vulnerable.”

There are several benefits that could make claimants eligible for the £301 Cost of Living Payment, including Universal Credit and tax credits.

5.4 million households across the UK are expected to qualify for payments along with 1.4 million pensioner households.

1.3 million will be eligible for payments through legacy DWP benefits such as Jobseekers Allowance and Income Support.

Chancellor of the Exchequer, Jeremy Hunt said high inflation had been “exacerbated by Putin’s illegal war” and is impacting economies across the world.

He added: “These payments are the next part of the significant support we are providing through this challenging time, with millions of vulnerable households receiving £900 directly into their bank accounts this financial year alongside additional help for pensioners and those with disabilities.

“This latest payment will provide some temporary relief, but the best thing we can do to help families and businesses is to stick to the plan to halve inflation this year.”

The payments will automatically land in the bank accounts of those eligible and individuals do not need to apply.

Those eligible for cost of living payments through tax credits, and no other means-tested benefits, will be paid by HMRC shortly after DWP payments are made.

Benefits will also rise in line with inflation from April, which will see a 10.1% increase for pensioners and those on the lowest incomes, whilst the National Living Wage will see its biggest ever cash rise, bringing it to £10.42 an hour.

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