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PIP claimants could get up to £2,000 cost of living payment – full guide and dates

today1 July 2022 1

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PIP claimants could get up to £2,000 in cost of living payments this year. Those who receive the DWP Personal Independence Payment benefit are set to get a bonus payment to help with rising living costs.

Most claimants will get at least £700 and there are ways to claim more. The PIP benefit is for people who have health problems or disabilities that affect their daily lives and mobility.

Birmingham Live reports that over a third of PIP claimants need help because they have been diagnosed with anxiety, depression, mood disorders or stress. Other conditions that claimants have are musculoskeletal, neurological or respiratory disease.

Read more: DWP confirms the 5 groups of people who will get £650 cost of living payment first

Chancellor Rishi Sunak has promised to help Brits battle through the cost of living crisis by offering another £15billion of support, on top of the £22billion previously announced. An array of different schemes will provide cash via benefit accounts, local authorities and energy providers, leaving some people struggling to get to grips with what they’ll receive or have to claim – and when.

What’s included in the PIP claimants’ cost of living package?

Below we have detailed what cost of living support is being offered to those on Personal Independence Payment so you can clearly see what cash is coming your way this year:

1. £150 Disability Cost of Living Payment

WHEN: From September 2022

This is going to around six million people across the UK who receive health and disability benefits including PIP. The single lump sum payment will go to those who get any of the following:

  • Attendance Allowance
  • Constant Attendance Allowance
  • Disability Living Allowance for adults
  • Disability Living Allowance for children
  • Personal Independence Payment
  • Adult Disability Payment (in Scotland)
  • Child Disability Payment (in Scotland)
  • Armed Forces Independence Payment
  • War Pension Mobility Supplement

In order to get the £150, you must have been eligible for one of the above benefits on May 25, 2022. It will be paid into benefit accounts from this September, the DWP confirmed.

If you get a qualifying disability benefit from the Ministry of Defence (MOD) as well as a qualifying disability benefit from DWP, you will only get the £150 Disability Cost of Living Payment from DWP.

2. £150 Council Tax Rebate

WHEN: April 2022 to September 30, 2022

This is a sum paid via the council tax payment system, intended to help with energy bills. It will go to every household in bands A-D and your council has been instructed by the Government to pay it out to you by the end of September. Millions of people have already received it.

If you do not have a direct debit set up with the local authority for council tax payments, you may have to put in a claim for the money. Alternatively, some councils are sending out vouchers to those without debits that can be redeemed at the post office, or it could (as a last resort) end up being applied as a credit on your council tax bill. Check with your council, local councillor or welfare agency if you do not have a direct debit and are not sure how to get the money.

3. £400 Energy Bills Support Scheme

WHEN: From October 2022

Originally, the Government had announced a £200 energy rebate that would have had to be repaid over the following five years, in £40 instalments. But it has since changed this scheme, doubling it to £400 and making it a non-repayable grant.

The money will come from energy suppliers. All households with a domestic electricity meter will get the cash over a six-month period from October, while direct debit and credit customers will see it credited to their energy account. Customers with pre-payment meters will get the money applied to their meter or paid via a voucher.

Households without a domestic electricity supply contract will not be eligible for the scheme, the Government’s Department for Business, Energy & Industrial Strategy (BEIS) said.

Some may be excluded because of the way their energy is paid for. Tenants whose energy bill is part of an all-inclusive rent payment may not receive the £400 as the money would go to the landlord, with Citizens Advice warning that more than half a million people around the UK could miss out if property owners fail to pass on the rebate. Caravan owners whose usage is included in a fee paid to the site owner also won’t get the cash.

The Government says in its guidance: “We recognise that there are certain situations where a third party will be responsible for the bill (and be named on it). In these situations, any charges should then be passed onto the end user, typically through all-inclusive rent (landlord or tenant) or pitch charges (for example park homes). We are exploring this issue as we continue to develop the policy.”

Anyone living off the electricity grid will not qualify for the payment. Ofgem estimates there are around 500 to 2,000 households in the UK that are not on mains power but rely on other sources of fuel such as wood, coal, or propane gas cylinders.

4. £300 Pensioner Cost of Living Payment

WHEN: November/December 2022

Some older people on PIP also get the State Pension and therefore qualify for the regular annual Winter Fuel Payment. So they will be eligible for this new £300 one-off boost too.

If you are already receiving PIP when you get a State Pension, you will continue to get it. But you cannot put in a new claim for PIP once you hit retirement age. We looked at the rules on PIP and State Pension in this earlier guide.

Any PIP recipients who also get the State Pension can expect to get the £300 extra on top of their regular Winter Fuel Payment. It could mean a total winter payment of up to £900 this year.

The Government said: “Pensioners are disproportionately impacted by higher energy costs, and many low-income pensioner households do not claim the means-tested benefits they are entitled to. This additional one-off payment will go to the over 8 million pensioner households across the UK who receive the Winter Fuel Payment and will be paid on top of any other one-off support a pensioner household is entitled to, for example where they are on pension credit or receive disability benefits.”

Eligible households typically receive between £200-£300 in Winter Fuel Payment, so the additional amount will represent at least double the support for this winter. People will qualify for this payment if they are over the State Pension age (aged 66 or above) between September 19-25, 2022.

5. £650 Cost of Living Payment

WHEN: First part from July 14, 2022, second part in autumn

Anyone on PIP, or another health/disability payment, who also gets one of five qualifying means-tested benefits will be eligible for this £650.

You should get two lump sums of £326 and £324 from the DWP if you’re getting any of the following:

  1. Universal Credit
  2. income-based Jobseeker’s Allowance (JSA)
  3. income-related Employment and Support Allowance (ESA)
  4. Income Support
  5. Pension Credit

Most of the first payments of £326 will be made between July 14, 2022, and the end of that month. The second part will come in the autumn, with the exact date to be announced later.

In addition, HMRC will give a similar £650 payment to those on Working Tax Credit and Child Tax Credit, but on different dates. In these cases, the first payment of £326 will be delivered in the autumn and the second payment of £324 sometime this winter.

6. £200 from £1.5bn Household Support Fund

WHEN: From now until March 2023

The Household Support Fund has been given an extra £500 million by the DWP and will now continue until March 2023. The fund is distributed to local authorities who decide how to hand out the cash to people in their area, so payments will vary from area to area.

When the first fund was announced, Birmingham City Council was awarded £12.8 million. It handed Birmingham Voluntary Service Council (BVSC) £4 million to provide grants to all age groups and households through existing welfare support channels. This delivered financial payments in the region of £100 per household with a maximum £200 payment, reaching between 17,500 to 35,000 households across the city. Adult social care received £850,000 which included emergency fuel payments.

DWP guidance says the cash can be used to help with food, utility bills, household essentials and other costs. The five types of support that will be available are detailed here, with Birmingham City Council saying financial support will be made available through a local hardship grant scheme, delivered by local community organisations.

The Government says it will issue guidance to councils “to ensure support is targeted towards those most in need of support, including those not eligible for the Cost of Living Payments.” Check with your local council or welfare organisation to see if you qualify for help.

7. £150 via £144m Discretionary Fund

WHEN: Varies by local authority

The Government has also provided local authorities with £144 million of discretionary funding. This is aimed at helping those who do not qualify for the £150 Council Tax Rebate, for instance if they are in higher council tax bands (E to H) or in a property in bands A to D that is exempt from council tax.

It might also be an option if a tenant’s rent includes an amount for council tax and their landlord does not pass on the £150.

Many councils seem to be providing a similar amount of £150 but it will vary. Check with your local authority to see what they are doing if you are not eligible for the standard £150 Council Tax Rebate for those in bands A-D.

Total amount

All the payments above amount to £2,000. Most people on PIP should get the first three payments on our list, a total of £700. Depending on circumstances you could get far more and our guide gives an idea of what to check for so you do not miss out on money you are entitled to receive. Check what state support you may be missing by using a benefits calculator.

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Written by: thehitnetwork

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