More than eight million UK households receiving benefits will receive £326 by the end of July, with a second payment of £324 due in the autumn. It is part of a £37 billion government package to assist families as their energy, food, and fuel bills skyrocket. According to the consumer group Which?, the money will “provide relief to many.” “The success of these measures will ultimately be judged by whether financial help is getting to the most vulnerable in time to help them through this cost of living crisis,” policy director Rocio Concha added. In May, the energy regulator Ofgem predicted that the average household energy bill would rise by £800 in October, to £2,800 per year. In April, bills had already risen by £700 on average. The two cost-of-living payments, totaling £650, will be paid automatically to anyone receiving benefits in England, Wales, Scotland, or Northern Ireland. People must have started a successful benefits claim by May 25 to be eligible for the first instalment. The government stated that the money would be tax-free and would not count against someone’s benefit cap. We have a responsibility to protect those who bear the brunt of rising inflation, and we are stepping up to assist,” said Chancellor Rishi Sunak. According to the government, the second cost of living payment will be announced soon. The policy was announced in May as part of a package of measures to combat rising living costs. This came after intense public pressure on the government to do more to assist people. This autumn, all homes in the UK, regardless of income, will receive £400 to help with energy bills, in addition to a previously announced £150 council tax rebate. In addition to the £650 cost-of-living payment, there will be a separate £300 payment for pensioners and a £150 payment for disabled people.
