Almost one in four low-income households in England, Wales, Scotland and Northern Ireland will receive £326, with the second installment of £324 sent this autumn as part of the Government’s £37bn support package for those receive benefits based on criteria. Those eligible for the cash will be paid automatically and do not need to apply. The first installment will arrive by the end of the month. This means that, combined with other support, millions of low-income households across the UK will receive at least £1,200 from the Government until Christmas to ease cost of living pressures. Read more: Where are prices rising the fastest? How the cost of living crisis has affected your area In addition, nearly one in ten people will receive £150 disability benefit this autumn and more than eight million pensioner households could receive an extra £300 from their winter fuel payments in November and December. And from October, £400 will be deducted from household energy bills. In addition, the threshold at which National Insurance starts was increased from £9,880 to £12,570 on 6 July. However, this followed a 1.25 percentage point rise in NI from April to help pay for health and social care. Image: The price of fuel has skyrocketed Prime Minister Boris Johnson said: “Just as we looked after people during the lockdown, we will help them get through these tough economic times. “Today’s payment is a message to millions of families that we are on their side and we have already promised more cash in the autumn, along with other measures – including Household Help – to support the vulnerable and ease the burden.” Chancellor Nadhim Zahawi said: “It’s great that millions of families most in need are starting to receive their living costs payments, which I know will be a huge help to people who are struggling.” The need for such support is underlined by figures from the Office for National Statistics, which found in late June and early July that 91% of adults in Britain said their living costs had risen compared to the previous month. Just under half (49%) said they bought less food and 48% said they had to spend more than normal to get what they usually buy. In addition, the majority had taken at least one action to save energy in the past year. The Office for Budget Responsibility has warned of a possible recession, with “rising energy costs” and “geopolitical tensions” in the mix. He said: “Many threats remain, with rising inflation pushing the economy into recession, continued uncertainty about our future trading relationship with the EU, a resurgence of COVID cases, a changing global climate and rising interest rates that continue to fiscal perspectives are pending”.
