HMRC £300 cost of living payment for thousands from today

HM Revenue and Customs (HMRC) is making the payments to eligible tax credits customers across the UK between November 10 and 19. 

In addition, more than 7 million eligible UK households are receiving £300 directly from the Department for Work and Pensions (DWP) between October 31 and November 19.

It is the second of three payments, totalling £900, across the 2023/24 tax year.

Angela MacDonald, HMRC’s Deputy Chief Executive and Second Permanent Secretary, said: “The £300 Cost of Living Payment will deliver further financial support to eligible tax credits customers across the UK. Another payment will be made by spring 2024 to those entitled to receive it.

“HMRC customers will receive the payment automatically, with no action required from them, to make this as simple as possible.”

Chief Secretary to the Treasury, John Glen, added: “I know Christmas can be a difficult time, which is why this £300 payment will come as a welcome boost for hundreds of thousands of families. But the best help we can give is halving inflation this year.” 

People on Tax Credits do not need to do anything to receive a payment.

If they are eligible, payment will be made automatically into the bank account where they receive their tax credits. They do not need to contact HMRC or apply for the payment. 

The HMRC payment will appear on bank statements as ‘HMRC COLS’, referencing Cost of Living Support.

If customers have not received the Cost of Living Payment from HMRC, but believe they are eligible, they should wait until after 20 November before contacting HMRC.

This is to allow time for their bank, building society or credit union to process the payment.

DWP £300 cost of living payment eligibility

To be eligible for the latest cost-of-living payment from the DWP, someone needs to have been entitled to a payment for a qualifying benefit between August 18 and September 17, or a payment for an assessment period, ending between these dates.

From HMRC, they need to have received a payment of tax credits for any day between August 18 and September 17.

There are several benefits that could make claimants eligible for the cost of living payment, including Universal Credit and tax credits – through which 5.4 million households across the UK are expected to qualify, and Pension Credit, through which 1.4m pensioner households are expected to be paid while 1.3m will be eligible through legacy DWP benefits such as Jobseekers Allowance and Income Support, reaching a total of 8.1m households.

Eligible individuals do not need to apply for payments, as they are made automatically. 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.

DWP cost of living payment dates 23/24

The exact payment dates are yet to be announced by the DWP, but this is when to expect each individual payment over the next year:

• Second cost of living payment - £300 – October 31 to November 19
• Pensioner payment - £300 – Winter 2023
• Third cost of living payment - £299 – Spring 2024