Help with the cost of living

Chancellor Rishi Sunak has delivered a statement in the House of Commons outlining the Government's plans to support people in the face of rising costs of bills and food via the Cost of Living Support package. Around three-quarters of the total support will go to vulnerable households.
        
The most vulnerable households across the UK will receive support of at least £1,200 this year, including a new one-off £650 cost of living payment. This new £15 billion support package is targeted towards millions of low-income households and brings the total cost of living support to £37 billion this year.
  
Energy Profits Levy
 
The Chancellor confirmed that the Government will introduce a temporary levy on the profits of oil and gas companies at a rate of 25%. He said that the sector is making "extraordinary profits", due to surging global commodity prices driven in part by the war in Ukraine, and that these profits must be taxed fairly and incentivise investment. The levy will raise around £5 billion over the next year. The new 80% Investment Allowance will mean businesses will get a 91p tax saving for every £1 they invest – providing them with an additional, immediate incentive to invest. This nearly doubles the tax relief available and means the more investment a firm makes, the less tax they will pay.
  
The levy will be phased out when prices return to more normal levels and the more a company invest the less tax they will pay.
  
£650 one-off Cost of Living Payment for those on means tested benefits
  
Around eight million of the lowest income households will be sent a one-off payment of £650. This includes all households receiving the following benefits:

• Universal Credit
• Income-based Jobseekers Allowance
• Income-related Employment and Support Allowance
• Income Support
• Working Tax Credit
• Child Tax Credit
• Pension Credit

DWP will make the payment in two lump sums – the first from July, the second in the autumn. Payments from HMRC for those on tax credits only will follow shortly after each to avoid duplicate payments. This payment will be tax-free, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
  
Energy Bills Support
  
The £200 loan for energy bills will now be a grant that no longer needs to be paid back and it will be increased to £400.
  
Energy suppliers will deliver this support to households with a domestic electricity meter over six months from October. Direct debit and credit customers will have the money credited to their account, while customers with pre-payment meters will have the money applied to their meter or paid via a voucher.
  
One-off £300 Pensioner Cost of Living Payment
  
From the autumn, over eight million pensioner households will receive an extra winter fuel payment of £300.
  
This additional one-off payment will go to 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.
  
The Winter Fuel Payment (including the extra Pensioner Cost of Living Payment) is not taxable and does not affect eligibility for other benefits.
  
£150 Disability Cost of Living Payment
  
Around six million people across the UK who receive the following disability benefits will receive a one-off payment of £150 in September:

• Disability Living Allowance
• Personal Independence Payment
• Attendance Allowance
• Scottish Disability Benefits
• Armed Forces Independence Payment
• Constant Attendance Allowance
• War Pension Mobility Supplement  

£500m increase and extension of Household Support Fund
  
The Government is providing an extra £500 million of local support, via the Household Support Fund, which will be extended from this October to March 2023.

You can find out more about the help here: Cost of living: What Rishi Sunak's help means for you - BBC News or if you are struggling with debt or finding it difficult to keep up with your rent and bills?

If you are it's important that you get in touch with our Financial Support Team as soon as possible so we can help.

We will talk you through your options and offer you information to help you manage your money.

We can also support you to:

• get all of the benefits that you are entitled to 
• help you manage your rent and other bills
• budget your money
• access better deals
• review your debt options

To speak with our Financial Support Team, fill in the form on our website Money Worries - Origin Housing, email FSO.Support@originhousing.org.uk or call us on 0300 323 0325. This service is completely free. 

You can also find lots of free debt advice services by using the Money Advice Service where to get free debt advice tool.