London Daily

Focus on the big picture.
Friday, Apr 10, 2026

Cost of living: how the payments affect people in various scenarios

Cost of living: how the payments affect people in various scenarios

From low-income families to pensioners, we look at what the payments mean depending on circumstances

The government has responded to the cost of living crisis with the announcement of a package of measures. Here we look at the impact on a range of different people.

Family with three children living in a council tax band D property


Like everyone else they will receive the chancellor’s £400 payment in October. They have already received the £150 council tax rebate, paid in April, so by the end of the year will have had £550 worth of government support.

Low-income pensioner living in a band C property


She will get the £300 pensioner cost of living payment which will come with her winter fuel payment in November or December. Because she receives pension credit she will also get the £650 one-off cost of living payment linked to means-tested benefits (made in two parts, one in July and one in the autumn).

Her band C home means she was entitled to the £150 council tax rebate in April. She will also receive the £400 energy discount in October.

She qualifies for the warm home discount because she is on pension credit. That will be worth £150 next winter, up from £140 last year.

Pensioner living in a band E property


This pensioner receives attendance allowance to help with their care, so they are entitled to the £150 disability cost of living payment, as well as the £300 pensioner payment.

They did not receive a council tax rebate, but will get £400 off energy bills from October.

Low-income family with two children living in a band A property


They will get £400 off their energy bill in October. They claim working tax credit so qualify for the one-off cost of living payment linked to mean-tested benefits of £650.

They have already qualified for the £150 council tax rebate. They currently don’t get the warm home discount but might do next winter as eligibility is to be expanded.

Single parent with a disability in a band C property


He does not receive any means-tested benefits so does not qualify for the £650 payment associated with those, but will get the £150 disability cost of living payment.

The £400 discount in energy bills from October and the £150 council tax rebate will partially offset his energy bill rise.

Well-off family living in a band G home


This family will get the £400 reduction from their energy bills. They did not qualify for the £150 council tax rebate, and won’t get any of the other payments.

Newsletter

Related Articles

0:00
0:00
Close
UK Foreign Secretary Highlights Impact of Intensified Strikes in Lebanon
UK Urges Inclusion of Lebanon in US-Iran Ceasefire Framework
UK Stocks Ease as Ceasefire Doubts in Middle East Weigh on Investor Confidence
UK Reassesses Cloud Strategy Amid Criticism Over Limited Support Measures
UK Calls for Full and Toll-Free Access Through Strait of Hormuz Amid Rising Tensions
Starmer Signals Strategic Shift for Britain Amid Escalating Iran-Linked Tensions
UK Issues Firm Warning to Russia Over Covert Underwater Military Activity
OpenAI Halts Stargate UK Project, Casting Uncertainty Over Britain’s AI Expansion Plans
Starmer Voices Frustration Over Global Pressures Driving UK Energy Costs Higher
UK Deploys Military Assets to Protect Undersea Cables From Suspected Russian Threat
Canada Aligns With US, UK and Australia as Europe Prepares Major Digital Border Overhaul
Meghan Markle’s Planned Australia Appearance Sparks Fresh Speculation
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
UK to Partner with Shipping Industry to Rebuild Confidence in Strait of Hormuz, Cooper Says
UK Interest Rate Expectations Ease Following US–Iran Ceasefire Agreement
Starmer Signals Major Effort Needed to Fully Reopen Strait of Hormuz During Gulf Visit
UK Fuel Prices Face Ongoing Volatility Amid Global Pressures and Domestic Factors
Kanye West’s Planned Italy Festival Appearance Draws Debate After UK Entry Ban
Smuggling Routes Shift Toward Belgium as Migrant Crossings to UK Evolve
Ceasefire Offers Potential Relief for UK Fuel and Food Prices Amid Ongoing Uncertainty
Iran Conflict Raises Questions Over UK’s Global Influence and Military Preparedness
Senator McConnell Visits Kentucky to Highlight Federal Investment in Local Projects
Kanye West Barred from Entering UK as Legal Grounds Come into Focus
UK Denies Visa to Kanye West After Sponsors Withdraw from Wireless Festival
Trump-Era Forest Service Restructuring Leads to Closure of UK Lab Focused on Kentucky Woodland Health
Foreign Students in the UK Describe Harsh Living Conditions and Financial Pressures
Reform UK Proposes Visa Restrictions on Nations Pursuing Reparations Claims
Public Reaction Divides Over UK Decision to Bar Kanye West
Calls Grow for UK to Review US Base Access Following Concerns Over Escalating Rhetoric
UK Indicates It Will Not Permit Use of Its Bases for Potential US Strikes on Iran’s Energy Infrastructure
UK Prime Minister Defends Decision to Bar Kanye West, Questions Festival Booking
UK Accelerates Efforts to Harmonise Medical Technology Rules with United States
Wireless Festival Cancelled After Kanye West Denied Entry to the United Kingdom
Australia’s most decorated living soldier was arrested at Sydney Airport and charged with five counts of war-crime murder for the killing of unarmed Afghan civilians
The CIA’s Secret Technology That Can Find You by Your Heartbeat Successfully Locates Downed Airman
Operation Europe: Trump Deploys Vance to Hungary to Save the EU
King Charles Faces Criticism From Some UK Christians Over Absence of Easter Message
Former UK Defence Secretary Raises Concerns Over Ability to Counter Iran Missile Threat
UK Signals Non-Involvement in Iran Conflict as Trump Reasserts Firm Deterrence Stance
US and UK Strengthen Medical Device Cooperation Following Tariff Removal
Trump Backs Steve Hilton for California Governor, Highlighting Reform Agenda
UK Seeks Closer Ties With Anthropic as AI Policy Divergence Emerges Across Atlantic
Experts Warn of Evolving Extremism After Teens Arrested in UK Ambulance Arson Case
UK Convenes Talks to Safeguard Shipping Through Strait of Hormuz After Conflict Escalation
Trump Highlights Strong Leadership in Critique of UK Stance on Iran
UK Authorities Review Kanye West’s Entry Status Following Festival Backlash
UK Considers Deploying Aircraft Carrier for US Independence Day Celebrations Amid Renewed Transatlantic Focus
United Kingdom Moves to Attract AI Firm Anthropic Amid Tensions with US Defense Officials
RAF Intercepts Iranian Drones in Middle East to Defend Allied Security Interests
Labour Signals Shift on Foie Gras and Fur Restrictions to Advance EU Trade Talks
×