London Daily

Focus on the big picture.
Wednesday, Jul 09, 2025

Cost of living: More than eight million households get £326 in their account from today

Cost of living: More than eight million households get £326 in their account from today

Those entitled to the cash will be paid automatically and do not need to apply.

More than eight million households will start receiving the first of two payments intended to help with the cost of living from today.

Almost one in four low-income households in England, Wales, Scotland and Northern Ireland will get £326, with the second instalment of £324 sent this autumn as part of the government's £37bn support package for those on means-tested benefits.

Those entitled to the cash will be paid automatically and do not need to apply. The first instalment 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 by Christmas to ease cost of living pressures.

On top of that, nearly one in ten people will get a £150 disability payment this autumn, and more than eight million pensioner households could get an extra £300 from Winter Fuel Payments in November and December.

And from October, £400 will be taken off households' energy bills.

In addition, the threshold at which National Insurance kicks in increased from £9,880 to £12,570 on 6 July.

However, that followed a 1.25 percentage point increase in NI from April to help pay for health and social care.

The price of fuel has shot up


Prime Minister Boris Johnson said: "Just as we looked after people during lockdown, we will help them get through these tough economic times.

"Today's payment is the signal to millions of families that we are on their side and we have already promised more cash in the autumn, alongside other measures - including our Help for Households - to support the vulnerable and ease the burden."

Chancellor Nadhim Zahawi said: "It's great that millions of the families who are most in need are starting to receive their cost of living payments, which I know will be a massive help for 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 increased over the previous month.

Just under half (49%) said they were buying 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 potential recession, with "soaring energy costs" and "geopolitical tensions" in the mix.

It said: "Many threats remain, with rising inflation potentially tipping the economy into recession, continued uncertainty about our future trading relationship with the EU, a resurgence in COVID cases, a changing global climate, and rising interest rates all continuing to hang over the fiscal outlook."

Newsletter

Related Articles

0:00
0:00
Close
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
Poland Implements Border Checks Amid Growing Migration Tensions
Political Dispute Escalates Between Trump and Musk
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
US Senate Votes to Remove AI Regulation Moratorium from Domestic Policy Bill
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
Jury Deliberations in Diddy Trial Yield Partial Verdict in Serious Criminal Charges
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
×