London Daily

Focus on the big picture.
Sunday, Jun 21, 2026

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
UK Government Tightens Procurement Rules to Prioritise National Security and Supply Chain Resilience
National Drought Group Reviews Water Supply Risks After Dry Spring and Ongoing Heatwave
Andy Burnham Faces Leadership Speculation After Weak Local Election Results for Labour
Charity Commission Appoints Interim Managers to Barnabas Aid Amid Financial Investigation
Government Awards £27 Million Leonardo UK Contract to Maintain Military Aircraft Fleet
Environment Agency Suspends Chichester Waste Site Permit Over Fire and Pollution Risks
Border Force Seizes Record Cannabis Shipment in Major UK Criminal Network Disruption
Lloyds Banking Group to Hire 300 Artificial Intelligence Specialists in Digital Expansion Push
UK Government Introduces Alcohol Monitoring Tags for 7,000 Offenders Ahead of Summer Sporting Season
Resident Doctors in England Prepare Vote on Government Pay and Working Conditions Offer
Police Scotland Investigates Suspected Anti-Muslim Attacks in Edinburgh Following Arrest
Met Office Issues Rare Amber Extreme Heat Warning Across Southern and Eastern England
UK Government Unveils Digital Homebuying Reforms to Cut Costs and Speed Up Property Transactions
Train Driver Dies and 89 Injured in Rail Collision Near Bedford as Safety Investigation Begins
Long-Term Economic and Political Effects of Brexit Continue to Shape UK Policymaking
Digital Disinformation Emerges as a Growing National Security Challenge in the United Kingdom
Britain's Dependence on Global Energy Routes Drives Push for More Resilient Supply Chains
Rising Energy Costs Continue to Threaten Britain's Cost-of-Living Recovery
Concerns Grow Over Far-Right Organizing and AI-Driven Online Radicalization in Britain
UK-Led Global Partnerships Conference Calls for Reform of International Development Finance
Middle East Tensions Continue to Weigh on UK Business Confidence
Reports of Middle East Peace Deal Ease Pressure on UK Energy Prices
UK Warns Middle East Conflict Could Worsen Global Food Insecurity
UK Economy Loses Momentum After Strong Start to 2026
Bank of England Holds Interest Rates at 3.75% Despite Easing Inflation
Brexit's Legacy Remains Deeply Divisive Ten Years After the UK Voted to Leave the European Union
International Anti-War Conference Opens in London as Debate Over European Rearmament Intensifies
UK Health Authorities Introduce Drug Price Concessions Amid Record NHS Medicine Shortages
Sir David Attenborough Supports Sherwood Forest Conservation Efforts After Loss of Major Oak
Aardman Animations Marks 50 Years With Major Exhibition in Bristol
Drax Cleared After Investigation Into Wood Pellet Sourcing Practices
Jaguar Land Rover Shifts Toward Hybrid Vehicle Production for US Export Strategy
UK Police Arrest Liberal Democrat MP Cameron Thomas on Suspicion of Assault
Health Concerns Grow Over Elevated Kidney Cancer Rates Near Lancashire PFAS Factory
Royal Navy F-35 Jets Conduct First NATO Air Warfare Exercise from Finnish Airspace
UK NHS Issues Price Concessions for Medicines Amid Severe Drug Shortages
Heathrow Third Runway Project Faces Sharp Downward Revision in Expected Economic Benefits
Amber Heat Warning Issued Across Parts of England and Wales as Temperatures Rise
Train Collision Near Bedford Disrupts UK Rail Network and Leaves Multiple Injured
Bank of England Data Suggests Brexit Has Reduced UK Economic Output by Around Six Percent
UK Borrowing Costs Hold Near 4.8 Percent as Political Uncertainty Fuels Market Pressure
Andy Burnham Emerges as Front-Runner to Succeed Keir Starmer After Landslide Makerfield Victory
Prime Minister Keir Starmer Faces Mounting Pressure to Resign After Labour By-Election Defeat in Makerfield
Payment Fraud Losses Reach £1.28 Billion and Raise National Security Concerns
Lending to Small Businesses Climbs to Highest Level Since Late 2024
Middle East Conflict Clouds UK Economic Recovery Despite Strong First-Quarter Growth
Bank of England Moves to Simplify Capital Rules for Smaller Lenders
UK Government Fast-Tracks National Security and Cyber Resilience Legislation
Ofcom Investigates Telegram Over Alleged Role in Organising Arson Attacks
MPs Press Fujitsu to Speed Compensation for Post Office Horizon Victims
×