Around eight million homes across the UK are set to receive the first instalment of cost of living support payments as part of a government package.
The Department for Work and Pensions (DWP) said £37bn had been allocated to help families struggling to meet soaring costs – with those from low-income backgrounds receiving an initial £326 on July 14.
A second payment to make up the remainder of the £650 portion is due in Autumn, while pensioners will also receive an extra £300 in the winter alongside the fuel allowance.
Work and pensions secretary Therese Coffey said the payment was the first in a £1,200 bundle of support for those toiling during surging inflation.
She added: “With millions of the lowest-income households soon seeing the first of two cash instalments land into their bank accounts, we are taking action to directly help families with the cost of living.
“This one-off payment totalling £650 is part of our £37 billion cost of living support package that will put an extra £1,200 into the pockets of those most in need.”
Every household in the country, regardless of income, will receive a £400 discount on energy bills, but critics have raised concerns the move will further fuel the rise in inflation.
Disabled people meanwhile will receive an added £150 on top of the £650 payment, the government said.
Chancellor Rishi Sunak added: “We have a responsibility to protect those who are paying the highest price for rising inflation, and we are stepping up to help.
“In July, more than 8 million people will get their first £326 payment to help with rising prices, as part of a package worth at least £1,200 for vulnerable families. I said we would stand by people when they needed help, and we are”.
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