Disability Cost of Living Payment – Q&A

To note: Individuals must have received a payment (or later receive a payment) of one of the qualifying benefits for 25 May 2022 to get a Disability Cost of Living Payment.

  1. Why are disabled people only receiving £150 when low-income households are receiving £650 and pensioners £300?
  2. The rationale for each of the Cost of Living Payment is different – the Government’s position is that it is right that the highest amount goes to those on Means-Tested Benefits as those on the lowest incomes will be most vulnerable to rises in the Cost of Living.

Many disability benefits claimants on lower incomes will also be entitled to receive the other payments announced in this package – a disabled person in a Means Tested benefit household could receive £650 in Cost of Living Payments, paid in two instalments.

The Disability Cost of Living Payment is assessed on an individual basis, which means that a household with multiple disabled occupants will receive a Disability Cost of Living Payment for each disabled person.

These payments are in addition to the £400 of support for energy bills that the Government is providing through an expansion of the Energy Bills Support Scheme, for all domestic energy customers, and the £150 Council Tax rebate received by the majority of households.

Disabled people face extra costs such as specialist equipment. £150 is not enough. What are they going to do?

The government is constantly seeking to improve the disability benefits system, and to that end published the Health and Disability Green Paper last year, which set out numerous measures to improve the system, including introducing an expanded definition of end of life to help people reaching the end of their life access to benefits more quickly. The government is seeking to build on the Green Paper through publishing a White Paper later this year which will look at tackling the structural issues within the disability benefits system to better enable people to take up work and live more independently.

Do I need to do anything to get this money?

No. Payments will be paid automatically to eligible recipients.

What happens if I don’t receive the money by the beginning of October?

Most Disability Cost of Living Payments for those receiving a qualifying benefit for 25 May, or who subsequently were paid for that date before September, will be paid by the beginning of October.

If you’re waiting to receive a decision on your claim to a qualifying benefit and are subsequently found eligible to be paid for 25 May you will automatically receive the Disability Cost of Living Payment later and following the decision on the qualifying benefit.

I have applied for a disability benefit, but I’ve not yet been assessed. Will I still receive a DCoLP?

If you are currently awaiting a decision on your disability benefit claim and subsequently receive an award, the Disability Cost of Living payment will be made automatically in due course as long the qualifying benefit was in payment for 25 May.

I am in receipt of the higher/enhanced rate of the mobility component [of Disability Living Allowance or PIP] or Armed Forces Independence Payment or the War Pensioner Mobility Supplement and use this to lease a vehicle from Motability. Will I be entitled to a DCoLP?

Yes. As the payment is being made to you, albeit that payment is transferred to Motability to service a lease on a vehicle, then you are entitled to receive a Disability Cost of Living Payment.

I am currently [asking for a reconsideration on] [appealing] my disability benefit decision. If I’m successful, will I get a DCoLP?

If you have an award in place, but are challenging the level of the award, a Disability Cost of Living Payment will be made in September or once the initial decision to award benefit has been made if made after 25 May.

If you are challenging a nil award and are subsequently successful at Mandatory Reconsideration or Appeal, we will pay you following the Mandatory Reconsideration or Appeal decision on your claim.

When will the pensioner COL payment be made?

For those entitled to a Winter Fuel Payment for winter 2022 to 2023, they will get an extra £300 for their household paid with their normal payment from November 2022. This is in addition to any Cost of Living Payment they receive with their benefit or tax credits.