Asked by: Mark Harper (Conservative - Forest of Dean)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to his oral statement of 26 May 2022 on Economy Update, Official report, column 451, what discussions he has had with the Secretary of state for (a) Work and Pensions and (b) Health and Social Care on the impact of the cost of living payment on benefit entitlement and social care.
Answered by Simon Clarke
The Government understands the challenge of global inflationary pressures on the cost of living.
That is why we are providing over £15bn of additional support targeted particularly on those with the greatest need. This package builds on the over £22bn announced previously, with government support for the cost of living now totalling over £37bn this year.
The Government is supporting over 8 million households across the UK in receipt of means tested benefits with a one-off Cost of Living Payment of £650, paid in two instalments. In addition to this, the government is supporting disabled people with the particular extra costs they will face, with 6 million people who receive non-means tested disability benefits receiving a one-off disability Cost of Living Payment of £150. Over eight million pensioner households will receive an extra one-off £300 this year to help them cover the rising cost of energy this winter.
These payments will be disregarded for tax and benefit purposes, so will not affect claimants’ benefit entitlements.
The Department of Health and Social Care is currently undertaking work to determine the interaction between the new cost of living payments and financial assessments for care costs.