Source · Select Committees · Work and Pensions Committee
Recommendation 15
15
Rejected
Announce future cost of living payment dates in advance to improve household budgeting.
Conclusion
We recognise that the Government is concerned that publishing exact payment windows could encourage fraud and disincentivise people from taking work opportunities. However, the irregular nature of these payments, along with the uncertainty of when they will be received, continues to make household budgeting a challenge. If the Government decides to issue further cost of living payments in the next financial year, it should announce the payment dates (but not the qualifying period) in advance. This would improve the ability of households to budget whilst still mitigating the risk of fraud and risks to work incentives. (Paragraph 87) Cost of living support payments 49
Government Response Summary
The government rejected the recommendation to announce future cost of living payment dates in advance, stating that doing so would implicitly reveal qualifying dates, which they aim to avoid to prevent fraud and maintain work incentives.
Government Response
Rejected
HM Government
Rejected
As the Committee has recognised, the Government is seeking to avoid encouraging fraud and disincentivising people from taking work opportunities by setting out qualifying and payment dates once they have passed. Payment dates and qualifying dates are intrinsically linked and publicising one would indicate the likely date of the other. Qualifying dates for the Cost of Living Payments are set out in secondary legislation and payment dates are announced on the dedicated page on Gov.UK once the relevant regulations have been made. DWP have an extensive communications plan in place, including a media and digital campaign, which sets out everything customers need to know about Cost of Living Payments. The wider benefit system acts as a safety net for people who find themselves in need of financial support with living and housing costs for a variety of reasons. Additionally, DWP is committed to engaging with customers to signpost them to the financial support they require. The Department continues to work closely with the Money and Pensions Service to ensure customers can get the expert financial help they need. As previously set out, for households requiring additional support, the Household Support Fund in England will continue until March 2024. This year-long extension allows local authorities to continue to provide discretionary support to those most in need with the cost of essentials. The Devolved Administrations receive Barnett Formula funding as a result of the Household Support Fund in England so spend at their discretion. Local authorities have the discretion to design their own local support schemes within the parameters of the guidance and grant determination that DWP has set out for the fund. Guidance can be found here.