Thousands of households to receive £100 cash in cost of living payment

Around 16,500 households should be eligible to receive the payment.

£100 cost of living payment
© Christopher Bill / UNSPLASH
£100 cost of living payment

The cost of living crisis has had a huge impact on the UK, with many struggling to make ends meet as food and fuel prices increase. Although energy costs and inflation have gone down again in the last year, many Brits are still making up for the extra expenses of the festive period. The government has put certain plans in place to help those in need, including three payments of £301, £300 and £299 - the last of which is currently being distributed. This trio of payments was designed to help with the cost of living, but a certain part of the country is set to hand out a further £100 cash.

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The money is set to be paid to households in Kensington and Chelsea as part of a Cost of Living Reserve fund. Under this scheme, each local council is given a pot of money and they get to decide how it should be spent to best serve their residents.

For some, receiving the £100 will be simple as the system will automatically pay it into your bank account. However, others will have to apply. Let’s take a look at who is eligible, and how you can receive the money.


The decision to use this fund to give low-income families an extra cost of living boost was made on 7 February, as Kensington and Chelsea Council’s leadership team agreed on the best way to distribute the money.

Cllr Johnny Thalassites, lead member for finance, customer delivery and net zero said:

Inflation and energy costs have fallen in the last year, but we know many families are still feeling the pinch due to cost-of-living pressures. This £100 payment is money back in the pockets of those who need it most.

Households must claim Housing Benefit, Council Tax Reduction or Universal Credit Housing Allowance to be eligible for the £100 payment. Around 16,500 households should therefore qualify. Eligible residents will be sent details of the scheme in early March, and the payments will be made in May 2024.

How you can receive the money

For some, this part will be simple: the money will be automatically paid to households receiving Housing Benefit or Council Tax Reductions. However, if you receive Universal Credit Housing Allowance, you will need to send in an application.

To make an application, head to the council’s website; the system will be available from 12 March at 12pm. Each household is only eligible for £100 at a time. If you don’t have a bank account, you can collect your money through the Post Office. You will get an email or letter from ​​Kensington and Chelsea Council to let you know once the payment has been made. Thalassites explained:

Like many local councils, we have difficult decisions ahead in our budget plans, but we have made a commitment to become a fairer borough and by targeting support in this way we can make sure it is directed to those on the lowest incomes, where it can make the biggest difference.

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Sources used:

Mirror: Over 16,000 households to get free cash payment worth £100 to help with cost of living

Birmingham Live: Households to get free £100 cash payment towards cost of living

Brits to receive £100 payment amid cost of living crisis, here’s how you can claim yours Brits to receive £100 payment amid cost of living crisis, here’s how you can claim yours