Millions of people could get another £900 cost of living payment

Millions of people could get another £900 cost of living payment as MPs gear up to approve a new law.

The Social Security (Additional Payment)(No.2) Bill was approved at the second reading by MPs. This means it will undergo further scrutiny by Parliament at a later date and paves the way for more help for the most vulnerable families in Britain.

The bill suggests a £900 cost of living payment to be paid in three instalments to roughly eight million households receiving means-tested benefits as well as £150 for those on disability benefits.

Read more: Vulnerable families across Greater Manchester to receive extra cash through DWP scheme

Work and Pensions Secretary Mel Stride told MPs: “We still recognise that despite the relief that (reducing inflation) will provide to millions up and down the country, we still need to provide further support payments.”

The legislation, he added, will set out the “basis of qualification for the payments”, who makes the payments plus timing of them. He continued: “The reality is we cannot iron out all possible hard edges here, but what we did do is to break the payments into three payments this financial year.”

Mr Stride went on: “This Government is on the side of the most needy.”

Meanwhile, the shadow work and pensions secretary Jonathan Ashworth said Labour does not plan to oppose the legislation, noting that people "need extra support". He said: “We will not divide the House this afternoon because it is clear that our constituents need extra support.”

He added: “Families have been asked to endure the most brutal cuts and freezes to social security that have rendered out-of-work benefits at their lowest levels for 30 years. It’s meant that poorer families have entered this crisis