Millions of households across the United Kingdom are set to benefit from a fresh wave of £300 Cost of Living payments, after the Department for Work and Pensions (DWP) confirmed funding has been secured for new disbursements later this year. The payments are part of the government’s ongoing efforts to ease the financial burden of inflation and rising living costs on low-income and vulnerable households.
The new payments will be the second installment in a three-part Cost of Living Payment package for 2025, totaling £900. These support measures are in addition to targeted payments for people with disabilities and pensioners.
What Are the 2025 Cost of Living Payments?
The government’s Cost of Living Payment scheme for 2025 includes three main payments for eligible households:
- £301 – paid in Spring 2025
- £300 – set for Summer 2025
- £299 – due in Autumn 2025
These payments are non-taxable, do not affect existing benefits, and are paid automatically to qualifying individuals.
The latest £300 payment is expected to be issued between June and July 2025, according to the DWP’s published schedule. No separate application is required as long as claimants meet the eligibility criteria during the assessment period.
Who Is Eligible?
To receive the £300 payment, individuals must be in receipt of at least one of the following means-tested benefits:
- Universal Credit
- Income-Based Jobseeker’s Allowance (JSA)
- Income-Related Employment and Support Allowance (ESA)
- Income Support
- Working Tax Credit
- Child Tax Credit
- Pension Credit
Eligibility is based on a specific qualifying period, which will be announced ahead of the payment window.
Additional Payments for Disabled and Elderly Individuals
Separate payments are also being made available for people with disabilities and pensioners, including:
- £150 Disability Cost of Living Payment
For individuals on:- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- Attendance Allowance
- Armed Forces Independence Payment
- War Pension Mobility Supplement
- Constant Attendance Allowance
This payment is scheduled for late June 2025.
- £150–£300 Pensioner Cost of Living Payment
Delivered alongside the Winter Fuel Payment in Winter 2025–26 for eligible pensioners.
Household Support Fund Extended for 2025–26
In addition to direct payments, the government has extended the Household Support Fund (HSF) with a budget of £742 million for 2025–26. This fund allows local councils to provide financial aid such as food vouchers, energy grants, and essential household items.
Councils like Rotherham Borough Council are already offering support through supermarket vouchers and energy bill payments to qualifying families.
How Payments Will Be Made
Cost of Living Payments are issued automatically using the same method as the recipient’s regular benefits or tax credits. This includes:
- Direct bank deposits
- Existing Post Office accounts
- Other authorized benefit payment methods
No application or claim is necessary. However, individuals are advised to ensure their contact and banking details are up to date with the DWP or HMRC to avoid delays.
Key Dates to Watch
- £301 – Already issued in Spring 2025
- £300 – Scheduled for June–July 2025
- £150 Disability Payment – Late June 2025
- Pensioner Payment – Winter 2025–26
Final Thoughts
With inflation still impacting household finances, the government’s continued rollout of Cost of Living Payments offers much-needed relief for millions. Eligible households should monitor their benefit statements and local council announcements closely to ensure they don’t miss out.
This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.
