In 2025, the UK government is continuing to support households facing rising living costs through another round of Cost of Living Payments. Delivered by the Department for Work and Pensions (DWP), these payments aim to ease financial pressures for people receiving means-tested benefits. With up to £900 in total payments spread throughout the year, along with an extra £200 local boost in 25 July 2025, this support is a financial lifeline for many.
If you’re on benefits like Universal Credit, Pension Credit, or Tax Credits, this guide will help you understand what you can receive, when to expect it, and how to make sure it arrives smoothly.
Table of Contents
Overview
Here’s a breakdown of what the DWP is offering in 2025:
| Feature | Details |
|---|---|
| Payment Amounts | £301, £300, and £299 |
| Total Annual Support | Up to £900 |
| Eligibility | Means-tested benefits like UC, PC, JSA, ESA, Tax Credits |
| Payment Schedule | Spring, Summer, and Autumn 2025 |
| Application Required | No – payments are automatic |
| Extra Help | £200 local support boost in 25 July 2025 |
| Payment Reference | “DWP COL” or “HMRC COL” on bank statements |
Why This Support Matters in 2025
Although inflation has cooled slightly, essentials like food, rent, and energy remain expensive. These payments are meant to give struggling households a bit more breathing room without needing to borrow money or cut corners on basic needs.
For many, these three instalments will go directly toward everyday costs—whether that’s a heating bill, groceries, or an urgent school expense.
2025 Payment Breakdown
You’ll receive the £900 support in three instalments:
- £301 – Spring 2025
- £300 – Summer 2025
- £299 – Autumn 2025
Exact dates haven’t been confirmed yet but will be announced before each payment window. Payments are automatic if you qualify, and you won’t need to fill out any forms or make special requests.
Who Qualifies?
To be eligible, you must be receiving one of these means-tested benefits during a specific qualifying period (dates yet to be announced):
- Universal Credit
- Pension Credit
- Income Support
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Working Tax Credit
- Child Tax Credit
If you’re only receiving contributory or “New Style” benefits, you won’t be eligible unless you also get one of the benefits listed above.
£200 Boost in 25 July 2025
Alongside the three main payments, an additional £200 one-off boost is planned for 25 July 2025. Distributed by local councils, this money can be used for:
- Food and household essentials
- Energy bills
- Emergency housing or repairs
- School uniforms or supplies
In some regions, this may be paid automatically. In others, you might need to apply through your local authority. It’s a good idea to check your council’s website or contact their support team for more information.
How to Make Sure You Get Your Payment
Here are some simple steps to ensure you receive your payments without delay:
- Keep your bank details updated with DWP or HMRC
- Make sure your home address, household status, and income details are correct
- Monitor your bank account for entries marked “DWP COL” or “HMRC COL”
If you don’t see your payment around the expected time, wait a few days before contacting DWP.
Avoid Scams
Be careful. The government will never ask for personal details by text, email, or phone. If someone contacts you claiming to need your bank information for a Cost of Living Payment, it’s a scam. Do not reply or click on any links.
Darren’s Experience
Darren, a carer in Nottingham, was surprised when a payment landed in his account last year.
“I didn’t expect it,” he said. “I just saw ‘DWP COL’ in my bank statement and it made a big difference. I used it to help cover my mum’s prescriptions and heating bills. When you’re living on Universal Credit, every bit helps.”
His advice is simple: “Check your details, and it’ll just show up. No stress.”
Other Support Available
If the Cost of Living Payments aren’t enough, here are other support options to explore:
- Winter Fuel Payment – for pensioners during the colder months
- Cold Weather Payment – issued during long cold spells
- Warm Home Discount – reduces electricity bills for eligible households
- Free School Meals or Holiday Food Programs
- Discretionary Housing Payments – for rent gaps or emergency housing costs
Many councils also offer emergency grants, food vouchers, and crisis support. It’s worth checking locally to see what additional help you can access.
FAQs
When is the first 2025 payment?
The first £301 payment is expected in spring 2025.
Do I need to apply for Cost of Living Payments?
No, payments are made automatically if you qualify.
Who qualifies for the £900 support?
People receiving means-tested benefits like UC or Pension Credit.
What is the £200 boost in 25 July 2025?
A one-off payment provided by local councils for extra support.
How do I spot a scam message?
The government never asks for bank details by text, email or phone.
