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£650 Cost of Living Boost in 2025: Who Gets It, When It Comes, and What’s New This Year

Relief Coming: £650 Payment Set for 2025

With inflation still hitting UK households hard and energy bills staying high, the government has confirmed a £650 Cost of Living Payment for 2025. This helpful support is part of a plan to aid low-income people and families struggling with the ongoing cost-of-living crisis.

The Department for Work and Pensions (DWP) says this payment will ease the burden for millions, especially those on certain benefits. But with some changes to who qualifies and when payments happen compared to last year, it’s key to know if you’re eligible and when you’ll get the money.

Who Will Get the £650 in 2025?

To get the 2025 cost of living payment, you need to be receiving specific government benefits during a certain time. This payment won’t be taxed and won’t affect your other benefits. Here’s who qualifies:

Eligible Benefits for £650 Payment
Universal Credit
Pension Credit
Income-based Jobseeker’s Allowance
Income-related Employment and Support Allowance (ESA)
Income Support
Working Tax Credit
Child Tax Credit

You must have been eligible for one of these benefits (or later found to be eligible) during the qualifying period, which the DWP will announce in early 2025.

Payment Dates: When Will It Reach Your Account?

Unlike last year’s spread-out payments, the £650 in 2025 will come in two parts, £325 each. The first part is expected in spring 2025, and the second in early autumn.

The DWP and HMRC will automatically send these payments to your bank account. You don’t need to apply, and you’ll get a notice when the money is sent.

Keep in mind:

  • Payments might arrive on different dates depending on whether you get benefits from DWP or HMRC.
  • If you’re on both tax credits and another qualifying DWP benefit, you’ll only get one payment, not both.

What’s Different This Year?

There are a few key updates for the 2025 payment plan:

  • A simpler checking system will speed up payments for those with complicated benefit claims.
  • Better fraud protection is in place after last year’s issues with wrong or double payments.
  • Payments will be tied more closely to current inflation to keep the support relevant.

Also, if you missed out last year because you barely missed the qualifying period, a new review system will let you appeal.

Final Thoughts: Check Your Status Now

With the cost of things like food, fuel, and rent still eating into budgets, the £650 cost of living payment is a big help for millions. While the government promises smooth delivery, delays can happen if your details or benefit claims aren’t up to date.

To make sure you don’t miss out:

  • Check if you’re eligible by confirming the benefits you receive.
  • Watch for DWP updates on qualifying dates.
  • Ensure your bank and contact details are current with the benefits office.

For many in the UK, this support could mean the difference between getting by and falling behind. So, mark your calendar, stay updated, and be ready when the payments arrive in 2025.

Can I get extra support?

Yes, check with your local council for food or energy help.

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