Millions of households across the UK can expect some welcome financial relief in May 2025, as the Department for Work and Pensions (DWP) rolls out the £299 Cost of Living Payment.
This one-off support is designed to assist low-income individuals and families who are feeling the pinch due to inflation, rising energy prices, and increasing living expenses.
This payment is part of a wider cost of living support plan and will be paid automatically, meaning no need for applications. However, there are specific eligibility criteria and payment timelines beneficiaries should be aware of to ensure they don’t miss out.
Who Is Eligible for the £299 Payment?
To qualify for the £299 Cost of Living Payment, you must have been receiving certain means-tested benefits during the qualifying period, which runs from 13 November 2024 to 12 December 2024. If you were entitled to one of the following benefits within that window, you’re eligible:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Pension Credit
- Working Tax Credit
- Child Tax Credit
Please note that if you’re only receiving contribution-based or new-style JSA/ESA, you will not qualify for this particular payment.
When Will You Receive the £299?
The DWP has scheduled the £299 payment between 6 May and 22 May 2025. Payments will be issued automatically to eligible recipients using their existing payment methods—typically through direct deposit into the same bank account where their benefits are received.
To help identify the payment, it will show on your bank statement as either:
- “DWP COL” (Cost of Living)
- Or “HMRC COLS”, depending on whether you’re receiving benefits through the Department for Work and Pensions or HM Revenue & Customs.
Payment Overview
| Details | Information |
|---|---|
| Payment Amount | £299 |
| Payment Window | 6 May – 22 May 2025 |
| Qualifying Period | 13 Nov – 12 Dec 2024 |
| Eligibility Criteria | Receiving eligible means-tested benefits |
| Method of Payment | Direct deposit to existing benefit account |
| Bank Reference | “DWP COL” or “HMRC COLS” |
| Application Required | No |
| Effect on Benefits | Does not affect other benefits |
What to Do If You Don’t Receive the Payment
If you’re confident that you meet the eligibility requirements but don’t receive the payment by 22 May 2025, take the following steps:
- Review your bank statements between 6–22 May for “DWP COL” or “HMRC COLS.”
- Confirm your benefit status during the eligibility window (13 November – 12 December 2024).
- If the payment is still missing, contact DWP or HMRC depending on which benefits you claim.
Make sure your banking information and contact details are up to date to avoid any unnecessary delays.
Why This Payment Matters
The £299 Cost of Living Payment comes at a critical time for many UK households. The cost of groceries, energy, fuel, and housing continues to rise, affecting millions. For some households, this one-off payment may help:
- Cover utility bills
- Purchase essential groceries
- Offset rent or transportation costs
- Manage debt or loan payments
Although it’s not a permanent increase in benefits, this payment is a temporary yet helpful financial cushion.
Other Support Measures You Can Access
In addition to this £299 payment, many may still qualify for additional forms of financial support, such as:
- Cold Weather Payments
- Winter Fuel Payments for pensioners
- Housing Benefit
- Council Tax Reduction
Checking your local council website or using an online benefit calculator can help you discover other entitlements based on your household circumstances.
The DWP £299 Cost of Living Payment in May 2025 is a vital support measure for millions of UK residents struggling with daily living costs. If you were receiving an eligible benefit during the qualifying period in late 2024, you should receive this payment automatically.
There is no need to apply, but it is crucial to ensure your records, especially bank details, are current to avoid delays. If the money doesn’t arrive by the deadline, don’t hesitate to take action by reaching out to the appropriate department.
Staying informed and proactive ensures you don’t miss out on financial help designed to lighten your load.
FAQs
Do I need to apply for the £299 cost of living payment?
No. If you’re eligible, the payment will be made automatically to your usual benefit account.
Will this payment affect my Universal Credit or other benefits?
No, the £299 payment is non-taxable and does not affect any existing benefit entitlements.
What if I became eligible after December 2024?
Only those receiving qualifying benefits between 13 November and 12 December 2024 are eligible for the May 2025 payment.