The Department for Work and Pensions (DWP) has officially started disbursing the £250 cost of living payment in May 2025, a confirmed financial support measure for millions of low-income and vulnerable households across the United Kingdom. This is not a proposal or pilot—it is an active and real-time payment aimed at tackling rising energy bills, food costs, and housing expenses.
The uk £250 cost of living payment in may is the second cost-of-living payment of 2025 and is already being deposited into eligible recipients’ bank accounts from Monday, May 6, 2025.
What Is the £250 Cost of Living Payment?
The £250 payment is part of the UK government’s ongoing cost of living support scheme to assist households receiving means-tested benefits. This payment is non-taxable, does not count as income for benefit purposes, and does not need to be repaid.
Key facts:
Amount: £250 (one-time)
Payment window: May 6 – May 17, 2025
Paid automatically – No application required
Sent directly by DWP or HMRC
This dwp may 2025 payment follows the earlier £299 payment made in February and precedes a final £299 instalment later in the year.
Who Is Eligible for the May 2025 £250 Payment?
To qualify for the cost of living 2025 support in May, recipients must have been entitled to a qualifying benefit between April 8 and May 5, 2025. Here are the benefits that make a person eligible:
Means-tested benefits (any one of the following):
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 (guarantee element)
Note: Contribution-based JSA or ESA do not qualify, nor does New Style ESA.
If you’re only receiving Housing Benefit (and none of the benefits listed above), you won’t automatically qualify, unless you’re also on another qualifying benefit.
When Will the Payment Be Made?
The dwp may 2025 payment is being paid out in two phases depending on which government agency manages your benefits:
Administered By | Payment Period | Method |
---|---|---|
DWP | May 6 to May 17, 2025 | Direct to bank account listed with DWP |
HMRC (Tax Credits) | May 14 to May 21, 2025 | Separate payment, even if on UC earlier |
Recipients will receive a text or notification in their benefit portal once their payment is scheduled. Payments will display as “DWP COLP May 2025” or “HMRC COLP” in your bank statement.
What to Do If You Haven’t Been Paid
If you believe you are eligible but haven’t received the uk £250 cost of living payment in may by May 22, 2025, here’s what to do:
Check eligibility window (you must have qualified during April 8 – May 5)
Confirm your bank details with DWP or HMRC are correct
Visit GOV.UK and search for “Missing Cost of Living Payment”
Submit a missing payment form online starting May 22, 2025
You can also call DWP on 0800 169 0310 for payment assistance.
Impact and Use of the Payment
This cost of living 2025 support is designed to help low-income families pay for:
Groceries and household essentials
Electricity and gas bills, especially as winter backlogs carry into May
Rent shortfalls for those under housing support caps
Transport costs for job seekers or carers
The DWP has stressed that this payment is not a loan, does not reduce benefit entitlements, and will not affect future claims for Universal Credit or Pension Credit.
FAQs
Who qualifies for the £250 cost of living payment?
Anyone receiving means-tested benefits like Universal Credit, Pension Credit, or tax credits during the qualifying window (April 8 to May 5, 2025) is eligible for the uk £250 cost of living payment in may.
Do I need to apply to get the money?
No. It is paid automatically by the DWP or HMRC depending on the benefit you’re receiving.
What if I receive both UC and Tax Credits?
You’ll receive only one payment, and it will usually come from DWP, even if you’re also getting tax credits.
Can this payment affect my other benefits?
No. This is a non-taxable grant and won’t affect any of your existing benefits, savings thresholds, or future claims.
Will there be another payment this year?
Yes. The final £299 cost of living payment for 2025 is scheduled for October/November as part of the annual three-part support structure.
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