The Department for Work and Pensions (DWP) has officially confirmed that the £450 Cost of Living Payment will return in June 2025. This latest update comes as part of the government’s ongoing efforts to help low-income households cope with rising expenses amid continuing economic pressures.
This marks a critical step in the UK benefit update for summer 2025, reinforcing the DWP’s commitment to providing timely and direct support. Here’s everything you need to know about eligibility, payment schedule, and what this means for millions of claimants.
Table of Contents
Who Will Receive the £450 Cost of Living Payment?
The payment is intended for individuals and families already receiving means-tested benefits. Eligible groups include those claiming:
- Universal Credit
- Pension Credit
- Income-related Employment and Support Allowance (ESA)
- Income-based Jobseeker’s Allowance (JSA)
- Income Support
- Working Tax Credit or Child Tax Credit (administered by HMRC)
Those qualifying must have received a benefit payment during the eligibility window, which the DWP has set between 1 April 2025 and 31 May 2025.
Payment Timetable and Method
The DWP has stated that payments will begin to be processed from 10 June 2025, with most recipients expected to receive the funds by 30 June 2025. Just like previous rounds of support, the money will be paid directly into the bank account associated with the recipient’s existing benefit claim.
There’s no need to apply. The DWP has automated this process to ensure fast and secure disbursement.
Why June 2025 Matters for Cost of Living Help
This payment is more than a stopgap. With inflation forecast to remain stubborn and energy prices predicted to see seasonal spikes, this £450 Cost of Living Payment is a strategic response. It complements other measures like the Local Housing Allowance uplift and energy bill relief schemes scheduled for the second half of 2025.
The UK government has acknowledged that many households remain financially vulnerable. This support in June 2025 will serve as a critical bridge for families bracing for ongoing price volatility.
Breakdown: June 2025 DWP Support Snapshot
Here’s a quick reference for the upcoming support package:
Support Type |
Amount |
Eligibility Period |
Payment Window |
|---|---|---|---|
Cost of Living Payment |
£450 |
1 Apr 2025 – 31 May 2025 |
10 Jun – 30 Jun 2025 |
Energy Bill Support (regional) |
Varies |
Determined by council |
Summer 2025 |
Pensioner Cost of Living Bonus |
£300 |
Winter Fuel Payment eligible |
Nov 2025 |
What Sets This £450 Payment Apart
While previous cost of living payments have focused on immediate inflationary shocks, this round is part of a long-term policy shift. The government appears to be moving toward more structured seasonal support. Experts believe these predictable payments could offer households better tools to budget and plan around ongoing financial uncertainty.
This June 2025 payment is also notably larger than some past payments, acknowledging that one-off lower amounts have failed to meet actual monthly cost pressures in rent, food, and fuel.
Conclusion: Staying Ahead with Timely DWP Support
As the summer of 2025 unfolds, the return of the £450 Cost of Living Payment signals a crucial moment for UK social support frameworks. For millions, this isn’t just a benefit update—it’s a lifeline. The DWP’s confirmation provides clarity, allowing households to plan for a slightly more stable mid-year.
With wider DWP support June 2025 initiatives still rolling out, this payment is just one component of a multi-layered approach to easing cost burdens across the UK.
FAQs
Who is eligible for the £450 Cost of Living Payment in June 2025?
Anyone receiving a qualifying means-tested benefit between 1 April and 31 May 2025 will automatically be eligible.
Do I need to apply for the June 2025 payment?
No. The DWP will make the payment automatically to those who meet the eligibility criteria.
When will I receive the payment?
Payments will be issued between 10 June and 30 June 2025, depending on your benefit cycle.
Will this payment affect my other benefits?
No, the £450 Cost of Living Payment is not taxable and will not count toward the benefit cap or affect your existing entitlements.
Are there any other payments coming in 2025?
Yes, additional support such as the Winter Fuel Payment and possible energy rebates are scheduled for late 2025.
