The UK government has announced the final Cost of Living payment worth £299, which will be given to eligible people receiving certain DWP or HMRC benefits. This payment is the last instalment of the £900 Cost of Living support package that was announced in 2023 to help struggling families cope with rising food, energy, and living costs.
Many households have already received earlier payments of £301 and £300 in 2023, and now, the final £299 boost will come in 2025.
Who Will Get This Payment?
To receive this £299 payment, you must be receiving one of the following benefits during the qualifying period:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Pension Credit
- Tax Credits (Working Tax Credit or Child Tax Credit) – if paid by HMRC
You do not need to apply for this payment. It will be paid automatically into your bank account by either the DWP or HMRC, depending on your benefit.
What is the Payment Date?
The exact date has not yet been confirmed, but the payment is expected to be made early in 2025, possibly between February and April. The government usually releases the exact window a few weeks before it begins.
If you receive your benefits from the DWP, you’ll get the payment first. If your benefits come from HMRC (like Tax Credits), your payment will come a few days later.
Why is This Payment Important?
This £299 is the final part of the government’s cost of living support package. Many families are still facing higher prices at supermarkets and increased energy bills. For pensioners and people on low incomes, this extra amount can be a big help in managing day-to-day expenses.
It’s also tax-free, won’t affect your other benefits, and will show as a separate deposit in your bank account labeled “DWP COL” or “HMRC COLS.”
Common Questions Answered
1. Do I need to apply for the £299 payment?
No. The payment will be made automatically to those who qualify. There’s no need to fill out any form.
2. What if I didn’t get the earlier payments of £301 or £300?
You may still qualify for the £299 payment if you meet the eligibility criteria during the new qualifying window in 2025. Watch for official updates.
3. What if I don’t get benefits but I’m struggling with money?
You may be able to get help through your local council’s hardship fund or the Household Support Fund, which is separate from these cost of living payments.
4. How will I know I got the payment?
You’ll receive the payment directly in your bank account. It will show with a reference like “DWP COL” or “HMRC COLS.”
What You Should Do Next
If you’re already receiving one of the qualifying benefits, you don’t need to do anything. But make sure your:
- Bank details are correct with DWP or HMRC
- Benefits are active during the qualifying period
- You check your account regularly once payment dates are announced
Also, avoid scam messages or emails asking you to “apply” for this payment. The government will never ask for your personal details for this purpose.
Final Words
This £299 Cost of Living Payment in 2025 will be the last major boost under the current support package. If you qualify, make sure you stay updated with government announcements so you don’t miss out. For many UK households, especially those on low incomes, this payment could bring real relief during the winter and early spring months.