DWP Confirms £450 One-Time Cost of Living Payment — Check Eligibility and Dates

With inflation still eating into household budgets and the price of essentials remaining stubbornly high, the UK government has announced a new £450 Cost of Living Help payment. Starting 6 October 2025, this one-off support payment will be automatically issued to eligible individuals across the country. The aim is simple — to help struggling households cope with soaring costs for energy, food, rent, and daily essentials.

Unlike loans or temporary rebates, this payment will be tax-free, non-repayable, and sent directly to eligible claimants’ bank accounts by the Department for Work and Pensions (DWP).

Understanding the £450 Cost of Living Help

The £450 Cost of Living Help is the government’s latest effort to support low-income families and benefit claimants during an ongoing cost-of-living crisis.

Rising energy prices, food inflation, and housing costs have pushed many households into financial strain — especially those dependent on benefits or fixed incomes. This payment is designed to relieve some of that pressure and prevent families from falling further into hardship.

No application is needed. The DWP will automatically transfer the money to people who meet the eligibility criteria.

Payments begin from 6 October 2025 and will continue through the month. Most eligible individuals will receive funds by 31 October 2025.

£450 Cost of Living Payment 2025: Overview

Category	Details
Payment Name	£450 Cost of Living Help Payment 2025
Department	Department for Work and Pensions (DWP)
Payment Amount	£450 per eligible person
Start Date	6 October 2025
Type	One-off payment
Eligibility	Based on qualifying benefits
Application Required	No – paid automatically
Qualifying Benefits	Universal Credit, Pension Credit, Income Support, ESA, JSA, Tax Credits
Payment Method	Direct bank deposit
Bank Reference	“DWP COLP” + National Insurance Number
Expected Arrival	By 31 October 2025
Contact for Delays	DWP helpline after 31 October 2025

Why This Payment Matters

Let’s be clear — this payment isn’t a bonus or a luxury. For millions of Britons, it’s an essential buffer against the relentless rise in living costs.

The UK has seen persistent inflation over the last few years, especially in energy, groceries, and housing. The average weekly food bill is now 20% higher than it was in early 2023, and gas and electricity bills remain well above pre-crisis levels.

For low-income families and pensioners, even a small price jump can have a major impact. The £450 Cost of Living Help is meant to provide breathing space — to keep heating on, buy food, or pay urgent bills during a challenging autumn and winter period.

Who Qualifies for the £450 Cost of Living Payment

Eligibility for the payment is tied directly to specific means-tested benefits. If you receive any of the following, you are likely to qualify automatically.

Qualifying Benefits

• Universal Credit
• Pension Credit
• Income-based Jobseeker’s Allowance (JSA)
• Income-related Employment and Support Allowance (ESA)
• Income Support
• Working Tax Credit or Child Tax Credit (in certain cases only)

If you are receiving New Style JSA or New Style ESA on their own, you will not be eligible for this payment, as those benefits are contribution-based and not means-tested.

To qualify, you must have received one of these benefits for at least one day during the qualifying period, expected to fall in late August or early September 2025.

When and How Payments Will Be Made

The DWP will begin payments from 6 October 2025, sending them directly into the same bank accounts used for benefit payments.

You do not need to apply or contact the department — the payment process is automatic.

When it arrives, it will appear in your bank statement as:

“DWP COLP” followed by your National Insurance Number

Most claimants will receive the money by 31 October 2025, though some may receive it slightly earlier or later depending on their payment schedule.

What to Do if You Don’t Receive Your Payment

If you believe you’re eligible but haven’t received your payment by 31 October 2025, follow these steps:

• Check your bank account for a transaction labeled “DWP COLP”.
• Wait five working days beyond your normal benefit date.
• Contact the DWP helpline if it still hasn’t arrived.

The department advises patience during the rollout period, as millions of payments will be made in stages to avoid delays or duplication.

Keeping Your Details Updated

Since payments are automated, incorrect information is the most common reason for delays.

To avoid issues:

• Confirm your bank details are correct in your benefit account.
• Notify the DWP if you’ve recently changed banks or moved house.
• Ensure your National Insurance details are accurate.

Updating your records promptly ensures the payment reaches you without interruption.

The Broader Picture: Why This Help Is Needed

The government’s 2025 support plan comes amid continued financial strain for many households.

Inflation has not fallen as sharply as expected, and energy prices remain volatile due to global market fluctuations. For pensioners, disabled individuals, and working families on benefits, this instability creates ongoing hardship.

The £450 Cost of Living Help is part of the government’s wider economic relief strategy, alongside other programs such as:

• The Household Support Fund, distributed through local councils for emergency help.
• The Energy Price Guarantee, which limits extreme increases in gas and electricity costs.
• The Fuel Duty Freeze, which prevents petrol and diesel costs from rising further.
• The Local Housing Allowance Extension, keeping rent support aligned with market rates until April 2025.

Collectively, these schemes aim to provide a safety net for vulnerable families until inflation stabilises.

How This Payment Impacts Households

While £450 might not seem like much in today’s economy, for many families it can make a significant difference.

It can:

• Cover several weeks of groceries.
• Pay a month’s heating bill.
• Prevent missed rent or council tax payments.
• Offer short-term relief from credit card or debt stress.

In simple terms, it’s a timely lifeline — not a cure for inflation, but a crucial step to help households stay financially afloat.

Government’s Official Statement

A spokesperson from the Department for Work and Pensions said:

“We recognise that many households continue to face cost pressures. This £450 payment will provide additional support to millions of low-income individuals and families across the UK, ensuring that those most affected by rising costs get the help they need without delay.”

The department emphasised that the payment is automatic and urged people not to fall for scams — no official representative will ask for banking details over the phone, email, or text message.

What Should You Do to Prepare?

Even though the payment is automatic, taking a few small steps can prevent issues:

• Keep your contact and banking information up to date with DWP.
• Check your eligibility — confirm your benefit type and payment schedule.
• Monitor your account for “DWP COLP” in October.
• Avoid scams — ignore any messages asking for personal details.
• Keep an eye on official updates via GOV.UK.

Expected Timeline for October 2025 Payments

Date	Event
Late August 2025	Qualifying period for benefits
6 October 2025	DWP begins issuing payments
Mid–October 2025	Main rollout across England, Scotland, Wales, NI
31 October 2025	Final payments expected
November 2025	Contact DWP if not received

Who to Contact for Assistance

If you have questions or experience issues receiving your payment, you can contact:

DWP Cost of Living Helpline
0800 169 0310 (Monday–Friday, 8am–6pm)
www.gov.uk/guidance/cost-of-living-payment

Always use official government sources to verify information and avoid scams.

Frequently Asked Questions (FAQs)

1. Who qualifies for the £450 Cost of Living Help 2025?
Anyone receiving qualifying benefits such as Universal Credit, Pension Credit, Income Support, or income-based ESA or JSA during the eligibility period.

2. Do I need to apply for the payment?
No. The DWP will automatically send the payment to eligible individuals — no forms or applications are required.

3. When will the payments be made?
Payments will start from 6 October 2025 and should reach most recipients by 31 October 2025.

4. How will the payment appear in my bank account?
The payment will show as “DWP COLP” followed by your National Insurance Number.

5. What should I do if I don’t receive my payment?
Wait until 31 October 2025, then contact the DWP helpline to report the missing payment or confirm eligibility.