The UK government has rolled out a new £250 Cost of Living Payment to support households struggling with rising expenses. This one-off payment began reaching eligible recipients in April 2025 as part of a broader relief strategy to tackle ongoing inflation and high utility costs. Here’s everything you need to know about who qualifies, how it’s paid, and what to expect.
UK £250 Cost of Living Payment Arrives in April 2025
| Key Details | Information |
|---|---|
| Payment Amount | £250 one-off |
| Payment Start Date | April 2025 |
| Who Qualifies | Low-income households on certain benefits |
| How It’s Paid | Direct deposit to bank accounts linked with qualifying benefits |
| Official Government Link | Gov.uk Cost of Living Support |
Who Is Eligible for the £250 Cost of Living Payment?
Eligibility is tied to receiving specific benefits during a qualifying period. The government assesses your benefit status automatically; no application is required.
Qualifying Benefits
You may qualify if you were receiving any of the following between February 12 and March 11, 2025:
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Universal Credit
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Income-based Jobseeker’s Allowance (JSA)
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Income-related Employment and Support Allowance (ESA)
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Income Support
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Pension Credit
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Working Tax Credit
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Child Tax Credit
Important: You must have been entitled to a payment (or later found to be entitled) during the eligibility window.
Who Is Not Eligible?
Not everyone on benefits will receive the £250. You are not eligible if:
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You receive contribution-based JSA or ESA only
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You get New Style ESA or JSA without income-related benefits
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Your benefit was reduced to £0 (a “nil award”) due to earnings or other deductions during the qualifying period
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You’re only on Housing Benefit and none of the listed qualifying benefits
Payment Schedule and Method
The payment began rolling out in early April 2025 and is expected to complete by the end of the month. Most recipients will see it appear in their bank accounts with a reference similar to:
DWP COLP or HMRC COL
You don’t need to do anything — if you’re eligible, the money will arrive automatically.
Impact on Other Benefits
This payment is non-taxable, won’t count as income, and won’t affect your existing benefit entitlements. It’s separate from your regular payments.
What to Do If You Haven’t Received It
If you believe you qualify but haven’t received your payment by May 7, 2025, you should:
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Wait until the payment window closes (end of April)
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Contact the DWP or HMRC (depending on your benefit type)
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Use the official contact form to report a missing payment
Additional Support Available
The £250 payment is part of a larger support framework. You may also be eligible for:
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Warm Home Discount
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Cold Weather Payment
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Household Support Fund (administered locally by councils)
Check your local council website or the main GOV.UK site for additional help.
FAQs
Who gets the £250 Cost of Living Payment?
Anyone on a qualifying low-income benefit between February 12 and March 11, 2025.
Will I need to apply for this payment?
No. Payments are made automatically to those who meet eligibility.
What if I’m only on Housing Benefit?
You won’t get the payment unless you also receive a qualifying benefit.
Does this payment affect my taxes or other benefits?
No. It’s tax-free and doesn’t impact your benefit entitlements.
What happens if I miss the payment?
Wait until the end of April. If it still hasn’t arrived by May 7, contact the DWP or HMRC.
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