The Department for Work and Pensions (DWP) has confirmed a new round of financial support to help combat the ongoing cost of living pressures in the UK. A one-off £450 payment will be made available to eligible claimants starting in June 2025. This payment is part of a broader government initiative to cushion the blow from continued inflation and soaring household expenses. So, who exactly qualifies for this payment, and when can you expect to receive it?
£450 DWP Payment Coming in June 2025
Although inflation has started to ease, its effects remain deeply embedded in everyday life. Essential goods such as groceries, energy, and housing continue to eat away at household budgets. For those on low or fixed incomes, these costs can be especially burdensome. That’s why the government is stepping in again, offering direct financial assistance to those most in need.
Who Qualifies for the £450 Payment?
To be eligible, individuals must be receiving at least one of the following means-tested benefits during a specific qualifying period (expected to be announced soon):
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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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Working Tax Credit
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Child Tax Credit
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Pension Credit
It’s important to note that if you are on contribution-based ESA or JSA only, you will not qualify unless you are also receiving a means-tested top-up. Those receiving both tax credits and other qualifying benefits will only receive one £450 payment, not double.
Payment Timeline
The rollout is scheduled to begin in late June 2025. Similar to previous cost of living support schemes, the DWP will distribute the payments in phases. This staggered approach helps to manage system load and ensures smooth processing.
The exact payment date will vary depending on your specific benefit and when it is usually paid. However, most recipients can expect the payment to arrive automatically by early June.
How Will You Receive the Payment?
If you qualify, you do not need to apply. The DWP will use existing systems to make direct deposits into your bank account, using the same method by which you currently receive benefits. To avoid scams, be wary of any text messages, emails, or phone calls asking for personal information to “verify” your eligibility—this process is entirely automatic.
Is It Taxed or Counted as Income?
No. The £450 payment is non-taxable, does not affect your benefits, and is not treated as income. You can use the funds without worrying about future deductions or complications.
Other Support Available in 2025
The £450 payment is part of a larger package aimed at supporting vulnerable groups. Other 2025 support includes:
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Energy bill rebates
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Increased Local Housing Allowance (LHA) caps
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Council Tax discounts
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Local hardship grants from councils
These additional measures are designed to complement the £450 payment and ease pressure across multiple cost categories.
What to Do Next
To ensure you don’t miss out, double-check that your benefit details—especially bank information—are up to date with DWP or HMRC. If your circumstances change between now and June, you could still become eligible if you begin claiming a qualifying benefit before the cut-off date.
Final Thoughts
The £450 DWP payment in June 2025 is a timely intervention for struggling families and individuals. While it won’t solve long-term financial issues, it provides essential short-term relief. Watch for official updates, avoid scams, and make sure your benefit records are current to ensure smooth processing.