The UK government has confirmed that more than six million low-income households will begin receiving a £300 payment in October to help with rising living costs. The Department for Work and Pensions (DWP) announced the payment window, marking the second of three instalments in its 2025-2026 support package. These cost-of-living payments are intended to provide targeted relief for those most affected by high inflation and energy bills.
Autumn Payment
| Key Fact | Detail/Statistic |
| Payment Amount | £300 per eligible household GOV.UK |
| Eligible Recipients | Approx. 6.2 million households on means-tested benefits |
| DWP Payment Window | Between 15 October and 30 October 2025 |
| HMRC Payment Window | For Tax Credit recipients, between 25 October and 9 November 2025 |
Understanding the Cost-of-Living Payments Programme
The scheduled £300 is part of a wider £900 support scheme for households on means-tested benefits, initially detailed in the government’s last Autumn Statement. This follows a series of similar financial interventions over the past two years designed to shield vulnerable families from economic shocks.
The Work and Pensions Secretary, speaking from Westminster, emphasised the government’s focus on direct support. “We recognise that despite inflation easing, many families continue to face financial pressures,” stated the Secretary. “These cost-of-living payments provide a crucial buffer, particularly as we head into the colder months, ensuring support is directed to those who need it most.”
The payments are made automatically, meaning eligible households do not need to apply. Officials have warned the public to be vigilant against scams, as the DWP will never ask for personal details via text message or email regarding the payments.
Eligibility and Qualifying Benefits
To receive the £300 payment, a household must have been entitled to a payment from one of the qualifying benefits during a specific assessment period, which the government has confirmed was between 13 August and 12 September 2025. The support is provided on a per-household basis, not per individual.
The qualifying benefits include:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Pension Credit
- Child Tax Credit
- Working Tax Credit
Payments from the DWP will appear in bank accounts with the reference code “DWP COLP” along with the recipient’s National Insurance number.
Reaction from Financial Experts and Charities
While the additional support has been welcomed, some anti-poverty campaigners and financial charities have expressed concerns about its long-term adequacy. The Joseph Rowntree Foundation (JRF), a leading social policy research organisation, acknowledged the payment would provide immediate relief but cautioned that it does not address the underlying causes of financial hardship.
“This cash injection will be a lifeline for many families struggling to afford essentials,” a JRF spokesperson said in a statement. “However, one-off payments are a temporary fix. We need to see sustained investment in our social security system to ensure it offers genuine protection against poverty.”
This sentiment reflects a broader debate on whether targeted, ad-hoc payments are more effective than raising the core rates of benefits. Proponents argue that direct payments are faster and more focused, while critics contend they create uncertainty and fail to provide a stable financial foundation for low-income households.
The final instalment of the £900 package, also worth £300, is expected in Spring 2026, though precise dates have not yet been announced. The government has stated it will continue to monitor the economic situation and assess the need for further support measures in the next budget cycle.
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FAQs
1. Do I need to apply for this cost-of-living payment?
No. If you are eligible, the payment will be made automatically into the same bank account where you receive your benefits. You do not need to contact the DWP or HMRC.
2. Which benefits qualify for the payment?
You may be eligible if you receive Universal Credit, Pension Credit, Income-based JSA, Income-related ESA, Income Support, Working Tax Credit, or Child Tax Credit during the qualifying period.
3. What should I do if I think I am eligible but have not received the payment?
The DWP advises waiting until the end of the payment window (30 October for DWP payments) before reporting a missing payment. A portal on the GOV.UK website will be available after this date for individuals to raise an inquiry.
4. Is this payment taxable and will it affect my other benefits?
No. The cost-of-living payment is non-taxable and will not affect any other benefits or tax credits you receive.
