UK £250 Cost of Living Payment in May 2025: How to Check Your Eligibility
In May 2025, millions of UK households are set to receive a £250 Cost of Living Payment to help with everyday expenses like food, bills, and transport. With energy and grocery prices still causing strain for many families, this payment comes as welcome relief from the government for those on certain benefits or low income.
This article explains everything you need to know about the May 2025 payment, including who qualifies, how and when it will be paid, and how to check if you’re eligible. We’ve kept the language simple so it’s easy to follow.
What Is the £250 Cost of Living Payment?
The £250 Cost of Living Payment is part of the government’s continued effort to support vulnerable households during tough economic times. It is a one-off payment, not a loan, and it does not need to be repaid.
This payment is mainly for people who receive certain government benefits. It is separate from Universal Credit or Pension payments, but you must be receiving those or similar benefits during a specific qualifying period to get it.
The Department for Work and Pensions (DWP) is managing the payment for most people, while HMRC will take care of some who receive Tax Credits only.
Overview Table: May 2025 Cost of Living Payment Details
| Payment Type | Details |
|---|---|
| Amount | £250 |
| Payment Date | Between 13 May – 22 May 2025 |
| Paid By | Department for Work and Pensions (DWP) / HMRC |
| Eligibility | Receiving qualifying benefit during test period |
| Taxable? | No |
| Affect Benefits? | No |
| How You’ll Be Paid | Same bank account as your benefit |
Who Is Eligible for the £250 Payment?
To receive the Cost of Living Payment in May 2025, you must have been receiving at least one of the following benefits during the qualifying period (which will be a set week in March or April 2025 — exact dates are expected to be confirmed by DWP):
Qualifying Benefits:
-
Universal Credit
-
Income-based Jobseeker’s Allowance (JSA)
-
Income-related Employment and Support Allowance (ESA)
-
Income Support
-
Pension Credit
-
Working Tax Credit (from HMRC)
-
Child Tax Credit (from HMRC)
Please note: If you receive New Style ESA or New Style JSA on their own, you will not be eligible. Only the income-related versions qualify.
When Will You Get Paid?
DWP has confirmed the payment window for May 2025 will be between 13 May and 22 May. Not everyone will receive the money on the same day. The payment will appear in your bank account as a separate entry, and the reference will include your National Insurance number followed by “DWP COL”.
Those receiving only Tax Credits (no other DWP benefits) will receive their payment slightly later, towards the end of May. HMRC will issue these payments separately.
How to Check If You’re Eligible
If you are unsure whether you qualify, here are a few easy ways to check:
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Check Your Benefit Award Letter
If you’re receiving one of the listed benefits and received a payment during the qualifying period, you’re likely eligible. -
Log Into Your Online Benefits Account
For example, if you’re on Universal Credit, log in to your journal and check your payment history for March or April. -
Wait for Notification
DWP may send out a letter or text message confirming your eligibility before the payment is made. -
Contact the DWP or HMRC
If you’re still unsure, you can call the DWP or HMRC helplines — though lines may be busy, especially during the payment window.
What If You Don’t Get Paid?
If you believe you’re eligible but haven’t received the £250 by 23 May 2025, wait a couple of days before taking action. Sometimes payments are delayed due to bank processing times.
If you still haven’t received anything by the end of May, you should:
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Contact the DWP or HMRC using the official contact numbers.
-
Double-check your benefit payment history and account details.
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Make sure your bank details are updated and correct.
Common Mistakes That Could Delay Your Payment
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Incorrect Bank Information
If your bank account has changed, make sure you updated your benefit account before the qualifying date. -
Not Being in the Qualifying Period
If you started receiving benefits after the eligibility window, you won’t get the payment. -
Receiving Non-Qualifying Benefits
Benefits like Contribution-based ESA or JSA, or Carer’s Allowance on its own, do not count. -
Shared Claims
For joint Universal Credit claims, only one payment per household is issued — so both partners will not receive £250 each.
FAQs – £250 Cost of Living Payment in May 2025
1. Do I need to apply for the £250 payment?
No. If you’re eligible, the payment is made automatically to the same account where you receive your benefits.
2. Will this affect my other benefits?
No. The Cost of Living Payment is not taxable and won’t impact your other benefit amounts.
3. Can I receive more than one Cost of Living Payment?
Yes, if the government announces more payments throughout the year, and you qualify for each one. But for May 2025, it’s one payment per household.
4. I only receive Child Tax Credit. Will I still get it?
Yes, as long as you were receiving it during the qualifying period. HMRC will pay you separately.
5. What if I moved house or changed my bank account?
You should notify DWP or HMRC of any changes. If not updated in time, your payment could be delayed or even fail to reach you.
Final Thoughts
The £250 Cost of Living Payment in May 2025 is designed to ease financial stress for households who need it most. If you’re already receiving the right benefit, and your payments were active during the qualifying period, you should receive your money without needing to do anything.
Keep an eye on your bank account during the payment window and make sure your benefit details are current. If you’re still waiting after the deadline, contact the DWP or HMRC directly.