UK households struggling with rising costs will receive another major support boost in 2025. The government, through the Department for Work and Pensions (DWP), has confirmed the second £300 cost of living payment as part of its ongoing relief package for low-income and vulnerable groups.
This payment is part of the broader 2025 Cost of Living Support Scheme, which includes several one-off payments aimed at easing financial pressure on millions of citizens. Here’s everything you need to know about the schedule, eligibility, and how to make sure your payment arrives without issues.
Who Will Receive the Second £300 Cost of Living Payment?
The £300 cost of living payment is specifically designed for individuals and households receiving means-tested benefits. You will qualify if, during the DWP’s designated eligibility window, you receive one or more of the following:
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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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Pension Credit
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Income Support
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Working Tax Credit
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Child Tax Credit
You do not need to apply for the payment. If your benefits were active during the qualifying period and your bank details are up to date with HMRC or DWP, you will automatically receive the amount.
When Will the £300 Payment Be Made?
The DWP has not published a fixed date, but based on internal guidance and last year’s patterns, the second £300 cost of living payment is expected to be paid in late August or early September 2025.
Payments will be staggered, meaning recipients won’t all get the amount on the same day. The rollout will depend on:
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The type of benefit you receive (e.g., UC vs. Pension Credit)
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Whether your benefit is administered by DWP or HMRC
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Whether your claim is up to date and verified
DWP and HMRC will send confirmation messages via Universal Credit journals or through official HMRC letters.
How Will the £300 Payment Be Delivered?
The £300 second cost of living payment will be paid directly into the bank account where your benefits are normally deposited. You do not have to confirm or accept the payment—it will appear automatically.
Look for the following bank reference:
“DWP COLP2” or “HMRC COLP2”, depending on which agency administers your benefits.
Make sure that:
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Your banking information is current
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You have not changed accounts without informing DWP/HMRC
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There are no flags or suspensions on your claim
What If You Miss the Payment?
If you believe you are eligible but don’t receive the £300 payment by mid-September 2025, take the following steps:
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Check your benefit status: Ensure your benefits were active during the qualifying window.
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Contact the DWP or HMRC via your online account.
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Verify your payment history in your bank account using the reference codes.
A claim process will be available for missing payments, but it typically opens only after the full rollout ends.
Additional Support Beyond the £300 Payment
The £300 cost of living payment is part of a multi-tiered approach to assist UK residents in 2025. Other scheduled or proposed support includes:
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A £200 cost of living payment earlier in the year
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An extra £256 payment for select households
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Energy rebates and local council support funds
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Pensioner winter fuel payments and disability support bonuses
Together, these measures aim to provide cumulative relief of £1,000 or more for many struggling households.
FAQs
What is the second £300 cost of living payment for 2025?
It is a one-off government support payment for individuals on low income or benefits, designed to help with ongoing cost of living pressures.
Who qualifies for the £300 second payment?
Anyone receiving Universal Credit, income-based JSA or ESA, Pension Credit, Income Support, Working Tax Credit, or Child Tax Credit during the eligibility window qualifies.
When will the second £300 payment be made?
The payment is expected to be rolled out in late August or early September 2025, depending on your benefit and agency.
How will the payment appear in my bank?
The payment will show up automatically with a reference like “DWP COLP2” or “HMRC COLP2” in your bank account.
What should I do if I don’t receive the £300 payment?
Contact the DWP or HMRC via your benefits portal after confirming your eligibility. A missing payment claim line will open after the rollout completes.
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