Millions of households in receipt of Universal Credit and other benefits are looking forward to receiving a £300 cost of living payment this autumn, but that is not the only bonus they have coming their way.

The Department for Work and Pensions has confirmed details of the Christmas bonus being sent to eligible households this winter.

As the cold weather rolls back in again, millions will receive a cash boost from the Department for Work and Pensions (DWP).

Although it is a relatively small amount of £10, will not need to be repaid and will not affect any other benefits you may receive.

Who is eligible for the DWP Christmas bonus?

To be eligible for the payment, you must be receiving one of the following benefits along with Universal Credit.

You will need to be receiving the relevant benefits in qualifying week, which will most likely be the first week of December.

A full list of eligible benefits includes:

  • Armed Forces Independence Payment
  • Attendance Allowance
  • Carer’s Allowance
  • Child Disability Payment
  • Constant Attendance Allowance (paid under Industrial Injuries or War Pensions schemes)
  • Contribution-based Employment and Support Allowance (once the main phase of the benefit is entered after the first 13 weeks of claim)
  • Disability Living Allowance
  • Incapacity Benefit at the long-term rate
  • Industrial Death Benefit (for widows or widowers)
  • Mobility Supplement
  • Pension Credit - the guaranteed element
  • Personal Independence Payment (PIP)
  • State Pension (including Graduated Retirement Benefit)
  • Severe Disablement Allowance (transitionally protected)
  • Unemployability Supplement or Allowance (paid under Industrial Injuries or War Pensions schemes)
  • War Disablement Pension at State Pension age
  • War Widow’s Pension
  • Widowed Mother’s Allowance
  • Widowed Parent’s Allowance
  • Widow’s Pension

To qualify for the payment, as well as receiving one of the above benefits, you will also need to be a resident of one of six areas.

To receive the Christmas bonus you will have to live in the UK, the Channel Islands, the Isle of Man, Gibraltar, Switzerland or any other European Economic Area (EEA).

When will I receive my DWP Christmas bonus payment?

The Christmas bonus will be paid automatically so there is no need to claim, and the payment will be received before Christmas.

The Christmas cash boost will be paid directly into the same bank account where benefit payments are usually paid.

If you’re unsure whether you have received the payment, it should show up in your bank statement as “DWP XB” or something similar over the festive period.

DWP £300 cost of living payment

The DWP announced the dates for the next cost of living payment, revealing that millions of eligible households will receive the £300 cash boost from October 31.

It will be the second of three payments totalling up to £900 for those eligible and on means-tested benefits, such as Universal Credit, Pension Credit or tax credits, in 2023/24.

People eligible for payments who are claiming tax credits only, who do not qualify for a payment from the DWP, will get £300 from HM Revenue and Customs (HMRC) between November 10 and 19.


Payments are tax-free, will not count towards the benefit cap and will not have any impact on existing benefit awards, the Government said.

To be eligible for the latest cost-of-living payment from the DWP, someone needs to have been entitled to a payment for a qualifying benefit between August 18 and September 17, or a payment for an assessment period, ending between these dates.

From HMRC, they need to have received a payment of tax credits for any day between August 18 and September 17.

There are several benefits that could make claimants eligible for the Cost of Living Payment, including Universal Credit and tax credits – through which 5.4 million households across the UK are expected to qualify, and Pension Credit, through which 1.4 million pensioner households are expected to be paid. 1.3 million will be eligible through legacy DWP benefits such as Jobseekers Allowance and Income Support, reaching a total of 8.1 million households.

Eligible individuals do not need to apply for payments, as they are made automatically. Those eligible for cost of living payments through tax credits, and no other means-tested benefits, will be paid by HMRC shortly after DWP payments are made.