As household expenses remain high in mid-2025, the UK government is stepping in once again with targeted support.
The £300 Cost of Living Payment, set to arrive in mid-July 2025, is designed to provide financial relief for low-income families struggling with inflation, rising utility bills, and grocery costs.
Administered by the Department for Work and Pensions (DWP), this payment will reach millions of eligible claimants across the country—without the need for a separate application.
Here’s everything you need to know about eligibility, payment timing, and what to do if your payment doesn’t arrive.
£300 Cost of Living Payment – Overview
| Detail | Information |
|---|---|
| Payment Amount | £300 |
| Payment Date | Mid-July 2025 |
| Eligibility Period | 5 June 2025 – 25 June 2025 |
| Payment Method | Automatic deposit to your benefit bank account |
| Application Required | No – paid automatically if you receive qualifying benefits |
| Issuing Authority | Department for Work and Pensions (DWP) |
Who Is Eligible for the £300 DWP Cost of Living Payment?
To qualify for the £300 Cost of Living Payment, individuals must have received at least one means-tested benefit during the qualifying period from 5 June 2025 to 25 June 2025.
Qualifying Benefits Include:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Pension Credit
- Working Tax Credit
- Child Tax Credit
This payment is meant to target households most affected by the cost of living crisis, offering a vital buffer against increasing prices for energy, rent, food, and essentials.
Why the £300 Payment Is Needed in July 2025
Despite some signs of economic recovery, core living costs remain high. Fuel prices, grocery bills, and housing costs continue to place intense pressure on working-class and vulnerable families.
The £300 Cost of Living Payment in July 2025 comes at a time when:
- Energy bills are still elevated from winter surges
- Rents have increased in most urban and suburban regions
- Inflation, though easing in some areas, is still affecting food prices and transportation costs
This support offers immediate relief to those who need it most and is part of the government’s broader response to ongoing economic challenges.
When and How the £300 Payment Will Be Made
The £300 payment will be automatically sent to qualifying recipients in mid-July 2025. Most people should receive the money by the end of July, directly into the bank account used for their usual benefit payments.
Key Points:
- No action is needed if you’re already receiving qualifying benefits
- The payment will appear separately from your regular benefit amount
- There’s no application required—it will be processed automatically
What to Do If You Don’t Receive the Payment
If you do not receive the £300 payment by early August 2025, here are the steps to take:
- Wait until the second week of August to account for possible processing delays
- Contact the DWP via their helpline or online service portal
- Have your National Insurance number and benefit claim details ready when inquiring
Missing payments can result from bank detail mismatches, changes in benefit status, or system processing errors, so it’s crucial to stay updated.
Why the £300 Payment Matters for UK Households
For many families, this one-time payment offers timely relief in a month that typically sees high energy usage, holiday childcare costs, and increased household expenses.
The £300 Payment Can Help Cover:
- Electricity or gas bills
- Grocery shopping
- Rent or mortgage support
- Childcare and back-to-school costs
This DWP initiative continues the government’s strategy of targeted support for those most at risk of financial hardship.
The £300 Cost of Living Payment in July 2025 represents a crucial financial lifeline for millions of households navigating tough economic conditions.
With automatic payments and a clear eligibility window, this one-off DWP support ensures timely aid without the burden of new applications.
If you’re eligible, be sure to check your benefit account around mid-July—and take action in August if your payment doesn’t arrive.
This initiative reaffirms the government’s commitment to supporting low-income families during a period of persistent cost pressure.
FAQs
Who is eligible for the £300 Cost of Living Payment in July 2025?
Anyone receiving means-tested benefits like Universal Credit, Pension Credit, or Tax Credits during 5–25 June 2025 will qualify.
When will I receive the payment?
Payments will be deposited automatically in mid-July 2025, with most arriving by the end of the month.
Do I need to apply for the £300 payment?
No. If you qualify, the payment will be sent automatically to your usual benefit bank account.