The UK government is set to roll out its second £300 Cost of Living Payment in June 2025. This payment is part of the government’s ongoing support package to help low-income households manage rising energy, grocery, and housing costs. It is a tax-free amount and will be sent automatically to those who qualify, without the need for any application.
The payment is the second of three parts in the 2025–26 cost of living support plan. The full support package includes three instalments totalling £900 for people on eligible benefits.
Who Will Get the £300 Payment?
Not everyone in the UK will get this payment. You are eligible for the £300 Cost of Living Payment if you were receiving any of the following benefits between 1 April and 30 April 2025:
- Universal Credit
- Pension Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Working Tax Credit
- Child Tax Credit
People who receive only new-style ESA, new-style JSA, or contribution-based benefits won’t qualify unless they also get one of the means-tested benefits listed above.
Key Payment Dates to Remember
The Department for Work and Pensions (DWP) has confirmed that the payment will be made in mid to late June 2025. While the exact dates are yet to be officially announced, people are advised to check their bank accounts regularly during this period.
Most eligible claimants will receive the payment automatically into the same bank account where their benefits are normally deposited.
If you are eligible through HMRC tax credits only, you may receive the payment a few days later, around the end of June 2025.
How Will You Receive the Payment?
There is no need to apply for this payment. If you are eligible, the £300 will be sent automatically to your account.
The payment will appear on your bank statement with a reference like:
DWP COLP2 or HMRC COLS.
If you do not receive the payment but believe you are eligible, you will be able to report it via the official GOV.UK website once the payment window ends.
What If You Recently Started Receiving Benefits?
To qualify for the £300, you must have been entitled to a qualifying benefit during the specific eligibility window in April 2025.
If you applied for benefits in April but your claim was approved later, and backdated to April, you may still get the payment. This is why it’s important to check your claim status and ensure that your benefit payments cover that timeframe.
What About the Third Payment?
The third and final Cost of Living Payment of £299 is expected to be delivered in Autumn 2025. Just like the earlier instalments, eligibility will be based on a specific period, which will be announced closer to the payment date.
Together, these three payments—£301, £300, and £299—make up the full £900 support package promised for 2025–26.
Be Aware of Scams
The DWP will never ask for personal details via text or email regarding these payments. Do not click on suspicious links or share personal details online.
If you receive a message asking for information to release your cost of living payment, it is likely a scam. Always use the official GOV.UK website to check your payment status.
Final Words
The second £300 cost of living payment comes as a much-needed relief for millions of people across the UK. With continued inflation and rising prices, this support aims to provide direct help to those who need it most.