£299 Cost of Living Payment May 2025: With prices rising across the United Kingdom, low-income and vulnerable households can expect vital relief in the form of the £299 Cost of Living Payment May 2025. This one-off payment is designed to help ease the pressure from inflation, rising energy costs, and essential day-to-day living expenses.
The £299 Cost of Living Payment May 2025 marks the third and final instalment in the government’s 2024/25 cost of living support plan. It aims to support millions of individuals and families, ensuring financial stability during difficult times and offering some relief without requiring recipients to apply or take extra steps.
£299 Cost of Living Payment May 2025
The £299 Cost of Living Payment May 2025 is the final installment of a £900 support package aimed at helping low-income households manage rising living costs. It follows two earlier payments of £301 and £300. This third payment is automatically issued to eligible individuals who receive specific means-tested benefits such as Universal Credit, Pension Credit, or Tax Credits. No application is required, as eligibility is determined based on benefit records during a defined assessment period. This financial support is part of the UK government’s effort to ease inflation-related pressures and provide stability to the most vulnerable citizens.
Overview Table: Key Payment Details
| Detail | Information |
| Payment Amount | £299 |
| Payment Period | May 10 to May 25, 2025 |
| Mode of Payment | Direct deposit into the claimant’s bank account |
| Application Required | No |
| Eligibility Requirements | Receipt of qualifying benefits during the assessment period |
| Qualifying Benefits | Universal Credit, Income-Based JSA, Income-Related ESA, Pension Credit, Tax Credits |
| Payment Reference on Bank | “DWP COL” or “HMRC COLS” |
What Is the £299 Cost of Living Payment?
The £299 payment is a tax-free, non-repayable, one-time government support intended to help people manage essential expenses like energy bills, food, and transportation. It builds upon previous rounds of cost of living support and targets those who are most financially impacted.
No application is needed. The payment is automatically sent to those eligible, making it a quick and efficient solution to ongoing economic stress.
Who Is Eligible for the £299 Cost of Living Payment?
Eligibility for the payment is based on whether an individual or household receives one or more of the following qualifying benefits during the official assessment period:
- Universal Credit (including joint claims)
- Income-Based Jobseeker’s Allowance (JSA)
- Income-Related Employment and Support Allowance (ESA)
- Pension Credit
- Working Tax Credit
- Child Tax Credit
Note: Contribution-based versions of ESA or JSA are not included unless paired with income-based versions. The payment is meant to be inclusive of people most affected by high living costs, including pensioners, low-income families, and people with disabilities.
Payment Dates and Delivery Process
The £299 payment will be delivered between May 10 and May 25, 2025. Payments will be issued through direct deposit into the bank accounts linked to the qualifying benefits.
Recipients do not need to take any action. However, it’s important to ensure that bank details are up to date. The transaction will appear on bank statements with references like “DWP COL” or “HMRC COLS”.
Why the £299 Payment Matters
This payment completes the government’s three-part cost of living support series, totaling nearly £900 per eligible claimant over the 2024/25 fiscal year. For many, this £299 payment may help them avoid missed bills or the need to borrow money just to meet basic needs.
Common uses of this payment include:
- Paying for energy and water bills
- Buying groceries and household necessities
- Covering school or childcare-related costs
- Managing transportation expenses for work or health appointments
The payment acts as a short-term financial buffer and is especially valuable during seasonal transitions when household expenses can spike unexpectedly.
Other Government Support You Can Still Access
In addition to the £299 cost of living payment, other support schemes continue to assist those in need, including:
- Warm Home Discount – Aimed at helping households with winter energy bills
- Household Support Fund – Emergency financial help provided through local councils
- Winter Fuel Payment – Additional support for pensioners to cope with heating costs
- Free School Meals and Food Vouchers – For families with school-aged children on low incomes
These additional programs work together to form a broader safety net for struggling households.
FAQs About the £299 Cost of Living Payment
Who qualifies for the £299 cost of living payment?
Anyone who receives Universal Credit, income-based ESA or JSA, Pension Credit, or Tax Credits (during the qualifying period) is eligible.
When will I receive the £299 payment?
Payments are scheduled between May 10 and May 25, 2025. Timing depends on your benefit provider.
Do I need to apply to receive the payment?
No. Payments are made automatically using your existing benefit records.
How will I receive the money?
The payment will be sent directly to your registered bank account. Look for references like “DWP COL” or “HMRC COLS”.
What if I don’t receive the payment?
If the payment hasn’t arrived by May 25, ensure your bank details are correct. After this date, you can contact DWP or HMRC for support.
Final Thought
The £299 Cost of Living Payment May 2025 provides much-needed help to those who are hit hardest by inflation and rising expenses. It forms part of a larger effort to ensure that essential needs are covered for millions of people who rely on government assistance.
If you think you’re eligible, double-check that your contact and bank details are correct with your benefit provider. Keep an eye on your account between May 10 and May 25, and use the payment to support your most urgent needs.
