UK £300 Second Cost of Living Payment: Millions of people across the United Kingdom are set to receive another round of government support as part of the ongoing efforts to ease the burden of rising expenses. The UK £300 Second Cost of Living Payment May 2025 has officially been confirmed and is expected to bring much-needed relief to households struggling with energy bills, food costs, and essential services. With inflation continuing to squeeze budgets, this payment is part of a broader cost-of-living support strategy led by the Department for Work and Pensions (DWP).
The UK £300 Second Cost of Living Payment targets low-income families, retirees, and individuals on qualifying benefits. It forms a critical part of the government’s economic aid response in 2025. This article outlines the eligibility requirements, the payment timeline, and what steps recipients need to take to receive their payment smoothly.
UK £300 Second Cost of Living Payment: Key Details and Overview
The UK £300 Second Cost of Living Payment is a vital part of the government’s ongoing financial support plan in 2025. Set to be delivered between May 12 and May 28, the payment will be made automatically to millions of eligible individuals receiving certain benefits such as Universal Credit, Pension Credit, Income Support, and Tax Credits. No separate application is required, and the funds will be sent directly to the bank accounts used for regular benefit payments. This payment aims to help low-income households manage rising living costs, including energy bills, food, transport, and other essential expenses.
Overview Table: UK £300 Second Cost of Living Payment (May 2025)
| Feature | Details |
| Payment Name | UK £300 Second Cost of Living Payment |
| Issuing Authority | Department for Work and Pensions (DWP) / HMRC |
| Payment Amount | £300 |
| Payment Period | May 12 to May 28, 2025 |
| Delivery Method | Direct bank deposit |
| Application Required | No – automatic for eligible claimants |
| Eligible Benefits | UC, income-based JSA, income-related ESA, Pension Credit, Income Support, Tax Credits |
| Payment Reference | “DWP COL” or “HMRC COLS” on bank statements |
| Requirement | Must qualify during assessment window (TBA) |
Who Qualifies for the £300 Second Cost of Living Payment?
The government has ensured that this £300 support payment reaches a wide group of financially vulnerable individuals and families. To be eligible, you must have received one of the following benefits during the assessment period, which will be confirmed by DWP:
- Universal Credit (including joint claimants)
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Pension Credit
- Income Support
- Working Tax Credit or Child Tax Credit (administered by HMRC)
It’s important to note that claimants who are only receiving contribution-based ESA or JSA will not qualify unless they also receive the income-based version of these benefits.
This inclusive approach ensures that both working and non-working low-income households, pensioners, and unemployed individuals are covered under the 2025 cost-of-living strategy.
Payment Timeline and Method
According to the DWP’s schedule, the UK £300 Second Cost of Living Payment will be deposited between May 12 and May 28, 2025. There’s no need to apply—if you’re eligible and your benefit has been paid during the assessment window, you’ll receive the payment automatically.
Payments will appear in your bank account with references such as “DWP COL” or “HMRC COLS”, depending on which agency processes your benefit.
To avoid delays:
- Ensure your bank account details are current with DWP or HMRC.
- Verify your personal information is accurate before the payment window.
Importance of the £300 Support Payment
While £300 may seem modest, it can go a long way for families who are balancing tight monthly budgets. This payment is intended to provide direct relief for urgent expenses such as:
- Utility bills (electricity, gas, water)
- Food and grocery costs
- Transport and fuel expenses
- School supplies and childcare costs
This financial support aims to reduce dependence on credit, prevent households from falling behind on essential payments, and keep vulnerable citizens afloat during the ongoing cost-of-living crisis.
By giving families the flexibility to allocate the funds based on their needs, this payment serves as both a short-term boost and a long-term investment in household stability.
Other Financial Support Schemes Available
The UK £300 Second Cost of Living Payment is part of a wider package of aid designed to help people through economic hardship in 2025. Other notable schemes include:
- Warm Home Discount – Reduces winter energy costs for eligible households.
- Household Support Fund – Available via local councils for urgent financial needs.
- Winter Fuel Payment – Supports older residents with heating expenses.
- Free School Meals and Holiday Vouchers – Helps families with food during school holidays.
These support measures, along with the £300 payment, form a comprehensive safety net for those in financial need. Households are encouraged to explore multiple sources of aid if they are struggling.
FAQs
When will the £300 second cost of living payment be issued?
Between May 12 and May 28, 2025, for eligible claimants via direct deposit.
Who qualifies for the payment?
Individuals receiving Universal Credit, income-based JSA or ESA, Pension Credit, Income Support, or Tax Credits, provided they qualify during the assessment period.
Do I need to apply for the payment?
No. The payment is automatic if you qualify. Make sure your benefit information and banking details are current.
How will I receive the payment?
It will be directly deposited into your regular benefit account, and may show up under the reference “DWP COL” or “HMRC COLS.”
What can the £300 payment be used for?
The funds are flexible and can be used for energy bills, food, transport, school supplies, or any essential household need.
Final Thought
The UK £300 Second Cost of Living Payment May 2025 offers vital financial support at a time when many families are stretched thin. By targeting those on low incomes and benefits, the government is providing a much-needed cushion to help households cover rising living costs.
For eligible recipients, this payment will be automatically deposited without any need for application. However, it’s essential to ensure your details with DWP or HMRC are accurate to avoid any delays.
If you or someone you know is facing financial hardship, stay informed about all available support schemes—this payment may only be one part of the help available. Every bit of support matters when managing the everyday costs of life.
