November 22, 2024
DWP one-off payments for families, disabled and pensioners | Personal Finance | Finance #UKFinance

DWP one-off payments for families, disabled and pensioners | Personal Finance | Finance #UKFinance

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Paying with British currency

One-off DWP payments for families, disabled and state pensioners due before Christmas (Image: Getty)

Heading into winter, certain British households can expect a series of one-off payments from the Government to support them during the typically costly period.

The energy price cap increased by around 10% in October, which will leave many grappling with higher heating bills when temperatures drop.

There are no “cost of living” payments this year, but there are as many as six payments available to people who claim certain benefits, worth hundreds of pounds collectively.

Some payments are specifically aimed at reducing energy bill costs, which may be particularly welcomed this year following the narrowing eligibility criteria for the Winter Fuel Payment. Others can help more widely with daily living.

Here is a rundown of the one-off payments set to hit bank accounts this winter from the Department for Work and Pensions (DWP) and Social Security Scotland.

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The Department For Work & Pensions

There are six one-off payments available to certain households this winter. (Image: Getty)

Winter Fuel Payment – £200-£300

For those still eligible for the Winter Fuel Payment, up to £300 is available to help cover heating costs.

People can qualify for the payment in Winter 2024 to 2025 if they were born before September 23, 1958, and live in England or Wales while receiving one of the following benefits:

People typically qualify for £200 worth of support if they were born between September 23, 1944, and September 22, 1958. Those born before September 23, 1944, will qualify for the higher payment of £300.

An estimated 880,000 pensioners may be eligible for Pension Credit but aren’t claiming it, making it vital for individuals to check eligibility as it’ll entitle them to Winter Fuel Payment support.

When is the payment made?

Letters were sent out from mid-October detailing how much eligible people would receive. Most payments are made automatically in November or December.

Senior woman warming her hands over electric heater at home

The Warm Home Discount provides a one-off £150 rebate on households’ electricity bills (Image: Getty)

Warm Home Discount – £150 paid directly to energy supplier

The Warm Home Discount provides a one-off £150 rebate on households’ electricity bills. Eligible households can automatically receive this payment if they’re receiving the Guarantee Credit portion of Pension Credit, or are on a low income and have high energy costs.

Other qualifying benefits include the Savings Credit portion of Pension Credit, income-related Employment and Support Allowance (ESA),income-based Jobseeker’s Allowance (JSA), Universal Credit or Housing Benefit.

When is the payment made?

Most qualifying households should expect to receive a letter from the Department for Work and Pensions (DWP) confirming their eligibility between November and January.

The payment is then made directly to the household’s energy provider between November and March.

Senior woman filling out financial statements

The DWP distributes a one-off tax-free £10 payment just before Christmas every year (Image: Getty)

DWP Christmas Bonus – £10

Each year, the Department of Work and Pensions (DWP) distributes a one-off tax-free £10 payment just before Christmas – although the figure hasn’t changed since 1972.

People do not need to claim the bonus, it will arrive automatically in the bank accounts of those eligible.

To get a Christmas Bonus people must be present or “ordinarily resident” in the UK, Channel Islands, Isle of Man or Gibraltar during the qualifying week, which is usually the first week of December.

People must also get at least one of the following benefits in the qualifying week:

  • Adult Disability Payment
  • 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 guarantee 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.

Those who have not claimed their state pension and are not entitled to one of the other qualifying benefits will not get a Christmas Bonus.

Individuals who are either married, in a civil partnership, or cohabiting and who receive one of the qualifying benefits, are each entitled to receive a Christmas Bonus payment.

When is the payment made?

The Christmas Bonus payment is usually made in early December.

Child Winter Heating Payment – £251.50

While this payment is primarily designed for families with disabled children, some pensioners may benefit from it if they are the legal guardians of a child who qualifies.

The Child Winter Heating Payment is distributed to Scottish residents and provides £251 to help with heating costs during the colder months.

People can be eligible for the payment if they live with a child or young person under 19 who is entitled to either the highest rate of the care component of child disability payment (CDP) or disability living allowance (DLA), or the enhanced rate of the daily living component of adult disability payment (ADP) or Personal Independence Payment (PIP).

To be eligible, individuals must have been claiming one of these benefits during the qualifying week of September 16-22, 2024.

When is the payment made?

Social Security Scotland has confirmed payments started hitting eligible households’ bank accounts in October and will continue this month.

Winter Heating Payment – £58.75

The Winter Heating Payment is available to people in Scotland who qualify for certain benefits, such as Pension Credit and Universal Credit. This year, the payment is worth £58.75.

When is the payment made?

The payment will be distributed in a single instalment between mid-December and February 2025.

Carer’s Allowance Supplement – £288.60

The Carer’s Allowance Supplement is an extra payment made to unpaid carers in Scotland to recognise their contributions. It’s an automatic payment made twice a year by Social Security Scotland, and the next one is due in December.

Scots are eligible for this payment if they received Carer Support Payment or Carer’s Allowance on October 7, 2024. People due a payment will get a letter from Social Security Scotland beforehand.

When is the payment made?

The second Carer’s Allowance Supplement is typically paid to those eligible in December.

Household Support Fund

Additionally, Britons are being urged to check if they can claim money or vouchers from their local council this winter.

The Household Support Fund is targeted at the most vulnerable households and is typically used to help them with the cost of essentials like groceries, toiletries, and energy bills.

The Government has added a further £421million to the pot this year, which is allocated to local authorities across England to distribute to constituents most in need. The pot is available from October 1, 2024, to March 31, 2025.

Councils in England decide how best to allocate their fund by drawing from local knowledge and making direct contact with people in the community. The portion of funding each council receives is based on the size of the population within its catchment area and its needs.

For a few examples of how local authorities have previously used the fund, Birmingham City Council distributed grants of up to £200 to help households with food costs and energy payments.

People can find out how much their area was awarded at GOV.UK and are being urged to check their council’s website or call their office to find out what payments are available locally to them through the fund.

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