DWP Cost of Living Payments 2025: The UK government has rolled out updated support measures to assist households still struggling with daily expenses. While the direct one-off DWP Cost of Living Payments seen in previous years have officially ended, many people mistakenly believe there is no help left. That’s not the case. Thanks to the extended Household Support Fund (HSF), financial relief is still available—but with new changes and tighter eligibility rules.
The DWP Cost of Living Payments 2025 update clarifies that although the previous nationwide cash payments have stopped, local councils are continuing to offer targeted support using HSF funding. This includes vouchers, direct cash grants, and help with essentials such as food and energy. However, how much you get—and whether you qualify—depends entirely on your local council’s criteria.
DWP Cost of Living Payments 2025: What’s New and Who Can Apply
The DWP Cost of Living Payments 2025 no longer follow the same model as the £299, £301, and £324 payments issued between 2022 and 2024. The Labour Government has confirmed that there will be no more broad-based cost of living payments. Instead, it has chosen to extend the Household Support Fund until March 2026, with a £742 million funding boost.
This money is now managed by individual councils, who set the rules on eligibility and application processes. Support is still available for low-income households, but how it is distributed—and how much you may get—will vary by area.
Overview Table: Key Points on DWP Cost of Living Payments 2025
| Aspect | Details |
| Scheme Name | Household Support Fund (HSF) |
| Replaces Previous DWP Payments? | Yes – replaces national cost of living payments |
| Funding Amount | £742 million |
| Running Period | April 2025 – March 2026 |
| Administered By | Local Councils |
| Support Type | Cash grants, supermarket vouchers, utility support, food vouchers |
| Eligibility | Low-income families, benefit claimants, pensioners, vulnerable residents |
| Application Process | Depends on council – online, phone, or in-person |
DWP Officially Confirmed No Further Cost of Living Payments Will Be Introduced
In a clear statement, the DWP confirmed there will be no additional cost of living payments under the Labour Government. This ends speculation about another round of automatic national payments like those issued during the pandemic and energy crisis years.
However, the government is still focused on helping vulnerable people cope with inflation and high bills. The main tool for this is the Household Support Fund, which lets councils respond to local needs more directly and flexibly.
Cost of Living with Updated Criteria
The Household Support Fund (HSF) was first introduced in 2021 and has now been extended until March 2026. The government has allocated £742 million in new funding for this purpose. Local authorities have the freedom to decide how the support is distributed. Depending on where you live, help may come in the form of:
- Supermarket or fuel vouchers
- One-off cash payments
- Energy bill assistance
- Food support for children during school holidays
- Housing-related help
Each council posts its eligibility criteria and available benefits on its official website. Since funding is limited, applications are accepted during specific windows and are typically reviewed on a first-come, first-served basis.
300 Cost of Living Payment May 2025
Bournemouth, Christchurch and Poole Council (BCP) is one of the councils actively using its HSF budget to support residents. It is offering up to £300 in household aid for low-income families who are unable to meet essential living costs.
Here’s how it works:
- The £300 may be distributed as two £150 vouchers across different periods.
- Applicants must apply within announced windows.
- The support covers essentials like food, energy, and household bills.
This targeted help also comes with practical advice on managing money and improving home energy efficiency.
BCP Council’s HSF Also Provides a School Holiday Food Voucher Scheme
BCP Council goes beyond just one-off grants. It also runs a school holiday food voucher scheme, offering £15 per child during breaks such as the May half-term. These food vouchers aim to reduce the pressure on families who rely on free school meals during term time.
This kind of targeted intervention ensures that children don’t go hungry when schools are closed, and it’s just one of many creative ways local councils are using HSF funds.
The Fund Supports Heat-Saving Upgrades
Apart from direct payments, HSF funding is also being used for long-term energy-saving improvements, especially in colder regions. Councils are helping residents make their homes more efficient by offering:
- Loft insulation
- Cavity wall insulation
- Other home heating upgrades
These energy efficiency measures not only reduce future energy bills but also create more sustainable homes for elderly and low-income residents.
Households in Medway Can Claim a Share of £4 Million
Residents in Medway can now apply for a share of the area’s £3.98 million HSF budget. The local authority will use the funding to provide direct support for housing, heating, food, and essentials.
Medway’s application process will follow the standard HSF model, with applications accepted online or by post, and processed based on need and availability. Be sure to visit the official Medway Council site for full eligibility details.
Torbay Council Has Reopened Their Household Support Fund Scheme
Torbay Council is offering one-off payments of £100 to qualifying residents. This support can be used for:
- Gas or electricity bills
- Water costs
- Grocery expenses
Who qualifies in Torbay?
- Universal Credit recipients
- ESA (Employment and Support Allowance) claimants
- Pension Credit beneficiaries
- Income Support claimants
Each household must check the council’s eligibility requirements and follow the specified application method.
Residents Should Check Their Local Council Websites for Specific Eligibility Criteria
Because every council runs its own version of the scheme, there’s no national standard. The best way to find out if you qualify is to:
- Go to your local council’s website
- Search for “Household Support Fund” or “Cost of Living Help”
- Look at the eligibility criteria, application deadlines, and available support
- Apply using the online form, by phone, or in person where available
Some councils also reach out directly to residents they know are eligible, so check your emails or mail for notifications.
Final Thoughts
While the era of automatic DWP Cost of Living Payments has ended, help is still available—you just need to know where to look. The extended Household Support Fund offers a wide range of financial support options, from £100–£300 grants to energy upgrades and food assistance for children.
