£299 Cost of Living Payment 2025: The rising cost of living continues to impact families across the UK, and many are wondering whether government support will continue into 2025. With prices for energy, food, and other essentials still high, financial aid remains a critical lifeline for many low-income households. Among the most talked-about schemes is the £299 cost of living payment—previously issued to millions across the country.
The £299 Cost of Living Payment 2025 was part of a three-installment package totalling £900, distributed to help those on means-tested benefits. The third and final payment, delivered in February 2024, left many asking if there will be a repeat in 2025. While there’s no confirmation yet, there are still several other forms of support available this year. This article explains what you need to know.
£299 Cost of Living Payment 2025
The £299 Cost of Living Payment 2025 has not been officially confirmed by the UK government as of April 2025. It was originally issued in early 2024 as the final part of the government’s £900 relief plan. The purpose was to ease the financial burden caused by high inflation, expensive energy bills, and rising day-to-day costs.
Although there is currently no announcement that this payment will return, the upcoming general election and shifting economic factors could influence future decisions. In the meantime, several other support measures remain active to help households.
Overview Table: 2025 UK Support Options
| Support Type | Status (April 2025) | Access Info |
| £299 Cost of Living Payment | Not confirmed for 2025 | www.gov.uk |
| Household Support Fund (HSF) | Extended through March 2026 | Local council websites |
| Universal Credit & Benefits | Increased by 1.7% from April 2025 | www.gov.uk |
| State Pension | Increased by 4.1% under triple lock policy | www.gov.uk |
| Winter Fuel Payments | Up to £600 for those born before 25 September 1957 | www.gov.uk |
| Cold Weather Payments | £25/week for 7 days of 0°C or below | www.gov.uk |
Payment History: A Recap of the £299 Cost of Living Payment
The £299 payment was the third installment of the cost-of-living package issued between 2023 and 2024. Here’s a quick breakdown:
- First Payment: £301 (Spring 2023)
- Second Payment: £300 (Autumn 2023)
- Third Payment: £299 (February 2024)
This final payment was non-taxable, didn’t affect other benefits, and was issued automatically to those receiving:
- Universal Credit
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Pension Credit
- Income Support
- Working Tax Credit
- Child Tax Credit
Why the £299 Payment May Not Return
As of April 2025, the government has not confirmed a return of the £299 payment. Several reasons contribute to this uncertainty:
- General Election 2025: With an election expected later this year, political parties may announce new support plans depending on economic conditions and voter demand.
- Focus on Targeted Aid: Rather than blanket payments, current policy seems to favour targeted support through local councils and benefit adjustments.
- Existing Support Measures: The government argues that recent benefit increases and extended support funds already provide ongoing relief.
Current Support Available in April 2025
Even if the £299 payment doesn’t return, other options are still available to households in need.
1. Household Support Fund (HSF)
This scheme has been extended to March 2026. It helps people struggling to pay for:
- Food and essential groceries
- Utility bills
- Emergency financial situations
No benefit claim is required to apply. Visit your local council’s website to access the application.
2. Benefit and Pension Increases
- Universal Credit and other benefits have been increased by 1.7%
- The State Pension saw a 4.1% rise under the government’s triple lock promise
These updates aim to keep payments in line with inflation and provide steady relief.
3. Local Council Assistance
In addition to the HSF, councils may offer:
- Supermarket vouchers
- Fuel support during cold months
- School cost assistance
- Household essentials like furniture or white goods
Contact your local authority to find out what’s currently available.
4. Winter Fuel and Cold Weather Payments
- Winter Fuel Payment: Up to £600 for eligible pensioners
- Cold Weather Payment: £25 per week during long cold spells, for certain benefit claimants
These are issued automatically if you qualify.
5. Energy Bill Relief
While prices have dropped compared to 2024, they are still higher than pre-pandemic levels. The Ofgem Energy Price Cap is in place to prevent excessive charges. If you’re struggling to pay, contact your energy supplier about support options or switching tariffs.
Budgeting and Advance Support
If the £299 Cost of Living Payment 2025 does not return, consider these options:
Budgeting Advances for Universal Credit
You may be eligible for a budgeting advance to cover costs such as:
- New job transport
- Moving expenses
- Essential household items
These are repayable in small monthly amounts from your Universal Credit payments.
Financial Planning Tips
| Strategy | Description |
| Check your entitlements | Use gov.uk or a benefits calculator to explore what you can claim |
| Budget smarter | Try MoneyHelper or similar free budgeting tools |
| Get expert help | Charities like StepChange, Turn2us, or Citizens Advice offer free support |
| Track your spending | Use mobile apps or spreadsheets to monitor weekly expenses |
Expert Opinions: Could the £299 Payment Return Later?
Although the government has not confirmed any plans, experts say it’s possible that new one-off support payments could be introduced later in 2025, particularly in response to:
- A rise in inflation
- Public pressure leading up to the general election
- Political pledges from parties hoping to gain support
It’s unlikely the same £299 figure would be used, but similar aid could be offered under a different scheme.
FAQs
Will the £299 payment return in 2025?
Not confirmed as of April 2025, but it could return later depending on economic and political developments.
Who can access the Household Support Fund?
Anyone in financial difficulty can apply—even those not receiving traditional benefits.
What energy support exists in 2025?
The Energy Price Cap remains, and help is available through suppliers, Cold Weather Payments, and Winter Fuel Payments.
Is Universal Credit increasing this year?
Yes, it went up by 1.7% starting April 2025.
How do I know what support I qualify for?
Use an official benefits calculator or contact Citizens Advice for personalised guidance.
Final Thought
The £299 Cost of Living Payment 2025 may not be returning right now, but several other financial support options are still in place. From increased benefits to council-run emergency funds, help is available if you know where to look. With the general election approaching, the government may still introduce new measures later this year.
If you’re struggling financially, act early—check your benefit entitlements, reach out for local support, and explore budgeting tools. And if this article helped, share it with someone who might also need guidance.
