The Christmas period can be an expensive time for a lot of people, especially with the cost of living crisis.
As the nights get colder and people look to buy gifts for loved ones over the festive season, Christmas always put extra pressure on our bank accounts. The cost of living crisis is impacting everyone at the moment whether you're working, or on benefits, or both.
Many people on Universal Credit are in work. In September 2022, figures show 2.2 million people have a job and get the benefit to top up low wage while 1.4 million are unemployed and another 2.2 million are not required to search for work on health grounds, Birmingham Live reports.
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People will already be thinking about Christmas payments for benefits and cost-of-living support but what can you expect and when? Here are all the payments that are due around Christmas time this year.
Christmas benefit payment dates
This year, there will be a four-day Christmas weekend starting Saturday, December 24 (Christmas Eve) and finishing on Tuesday, December 27 (a bank holiday in place of Christmas Day which falls on a Sunday). In the case of weekends and bank holidays, benefits are usually paid on the nearest working day beforehand.
For each Universal Credit claimant, payments are fixed to the same date each month. But any Universal Credit amounts normally due on the 24th, 25th, 26th or 27th of the month should instead go in on Friday, December 23. So you'll have the money in time for Christmas but will have to make it last right through until your usual payment date in January.
Other benefits are tied to a specific weekday, not a date. Because of the festive bank holidays, any that you would normally expect to get on the Monday or Tuesday after Christmas will instead arrive on Friday, December 23. That includes Child Benefit, which is normally paid by HMRC every four weeks on a Monday or Tuesday, and any State Pension payments usually deposited on those days of the week - that applies to pensioners whose National Insurance number has 00 to 19 (Monday) or 20 to 39 (Tuesday) as the last two digits.
DWP Christmas bonus
The Christmas bonus is a one-off, tax-free £10 payment that's made before Christmas and paid to people who get any of the eligible benefits in the qualifying week (normally the first full week of December).
There are 21 benefits that qualify for the bonus, including Attendance Allowance, Carer's Allowance, Disability Allowance, Personal Independence Payment, and State Pension. Note that people on Universal Credit won't receive this bonus unless they also get one of the other benefits that do make them eligible.
Next instalment of £400 energy rebate
The £400 energy rebate is being given out over six months to those with a domestic electricity account. After two instalments of £66 each in October and November, there will be five sums of £67 from December to March. So you should get a £67 payment from your energy supplier sometime during December.
How you get the money depends on how you pay for your energy. People with direct debits will get a reduction on the amount taken out or a refund paid back in afterwards, while those with prepay meters will get a credit or a voucher. The money is being given out via your electricity billing account but you may be able to get some of it moved across to your gas account.
Winter Fuel Payment
The Winter Fuel Payment is an amount given to pensioners to cover heating bills and this year it is being boosted from its usual amount of £100 to £300. A 'pensioner cost of living payment' of £150 to £300 is being added on top, which means those qualifying for this money will get between £250 and £600 this winter, depending on their date of birth and circumstances.
Most payments will be made automatically in November or December, so the majority should have the money by Christmas. You should get a letter telling you how much you are getting but if you do not receive one or the money is not paid into your account by January 13, 2023, contact the Winter Fuel Payment Centre on 0800 731 0160.
The payment should go in your bank automatically but if you're of pension age (born on or before September 25, 1956) but not drawing your State Pension, you'll need to ring that number to make a claim.
Warm Home Discount
This is another scheme that can help with winter bills. It's a one-off discount of £150 on your electricity bill, to be paid between October 2022 and March 2023. So you may get it in time for Christmas or may have to wait until the new year.
The scheme has been changed this year so there is no longer any need to apply for the cash. It will be given automatically to those who are eligible. If you live in England and Wales, you qualify if you either get the Guarantee Credit element of Pension Credit or are on a low income and have high energy costs.
The scheme for both groups opens on November 14, 2022. You will receive a letter between November and January telling you about the discount if you’re eligible. Most households will get it automatically but some may be asked to call a helpline by February 28, 2023 to confirm their details.
If you are eligible, your electricity supplier will apply the discount to your bill by March 31, 2023.
Cold Weather Payment
This is a payment of £25 for periods of cold weather between November 1 and March 31, 2023. The money goes directly into bank accounts within 14 days. In past winters, some people in parts of Britain that had regularly experienced a cold snap have received three payments, meaning an extra £75.
The cash goes to those on the following benefits:
- Pension Credit
- Income Support
- income-based Jobseeker’s Allowance
- income-related Employment and Support Allowance
- Universal Credit
- Support for Mortgage Interest
It's paid out if the average temperature in your area is recorded as, or forecast to be, zero degrees celsius or below over seven consecutive days. To find out if your area is due a Cold Weather Payment, enter the first two letters and numbers of your postcode on the UK Government website here.
Household Support Fund
An extra £421million has been ploughed into this fund, extending it until the end of next March. The money has been shared among local authorities who will decide how to give out the cash.
Some councils have opened applications for this new round of funding, while others are yet to do so. There may be cash or food on offer in time for Christmas, it depends on the area where you live and how your council is running the scheme.
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