Millions of Britons receiving state benefits are set to receive an extra financial boost from the Department for Work and Pensions (DWP) as the festive season approaches.
What is the DWP Christmas Bonus?
The Christmas Bonus is a one-off, tax-free payment of £10 made annually to those claiming specific benefits. The payment is designed to provide a small financial lift during the Christmas period and is paid automatically, meaning there is no need to make a claim.
The payment will be made directly into the same account where you normally receive your benefits, and it may appear on your bank statement with the reference 'DWP XB'. All payments are scheduled to be made by January 1.
Who is eligible for the payment?
To qualify for the bonus, you must meet two key conditions. Firstly, you must be present or 'ordinarily resident' in the UK, Channel Islands, Isle of Man, or Gibraltar during what is known as the 'qualifying week'.
The qualifying week is typically the first full week of December, which this year begins on Monday, December 1. Secondly, you must be receiving at least one of the following benefits during that same week:
- Adult Disability Payment
- Armed Forces Independence Payment
- Attendance Allowance
- Carer's Allowance
- Carer Support Payment
- Child Disability Payment
- Constant Attendance Allowance
- Contribution-based Employment and Support Allowance (after the first 13 weeks)
- Disability Living Allowance
- Incapacity Benefit at the long-term rate
- Industrial Death Benefit
- Mobility Supplement
- Pension Age Disability Payment
- Pension Credit (guarantee element)
- Personal Independence Payment (PIP)
- Scottish Adult Disability Living Allowance (SADLA)
- Severe Disablement Allowance
- State Pension (including Graduated Retirement Benefit)
- Unemployability Supplement or Allowance
- War Disablement Pension at State Pension age
- War Widow's Pension
- Widowed Mother's Allowance
- Widowed Parent's Allowance
- Widow's Pension
How and when will you receive the money?
The DWP has confirmed that the process is entirely automatic for those who meet the eligibility criteria. The £10 payment will be made separately from your regular benefit payment at some point between the start of the qualifying week and the beginning of January.
Given that the payment is tax-free and does not affect your other benefit entitlements, it serves as a small but welcome addition to household budgets during an expensive time of year.
