£300 Second Cost of Living Payment in June 2025
As the cost of living continues to be a concern for millions in the UK, the government has confirmed a second Cost of Living Payment of £300 that will be delivered in June 2025. This payment is designed to help eligible individuals and families cope with rising energy bills, food prices, rent, and other everyday expenses.
This article explains everything you need to know in a clear and simple way — who is eligible, when to expect the payment, and how it will be received.
Why This Payment Matters
The £300 second Cost of Living Payment is part of a series of financial support measures the UK government has been offering to low-income households. The goal is to ease the financial pressure caused by inflation and increased living costs.
With bills still high and incomes not always keeping up, this payment is a welcome relief for many.
Who Will Receive the £300 Payment?
To receive the £300 Cost of Living Payment in June 2025, you must be receiving one of the following benefits during a specific qualifying period (the exact dates are usually announced a few weeks before the payment is made):
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Universal Credit
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Income-based Jobseeker’s Allowance (JSA)
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Income-related Employment and Support Allowance (ESA)
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Income Support
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Pension Credit
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Child Tax Credit
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Working Tax Credit
It’s important to note that you must be eligible for one of these benefits during the qualifying window, even if you only receive a small amount.
How Will the Payment Be Made?
The £300 payment will be paid automatically into your bank account — you do not need to apply for it. It will arrive as a separate payment, and your usual benefit payments will not be affected.
The payment will appear in your bank statement with a reference that usually includes your National Insurance number and a tag such as “DWP COL” or “HMRC COL” depending on which department pays your benefits.
Overview Table: Key Details of the £300 Cost of Living Payment
| Category | Details |
|---|---|
| Payment Amount | £300 |
| Payment Date | June 2025 (exact dates to be confirmed) |
| Who Is Eligible | Those receiving certain means-tested benefits |
| Benefits That Qualify | Universal Credit, JSA (income-based), ESA (income-based), etc. |
| Application Required? | No, it will be paid automatically |
| Impact on Other Benefits | None — it’s a separate payment and won’t reduce existing support |
| Paid By | DWP or HMRC (depending on your benefit type) |
| Taxable? | No, this payment is not taxable |
| Affect on Benefit Cap? | No, it doesn’t count towards the benefit cap |
When Exactly Will You Get It?
While the payment is expected in June 2025, the exact dates will be officially announced closer to the time. Based on past payments, it may be spread out over a few weeks, depending on the benefit you receive and how it’s administered.
Those receiving benefits through DWP (Department for Work and Pensions) often get it earlier than those receiving Tax Credits via HMRC.
So don’t worry if someone you know gets it before you — it may just be a difference in how your benefits are handled.
Why Are There Multiple Cost of Living Payments?
To help people manage rising costs more effectively, the government has been spreading the support over several payments rather than just one lump sum. This allows households to better plan their spending across the year.
In total, many eligible households may receive multiple Cost of Living Payments across 2025 depending on the support they receive. The £300 in June is one of these installments.
What Should You Do Now?
Right now, you don’t need to take any action if you are already receiving qualifying benefits. Just make sure your contact and bank details are up to date with the DWP or HMRC.
If you think you may be eligible but are not currently receiving benefits, it may be worth checking your eligibility and applying soon. You must be receiving benefits during the qualifying period to receive the payment.
Frequently Asked Questions (FAQs)
1. Do I need to apply for the £300 Cost of Living Payment?
No, you do not need to apply. The payment is made automatically to those who are eligible.
2. What if I’m only receiving a small amount of Universal Credit?
Even if your payment is very low, you can still qualify — as long as you received at least 1p during the qualifying period.
3. Will this payment affect my existing benefits or tax?
No, the £300 payment is tax-free and does not count as income, so it won’t affect any other benefits you receive.
4. What if I receive both DWP and HMRC benefits?
You will only receive one payment even if you receive both types of benefits. The payment will usually come from DWP, not both.
5. How do I know if I got the payment?
Check your bank statement. The payment will appear with a reference that includes “DWP COL” or “HMRC COL” depending on the department.
Final Thoughts
The £300 Second Cost of Living Payment arriving in June 2025 is part of the UK government’s ongoing effort to help households with rising expenses. For many, this support could provide much-needed breathing room for bills, groceries, or unexpected costs.
If you’re receiving benefits already, there’s nothing more you need to do — just keep an eye on your bank account and wait for the payment in June. If you’re not sure about your eligibility, now is a good time to speak to a benefits advisor or check government websites.
It may not solve every financial challenge, but this payment is another important step in easing the pressure that many households are feeling today.