Millions set for one-off DWP December payment – check if you qualify | Personal Finance | Finance

Millions of Brits are set to receive a one-off payment next month from the Department for Work and Pensions (DWP), although many may not even realise. The annual Christmas Bonus is due to be paid in the first week of December.

This cash boost is a tax-free payment of £10 to help people over the festive period that has been offered to certain groups since 1972. But how do you know if you qualify?

The payment is made to people in receipt of State Pension or those claiming certain other benefits including Personal Independence Payment (PIP), Adult Disability Payment (ADP), Attendance Allowance and Carer’s Allowance.

As reported by the Daily Record, they must meet the eligibility criteria during a specific qualifying period, which is usually the first full week in December.

Nobody needs to apply for the extra £10 as it should automatically go into the account where you usually receive your benefit payment or State Pension. It will show as ‘DWP XB’ on bank statements and online accounts.

The £10 Christmas Bonus was introduced by Ted Heath’s Conservative Government in 1972. It has not been uprated or increased since it launched over five decades ago and in today’s money, it would be worth around £165 – when calculated under the composite price index published by the UK Office for National Statistics (ONS).

Who is eligible for the cash?

To qualify for the Christmas Bonus you must be present or an “ordinarily resident” in the UK, Channel Islands or Isle of Man, Gibraltar, during the qualifying week. This year the qualifying week is expected to be December 2 to 8.

The DWP will write to eligible claimants advising them that they will be receiving the £10 bonus in December, but this sometimes arrives after the payment has been made.

You must also get at least one of the following benefits in the qualifying week:

  • Adult Disability Payment (Scotland only)
  • Armed Forces Independence Payment
  • Attendance Allowance
  • Carer’s Allowance
  • Carer Support Payment (Scotland only)
  • Child Disability Payment (Scotland only)
  • Constant Attendance Allowance (paid under Industrial Injuries or War Pensions schemes)
  • Contribution-based Employment and Support Allowance (once the main phase of the benefit is entered after the first 13 weeks of claim)
  • Disability Living Allowance
  • Incapacity Benefit at the long-term rate
  • Industrial Death Benefit (for widows or widowers)
  • Mobility Supplement
  • Pension Age Disability Payment (Scotland only)
  • Pension Credit – the guarantee element
  • Personal Independence Payment (PIP)
  • State Pension (including Graduated Retirement Benefit)
  • Severe Disablement Allowance (transitionally protected)
  • Unemployability Supplement or Allowance (paid under Industrial Injuries or War Pensions schemes)
  • War Disablement Pension at State Pension age
  • War Widow’s Pension
  • Widowed Mother’s Allowance
  • Widowed Parent’s Allowance
  • Widow’s Pension.

But not everyone over State Pension age will get the payment, DWP guidance on GOV.UK explains: “If you have not claimed your State Pension and are not entitled to one of the other qualifying benefits you will not get a Christmas Bonus.”

The DWP guidance explains that if you’re part of a married couple, in a civil partnership or living together as if you are and you both get one of the qualifying benefits you will each get a £10 Christmas Bonus payment.

If your partner or civil partner does not get one of the qualifying benefits, they may still get the Christmas Bonus if both the following apply:

  • You’re both over State Pension age by the end of the qualifying week
  • Your partner or civil partner was also present (or ‘ordinarily resident’) in the UK, Channel Islands, Isle of Man, Gibraltar, European Economic Area (EEA) country or Switzerland during the qualifying week.

One of the following must also apply:

  • You are entitled to an increase of a qualifying benefit for your partner or civil partner
  • The only qualifying benefit you are getting is Pension Credit.

You do not need to claim the Christmas Bonus – you should get it automatically. Find out more about the Christmas Bonus on GOV.UK.

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