With the UK still grappling with rising living costs, there’s been significant confusion about whether Cost of Living Payments will continue in 2025. The Department for Work and Pensions (DWP) has now confirmed detailed updates—continuing certain payments, ending others, and introducing new rules on eligibility.
What’s Being Continued—and What’s Ending
| Payment Scheme | Status in 2025 | Details |
|---|---|---|
| Household Support Fund | ✅ Continued until Mar 2026 | Councils offer local grants, vouchers, or equipment to families in need. |
| Winter Fuel Payment (WFP) | ✅ Reinstituted for 2025–26 | £200–£300 to eligible pensioners below £35,000 income threshold. |
| Means-Tested Benefit “Cost of Living” | ❌ Ended | No new lump-sum payments from DWP in 2025. |
| Disability CoLP | ❌ Ended | Only previous payments remain; no further rounds in 2025. |
- The DWP confirms there will be no new £300–£326 lump-sum payments to low-income benefit recipients in 2025
- However, the Household Support Fund, administered by local councils, continues, offering financial help until March 2026
- Separately, the Winter Fuel Payment has been reinstated based on income rules: £200–£300 to pensioners earning under £35,000, with recovery via HMRC for wealthier households
Household Support Fund (HSF)
The HSF provides flexible, council-administered aid for essentials like food, utilities, and white goods. Not all local support is identical, but examples include:
- £200 in some areas for families on free school meals
- White goods or help with energy costs in others
How to Access HSF:
- Check eligibility via your local council.
- Apply through council portals or with a professional referral.
- Support continues until March 2026
Winter Fuel Payment 2025/26
The autumn statement confirmed about 9 million pensioners will receive payments:
- £200 for households with someone aged 65–79
- £300 where someone is aged 80+
- Only available to those earning under £35,000, with repayments processed via HMRC for higher incomes
What Doesn’t Continue in 2025
Multiple one-time payments between 2022–2024 such as the Means‑Tested, Disability, and Pensioner CoLPs—£150–£326 amounts—will not be repeated in 2025
Why the Shift?
The government is redirecting resources from broad cash payments toward targeted schemes like the HSF and reinstated WFP.
Labour’s March 2025 Spring Statement refocused welfare resources toward housing, employment support, and pensioner relief, while discontinuing lump-sum CoLPs .
What Should You Do?
- Check Council Support: Visit your local authority to see what’s available.
- WFP Eligibility: Look out for automatic winter payments if you’re a pensioner under income limit.
- Know the Limits: Don’t expect new DWP Cost of Living lump-sums in 2025—these are now history.
Frequently Asked Questions (FAQs)
- Are there any new lump-sum CoLPs in 2025?
No. DWP has confirmed that all DWP-administered Cost of Living Payments have ended - Will pensioners still get Winter Fuel Payments?
Yes—£200–£300 payments restart in winter 2025 for those below the £35,000 income threshold - Is the Household Support Fund still active?
Yes, local councils continue offering grants for essentials until March 2026 - How do I apply for local cost of living aid?
Check your local council’s website—some require applications, others issue vouchers automatically. - Does this payment affect other benefits?
No. Neither HSF nor the Winter Fuel Payment affect Universal Credit or other DWP benefits. They are separate, non-taxable support.
Conclusion
While Council‑distributed grants and the reinstated Winter Fuel Payment 2025–26 offer targeted support, the era of broad Cost of Living Payments is ending.
Your best bet: check local council support, confirm WFP eligibility if you’re a pensioner, and stay informed through DWP and council communications.