In a significant move to support struggling households, the UK government has confirmed an increase in the Cost of Living Payment for June 2025. This initiative is designed to alleviate the financial burden caused by rising living costs, including food, utilities, and transportation.
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What’s Changing in June 2025?
Eligible households will receive an increased payment of £650, a substantial rise from the previous £301 issued earlier in the year. This change comes in response to growing inflation and the overall rise in essential living expenses, which continue to pressure families across the UK.
Who Is Eligible?
To receive the June 2025 Cost of Living Payment, individuals must be receiving one of the following qualifying benefits during a specified assessment period:
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Universal Credit
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Income Support
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Pension 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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Working Tax Credit
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Child Tax Credit
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Housing Benefit
It’s important to note that those who receive only contribution-based benefits, such as New Style ESA or New Style JSA, will not qualify for this payment. The eligibility window is usually a specific set of dates during which the claimant must have been entitled to the benefit.
Payment Timeline
The payment rollout for 2025 is planned in three phases to provide ongoing support throughout the year:
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Spring (March to May): £301 initial payment
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Summer (July to August): Up to £200 additional support
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Autumn (October to December): Final top-ups (amounts will vary)
These phased payments ensure that households are supported at different intervals of the year, especially during periods when expenses typically rise.
Automatic Payments – No Application Required
There is no need to apply for the Cost of Living Payment. Those who qualify will receive the payment automatically in their bank accounts. The funds will be deposited using the same method as their usual benefit payments. The government has advised recipients to stay vigilant for text messages or calls claiming to be about the payment, as these may be scams.
Extra Local Support Available
In addition to the national Cost of Living Payment, local councils across the UK are offering supplementary aid through the Household Support Fund. These one-off grants are available to help cover the cost of essentials such as food, utility bills, and rent. Eligibility criteria and the application process for these grants vary by local authority.
Final Thoughts
The increase in the June 2025 Cost of Living Payment is a welcome relief for millions of UK households. As the economic situation remains uncertain, this government support provides a financial buffer to help people manage essential living costs. To ensure timely payment, claimants should make sure their benefit details are up to date and check their eligibility status carefully.
Stay informed through official channels and monitor updates from your local council for any additional support programs you might qualify for.