The Department for Work and Pensions (DWP) will soon distribute a one-off Christmas bonus to eligible recipients. This annual payment is intended to provide a small financial boost during the festive season, offering £10 to those receiving certain qualifying benefits.
Although modest, the bonus aims to help cover some additional costs during the holiday period, which can be especially burdensome for those on limited incomes. The payment is made automatically, so individuals do not need to apply.
Below, you’ll find all the necessary details, including the qualifying benefits, eligibility criteria, and what to do if you don’t receive the payment.
How and When the Christmas Bonus Payment Will Be Made
The DWP Christmas Bonus of £10 is expected to arrive in recipients’ bank accounts in early December, a few weeks before Christmas. The payment will appear as a separate transaction on bank statements, identified by the code “DWP XB.” This identification code helps recipients distinguish the bonus from regular benefit payments.
The bonus is distributed automatically to all eligible individuals, so no application is needed. If you believe you are entitled to the payment but do not receive it by the end of December, DWP advises contacting them after January 1, when all payments should have been processed.
For individuals who have recently changed their bank details or experienced delays with other benefits, it is advisable to double-check payment status with the DWP. Timely communication can help resolve any issues.
Eligibility Criteria for the Christmas Bonus
To qualify for the £10 Christmas Bonus, you need to be present or “ordinarily resident” in the UK, Channel Islands, Isle of Man, or Gibraltar during the first full week of December. During this qualifying week, you must also be receiving at least one of the following benefits:
- Pension Credit (guarantee element)
- State Pension (including Graduated Retirement Benefit)
- Carer’s Allowance
- Adult Disability Payment
- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- War Widow’s Pension
- Attendance Allowance
- Armed Forces Independence Payment
- Severe Disablement Allowance (transitionally protected)
- Contribution-based Employment and Support Allowance (after the first 13 weeks of claim)
Other qualifying benefits include various widowed pensions, child and pension age disability payments, and others as outlined below:
| Benefit Type | Description/Notes |
|---|---|
| War Widow’s Pension | Paid under Industrial Injuries or War Pensions schemes |
| Carer Support Payment | Available for eligible carers |
| Incapacity Benefit | Must be receiving the long-term rate |
| Constant Attendance Allowance | Paid under Industrial Injuries or War Pensions schemes |
| Unemployability Supplement or Allowance | Provided under Industrial Injuries or War Pensions schemes |
| Widow’s Pension/Widowed Parent’s Allowance | Available to widows or widowers |
| War Disablement Pension at State Pension Age | Paid to eligible veterans |
The DWP has clarified that those who have not yet claimed their State Pension and are not entitled to one of the above benefits will not be eligible for the Christmas Bonus.
Couples Receiving Benefits
If both partners in a marriage, civil partnership, or cohabiting relationship receive a qualifying benefit, each partner will receive a separate £10 Christmas Bonus, totalling £20 per couple.
Calls for an Increase in the Christmas Bonus
The Christmas Bonus has been set at £10 since the 1970s, and there have been growing calls for the government to increase this amount due to the rising cost of living. Many recipients argue that £10 offers little support in today’s economic climate, and some estimates suggest the bonus should now be over £100 to match its original value.
Historical Context of the Christmas Bonus
The Christmas Bonus was introduced in the 1970s to provide additional support to benefit claimants during the holiday season. Initially, £10 was considered a substantial amount capable of helping with festive expenses. Over time, however, inflation has eroded its value, though the bonus continues to be a symbolic gesture of support.
What to Do If You Haven’t Received the Bonus
If you believe you are entitled to the Christmas Bonus but do not see the payment in your account by the end of December, DWP recommends contacting them from January 1 onwards to investigate missed payments. Ensure that you meet the residency requirements and are receiving one of the qualifying benefits. Having your National Insurance number and benefit details can help expedite the process.
Additional Support During the Festive Period
While the Christmas Bonus offers some assistance, other forms of support may be available during the festive season. Local councils and charities often provide extra help, such as food parcels, warm clothing, and assistance with energy bills. Many organizations also offer free holiday meals and events to help families during the season.
If you are struggling financially, consider reaching out to local support networks. Citizens Advice can also guide available benefits and support tailored to your circumstances.
