UK Government Confirms £650 Cost of Living Support for June 2025, Check Eligibility And Payment Dates
With the cost of living still a big concern for many families in the UK, the government has once again stepped in to offer financial help. For June 2025, a new £650 Cost of Living Support Payment has been confirmed. This payment is aimed at helping low-income households deal with rising food, energy, and housing costs.
The support comes at a crucial time, especially as inflation and utility bills continue to affect everyday life. This article explains everything you need to know — who is eligible, how much you’ll receive, and when the payments will be made.
What is the £650 Cost of Living Support Payment?
The £650 payment is part of a broader government plan to support people who are struggling financially due to high living costs. It is not a loan and does not need to be repaid.
This support is a one-off payment, split into two parts:
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One payment is expected in June 2025
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The second part may follow later in the year (exact date to be confirmed)
It is mainly for people who already receive certain benefits or tax credits, and the payment will be sent automatically, without needing to apply.
Overview Table: £650 Cost of Living Support – June 2025 Summary
| Detail | Information |
|---|---|
| Total Amount | £650 (paid in two parts) |
| First Payment Date | Starting from 17 June 2025 |
| Who Qualifies | People on qualifying benefits or tax credits |
| Do You Need to Apply? | No — paid automatically |
| Taxable? | No, it is tax-free and does not affect other benefits |
Who is Eligible for the June 2025 Payment?
To get the £650 Cost of Living Payment, you must be receiving at least one of the following means-tested benefits:
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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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Working Tax Credit
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Child Tax Credit
It’s important to note that people who receive only new-style ESA or JSA (contribution-based) do not qualify for this payment.
Eligibility is based on the type of benefits you were getting during a certain qualifying period, likely in April or May 2025. If you are later found to be eligible for backdated benefits from that time, you may still get the payment.
How Will the Payment Be Made?
The payment will be sent directly to your bank account — the same one where you usually receive your benefits. If you receive both tax credits and another qualifying benefit, the payment will usually come from the Department for Work and Pensions (DWP), not HMRC.
You do not need to apply, call anyone, or fill out forms. If you’re eligible, you’ll receive the money automatically.
When Will the £650 Be Paid?
The payment will be made in two instalments:
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The first payment of £325 is expected to be sent starting from 17 June 2025.
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The second payment of £325 will follow later in the year (the exact date will be announced soon).
The payments may take a few days to reach everyone, depending on how many people are being paid and your bank’s processing times.
Watch Out for Scams
Since this is a widely publicised payment, scammers may try to take advantage. Remember:
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You do not need to apply for the payment
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The government will not contact you asking for your bank details
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If someone texts, emails, or calls asking for personal or financial information, it is likely a scam
If you’re ever unsure, contact DWP or check the official government website directly.
How Does This Payment Affect My Other Benefits?
The £650 Cost of Living Support payment:
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Does not count as income
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Will not affect any of your other benefits or tax credits
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Is not taxable
This means you can receive the payment without worrying about losing other support or having to report it as extra income.
Other Support Available
The government has also introduced or continued other help for people facing financial challenges:
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Energy Price Guarantee (limits on electricity and gas bills)
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Winter Fuel Payment for pensioners
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Warm Home Discount for eligible households
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Help with water and council tax bills in some local areas
It’s worth checking with your local council or utility provider to see what else might be available in your area.
FAQs
Q1: What if I recently applied for benefits — can I still get the payment?
If your claim is backdated and covers the qualifying period (likely in April or May 2025), you may still receive the payment. Make sure to check with DWP or HMRC.
Q2: Will I receive the payment in one go or in parts?
The £650 is being split into two payments of £325. The first comes in June 2025, the second later in the year.
Q3: What if I don’t receive the payment on the expected date?
Give it a few days, especially if your bank processes payments slower. If you still don’t receive it after a week, contact DWP or check your online benefits account.
Q4: Is this payment taxable or reportable?
No, the payment is completely tax-free and does not need to be declared on any tax return or benefits forms.
Q5: What if I get tax credits only, not Universal Credit or other benefits?
You can still qualify if you’re getting Working Tax Credit or Child Tax Credit, but the payment may come slightly later, and it will be paid by HMRC, not DWP.
Final Thoughts
The £650 Cost of Living Support Payment is an important relief measure for millions of households across the UK. With energy bills, rent, and food prices still high, this extra support can help cover essential needs.
If you’re eligible, remember — you don’t need to apply. Just make sure you’re up-to-date with your benefit claims and watch for the payment starting 17 June 2025.
Every bit of support matters, and knowing what help is available can make a real difference during tough times.