In a continued effort to combat the rising cost of living, the UK government has announced a £250 payment for low- to moderate-income families. Targeted at those earning less than £40,000 annually, this payment aims to assist with essential living costs like food, energy, housing, and even white goods.
The financial relief is being disbursed under the Household Support Fund, which has now been extended until March 2026.
What Is the £250 Cost of Living Payment?
The £250 payment is part of the government’s seventh phase of Household Support Fund distribution, funded by the Department for Work and Pensions (DWP) but allocated through local councils.
While the DWP provides the funding, councils have autonomy to distribute the money based on local needs and criteria.
This one-off payment is not automatic and must be applied for through your local council, such as Enfield Council, which has already begun the distribution process.
Eligibility Criteria
To qualify for the £250 cost of living support, applicants must:
- Earn less than £40,000 net per year
- Have less than £1,000 in savings
- Live within a local authority that offers the scheme (e.g., Enfield)
- Be experiencing financial hardship
- Provide proof of income, a bank statement, and utility bills if applying for bill assistance
Additionally, applicants must be receiving one of the following benefits between 15 January and 28 February 2025:
- Universal Credit
- Income Support
- Jobseeker’s Allowance (Income-based)
- Employment and Support Allowance (Income-related)
- Pension Credit
- Working Tax Credit
- Child Tax Credit
- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- Attendance Allowance
The inclusion of disability-related benefits such as PIP, DLA, and Attendance Allowance is a notable expansion, recognising the extra burden faced by individuals with long-term health conditions.
What Can the Payment Be Used For?
The £250 support is designed to help with a variety of urgent needs:
- Food
- Energy or water bills
- Housing costs
- Broadband or phone bills
- Clothing or transport
- White goods (like a fridge, washing machine, or cooker — provided directly, not in cash)
Each council may prioritize different needs, so check the guidelines provided by your specific local authority.
Payment Schedule
| Payment Details | Information |
|---|---|
| Payment Amount | £250 |
| Payment Mode | Bank Transfer Only |
| Application Start | April 2025 |
| Disbursement Window | 17 June 2025 – 30 June 2025 |
| Final Payment Deadline | First Week of July 2025 |
| Goods like appliances | Provided in kind, not in cash |
Why This Matters
With energy prices and grocery bills still significantly higher than pre-2022 levels, many households struggle to keep up with day-to-day expenses. The £250 payment acts as emergency relief, aiming to:
- Ease financial stress
- Reduce dependency on high-interest loans
- Provide targeted support to those at immediate risk of crisis
Each application is reviewed based on individual circumstances, and councils may also offer financial advice and budgeting tips alongside the payment.
How to Apply
Applicants should:
- Visit their local council’s website
- Complete the Household Support Fund application form
- Provide proof of income, recent bank statements, and a utility bill
- Explain the financial hardship in detail
If you’re not in Enfield, other councils also offer similar schemes — just with slightly different rules or amounts.
The £250 cost of living payment offers vital support for UK households earning under £40,000. By easing expenses on essentials like food and utilities, the government aims to reduce hardship.
Eligible families should act fast, as applications are processed on a rolling basis through local councils. Check your eligibility now.
FAQs
Can I receive the £250 payment if I’m on PIP or DLA?
Yes, for the first time, recipients of PIP, DLA, and Attendance Allowance are eligible for this payment.
Do I need to repay the £250 payment?
No, it is a non-repayable grant offered to assist with essential living costs.
Can I apply if I live outside Enfield?
Yes, but each local council has its own eligibility rules and application process. Check with your local authority.