Two Big Updates for Millions
The Department for Work and Pensions (DWP) has announced two major updates that could affect your wallet. First, around 700,000 people won’t face changes to Personal Independence Payment (PIP) under Prime Minister Keir Starmer’s new rules. Second, a £300 Cost of Living Payment is confirmed for summer 2025 to help with rising bills. With living costs still high, these announcements bring relief for some and questions for others. Whether you’re on PIP or hoping for extra cash, here’s what you need to know about who’s affected, who qualifies, and when the money will arrive.
PIP Changes: Who’s Safe?
PIP helps people with disabilities or long-term health issues cover extra costs like care or transport. Starting in November 2026, new rules will make it harder for working-age people to qualify, aiming to get more into jobs. You’ll need at least four points in one daily living activity, like eating or dressing, to get the daily living part of PIP. This could affect up to 800,000 claimants, with some losing payments. But the DWP says about 700,000 pensioners—aged 65 to 79—won’t face these changes. If you’re over 65 and on PIP, your payments should stay safe unless your condition changes significantly.
What the PIP Changes Mean
For those under 65, the PIP shake-up could hit hard. The DWP estimates 370,000 people might lose PIP entirely, while others could get less money. PIP has two parts: daily living (up to £737.20 every four weeks) and mobility (up to £515.40 every four weeks). The new rules focus on daily living, so you might lose that part if you don’t score enough points. Posts on X warn that 700,000 families already in poverty could struggle more, and charities like Scope say the changes are too harsh. If your PIP review is after November 2026, gather medical records and notes about how your condition affects you to prepare.
The £300 Payment: Who Gets It?
The second £300 Cost of Living Payment is part of a £900 support package for 2025, aimed at low-income households. It’s tax-free, won’t affect other benefits, and arrives automatically if you qualify. You need to be on certain benefits during a qualifying period, likely in early spring 2025 (exact dates to be confirmed). Here’s who can get it:
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People on Universal Credit, Pension Credit, Income Support, or income-based Jobseeker’s Allowance.
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Those getting income-related Employment and Support Allowance.
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Anyone receiving Working Tax Credit or Child Tax Credit.
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Some with “nil awards” (benefits reduced to £0) may still qualify if they meet other rules.
The money goes to the account where your benefits are paid, with a reference like “DWP COL” or “HMRC COL.”
| Detail | Information |
|---|---|
| Payment Amount | £300 |
| Qualifying Benefits | Universal Credit, Pension Credit, Tax Credits, etc. |
| Payment Dates | Late May to mid-June 2025 (expected) |
| Application Needed | No, automatic |
| Bank Reference | “DWP COL” or “HMRC COL” |
When Will the £300 Arrive?
The £300 payment is expected between late May and mid-June 2025, though exact dates are still to come. Universal Credit claimants will likely get it first, followed by Tax Credit recipients. Check your bank account for the payment, which will show up with your usual benefits. If you don’t see it by mid-September 2025, contact the DWP or HMRC to check your eligibility. Make sure your bank details are up to date to avoid delays. If you get both DWP and HMRC benefits, you’ll only get one payment, usually from the DWP. This cash could help with bills, food, or other essentials.
What If You’re Affected or Miss Out?
If you’re under 65 and on PIP, check when your next review is—new rules apply after November 2026. Keep records of your condition to support your case. If you don’t qualify for the £300 payment, look into the Household Support Fund, where councils offer cash or vouchers (some give £200–£300). Contact your local council or Citizens Advice for help. If you’re worried about scams, stick to GOV.UK for updates. With PIP changes looming and the £300 payment coming, now’s the time to plan. This support could ease the pressure, but for many, the road ahead looks tough. Stay informed and check your accounts you might be safe from cuts or due for a cash boost soon.
