Is the £299 Cost of Living Payment Returning in June 2025? What We Know So Far

£299 Cost of Living Payment June 2025: The £299 Cost of Living Payment was a crucial financial boost for millions of UK households during the 2023–2024 inflation spike. It was part of a larger £900 package aimed at helping low-income families and benefit claimants keep up with rising living costs, energy bills, and everyday essentials. Now, as June 2025 arrives, many are wondering whether this support payment will return.

While the government has not confirmed any repeat of the £299 payment, a range of other financial aid programmes remain active. From increased benefit rates to extended household support schemes, there are still options available for those struggling with high expenses.

£299 Cost of Living Payment June2025

As of June 2025, there is no official confirmation that the £299 Cost of Living Payment will return. The last payment was issued in February 2024, concluding the government’s £900 support package. This instalment followed two previous payments—£301 in Spring 2023 and £300 in Autumn 2023.

This support specifically targeted recipients of means-tested benefits such as Universal Credit, Pension Credit, and Tax Credits. The payments were non-taxable, did not require an application, and did not affect other entitlements. Given its wide impact, many expected a repeat in 2025, but so far, the government has remained silent.

£299 Cost of Living Payment: Overview

Support Type	Status as of June 2025	More Info
£299 Cost of Living Payment	Not confirmed	gov.uk
Household Support Fund (HSF)	Available through March 2026	Local council or gov.uk
Universal Credit & Benefits	Increased by 1.7%	gov.uk
State Pension	Increased by 4.1% (triple lock)	gov.uk
Winter Fuel Payments	£250–£600 for those born before 25 Sept 1957	gov.uk
Cold Weather Payments	£25/week during extreme cold conditions	gov.uk

Recap: What Was the £299 Cost of Living Payment?

The £299 payment was the third and final instalment of a £900 government support package launched in 2023 to help vulnerable households. It was automatically given to those on certain benefits including:

• Universal Credit
  
• Pension Credit
  
• Income-based Jobseeker’s Allowance (JSA)
  
• Income-related Employment and Support Allowance (ESA)
  
• Income Support
  
• Working or Child Tax Credits
  

These payments were intended to mitigate rising inflation, particularly related to energy and food prices. The ease of access and automatic delivery made it a well-received support measure.

Why Another £299 Payment May Not Happen

There are several reasons why a new £299 Cost of Living Payment has not been announced for June 2025:

• Upcoming General Election: With the UK general election expected later in 2025, political parties are focused on reshaping their economic strategies. Future payments might be proposed in manifestos, but nothing is guaranteed for June.
  
• Shift Toward Targeted Support: The government is increasingly favouring more targeted support, such as the Household Support Fund, rather than blanket payments to all benefit recipients.
  
• Economic Indicators: With energy prices stabilising (though still high), the government may consider broad payments unnecessary unless inflation spikes again.
  

What Support Is Available in June 2025?

Although the £299 Cost of Living Payment is not confirmed forJune, there are still several active financial support options:

Household Support Fund (HSF)

This fund is extended through March 2026 and is managed by local councils. It offers help with:

• Food vouchers
  
• Utility bills
  
• One-off emergency payments
  

Who can apply?
Not just benefit claimants—low earners, part-time workers, and self-employed individuals may also be eligible. Applications must go through your local authority.

Increases to Benefits and State Pension

• Universal Credit & Benefits: Increased by 1.7% from June 2025
  
• State Pension: Increased by 4.1% under the triple lock rule
  

These adjustments aim to help recipients keep up with living costs, though for many, they may not fully cover increased expenses.

Additional Support Schemes in 2025

Beyond the central government’s schemes, there are several other types of aid available:

Local Council Welfare Assistance

Depending on your area, support may include:

• Supermarket or food bank vouchers
  
• Emergency grants for gas/electricity
  
• Help with school uniforms or home essentials like appliances
  

Winter Fuel Payment

If you were born before 25 September 1957, you may receive between £250 and £600, depending on your living situation.

Cold Weather Payment

Pays £25 per week when local temperatures stay below 0°C for 7 consecutive days. This applies to those on income-related benefits.

Energy Bill Relief & Ofgem Price Cap

The Ofgem Price Cap remains in place to prevent excessive utility bills. While energy prices in June 2025 have slightly dropped compared to last year, they’re still much higher than pre-pandemic levels.

Tips:

• Use price comparison tools to find cheaper suppliers
  
• Contact your energy provider about hardship support or repayment plans
  

Budgeting Advances for Universal Credit Claimants

These are interest-free loans for urgent costs such as:

• Replacing broken white goods
  
• Costs related to starting a new job
  
• Emergency travel or moving expenses
  

The borrowed amount is deducted in small amounts from future Universal Credit payments.

How to Prepare Financially If the Payment Doesn’t Return

If the £299 Cost of Living Payment doesn’t return, consider the following actions:

Check Your Entitlements

Use benefit calculators (available on gov.uk) to check for eligibility for:

• Council Tax Reduction
  
• Housing Benefit
  
• Carer’s Allowance
  

Explore Charitable Grants

Organisations such as:

• Citizens Advice
  
• Turn2us
  
• StepChange
  

…offer emergency grants and budgeting help.

Start Budgeting Proactively

Use free tools like MoneyHelper’s Budget Planner to manage your expenses. Review your spending, cut unnecessary costs, and explore ways to save on utilities and groceries.

What Are Experts Predicting for 2025?

While there’s no sign yet of a new £299 Cost of Living Payment, experts say economic conditions may prompt a policy shift later in 2025. With the general election approaching, political parties may introduce new support measures to gain voter trust.

If inflation rises again, or if public demand increases, there is still a possibility of new payments being announced in late 2025.

Conclusion

At this time, the £299 Cost of Living Payment is not returning in June 2025. However, the UK government continues to provide targeted financial support through benefit increases, the Household Support Fund, and various local council welfare programmes. If you’re struggling, explore these options early, check your eligibility, and don’t hesitate to seek help from support organisations or local authorities.

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