Residents across the UK may spot an unexpected but welcome £10 credit in their bank accounts this December. This is the annual, tax-free Christmas Bonus from the Department for Work and Pensions (DWP), designed to provide a small financial boost during the festive season.
Who is Eligible for the DWP Christmas Bonus?
The payment is automatically issued to individuals who claim one of 24 specific benefits during what is known as the 'qualifying week'. This is typically the first full week of December. To receive the bonus, claimants must also be present, or 'ordinarily resident', in the UK, Channel Islands, Isle of Man, or Gibraltar during that same week.
The DWP has confirmed the extensive list of qualifying benefits for 2025. It includes:
- State Pension (including Graduated Retirement Benefit)
- Pension Credit
- Personal Independence Payment (PIP)
- Attendance Allowance
- Disability Living Allowance
- Carer’s Allowance
- Armed Forces Independence Payment
- Adult Disability Payment (Scotland)
- Employment and Support Allowance (contribution-based, after the initial 13-week assessment phase)
- War Disablement Pension
- Several other disability, incapacity, and widow(er) benefits.
Payment Details and Rules for Couples
The £10 payment is tax-free and will usually appear in bank accounts before December 25th. On statements, it will be marked as 'DWP XB'. It is paid directly into the account where you normally receive your benefit or pension.
For couples, the rules are specific. If both partners claim a qualifying benefit, each will receive the £10 bonus. However, there is a provision where a partner who does not claim a benefit may still qualify. This applies if both individuals are over State Pension age by the end of the qualifying week and were resident in the UK, Gibraltar, or an EEA country/Switzerland. Additionally, one of two conditions must be met: the claimant must be entitled to an increase in their benefit for their partner, or the only benefit they receive must be Pension Credit.
The DWP emphasises that if you have not yet claimed your State Pension and are not on another qualifying benefit, you will not be eligible for the Christmas Bonus.
What to Do If Your Payment is Missing
Payments are made automatically, so most eligible people do not need to take any action. However, if you believe you qualify but have not received the payment by January 1st, the DWP advises contacting the office that manages your benefits.
This means getting in touch with either the Pension Service or your local Jobcentre Plus. You can also find further guidance and information on the official GOV.UK website.
