DWP Official Update: January 21, 2026
As of today: There is no official £450 Cost of Living payment scheduled for 2025 or 2026. The UK Government’s national cost of living payment scheme officially ended in February 2024.
Scam Alert: Any recent texts, emails, or social media posts claiming you can “apply” for a new £450 disbursement are fraudulent. Do not share personal details. Please report suspicious activity to Action Fraud.
Is There Really a £450 Cost of Living Payment Coming in 2025 or 2026?
In recent months, a wave of social media posts has circulated claiming that a new £450 cost of living payment will be distributed to UK households throughout 2025 and early 2026. These reports suggest a return to the one-off support measures seen during the 2022–2024 inflation crisis.
But is this claim true?
As of January 2026, there is no official confirmation from the Department for Work and Pensions (DWP) or HM Treasury regarding a £450 payment. In fact, official GOV.UK guidance confirms the cost of living programme has concluded.
While the “£450 payment” is a myth, real support is available right now, including the 2025/26 Winter Fuel Payment (deadline March 31, 2026) and local grants. Let’s explore where these rumours started and how you can access the legitimate financial help currently available.
Where Did the Rumour About the £450 Payment Originate?
The claim about a £450 payment in 2026 can be traced back to articles published by unofficial, non-UK sources, including a website based in India. These articles were then picked up by various blogs, social media pages, and community forums.
Without proper verification, the information spread rapidly and gained traction, leading to public confusion and even concern. However, these posts lack any reference to official UK sources, such as statements from the Chancellor, DWP, or HM Treasury.
What’s particularly problematic is that many of these articles mimic the tone and style of legitimate news outlets. They often refer vaguely to “government assistance” and cite anonymous sources, which can make them seem credible at first glance.
Community watchdogs, fact-checking platforms, and even user-run forums like Mumsnet and Reddit have since debunked the claims, confirming that there is no government record of such a payment being approved or under consideration.
Why is “Cost of Living Payment 2025” Trending?
Many people are searching for a 2025 payment because of the high inflation rates experienced in recent years. While the £900 total support package provided in 2023/24 was highly visible, the transition to local support via the Household Support Fund in 2025 has left many residents looking for a single, national payment that does not currently exist.
What Has the UK Government Officially Said About Cost of Living Payments?
The UK government has made its position clear: no further cost of living payments are planned for 2026. The support measures introduced between 2022 and 2024 were part of a temporary response to the inflation crisis, rising energy bills, and increased living costs during and after the COVID-19 pandemic and the energy price surge.
The 2024 Autumn Statement did not include any provision for new cost of living payments in 2026, and as of January 2026, the Spring Budget is yet to be released. However, unless a significant change in economic conditions arises, no new one-off payments are expected to be introduced.
Instead, the government has shifted its focus toward adjusting core benefits such as Universal Credit, State Pension, and Personal Independence Payment (PIP), aligning them with inflation rates and cost-of-living indexes.
What Support Is Still Available If You’re Struggling in 2026?
Although the cost of living payment scheme has officially ended, this doesn’t mean that all support has been withdrawn. A range of alternative assistance schemes is still in place for low-income households, those on certain benefits, and individuals facing financial emergencies.
One key area of support is the Household Support Fund, a grant distributed through local councils. While funding levels vary by region, councils may offer help with utility bills, food, school uniform costs, and other essentials. You usually don’t need to be on benefits to qualify, but you must demonstrate financial need.
Another form of assistance is the Budgeting Advance available to those on Universal Credit. This loan helps with emergency expenses like replacing essential white goods, travel for job interviews, or paying for repairs. It must be repaid over time, but no interest is charged.
There are also Discretionary Housing Payments for those struggling to pay rent despite receiving housing support. These are particularly useful for people affected by the benefit cap or housing benefit shortfalls.
The following table summarises the main types of ongoing support:
| Support Scheme | Eligibility | What It Covers |
| Household Support Fund | Varies by council | Food, utilities, essential costs |
| Budgeting Advance | Universal Credit recipients | Emergency expenses, furniture, travel |
| Discretionary Housing Payment | Housing Benefit or Universal Credit with housing support | Rent shortfalls, arrears, relocation |
| Local Welfare Assistance | Low-income households | Crisis grants for emergencies |
If you’re unsure what you’re entitled to, using a benefits calculator on sites like Turn2us or Entitledto can help clarify your options.
“The Household Support Fund has been a vital lifeline. For the 2025/2026 period, the government has transitioned some of this funding into a ‘Crisis and Resilience Fund’ administered by local councils.”
2025/2026 Winter Fuel Payment: The New Rules You Need to Know
One of the most significant changes to UK financial support in 2025 involves the Winter Fuel Payment. Previously a universal benefit for all pensioners, it is now strictly means-tested for the 2025/2026 season in England and Wales.
If you are searching for the £450 cost of living payment, you might actually be eligible for the Winter Fuel Payment instead—but only if you meet the new criteria.
Who is eligible for the Winter Fuel Payment in 2026?
To receive the payment this winter, you must have been born before 22 September 1959 and meet the following conditions:
- Income Threshold: For many, the payment is now linked to an income cap. If your annual income exceeds £35,000, the payment may be recovered through your tax code by HMRC.
- Qualifying Benefits: You generally receive it automatically if you get Pension Credit, Universal Credit, or other income-related benefits.
- The “Claw-back” Rule: Unlike previous years, if you earn over the threshold, you may still receive the payment, but it will be “clawed back” via your 2026/2027 tax code.
How much will you get?
Payments typically range between £100 and £300, depending on your age and who you live with. Most eligible households should have received their payment by December 2025.
Important Deadline: If you believe you were eligible for the 2025/26 Winter Fuel Payment but haven’t received it, you must contact the Winter Fuel Payment Centre and make a claim by 31 March 2026.
What Are the Dangers of Following False Claims About Cost of Living Support?
False information doesn’t just mislead, it can cause real harm. Believing you’re eligible for a non-existent payment could lead to missed opportunities to apply for genuine support or worse, expose you to scams and phishing attempts.
Scammers often use trending topics like cost of living payments to impersonate government bodies and collect sensitive personal data. They may send fake emails or texts asking for bank details or National Insurance numbers under the pretence of “verifying eligibility” for a payment.
Unfortunately, some individuals have already fallen victim to such scams, losing access to their bank accounts or compromising their personal data. This underlines the importance of getting information only from official sources like GOV.UK, your local council, or trusted UK news outlets.
If something sounds too good to be true, like a £450 payment without official confirmation, it usually is.
Benefit Increases and Support for 2025/2026
While new cost of living payments are not expected, certain benefits and state payments are being adjusted to reflect the economic climate. This is part of the government’s standard annual uprating process, intended to keep social support in line with inflation.
For example, in the 2024–2025 financial year, benefits such as Universal Credit and the State Pension are expected to rise by approximately 6.7%, based on September’s Consumer Price Index (CPI). These increases offer some protection against rising prices, although they may not completely offset cost pressures.
The table below shows forecasted increases for major benefits:
| Benefit Type | Current Weekly/Monthly Rate (2025/26) | New Rate (From April 2026) | % Increase |
| Universal Credit (Single, 25+) | £400.14 (Monthly) | £424.90 (Monthly) | 6.2% |
| New State Pension (Full) | £230.25 (Weekly) | £241.30 (Weekly) | 4.8% |
| PIP Daily Living (Standard) | £73.90 (Weekly) | £76.70 (Weekly) | 3.8% |
| Child Benefit (First Child) | £25.60 (Weekly) | £26.55 (Weekly) | 3.8% |
How Can You Stay Updated on Official Financial Support?
The most reliable way to stay informed about government support is to monitor official government websites, particularly GOV.UK, and announcements from the Department for Work and Pensions. Major financial news is also reported promptly by outlets like the BBC, The Guardian, and MoneySavingExpert.
You should also sign up for email alerts from:
- Your local council (for updates on the Household Support Fund)
- HMRC or DWP (if you’re already a benefits recipient)
- Financial charities like Turn2us or Citizens Advice
Avoid relying on unverified blogs, social media accounts, or viral posts. These can spread misleading or false information that may leave you disappointed or vulnerable.
What Should You Do If You’re Facing Financial Hardship Right Now?
If you’re currently in a difficult financial position, the best approach is to:
- Assess your situation honestly. List your expenses, debts, and income.
- Use a benefits calculator to ensure you’re claiming everything you’re entitled to.
- Contact your council to apply for local support, including the Household Support Fund.
- Speak to Citizens Advice for tailored financial guidance.
- Ask your utility provider about hardship schemes if you’re behind on energy bills.
Even if a £450 cost of living payment isn’t coming, there are still real, accessible ways to get help.
What’s the Final Word on the 450 Cost of Living Payment in 2026?
The £450 cost of living payment 2026 is a false claim with no basis in official policy. It was not announced by the UK government, and all available evidence confirms that no new cost of living payments are scheduled for this year.
Still, it’s important to know that genuine help is available, from local council funds to benefits increases and budgeting loans. If you’re struggling, your best option is to seek verified support, avoid false claims, and take steps toward managing your financial situation using trusted resources.
FAQs – 450 Cost of Living Payment
Is the £450 cost of living payment real?
No, the UK government has not announced any £450 payment for 2026. The scheme ended in 2024.
How can I check if I’m eligible for other types of support?
Use online benefits calculators or contact Citizens Advice or your local council.
Why do people believe these fake payment stories?
Because they often come from websites that look professional and mimic news sources.
Are benefits going up in 2026?
Yes, many core benefits will rise in April 2026 in line with inflation.
What should I do if I get a message about claiming a £450 payment?
Ignore it. It’s likely a scam. Report suspicious messages to Action Fraud.
What is the Household Support Fund?
A government grant distributed by councils to help residents with essentials like food and bills.
Where can I get up-to-date and reliable information?
Always refer to GOV.UK, your local council, or trusted outlets like BBC News and MoneySavingExpert.
