Each winter, the Department for Work and Pensions (DWP) awards a £10 Christmas bonus to millions of eligible individuals and households across the UK. Although the amount has remained frozen since the 1970s, when accounting for inflation, its real value has diminished by more than £100. Nevertheless, this one-off payment remains a valued gesture aimed at helping those on specific benefits with their extra expenses during the festive season.
The Christmas bonus is usually paid automatically in the first full week of December. However, eligibility is restricted to certain benefits—including Personal Independence Payment (PIP), Disability Living Allowance (DLA), and the State Pension. Importantly, those receiving Universal Credit alone are not eligible for this bonus.
If you believe you qualify but haven’t received the payment, it’s advisable to contact your local Jobcentre Plus or the Pension Service for clarification.
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According to the government, the Christmas Bonus is a tax-free £10 payment provided to people who receive qualifying benefits during the “qualifying week,” typically in early December. Recipients do not need to apply for it, as payments are made automatically.
When the bonus hits your bank account, look for transaction references such as ‘XB’ or ‘DWP XB’ on your statement.
To qualify, recipients must be ordinarily resident in the UK, the Channel Islands, the Isle of Man, or Gibraltar. With Christmas payment schedules shifting—especially for days falling on Christmas Day or Boxing Day—many payments will arrive earlier, often on Christmas Eve.
This annual bonus, while modest in amount, continues to serve as a small but meaningful support for many during the holiday period.