Across the United Kingdom, nearly 24 million individuals are receiving at least one form of benefit from the Department for Work and Pensions (DWP). This includes:
- 13 million older adults receiving State Pension
- 5.7 million people on Universal Credit
- 3.7 million claiming Personal Independence Payment (PIP)
While these figures highlight the scale of support provided, many recipients—especially those newly retired or receiving disability benefits such as Pension Age Disability Payment or Adult/Child Disability Payment in Scotland—may not be aware of a lesser-known annual perk: the DWP Christmas Bonus.
What Is the DWP Christmas Bonus?
The Christmas Bonus is a one-time, tax-free payment of £10 provided by the DWP to qualifying individuals before Christmas. Introduced in 1972 by Prime Minister Ted Heath, the bonus has remained unchanged in value for over 50 years. Based on current inflation (via the ONS composite price index), the payment would equate to approximately £118 in today’s terms.
Important: Universal Credit recipients do not qualify for this bonus.
When and How the Bonus Is Paid
Those who are eligible will automatically receive the £10 bonus in early December, typically during the first full week of the month (December 1–7). The payment is made separately from your regular benefit or pension payment, so it may arrive on a different day.
You do not need to apply for the bonus—it will be deposited directly into your existing benefit or State Pension account. It usually appears on statements as ‘DWP XB’, although the exact wording may be confirmed closer to the date.
Who Qualifies for the Christmas Bonus?
To be eligible, you must:
- Be living in the UK, Channel Islands, Isle of Man, or Gibraltar (and in some cases the EEA or Switzerland) during the qualifying week
- Receive at least one of the 23 qualifying benefits
Qualifying Benefits List
Eligible Benefits for Christmas Bonus |
---|
State Pension (including Graduated Retirement Benefit) |
Personal Independence Payment (PIP) |
Attendance Allowance |
Carer’s Allowance |
Disability Living Allowance |
Pension Credit (guarantee element only) |
Adult Disability Payment (Scotland only) |
Child Disability Payment (Scotland only) |
Carer Support Payment (Scotland only) |
Pension Age Disability Payment (Scotland only) |
Contribution-based Employment and Support Allowance (after 13 weeks) |
Constant Attendance Allowance |
Incapacity Benefit at the long-term rate |
Industrial Death Benefit (widows/widowers) |
Severe Disablement Allowance |
Unemployability Supplement or Allowance |
War Disablement Pension (at State Pension age) |
War Widow’s or Widower’s Pension |
Widowed Parent’s Allowance |
Widow’s Pension |
Widowed Mother’s Allowance |
Armed Forces Independence Payment |
Mobility Supplement |
Couples and the Christmas Bonus
If you are married, in a civil partnership, or living as a couple, each person will receive £10, provided both receive at least one of the qualifying benefits.
However, if only one partner receives a qualifying benefit, the other may still be eligible if:
- Both are over State Pension age
- Both were present in the UK, Channel Islands, Isle of Man, Gibraltar, EEA, or Switzerland during the qualifying week
- One of the following is true:
- The benefit includes an additional amount for a partner
- The only benefit being claimed is Pension Credit
No Application Necessary
You do not need to apply for the Christmas Bonus—eligibility is determined automatically. Payment is processed by the DWP and will show up in your bank or building society account as usual. For more information, visit the official GOV.UK website as the holiday season approaches.
The £10 DWP Christmas Bonus may seem modest, but for many people across the UK, it’s a welcomed gesture during the festive season. While its value has not been adjusted in decades, it continues to support millions of pensioners and benefit recipients each year. As long as you meet the residency and benefit requirements, you can expect this extra payment to land in your account before Christmas without needing to lift a finger.
FAQs
Do I need to apply for the DWP Christmas Bonus?
No. If you’re eligible, the DWP will automatically issue the £10 bonus to your usual payment account.
Will people on Universal Credit receive the bonus?
No. Universal Credit is not one of the qualifying benefits for the Christmas Bonus.
Can I receive the bonus if I live outside the UK?
Yes, but only if you reside in the Channel Islands, Isle of Man, Gibraltar, or certain EEA countries or Switzerland, and meet the other eligibility criteria during the qualifying week.