Nearly 24 million people across the UK are currently claiming at least one benefit from the Department for Work and Pensions (DWP). This figure includes 13 million older people receiving State Pension payments, 5.7 million on Universal Credit, and 3.7 million Personal Independence Payment (PIP) claimants.
However, many people, including those newly eligible for the State Pension, or those receiving disability benefits such as the new devolved Pension Age Disability Payment, or Adult/Child Disability Payment, may not be aware of an annual bonus paid to certain benefit claimants before Christmas.
The DWP 'Christmas Bonus' is a one-off, tax-free payment of £10 made to people receiving certain benefits - but not Universal Credit. Those on the State Pension, PIP, devolved Scottish disability benefits, Attendance Allowance, Carer's Allowance - 23 benefits in total - will automatically receive the money before Christmas, provided they meet the eligibility criteria during a specific qualifying period, typically the first full week in December.
It's important to note that the DWP will issue this as a separate payment, independent of your scheduled State Pension or benefit payment, so it may arrive on a different day, reports the Daily Record.
Nobody needs to apply for the additional £10 as it should automatically appear in the account where you normally receive your benefit payment or State Pension. It typically appears as 'DWP XB' on bank statements and online accounts.
The £10 Christmas Bonus was brought in by Ted Heath's Conservative Government in 1972. It has not been increased or uprated since it launched more than five decades ago. In today's money, it would be worth approximately £118 - when calculated using the composite price index published by the UK Office for National Statistics (ONS).
To be eligible for the Christmas Bonus you must be present or 'ordinarily resident' in the UK, the Channel Islands, the Isle of Man, or Gibraltar during the qualifying week of December 1 - 7 (to be confirmed).
The DWP will write to eligible claimants informing them that they will be receiving the £10 bonus in December, but this sometimes arrives after the payment has been made.
You must also receive at least one of the following benefits in the qualifying week:
Not everyone over State Pension age will receive the payment, DWP guidance on GOV.UK explains: "If you have not claimed your State Pension and are not entitled to one of the other qualifying benefits you will not get a Christmas Bonus."
The DWP guidance clarifies that if you're part of a married couple, in a civil partnership ,or cohabiting, and you both receive one of the qualifying benefits, you will each be entitled to a £10 Christmas Bonus payment.
If your partner or civil partner does not receive one of the qualifying benefits, they may still be eligible for the Christmas Bonus if both the following apply:
One of the following must also apply:
There's no need to claim the Christmas Bonus - it should be automatically credited to you. Find out more about the Christmas Bonus on GOV.UK here.