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Nearly 24 million people across the UK are currently claiming at least one benefit from the Department for Work and Pensions (DWP), including 13 million pensioners receiving State Pension payments, 5.7 million on Universal Credit, and 3.7 million Personal Independence Payment (PIP) claimants.
However, many individuals, such as those newly eligible for State Pension age retirement or those receiving disability benefits like 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 in receipt of certain benefits, excluding 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 regular State Pension or benefit payment, so it may arrive on a different day, as reported by the Daily Record.
No application is necessary for the additional £10 as it will automatically be deposited into the account where you typically receive your benefit payment or State Pension. It usually appears as 'DWP XB' on bank statements and online accounts, but the exact code will be publicised closer to the time.
The £10 Christmas Bonus was introduced by Ted Heath's Conservative Government in 1972. It has not been uprated or increased since its inception over five decades ago and in today's money, it would be worth around £118 - when calculated under the composite price index published by the UK Office for National Statistics (ONS).
Who is eligible for the £10 Christmas Bonus?
To be eligible for the Christmas Bonus you must be present or 'ordinally resident' in the UK, Channel Islands, Isle of Man, or Gibraltar, during the qualifying week of December 1 - 7 (to be confirmed).
The DWP will notify eligible claimants that they will be receiving the £10 bonus in December, although this sometimes arrives after the payment has been made.
Qualifying benefits
You must also receive at least one of the following benefits in the qualifying week:
Adult Disability Payment (Scotland only) Armed Forces Independence Payment Attendance Allowance Carer's Allowance Carer Support Payment (Scotland only) Child Disability Payment (Scotland only) Constant Attendance Allowance (paid under Industrial Injuries or War Pensions schemes) Contribution-based Employment and Support Allowance (once the main phase of the benefit is entered after the first 13 weeks of claim) Disability Living Allowance Incapacity Benefit at the long-term rate Industrial Death Benefit (for widows or widowers) Mobility Supplement Pension Age Disability Payment (Scotland only) Pension Credit - the guarantee element Personal Independence Payment (PIP) State Pension (including Graduated Retirement Benefit) Severe Disablement Allowance (transitionally protected) Unemployability Supplement or Allowance (paid under Industrial Injuries or War Pensions schemes) War Disablement Pension at State Pension age War Widow's Pension Widowed Mother's Allowance Widowed Parent's Allowance Widow's Pension
Not everyone over State Pension age will receive the payment, as explained in the DWP guidance on GOV.UK: "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."
Married or cohabiting couples and civil partnerships
The DWP has provided guidance stating that if you're married, in a civil partnership or cohabiting as though you are, and both of you receive one of the qualifying benefits, you will each receive a £10 Christmas Bonus payment.
Even if your partner or civil partner doesn't receive one of the qualifying benefits, they may still be eligible for the Christmas Bonus if certain conditions apply and further criteria must also be met.
If your partner or civil partner does not get one of the qualifying benefits, they may still get the Christmas Bonus if both the following apply:
You're both over State Pension age by the end of the qualifying week Your partner or civil partner was also present (or 'ordinarily resident') in the UK, Channel Islands, Isle of Man, Gibraltar, European Economic Area (EEA) country or Switzerland during the qualifying week
One of the following must also apply:
You are entitled to an increase of a qualifying benefit for your partner or civil partner The only qualifying benefit you are getting is Pension Credit Claiming Process
There's no need to claim the Christmas Bonus - it should be automatically received. More information about the Christmas Bonus can be found on GOV.UK here.
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