The Department for Work and Pensions has confirmed the return of the annual Christmas bonus for 2025, with millions of Britons set to receive the payment during the first week of December.
Who qualifies for the £10 Christmas bonus?
To be eligible for this automatic tax-free payment, you must be present or 'ordinarily resident' in the UK, Channel Islands, Isle of Man, or Gibraltar during the qualifying week, which runs from December 1-7, 2025.
The payment has remained at £10 since the scheme began in 1972, despite inflation meaning that original amount would be worth approximately £165 in today's money.
Not everyone over state pension age will automatically receive the bonus. The DWP clarifies: '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.'
Which benefits make you eligible?
You must be receiving at least one of the following benefits during the qualifying week to get the Christmas bonus:
- State Pension (including Graduated Retirement Benefit)
- Pension Credit – the guarantee element
- Personal Independence Payment (PIP)
- Adult Disability Payment (Scotland only)
- Carer's Allowance
- Carer Support Payment (Scotland only)
- Attendance Allowance
- Disability Living Allowance
- Child Disability Payment (Scotland only)
- Pension Age Disability Payment (Scotland only)
- Armed Forces Independence Payment
- Constant Attendance Allowance
- Industrial Death Benefit
- Severe Disablement Allowance
- War Widow's Pension
- Widowed Mother's Allowance
- Widowed Parent's Allowance
- Widow's Pension
- Unemployability Supplement
- War Disablement Pension
- Contribution-based Employment and Support Allowance
- Incapacity Benefit
- Mobility Supplement
Payment details and important dates
The bonus payment is completely automatic and requires no application. It will be deposited directly into the account where you receive your pension or benefits, with the payment reference 'DWP XB' or 'XB'.
For couples where both partners are eligible, each person will receive their own £10 payment. Even if only one partner receives qualifying benefits, the other may still be eligible if both are over state pension age and meet residency requirements.
This year's payment schedule has been adjusted for the Christmas holidays. Payments that would normally fall on Christmas Day (December 25) or Boxing Day (December 26) will instead be made on Christmas Eve (December 24).
The Christmas bonus announcement follows Chancellor Rachel Reeves's Autumn Budget on November 26, which the Institute for Fiscal Studies suggests will 'almost certainly' raise taxes. The payment maintains its traditional £10 value despite previous government discussions about welfare reforms.