State pensioners to wake up to automatic bonus payment

Special cash payment for low-income households during winter

Millions of pensioners have been told they can expect a special bonus payment to drop into their bank accounts over the coming weeks. The DWP will be paying out its Christmas Bonus to low-income households towards the end of the year.

It's a £10 payment paid automatically into bank accounts of those who qualify. The cash is designed to provide a little help over the Christmas period for those most likely to be struggling with their finances at the most expensive time of the year.

Older people on the Guarantee Element of Pension Credit will get the payment, as well as those receiving a number of other benefits including Attendance Allowance and Carer's Allowance. These people will get the money as long as they were receiving support during the "qualifying week", normally the first week of December.

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Cash should then enter bank accounts just before Christmas. The £10 bonus may come as a surprise to those not expecting it. It should show up next to the code "DWP XB" on bank statements.

The Government says: "The Christmas Bonus is a one-off tax-free £10 payment made before Christmas, paid to people who get certain benefits in the qualifying week. This is normally the first full week of December.

"You do not need to claim - you should get paid automatically. All benefits, pensions and allowances are normally paid into an account, such as your bank account. It may show up as ‘DWP XB’ on your bank statement."

The full list of qualifying benefits are:

• Adult Disability Payment
• Armed Forces Independence Payment
• Attendance Allowance
• Carer’s Allowance
• Carer Support Payment
• Child Disability Payment
• 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 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