Approximately 24 million individuals throughout the United Kingdom are presently receiving a minimum of one benefit from the Department for Work and Pensions (DWP). This count encompasses pensioners collecting State Pension payments, as well as individuals on Universal Credit and Personal Independence Payment (PIP).
Nevertheless, numerous recipients, including those recently qualified for the State Pension or those obtaining disability benefits, may not be informed about a yearly bonus distributed to specific claimants ahead of the holiday season.
The DWP’s ‘Christmas Bonus’ is a one-time, tax-exempt sum issued to individuals receiving particular benefits. Typically disbursed automatically before January 1, 2026, this £10 bonus is provided to 24 different recipients who meet the eligibility criteria during a specified period, usually the initial full week of December.
It is crucial to understand that the DWP administers this bonus as a distinct payment, separate from regular State Pension or benefit disbursements, potentially arriving on a different date. This information has been reported by The Daily Record.
Recipients need not apply for the additional £10 as it is expected to be transferred automatically to the account where benefit payments or State Pension are typically received. The payment is commonly labeled as ‘DWP XB’ on bank statements and online banking, with specific confirmation of the code closer to the distribution date.
Introduced in 1972 by Ted Heath’s Conservative Government, the £10 Christmas Bonus has not been adjusted or increased since its inception over five decades ago. By current standards, it would be valued at around £118 if adjusted utilizing the composite price index published by the UK Office for National Statistics (ONS).
To qualify for the Christmas Bonus, individuals must be present or ‘ordinarily resident’ in the UK, Channel Islands, Isle of Man, or Gibraltar during the qualifying week of December 1 – 7 (dates to be confirmed). Eligible claimants will be notified by the DWP about the receipt of the £10 bonus in December, although the notification may sometimes arrive after the payment.
Certain benefits must be received during the highlighted week to qualify for the Christmas Bonus according to DWP guidance on GOV.UK. As per the guidance, individuals over State Pension age who have not claimed their State Pension and are not entitled to other qualifying benefits will not receive the Christmas Bonus.
Moreover, the guidance specifies that if both partners in a married couple, civil partnership, or cohabiting arrangement receive one of the qualifying benefits, each will be entitled to a £10 Christmas Bonus payment.
If a partner or civil partner does not receive a qualifying benefit, they could still be eligible for the Christmas Bonus if specific conditions are met, as outlined in the DWP guidance.