Calls are being made for the Government to increase the annual £10 Christmas bonus paid to millions of people on benefits.

The tax-free £10 bonus was introduced by Ted Heath’s Conservative Government in 1972. The payment is made by the Department for Work and Pensions (DWP) to people who receive State Pension or claim certain other benefits including Personal Independence Payment (PIP), Attendance Allowance and Carer’s Allowance – if they meet the eligibility criteria.

However, it has not been increased since it was introduced over five decades ago and in today’s money, it would be worth £165.36 – when calculated under the composite price index published by the UK Office for National Statistics (ONS). Scores of people have signed a petition calling for a rise in the payment.

Even though the petition was created nearly a year ago on Change.org by Shona McMahon, when the Conservatives were still in government, some 20,686 people have shown their support for the proposal (at the time of writing). Ms McMahon said: “Christmas is THE most expensive time of year!

“Pensioners, the vulnerable & people like myself, disabled, could do with an extra boost at this time of year, especially as the energy assistance has been axed.” She further added: “It was shocking to learn that the ‘£10 Christmas Bonus’ has been the same for OVER FIVE DECADES!!”

A DWP spokesperson told the Daily Record: “We are taking immediate action to turn around the dire inheritance we face – with more people living in poverty now than 14 years ago. This includes extending the Household Support Fund for the most vulnerable, kickstarting work to develop a strategy to reduce child poverty, and taking the first steps towards delivering a genuine living wage for working people.”

What is the DWP £10 Christmas Bonus

Some 22 benefits are eligible for the £10 payment, however, 6.7 million people claiming Universal Credit do not qualify. The DWP will make this as a separate payment, independent of your scheduled State Pension or benefit payment, so it may arrive on a different day.

Nobody needs to apply for the extra £10 as it should automatically go into the account where you usually receive your benefit payment or State Pension. It will show as ‘DWP XB’ on bank statements and online accounts.

Who is eligible for the Christmas Bonus?

To qualify for the Christmas Bonus you must be present or ‘ordinarily resident’ in the UK, Channel Islands or Isle of Man, Gibraltar, during the qualifying week, which this year is expected to be December 2 – 8, 2024. The DWP will write to eligible claimants advising them that they will be receiving the £10 bonus in December, but this sometimes arrives after the payment has been made.

Qualifying benefits

You must also get 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 get 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.”