September 2025 bank holiday payment dates for benefits and pensions plus cost of living support
But for millions in the country, managing the cost of living remains a daily struggle as prices continue to rise faster than household incomes.
Recent research from the Resolution Foundation found that the cost of essentials in the UK has remained stubbornly high, long past the 'peak' of the cost of living crisis in 2022.
Despite inflation returning to pre-pandemic levels, the cost of goods has remained persistently high in the face of stagnant wages. At the same time, exorbitant household bills mean millions are grappling with debts to afford the essentials.
Around 7.3 million adults (13.9 per cent of households) experienced food insecurity in January 2025, figures from The Food Foundation reveal, showing no signs of returning to pre-2022 levels. Meanwhile, energy arrears have more than doubled over the past five years, rising to £3.9 billion at the end of 2024.
Against this difficult economic backdrop, it's important that households are claiming all the support the they entitled to. There are now around 24 million people in the country claiming some combination of DWP-administered benefits, representing around one in three people.
Yet research by Policy in Practice shows that £23 billion worth of benefits goes unclaimed every year – you can use their helpful calculator to work out what you might be entitled to.
Here is an overview of the financial support available to households this September and key dates for benefit and state pension recipients to look out for:
Benefit payment dates in September
Benefit payments will be going out as normal in September as there are no bank holidays to be aware of. These include:
Universal Credit
State pension
Pension credit
Child benefit
Disability living allowance
Personal independence payment (PIP)
Attendance allowance
Carer's allowance
Employment support allowance
Income support
Jobseeker's allowance
For more information on how and when state benefits are paid, visit the government's website.
The DWP is aiming to complete the migration of all 'legacy benefits' to Universal Credit by January 2026. Those receiving tax credits, income support, jobseeker's allowance, and housing benefit should have received a notice about moving to Universal Credit already.
Are you having issues with PIP, Universal Credit, or any other benefit? Get in touch via email: albert.toth@independent.co.uk
Pension payment dates in September
The basic state pension is paid straight into bank accounts similar to how benefits are paid. It is usually paid every four weeks, with the exact day you receive it corresponding to the last two digits of your national insurance (NI) number.
Here's when you should be paid based on those numbers:
00 to 19: Monday
20 to 39: Tuesday
40 to 59: Wednesday
60 to 79: Thursday
80 to 99: Friday
When will benefit rates go up?
In April, all benefits were uprated by 1.7 per cent, matching the September 2024 inflation figure. The increase applied to all working-age benefits, including universal credit, PIP, DLA, attendance allowance, carer's allowance, ESA and more.
Meanwhile, in line with the triple lock, the state pension has risen by 4.1 per cent – up £472 a year – matching wage growth in 2024.
In April 2026, all Universal Credit claimants will receive an above-inflation increase to their income following the passage of Labour's controversial welfare bill. These extra-inflationary increases will continue yearly until 2029, with the first being a rise of at least 2.3 per cent.
However, at the same time, the monthly payment rate for the health-related element of Universal Credit for new claimants will be cut from £105 to £50. This rate will also be frozen until 2029.
This is a reduction of over £200 a month, cutting the additional rate by around half. This means it is advisable for anyone who thinks they might be eligible to apply as soon as they can.
Other help available
Budgeting advance loans
The government offers a 'budgeting advance loan' for people on Universal Credit who face an emergency lack of money. The loan has a maximum repayment period of two years.
These loans are interest-free, and automatically deducted from Universal Credit payments. You can borrow an 'advance' of up to:
£348 if you're single
£464 if you're part of a couple
£812 if you or your partner claim Child Benefit
Following the Labour Budget in October, a new cap has been introduced on the amount the DWP can deduct from benefit payments to repay loans and debts, including budgeting advance loans.
From April 2025, deductions from universal credit will be capped at 15 per cent of the standard allowance, down from 25 per cent.
Discretionary Housing Payment
Households can apply to their council for a Discretionary Housing Payment (DHP), which offers financial support to go towards rent or housing costs.
You can only get a DHP if you are in receipt of Housing Benefit or the housing element of Universal Credit. It can cover housing costs for a rent shortfall, rent deposits and rent in advance if you need to move home.
Exact eligibility and the funds available are decided on a council-by-council basis, so you will need to get in touch with your local authority to find out more.
Household Support Fund
The Household Support Fund (HSF), distributed by local councils, offers vital assistance to those facing financial hardship, complementing standard benefits and grants.
As part of this government initiative, eligible households throughout the UK can access support such as essential appliances, contributions towards utility bills, and direct cash payments reaching up to £300.
Local authorities are free to decide how to allocate their HSF funding to suit households in their area, so exactly what is available will vary. To apply, households need to contact their council (most offer an online form).
This nationwide program is set to run until March 2026. The government has committed £1 billion in funding to transition it into a 'Crisis and Resilience Fund', which will also replace the DHP.
Charitable grants
If you are struggling financially, you may be eligible for certain charitable grants. There are a wide range of grants available depending on your circumstances.
However, these grants will typically require you to meet specific criteria and only be able to offer limited funds.
Charitable grants are available for people who are disabled or ill, carers, bereaved, unemployed, students – and many more. The charity Turn2us has an online tool to search for grants which may be available to you.
Energy provider help
A number of energy suppliers offer help for those struggling with their energy bills. These include British Gas, Scottish Power, EDF, E.ON and Octopus. It is worth contacting your energy provider to find out if you are eligible.
Council tax reduction
If you meet certain criteria or are on certain benefits, you may be able to apply for a discount on your council tax discount of up to 100 per cent (this is sometimes called council tax support).
Your local council may still be able to offer you a discretionary reduction if you are able to demonstrate you are facing severe hardship and can't afford to pay your council tax.
To apply for a council tax reduction, you can contact your local council via the government's website.
Up to 30 hours of free childcare
All working parents in the UK are currently entitled to 30 hours of free childcare for children aged 3 to 4. From 1 April 2024, this entitlement expanded to include 15 hours of free childcare for 2-year-olds.
From 1 September, it was expanded again to include all children from the age of nine months.
You must apply online and reconfirm your eligibility every three months, in time for each school term. Working parents can also apply for tax-free childcare, giving back 20p for every 80p you put towards childcare, up to a maximum of £500 a year.
The final expansion to free childcare, coming in September 2025, will see all children under five eligible for 30 hours.
Energy Price Cap: Is it going up?
Ofgem's energy price cap has be decreased from £1,849 to £1,720 for July to September – a drop of 7 per cent. The welcome fall follows three consecutive rises. The figure for October to December will be announced at the end of August.
The energy price cap is the maximum amount energy suppliers can charge you for each unit of energy if you're on a standard variable tariff. That includes most households. It is expressed as an annual bill for an average home.
Will there be another Cost of Living Payment in 2025?
The DWP have not announced any continuation of the Cost of Living Payment scheme that ran between 2022 and 2024. The final payment should have been made to eligible households between 6 February and 22 February 2024.
Mental health support
In the UK and Ireland, Samaritans can be contacted 24 hours a day, 365 days a year. You can call them for free on 116 123, email them at jo@samaritans.org, or visit samaritans.org to find your nearest branch.
Mind runs a support line on 0300 102 1234 which provides a safe and confidential place to talk about how you're feeling. There is also an information line on 0300 123 3393 for nearby support, and a welfare benefits line on 0300 222 5782 to support the mental health of those navigating the benefits system.
Disability charity Scope has a forum where people can have supportive chats to others going through the same experiences.
NHS England offers an online mental health triage service.
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