What the DWP Christmas bonus should be worth in 2024 when it enters bank accounts in December
Each year, the Government's Department for Work and Pensions pays out £10 to millions of households. The little top-up is paid to recipients of certain benefits as a boost over the festive period.
The Government first introduced this payment in 1972. At the time, £10 was paid out to households and that number was remained the same since then, 54 years later.
But if the Christmas top-up had increased every year in line with inflation, it would be worth a lot more money in 2024. Estimates suggest it would be worth more than £100 in today's value.
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The fact that the bonus amount has remained unchanged for just over five decades has drawn criticism from benefit claimants and charities. According to the Bank of England's calculator, the Christmas payment would be worth £115.08 in 2024.
An online petition has called for the Government to permanently increase the payment in line with inflation, which was started by by Shona McMahon in 2023. It has now gained more than 20,000 signatures.
Shona wrote: "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. It was shocking to learn that the ‘£10 Christmas Bonus’, has been the same for OVER FIVE DECADES!!” (sic)
Ms McMahon continued: "This isn’t asking for ‘just another handout’, this is for those of us that don’t have an option to earn anything extra. I implore you to sign & share this, if only because the government wouldn’t like their bonus to be stagnant for 51 years! Then we respectfully ask that our Christmas bonus be raised in line with inflation please, or more."
A DWP spokesperson has now responded, stating that although the amount won't be increased there is other help available for some. They said: “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.”
People can check their council's website or call their office to find out what support is available locally to them through the Household Support Fund. For a few examples of how local authorities have previously used the fund, Birmingham City Council distributed grants of up to £200 to help households with food costs and energy payments. In Plymouth, eligible residents could receive a maximum of £740 in vouchers.