January 2025 payment dates for benefits and pensions as DWP to launch disability consultation
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All the essential cost of living information you need. As the new year begins, millions will be looking to balance the expense of the winter season with ever-increasing household costs. Across the UK, people continue to grapple with high prices as the rampant inflation of the past few years has left essentials costing more than ever before.
Household bills, groceries, mortgages and rents have all hit record highs, as the country navigates the ongoing cost of living crisis. Inflation saw an unwelcome spike to 2.6 per cent in November, continuing the steep rise of late 2024. Many had hoped that the figure would sink back below the Bank of England’s 2 per cent target as it did in September, with living costs greatly outpacing wage growth over the past few years.
In October, Labour unveiled its first Budget in power with Rachel Reeves promising to “support people with the cost of living.” The chancellor confirmed that the national living wage would rise by 6.7 per cent next year, while the state pension will be uprated by 4.1 per cent, and benefits by 1.7 per cent.
However, the latest stories from low-income households still paint a bleak picture of the UK’s economic situation. Recent research from The Joseph Rowntree Foundation 100,000 more children and 300,000 adults are set to be in poverty by October 2029 if further action is not taken by the government.
Meanwhile, thousands of pensioners still wait for their £200-300 winter fuel payment after Labour’s choice to cut back the cold weather benefit. In December, The Independent revealed that increased pressure on the DWP meant many were waiting over 100 days.
