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DWP Christmas Bonus: Petition Demands £10 Increase To £114.75 Amid Cost of Living Crisis

12 September, 2024 - 4:11PM
DWP Christmas Bonus: Petition Demands £10 Increase To £114.75 Amid Cost of Living Crisis
Credit: img-s-msn-com.akamaized.net

The government has been urged to boost its annual Christmas £10 bonus for benefit claimants, with thousands signing a petition to bring the payment in line with modern needs.

Usually paid in the first week of December, the bonus is a tax-free £10 payment to people claiming certain benefits. These include carer’s allowance, personal independence payment (PIP), and pension credit, but those claiming universal credit as a standalone benefit are not eligible.

An online petition to increase the payment has attracted more than 15,000 signatures. It urges the Department for Work and Pensions (DWP) to consider lifting the amount in line with inflation – pointing out that the £10 sum has remained unchanged since 1972.

If this one-off bonus were increased in line with inflation over those 52 years, the payment would be lifted to £114.75, according to Bank of England data. Increasing it by the latest inflation figures would take it to just £10.22.

First launched last year, the petition has gained thousands of new signatories as pressures grow ahead of winter. It was started by user Shona McMahon, who argues that the payment should be increased in line with inflation every year after an initial uprating.

“This isn’t asking for ‘just another handout’,” she writes. “This is for those of us that don’t have an option to earn anything extra.”

The Pressure On The DWP

The renewed interest in the drive comes as energy bills are set to increase this winter as Ofgem’s price cap rises. Combined with Labour’s controversial cut to the Winter Fuel Payment for pensioners, many experts are warning this will be a difficult winter for the country’s most vulnerable.

Martin Lewis has urged the government to “rethink” the move to means-test the cold weather benefit, as he warns that all pensioners are likely to struggle more this year.

With the withdrawal of the £300-per-household cost-of-living support and the changing eligibility of winter fuel payments, worth £200 – £300, some could be as much as £600 worse off than last winter, he said.

Benefits for all claimants will see an annual increase in April as they uprate in line with inflation. Last year, they increased by 6.7 per cent, bringing the standard monthly rate of Universal Credit for over-25s from £368.74 to £393.45.

The DWP has been approached for comment.

The Christmas Bonus: A History Of Stagnation

The £10 Christmas bonus was introduced in 1972 and has only been increased once – in 2008, when it was temporarily raised to £70 amid the financial crisis. Since then, it has remained at £10.

The petition highlights the fact that the bonus has not kept pace with inflation, meaning its real value has eroded significantly over the years. In today’s money, the £10 bonus would be worth £114.75 if it had been increased in line with inflation.

Calls For Action

The petition has attracted support from many who believe that the £10 Christmas bonus is inadequate and should be increased. Some have described the payment as “pathetic” and “literally worthless” in light of the current cost of living crisis.

The petition’s creator, Shona McMahon, argues that the payment should be increased annually in line with inflation. She believes that this would provide a much-needed boost to those who are struggling financially, particularly during the Christmas period.

The Future Of The Christmas Bonus

It remains to be seen whether the government will take any action to increase the Christmas bonus. However, the petition highlights the need for a more substantial payment to help those who are struggling to make ends meet.

The cost of living crisis is putting immense pressure on households across the UK. For many, the Christmas bonus is a small but welcome boost. The petition’s success demonstrates the public’s desire for a fairer and more generous approach to supporting those in need.

The DWP has been approached for comment. This article will be updated as more information becomes available.

DWP Christmas Bonus: Petition Demands £10 Increase To £114.75 Amid Cost of Living Crisis
Credit: img-s-msn-com.akamaized.net
DWP Christmas Bonus: Petition Demands £10 Increase To £114.75 Amid Cost of Living Crisis
Credit: medium.com
Tags:
Department for Work and Pensions Christmas Bonus Pension DWP Christmas bonus petition Cost of Living Inflation
Maria Garcia
Maria Garcia

Editor

Passionate editor with a focus on business news.