The Department for Work and Pensions (DWP) has shared some great news for UK pensioners. From June 21, 2025, the State Pension will get a noticeable boost, and a new payment schedule will make things easier for retirees. With living costs still a challenge for many, this increase is set to help millions of older people across the country. The DWP’s changes aim to keep pensions in line with rising wages and ensure smoother payments for everyone.
Bigger Pension Payments for 2025
Starting June 21, 2025, the weekly State Pension will go up to £230.25 from £221.20. This 4.1% rise comes from the government’s triple lock rule, which means pensions increase by the highest of inflation, average wage growth, or 2.5%. This year, wages growing by 4.1% set the pace. For those getting the full new State Pension, this adds about £472 a year, helping with costs like energy bills, groceries, and transport. The DWP says nearly 12 million pensioners will benefit.
The extra money is a big help as many retirees face higher prices. Those on the full pension will now get around £11,975 a year. But not everyone qualifies for the full amount—it depends on your National Insurance contributions. If you’ve got missing years, you might be able to pay to fill them and boost your pension. The DWP will send a letter four months before you hit State Pension age (currently 66) to guide you.
Updated Payment Schedule Rolls Out
Along with the pension increase, the DWP is launching a new payment schedule from June 21, 2025. Payments will still come every four weeks, but dates are being tweaked to avoid bank holidays and ensure timely delivery. For instance, payments due on bank holidays, like Monday, August 25, 2025, will shift to Friday, August 22. In July 2025, with no bank holidays, payments will stay on their regular dates.
Here’s a snapshot of the payment schedule for July 2025:
| Benefit | Payment Frequency | July 2025 Payment Dates |
|---|---|---|
| State Pension | Every 4 weeks | No changes, usual dates |
| Pension Credit | Weekly or every 4 weeks | No changes, usual dates |
| Attendance Allowance | Every 4 weeks | No changes, usual dates |
Pensioners can check their exact payment dates on the DWP website or by calling their helpline. Payments go directly to your bank account, so make sure your details are up to date. You’ll need your National Insurance number and ID when contacting the DWP.
Pension Credit Gets a Boost Too
The DWP has also announced a £900 Pension Credit top-up for 2025, paid in three £300 chunks in July, October, and December. This is for low-income pensioners aged 66 or over, living in the UK full-time, and already on or approved for Pension Credit. If you’re not claiming but think you might qualify, apply before August 2025 to get all three payments. You can apply online or by phone through the DWP.
Pension Credit can also unlock extra perks, like cheaper council tax or a free TV licence for those over 75. With Pension Credit and the State Pension combined, some pensioners could see their weekly income hit £549 by May 2025. This support is vital, especially with energy costs still high for many.
More Cost of Living Support in June
The DWP is also giving a £450 cost of living payment in June 2025 to people on benefits like Universal Credit or Pension Credit. This one-time payment will land in accounts throughout the month, but only for those with active claims in spring 2025. It’ll appear in your bank with a reference like “DWP COL” next to your National Insurance number. Other help, like higher Local Housing Allowance or free school meals in some areas, is also available—check with your local council.
Steps for Pensioners to Take
Pensioners don’t need to do anything to get the new pension rate—it’ll start automatically on June 21. But checking your National Insurance record or applying for Pension Credit if your income is low could add more to your pocket. The DWP encourages everyone to visit their website or call for support. With these changes, 2025 looks set to bring a bit more financial ease for UK retirees.