For many households in the UK, making ends meet is still a daily challenge. Even though inflation is back to pre-pandemic levels, prices for essentials remain high and wages haven’t kept up. The result? Millions are still struggling with bills, rent, and everyday costs.
Research from The Food Foundation shows that in January 2025, around 7.3 million adults faced food insecurity, while energy arrears hit £3.9 billion by the end of 2024—more than double five years ago. This August, it’s more important than ever to know your benefit and pension payment dates, and understand what extra support you can claim.
Dates
The Summer Bank Holiday falls on Monday 25 August 2025. This means if your benefit or pension payment is due that day, you’ll get it early—on Friday 22 August 2025.
Payments affected include:
- Universal Credit
- State Pension
- Pension Credit
- Child Benefit
- Disability Living Allowance (DLA)
- Personal Independence Payment (PIP)
- Attendance Allowance
- Carer’s Allowance
- Employment Support Allowance (ESA)
- Income Support
- Jobseeker’s Allowance
For all other dates in August, payments will be made as normal.
Pensions
The State Pension is usually paid every four weeks, and the day depends on your National Insurance number:
| NI Number ending in | Payment Day |
|---|---|
| 00–19 | Monday |
| 20–39 | Tuesday |
| 40–59 | Wednesday |
| 60–79 | Thursday |
| 80–99 | Friday |
If your pension date falls on 25 August, you’ll also get it on Friday 22 August instead.
Increases
In April 2025, benefits rose by 1.7%, matching September 2024 inflation. The State Pension, under the triple lock, increased by 4.1%, adding about £472 a year.
From April 2026, Universal Credit will see above-inflation rises each year until 2029. However, the health-related element for new claimants will be cut from £105 to £50 per month and frozen until 2029. If you think you’re eligible, applying sooner rather than later could avoid this cut.
Loans
Budgeting Advance Loans are available for those on Universal Credit who face emergencies:
| Household Type | Maximum Loan |
|---|---|
| Single | £348 |
| Couple | £464 |
| With Children (Child Benefit) | £812 |
From April 2025, deductions to repay loans will be capped at 15% of the standard allowance (down from 25%).
Housing
Discretionary Housing Payments (DHP) help cover rent shortfalls, deposits, or advance rent if you’re on Housing Benefit or the housing element of Universal Credit. Availability depends on your local council.
Other Help
- Charitable Grants – Turn2us has a search tool to find funding based on your situation.
- Council Tax Reduction – Up to 100% discount if eligible; contact your local council.
- Free Childcare – By September 2025, all children under 5 will be eligible for 30 hours free childcare per week.
- Mental Health Support – Samaritans (116 123), Mind, Scope, and NHS England offer free help and resources.
August 2025’s main change is the shifted payment date for the bank holiday. Knowing this—and the range of extra help available—means you can plan better, avoid cash flow surprises, and make sure you’re not missing out on unclaimed benefits worth billions each year.
FAQs
When is the August 2025 bank holiday?
Monday 25 August 2025.
When will benefits be paid for that day?
On Friday 22 August 2025.
How often is State Pension paid?
Every four weeks, based on NI number.
What is the max Budgeting Advance loan?
£812 if you have children.
Where to check unclaimed benefits?
Use Policy in Practice’s benefits calculator.
