Around 910,000 people aged over 65 are missing out on Pension Credit, a benefit that can top up incomes to as much as £1,574 a month for couples. The extra money could ease the financial burden for some of the most hard-up retirees in the country.
What Pension Credit pays
Single pensioners can top up their weekly income to £238, while the figure rises to £363.25 for those who are part of a couple — amounting to as much as £1,574 per month, reports Birmingham Live. The precise sum paid out varies according to individual circumstances and how much income a person receives each month, as it functions as a top-up payment.
On average, it is worth an additional £4,300 a year — underlining the enormous difference Pension Credit can make.
Why many do not claim
A great number of older people do not claim Pension Credit, and there are concerns that it is widely misunderstood or considered too complicated to navigate. Some may be unaware that they could be eligible, while others may assume the additional amount would not be worth their while.
However, even where Pension Credit is only worth a modest sum, claiming it can unlock access to a range of other benefits and perks. These include the £150 Warm Home Discount to assist with energy bills throughout the winter months, and potentially a free TV licence for those aged over 75. It is therefore always worth checking whether you qualify if you are on a lower income.
Money Saving Expert's advice
Money Saving Expert said: "If you're retired and have income less than £238 a week as an individual, or £363 a week as a couple, you may be due Pension Credit worth £4,300 a year, on average.
"Plus, it entitles you to a whole raft of other benefits."
About 2.3 million are eligible for Pension Credit, but it's estimated that around 910,000 don't claim – in many cases because they don't realise they could be entitled to it.
