More than 1.4 million older people across Great Britain are currently receiving Pension Credit, a means-tested benefit that provides an average of £4,300 per year in additional financial support for those aged over 66 on a low income. This benefit also unlocks access to Council Tax reductions and help with heating costs, including the Warm Home Discount Scheme.
Travel Rules for Pension Credit Claimants
Many claimants may not realize they must inform the Department for Work and Pensions (DWP) if they plan to travel outside mainland Britain, regardless of how long they will be away. According to guidance on GOV.UK, this applies to those "leaving England, Scotland and Wales for any period (for example, going on holiday)."
The DWP states: "You need to report changes to you and your partner's personal and financial circumstances. Your claim might be stopped or reduced if you do not report a change straight away. Some changes will increase the amount of Pension Credit you could get."
Changes to Personal Circumstances
Personal changes that must be reported include:
- Moving to a new address
- Starting or stopping living with a partner
- The death of a partner named on your claim
- Starting or stopping work
- Going into hospital or a care home
- People moving in or out of your house
- Changing your name
- Switching your bank account
- Leaving England, Scotland, or Wales for any period (e.g., holiday)
- Starting or stopping looking after a child or young person under 20
- Changes to your immigration status (if not a British citizen)
If you enter a care home for more than four weeks, you must also report changes to care home funding, temporary stays becoming permanent, moving to another care home, or going into hospital.
Changes to Financial Circumstances
You must also report income or expense changes, including:
- Housing costs (e.g., ground rent, service charges)
- Benefits received by anyone in your home (new benefits or stopped benefits)
- Occupational or personal pensions (including new pensions or lump sums)
- Other income, such as foreign pensions
- Savings, investments, or property
The DWP encourages claimants to call the Pension Credit helpline at 0800 99 1234 if unsure about reporting a change. However, it warns: "You could be taken to court or have to pay a penalty if you give wrong information or do not report a change in your circumstances."
Pension Credit Eligibility and Application
Recent DWP statistics show over 700,000 eligible people are not claiming Pension Credit. Some mistakenly believe savings or home ownership disqualify them, but even £1 per week in Pension Credit can unlock additional support.
How Pension Credit Works
When you apply, your income is assessed. If you have a partner, your combined income is considered. Pension Credit tops up:
- Weekly income to £238.00 if single
- Joint weekly income to £363.25 if you have a partner
If your income exceeds these thresholds, you may still qualify if you have a disability, provide care, have savings, or face housing costs.
What Counts as Income
Income includes State Pension, other pensions, earnings from employment or self-employment, and most social security benefits (e.g., Carer's Allowance). Not counted as income are Attendance Allowance, DWP Christmas Bonus, Child Benefit, Disability Living Allowance, Pension Age Disability Payment, Personal Independence Payment, social fund payments like Winter Fuel Allowance, Housing Benefit, and Council Tax Reduction.
Savings and Investments
Savings of £10,000 or less do not affect Pension Credit. For savings over £10,000, every £500 over counts as £1 income per week. For example, £11,000 in savings counts as £2 weekly income.
How to Check Eligibility
Older people, friends, or family can quickly check eligibility and get an estimate using the online Pension Credit calculator on GOV.UK. Alternatively, call the Pension Credit helpline at 0800 99 1234 (Monday to Friday, 8 am to 6 pm). Expert help is available from Independent Age, Income Max, Citizens Advice, and Age UK.
Other Help with Pension Credit
If you qualify, you may also get Housing Benefit, Support for Mortgage Interest, Council Tax discount, free TV licence (if aged 75+), help with NHS costs, heating cost help via the Warm Home Discount Scheme, and a discount on Royal Mail redirection when moving.
Mixed Age Couples
Since May 2019, mixed-age couples (one partner of State Pension age, the other under) are treated as working age for means-tested benefits. They cannot claim Pension Credit until both reach State Pension age.
Using the Pension Credit Calculator
To use the calculator, you need details of earnings, benefits, pensions, savings, and investments (and your partner's if applicable). You'll answer questions about date of birth, residence, blind registration, current benefits, weekly benefit amounts, Carer's Allowance, pension income, employment earnings, and savings. After submitting, the calculator shows your potential weekly benefit. You can then apply online or print the answers to speed up the application.
The calculator cannot be used if you or your partner are deferring State Pension, own more than one property, are self-employed, or have housing costs not covered by mortgage or Housing Benefit.
How to Make a Claim
You can apply up to four months before reaching State Pension age. Claims can be backdated three months, so you may get up to three months of Pension Credit in your first payment if eligible. You need your National Insurance number, income/savings/investment details, and bank account info (if applying by phone or post). Apply online if you've already claimed State Pension and no children are included. For help, call 0800 99 1234 or use the GOV.UK calculator.
