The Department for Work and Pensions (DWP) is sending leaflets to 660,000 households across seven areas of the UK, encouraging pensioners to check if they qualify for Pension Credit. The benefit, which tops up the state pension, is worth around £4,500 per year on average and also unlocks wider financial support such as free TV licences and council tax reduction.
An estimated 660,000 people are thought to be eligible for Pension Credit but are not currently claiming it. As part of a major Government campaign to ensure low-income households do not miss out, leaflets will be posted through letterboxes in Glasgow, Powys, Stockton-on-Tees, inland Cornwall, Birmingham, East Suffolk and Manchester.
Campaign aims to bust eligibility myths
The advice will guide pensioners on how to apply for Pension Credit and how to support a family member with a claim, while addressing common myths about eligibility, including the belief that homeowners or pensioners with savings cannot claim.
Around 1.4 million pensioner households are already benefiting from Pension Credit. Last year, the DWP saw an extra 33,500 applications following its biggest-ever Pension Credit awareness campaign. The Department has now launched a new drive to ensure that eligible pensioners don’t miss out.
Minister urges pensioners to check eligibility
Minister for Pensions Torsten Bell said: "Far too many pensioners are missing out on support they’re entitled to. Pension Credit is worth more than £4,500 a year on average and can make a real difference to people’s finances, while also opening the door to help with bills and other everyday costs."
"If you think you might be eligible, it’s worth checking. We want to make sure pensioners get the support they’re entitled to and don’t miss out on money that could help them in retirement."
Morgan Vine, director of policy and influencing at Independent Age, said: "Our analysis found that in 2023/4 more than a million older people on low incomes who are eligible for Pension Credit did not receive it, missing out on a combined £2.5 billion of life-changing support."
"Every day we hear heartbreaking stories of older people enduring financial hardship because they aren’t aware of Pension Credit, or that they qualify for the support. We welcome the DWP’s commitment to raising awareness and understanding of Pension Credit and look forward to continuing to play our part to tackle the issue of low take-up."
Who is eligible for Pension Credit?
To claim, a person must live in England, Scotland or Wales and have reached the state pension age. If you have a partner, you must include them on your application. You’ll be eligible if either you and your partner have both reached State Pension age, or one of you is receiving Housing Benefit for people over State Pension age.
A partner is either your husband, wife or civil partner if you live with them, or someone you live with as a couple without being married or in a civil partnership. When you apply for Pension Credit, your income will be calculated. If you have a partner, your income is calculated together.
Pension Credit tops up your weekly income to £238 if you’re single, or your joint weekly income to £363.25 if you have a partner. This means if your weekly income is less than these figures, you could be eligible.
Income includes State Pension, other pensions, earnings from employment and self-employment, and most social security benefits such as Carer’s Allowance. Not all benefits are counted as income, including Adult Disability Payment, Attendance Allowance, Child Benefit, Christmas Bonus, Council Tax Reduction, Disability Living Allowance, Housing Benefit, Pension Age Disability Payment, Personal Independence Payment, Scottish Adult Disability Living Allowance, and social fund payments like Winter Fuel Payment.
If your income is higher, you might still be eligible for Pension Credit if you have a disability, care for someone, have savings, or have housing costs. If you have £10,000 or less in savings and investments, this will not affect your Pension Credit. If you have more than £10,000, every £500 over £10,000 counts as £1 income a week.
Pensioners who need additional guidance and support in their retirement are also being urged to seek advice from a number of charities, including Independent Age and Citizens Advice. The Government's Pension Credit calculator can be used to check eligibility and get an estimate of how much you could get.
