A staggering £23 billion in means-tested benefits went unclaimed across the United Kingdom last year, reaching a record high as millions struggle amidst the ongoing cost-of-living crisis, according to a major new analysis.
The Department for Work and Pensions' (DWP) own data reveals this shocking financial black hole, with the unclaimed amount soaring by over £2 billion from the previous year. This represents crucial support that eligible individuals and families are not receiving.
Universal Credit: The Biggest Contributor
The flagship Universal Credit system accounts for the largest portion of this unclaimed sum, with an estimated £7.5 billion not paid out to eligible households. This is followed by £5.3 billion in unclaimed Pension Credit and £4.2 billion in unused Council Tax Support.
Experts at Policy in Practice, who conducted the analysis, warn that this crisis of non-take-up is worsening. High inflation and soaring energy bills have pushed more people into eligibility for support, yet complex application processes, lack of awareness, and digital exclusion prevent them from accessing it.
Who is Most Affected?
The data suggests that working households are disproportionately missing out. Many assume they earn too much to qualify, unaware that thresholds have changed. Key groups failing to claim include:
- Families with children
- Low-income workers
- Homeowners with mortgages
- Pensioners eligible for Pension Credit
Steven McGinty from Policy in Practice stated, "At a time when budgets are stretched, it is more important than ever that people claim the support they are entitled to."
How to Check Your Eligibility
If you are struggling with your finances, you are likely eligible for some form of support. The government's official benefits calculator on the GOV.UK website is a free and confidential tool to check what you could claim. Charities like Citizens Advice and Turn2us also offer guidance and support with applications.
Claiming what you are legally entitled to is not a sign of failure but a vital step in financial resilience. With £23 billion left on the table, the question is not if the support exists, but whether you will claim it.
