The Department for Work and Pensions (DWP) has issued a stark warning that hundreds of thousands of elderly people across the UK are missing out on a significant financial lifeline. According to official figures, an estimated 760,000 pensioners who are eligible for Pension Credit are failing to claim it, forfeiting an average annual income boost of £4,300.
What is Pension Credit and Who Qualifies?
Pension Credit is a means-tested benefit designed to top up the income of pensioners on a low income. Currently, nearly 1.4 million elderly people receive it, but the DWP believes many more are entitled. To qualify for the Guarantee Credit element, single pensioners must have a weekly income below £227.10, while couples need a combined income of less than £346.60.
Many older people mistakenly believe that owning their home or having savings disqualifies them. However, this benefit can also provide crucial help with housing costs, heating bills, and Council Tax. Furthermore, even an award of just £1 per week can act as a gateway to other valuable forms of support.
How to Claim and Processing Times
The DWP is running an awareness campaign until the end of the current financial year, urging all pensioners to check their status. The application process has been streamlined, with the department confirming that nearly 78% of new claims are processed within the target of 50 working days (10 weeks).
This means that a pensioner who submits a new claim now could potentially receive their first payment, including any backdated arrears, by the end of January 2026. Applications can be made online via the GOV.UK website, by post, or over the phone.
Important Changes for Mixed-Age Couples
A significant rule change in May 2019 affects what are known as 'mixed-age couples'. This is where one partner is over the State Pension age (currently 66) and the other is younger. These couples are now treated as a 'working-age' household for benefit purposes and cannot claim Pension Credit until both partners have reached State Pension age.
This change underscores the importance for all elderly individuals, whether single, married, or cohabiting, to verify their eligibility. With the ongoing cost of living crisis, ensuring you receive all the financial support you are entitled to is more critical than ever.
