Hundreds of thousands of pensioners are being urged to check their eligibility for Pension Credit, as official estimates suggest 760,000 people over State Pension age are missing out on an average of £4,300 in extra support each year. The benefit, which is means-tested, is the most under-claimed in the UK, according to recent figures.
Pension Credit is designed to top up weekly income for older people on low incomes, and can also unlock additional help with heating bills, housing costs, Council Tax, and free TV licences for those aged 75 and over. An award of just £1 per week can be enough to trigger these wider benefits, yet many assume that savings or home ownership disqualify them.
There are two elements to Pension Credit. Guarantee Credit boosts income to a minimum of £227.10 per week for a single person or £346.60 per week for a couple. Higher amounts may apply for those who are disabled, carers, or have certain housing costs. To qualify for Guarantee Credit, applicants must have reached State Pension age, which is currently 66, and have a weekly income below these thresholds.
Savings Credit, the second element, is available to those who reached State Pension age before 6 April 2016, or whose partner did, and provides up to £17.30 per week for single people or £19.36 per week for couples. Eligibility requires a qualifying weekly income of at least £198.27 for singles and £314.34 for couples. Income from savings and capital above £10,000 is taken into account when calculating awards.
People can use the online Pension Credit calculator on GOV.UK to check eligibility and obtain an estimate. Alternatively, the Pension Credit helpline is available on 0800 99 1234, open Monday to Friday from 8am to 6pm, to make a claim.
