The Department for Work and Pensions (DWP) has issued an urgent reminder to State Pensioners, warning that "far too many are missing out" on Pension Credit, a means-tested benefit worth more than £4,500 a year on average.
Pension Credit is designed to help those over State Pension age on low incomes with living costs, providing a weekly top-up. It can also soften the blow of housing costs such as ground rent or service charges by factoring the home into the benefit award calculation. When applying, the DWP calculates income, counting couples' income together in a joint pot, as explained on the UK Government website.
Leaflets to be delivered to seven areas
In its latest push to ensure people don't miss out, the DWP says 660,000 leaflets will be posted through letterboxes in seven areas across the UK with a high proportion of low-income pensioners. The leaflets will be delivered in Glasgow, Powys, Stockton-on-Tees, inland Cornwall, Birmingham, East Suffolk and Manchester.
The advice will guide pensioners through how to apply for Pension Credit, as well as how to support a family member with a claim. It will also dispel common myths about eligibility, including that homeowners or pensioners with savings cannot claim it.
More than a million eligible pensioners not receiving it
Analysis by the charity Independent Age found that in 2023/24 more than a million eligible older people on low incomes didn't receive Pension Credit, with billions left unclaimed. According to the DWP, some 1.4 million pensioner households are already getting the benefit. Following a major awareness campaign last year, the DWP said it saw an extra 33,500 awards.
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."
Other support available
The Government also highlighted other forms of support pensioners can benefit from as cost-of-living pressures continue to bite, including the Winter Fuel Payment, Cold Weather Payments, Attendance Allowance and the State Pension, which is set to rise by up to £2,100 over the current Parliament.
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."
The latest efforts come during the DWP's Pension Credit Week of Action, aimed at dispelling common misconceptions about eligibility rules and encouraging applications. Pensioners in need of additional guidance are also being urged to seek advice from charities including Independent Age and Citizens Advice, the DWP says.
