More than 1.4 million older people across Great Britain, including over 125,000 in Scotland, currently receive Pension Credit. This means-tested benefit provides an average of £4,300 annually in extra financial support for those over 66 on a low income. It also opens access to Council Tax discounts and help with heating bills, such as the Warm Home Discount Scheme.
However, many claimants may not realise they must contact the Department for Work and Pensions (DWP) if they plan to holiday outside mainland Britain this year, for any length of time. Guidance on GOV.UK states this applies to Pension Credit claimants “leaving England, Scotland and Wales for any period (for example, going on holiday).”
Reporting Changes to the DWP
The guidance continues: “You need to report changes to you and your partner’s personal and financial circumstances. Your claim might be stopped or reduced if you do not report a change straight away. Some changes will increase the amount of Pension Credit you could get.”
Personal Circumstances to Report
- Moving to a new address
- Starting or stopping living with a partner
- The death of a partner named on your claim
- Starting or stopping work
- Going into hospital or a care home
- People moving in or out of your house
- Changing your name
- Switching your bank account
- Leaving Scotland, England or Wales for any period (e.g., going on holiday)
- Starting or stopping looking after a child or young person under 20
- Changes to your immigration status, if you are not a British citizen
If you enter a care home for more than four weeks, you must also report changes in how care home fees are funded, whether you become a permanent resident, move to another care home, or go into hospital.
Financial Circumstances to Report
You also need to report changes in income or expenses, including:
- Housing costs, such as ground rent or service charges
- Benefits received by anyone in your home (new benefits or benefits stopped)
- Occupational or personal pensions, including starting a new pension or taking a lump sum
- Other income, such as foreign pensions
- Savings, investments, or property
The DWP urges people to call the Pension Credit helpline on 0800 99 1234 if unsure about reporting a change. However, the DWP warns: “You could be taken to court or have to pay a penalty if you give wrong information or do not report a change in your circumstances.”
Pension Credit Eligibility and Amounts
Latest DWP figures suggest over 700,000 eligible people are not claiming Pension Credit. Some assume savings or home ownership disqualify them, but even £1 per week can unlock other support. Pension Credit tops up weekly income to £238.00 for single people or £363.25 for couples. If your income is higher, you may still qualify if you have a disability, care for someone, have savings, or have housing costs.
What Counts as Income
Income includes State Pension, other pensions, earnings from employment and self-employment, and most social security benefits like Carer’s Allowance. Benefits not counted include Adult Disability Payment, Attendance Allowance, DWP Christmas Bonus, Child Benefit, Disability Living Allowance, Pension Age Disability Payment, Personal Independence Payment, social fund payments like Winter Fuel Allowance, Housing Benefit, and Council Tax Reduction.
Savings Rules
Savings of £10,000 or less do not affect Pension Credit. For savings over £10,000, every £500 above £10,000 counts as £1 income per week.
How to Check Eligibility and Claim
Use the online Pension Credit calculator on GOV.UK to check eligibility and get an estimate. Alternatively, call the Pension Credit helpline on 0800 99 1234 (8am to 6pm, Monday to Friday). Expert help is available from Independent Age, Income Max, Citizens Advice, and Age UK.
You can apply up to four months before reaching State Pension age. Claims can be backdated three months. You will need your National Insurance number, details of income, savings, and investments, and bank account details if applying by phone or post. Apply online if you have already claimed your State Pension and no children or young people are included in your claim.
Additional Help with Pension Credit
Qualifying for Pension Credit also provides access to Housing Benefit, Support for Mortgage Interest, Council Tax discount, free TV licence if aged 75 or over, help with NHS costs, Warm Home Discount, and a discount on Royal Mail redirection when moving house.
