The Department for Work and Pensions (DWP) has revealed that more than 10,000 older people applied for Pension Credit during the week of June 13, an increase of 275% when compared to the same week in 2021. The surge in claims is down to a national awareness campaign urging pensioners to check if they were eligible for the ‘passport’ benefit worth more than £3,300 each year in financial support and other discounts.
The Pension Credit Day of Action on June 15 was supported by financial guru Martin Lewis and former Strictly Come Dancing head judge, Len Goodman, who teamed up with Minister for Pensions Guy Opperman on the dancefloor to help spread the message. The pair’s social media video encouraging Pension Credit claims has now been viewed over 1.3 million times.
The boost in awareness could mean even more pensioners accessing crucial financial support during the cost of living crisis.
Minister for Pensions, Guy Opperman MP, said: “We recognise the challenges some pensioners will be facing with the cost of living which is why promoting Pension Credit is a priority.
“The success of our Day of Action means more pensioners can get the support they’re entitled to, but we’re not stopping there. We’re continuing to get the word out about Pension Credit, calling on everyone with retired family, friends and loved ones to check in with them and see if they can get this extra financial support, which can make a huge difference to people’s lives.”
Pension Credit is designed to help with daily living costs for people over State Pension age and on a low income, though you do not need to be in receipt of State Pension to receive it.
It tops up a person’s income to a minimum of £182.60 per week for single pensioners and to £278.70 for couples.
Currently, over 1.4 million pensioners across the UK receive the benefit, including 129,671 living in Scotland, however, an estimated 850,000 are still not claiming this extra financial help.
Rich Mackenzie, DWP Visiting Officer, said: “Many people who could claim Pension Credit aren’t. I would appeal to anyone who comes into contact with pensioners to ask how much they know about Pension Credit. It could be something that helps, and in the current financial climate, there’s no doubt that more people will experience hardship.
“Pension Credit won’t solve every problem, but it will go a long way to alleviating difficulties. It should be a collective endeavour for us all.”
DWP boss Therese Coffey recently pointed out that even a small Pension Credit award, for as little as 1p, can provide access to a wide range of other benefits – such as help with housing costs, Council Tax or heating bills. For those over 75, this includes continued entitlement to a free TV licence.
Below is everything you need to know about the benefit to make a claim for yourself, a family member or friend. We also have details on the handy online Pension Credit tool which can quickly indicate if your claim may be successful and how much you might get.
What is Pension Credit?
Pension Credit gives people extra money to help with living costs if they are over State Pension age and on a low income.
Some older people think because they have savings or own their home they would not be eligible for any Pension Credit, but thousands could be missing out on the extra money and discounts it provides every month.
Other help if you get Pension Credit
If you qualify for Pension Credit you can also get other help, such as:
- Housing Benefit if you rent the property you live in
- Support for Mortgage Interest if you own the property you live in
- Council Tax discount
- Free TV licence if you are aged 75 or over
- Help with NHS dental treatment, glasses and transport costs for hospital appointments
- Help with your heating costs through the Warm Home Discount Scheme
- A discount on the Royal Mail redirection service if you are moving house
One of the quickest ways to find out if you are eligible, and how much extra you could potentially be paid every week, is to use the Pension Credit calculator on the GOV.UK website.
Mixed aged older couples and Pension Credit
In May 2019, the law changed so that a ‘mixed age couple’ - a couple where one partner is of State Pension age and the other is under it - are considered to be a ‘working age’ couple when checking entitlement to means-tested benefits.
This means they cannot claim Pension Credit or pension age Housing Benefit until they are both State Pension age.
Before this DWP change, a mixed age couple could be eligible to claim the more generous State Pension age benefits when just one of them reached State Pension age.
How to use the Pension Credit calculator
To use the calculator, you will need details of:
earnings, benefits and pensions
savings and investments
You’ll need the same details for your partner if you have one.
Who cannot use the Pension Credit calculator?
You cannot use the calculator if you or your partner:
are deferring your State Pension
own more than one property
are self employed
have housing costs (such as service charges or Crown Tenant rent) which are neither mortgage repayments nor rent covered by Housing Benefit
How to make a claim
You can start your application up to four months before you reach State Pension age.
You can claim any time after you reach State Pension age but your claim can only be backdated for three months.
This means you can get up to three months of Pension Credit in your first payment if you were eligible during that time.
You will need:
your National Insurance number
information about your income, savings and investments
your bank account details, if you’re applying by phone or by post
If you’re backdating your claim, you’ll need details of your income, savings and investments on the date you want your claim to start.
Apply online
You can use the online service if:
you have already claimed your State Pension
there are no children or young people included in your claim
To check your entitlement, phone the Pension Credit helpline on 0800 99 1234 or use the GOV.UK Pension Credit calculator here to find out how much you could get.
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