Tag: Pension Credit

Independent Age: Pension Credit

Pension Credit can top up your income to a minimum level if you’ve reached State Pension age. Lots of people who qualify for it aren’t claiming it, so it’s worth checking if you can get it.

Who can claim Pension Credit?

To qualify for Pension Credit, you must have reached State Pension age. Use the Gov.uk online tool to check when you’ll reach State Pension age.

There are two types of Pension Credit:

  • Guarantee Credit
  • Savings Credit.

To qualify for Guarantee Credit, your weekly income will need to be less than the minimum amount the government says you need to live on. For 2025/26, this is £227.10 for a single person and £346.60 for a couple. This amount could be higher if you’re disabled, a carer, are responsible for children or have certain housing costs.

You can only get Savings Credit if:

  • you reached State Pension age before 6 April 2016, or you have a partner who reached State Pension age before this date and was already getting it
  • and you have qualifying income of at least £198.27 a week for a single person and £314.34 a week for a couple.

Read our factsheet Pension Credit for more information.

Use our free benefits calculator to work out if you might be able to get Pension Credit. You can also call our free Helpline on 0800 319 6789 to speak to an adviser.

How much can you get?

Guarantee Credit tops up your weekly income to:

  • £227.10 for a single person
  • £346.60 for a couple (married, in a civil partnership or living together).

You might be able to get more than this if you’re disabled, a carer, are responsible for children or you have certain housing costs. See our factsheet Pension Credit for more information.

Savings Credit can give you up to:

  • £17.30 a week for a single person
  • £19.36 a week for a couple (married, in a civil partnership or living together).

The exact amount you’ll get depends on your income.

Savings, investments or other capital of more than £10,000 will also affect how much you get. For every £500 (or part of £500) you have over £10,000, it’s assumed you have an extra £1 of weekly income.

Here’s an example:

Mr Smith is 76 years old. He is not a carer and he has no health conditions or personal care needs. He is single, rents his home and has a State Pension of £140.18 a week and an occupational pension of £25 a week. He also has savings of £11,000. The first £10,000 are ignored, and an extra £1 of income is counted for every £500 above this. This means he has an assumed income from savings of £2 a week. So, his income is calculated as:

  • £140.18 State Pension + £25.00 occupational pension + £2.00 assumed income = £167.18 total income
  • Mr Smith’s appropriate minimum guarantee is £227.10
  • £227.10 appropriate minimum guarantee – £167.18 income = £59.92

This gives him Guarantee Credit of £59.92 a week.

Other entitlements if you get Pension Credit

If you get Pension Credit, you may qualify for other benefits, including:

If you’re 75 or over, you can also apply for a free TV licence.

How to claim Pension Credit

To apply for Pension Credit, call the claim line on 0800 99 1234. You can also claim online if you’ve already applied for your State Pension. Or you can download an application form to print out. You won’t need a stamp when you return your form.

You can apply for Pension Credit up to four months before you reach State Pension age, and any time after. Claims for Pension Credit can be backdated by up to three months if you qualified for it for the whole of that period. 

When you claim, you’ll need the following information:

  • your National Insurance number
  • information about your income, including your pensions
  • details of your savings, investments and other capital
  • your bank account details.

If you have a partner, you’ll need the same details for them too.

If you need support to fill in the form, one of our advisers can help you complete it over the phone. Call our Helpline on 0800 319 6789. Or you could get help from your local Citizens Advice. Search the Citizens Advice website for England and Wales or visit Citizens Advice Scotland to find your nearest branch.

Rules for mixed-age couples

You cannot usually make a new claim for Pension Credit if you live with a partner who is under State Pension age unless:

  1. one of you reached State Pension age before 15 May 2019, and
  2. one of you has been claiming pension age Housing Benefit since 15 May 2019 as part of the same couple. 

If you cannot claim Pension Credit, you may be able to claim Universal Credit instead, until you both reach State Pension age.

Contact the Universal Credit helpline on 0800 328 5644 for more information. 

Age Scotland: Sign our Winter Fuel Payment Petition

We strongly oppose the decision to restrict #WinterFuelPayment eligibility to only those in receipt of Pension Credit as it means 89% of Scottish pensioners will go without this vital support to stay warm this winter.

Support our ongoing campaign at http://age.scot/saveWFP.

Edinburgh MSP warns of looming deadline for Winter Fuel Payment

SNP MSP Gordon Macdonald has encouraged those across the city of Edinburgh who have not already applied for pension credit to do so by 22nd September to ensure they receive the Winter Fuel Payment this year.  

Across the UK, 37% of those eligible do not claim pension credit, which is now a prerequisite for receiving the Winter Fuel Payment of £300 after the UK Labour government cut its universal provision as part of its austerity agenda.

16th – 22nd September 2024 is qualifying week for those who are eligible for the payment this year, however over 800,000 pensioners across Scotland are now set to lose out.

Commenting, Gordon Macdonald said: “The abhorrent decision by the Labour UK government to cut the Winter Fuel payment has put thousands of pensioners in an unimaginable situation.

“As a result, 67,555 across Edinburgh will miss out on the payment altogether whilst some who are eligible are also in danger of missing out.

“The SNP are clear;  this is a cruel and inexplicable decision by the Labour government that leaves pensioners across the city worse off.

“If you have not already done so, please check your eligibility and apply for pension credit by the end of this week to ensure you don’t miss out on vital support this winter.”

Pension Credit is now key to keeping your Winter Fuel Payment

A major change to this year’s Winter Fuel Payment means that to get the allowance that’s worth up to £300, you must also receive Pension Credit. If you don’t currently get Pension Credit, but think you could be eligible, it’s vital to check now and apply, otherwise you could miss out.

The allowance is now linked to certain means-tested benefits including Pension Credit. Pension Credit helps those over State Pension age who are living on a low income. It works by topping up income to a minimum level and can be worth more than £3,900 a year.

To keep getting your Winter Fuel Payment you must be eligible for Pension Credit or one of the other following benefits during the ‘qualifying week’ of 16 to 22 September 2024:

  • Universal Credit
  • income-related Employment and Support Allowance (ESA)
  • income-based Jobseeker’s Allowance (JSA)
  • Income Support

Our Benefits calculator will show you if you’re entitled to any of these benefits

In Scotland the Winter Fuel Payment will be replaced by the Pension Age Winter Heating Payment, worth up to £300.

This will also be linked to Pension Credit and certain means-tested benefits.

It’s the Pension Credit Week of Action and Work and Pensions Secretary Liz Kendall recommends checking if you, a loved one or a friend could be eligible for Pension Credit.

For someone aged 66 or over it could entitle them to the Winter Fuel Payment and other benefits: https://ow.ly/NRPh50Tcu6m

#PensionCredit

#WinterFuelPaymen

t#PensionCreditWeekOfAction

“You could get Pension Credit” – Week of Action to drive take up

The Department for Work and Pensions (DWP) to launch Pension Credit Week of Action to boost take-up of vital benefit

  • Joining forces with charities, broadcasters and a range of partners, the campaign will encourage pensioners to check their eligibility and apply
  • Up to 880,000 pensioners could be missing out on this cash boost worth on average up to £3,900 per year

Hundreds of thousands of pensioners are being urged to apply for a benefit that could be worth on average £3,900 per year as the Department for Work and Pensions (DWP) is launching a campaign to increase Pension Credit take-up on Monday 2 September.

With as many as 880,000 pensioners missing out, the Pension Credit Week of Action aims to spread awareness and increase claims for Pension Credit, which from this year will also automatically passport eligible pensioners to receive the Winter Fuel Payment.

Joining forces with charities, broadcasters, Local Authorities, and a range of partners, the campaign will tackle myths that may prevent people applying, for instance having a small private pension, savings or owning their own home.

Families, friends and neighbours are being encouraged to reach out to retired family members to encourage them to check their eligibility and apply. 21 December is the last possible date to make a successful backdated claim in order to receive the Winter Fuel Payment.

While around 1.4 million pensioners are already receiving Pension Credit, up to an estimated 880,000 households are eligible for the support but are not claiming it.

Chancellor, Rachel Reeves, said: “The £22 billion blackhole inherited from the previous governments means we are having to take tough decisions now to fix the foundations of our economy – including making the Winter Fuel Payments available to those most at need.

“1.3 million pensioners are already going to get help with fuel bills this year because they’re claiming pension credit – but thousands more are eligible. So, if you know someone who could get pension credit and help with their fuel bills, now is the time to help them apply for pension credit.”

Work and Pensions Secretary, Liz Kendall said: “Thousands of pensioners are missing out on Pension Credit worth on average £3,900 per year. That needs to change.

“It’s easier than ever to check if you are eligible, including with our online calculator, and if your circumstances have changed since the last time you looked – I urge you to check again.

“Friends, families and neighbours can also encourage their loved ones to apply, so that they are not missing out on this vital benefit.”

Energy Secretary Ed Miliband said: “The legacy of failure on energy policy we have inherited means energy prices are set to rise in autumn. We must ensure that pensioners in the greatest need get access to help with rising bills.

“We will do everything in our power to increase take up of Pension Credit to the 880,000 households who are yet to claim – opening the door to other vital support such as the Winter Fuel Payment.

“The government will also continue our mission to deliver clean power by 2030, helping to finally give families the energy security they deserve and our country the energy independence we need.”

Pensioners whose weekly income is below £218.15 for a single person or £332.95 for a couple should check to see if they are eligible for this support which is worth £3,900 a year on average, using DWP’s online calculator.

People with a severe disability, carers and those who are responsible for a child or young person who lives with them could get more. Pension Credit can also include extra amounts for certain housing costs, such as ground rent or service charges.

This work is part of a wider plan to ensure economic stability for pensioners by protecting the Triple Lock and supporting households with their energy bills through the £150 Warm Home Discount and the Warm Homes Plan – upgrading millions of homes this Parliament. 

Over the next five years, more than 12 million pensioners could see their State Pension increase by over a thousand pounds as a result of the commitment to the Triple Lock.

Applications for Pension Credit can be made:

  • On the How to Claim page  
  • Over the phone by calling 0800 99 1234 (Monday to Friday 8am to 6pm)  
  • By printing out and filling in a paper application form  
  • For more information visit the Pension Credit GOV.UK page. 
  • The Winter Fuel Payment is worth £300 for households with someone aged 80 or over. Households with someone aged 66-79 will receive £200.
  • We will work with Local Authorities to bring together the administration of Pension Credit and Housing Benefit as soon as operationally possible.
  • People who have reached State Pension age before September 23, 2024 and are in receipt of Pension Credit, Income Support, Income based JSA, Income related ESA, Universal Credit, Child Tax Credit or Working Tax Credit, will be entitled to a Winter Fuel Payment – subject to eligibility conditions.
  • The regulations to means-test the Winter Fuel Payment will be laid on 22 August 2024. The qualifying week in 2024 for Winter Fuel Payments will be from 16 to 22 September.
  • Pensioners need to be entitled to Pension Credit for at least one day in week September 16 to 22 to be eligible for a Winter Fuel Payment for this winter.
  • 21 December is the last date for backdating a claim for Pension Credit to 22 September, assuming the claimant met the Pension Credit entitlement conditions throughout the previous three months.
  • Anyone who is entitled to Pension Credit for at least one day of the Winter Fuel Payment qualifying week will have automatic entitlement to Winter Fuel Payment. There are some exceptions which are detailed on GOV.UK: https://www.gov.uk/winter-fuel-payment/eligibility
  • People do not have to do anything extra to backdate their claim. If they make their application online, they will automatically be asked if they would like to backdate it. If they make their application over the phone the advisor will talk them through this. 
  • Around 1.3 million households in England and Wales will continue to receive Winter Fuel Payments due to some other pensioner households being eligible and expected extra Pension Credit take up due to this reform.

Pension Credit recipients by region (as of February 2024):

North East73,883
North West175,179
Yorkshire and The Humber118,633
East Midlands95,767
West Midlands130,427
East of England110,017
London190,496
South East147,763
South West111,251
Wales80,927
Scotland125,136

Are YOU losing out on Pension Credit?

SUPPORT and ADVICE from GRANTON INFORMATION CENTRE

THE Scottish Government has confirmed it will no longer provide Winter Fuel Payments to all pensioners in Scotland. Replicating the recent decision announced by the UK Government, Winter Fuel Payments will now be means-tested, which means only individuals in receipt of Pension Credit and certain other benefits will receive it.

Because Pension Credit is a ‘gateway benefit’, which opens up access to other support including Winter Fuel Payments, it is now more crucial than ever that individuals claim Pension Credit so that they don’t miss out on additional money they are entitled to.

If you’ve reached State Pension age, you can claim Pension Credit if your weekly income is less than:

£218.15 if you’re single

£332.95 if you’re a couple.

Even if your weekly income is higher than these thresholds, you could still claim Guarantee Credit if you meet one of the following criteria:

*you’re a carer

*you have a severe disability

*you have certain housing costs, such as service charges

*you’re responsible for a child or young person who usually lives with you.

If you have £10,000 or less in savings and investments this will not affect your Pension Credit. If you have more than £10,000, every £500 over £10,000 counts as £1 income a week. For example, if you have £11,000 in savings, this counts as £2 income a week.

MANY, MANY, ELIGIBLE PENSIONERS ARE MISSING OUT ON PENSION CREDIT!

To claim Pension Credit, you can either:

*claim online on GOV.UK (if you already claim State Pension and there aren’t any children or young people included in your claim)

*call the Pension Credit claim line on 0800 99 1234 and they can fill in the application for you over the phone (lines are open Monday to Friday, 8am-6pm).

To discuss your benefit entitlements and to find out what you can claim, get in touch with us at Granton Information Centre.

Our Welfare Rights Advisers are here to help!

Call 0131 551 2459 or 0131 552 0458 or email info@gic.org.uk

Just ten days left to claim Pension Credit and qualify for £301 Cost of Living Payment

All pensioners on a low income should check if they qualify for Pension Credit in order to also receive a Cost of Living Payment

  • Pensioners urged to check if they could be eligible for Pension Credit, worth over £3,500 a year on average
  • Those who successfully claim by 19 May could also receive a £301 Cost of Living payment – demonstrating Government’s focus on delivering the five priorities, including halving inflation, growing the economy and reducing debt
  • Pensioners can check their eligibility and get an estimate of what they may receive by using the online Pension Credit calculator

There are just TEN DAYS to go for people to claim Pension Credit and still qualify for the latest £301 payment, which they will receive direct into their bank accounts.

Provided a claim is made before 19 May, it can be backdated for up to three months so long as the applicant was also eligible to receive it during that time.

This builds on the extensive support that was delivered to pensioners last year, alongside measures such as holding down households’ energy bills and freezing fuel and alcohol duty, which deliver on Government’s priorities to halve inflation and grow the economy.

Minister for Pensions Laura Trott said: “Pension Credit can make a real difference and I am determined to make sure this support – worth an average of £3,500 a year – is reaching everyone who needs it, particularly as we know how much pressure households across the country have been under.

“Please check if you or your loved ones can claim for this extra support, and if you do it by 19 May you could qualify for the £301 Cost of Living Payment – giving another financial boost to those who need it most.”

Pension Credit is designed to help people over State Pension age and on a low income with daily living costs, 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 £201.05 per week for single pensioners and to £306.85 for couples or more if a person has a disability or caring responsibilities.

Worth on average over £3,500 a year, even a small Pension Credit award can provide access to a wide range of other benefits – such as help with housing costs, council tax or heating bills – in addition to the extra cost of living payments, worth up to £900 this financial year.

Further Information:

  • Applications for Pension Credit can be made:
  • On the How to Claim page
  • Over the phone by calling 0800 99 1234 (Monday to Friday 8am to 6pm)
  • By printing out and filling in a paper application form
  • Currently, around 1.4 million pensioners in Britain receive Pension Credit. However, many are still not claiming this extra financial help.
  • Pension Credit can be claimed by phone and online, ensuring that older people can apply safely and easily, wherever they are. The online Pension Credit calculator is also on hand to help pensioners check if they’re likely to be eligible and get an estimate of what they may receive
  • This help comes on top of the biggest State Pension increase in history, which means the full rate of the New State Pension will exceed £10,000 a year for the first time.

Low income pensioners: Don’t miss out on £324 extra help

DEADLINE LOOMS FOR COST-OF-LIVING PAYMENT

SNP MSP Gordon Macdonald and Age Scotland are urging low income pensioners in Edinburgh to act quickly to claim for Pension Credit before this Sunday’s deadline to avoid losing outon an extra £324 cost of living payment. 

Age Scotland, the national charity for older people, can help identify if someone is eligible for Pension Credit and offer advice on applying by calling their helpline on 0800 12 44 222, where advisers can carry out a full benefits check, or check their eligibility online at www.age.scot/benefitscalculator  

Pension Credit provides pensioners on a low income with extra money and other helpful support.  It can top up their weekly income to £182.60 if they are single, and £278.70 if they are making a joint claim with a partner, as well as cutting council tax bills, help with energy costs and a free TV licence if they are over the age of 75. 

Anyone who makes a successful Pension Credit application to the Department for Work and Pensions before 18 December, 2022 will also be entitled to a £324 lump sum financial support payment.  This is because a claim for Pension Credit can be backdated for up to three months, provided the entitlement conditions are met throughout that time. 

Gordon Macdonald, SNP MSP for Edinburgh Pentlands said: “With growing numbers of older people struggling to cope with the rising cost of living, there has never been a more important time to make sure you are receiving everything to which you are entitled. 

“Every year in Scotland, hundreds of millions of pounds in social security payments go unclaimed by older people due to lack of awareness, difficulty in accessing them, stigma surrounding benefits or just not knowing where to turn for help. 

“I would encourage people to call Age Scotland’s helpline to find out if they are entitled to Pension Credit or make an application directly via the gov.uk website as soon as possible.” 

Age Scotland interim chief executive Michelle Supple said: “Pension Credit is not only an essential benefit, but it opens the door to much more additional support including help with energy bills in the winter, a free TV licence for over-75s, help with rent and council tax reduction, free dental care and reduced water bills. 

“We are urging all pensioners on a low income to act quickly and start the application process or call our helpline 0800 12 44 222 for advice. We don’t want to see anyone miss out on extra cost of living support, especially with Christmas around the corner.” 

If you receive Pension Credit, there is a range of additional support and payments to help: 

· A one-off payment of £150 (previously £140) through the Warm Home Discount Scheme to help with the cost of energy this winter 

· A £50 payment in February to help with heating costs 

· Help with Council Tax and rent 

· Reduced water bills 

· Free NHS dental treatment and help towards the cost of glasses and travel to hospital 

· A free TV licence (if over-75) 

· An extra amount of Pension Credit for some carers worth up to £38.85 a week  

Applications for Pension Credit can be made by calling the Department for Work and Pensions on 0800 99 1234, or online at www.gov.uk/pension-credit/how-to-claim 

Up to £600 for pensioners arrive in bank accounts from today

  • From today, over 11.6 million pensioners will start to receive up to £600 to help with their energy bills this winter
  • This support, worth over £4.5 billion, is part of an extensive package helping people of all ages with the cost of heating their homes, including through the £400 Energy Bills Support Scheme [available to eligible households in England, Scotland and Wales], and the Energy Price Guarantee saving typical households £900.

From today (23 November 2022), over 11.6 million pensioners in England, Wales, Scotland and Northern Ireland will start to receive payments of up to £600 to help with their energy bills this winter.

Winter Fuel Payments – boosted this year by an additional £300 per household Pensioner Cost of Living payment – will land in bank accounts over the next two months, the vast majority automatically.

Work and Pensions Secretary Mel Stride said: “We want to do everything we can to support pensioners who are often the most exposed to higher costs. That’s why we’re providing all pensioner households with an additional £300 on top of their Winter Fuel Payments to heat their homes and stay warm this winter.

“This extra payment is just one part of the wider support package we’re delivering to help with rising bills, including the biggest State Pension increase in history.

“Our support doesn’t stop here. As we deal with the impact of Putin’s illegal war in Ukraine and the aftermath of the pandemic, we will continue to stand by the most vulnerable, with further cost of living payments coming next year.”

The money will appear in bank statements with the payment reference starting with the customer’s national Insurance number followed by ‘DWP WFP’ for people in Great Britain, or ‘DFC WFP’ for people in Northern Ireland.

The overwhelming majority of Winter Fuel Payments are paid automatically but some people need to make a claim, such as those who qualify but do not receive benefits or the State Pension and have never previously received a Winter Fuel Payment.

This month, over seven million payments of £324 have already been made to low-income households as part of this government’s cost of living support. This includes pensioners receiving Pension Credit.

The average Pension Credit award is worth over £3,500 a year, and for those pensioners who may be eligible but are yet to make an application, there is still time to do so and qualify for this additional £324 payment.

This is because Pension Credit claims can be backdated by up to three months, provided the entitlement conditions are met throughout that time.

To ensure that a successful backdated claim falls within the qualifying period for extra £324 cost of living help, pensioners are being urged to claim Pension Credit as soon as possible, and by no later than 18 December 2022.

The online Pension Credit calculator is on hand to help pensioners check if they’re likely to be eligible and get an estimate of what they may receive.

Further cost of living support to be paid next year was announced by the Chancellor in his Autumn Statement last week. Payments will include a further £300 for pensioners, £900 for households on means-tested benefits and £150 for those on disability benefits.