Low-income pensioners born before 1960 may be able to claim extra cash from the government to boost their incomes, with Pension Credit topping up weekly income to £238 for a single person and £363.25 for a couple – equivalent to up to £1,574 per month. Despite this, nearly one million eligible people are missing out on the payments.
Who is eligible for Pension Credit and how much can they get?
Pension Credit is designed to top up weekly income for some of the poorest pensioners, helping to make life a bit easier. The exact amount paid out depends on how much money a person receives each month, as it is a top-up benefit. Over-65s are being urged to check if they could be entitled to the payments, with more than 900,000 people missing out despite being eligible.
The benefit tops up weekly income to £238 for a single person and £363.25 if they are in a couple. This means a single pensioner could receive up to £1,574 per month, while a couple could get a similar proportional amount. The payments are available to state pensioners born before 1960, with the Andy Burnham government overseeing the scheme.
Why do so many people miss out on Pension Credit?
Many people do not claim Pension Credit. This could be because they are not aware they could get it, or perhaps it is not worth much extra money to them. However, Pension Credit can open up access to a number of other benefits and perks. This includes the £150 Warm Home Discount and potentially a free TV Licence if over 75. So it is worth checking what you could claim.
Money Saving Expert said: "If you're retired and have income less than £238 a week as an individual, or £363 a week as a couple, you may be due Pension Credit worth £4,300 a year, on average. Plus, it entitles you to a whole raft of other benefits."
How to claim the £1,574 monthly top-up
About 2.3 million are eligible for Pension Credit, but it is estimated that around 910,000 do not claim – in many cases because they do not realise they could be entitled to it. The government is urging people to check their eligibility, as the payments can make a significant difference to finances. DWP claimants risk benefits being reduced after a recent announcement, so low-income pensioners are advised to act quickly.
To claim, pensioners should contact the Pension Service or visit the government's website for more information. The top-up payments are available to those born before 1960, with the Andy Burnham government providing the funding. Over-65s are encouraged to apply as soon as possible to avoid missing out on the extra cash.
