New figures from the Department for Work and Pensions (DWP) show that 910,000 pensioner households across the UK may be eligible for Pension Credit but are not currently claiming it. This means many state pensioners are missing out on a potential £4,300 boost to their income.
What is Pension Credit?
Pension Credit is an income-related benefit designed to support older people on low incomes. It tops up weekly income for individuals over State Pension age, ensuring it reaches a minimum guaranteed amount. Additionally, it can unlock other support such as help with housing costs, council tax reductions, and free TV licences for those aged 75 or over.
Two Parts of Pension Credit
There are two components: Guarantee Credit and Savings Credit. Guarantee Credit raises income to a minimum level, while Savings Credit provides extra money for those who have saved some income for retirement. However, Savings Credit is only available to people who reached State Pension age before April 2016.
Eligibility Criteria
Eligibility depends on income, savings, and personal circumstances, including whether you live alone or with a partner, have caring responsibilities, a disability, or housing costs such as rent or service charges. Many people wrongly assume they won't qualify if they have savings or own their home, but this is not always the case.
How to Check and Apply
The Government's online Pension Credit calculator allows people to check eligibility in just a few minutes. Officials also stress the importance of trusted figures like GPs, pharmacists, local council teams, home care workers, Post Office staff, and friends and family in spreading awareness to reach those missing out.
Labour Party Minister for Pensions Torsten Bell said: "We're committed to supporting harder-up pensioners however we can. Pension Credit is a simple way to give those who need it the most some extra support with bills or a free TV licence. I'd urge anyone who thinks they, or anyone they know, might be able to claim Pension Credit, to take a few minutes out of their day to check and apply. This country's pensioners deserve every penny they are entitled to."
