DWP confirms £566 boost for state pensioners from April | Personal Finance | Finance
The Department for Work and Pensions (DWP) has confirmed a £566 cash boost for state pensioners on a low income from April.
Pension Credit is a benefit awarded to people of State Pension age in England, Scotland or Wales on a low income to help with living costs. It tops up your weekly income to £227.10 if you’re single, or your joint weekly income to £346.60 if you have a partner, but these rates are due to increase by 4.8% later this year giving eligible pensioners a welcome cash boost. The DWP has now confirmed the new rates for the 2026 to 2027 tax year which will see the Pension Credit standard minimum guarantee rise from £227.10 per week to £238 in April. This will give single claimants an extra £10.90 per week, which amounts to an annual cash boost of £566.80.
The joint rate is also increasing, rising from £346.60 per week to £363.25 in April, giving couples an extra £16.65 per week, or £865.80 more annually.
The uprating to Pension Credit comes alongside increases to the new and basic State Pension rates, which are also both increasing by 4.8% from April.
Confirming the change in the Autumn Budget, Chancellor Rachel Reeves said: “I am increasing the basic and new State Pension by 4.8%, an increase of £440 per year for the basic State Pension and an increase of £575 per year for the new State Pension in line with our commitment to the triple lock.”
Pension Credit is paid separately to the State Pension and if you’re eligible to claim it, it also unlocks access to a wealth of extra financial support, including help with housing costs, Council Tax discounts, the Winter Fuel Payment, NHS treatment costs, and a free TV licence if you’re aged 75 or over.
The DWP launched a new trial at the end of last year to help boost Pension Credit take up among pensioners after new analysis showed large regional disparities, with uptake lowest in the South West.
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.”
You must live in England, Scotland or Wales and have reached State Pension age – which is currently 66 for both men and women – to qualify for Pension Credit.
When you apply for the benefit your income is calculated and this includes your State Pension, other pensions, earnings from employment and self-employment and most social security benefits.
You can use the DWP’s Pension Credit calculator to get an estimate of how much you could get and you can start your application up to four months before you reach State Pension age.
You can apply any time after you reach State Pension age but your application can only be backdated by three months, so you’ll get up to three months of Pension Credit in your first payment if you were eligible during that time.
