State pensioners handed up to £11,809 boost by DWP | Personal Finance | Finance
State pensioners with a weekly income of less than £227.10 could boost their income up to £11,809.20 per year with one claim from the Department for Work and Pensions (DWP). Pension Credit is a benefit that provides “a lifeline” in retirement to pensioners on low incomes as it unlocks access to a wealth of financial support – and it’s worth up to £4,300 per year on average.
It’s available to low income pensioners in England, Scotland or Wales and is paid separately to your State Pension. The benefit was uprated by 4.1% from April 7, in line with the annual increase in the Average Weekly Earnings (AWE) index for May to July 2024, which means for single pensioners, the weekly payment has gone up from £218.15 to £227.10, while for couples the rate has increased from £332.95 to £346.60.
It means that those getting the single rate now get an extra £8.95 per week (or up to £465.40 more annually), while those on the joint rate get an extra £31.65 per week (or up to £1,645.80 annually). So over the course of a year, single pensioners could get up to £11,809.20 from the DWP, while couples could get up to £18,023.30.
Not only does Pension Credit top up your weekly income it also unlocks access to an array 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 explains: “Pension Credit provides a lifeline in retirement to pensioners on low incomes, providing access to additional support, including housing costs, council tax and the Winter Fuel Payment.
“The online claim form – updated by the Work and Pensions Secretary after listening to the views of pensioners– means it now takes just 16 minutes on average to apply for Pension Credit and be eligible for up to £4,300, with 90% of new customers applying using the simple online form, or over the phone.”
Applications for Pension Credit can be made online via the government website, or by calling the Pension Credit claim line on 0800 99 1234, 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, meaning you can get up to three months of Pension Credit in your first payment if you were eligible during that time.
Sarah Pennells, consumer finance specialist at Royal London, said: “Our research shows that many people are missing out because they haven’t checked to see if they qualify.
“Three in ten people over State Pension age who were on a low income hadn’t checked to see if they were entitled to Pension Credit, while one in ten pensioners who had been told they qualified for Pension Credit have yet to apply.
“You can backdate your claim for Pension Credit by up to three months, and the sooner you claim, the sooner you could start receiving payments. Not only that, but, if you’re entitled to Pension Credit, you’ll be able to get extra help with costs such as rent and Council Tax, which could make a big difference.”
