Older people can claim backdated Pension Credit that’ll trigger eligibility for the current Winter Fuel Payment until December 21 this year.
Plus, those who discover their eligibility can also get up to three months’ worth of backdated payments, making this Christmas a merrier one all round.
Up to 760,000 pensioner households who were entitled to receive Pension Credit did not claim it between April 2022 and March 2023, according to government estimates. This added up to a loss of around £1,900 per year for every eligible household. This year it is even more important as it is the gateway benefit for Winter Fuel Payments.
Who is eligible for pension credit?
You must live in England, Scotland or Wales and have reached State Pension age to qualify for Pension Credit. To qualify, you’ll need to have a weekly income of less than £218.15 if you’re single or £332.95 if you have a partner.
If your income is higher, you may still be eligible for Pension Credit if you have a disability, you care for someone, you have savings or you have to pay certain housing costs, such as mortgage interest payments.
It used to be the case that couples, where one person was over state pension age, could claim, but new rules now mean that both people in a couple must be over state pension age to apply. So, if you’re single and move in with a partner who is younger than the threshold, you will stop being eligible.
But if you’re already receiving pension credit under the old system it won’t stop unless your circumstances change.
What counts as income?
Your income could be things like
- State Pension
- Private pensions
- Earnings from employment and self-employment
- Most social security benefits, for example
The following benefits aren’t classed as income:
- Adult Disability Payment
- Attendance Allowance
- Christmas Bonus
- Child Benefit
- Disability Living Allowance
- Pension Age Disability Payment
- Personal Independence Payment
- social fund payments like Winter Fuel Allowance
- Housing Benefit
- Council Tax Reduction
If you’re entitled to a personal or workplace pension and you have chosen not to claim it yet, the amount you’d expect to get still counts as income. This includes your State Pension.
Having savings and investments can make a difference to whether or not you are eligible.
- Up to £10,000 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 would be considered as £2 income a week.
How to claim Pension Credit
You can claim the benefit online or by calling the Pension Credit claim line on 0800 99 1234.
Before you ring up it’s worth having your details ready and to hand – this is things like your National Insurance number, bank account details and information about your income, savings and investments.
How much you’ll get
Pension Credit tops up your weekly income to £218.15 if you’re single, or £332.95 between you if you have a partner. You may get extra amounts if you have other responsibilities and costs.
For example, if you have a severe disability, you could get an extra £81.50 a week, and those who look after children or a young person could get an extra £66.29 a week for each one you’re responsible for.
This is £76.79 a week for the first child if they were born before April 6 2017. If the child or young person is disabled, you could also get an extra payment on top of that.
