Nearly one million pensioners are being encouraged to see if they qualify for a £3,900 income boost from the Department for Work and Pensions (DWP) that will give them access to Winter Fuel Payments. Last month, Chancellor Rachel Reeves announced that the annual allowance, designed to help with winter heating costs, will no longer be distributed to all State Pensioners.
Instead, it will only be given to those who receive income-related benefits such as Pension Credit. Many older people may not realise that a new claim for Pension Credit made before the first week of December and later proven successful may also qualify them for the retrospective Winter Fuel Payment.
This is because Pension Credit claims can be issued retrospectively for up to three months, provided the claimant meets the eligibility criteria. This will bring all new claims made before December into the qualifying week of September 16 to 22, the Daily Record reported.
The Chancellor also announced an initiative to increase the use of Pension Credit, which currently provides financial assistance and access to other benefits and discounts for 1.4 million people across the UK.
Mixed-age couples and older individuals receiving certain benefits such as Universal Credit, Income Support, Jobseeker’s Allowance or Employment and Support Allowance will be eligible for Winter Fuel Payments.
Amid changes to eligibility rules, Just Group has called on State Pension recipients to verify their Pension Credit entitlement. Stephen Lowe, of Just Group, has highlighted the problem of unclaimed benefits: “By contrast, the government’s own figures show that up to 880,000 families who qualify for Pension Credit fail to claim each year, missing out on an average of £2,200 a year, or more than £2 billion in total. When you add in the other benefits it triggers, claiming could be worth £8,000 a year.”
Lowe continued to press for action, saying: “We urge everyone to use this decision as a reason to check their rights or ask someone, such as a family member, to do this on their behalf. This could mean thousands in additional income.”
How to easily check eligibility for Pension Credit
Older people can work out whether they qualify for Pension Credit and understand how much they should expect by using the online calculator available from GOV.UK.
Alternatively, those looking to make a claim can call the Pension Credit helpline directly – to reach them, call 0800 99 1234, Monday to Friday, 8am to 6pm.
Additional expertise and guidance is available at:
The conclusion provides an outline of the benefits and a guide to who should assess their eligibility and the potential amounts involved.
Retirement Credit announced
Pension Credit is a benefit that provides people over State Pension age and on low incomes with additional funds to help with living costs. It also provides access to a range of other benefits.
The benefit takes income to at least £218.15 a week for single pensioners and £332.95 for couples, with this figure rising further if the person is disabled or has caring responsibilities.
Even a reward of just £1 a week can unlock other boosts such as Winter Fuel Payments.
Additional help if you receive Retirement Credit
If you qualify for Pension Credit, you may also have access to other types of help, such as:
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Housing Assistance if you rent out your property
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Mortgage Interest Support if you own the real estate you live in
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Council Tax relief
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Free TV licence if you are 75 or over
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Help with travel costs for NHS dental treatment, glasses and hospital appointments
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Help with your heating costs with the Warm Home Discount Scheme and Winter Fuel Payment
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Discount on Royal Mail forwarding service if you are moving house
Changes for older couples of mixed age and Pension Credit
In May 2019, legislation was changed to ensure that ‘mixed-age couples’, where one spouse is of Pensionable age and the other is not, are now treated as a ‘working-age’ couple for the purpose of assessing entitlement to means-tested benefits.
This means they will not be able to claim Pension Credit or pension age Housing Benefit until both partners reach State Pension age. Before this DWP change, a mixed-age couple would only be eligible to claim the more generous State Pension age benefits if one of them reached State Pension age.
How can you use the Pension Loan calculator?
To use the calculator at GOV.UK you will need the following information:
You will need the same information for your partner, if you have one. You will be presented with a series of questions with multiple-choice answer options.
These include:
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Your date of birth
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Your residence status
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Where in England do you live?
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Even if you are registered blind
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What benefits are you currently receiving?
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How much money do you receive each week for any benefits you receive?
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Whether someone is receiving Carer’s Allowance to look after you
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How much do you receive each week in pensions – State Pension, individual and work pensions
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Any employment gains
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Do you have any savings, investments or bonds?
Once you have answered the required questions, a summary screen will display your responses and allow you to review them before final submission. The Pension Credit calculator will then reveal the potential weekly benefit you could receive.
The next step is to follow the link to the application page to find out exactly what you are entitled to from the DWP, including accessing other financial support.
There’s also a handy option to print out your answers from the calculator tool, which will help you fill in the application form quicker without having to remember the same information. Try the Pension Loan Calculator for yourself or a family member and make sure you’re claiming all the financial support you’re entitled to.
Who cannot use the Pension Credit calculator?
The calculator is not suitable if: You or your partner:
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Are you postponing your State Pension?
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owning more than one property
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self-employed
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Have housing costs (such as service charges or Crown Tenant rent) that are not covered by Housing Benefit, neither mortgage payments nor rent
How to submit a request?
You can start your claim up to four months before you reach State Pension age. Claims can be made at any time after you reach State Pension age but can only be backdated to three months.
This means you can get up to three months’ Pension Credit on your first payment if you are eligible during that period.
To continue, you will need your National Insurance number and information about your income, savings and investments, and if you are applying by phone or post, your bank account details. If you are making your claim retrospectively, you will need to provide information about your income, savings and investments on the date you want your claim to start.
If you’ve already claimed your State Pension and there are no children or young people on your claim, you can apply online. Call the Pension Credit helpline on 0800 99 1234 to confirm your entitlement, or use the GOV.UK Pension Credit calculator here to work out how much you could get.