Martin Lewis has called the 880,000 older Britons missing out on Pension Credit support a “national tragedy” and urged those eligible to claim it.
The Money Saving Expert founder is supporting the Department for Work and Pensions (DWP) in its ‘Week of Action,’ which aims to boost the uptake of this under-claimed benefit, potentially providing eligible individuals with around £3,900 in additional financial support each year.
This Pension Credit awareness campaign comes after Chancellor Rachel Reeves’ controversial decision to narrow Winter Fuel Payment eligibility to address a £22 billion gap in the country’s finances. Previously, these payments were available to all pensioners of a certain age in England and Wales.
This year, however, they will be means-tested, with only those receiving certain benefits, such as Pension Credit, qualifying for the payment, which can be worth up to £300 to help with heating bills.
The change is expected to impact 10 million pensioners, but this number could decrease if more pensioners eligible for Pension Credit actually claimed it. An estimated 880,000 people are currently missing out on this support, which is worth thousands of pounds a year.
Claiming Pension Credit would make them eligible for the Winter Fuel Payment, as well as other benefits like a free TV licence and council tax reduction.
The Money Saving Expert founder said: “It’s a national tragedy that nearly a million eligible low-income pensioners who’ve paid into the system for years are still missing out on the crucial Pension Credit financial lifeline – a better name for it would be the State Pension Top Up.
“So whatever your age, take a second to understand how it works, so we can all ensure the message is spread to every nook and granny (and grandpa too). Especially as the Government has just severed Winter Fuel Benefits eligibility for millions, yet if you claim Pension Credit you’ll still get it.”
Mr Lewis noted: “While for most single pensioners, you need total weekly income, including from savings, under around £218 (pensioner couples under £333) to be very likely to qualify, my rule of thumb is to spend a few minutes to check even with weekly income up to £235 (pensioner couples £350) as there’s still a chance some may be eligible.
“Pension Credit can pay out £1,000s a year, but even if it’s only going to pay you thruppence, still claim it.
“As once you get it, it’s a gateway benefit that opens the door to other entitlements – including council tax reductions, free TV licences (if age over 75) dental and optical support and more.”
Pension Credit is separate from the state pension and people can receive it even if they have other income, savings, or own their own home. However, they must claim it. The payment is not made automatically.
People can use a Pension Credit calculator to check if they qualify for the support.
To apply for the benefit, people can reach the helpline by telephone on 0800 99 1234 or by textphone on 0800 169 0133. They can also apply online here.
