Almost 800,000 people over the State Pension age have just one month left to apply for a means-tested benefit that also grants access to this year’s Winter Fuel Payment. If they submit a new application for Pension Credit before December 21, 2025, they will also be eligible for a backdated Winter Fuel Payment of up to £300.
The Department for Work and Pensions (DWP) recently confirmed that nearly 78% of all new Pension Credit claims are processed – from initial application to award decision letter – within the target timeframe of 50 working days. This indicates that low-income older people making a new claim this month, particularly those living alone, could receive their first payment and any arrears by the end of December – along with the Winter Fuel Payment.
It’s crucial for older married people or those in civil partnerships to ensure they’re claiming all the extra financial aid they’re entitled to this winter, to help counterbalance the increased costs of the colder months. Pension Credit, specifically designed to offer additional financial support for older individuals on a low income – both singles and couples, is the most under-claimed benefit.
Despite Pension Credit being available, recent figures from the Department for Work and Pensions (DWP) suggest that around 760,000 eligible pensioners are not claiming the benefit. Many older people incorrectly think that their savings or owning a home disqualifies them from this means-tested benefit, reports the Daily Record.
However, even a modest award of £1 per week can unlock further support, including help with housing costs, heating bills, and Council Tax. Here’s a quick rundown of Pension Credit, including eligibility requirements, potential benefits, and how to apply.
Pension Credit comes in two types: Guarantee Credit and Savings Credit. To be eligible for Guarantee Pension Credit, you must be of State Pension age (currently 66), and your weekly income must be below the UK Government’s stipulated minimum living allowance (£218.15 for single individuals and £332.95 for couples).
The amounts you could receive from the DWP may be higher if you’re disabled, a carer, or have specific housing costs. Guarantee Credit can top up your weekly income to these amounts, potentially more if you’re disabled, a carer, or have certain housing costs.
Savings Credit can provide additional funds, with the exact amount depending on your income and savings, including assumed income from savings and capital over £10,000.
Eligiblity for Pension Credit
To check eligibility for Pension Credit, elderly individuals or their friends and family can use the online Pension Credit calculator on GOV. UK.
Alternatively, pensioners can directly contact the Pension Credit helpline at 0800 99 1234 – lines are open from 8am to 6pm, Monday to Friday.
If you qualify for Pension Credit, you may also be eligible for additional assistance. In May 2019, the law was changed so that ‘mixed age couples’ – where one partner is of State Pension age and the other is not – are considered a ‘working age’ couple when checking entitlement to means-tested benefits.
This means that they can’t claim Pension Credit or pension age Housing Benefit until both partners have reached the State Pension age. Before this change by the DWP, a mixed-age couple could have been eligible to claim the more generous State Pension age benefits when just one partner reached State Pension age.
To calculate how much you could get, you’ll need to use the calculator on GOV. UK.
You’ll need details of earnings, benefits, pensions, savings, and investments. If you have a partner, you’ll need their details too. You’ll be asked a series of multiple-choice questions. Once you’ve answered them, a summary screen will show your responses.
This lets you review and amend any answers before submitting.
Calculate your claim
The Pension Credit calculator then shows how much benefit you could receive each week. After this, all you need to do is follow the link to the application page to find out exactly what you’ll receive from the DWP, including access to other financial support.
There’s also an option to print off your answers from the calculator tool to help speed up the completion of the application form without having to search for the same details again. Try the Pension Credit Calculator for yourself or a family member to ensure you’re receiving all the financial support you’re entitled to claim.
However, the Pension Credit calculator is not for everyone. It cannot be used if you or your partner are deferring your State Pension, own more than one property, are self-employed, or have housing costs (such as service charges or Crown Tenant rent) which are neither mortgage repayments nor rent covered by Housing Benefit.
To make a claim, you can start your application up to four months before you reach State Pension age. You can claim any time after you reach State Pension age but your claim can only be backdated for three months.
This means you can get up to three months of Pension Credit in your first payment if you were eligible during that time. You will need your National Insurance number and information about your income, savings and investments.
If you’re applying by phone or post, you’ll need your bank account details. If you’re backdating your claim, you’ll need to provide information about your income, savings and investments on the date you want your claim to start.
You can use the online service if you have already claimed your State Pension and there are no children or young people included in your claim. To check your entitlement, you can call the Pension Credit helpline on 0800 99 1234.
