The Department for Work and Pensions (DWP) is urging hundreds of thousands of eligible married couples to claim a significant financial boost, with Pension Credit payments averaging £4,300 per year. Despite this, an estimated 760,000 pensioners across the UK are currently missing out on this crucial support.
What is Pension Credit and who is eligible?
Pension Credit is a means-tested benefit designed to supplement the weekly income of people over State Pension age who are on a low income. It is entirely separate from your State Pension. Currently, around 1.4 million older people receive it, but many more could qualify.
The benefit consists of two potential parts: Guarantee Credit and Savings Credit. Guarantee Credit tops up your weekly income to a guaranteed minimum level. For the current period, this is:
- £227.10 per week if you are single.
- £346.60 per week if you are a couple.
You can claim Guarantee Credit if your income falls below these thresholds. However, you may still qualify even with a higher income if you are a carer, have a severe disability, certain housing costs, or are responsible for a child.
Extra support through Savings Credit
The second element, Savings Credit, is an extra payment for those who saved some money for retirement, such as having a private pension. This part is only available to individuals (or couples where both partners) who reached State Pension age before 6 April 2016.
If eligible, Savings Credit could provide an extra:
- Up to £17.30 per week for single pensioners.
- Up to £19.36 per week for couples.
It is important to note that while there is no official savings limit for Pension Credit, having savings over £10,000 will affect the amount you can receive.
Unlocking further vital help
Claiming Pension Credit acts as a gateway to a wider range of support. Successfully applying can make you eligible for additional help with:
- Health costs, including free NHS dental treatment and glasses.
- Housing costs, such as Council Tax reduction and support with rent.
- Warm Home Discount scheme payments.
The DWP is keen to raise awareness, particularly among married couples over the State Pension age of 66, who may not realise they are entitled to this substantial financial top-up. With the cost of living remaining a pressing concern, this unclaimed support could make a significant difference to hundreds of thousands of households.
