Hundreds of thousands of older people across the UK are set for a significant financial uplift from this spring, thanks to a confirmed increase in a crucial benefit.
Substantial Increase for Pension Credit
The Department for Work and Pensions (DWP) has announced that Pension Credit will be uprated by 4.8% from April 2025. This will raise the weekly amount to approximately £238, which accumulates to a potential annual sum of £12,376 for eligible claimants.
This vital top-up payment is designed for people over State Pension age who have a weekly income below a certain threshold. To qualify, your total weekly income must be less than the full new State Pension amount, which is currently around £241.
Unlocking Seven Valuable Extra Benefits
Claiming Pension Credit is often described as a 'gateway' benefit because it automatically opens the door to several other crucial forms of support. The key additional perks include:
- Housing Benefit if you rent your home.
- Council Tax Reduction to help with local tax bills.
- Support for Mortgage Interest if you own your property.
- Cold Weather Payments (or Winter Heating Payments in Scotland).
- Help with NHS dental treatment, glasses, and transport costs for hospital appointments (if you receive the Guarantee Credit element).
- Assistance with heating costs via the Warm Home Discount Scheme.
- A discount on the Royal Mail redirection service if you are moving house.
Eligibility and How to Make Your Claim
It is important to understand the eligibility criteria. There is no official savings limit for Pension Credit. However, if you have savings or investments over £10,000, it will affect how much you receive.
For couples where only one partner is over State Pension age (known as a mixed-age couple), you will typically need to claim Universal Credit until you have both reached pension age. Furthermore, if you reached State Pension age before 6 April 2016, you might also be eligible for an extra element called Savings Credit.
Claiming is straightforward. You can apply online via the GOV.UK website, provided you already claim your State Pension and your claim does not include any children or young people. Alternatively, you can call the Pension Credit claim line on 0800 99 1234, where an advisor can complete the application with you over the phone. The lines are open Monday to Friday, from 8am to 6pm.
This confirmed uprating represents a vital boost to the incomes of some of the most vulnerable pensioners, ensuring they can better manage rising living costs. Experts urge all those who think they might be eligible to check and claim, as billions of pounds in benefits go unclaimed each year.
