Hundreds of thousands of state pensioners across Britain are set to receive significant payment increases following a major rule change announced by the Department for Work and Pensions.
What's Changing for Pensioners?
The DWP has confirmed that Pension Credit rates will rise to new levels for the 2026/2027 financial year, providing much-needed financial support to older households. Under the new minimum guarantee, single pensioners will see their weekly income topped up to £238, while couples will receive £363 per week.
These changes, scheduled to take effect from April 2026, represent a substantial boost to household budgets amid ongoing cost of living pressures. The increases apply to the standard minimum guarantee that forms the foundation of Pension Credit support.
Additional Support for Disabilities and Carers
Beyond the basic increases, the DWP has also confirmed higher payments for those with additional needs. Severe disability payments will rise to £86 weekly for single claimants and couples where one partner qualifies. Where both partners meet the severe disability criteria, the payment increases to £172 per week.
Carers will also benefit from enhanced support, with additional amounts increasing to £48 weekly. The savings credit threshold, which helps those who have saved for retirement, will rise to £208 for single pensioners and £329 for couples.
Who Qualifies for Pension Credit?
To be eligible for Pension Credit, applicants must live in England, Scotland or Wales and have reached State Pension age. Applications must include partners where applicable, with a partner defined as a husband, wife, civil partner, or someone you live with as a couple.
Pension Credit works by topping up weekly income to £227.10 for single people and £346.60 for couples. Even those with incomes above these thresholds might still qualify if they have disabilities, caring responsibilities, savings, or housing costs.
When assessing eligibility, the DWP considers various income sources including State Pension, other pensions, employment earnings, and benefits like Carer's Allowance. The application process involves a detailed calculation of household income to determine the appropriate level of support.