17 December 2024
New Freedom of Information data from the Department for Work and Pensions (DWP), gathered by Quilter, the pension provider and financial adviser, has found that just over half (50.3%) of pension credit claims processed from April 2024 to December have not been awarded.
The data shows that from April 2024 to 1 December 2024, 91,000 pension credit claims were awarded while 92,000 were not.
In comparison, from April 2023 to March 2024, 134,000 were awarded while 112,000 were not.
The news comes as the 21st December looms, which is the last date for making a backdated claim for pension credit to receive the winter fuel payment.
Anyone who thinks they may be eligible, or anyone with relatives or loved ones over the state pension age who they believe may be entitled, should check the criteria and ensure their application is submitted before then.
Those who are eligible would not only benefit by regaining the winter fuel payment, worth either £200 or £300 depending on age, but they would also receive pension credit to top up their income.
Pension credit is made up of two parts. The first is a guarantee credit, which tops up your weekly income to the minimum guaranteed level: currently £218.15 if you are single or £332.95 if you have a partner. The second is a savings credit, which provides a small top up for people who reached state pension age before 6 April 2016 and have a modest amount of income.
In order to successfully get pension credit in the UK, you need to meet the following criteria:
- You must have reached State Pension age, which is currently 66 or older.
- You must live in the UK.
- Your weekly income should be below £218.15 if you’re single, or £332.95 if you’re in a couple. If you have a disability or caring responsibilities, you might still qualify with a slightly higher income.
- If you have savings and investments over £10,000, each £500 above this amount counts as £1 in additional income per week when calculating eligibility. For example, if you have £11,000 in savings, this counts as £2 income a week.
If you receive pension credit, you may also be eligible for several additional benefits. These include a free TV licence if you’re 75 or older, which covers everyone living at your address. You might also get help with your rent through housing benefit, a discount on your council tax, and other benefits that can ease financial pressure. or savings.
Jon Greer, head of retirement policy at Quilter, said:
"With the last date for making a backdated claim for pension credit to receive the winter fuel payment now just days away, it is vitally important that pensioners on low incomes check their eligibility.
“While this new data shows that a significant proportion of claimants are being denied pension credit this should not stop people applying if they think they might be eligible.
“Pension credit guarantees a weekly income of £218.15 if you’re single or £332.95 if you have a partner. It also unlocks a variety of other benefits that can help with housing costs, council tax, and heating bills.
"If you are unsure about your eligibility, an online pension credit calculator can provide an estimate of potential benefits. Applying is simple and can be done online, by printing and completing a paper form, or by calling 0800 99 1234."
