A large number of pensioners in the UK may be losing out on thousands of pounds each year simply because they’re unaware of what they’re entitled to. According to reports, Department for Work and Pensions (DWP) benefits could offer extra financial support of up to £9,470 per year, but many eligible citizens haven’t claimed it yet.
Whether it’s due to lack of awareness, confusion about eligibility rules, or the complexity of the application process, this unclaimed money could be a game-changer—especially for pensioners struggling with rising living costs.
Here’s everything you need to know.
What is Pension Credit?
Pension Credit is a DWP benefit that helps low-income pensioners top up their weekly income. It’s separate from the State Pension and is available even if you own your home or have some savings.
There are two parts to Pension Credit:
- Guarantee Credit: This tops up your weekly income to a minimum level, currently £218.15 for single pensioners and £332.95 for couples (for the 2024–25 financial year).
- Savings Credit: An extra payment for people who saved some money towards retirement. It’s only available to those who reached State Pension age before April 6, 2016.
When combined, these could total £9,470 or more per year.
Who Can Claim?
To qualify for Pension Credit:
- You must live in England, Scotland, or Wales.
- You (or your partner) must have reached State Pension age.
- Your weekly income must be below the threshold set by the government.
The income check includes earnings, pensions, most benefits, and savings over £10,000. However, many people mistakenly think they aren’t eligible due to small private pensions or savings—when in fact, they could still qualify
What Are the Extra Benefits?
Claiming Pension Credit can also unlock a wide range of additional support, including:
- Council Tax reduction (sometimes up to 100%)
- Free TV Licence (if over 75)
- Cold Weather Payments
- Warm Home Discount
- Free NHS dental treatment and glasses
- Help with housing costs, if you rent
These extras can add hundreds—or even thousands—of pounds in value each year.
Why Are So Many Missing Out?
According to estimates from Age UK and other charities, over 850,000 eligible pensioners aren’t claiming Pension Credit. One key reason is lack of awareness. Many people wrongly assume they aren’t eligible because they have some savings or own property.
Others find the process of applying too confusing or time-consuming. In reality, the application process is simpler than many believe.
How to Apply
You can apply for Pension Credit:
- Online: Through the official GOV.UK website
- By phone: Call the Pension Credit claim line at 0800 99 1234
- By post: Request a paper form via phone
You’ll need your National Insurance number, income details, information about savings, and bank account information.
Why It Matters Now
With inflation still affecting daily essentials like food and energy bills, every pound matters—especially for pensioners living on fixed incomes. The extra support from Pension Credit can offer much-needed relief and improve quality of life.
The government and charities are urging people to check if they or their loved ones could be eligible. Even if you’re not sure, it’s worth applying or getting a free benefit check done through Age UK or Citizens Advice.
Final Thought
If you or someone you know is over State Pension age and struggling financially, don’t ignore Pension Credit. You might be entitled to thousands of pounds in unclaimed support. Take a few minutes to check—it could make a big difference.