The Department for Work and Pensions (DWP) has launched a new campaign urging older people and their families living in Scotland or other parts of the UK, to check eligibility for Pension Credit, a benefit which could be worth more than £3,300 each year.
Pension Credit can help to top-up the income of retired people, even if they already receive a State or private pension or have another source of income.
Some older people think because they have savings or own their home they would not be eligible for any Pension Credit, but many are missing out on the extra money and discounts it provides, every month.
People who receive Pension Credit could also qualify for additional financial help with Council Tax, Housing Benefit, hearing bills and a free TV Licence for the over 75s.
New figures from the DWP show that around 131,600 older people in Scotland currently receive Pension Credit, however, many more are still not claiming this extra financial help, which could help to offset the cost of living crisis.
Starting this month, advertising for Pension Credit will feature in internet search results and on social media, before being expanded to national and regional newspapers.
The DWP will also be distributing leaflets for businesses to use within Scottish communities, while businesses can also get involved in the campaign by spreading the word to their customers using the DWP’s digital toolkit and encouraging them to call the claim line.
All State Pension recipients will continue to receive reminders about Pension Credit in the post as part of the DWP’s annual uprating communications.
Currently, over 1.4 million older people across the UK receive Pension Credit, but it is estimated that up to £1.7 billion is being left unclaimed by hundreds of thousands of pensioners across the country.
Henry Tapper, who runs the Pension Playpen, a network for pension professionals, describes Pension Credit as a “door to more”.
He told BBC Radio 4’s Money Box Live on April 2, how there’s more to the benefit than just financial support.
He said: “You don’t just get the benefit of the Pension Credit, it’s a door to more - a door to things like Council Tax reductions and free TV Licences [for over 75s] - a whole realm of great things.”
Presenter Paul Lewis added that in financial terms, Pension Credit can provide up to £2,000 in monetary benefit plus a further £1,000 or more in other reductions and discounts.
Commenting on the new awareness campaign, Minister for Pensions Guy Opperman said: “We recognise the challenges some pensioners in Scotland will be facing with the cost of living which is why promoting Pension Credit is a priority.
“Everyone with retired family, friends and loved ones should check in with them to see if they can get this extra help.”
He added: “Pension Credit can be claimed by phone and online, ensuring that older people can apply safely, wherever they are. The online Pension Credit calculator is also on hand to help pensioners check if they’re likely to be eligible and get an estimate of what they may receive.”
The campaign also includes tackling some of the myths that may stop people applying for the benefit, such as how having savings, a pension or owning a home are not necessarily barriers to receiving Pension Credit.
The online Pension Credit calculator can help older people quickly check if they are likely to be eligible and get an estimate of what they could receive - find out more here.
Caroline Abrahams, Charity Director at Age UK, said: “Pension Credit can make a big difference if you’ve reached State Pension Age and haven’t got much money coming in. With prices rising rapidly at the moment it’s more important than ever to claim what’s rightfully yours. We urge any older person who thinks they may be eligible to put in a claim and Age UK is here to provide advice and practical support to help you with the process.
“Pension Credit is something of a well-kept secret - many people have simply not heard of it. That’s a real shame because at Age UK we see how much it helps those who actually receive it. We hope this campaign is the first step in a sustained UK Government effort to bring Pension Credit to the older public’s attention, and we warmly support it for this reason. Pension Credit is really important for older people and deserves to be much better known.”
Pension Credit is designed to help with daily living costs for people over State Pension age and on a low income, though you do not need to be in receipt of State Pension to receive it.
It tops up a person's income to a minimum of £177.10 per week for single pensioners or £270.30 for couples, however, these amounts will rise to £182.60 per week for single pensioners and to £278.70 for couples from Monday, April 11.
Morgan Vine, Head of Policy and Influencing at Independent Age, said: “We know this support can be life-changing but for too long, too many people over 65 who are eligible have been missing out.
“With the cost-of-living crisis making life even more harsh for people over 65, it has never been more urgent to take action on Pension Credit. Awareness campaigns are one part of the strategic approach that is needed at this critical time, so it is very positive to see the government working with local partners to deliver awareness raising materials.”
Find out more about Pension Credit on the GOV.UK website here.
What is Pension Credit?
Pension credit is an income-related benefit aimed at people living in the UK over State Pension age.
It offers older people a weekly top-up to their income - you can also choose to be paid fortnightly or every four weeks.
It’s available to single pensioners, including widows and widowers, as well as couples.
To use the online calculator, you will need details of:
earnings, benefits and pensions
savings and investments
You’ll need the same details for your partner if you have one.
Who cannot use the Pension Credit calculator?
You cannot use the calculator if you or your partner:
are deferring your State Pension
own more than one property
are self employed
have housing costs (such as service charges or Crown Tenant rent) which are neither mortgage repayments nor rent covered by Housing Benefit
How to make a claim
You can start your application up to four months before you reach State Pension age.
You can claim any time after you reach State Pension age but your claim can only be backdated for three months.
This means you can get up to three months of Pension Credit in your first payment if you were eligible during that time.
You will need:
your National Insurance number
information about your income, savings and investments
your bank account details, if you’re applying by phone or by post
If you’re backdating your claim, you’ll need details of your income, savings and investments on the date you want your claim to start.
Apply online
You can use the online service if:
you have already claimed your State Pension
there are no children or young people included in your claim
To check your entitlement, phone the Pension Credit helpline on 0800 99 1234 or use the GOV.UK Pension Credit calculator here to find out how much you could get.
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