DWP to send letter to millions of pensioners that could be worth £3,900 each
More than 10 million pensions are set to be encouraged to claim a potential £3,900 boost from the Department for Work and Pensions (DWP). Letters will be sent to 11 million older people in the UK in January in an effort to ensure they don't miss out on Pension Credit, which is designed to support those with low incomes.
For single pensioners, it can increase their weekly income to £218.15, or £332.95 for couples. On average, the benefit awards more than £3,900 annually.
However, The Sun reports that an estimated 800,000 people might not be claiming this vital support due to unawareness of its existence. Pensions minister Torsten Bell said: "Over the coming weeks, as part of the annual state pension uprating exercise, around 11 million pensioners will receive a leaflet promoting Pension Credit along with their state pension uprating letter."
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This financial aid assists with expenses like housing, council tax, and heating bills, and for those over 75, it includes a free TV licence. The cost of a TV licence is set to increase from £169.50 to £174.50 in April, but concurrently, the State Pension and Pension Credit rates will also rise.
The State Pension will see a 4.1 percent increase, raising the weekly payment to £230.30. Payments for Guaranteed Pension Credit will also rise from £218.15 a week to £221.86, or £332.95 to £338.61 for couples.
Am I eligible?
You must live in England, Scotland or Wales and have reached State Pension age to qualify for Pension Credit. When you apply for Pension Credit your income is calculated. If you have a partner, your income is calculated together.
Pension Credit tops up:
Your weekly income to £218.15 if you’re single
Your joint weekly income to £332.95 if you have a partner.
So if your income is less than this you should qualify. If your income is higher, you might still be eligible for Pension Credit if you have a disability, you care for someone, you have savings or you have housing costs.
Your income includes:
Earnings from employment and self-employment
Other pensions
State Pension
Most social security benefits, for example Carer’s Allowance
You could get an extra £81.50 a week if you have a disability or claim any of the following:
The middle or highest rate from the care component of disability living allowance (DLA)
Attendance Allowance
The daily living component of adult disability payment (ADP) at the standard or enhanced rate
The daily living component of Personal Independence Payment (PIP)
Armed forces independence payment
Use the Government’s online Pension Credit calculator you can use to check if you may be eligible.