State pensioners urged to come forward for free DWP handout worth £11,850
State pensioners have been urged to come forward for free handout worth nearly £12,000. Department for Work and Pensions (DWP) Pension Credit is increasing from April, with the Chancellor Rachel Reeves saying: “The pension credit standard minimum guarantee will also rise by 4.1% from around £11,400 per year to around £11,850 for a single pensioner.”
Pension Credit is the most under-claimed benefit, aimed at providing extra financial support for older people on low incomes - both singles and couples. You must live in England, Scotland or Wales and have reached State Pension age to qualify for Pension Credit. To qualify, you'll need to have a weekly income of less than £218.15 if you’re single or £332.95 if you have a partner.
If your income is higher, you may still be eligible for Pension Credit if you have a disability, you care for someone, you have savings or you have to pay certain housing costs, such as mortgage interest payments. If you’re on a low income or struggling to make ends meet, claiming Pension Credit could help. It’s worth claiming Pension Credit even if you’re only entitled to a small amount as it can help you qualify for other benefits such as Housing Benefit. It comes in two parts: guarantee credit and savings credit.
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To qualify, you or your partner need to have reached the State Pension age. You can check when you qualify by calling Age NI’s Advice and Advocacy Service or the Northern Ireland Pension Centre. Your current weekly income needs to be below £218.15 (single) or £332.95 (a couple).
There’s no savings limit for Pension Credit, but if you have more than £10,000 it affects the amount you receive. If you live with a partner, only one of you can claim Pension Credit and you will be assessed as a couple. You will only be eligible for Savings Credit if you reached State Pension age before 6 April 2016. If you’re a couple and one of you reached State Pension age before this date, you may be able to claim.
The minimum age to qualify for Savings Credit is 65. You may get some Savings Credit if you have a higher weekly income. It used to be the case that couples, where one person was over state pension age, could claim, under DWP guidance.
But new rules now mean that both people in a couple must be over state pension age to apply. It means that, if you're single and move in with a partner who is younger than the threshold, you will stop being eligible, the DWP says.
But if you're already receiving pension credit under the old system it won't stop unless your circumstances change.