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Pension credit claims double after £300 Winter Fuel Payment axed for millions – 10-minute check to keep cash
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PENSION credit claims have doubled as thousands of people have rushed to apply for the benefit to ensure they keep the £300 Winter Fuel Payment.
The government announced it would restrict the cash only to those on a low income meaning around 10million on the state pension will no longer get the bill help.
Around 38,500 pension credit claims have been made in the last five weeks since the automatic payment for all was axed, new figures from the Department for Work and Pensions (DWP) reveal.
Chancellor Rachel Reeves announced on July 29 that the Winter Fuel Payment would be limited to only those claiming pension credit or other means-tested benefits
In the five weeks preceding the shock move, there were 17,900 claims.
But despite the increase and a new push by the government to get those eligible claiming the benefit, hundreds of thousands are still missing out.
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Previous estimates suggest around 880,000 qualify for the benefit but are not claiming.
Pension credit tops up the weekly payments of those with a low state pension up to £218.15 if you are single or £332.95 for couples.
It also unlocks a host of other benefits like council tax discounts and a free TV Licence for the over 75s.
Rachel Vahey, head of public policy at AJ Bell, said: "Previous government estimates suggest just 6-in-10 people who are eligible for pension credit make an application, potentially costing those on the lowest incomes thousands of pounds in lost income.
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"Those rushing to fill in the forms will be wanting to keep a hold of the £300 winter fuel payment, but could also access other valuable benefits, including dental treatment and free TV licenses.
"But there are still too many pensioners potentially missing out, and the government needs to keep banging the drum to urge these people to claim these valuable benefits."
Could you be eligible for Pension Credit?
It takes as little as ten minutes to check if you're entitled to the benefit, and you can apply over the phone or online.
If your income is lower than £218.15 a week if you are single or £332.95 for couples, you will likely be eligible for the benefit.
If your income is slightly higher, you might still qulaify for pension credit if you have a disability, care for someone, have savings, or have housing costs.
You can use a free benefits calculator to check if you're missing out.
How much is the winter fuel payment?
PAYMENTS last year were worth between £300 and £600, depending on your specific circumstances.
This is because the amount included a "Pensioner Cost of Living Payment" - between £150 and £300.
This year, it will be worth £200 for eligible households or £300 for eligible households with someone aged over 80.
That means you could receive up to £300 in free cash, depending on your circumstances.
Most payments are made automatically in November or December.
You’ll get a letter telling you:
- How much you'll get
- Which bank account it will be paid into
If you do not get a letter or the money has not been paid into your account by January 29, 2025, you must contact the Winter Fuel Payment Centre on 0800 731 0160.
Entitledto, Stepchange and Turn2us all offer these handy tools on their websites.
You can also check your eligibility online by visiting gov.uk/pension-credit first.
Applications for pension credit can be made on the government website or by ringing the pension credit claim line on 0800 99 1234.
Remember, a successful claim for pension credit unlocks your eligibility for this year's £300 winter fuel payment.
But there is a deadline for making the claim to qualify for this year's payment.
To qualify for this year's winter fuel payment, you must have been claiming pension credit or any of the benefits listed above during the qualifying week.
This will take place between September 16 and 22.
Pension credit claims can be backdated by up to three months, meaning the final date for claiming that covers the qualifying period is December 21.
It's still worth applying after this though, as the benefit itself is worth thousands of pounds a year, and has extra perks on top, plus you'll get the winter fuel payment next winter.
Ms Reeves announced changes to the winter fuel payment as part of a series of measures to fill what she called a £22 billion "black hole" in the public finances.
It is expected to reduce the number of pensioners receiving the up to £300 payment by 10million, from 11.4million to 1.5million, saving around £1.4billion this year.
The controversial decision is set to be voted on in Parliament this week.
The Prime Minister is expected to face backlash from his peers, with 50 Labour MPs reportedly gearing up to vote against the move,
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Several charities have also urged officials to do a U-turn on the decision.
However, the freshly appointed PM has doubled down on the decision, telling the BBC over the weekend the Government was "going to have to be unpopular".
Labour accused of "punishing pensioners"
ANALYSIS by Ryan Sabey, The Sun's Deputy Political Editor.
Ministers risked a major backlash as a "routine" £400 planned rise in the state pension doesn't make up for the winter fuel allowance axe.
Treasury internal analysis reveals they expect the benefit to go up by average earnings which will kick in next April for millions of elderly Brits.
The measure means the overall increase in incomes for OAPs is likely to be £100 or £200.
Tory leader Rishi Sunak used a heated Prime Minister's Questions to question why Sir Keir Starmer decided to give train drivers a pay hike - while cutting the benefit.
He said: "The government doesn’t have to choose to take money off low-paid pensioners and give it to highly paid train drivers. He can't justify it.
"Government is about making choices, and the new Prime Minister has made a choice.
"(He) has chosen to take the winter fuel allowance away from low-income pensioners and give that money to certain unionised workforces in inflation-busting pay rises.
"So can I just ask the Prime Minister, why did he choose train drivers over Britain's vulnerable pensioners?"
The PM said: "This Government was elected to clear up the mess left by the party opposite, to bring about the change that the country desperately needs. Our first job was to audit the books, and what we found was a £22 billion black hole."
The criticism comes as Labour MP Rachael Maskell has suggested she can’t vote with the government to end the universal winter fuel cash.
She told the BBC: "I couldn’t vote for this, but I think what we are saying, this is bigger than a vote because this is about protecting people’s lives and ultimately that is our responsibility as MPs, to speak to truth to power.
"That is all we are doing is to say actually there are some people in danger here, that are at risk, and we need the Government to step in like Gordon Brown did when he introduced the winter fuel payment."
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