TO YOUR CREDIT
Just weeks to act on pension credit DWP loophole and bag an extra £150 towards energy bills this winter
Want to know more about the scheme? Scroll down for more info
THOUSANDS of pensioners can get £150 to cover the cost of energy bills over the winter through a loophole - but only have weeks left to act.
The Warm Home Discount (WHD) is a reduction on your electricity and sometimes gas applied by energy firms once a year.
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In the vast majority of cases, you receive the discount automatically and don't need to apply.
The discount is open to those in receipt of certain benefits including Universal Credit, Income Support and Housing Benefit.
The £150 reduction is also available to thousands on pension credit.
To qualify, you need to claim either the guaranteed credit element of pension credit or one of the below benefits:
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- Income support
- Income based jobseeker's allowance
- Income related employment and support allowance
- Housing benefit
- Universal Credit
- Child tax credit
- Working tax credits
- The "savings credit" part of pension credit
If you weren't claiming any of the above benefits on August 11, 2024, you won't be eligible for the discount this winter.
The Government also assesses your energy costs based on the type, age and size of your property.
However, the August 11 qualifying date does not apply if you are receiving the guarantee credit element of pension credit.
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This is because you can backdate pension credit claims by up to three months.
But, that does mean you will have to launch your pension credit claim by the end of Sunday, November 10, and then successfully backdate it to cover the August 11 Warm Home Discount qualifying date.
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Fail to do this and you will miss out the £150 discount this year.
What is pension credit and who is eligible?
Pension credit is a government benefit designed to top up your weekly income if you are a state pensioner with low earnings.
The current state pension age is 66.
There are two parts to the benefit - Guarantee Credit and Savings Credit.
Guarantee credit tops up your weekly income to £218.15 if you are single or your joint weekly income to £332.95 if you have a partner.
Savings credit is extra money you get if you have some savings or your income is above the basic full state pension amount - £169.50.
Savings credit is only available to people who reached state pension age before April 6, 2016.
Usually, you only qualify for pension credit if your income is below the £218.15 or £332.95 thresholds.
However, you can sometimes be eligible for savings credit or guarantee credit depending on your circumstances.
For example, if you are suffering from a severe disability and claiming Attendance Allowance, as well as other benefits, you can get an extra £81.50 a week.
Meanwhile, you can get either £66.29 a week or £76.79 a week for each child you're responsible and caring for.
The rules behind who qualifies for pension credit can be complicated, so the best thing to do is just check.
You can do this by using the Government's pension credit calculator on its website.
Or, you can call the Pension Service helpline on 0800 99 1234 from 8am to 5pm Monday to Friday.
Those in Northern Ireland have to call the Pension Centre on 0808 100 6165 from 9am to 4pm Monday to Friday.
It might be worth a visit to your local Citizens Advice branch too - its staff should be able to offer you help for free.
One additional and major perk of pension credit is that it is known as a "gateway" benefit in that it opens up a host of other freebies and perks.
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This includes a free TV licence worth £169.50 a year if you are 75 or over and council tax discounts.
And of course, if you are on the guarantee credit part of pension credit, you also qualify for the Warm Home Discount.
How and when is the WHD paid?
The discount is usually applied between October and March, typically as a credit on your account depending on how you pay for your energy.
The £150 is usually deducted from your electricity bill, but you can also get the money off your gas bill if your supplier provides both your gas and electricity.
You should get in touch with your energy supplier to ask if they will give you a discount on your gas bill.
If you are a direct debit customer or smart prepayment meter customer, you should get the £150 automatically added as credit on your account.
Traditional prepayment meter customers are sent top-up vouchers by post, email or text. You may also receive a cheque.
You have 90 days to redeem any vouchers, but your supplier can reissue you one if it gets lost or expires.
Any vouchers have to be redeemed at your nearest Post Office branch or PayPoint shop.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected].
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