DWP rule blocking 60,000 people from claiming benefit despite qualifying

Pension Credit allows people to claim £300 Winter Fuel Allowances from the DWP but people are being blocked from claiming.

A Department for Work and Pensions (DWP) rule is blocking 60,000 people from claiming Pension Credit despite qualifying. Pension Credit allows people to claim £300 Winter Fuel Allowances from the DWP but people are being blocked from claiming.

It further provides eligibility for Housing Benefit, the Warm Home Discount Scheme, mortgage payment assistance, Council Tax discount, help with NHS prescriptions, among other benefits and discounts. But thousands of people on low incomes - below £218 a week - are unable to claim.

Since 2019, the rule stipulates that if you are part of a couple where one member is over State Pension age and the other under, you must claim Universal Credit as a couple instead of Pension Credit. This rule has led to 60,000 people claiming Universal Credit in place of Pension Credit, thereby disqualifying them from some of the other support.

READ MORE Jay Slater investigator will reveal truth 'when time is right' but 'has got to be very careful'

According to Age UK, it is also more challenging to get Universal Credit backdated when you claim. Some individuals on Universal Credit can still qualify for Winter Fuel Payments. There are two types of Pension Credit. Guarantee Credit ensures a minimum income level for those who have reached the State Pension age. If your income is below a certain threshold (for 2024, this is £201.05 per week for a single person and £306.85 for couples), the Guarantee Credit tops it up to that amount.

Savings Credit is an additional payment for people who saved some money towards their retirement, such as through pensions or savings. Savings Credit is only available to those who reached State Pension age before 6 April 2016, the DWP states.

Pension Credit, a vital means-tested benefit aimed at supporting older individuals, must be actively applied for by those eligible. It's calculated based on income, savings, and individual circumstances, and isn't handed out automatically.