DWP one-month deadline as millions yet to apply for their free £3,900

A significant number of UK pensioners aren’t seeking assistance and checking if they are entitled to financial benefits such as Pension Credit, as new findings from Royal London reveal over half of pensioners don't like to ask for support or help from their friends or family, even if they need it, while over a third find asking for help uncomfortable.

The research, launched as part of Royal London’s ‘Take The Credit’ campaign, also highlighted that this reluctance to ask for help has potentially led to two-fifths of those over State Pension age not yet checking if they qualify for Pension Credit. Department for Work and Pensions (DWP) figures show that Pension Credit is currently worth an average of £3,900 a year for pensioners who qualify. As Pension Credit is a ‘gateway’ benefit, it also gives them access to other benefits, including help with NHS dental treatment, energy bills, through the Winter Fuel Payment prescriptions and housing costs.

Royal London is urging pensioners to ‘Take The Credit’ before 21 December 2024 and to find out if they can claim Pension Credit. Pensioners must apply for Pension Credit before December 21 in order to qualify for the Winter Fuel Payment this winter.

This latest research highlights that although 45% of those on mid-to higher incomes haven’t checked if they could access Pension Credit and almost a third of low-income pensioners also said they haven’t yet checked whether they will qualify.

The research also highlights that, of those who have been told they qualify, 11% are yet to apply for Pension Credit, with only 2% intending to do so before the deadline to get the Winter Fuel Payment.

The research also uncovered that terminology around schemes like Pension Credit can also result in a reluctance around applying, as 16% of UK pensioners would be more likely to apply if it wasn't described as a benefit and the same percentage (16%) saying they would feel embarrassed to tell their loved ones if they were to apply for Pension Credit.

Royal London’s ‘Take The Credit’ campaign aims to empower pensioners to access important financial support they may qualify for, particularly Pension Credit. One way that people can check whether they might qualify for Pension Credit is to use a free two-minute calculator powered by charity partner Turn2Us, which is now available on the Royal London website to see what financial support they may be entitled to.

Sarah Pennells, consumer finance specialist at Royal London said: “The Government’s decision around the Winter Fuel payments has brought into sharp focus the importance of applying for Pension Credit. Not only does it give pensioners on a low income extra money, but it entitles them to extra help with, for example, energy and housing costs. However, too many pensioners – approximately three quarters of a million - are still missing out on this financial support. Our research shows that more than three in ten pensioners on a low income haven’t checked if they qualify for this benefit. Some of the main reasons people miss out on Pension Credit are because they don’t think they would qualify, or they don’t check because they feel too ashamed to admit they need extra help. We need to spread the message that there is no shame in accepting help that is available.

“There is also a significant generational gap in awareness, which means family and friends aren’t prompting their loved ones to check if they qualify.

“The good news is that there are free-to-use online tools and calculators, for those who are comfortable using the internet, but you can also apply by telephone or post. Times have been hard in recent years so it’s important that we come together and encourage pensioners, whether they be family, friends or neighbours, to look into all the options of support that might be available.

“Retirement should be a time for people to spend their days doing things they enjoy once their working life is behind them. Pension Credit can provide some additional funds to enable pensioners to worry a bit less about the day-to-day bills.

“Whether you’re a pensioner, or know someone that might qualify, checking what help may be available is a simple step to take today that could have immeasurable benefits. This is why we are encouraging as many people as possible to consider if they or a loved one could ‘take the credit’, and check whether they qualify.”

Emma Kenny, Psychologist said: "It seems that many pensioners are missing out on financial support they are entitled to because they feel ashamed or reluctant to ask for help. For many, there’s a stigma around seeking assistance, often rooted in the belief that it’s a sign of failure or that others might need it more. This is particularly true for older generations who were raised to value self-reliance and may see asking for help as a loss of independence or dignity, when, in fact it means that they are taking control which is ultimately an empowering action to take.

“What’s important to understand is that schemes like Pension Credit aren’t handouts, they’re a recognition of the contributions people have made throughout their lives, these funds could make such a significant difference to someone’s quality of life.

“We need to shift the narrative around support, encouraging people to see it as something they’ve earned and deserve. No one should feel shame for seeking the help they need to live with dignity and comfort in later life.”