DWP update for thousands on State Pension who could miss out on £300 Winter Fuel Payment
THE Department for Work and Pensions (DWP) has issued an update to state pensioners who could miss out on the Winter Fuel Payment.
The Government department said it will get in touch with those claiming Housing Benefit but not Pension Credit.
You can claim the two benefits at the same time, with Pension Credit unlocking the up to £300 Winter Fuel Payment, but not everyone who is eligible to is.
In response to Labour MP Paula Barker, Sir Stephen Timms, a minister at the DWP, said it was working with councils to boost the uptake of Pension Credit.
Sir Stephen also said the DWP will be directly contacting pensioners who are receiving Housing Benefit that may be eligible for Pension Credit in November to encourage them to claim.
He continued: “In the longer term we will bring together the administration of Pension Credit and Housing Benefit as soon as operationally possible, so that pensioner households receiving Housing Benefit also receive any Pension Credit to which they are entitled.”
We have asked the DWP how it will be contacting those on Housing Benefit but not Pension Credit and will update this story when we have heard back.
It comes after the Government announced a major change to the eligibility criteria for the Winter Fuel Payment.
The up to £300 payment used to be issued to anyone of state pension age, currently 66, or older.
But the Government has now made it means-tested meaning only those on certain benefits receive it.
You now only receive it if you are on one of the following benefits:
- Pension Credit
- Universal Credit
- income-related Employment and Support Allowance (ESA)
- income-based Jobseeker’s Allowance (JSA)
- Income Support
- Child Tax Credit
- Working Tax Credit
The Social Fund Winter Fuel Payments Regulation 2024 reduces the number of people receiving a Winter Fuel Payment in England and Wales from 10.8million to 1.5million.
The Government estimates the move will save it £1.3billion this financial year and £1.5billion per financial year after this year.
However, hundreds of thousands will miss out on the Winter Fuel Payment because they are not claiming Pension Credit despite being eligible.
The Government is in a drive to get as many people on to the benefit which not only unlocks the £300 payment but is worth on average £3,900 a 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 calling the Pension Service helpline on 0800 99 1234 from 8am to 5pm Monday to Friday or by using free online calculators.
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.
Pension Credit is known as a “gateway” benefit which means it opens up a host of perks, like the winter fuel payment and a free TV licence if you are 75 or older.
It also unlocks discounts on your council tax and the Warm Home Discount, if you are on the Guarantee Credit part of the benefit.
What is the Winter Fuel Payment?
Consumer reporter Sam Walker explains all you need to know about the payment.
The Winter Fuel Payment is an annual tax-free benefit designed to help cover the cost of heating through the colder months.
Most who are eligible receive the payment automatically.
Those who qualify are usually told via a letter sent in October or November each year.
If you do meet the criteria but don’t automatically get the Winter Fuel Payment, you will have to apply on the government’s website.
You’ll qualify for a Winter Fuel Payment this winter if:
- you were born on or before September 23, 1958
- you lived in the UK for at least one day during the week of September 16 to 22, 2024, known as the “qualifying week”
- you receive Pension Credit, Universal Credit, ESA, JSA, Income Support, Child Tax Credit or Working Tax Credit
If you did not live in the UK during the qualifying week, you might still get the payment if both the following apply:
- you live in Switzerland or a EEA country
- you have a “genuine and sufficient” link with the UK social security system, such as having lived or worked in the UK and having a family in the UK
But there are exclusions – you can’t get the payment if you live in Cyprus, France, Gibraltar, Greece, Malta, Portugal or Spain.
This is because the average winter temperature is higher than the warmest region of the UK.
You will also not qualify if you:
- are in hospital getting free treatment for more than a year
- need permission to enter the UK and your granted leave states that you can not claim public funds
- were in prison for the whole “qualifying week”
- lived in a care home for the whole time between 26 June to 24 September 2023, and got Pension Credit, Income Support, income-based Jobseeker’s Allowance or income-related Employment and Support Allowance
Payments are usually made between November and December, with some made up until the end of January the following year.
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