New DWP Pensions Minister urges 1950s-born WASPI women to claim £4,200 annual income boost
New Pensions Minister Torsten Bell is urging all low-income pensioners and 1950s-born women - so-called WASPI women (Women Against State Pension Inequality Campaign) - to check if they are eligible for an annual income boost worth £4,200, on average. His response came after Labour MP Euan Stainbank asked the Department for Work and Pensions (DWP) what assessment it has made of the “effectiveness of Pension Credit at tackling financial hardship among older people” including “women born in the 1950s that were impacted by changes to the State Pension age”.
In a written response on Friday, Mr Bell explained to the Falkirk MP how Pension Credit was introduced specifically to help address pensioner poverty, providing a “vital safety net for low-income pensioners by guaranteeing a minimum level of income”. The means-tested benefit currently provides a weekly income boost to single pensioners with a total weekly income below £218.15 and couples with a combined income of less than £332.95.
READ MORE: MPs unite on calls for vote on State Pension age compensation for millions of WASPI women
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From April 7, the Standard Minimum Guarantee (SMG) will rise by 4.1 per cent as part of the annual uprating exercise. This will see the SMG for a single pensioner rise to £227.10 per week and for a pensioner couple it will be £346.60.
The latest DWP figures indicate that 760,000 older people are entitled to Pension Credit, but not claiming it. An award of just £1 per week is enough to open the door to a whole range of other financial support, including help with rent, Council Tax, Winter Fuel Payments, Pension Age Winter Heating Payment and a free TV licence for those over 75.
The DWP Minister said: “The Government is absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement.
“Receipt of Pension Credit also opens the door to a whole range of other financial support, including help with rent, Council Tax, fuel bills and a free TV licence for those over 75. That’s why the Government is taking significant steps to raise awareness and maximise the take-up of Pension Credit.
“Our campaign to promote Pension Credit has been running since September and is aimed at all eligible pensioners, including of course, women born in the 1950s.”
In a parliamentary debate last week, Mr Bell listened to more than 50 MPs argue for the UK Government to reconsider its recent decision not to introduce a compensation scheme for more than 3.5 million women impacted by changes to their State Pension age, under successive governments.
MPs from all parties made repeated calls for a vote in Parliament on whether compensation should be paid. However, Mr Bell responded: “As custodians of the public purse, we must ensure that decisions are rooted in evidence and fair to everyone.
“The facts remain that the vast majority of women knew the state pension age was increasing, and even for those who didn’t, we know that sending letters earlier would not have made a difference in most cases.”
Over the coming weeks, around 11 million pensioners will receive a leaflet promoting Pension Credit along with their State Pension uprating letter.
Pension Credit in a nutshell
Pension Credit currently supports 1.4 million people, including 125,000 living in Scotland. It tops up weekly income to a guaranteed minimum level of £218.15 a week for single pensioners or £332.95 for couples. It is worth on average £3,900 each year.
If you are a single person on the New State Pension with a total weekly income below £218.15, or part of a couple with a combined weekly income of less than £332.95, you may be eligible for Pension Credit.
Similarly, if you are over 65 and reached State Pension age before April 6, 2016 and on the Basic State Pension, you may still qualify for Pension Credit if your weekly income is less than £260.68 if you are single or £380.55 if you are part of a couple.
Mixed aged older couples and Pension Credit
In May 2019, the law changed so a ‘mixed age couple’ - a couple where one partner is of State Pension age and the other is under it - are considered to be a ‘working age’ couple when checking entitlement to means-tested benefits.
This means they cannot claim Pension Credit or pension age Housing Benefit until they are both State Pension age. Before this DWP change, a mixed age couple could be eligible to claim the more generous State Pension age benefits when just one of them reached State Pension age.
Other help if you get Pension Credit
If you qualify for Pension Credit you can also get other help, such as:
Housing Benefit if you rent the property you live in
Support for Mortgage Interest if you own the property you live in
Council Tax discount
Free TV licence if you are aged 75 or over
Help with NHS dental treatment, glasses and transport costs for hospital appointments
Help with your heating costs through the Warm Home Discount Scheme and Winter Fuel Payment
A discount on the Royal Mail redirection service if you are moving house
Quickest way to check eligibility for Pension Credit
Older people, or friends and family, can quickly check their eligibility and get an estimate of what they may receive by using the online Pension Credit calculator on GOV.UK here.
Alternatively, pensioners can contact the Pension Credit helpline directly to make a claim on 0800 99 1234 - lines are open 8am to 6pm, Monday to Friday.
Expert help and advice is also available from:
More details about claiming Pension Credit can be fond on GOV.UK here.
