How to claim pension credit: what is it, eligibility, how much is it in UK - can I get winter fuel payment?

• Chancellor Rachel Reeves has announced that Winter Fuel Payments will now be restricted to those on means-tested benefits
• The payments of up to £300 will only be available to pensioners who are receiving Pension Credit
• Martin Lewis has criticised the decision, stating it will leave many pensioners struggling to afford heating during winter
• Energy prices are expected to rise by 10% in October, with bills remaining nearly double pre-crisis levels
• Pension Credit not only provides financial support but also unlocks additional benefits
• Pensioners are urged to check their eligibility for Pension Credit to receive financial support and additional benefits

It might not feel like it right now, but although we’re currently experiencing some of the UK’s hottest days of the year, a cold, bleak winter is just months away.

That once again means that with the ongoing cost-of-living crisis and high energy prices squeezing finances, many pensioners may not be able to keep that all important heating on, crucial for their physical wellbeing.

Add to that the recently announced changes to Winter Fuel Payments, and it could be a very tough winter indeed, particularly for more vulnerable, elderly people.

Earlier this week (29 July), Chancellor Rachel Reeves announced her decision to end the previously universal Winter Fuel Payment for pensioners - unless they are on benefits.

The payments of up to £300 have been made available to everyone above the state pension age in England and Wales. But from this winter, pensioners will only receive a payment if they are receiving pension credit.

Martin Lewis, founder of MoneySavingExpert, immediately warned the targeting of the payments was “too narrow with the winter we have coming.”

He added: “The energy price cap is likely to rise 10% this October and stay high across the winter, leaving most energy bills nearly double those pre-crisis, at levels unaffordable for millions.

“Many pensioners eke out the £100 to £300 winter fuel payments to allow them to keep some heating on through the cold months.

“While there’s an argument for ending its universality due to tight national finances, it’s being squeezed to too narrow a group – just those on benefits and pension credit. Yet again, those just above the thresholds will be hardest hit.”

The Winter Fuel Payment will now be restricted to those on means-tested benefits, primarily Pension Credit for those over 66. But over 800,000 pensioners who are eligible for Pension Credit do not claim it, meaning they are missing out on a potential £1,000 boost.

If you're 66 or older with an income under £235 per week, don't delay - act now. Here’s everything you need to know.

How to check your eligibility

You can verify your eligibility for Pension Credit online or by phone. Visit www.gov.uk/pension-credit or call the helpline at 0800 99 1234 (Northern Ireland: 0808 100 6165).

An online calculator can help pensioners check if they are likely to be eligible and get an estimate of what they may receive.

Here's a simple rule of thumb to determine if you should check:

• Single: Total income under approximately £235 per week
• Couple: Both of state pension age with a combined income under approximately £350 per week

If your income is under £218 per week (or £333 for a couple), you are very likely to qualify for Pension Credit, as it is designed to top up the full state pension.

If your income falls between £218 and £235 per week (or £333 to £350 for a couple), there’s a chance you might qualify, especially if you receive certain disability benefits or have caregiving responsibilities.

In some cases, you could be eligible even with a higher income, but this is less likely.

Other Pension Credit benefits

Pension Credit is often described as a gateway benefit as it can lead to further support – and some people could see their income boosted by thousands of pounds by making a successful claim.

Even a small Pension Credit award can open doors to other benefits, including help with housing costs, council tax and heating bills. Here are some of the further benefits you could receive following a successful Pension Credit claim:

• Winter Fuel Payment: As discussed above, eligible pensioners will receive this benefit this winter
• Free TV licence for over-75s: Worth £169.50 per year
• Housing Benefit: Worth thousands for some renters - the amount depends on your living situation
• Council Tax Reduction: Potentially worth thousands per year
• Energy Bill Reductions: Includes £25 per week Cold Weather Payments and the £150 Warm Home Discount
• Additional Benefits: Including free dental care, vouchers for glasses and more

Previous estimates covering the financial year 2019-20, indicated that up to 850,000 families who were entitled to receive pension credit did not claim the benefit and up to £1.7 billion of available pension credit went unclaimed, averaging about £1,900 per year for each family entitled to receive pension credit who did not claim.

Lewis added: “The Government has a huge moral imperative to ensure the 800,000 people eligible for pension credit who don’t get it, are informed, educated and helped through the process.

“It is planning an awareness-raising campaign, but it needs to ensure that it reaches every corner – and, if possible, proactively and personally contact people.”

To ensure you receive the support you're entitled to, check your eligibility for Pension Credit. Don't miss out on potential benefits that could significantly ease your financial burden. Visit www.gov.uk/pension-credit today or call the helpline at 0800 99 1234 to find out if you qualify.