Pension Credit claims 'reach record numbers' after Winter Fuel Payment axe, DWP confirms

Pensioner speaks to GB News about energy bill crisis

GB NEWS
Patrick O'Donnell

By Patrick O'Donnell


Published: 27/02/2025

- 10:17

Updated: 27/02/2025

- 10:42

Pension Credit is a benefit payment administered by the DWP for older Britons on low income

A record number of pensioners have applied for Pension Credit following a campaign from the Department for Work and Pensions (DWP), with 300,000 applications received this year.

According to the latest Government figures, the DWP has processed a record 117,800 successful claims, the highest since comparisons began in 2020.


Officials have reduced the backlog of applications from a peak of 85,500 to just 33,700 by February 23, 2025. This brings the waiting list back to normal levels following the unprecedented surge in applications.

The campaign forms part of the Government's Plan for Change, demonstrating its commitment to raise living standards for pensioners.

Many older households have put forward a claim for the benefit, which is reserved for low-income pensioners, following Chancellor Rachel Reeves's decision to means-test Winter Fuel Payments.

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Pensioner looking at letter and DWP sign

The DWP is reporting a "record number" of Pension Credit claims being processed

GETTY

The figures represent a 64 per cent increase in successful applications compared to the same period last year, with 45,800 more awards made since the Chancellor's announcement.

In response to the unprecedented demand, the DWP confirmed it deployed 500 additional support staff to process applications.

Thanks to this larger workforce, the department nearly doubling the number of cleared claims between July 2024 and February 2025.

Furthermore the online claim form has been updated by the Work and Pensions Secretary after listening to pensioners' feedback.

Older man and Winter Fuel payment letterPensioners are distressed about recent changes to the Winter Fuel Payment allowance GETTY

It now takes just 16 minutes on average to apply, with 90 per cent of new customers using the simple online form or applying by telephone.

Liz Kendall, the Secretary of State for Work and Pensions, said: "I'm delighted we've been able to reach so many pensioners who need to be on Pension Credit, which can be a lifeline to so many on low incomes.

"The record high number of claims awarded follows months of work to drive awareness of Pension Credit and then to process the huge spike in applications we received, and now thousands more pensioners are accessing the range of support on offer.

"We won't stop there. We are absolutely committed to ensuring every pensioner is supported in their retirement whether through our ongoing Pension Credit campaign, extending the Household Support Fund and our commitment to the triple lock on the state pension."

The DWP is exploring further options to reach the most isolated and poorest eligible pensioners, including writing directly to all pensioners making new Housing Benefit claims who appear entitled to Pension Credit.

The department is also launching new research on the triggers and barriers that affect Pension Credit applications.

Officials will interview pensioners to learn from their experiences and gather valuable insights.

Cross-departmental work with HMRC will access databases containing household income details.

This will enable the DWP to identify pensioner households most likely eligible for Pension Credit and target them directly with information.

Pension Credit provides a lifeline for pensioners on low incomes, offering access to additional support including housing costs, council tax and the Winter Fuel Payment with eligible pensioners receiving up to £4,300 in support.

LATEST DEVELOPMENTS:

Liz Kendall

Liz Kendall has promised to support pensions despite the Government's ongoing benefits crackdown

PA

Claims for Pension Credit can be backdated by up to three months, ensuring pensioners don't miss out on entitled support.

Sarah Pennells, consumer finance specialist at Royal London, said: "There was a lot of focus on December's deadline to claim Pension Credit in order to qualify for the Winter Fuel Payment for 2024, but people can apply for Pension Credit any time, and it could be worth over £4,000 a year."

The DWP urges anyone who knows low-income pensioners to help them check eligibility with the Government forecast to spend £174.8billion on benefits for pensioners in Great Britain in 2025-26.

When someone contacts the State Pension claim line, DWP staff now identify those potentially eligible for Pension Credit.