DWP Pension Credit replace as pensioners dealt ‘disastrous’ blow | Personal Finance | Finance | EUROtoday

Pensioners throughout the UK have been dealt a serious blow this winter following the federal government’s “disastrous” resolution to ration this yr’s Winter Fuel Payment.

A Labour rule change to eligibility standards means an estimated 780,000 pensioners in England and Wales received’t get the fee this yr, which is value as much as £300.

Households will now solely qualify for it if they’re receiving Pension Credit, or different means-tested advantages.

Claims for Pension Credit have soared by 145 p.c following the rule change, however simply 42,500 functions have been accepted – lower than 5 p.c of the 880,000 folks Labour stated had been lacking out on the profit in July.

Some 150,000 functions for the profit have been submitted within the 16 weeks since Chancellor Rachel Reeves introduced solely these receiving Pension Credit could be eligible for Winter Fuel Payments.

But the variety of approvals has elevated by simply 17 p.c over the identical interval and refusals have virtually doubled from 27,100 to 53,100.

Age UK has stated it’s a “massive disappointment” that so many pensioners are having claims turned down and slammed the federal government for “struggling to keep up” with functions.

Caroline Abrahams, charity director at Age UK, stated: “The system was not designed to deal with so many applications all at once – a situation which is a direct result of the government’s disastrous decision to severely ration the winter fuel payment with little notice.

“There’s still time for the Treasury to soften the blow on pensioners living on low and modest incomes before the worst consequences of its policy change play out this winter, but only just.”

Pensioners are being urged to use for Pension Credit earlier than December 21 to safe their £300 Winter Fuel Payment for this yr.

The Department for Work and Pensions (DWP) issued an replace this week to remind pensioners on a low revenue to use forward of the deadline to safe the important winter assist, and stated it’s deployed 500 further employees to assist deal with claims.

All eligible claimants will rise up to £300 with the Winter Fuel Payment, in addition to any backdated Pension Credit arrears.

Pension Credit may very well be value on common as much as £3,900 a yr and acts as a gateway to different necessary advantages together with assist with housing prices, council tax reductions and NHS remedy prices.

Pensions minister Emma Reynolds stated: “We’re pleased to see more pensioners are now receiving pension credit and our staff are processing claims as quickly as possible. With December 21 approaching, my message is clear: check if you are eligible for pension credit and if you are then apply, as it unlocks a range of benefits including the winter fuel payment.”

You can apply for Pension Credit on-line through GOV.UK or by calling the Pension Credit declare line on 0800 99 1234.