How to get your Pension Credit claim accepted as over a third REJECTED – and why you should always try again
MORE than a third of Pension Credit applications were rejected last year, according to official figures seen by The Sun.
Pension Credit is a vital benefit which is designed to top up the income of the UK’s poorest pensioners.
It is currently worth up to £218.15 a week if you are single or £332.95 if you are in a couple.
There were 214,309 applications for Pension Credit in the last financial year, according to figures from the Department for Work and Pensions.
Of these applications 83,168, or 39%, were rejected and 130,366 claims were approved.
The fresh figures come from a Freedom of Information (FOI) request by The Sun and cover around 85% of all pension credit claims made in the 2023/24 financial year.
This year Pension Credit is especially vital as the Government recently changed the rules on who will receive the Winter Fuel Payment, which is worth up to £300 a year.
From this winter the payment will be limited to people who receive Pension Credit and other means-tested benefits.
As a result, the number of households making a claim for Pension Credit has increased by 152%.
The DWP has received around 74,400 applications in the eight weeks since the announcement on July 29.
In comparison, there were just 29,500 claims in the eight weeks before the announcement.
Despite the surge in the numbers applying for Pension Credit, it is estimated that hundreds of thousands of eligible households are still missing out.
Around 880,000 families who were entitled to receive the benefit did not claim it in the 2022 financial year, the DWP said.
Why are claims rejected?
There are several reasons why a claim would be rejected and all relate to whether the person claiming it meets the rules, says Sam Alwyine-Mosely, a senior press officer at Citizens Advice.
The main reason that an application may be rejected is simply because the person claiming is not eligible for Pension Credit.
This could be because their income is too high, they have not yet reached the state pension age or they do not live in the UK.
However, just because your claim has been rejected before does not mean that you will never be able to successfully apply for Pension Credit.
Sir Steve Webb, a former pensions minister and a consultant at law firm Lane Clark and Peacock, said: “Apply again in due course even if you are turned down initially.”
“You can always apply again later in retirement if something changes such as starting to claim a disability benefit, losing a spouse or partner or running down your savings.”
Pension Credit explained
Pension Credit is a benefit which gives you extra money to help with your living costs if you’re on a low income in retirement.
It can also help with housing costs such as ground rent or service charges.
You may be able to get extra help of you’re a carer, have a disability, or are responsible for a child.
It also opens up access to lots of other benefits such as the warm home discount scheme, support for mortgage interest, council tax discounts, free TV licences once you’re over 75, and help with NHS costs.
To qualify, you need to be over state pension age and live in England, Scotland or Wales.
If you have a partner, you need to include them on your claim.
Pension Credit tops up:
- your weekly income to £218.15 if you’re single
- your joint weekly income to £332.95 if you have a partner
However, even if your income is higher, you might still qualify if you have a disability or caring responsibilities.
There is also another element to Pension Credit called savings credit. To get this, you need to have saved some money towards your retirement.
You can get an extra £17.01 a week for a single person or £19.04 a week for a married couple.
If you have more than £10,000 in savings, the government uses a calculation to work out how much it adds to your income.
Every £500 over £10,000 counts as £1 income a week. For example, if you have £11,000 in savings, this counts as £2 income a week.
He adds: “It is vital that as many people who may be entitled to put in a claim. Make a claim in any case. The worst that can happen is that they decide you are not entitled.”
Another common reason that an application may not be granted is because it did not contain enough evidence.
It is important to provide as much detail as possible when you submit a benefit claim.
This can also help to reduce the time it takes for Pension Credit to be granted and avoid back and forth with the DWP.
Meanwhile, the third reason that many Pension Credit applications are not rubber-stamped is due to errors in the form.
Without the correct information the DWP cannot verify whether you are eligible for Pension Credit and your application will be rejected.
If you make a mistake when filling out the form you can just cross it out and put your initials next to it.
You do not need to complete another application form.
Sam adds: “Applicants need to ensure they fill in the form correctly and supply all the information requested about their income and identity to ensure their application is granted.”
But the application form itself can be a barrier that stops families from accessing the vital support they need.
Dennis Reed, of campaign group Silver Voices, said: “The application process for Pension Credit is ridiculously complex with over 230 questions, preferably completed online.
“It is also highly intrusive asking for minute detail on the income and circumstances of the applicant and their partner.
“These two disadvantages together prevent hundreds of thousands of older people applying for the help they obviously need.”
But there are steps you can take to make sure your claim is approved and you get the cash you’re entitled to – including getting free help to complete your application.
How to make sure that your claim is approved
Always check that you meet the eligibility criteria before you apply for Pension Credit.
To claim online visit gov.uk.
You can also apply by phone by calling 0800 991234 on weekdays between 8am and 6pm.
A family member can make the call for you but you must be present when the application is made.
It can be helpful to have your National Insurance number, information about your income, savings, investments and pension to hand.
If you need help or advice during the application process then contact your local Citizens Advice or get in touch with the charity Age UK.
If you need help completing your application then you can call the free Age UK advice line on 0800 678 1602.
The lines are open from 8am to 7pm, 365 days a year.
How to appeal the decision
If you claim is rejected and you disagree with the decision then you can ask the DWP for a “written statement of reasons”.
This statement explains why the decision was made.
If you still believe the decision is wrong then you can ask for the DWP to look at your application again.
This is called a “mandatory reconsideration” and is free to ask for.
What will I get when I claim Pension Credit?
SOME people will receive thousands of pounds once they claim Pension Credit, while others will be given just pennies.
But it is still worth making a claim either way as it opens the door to more financial help.
Once you claim Pension Credit you may receive:
- Housing Benefit if you rent – worth thousands a year.
- Mortgage Interest support – on up to £100,000 of your mortgage or loan.
- Council tax discount – worth thousands each year.
- Free TV licence if you are aged over 75 – worth £169.50 a year.
- NHS dental treatment, glasses and transport costs for hospital appointments help.
- Royal Mail redirection service discount – worth up to £48.
- Warm Home Discount if you get Guaranteed Pension Credit – worth £150.
- Cold Weather Payment – worth £25 for every seven day period of cold weather between November 1 and March 31.
- Winter Fuel Allowance – worth up to £300 a year.
You can ask the DWP to look at your application again if:
- You think the office that dealt with your claim made an error or missed important evidence
- You disagree with the reason for the decision
- You want the decision to be looked at again
Another option is to go through the appeal process.
During this process you will need to provide evidence to a tribunal and appear at a hearing.
You only have a month to dispute a decision, so you need to seek advice quickly.
But you can ask for it after one month if you have a good reason, for example if you have been in hospital or had a bereavement.
Visit gov.uk/mandatory-reconsideration for more information and to start the process.
A DWP spokesperson said: “We are committed to supporting pensioners and our drive to boost uptake of Pension Credit has already seen a 152% increase in claims.
“To help make Pension Credit applications as accurate as possible, we continue to urge people to check their eligibility via gov.uk for a benefit that could be worth on average £3,900 per year.”
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