Pension Credit FAQs
What is Pension Credit?
A means-tested top-up for people over State Pension age. Guarantee Credit lifts weekly income to £227.10 (single) or £346.60 (couple) at the latest published rates, with higher targets for carers and severe disability. Roughly 700,000 eligible households never claim · often missing thousands a year including the extras it unlocks.
How do savings affect it?
The first £10,000 is ignored entirely. Above that, each £500 (or part) counts as £1/week of deemed income · but unlike Universal Credit there is NO upper savings cutoff. £30,000 of savings only adds £40/week of deemed income, which can still leave entitlement for low-income households.
What does it unlock?
The gateway is often worth more than the credit: free TV licence at 75+, guaranteed Winter Fuel Payment, Housing Benefit, full council tax reduction in many areas, cold weather payments, Warm Home Discount, and free NHS dental and glasses. Even a £1/week award opens the whole set · which is why claiming tiny entitlements matters.
Can I get it with a private pension?
Yes, if total income remains under the target. Private pensions count as income, but many people with small pots or partial State Pensions still qualify · especially single renters. Attendance Allowance and PIP are ignored as income AND can add a severe disability amount of £82.90/week to your target, transforming eligibility.
How do I claim?
Phone 0800 99 1234, online at GOV.UK, or by post · claims backdate 3 months. Have your NI number, income and savings details ready. Note: mixed-age couples (one partner under State Pension age) must usually claim Universal Credit instead.
For informational purposes only · Not benefits advice · Latest published rates: Guarantee Credit £227.10 single / £346.60 couple, carer addition £46.40, severe disability £82.90 (check GOV.UK) · Savings Credit for pre-April 2016 pensioners not modelled · Confirm with the Pension Service before relying on results