A MAJOR change to this year’s Winter Fuel Payment means that to get the allowance that’s worth up to £300, you must also receive Pension Credit.

If you don’t currently get Pension Credit, but think you could be eligible, it’s vital to check now and apply, otherwise you could miss out.

In our new financial column, which will provide money and pensions tips, Paul Fox, regional manager for the South-West at the Money and Pensions Service, shares guidance about claiming Pension Credit.

Paul describes what Pension Credit is, how you can apply, and what benefits you can receive.

What is the Winter Fuel Payment?

The Winter Fuel Payment is an annual tax-free lump sum worth up to £300 to help people over State Pension age with heating costs.

Until this year everyone above State Pension age was entitled to the payment regardless of their circumstances, but now you need to claim Pension Credit or another qualifying benefit to get the 2024/25 Winter Fuel payment.

What is Pension Credit?

Pension Credit is a benefit that tops up weekly income for those over State Pension age (66), who are on lower incomes.

It’s worth noting that even if your income is higher or you have savings, you might still be eligible for Pension Credit if you have a disability, you care for someone, or you have housing costs.

So even if you think you might not be eligible, it’s worth checking to see if you can apply.

Who can claim Pension Credit?

Pension Credit is for those who have reached State Pension Age, currently age 66.

You can claim Pension Credit regardless of whether you are still working or have retired. You can also claim if you have other income, savings, or own your own home.

Currently, over 880,000 pensioners who are eligible haven’t claimed their Pension Credit.

It’s encouraging to see that as of February this year, over 110,000 people in the South-West have applied for Pension Credit, boosting their retirement income.

Why should I apply for Pension Credit?

Pension Credit is just another form of benefit, entitling you to more money in your retirement.

When you do apply, your income is calculated and Pension Credit will top up your weekly income to £218.15 if you’re single, or joint weekly income to £332.95 if you have a partner.

It’s worth seeing if you can apply, as numbers show that applicants in the South-West received a mean average of an extra £67.59 per week.

Pension Credit doesn’t just help with day-to-day living costs, it can also entitle you to other grants, benefits, and discounts. For example, households claiming Pension Credit can get Housing Benefit and a free TV license, if over the age of 75.

How can I apply for Pension Credit?

You can apply for Pension Credit up to four months before your State Pension age, or for when you want to start receiving it.

The deadline for applying for Pension Credit in order to receive the Winter Fuel Payment is 21st December 2024.

The quickest way is to call the Pension Credit claim line on 0800 099 1234 or at www.gov.uk/pension-credit/eligibility.

You can find more about planning and budgeting for your retirement and other money and pensions resources, by visiting our free and impartial website, MoneyHelper – www.moneyhelper.org.uk