More than £88.2 million could have been missed out on last winter by people in later life in the UK who are eligible for the Warm Home Discount scheme, according to analysis by Independent Age.
This includes an estimated 1145 older people missing out on £160000 of the life-changing payment in Dundee West.
Morgan Vine, Head of Policy and Influencing at Independent Age, said:
“It is brilliant to have the support of Chris Law MP for our campaign. We need the government to urgently create an action plan that addresses the low take up Pension Credit. This must include awareness campaigns, a full communications strategy, and new, high quality, up-to-date research into who is not claiming Pension Credit and why.
“By working together to identify and overcome any barriers, we are confident we can increase uptake and ultimately, improve the lives of the up to 1 million people in later life who are facing unnecessary financial struggles.”
Chris Law MP is backing calls from Independent Age for the government to commit to creating an action plan to increase uptake of Pension Credit so that older people in the local area can receive this life-changing entitlement, and the benefits to which it is a gateway – such as the Warm Home Discount scheme.
Chris Law, the MP for Dundee West, said:
“These new statistics from Independent Age show that – during this bitterly cold pandemic winter – it is more important than ever that the government works to get Pension Credit to the people that are missing out.
“This vital entitlement can make a huge difference helping people afford essential supplies and services, like heating their homes or buying healthy food, as we all continue to stay at home to help beat COVID-19.
“I am joining Independent Age’s campaign to ask the government to do more to ensure those entitled to Pension Credit receive it by creating a comprehensive action plan on uptake.
“The issue of low Pension Credit uptake is longstanding and has affected multiple governments, but with the cases of COVID-19 still high it is now more urgent than ever for action to be taken on this issue.”
The £140 Warm Home Discount is just one of the many benefits that Pension Credit can open entitlement to. It also acts as a gateway to a free TV licence for over 75s, free NHS prescriptions, council tax support, free eye tests and much more.
Combined, this could be worth around £7,000 per year for an individual.
Independent Age has found that more than 630,000 older people potentially missed out on a £140 discount on their energy bills in 2020, because they are eligible for, but not receiving the Guaranteed Credit element of Pension Credit.
These figures are an indication of the wider problem with Pension Credit uptake, which has not risen above 64% for around a decade – the worst uptake of any income-related benefit.
Across Pension Credit as a whole, the charity estimates up to 1 million people are missing out on support they are entitled to.
Morgan Vine, Head of Policy and Influencing at Independent Age, continued:
“These Warm Home Discount figures are another example of people missing out on life-changing entitlements because they are simply not aware of how Pension Credit can help them.
“During these colder months, a warm home is essential to maintain good health, especially as most of us are having to spend more time at home due to the pandemic.
“Sadly, we hear all too often from people in later life telling us they’ve had to make tough choices between buying food and heating their homes. If more people were receiving Pension Credit, it could help them afford the basics in life again.”
Previous research commissioned by Independent Age found that maximising Pension Credit uptake could lift roughly 3 in 10 pensioners out of poverty and reduce the number living in severe poverty by half.
For more information, see independentage.org.uk
Chris Law 