Who can benefit from Pension Credit UK? More than a million people do not take advantage of this benefit

More than a million people do not receive a government benefit known as the pension credit.

But what exactly is it and who can claim this money?

The good news is that it would be like keeping a free TV license if you’re over 75.

Free TV licenses for over-75s will be phased out on August 1 with the BBC’s new policy coming into force.

The change was due to start from June 1 but was delayed for two months due to the coronavirus.

This means that three million households will be asked to start paying the license fee of £157.50.

Applying for a pension credit is one way around the sudden change – and could mean further cost-of-living cuts as well as getting a free TV license.



Could you get a pension credit, which entitles you to a free TV license and other discounts? It’s time to find out

Martin Lewis, the founder of Money Saving Expert, says people need to act now, before the August 1 deadline.

It says anyone receiving a pension credit will be exempt from license fees if they are aged 75 or over.

Personal finance guru Martin said: “There are 1.2 million people over the age of 65 who are eligible for the pension credit who don’t get it.

“The eligibility criteria are tough. But if you have low income as a retiree, you want to check it out.

“Just call the helpline to check. And if it’s your mom and dad or your grandparents or your neighbor, talk to them if they have any weak points. income. It could even be your kids. Talk to them if they’re on a low income.”

Speaking on The Martin Lewis Money Show Live, he added that those eligible for pension credit may also qualify for other reductions.

He said: ‘Not just because of the TV license – it’s relatively trivial. Pension credit is a cash payment and more importantly it’s a gateway to other benefits.’

These include reduced municipal taxes, cold weather payments and savings on the cost of eyeglasses and contact lenses.

“Get the word out before August 1 that it’s time to tell people about pension credit,” he said.


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What is Pension Credit?

The government says Pension Credit is an income-related benefit available to those living in England, Scotland or Wales who have reached statutory retirement age.

It is made up of two parts: the Crédit de Garantie and the Crédit d’Epargne.

The collateral credit element tops up your weekly income if it is less than £173.75 (for singles) or £265.20 (for couples). The supplement increases these amounts. You may still qualify if you have savings, a pension, or your own home.

If you have Guarantee Credit, you will also be entitled to other benefits such as housing allowance, council tax reduction, cold weather payments and help with the costs of NHS services .


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Savings Credit is an additional payment for people who have saved money for retirement, such as a pension. You can only start benefiting from this component if you (and your partner, if you have one) reached statutory retirement age before 6 April 2016. Singles can get up to £13.97, while couples can get up to £15.62.

You could be paid more in pension credit if you are a carer, severely disabled, responsible for a child or young person, or have specific types of housing costs.

When you apply for pension credit, your earnings are calculated. This includes:

  • State pension – when determining if you can get a pension credit, the income you would get from your state pension is included whether you claim it or not.
  • other pensions – if you are entitled to a private or occupational pension, the amount you expect to receive is calculated as income from the date you were able to obtain it, if you had claimed it.
  • most social security benefits, e.g. care allowance
  • savings, investments over £10,000 – for these £1 is counted for every £500 or part of £500
  • earnings

The government has a pension credit calculator here to calculate how much you could get.

To find out about pension credit, try calling the pension service helpline on 0800 731 0469. There is also an SMS service on 0800 169 0133.

This hotline is available Monday through Friday, 9:30 a.m. to 6 p.m. Calls are free.

In order to start applying for pension credit, you will need your national insurance number and information about your income, savings and investments.


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There are several ways to file a complaint. You can apply for the pension credit online here

Alternatively, you can claim by phone. Call the pension credit application line on 0800 99 1234. There is also a textphone service on 0800 169 0133.

The numbers are open Monday through Friday from 9:30 a.m. to 6 p.m. There are no call charges as 0800 numbers are free.

What the BBC said about TV licensing

The BBC says free, government-funded TV licenses for everyone over 75 will end in August 2020.

From August 1, 2020, there will be a new regime. Under the new scheme, anyone aged 75 or over on pension credit will be able to apply for a free TV licence, paid for by the BBC.

The BBC says you must receive a pension credit in your name or your partner’s name if you are in a relationship. If you do not receive the Pension Credit in your name – or in the name of your partner if you are a couple living at the same address – you will have to pay your next TV licence.

If you turn 75 on or after August 1, 2020 and do not receive a pension credit, the BBC says it will not be able to issue you a free license under the new policy.