Thanks to state pensions being somewhat of a gateway benefit, older people can benefit to the tune of over £1k in the eighth month of the year.
Millions of state pensioners set for bumper payments of £1,115 in August
Millions of state pensioners are set to receive bumper payments of £1,115 in August. Thanks to Department for Work and Pensions (DWP) state pensions being somewhat of a gateway benefit, older people can benefit to the tune of over £1k in the eighth month of the year.
The full basic State Pension is £176.45 per week – £705 a month. On top of that, state pensioners can claim a free TV Licence, worth just under £15 a month.
As well as this, Pension Credit is designed to top up weekly income to a guaranteed minimum level for those over State Pension age with low incomes.
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The amount varies based on individual circumstances, but the guaranteed minimum weekly amounts are £227.10 for single individuals and £346.60 for couples. The average Pension Credit payment is around £75 per week.
And Pension Credit also opens the door for Housing Benefit. Housing benefit amounts vary greatly depending on individual circumstances like location, household size, and type of accommodation.
It’s not a fixed amount per month. Instead, the Local Housing Allowance (LHA) rates, which determine how much housing benefit a person can receive, are set by the government and depend on the specific area you live in and the size of your property.
Pensioners can also get free prescriptions and eyetests worth £80 a month – and broadband and mobile discounts worth £20 thanks to social tariffs.
And there’s council tax discounts, too. Council tax reduction for pensioners means they could receive 100 per cent discounts.
The average Band D council tax set by local authorities in England for 2025-26 will be £2,280, which is an increase of £109 or 5.0% on the 2024-25 figure of £2,171. This includes all precepts including adult social care and parish precepts.
Because council tax is paid over 10 months, it means £220 savings could be coming pensioners way.
Put together, it means £1115 savings.