The announcement comes from the permanent secretary at the DWP
The changes to application methods could help speed up the processes(Image: In Pictures via Getty Images)
The Department for Work and Pensions (DWP) has discussed changes in the application process for one benefit in particular. Recently, officials from the department spoke with Members of Parliament about their efforts to encourage individuals to apply for the support to which they are entitled.
Peter Schofield, the Permanent Secretary at the DWP, informed the Work and Pensions Committee that his team is intensifying efforts to raise awareness about benefits applications. One underclaimed benefit is Pension Credit, which assists people of state pension age who have a low income.
According to DWP figures for the 2024/2025 tax year, more than 910,000 people are not currently taking advantage of this benefit.
Mr Schofield told the committee: “We have been working to encourage more people to apply for Pension Credit.” He said there has been a change in the way people tend to apply for the benefit.
The top official said: “Now only around 10% of people apply using the paper form and the paper form has been superseded for most people by telephony or by an online channel. The problem with the paper form, and I know it has been referred to a number of times, is with 200 questions and all the rest of it, but a lot of those are because you have to put in questions to relate to certain circumstances that might not otherwise apply.
“If you have a child in your claim, you must fill in a certain number of questions; if you have a disability, you have to fill in a certain number of questions. If you have a second child, that adds another set of questions.” But he said you can avoid some of these complexities if you do your application online or over the phone.
Mr Schofield said: “With the online or the telephony channel we just take you to the questions that you need to answer that are relevant to you. That makes the whole process much more streamlined and enables us to get through the claims more quickly. We are now in a good position with very low outstanding heads of work on our Pension Credit system.”
How much is Pension Credit?
The average Pension Credit claim awards the claimant around £4,300 in annual support, which may include an income top-up and access to additional government benefits. The income top-up, referred to as “Guarantee Credit,” increases your income to up to £227.10 per week for single claimants, and up to £346.60 per week if you have a partner.
Depending on your circumstances, you may be eligible for extra amounts on top of this. For instance, if you live with a severe disability, you could receive an additional £82.90 per week. Furthermore, if you care for another adult, you may qualify for an extra £46.40 per week.
This disability stipulation is important as once someone is past the age of 65, a new Personal Independence Payment (PIP) claim cannot be applied for. However, if you’re on PIP when you reach 65, you get the benefit indefinitely.
The Department for Work and Pensions (DWP) has been asked to provide an update on its efforts to reach out to individuals and encourage them to apply for this support. A DWP spokesperson said: “We want all pensioners to get the support they are rightly entitled to and our biggest ever Pension Credit take-up campaign has seen a record number of claims with nearly 60,000 extra awards this year.
“To help boost claims, we have also undertaken a new trial with Age UK and Independent Age, which targets pensioners who are most likely to be eligible for Pension Credit but not currently claiming the benefit.”