{"id":27905,"date":"2025-07-28T04:38:19","date_gmt":"2025-07-28T04:38:19","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/27905\/"},"modified":"2025-07-28T04:38:19","modified_gmt":"2025-07-28T04:38:19","slug":"dwp-told-to-overhaul-key-perk-which-1-3-million-state-pensioners-receive","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/27905\/","title":{"rendered":"DWP told to overhaul key perk which 1.3 million state pensioners receive"},"content":{"rendered":"<p>Pension Credit from the DWP is a key benefit aimed at supporting older adults on low incomes.<img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2025\/07\/1753677499_475_0_pensioners.jpg\" alt=\"DWP told to overhaul key perk which 1.3 million state pensioners receive\" loading=\"eager\"  \/>DWP told to overhaul key perk which 1.3 million state pensioners receive<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">The Labour Party government and Department for Work and Pensions ( <a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.birminghammail.co.uk\/all-about\/dwp\" target=\"\" aria-label=\"\" tabindex=\"0\" rel=\"nofollow noopener\">DWP<\/a> ) has been urged to implement significant reforms to Pension Credit. Pension Credit from the DWP is a key benefit aimed at supporting older adults on low incomes.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">But the <a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.birminghammail.co.uk\/all-about\/labour-party\" target=\"\" aria-label=\"\" tabindex=\"0\" rel=\"nofollow noopener\">Labour Party<\/a> government has been urged to shake the system up &#8211; if it hopes to effectively address pensioner poverty across the country. Pension Credit, currently claimed by around 1.3 million people, is intended to boost the incomes of pensioners whose financial resources fall below a minimum threshold.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">However, a new report from the cross-party Work and Pensions Committee highlights serious concerns about both the fairness and accessibility of the scheme. The committee warns that more robust efforts are needed to increase uptake and ensure the benefit reaches all those who are entitled to it.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \"><a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.birminghammail.co.uk\/travel\/uk-households-urged-withdraw-physical-32137564\" target=\"\" aria-label=\"\" tabindex=\"0\" rel=\"nofollow noopener\">READ MORE UK households urged to withdraw physical cash and &#8216;exchange it&#8217; now<\/a><\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">Despite offering up to \u00a34,000 annually, Pension Credit has consistently low take-up rates, with participation stagnating between 61% and 66% over the past ten years. The committee estimates that approximately 700,000 eligible households are still missing out on the support, leaving many vulnerable pensioners without the financial assistance they need.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">A taper to pension credit should also be considered to \u201cmitigate the cliff-edge effect\u201d for those who currently miss out, it added. Committee chairwoman Debbie Abrahams said: \u201cTo boost incomes, the Government needs to come up with a strategy to increase pension credit take-up. It\u2019s a scandal that so many have missed out for so many years, often through an aversion to claiming benefits altogether, or lack of support.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">\u201cThe fairness of the pensions credit eligibility criteria where if you are a penny above the threshold, you miss out on thousands of pounds, also needs to be looked at.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">\u201cUltimately, the Government should decide what it thinks is enough for a dignified <a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.independent.co.uk\/topic\/retirement\" target=\"\" aria-label=\"\" tabindex=\"0\" rel=\"nofollow noopener\">retirement<\/a>, and then work to ensure that all pensioners are on at least that level.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">A government spokesperson said: \u201cSupporting pensioners is a top priority, and thanks to our commitment to the Triple Lock, millions will see their yearly State Pension rise by \u00a31,900 this parliament. We have also run the biggest-ever campaign to boost Pension Credit take-up, with nearly 60,000 extra pensioner households being awarded the benefit, worth on average around \u00a34,300 a year.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">\u201cBut we know there is a real risk that tomorrow\u2019s pensioners will be poorer than today\u2019s, which is why we are reviving the Pension Commission, to tackle the barriers that stop t<\/p>\n","protected":false},"excerpt":{"rendered":"Pension Credit from the DWP is a key benefit aimed at supporting older adults on low incomes.DWP told&hellip;\n","protected":false},"author":2,"featured_media":27906,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[84,2215,4176,4174,4175,56,54,55],"class_list":["post-27905","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-dwp","tag-finance","tag-personal-finance","tag-personalfinance","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/27905","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=27905"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/27905\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/27906"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=27905"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=27905"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=27905"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}