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Home » DWP will give state pensioners £5,740 tax-free and there is no means-testing
Money

DWP will give state pensioners £5,740 tax-free and there is no means-testing

By staff4 August 2025No Comments3 Mins Read

Attendance Allowance is a benefit from the Department for Work and Pensions (DWP) for people of State Pension age and over. It’s not means-tested so it doesn’t matter what other money you get

17:12, 04 Aug 2025Updated 17:12, 04 Aug 2025

Picture of two elderly people and a woman at a kitchen table
DWP giving state pensioners £5,740 tax-free which isn’t means-tested [stock image]

State pensioners are being offered £5,740 which isn’t means-tested. The Attendance Allowance isn’t affected by any other income you receive or how much you have in savings – there’s no limit.

This won’t impact your state pension and you can claim it even if you’re still working and earning money. A lengthy claim form needs to be filled out when applying for Attendance Allowance.

It might seem intimidating initially, but assistance is available from your local Citizens Advice, so don’t let the form deter you from applying. In other news, Nationwide will pay £760 into accounts of customers who do one thing.

READ MORE: UK postcodes with highest energy bills named as warning sent to millionsREAD MORE: Clear sign your smart meter is lying to you, according to expert

A woman checks her bills
To claim Attendance Allowance, you need to have reached State Pension age(Image: Getty)

Attendance Allowance is a tax-free benefit provided by the Department for Work and Pensions (DWP). You’ll be exempt from the Benefit Cap, meaning no money will be deducted from any other benefits, reports Birmingham Live.

To claim Attendance Allowance, you need to have reached State Pension age. Additionally, you need to have a disability or illness that makes self-care difficult. Many people are eligible for Attendance Allowance but lack sufficient knowledge about it to claim.

You could receive between £73.90 and £110.40 per week – the amount depends on the level of help you require. The money can be spent as you wish – it could assist you in maintaining independence in your own home for longer.

Claiming Attendance Allowance may also entitle you to additional support – for instance, you might qualify for a council tax reduction (this depends on your personal circumstances).

READ MORE: Martin Lewis warns ‘nothing to do with me’ after complaints from money savers

Betty, 79, who suffers from arthritis in her knee and hip and also has a heart condition, shared: “I use some of my Attendance Allowance to visit my friend, Nancy, who lives a few miles away. I used to get 2 buses and it took an hour and exhausted me but my Attendance Allowance means I can get a taxi there in 10 minutes.”

She explained: “I also get a taxi to go to appointments, like the doctor or a consultant, or even the hairdresser. I still have enough money to pay for a cleaner once a week. It’s made a huge difference to my life.”

David, 82, who is living with dementia, said: “I struggle to make ends meet on my pension so I use my Attendance Allowance to help with bills. It means I don’t have to worry about having the heating on if I’m cold.”

“The money also means I can see more of my grandchildren. They mean the world to me and it would be difficult to see them without the extra money as I can’t get public transport on my own,” he added.

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