You may not realise that reaching a certain age will disqualify you from a number of benefits.
People reaching a certain age this year will no longer be eligible for a number of benefits from the Department for Work and Pensions (DWP). Many may not realise that getting to State Pension or Pension Credit age could see a series of payments stopped.
According to the latest DWP figures, the State Pension is now providing crucial financial support to 13 million people across Great Britain. This regular payment is currently valued at up to £230.25 per week for those on the New State Pension (claimed after April 6, 2016), or £176.45 each week for the Basic State Pension (Category A or B).
The amount someone receives from this contributory benefit depends on the number of National Insurance years they have accumulated before reaching the current retirement age of 66 – a minimum of 10 years is required to qualify for any State Pension payment. For older individuals nearing the official retirement age this year, it’s vital to understand which benefits will continue, new ones you may now be eligible for and those you can no longer submit a new claim for.
Your State Pension age is the same as your Pension Credit qualifying age unless you are a man born before December 6, 1953. You can verify your State Pension age and whether you can begin claiming Pension Credit on the ‘Check your State Pension age’ page of the GOV.UK website here.
Benefits affected by your pension age
Turn2us has compiled an essential guide to the benefits you cannot claim from the DWP when you reach State Pension age or Pension Credit age.
Pension Credit age
As reported by the Daily Record, on reaching State Pension age, individuals will find they can no longer lay claim to certain benefits such as Income-based Jobseeker’s Allowance, Income-related Employment and Support Allowance (ESA), Income Support, and Universal Credit. The charity Turn2us explains: “If you live with a partner and one of you is pension age and the other is not yet pension age, benefit entitlement can be complicated.”
State Pension age
Regarding State Pension age, this milestone means that you are ineligible to claim Jobseeker’s Allowance (JSA) and Contributory/New Style ESA. Additionally, initiating claims for Disability Living Allowance (DLA), Personal Independence Payment (PIP), or Adult Disability Payment (ADP)—the latter has replaced PIP for new applicants in Scotland—is not possible once State Pension age has been reached.
However, if you already receive DLA, PIP, or ADP when you hit State Pension age, you are permitted to renew your claim under the same health conditions provided by the award, as long as your previous claim concluded less than a year before reaching the pension threshold.
Scottish residents who presently benefit from DLA or PIP can expect to be transitioned into the newly established Social Security Scotland system this Spring. It should be noted that Bereavement Support Payment and Widowed Parent’s Allowance are likewise inaccessible when one attains State Pension age.
Benefits not impacted by your State Pension age
Even if you are over State Pension age, you can still claim these benefits:
- Child Benefit (delivered by HMRC)
- Carer’s Allowance – your eligibility for the full financial element may depend on your income from State Pension
- Guardian’s Allowance
- Statutory Sick Pay (SSP).
You can also claim these benefits even if you are over State Pension age, but only if you meet the benefit-specific income threshold:
- Pension Credit
- Housing Benefit
- Council Tax Support
- Support for Mortgage Interest
- Help with Health Costs
- Winter Heating Payment – Scotland-only
- Cold Weather Payment – England and Wales only
- Warm Home Discount Scheme
- Winter Fuel Payment – only those over State Pension age in receipt of Pension Credit or other qualifying income-related benefits will receive the money from this year.
- Pension Age Winter Heating Payment – Scotland only, same qualifying rules as Winter Fuel Payment.
For more details about benefits when you reach State Pension age, visit the Turn2Us website here.
