Pension Credit is now key to keeping your Winter Fuel Payment

The Winter Fuel Payment is an annual tax-free lump sum worth up to £300 to help people over State Pension age with heating costs. Until this year everyone above State Pension age was entitled to the payment regardless of their circumstances, but now you need to claim Pension Credit, another qualifying benefit or tax credits to get the winter 2024/25 payment.

Not sure if you can get Pension Credit? If you’re on a low income check the Pension Credit calculatorOpens in a new window to see if you could get a vital boost to your income, it can be worth an average of £3,900 a year.  You could still qualify, even if you have savings. If you’re living on a low income, use our Benefits calculator to quickly find out what you could be entitled to.

The allowance is now linked to certain means-tested benefits including Pension Credit. Pension Credit helps those over State Pension age who are living on a low income. It works by topping up income to a minimum level and can be worth more than £3,900 a year.

To keep getting your Winter Fuel Payment you must be eligible for Pension Credit or one of the other following benefits during the ‘qualifying week’ of 16 to 22 September 2024.

• Universal Credit
• income-related Employment and Support Allowance (ESA)
• income-based Jobseeker’s Allowance (JSA)
• Income Support
• Child Tax Credit
• Working Tax Credit.

You will be entitled to a payment of either £200 or £300 depending on your age or your partner’s if you have one.

• A household with someone aged 66-79 will receive £200.
• A household with someone aged 80 or over will receive £300.

Find full details of Winter Fuel Payment on GOV.UKOpens in a new window

If you live in Scotland you will get an equivalent payment this winter if you're eligible. The payment will be automatic, meaning you do not have to make a claim. You will be notified by the end of November with a letter containing details of your payment. This will be eventually replaced by the Pension Age Winter Heating Payment.

In Northern Ireland, the Winter Fuel Payment, worth between £250 and £600 continues to be available to everyone above State Pension age. There have been no announcements saying that this will change. For full details see the Winter Fuel Payment on NI DirectOpens in a new window

If you are 65 you’re under State Pension age, and will not be entitled to the payment if you live alone. However, if you live with your partner who is over State Pension age and you have a joint claim for Universal Credit as a working-age couple, your partner will be eligible and will get a Winter Fuel Payment for your household.

You don’t need to do anything. As you are already entitled to Pension Credit, you qualify for the payment. You’ll get a letter in October or November telling you how much you will get. Then you will get the payment in either November or December into the same bank account as your other benefits.

If you’re over state pension age and get Working Tax Credits or Child Tax Credits you could still qualify for the Winter Fuel Payment. Your annual award must be at least £26 and cover one day in the qualifying week (16-21 September).

However, Tax Credits are closing and people over state pension age are being asked to move to Universal Credit or Pension Credit instead. You might have already received a migration notice asking you to switch.

If you have not yet received a migration notice do not apply for either benefit to try and qualify for winter fuel payment.

Applying for Universal Credit or Pension Credit before you get your migration notice could affect your claim and how much money you get in the future.  If you’re getting Tax Credits and qualify for winter fuel payment, it will be paid to you automatically.

No. Winter Fuel Payment is tax-free and will not affect your other benefits.

You must be eligible for Pension Credit (or one of the other qualifying benefits) during the ‘qualifying week’ of 16 to 22 September. Since Pension Credit can be backdated by three months, the last date you can make a claim for Pension Credit and still get the Winter Fuel Payment is 21 December 2024.

It takes between six and eight weeks to process new Pension Credit claims, due to high volumes of applications. But as long as you apply by 21 December and your claim is successful you will get Winter Fuel Payment.

You will typically qualify for Pension Credit if you have a low weekly income. You’re likely to be eligible if you live alone and your weekly income is below £218.15 – or if you’re in a couple and your combined income is below £332.95.

You may be able to get Pension Credit if your income is higher than this if you: 

• have a severe disability
• are a carer 
• are responsible for a child under 20
• or qualify for help with housing costs.

If you have more than £10,000 in savings, the government assumes you “earn” income from your savings and reduces the amount of Pension Credit you get.

Pension Credit is available to both people claiming their State Pension, and people who don’t qualify for State Pension. The easiest way to find out what you can get is to use the Pension Credit calculatorOpens in a new window

Even if you have considerable savings, you could still be eligible for Pension Credit if your other income is low enough. If you have £10,000 or less, this won’t affect your eligibility at all. If you have more than £10,000 in savings, you could still be eligible, so it is always worth checking.

For every £500 (or part of £500) you have saved or invested the government treats this as £1 income. So if you’ve got £15,000 in savings and investments, £10,000 doesn’t count, but the remaining £5,000 is treated as generating £10 a week in weekly income. If you have a partner, their savings are added to yours.

If your savings drop, let the Pension Service knowOpens in a new window and ask them if you now qualify. For more information, read our article about how savings can affect your benefits to find out what counts as savings, and what doesn’t.

Even if you own your home, you can still make a claim for Pension Credit. Almost half of the people who already get Pension Credit are homeowners. It’s always worth finding out what you're entitled to.

Even if you only qualify for a small amount of Pension Credit, the fact that you get it unlocks a range of extra help that can make your money go further.

Pension Credit is a ‘gateway’ to a range of other support including:

• help with rent or mortgage payments
• NHS dental care and glasses
• free TV licence (if you’re aged over 75)
• reduced tariffs on mobile, broadband and utilities
• Council Tax reductions.

It’s quick and free to check if you could get Pension Credit. If you’ve reached State Pension age and your weekly income is below £218.15 if you live alone, or £332.95 if you live with a partner – even if you own your home or have savings.

The quickest way is to call the Pension Credit claim line on 0800 99 1234Opens in a new window or use the Pension Credit calculatorOpens in a new window

Pension Credit helps support people over the State Pension age to live with a minimum level of income. But one in three people who are entitled to this vital income boost do not claim it. Recent estimates suggest there could be more than 800,000 eligible households who are missing out.  They will also miss out on the Winter Fuel Payment if they don’t make a claim soon.

If you know someone who is living on a low income who might be entitled to Pension Credit it is vital to urge them to check if they could get help. Find out more about Pension Credit.

If you claim Pension Credit or another qualifying benefit, such as Universal Credit, The Winter Fuel Payment is just one form of support you could get if you’re struggling with heating costs. You could also get:

• A Cold Weather Payment - if you get certain benefits and the temperature drops to zero degrees Celsius or below for seven days in a row you can get £25 for every seven-day period. See more in Who is entitled to Cold Weather Payments?
• The Warm Home Discount - this is a £150 discount on your bills if you get Pension Credit or live in a low-income household. See What is the Warm Home Discount and how can I apply? 

If you’re on a low income you can also apply for help from the Household Support Fund, if you’re eligible. Check on your local council’s websiteOpens in a new window for rules on who can apply. Councils were told in early September that this fund has been extended until 31 March 2025. Also see Living on a squeezed income for how to save money on household bills.