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Daily Record
a day ago
- Business
- Daily Record
New calls for national strategy to tackle pensioner poverty and set minimum retirement income
The Work and Pensions Committee is also calling for a Pension Credit take-up strategy by the end of this year. Pension Credit – Could you or someone you know be eligible? The Work and Pensions Committee has called for a national strategy to tackle pensioner poverty. The cross-party groups of MPs also said the UK Government should decide on - and ensure - a minimum level of retirement income. It added that once set, a plan should be created for everyone to reach that level. The Committee said that given that the State Pension is the core of the Labour Government's offer to pensioners, a guiding principle should be that it provides the amount needed for a 'minimum, dignified, socially acceptable standard of living'. It called for a commitment to a UK-wide, cross-government strategy for an ageing society that it said would help target support to tackle pensioner poverty. The Pensioner Poverty report warned that if it does not effectively tackle poverty as one of the causes of ill-health, 'the Government will not be able to achieve its goal of building a health and social care service that is sustainable'. The report also highlighted longer-term trends that 'threaten to undermine pension adequacy', such as people renting into later life. The committee also called for a Pension Credit take-up strategy for England by the end of 2025. The Committee said that despite being worth an average of £4,300 a year, the take-up of Pension Credit has hovered between 61 per cent and 66 per cent for a decade, with an estimated 700,000 households being eligible but not claiming. A taper to Pension Credit should also be considered to 'mitigate the cliff-edge effect' for those who currently miss out, the report said. Under current rules, some State Pensioners just above income thresholds could end up worse off than those with slightly lower incomes, it added. A successful claim for Pension Credit - even if it's just £1 per week - can unlock access to other support including help with housing costs, heating bills, Council Tax and a free TV licence for the over-75s. How to check eligibility for Pension Credit Older people, or friends and family, can quickly check their eligibility and get an estimate of what they may receive by using the online Pension Credit calculator on here. Alternatively, pensioners can contact the Pension Credit helpline directly to make a claim on 0800 99 1234 - lines are open 8am to 6pm, Monday to Friday. The Committee argued that reliance on top-ups such as Pension Credit and Housing Benefit is not sufficient to ensure people do not fall below the poverty line. The report said: 'After a decline in pensioner poverty in the 2000s, the number of pensioners in relative low income started to rise again from 2010. This has been exacerbated by increases in the cost of living since 2021.' It continued: 'The number of people of pension age living in relative poverty (below 60% of median income) is 1.9 million or 16 per cent of pensioners. 'Measures which factor in the cost of living show that between 2008/09 and 2022/23, the number of pensioners in households below the Minimum Income Standard (MIS) - the amount needed for a minimum dignified socially acceptable standard of living - rose from 1.5 to 2.8m. 'The proportion of pensioners below 75 per cent of MIS (where the risk of material deprivation increases substantially) rose from 5.9 per cent in 2021/22 to 9.5 per cent in 2022/23. 'In practice, this means cutting back on essentials, like food, energy use and seeing friends, in an attempt to manage costs. Health experts explained the implications for health. Financial hardship can accelerate the ageing process, making it more likely that an older person will enter hospital or need care.' The Committee said that in some places, organisations are working together towards shared objectives. The report continued: 'However, not all areas do this. We heard that it would help to have a national cross-government strategy for our ageing society and older people. 'This could provide a framework to hold the different partners to account for their role in delivering the agreed outcomes. It could also ensure that central government departments developed policy with shared objectives in mind.' Committee chairwoman Debbie Abrahams said: 'To boost incomes, the Government needs to come up with a strategy to increase Pension Credit take-up. It's a scandal that so many have missed out for so many years, often through an aversion to claiming benefits altogether, or lack of support. 'The fairness of the Pension 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. 'Ultimately, the Government should decide what it thinks is enough for a dignified retirement, and then work to ensure that all pensioners are on at least that level. 'Faced with a combination of high energy costs, ill-health and ever higher rates of pensioners in more costly privately rented accommodation, tackling pensioner poverty is not simply a DWP (Department for Work and Pensions) issue. So, we're calling for a nationwide, cross-government strategy for an ageing society that should be rooted in equity and wellbeing.' Independent Age Chief Executive Joanna Elson CBE, said: 'The Work and Pension's Committee has highlighted the urgent truth; the UK needs a strategic approach to tackle pensioner poverty. With millions of older people living in financial hardship, now is the time for action. 'The older people Independent Age speaks to are living on desperately small incomes, forcing them to make drastic cutbacks. They are going to bed in hats and coats, eating one small meal a day and washing less to save on water. This is not right. 'We warmly welcome the Committee's recommendations and are pleased to have contributed to this important inquiry, alongside the many people in later life who shared their views directly with the Committee. The voices of older people have been heard throughout this inquiry and the tangible and impactful recommendations speak to the changes older people in poverty need to see now and in the future.' She added: 'Our own research highlights the importance of people having an adequate income in later life, particularly those reliant on just the State Pension and social security system. Also essential is that everyone receives the financial entitlements they are eligible for, and that policies are in place to support people on a low income to pay their rent and household bills. 'We have also long campaigned for an independent Commissioner for Older People and are pleased to see the Committee recognise the need for this role.' Earlier this week, Chancellor Rachel Reeves said that a review into raising the State Pension age is needed to ensure the system is 'sustainable and affordable'. The UK Government review is due to report in March 2029 and Ms Reeves said it was 'right' to look at the age at which people can receive the State Pension as life expectancy increases. The State Pension age is currently 66, but is set to start rising to 67 between 2026 and 2028. A Government spokesperson told the PA news agency: 'Supporting pensioners is a top priority, and thanks to our commitment to the triple lock, millions will see their yearly state pension rise by up to £1,900 by the end of 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 £4,300 a year. 'But we know there is a real risk that tomorrow's pensioners will be poorer than today's, which is why we are reviving the Pension Commission, to tackle the barriers that stop too many people from saving.'
South Wales Argus
a day ago
- Politics
- South Wales Argus
New report calls for urgent action on pensioner poverty
Rhian Bowen-Davies praised the Work and Pensions Committee's findings, which highlight the impact of poverty on older people and recommend UK Government action to reverse rising rates. Ms Bowen-Davies said: "I strongly welcome the report published today by the Work and Pensions Committee, which examines the impact of poverty on older people's lives and calls for a range of action from the UK Government to reverse the increases in poverty amongst older people we have seen in recent years. "The conclusions and recommendations within the report closely reflect the evidence and concerns I shared with the committee." She backed the committee's calls to address pension inequalities and improve access to social tariffs and Pension Credit. Ms Bowen-Davies also supported the recommendation to appoint an older people's commissioner for England.
Scotsman
2 days ago
- Business
- Scotsman
7 of the most overlooked ways over-60s can cut weekly bills
These tips could uncover hidden help and ease the squeeze if you're struggling with costs 🧾 Sign up to the weekly Cost Of Living newsletter. Saving tips, deals and money hacks. Sign up Thank you for signing up! Did you know with a Digital Subscription to Edinburgh News, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Many over-60s are unaware of support that could ease weekly financial pressure Forgotten schemes and habits can add up to big annual savings A few simple checks may reveal hidden entitlements Small changes can make a noticeable difference to everyday costs This guide highlights often-missed ways to reduce outgoings later in life With the cost of living still biting hard, older people across the UK are increasingly looking for ways to cut costs and ease the pressure on their weekly outgoings. The good news? There are plenty of schemes, discounts, and overlooked habits that can help reduce bills - especially if you're aged 60 or over. Advertisement Hide Ad Advertisement Hide Ad From hidden benefits to everyday tips, here's a guide to some of the things often forgotten about that could make a real difference to your finances. A single change might save you just £5 a week, but stack a few together and you could end up with hundreds of pounds extra each year. (Photo: Pexels) | Pexels Pension Credit One of the most underclaimed benefits in the UK is Pension Credit. Around 850,000 eligible households miss out on it each year. If you're over State Pension age and on a low income, this top-up can boost your weekly income and unlock additional help, such as: Advertisement Hide Ad Advertisement Hide Ad A free TV licence (if you're 75 or over) Council Tax reductions Help with NHS costs Warm Home Discount Housing Benefit (if renting) It's worth checking even if you own your home or have savings—eligibility is more flexible than many people realise. You can check and apply via the website or by calling the Pension Credit claim line (0800 99 1234). Council Tax reduction Many over-60s pay too much Council Tax without realising they may be entitled to a discount. You could be eligible for a reduction if: You live alone (Single Person Discount) You're on a low income or receive benefits You or someone you live with has a disability You care for someone in the household You live with someone who is severely mentally impaired (and they may be 'disregarded' for Council Tax purposes) Each council has its own scheme, so check with your local authority - even small reductions can save you hundreds over the course of a year. Advertisement Hide Ad Advertisement Hide Ad Senior Railcard and bus pass Transport is a weekly cost that adds up quickly. If you're 60 or over, don't forget: Senior Railcard: Costs £30 a year and gets you 1/3 off most rail fares. Over time, it can pay for itself many times over. Costs £30 a year and gets you 1/3 off most rail fares. Over time, it can pay for itself many times over. Free bus pass: Available to those over 60 in Wales, Scotland, and Northern Ireland, and to people of State Pension age in England. It's valid for local bus travel, and in some areas, it can also be used on trams or trains. It's not just about leisure trips - using your bus pass for errands or appointments can chip away at weekly fuel or fare costs. Warm Home Discount and Winter Fuel Payments Older people often worry about the cost of keeping warm in winter. Two key supports can help: Winter Fuel Payment: Available to most people born before 25 September 1957 (for winter 2024/25). It's automatic if you claim certain benefits like Pension Credit (see above) Available to most people born before 25 September 1957 (for winter 2024/25). It's automatic if you claim certain benefits like Pension Credit (see above) Warm Home Discount: A one-off discount on your electricity bill (around £150) between October and March. You'll usually qualify automatically if you get Pension Credit, but some suppliers have broader criteria - so check with yours. Also check if your energy supplier offers a priority services register - this may give you extra support, including advance notice of power cuts or meter readings if you have mobility issues. Advertisement Hide Ad Advertisement Hide Ad Switch to social tariffs for broadband and mobile If you're receiving Pension Credit or certain other benefits, you could qualify for a social tariff for broadband and phone services. These offer fast internet and mobile plans at heavily discounted prices - some from as little as £10–£20 per month. Major providers like BT, Virgin Media, and Sky now offer these deals, but they rarely advertise them, so you'll need to ask. Even if you're not on benefits, it's worth calling your provider and asking for a cheaper deal or matching a competitor's rate. Water bill help and free home upgrades Water companies across the UK offer discounts for low-income households and those with medical conditions that require more water use. This includes: WaterSure: A cap on bills if you use a water meter and have high essential usage Social tariffs: Localised schemes offering reduced bills - check with your supplier Plus, some older homeowners can access free home energy upgrades like insulation, new boilers, or draft-proofing through local authority schemes or the Great British Insulation Scheme. Advertisement Hide Ad Advertisement Hide Ad Use of discount cards and store loyalty schemes If you regularly shop in-store, don't overlook the discounts available to older people: Boots Over-60s Rewards: Extra Advantage Card points on health products Extra Advantage Card points on health products Specsavers Over-60s Discount: 20% off glasses (in most locations) 20% off glasses (in most locations) Supermarket loyalty apps (like Tesco Clubcard, Nectar, or My Morrisons): These often have exclusive lower prices for users You can also sign up to apps like Too Good To Go, which offers discounted food that would otherwise be thrown out. It's an easy way to save money while helping reduce waste. Are you struggling to make ends meet as costs continue to rise? You can now send your stories to us online via YourWorld at It's free to use and, once checked, your story will appear on our website and, space allowing, in our newspapers.
Daily Mirror
2 days ago
- Daily Mirror
DWP strict guidelines on holidays outside the UK for 1.4 million claimants
The Department for Work and Pensions (DWP) has guidance for anyone in receipt of a specific benefit who is planning a holiday this year as they could face penalties Pension Credit recipients planning a getaway this year could find themselves at risk of penalties. More than 1.4 million older Brits across Great Britain are currently on Pension Credit, a benefit delivering an average £4,300 annually in extra financial lifeline for over-66s struggling on low incomes. This means-tested support also unlocks Council Tax reductions and assistance with energy costs, including access to the Warm Home Discount Scheme. Yet recipients may be unaware they must alert the Department for Work and Pensions (DWP) before travelling beyond mainland Britain - no matter how brief their trip, reports the Daily Record. Reporting a holiday to the DWP Official guidance states you must contact the DWP "if you're going to leave Great Britain for any reason at all, even if you'll only be away for a short time. This includes if you go to Northern Ireland, the Isle of Man or the Channel Islands". This official guidance online came as they addressed this question: "Can I leave Great Britain and keep getting Pension Credit?" The complete DWP response explains: "We may pay Pension Credit for up to four weeks while you're temporarily away from Great Britain and we may pay for up to 8 weeks if the absence is in connection with a death. "If the absence is solely in connection with medical treatment or medically approved convalescence, we may pay Pension Credit for up to 26 weeks. "But you should tell us before you go if you're going to leave Great Britain for any reason at all, even if you'll only be away for a short time. This includes if you go to Northern Ireland, the Isle of Man or the Channel Islands." Full details on how to report a change in circumstance can be found on here. Latest figures from the DWP show that there are 760,000 people who could claim Pension Credit but haven't yet done so, despite being eligible. A common misconception among pensioners is that having savings or owning property automatically disqualifies them from this means-tested benefit. However, even a minimal award of £1 weekly can open doors to additional financial assistance. Who is eligible for Pension Credit? Pension Credit comes in two parts - Guarantee Credit and Savings Credit. To qualify for Guarantee Pension Credit, you must have reached State Pension age, which is currently 66. Your weekly income also needs to be below the minimum amount the UK Government considers necessary for living. This stands at £227.10 for a single person and £346.60 for a couple. These figures could be higher if you're disabled, a carer or have certain housing costs. Savings Credit is only available if you reached State Pension age before April 6, 2016, or if you have a partner who reached State Pension age before this date and was already receiving it. How to determine eligibility for Pension Credit Elderly people, or their friends and family, can quickly check eligibility and get an estimate of potential benefits using the online Pension Credit calculator on here. Alternatively, pensioners can contact the Pension Credit helpline directly to make a claim on 0800 99 1234 - lines are open from 8am to 6pm, Monday to Friday. More details about claiming Pension Credit can be found on here.
Scotsman
2 days ago
- Business
- Scotsman
7 of the most overlooked ways over-60s can cut weekly bills
These tips could uncover hidden help and ease the squeeze if you're struggling with costs 🧾 Sign up to the weekly Cost Of Living newsletter. Saving tips, deals and money hacks. Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Many over-60s are unaware of support that could ease weekly financial pressure Forgotten schemes and habits can add up to big annual savings A few simple checks may reveal hidden entitlements Small changes can make a noticeable difference to everyday costs This guide highlights often-missed ways to reduce outgoings later in life With the cost of living still biting hard, older people across the UK are increasingly looking for ways to cut costs and ease the pressure on their weekly outgoings. The good news? There are plenty of schemes, discounts, and overlooked habits that can help reduce bills - especially if you're aged 60 or over. Advertisement Hide Ad Advertisement Hide Ad From hidden benefits to everyday tips, here's a guide to some of the things often forgotten about that could make a real difference to your finances. A single change might save you just £5 a week, but stack a few together and you could end up with hundreds of pounds extra each year. (Photo: Pexels) | Pexels Pension Credit One of the most underclaimed benefits in the UK is Pension Credit. Around 850,000 eligible households miss out on it each year. If you're over State Pension age and on a low income, this top-up can boost your weekly income and unlock additional help, such as: Advertisement Hide Ad Advertisement Hide Ad A free TV licence (if you're 75 or over) Council Tax reductions Help with NHS costs Warm Home Discount Housing Benefit (if renting) It's worth checking even if you own your home or have savings—eligibility is more flexible than many people realise. You can check and apply via the website or by calling the Pension Credit claim line (0800 99 1234). Council Tax reduction Many over-60s pay too much Council Tax without realising they may be entitled to a discount. You could be eligible for a reduction if: You live alone (Single Person Discount) You're on a low income or receive benefits You or someone you live with has a disability You care for someone in the household You live with someone who is severely mentally impaired (and they may be 'disregarded' for Council Tax purposes) Each council has its own scheme, so check with your local authority - even small reductions can save you hundreds over the course of a year. Advertisement Hide Ad Advertisement Hide Ad Senior Railcard and bus pass Transport is a weekly cost that adds up quickly. If you're 60 or over, don't forget: Senior Railcard: Costs £30 a year and gets you 1/3 off most rail fares. Over time, it can pay for itself many times over. Costs £30 a year and gets you 1/3 off most rail fares. Over time, it can pay for itself many times over. Free bus pass: Available to those over 60 in Wales, Scotland, and Northern Ireland, and to people of State Pension age in England. It's valid for local bus travel, and in some areas, it can also be used on trams or trains. It's not just about leisure trips - using your bus pass for errands or appointments can chip away at weekly fuel or fare costs. Warm Home Discount and Winter Fuel Payments Older people often worry about the cost of keeping warm in winter. Two key supports can help: Winter Fuel Payment: Available to most people born before 25 September 1957 (for winter 2024/25). It's automatic if you claim certain benefits like Pension Credit (see above) Available to most people born before 25 September 1957 (for winter 2024/25). It's automatic if you claim certain benefits like Pension Credit (see above) Warm Home Discount: A one-off discount on your electricity bill (around £150) between October and March. You'll usually qualify automatically if you get Pension Credit, but some suppliers have broader criteria - so check with yours. Also check if your energy supplier offers a priority services register - this may give you extra support, including advance notice of power cuts or meter readings if you have mobility issues. Advertisement Hide Ad Advertisement Hide Ad Switch to social tariffs for broadband and mobile If you're receiving Pension Credit or certain other benefits, you could qualify for a social tariff for broadband and phone services. These offer fast internet and mobile plans at heavily discounted prices - some from as little as £10–£20 per month. Major providers like BT, Virgin Media, and Sky now offer these deals, but they rarely advertise them, so you'll need to ask. Even if you're not on benefits, it's worth calling your provider and asking for a cheaper deal or matching a competitor's rate. Water bill help and free home upgrades Water companies across the UK offer discounts for low-income households and those with medical conditions that require more water use. This includes: WaterSure: A cap on bills if you use a water meter and have high essential usage Social tariffs: Localised schemes offering reduced bills - check with your supplier Plus, some older homeowners can access free home energy upgrades like insulation, new boilers, or draft-proofing through local authority schemes or the Great British Insulation Scheme. Advertisement Hide Ad Advertisement Hide Ad Use of discount cards and store loyalty schemes If you regularly shop in-store, don't overlook the discounts available to older people: Boots Over-60s Rewards: Extra Advantage Card points on health products Extra Advantage Card points on health products Specsavers Over-60s Discount: 20% off glasses (in most locations) 20% off glasses (in most locations) Supermarket loyalty apps (like Tesco Clubcard, Nectar, or My Morrisons): These often have exclusive lower prices for users You can also sign up to apps like Too Good To Go, which offers discounted food that would otherwise be thrown out. It's an easy way to save money while helping reduce waste.
