Almost 750,000 pensioners could cut their TV licence bill from £169 to zero but don’t know about it.
Experts are reminding pensioners to check if are eligible for a “valuable benefit” – which in turn could mean they can get their TV licence for free – as well as an extra £3,900 a year.
Pension Credit is a crucial benefit that tops up weekly income for pensioners. It can give extra money to help with living costs for those on a low income. Applicants must live in England, Scotland or Wales and have reached state pension age to qualify for Pension Credit.
What many may be unaware of though, is that Pension Credit acts a gateway for many other discounts and freebies which people miss out on.
Helen Morrissey, retirement expert at Hargreaves Lansdown said: “Pension Credit tops up your weekly income to £218.15 if you’re single or your joint weekly income to £332.95 if you have a partner.
“If your income is higher, you might still be eligible for pension credit if you have a disability, you care for someone, you have savings or you have housing costs.”
Morrissey added that Pension Credit “acts as a valuable gateway to further benefits such as a free TV licence for the over-75s as well as help with council tax and NHS costs such as glasses.”
Pension Credit acts as valuable gateway to further benefits such as a free TV licence and help with council taxPADespite its value, many eligible pensioners are not claiming this benefit, potentially missing out on significant financial support.
For those over 75 and receiving Pension Credit, applying for a free TV licence is straightforward.
How to cut your TV Licence bill to zero
If an individual or someone they live with are over 74 and receive Pension Credit they can apply for a free TV Licence.
Pension Credit can be in the name of the licence holder, or in their partner’s name if they are a couple. If an individual or their partner do not receive Pension Credit they’ll need to continue to pay for their licence.
It’s advisable to apply at age 74 to simplify the process when turning 75. However, applicants must continue paying for their licence until their 75th birthday.
If an application is accepted, individuals will still need to pay for their TV Licence until their 75th birthday.
Applications can be made via the TV licensing website or by calling 0300 790 6117
The Government is focusing on raising awareness of Pension Credit after it decided to restrict Winter Fuel Payments to those on means-tested benefits.
Only pensioners receiving means-tested benefits like Pension Credit will now qualify for the £300 Winter Fuel Payment. This shift aims to encourage more eligible individuals to claim Pension Credit.
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Morrissey said: “Anyone who thinks they or a loved one could be entitled should put in a claim.”
The benefit not only provides income top-ups but also opens doors to other valuable support.
Those on Pension Credit, can also get other help, including:
- Housing Benefit if you rent the property you live in
- Winter Fuel Payment
- Support for Mortgage Interest if you own the property you live in
- a Council Tax discount
- a free TV licence if you’re aged 75 years old or over
- help with NHS dental treatment, glasses and transport costs for hospital appointments, if you get a certain type of Pension Credit
- help with your heating costs through the Warm Home Discount Scheme
- a discount on the Royal Mail redirection service if you’re moving house
People can apply for Pension Credit up to four months before they reach state pension age.
They can apply any time after they reach state pension age but their application can only be backdated by three months.
Morrisey said: “Government data shows a huge surge in the number of Pension Credit claims made in the weeks after the announcement, so the message is getting through.
“Not all these people will make a successful claim but it’s to be hoped that we will see this surge continue over the coming months and the gap can start to meaningfully close. However, the scale of the challenge is enormous, with more than 750,000 families who could receive Pension Credit not claiming it.”
The Government’s new Pension Credit awareness drive will help identify households not claiming the benefit, and encourage them to apply by December 21.
That is the final date for making a backdated claim for pension credit, in order to receive the Winter Fuel Payment.