Pension Credit gives you extra money to help with your living costs if you’re over State Pension age and on a low income. Pension Credit can also help with housing costs such as ground rent or service charges.

You might get extra help if you’re a carer, severely disabled, or responsible for a child or young person.

Pension Credit is separate from your State Pension.

You can get Pension Credit even if you have other income, savings or own your own home.

You must live in England, Scotland or Wales and have reached State Pension age to qualify for Pension Credit.

You must include your partner on your application.

You’ll be eligible if either:

• you and your partner have both reached State Pension age
• one of you is getting Housing Benefit for people over State Pension age
• When you apply for Pension Credit your income is calculated. If you have a partner, your income is calculated together.

When you apply for Pension Credit your income is calculated. If you have a partner, your income is calculated together.

Pension Credit tops up:

• your weekly income to £218.15 if you’re single
• 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.

Contact Ashford Advice on 01233 626 185 or drop-in to our offices for further advice.

We are open from 09:30 -11:00 from Monday to Thursday without a prior appointment

If you were born before 23 September 1958 you could get either £200 or £300 to help you pay your heating bills for winter 2024 to 2025. This is known as a ‘Winter Fuel Payment’.

You may be eligible if you or your partner get certain benefits. If you are eligible, you’ll normally get the Winter Fuel Payment automatically.

You will not get the extra Pensioner Cost of Living Payment given in 2022 and 2023. It stopped in winter 2023.

If you’re eligible, you’ll get a letter in October or November saying how much you’ll get.

If you do not get a letter but you think you’re eligible, check if you need to make a claim.

Most eligible people are paid in November or December. Find out what to do if you are not paid.

If you are not eligible and you cannot claim Pension Credit:

Consider joining the Priority Services Register (PSR) it is free to join. It helps utility companies, including energy suppliers, electricity, gas and water networks to look after customers who have extra communication, access or safety needs. It helps them to tailor their services to support households who need extra help with everyday energy matters like bills, and also in the unlikely event of a power cut, gas or water supply interruption.

If you’re struggling to pay your energy bill

Contact your energy supplier as soon as you can if you’re worried about paying your bills.

Ofgem’s rules mean they must work with you to agree on a payment plan you can afford.

You can also ask them for:

• a review of your current payments and debt repayments
• payment breaks or reductions
• more time to pay
• access to hardship funds
• advice on how to use less energy

You may be able to get other kinds of support, including:

• help from the Household Support Fund from your local council
• Cold Weather Payments if you live in England, and get certain benefits

This year Pension Credit Week of Action will be taking place, W/C 2 September 2024.

What is Pension Credit?

Pension Credit gives you extra money to help with your living costs if you’re over State Pension age and on a low income. Pension Credit could also qualify eligible applicants other support including Winter Fuel Payment, housing costs, help with Council Tax and a free TV licence for those aged 75 and over.

Thanks to the Pension Credit backdating rules, it is possible to apply for Pension Credit and have the claim backdated by up to 3 months – so long as there is entitlement during that time. This means that the latest date to apply and still qualify for Winter Fuel Payment is 21st December 2024. 

Contact Ashford Advice on 01233 626185 if you need advice or help to apply

Thousands of grandparents caring for their grandchildren over the summer holidays could be missing out on the chance to boost their future State Pension.

Many working-age grandmothers and fathers could qualify for Class 3 National Insurance credits for looking after children aged under 12 – which can be used to top up their income in retirement.

Many grandparents are working hard all year round looking after their grandchildren, and it is important that they do not damage their own state pension rights as a result. Such grandparents are contributing to society just as much as someone in a paid job and should therefore be entitled to the same protection for their state pension as if they were in work.

The new system of transferable National Insurance credits means that grandparents need no longer lose out on building up a full state pension just because they are caring for a grandchild.

Applications for NI credits for caring for children under 12 need to be made to HM Revenue & Customs (HMRC) and must be signed by both the adult carer and the Child Benefit recipient. Applications need to be made in the October following the end of the tax year in which the caring took place.

Grandparents who have cared for their grandchildren during the tax year 2011/12 are able to apply for their credits now.

The credit is a Class 3 National Insurance credit and protects entitlement to basic State Pension and bereavement benefits for spouses and civil partners.

There is no minimum requirement for the number of hours of care in a week as long as the credit is transferred for a full week. For details of who can apply and how, visit www.gov.uk/national-insurance-credits/eligibility or phone the National Insurance Helpline on 0845 302 1479.

The National Living Wage threshold will be £11.44 per hour, starting on or after 1 April 2024

The age to receive the National Living Wage will be lowered to include 21-year-olds.

The rate for those aged 18 – 20 will be £8.60;

The rate for those over school age but not yet 18 will be £6.40; the apprentice rate will be £6.40. 

When? For pay reference periods starting on or after 1 April 2024

You get Child Benefit if you’re responsible for bringing up a child who is:

• under 16
• under 20 if they stay in approved education or training

Only one person can get Child Benefit for a child.

There’s no limit to how many children you can claim for.

There are 2 Child Benefit rates.

From April 2024, the lower income threshold to be eligible for child benefit will rise to £60,000(previously £50,000). The rate at which Child Benefit is withdrawn will be 1% for every £200(previously £100) above this level. It is fully withdrawn when individuals earn £80,000 (previously £60,000) or more.

Between 1 April to 30 June 2024 the energy price cap is set at £1,690 per year for a typical household who use electricity and gas and pay by Direct Debit. This is £238 lower than the cap set between 1 January to 31 March 2024 (£1,928).

Electricity and gas unit prices and standing charges, 1 January to 30 June 2024

The Government is introducing the following changes to DROs in England and Wales (with Scotland and Northern Ireland to receive equivalent Barnett Consequential funding): 

• From 6 April, the £90 administration fee will be permanently removed.
• From 28 June, the maximum amount of debt that an individual entering a DRO can hold will be increased from £30,000 to £50,000. In addition, the value of single motor vehicle that can be disregarded from the total value of assets an individual seeking a DRO is permitted to own, will also be increased from £2,000 to £4,000.

Ashford Advice are registered intermediaries for debt relief orders. Subject to meeting the eligibility criteria you will be offered face to face advice, and we will submit your application without any fees

Tax-Free Childcare (TFC) is a government scheme to help working families with their childcare costs.

Parents and carers who are eligible can open online childcare accounts to pay their registered childcare providers directly and the government will add to the account to help towards childcare costs and save money.

For every £8 a parent or carer pays in, the government will pay in an extra £2. Families can receive up to £2,000 per child, per year, towards their childcare costs, or £4,000 for a child with a disability.

Tax-Free Childcare (TFC) is for working families, including the self-employed, in the UK:

• each parent/carer earning under £100k and at least £152 per week (equal to 16 hours at the National Minimum or Living Wage)
• who aren’t receiving Tax Credits, Universal Credit or childcare vouchers
• with children aged 0 to 11 years (or 0 to 16 if disabled).

Your child will be eligible for TFC until the September following their 11th birthday, or 17th birthday if they are disabled.

Apply for Tax Free Childcare

Tax credits are coming to an end, and most people will need to apply for Universal Credit instead.

Look out for a letter called a Universal Credit Migration Notice from the Department for Work and Pensions (DWP) explaining what you’ll need to do, and by when.

If you are claiming tax credits and are of State Pension Age DWP will write to you to ask you to apply for Universal Credit or Pension Credit, depending on your circumstances.

You won’t be moved automatically, so it’s important to act quickly and follow the instructions in the letter, otherwise your benefits will stop.

If you receive a Migration Notice, meaning you need to go through the managed migration process, and you end up being entitled to less under Universal Credit than your current legacy benefits, you could be entitled to a temporary top-up payment so that you do not lose out. This is called a ‘transitional protection element’.

To continue to receive financial support, you will need to claim Universal Credit by the deadline stated in your Migration Notice letter, even if you have just renewed your tax credits claim. There may be some additional benefit to waiting until after 8 April 2024 to start your Universal Credit claim, this is because, around this date, most benefit rates will be increased by 6.7%.

To find out more about the support Ashford Advice can provide to help you switchover. Call 012233 626185