Cost of living: Pensioners not eligible could still get £650 payment but deadline looms

Cost of Living payment: Expert explains who is eligible

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On BBC Money Box last weekend, Sandra Hardial, finance reporter urged Britons make use of all the financial help that may be available to them. As the cost of living crisis continues, and bills soar, any extra cash could be vital for families feeling the squeeze.

To help with the cost of living, former Chancellor Rishi Sunak introduced a £15billion support package which would entitle the most vulnerable people to £650 to manage rising bills.

Pensioners are said to be one the groups affected most by rising bills however, some older people will lose out on this support due to the fact they do not claim Pension Credit.

This is a benefit payment which helps top-up the finances of those who are of state pension age, which is 66.

Ms Hardial explained that households on means tested benefits, including Pension Credit are due to receive a £650 cost of living payment this year.

To get the first cost of living payment, claimants must have been entitled to Pension Credit for any day between April 26 and May 25, but Pension Credit can be backdated three months.

This means that if someone makes a valid claim now they will be in time to qualify for the first cost of living payment if they backdate it.

The DWP wants people to apply as soon as possible for Pension Credit to ensure they are qualified for that instalment.

It advises that claims shall be made by August 18 and it is important to note that claimants must ask for their claims to be backdated as this does not happen automatically.

The first instalment of £326 is being paid automatically this month to eight million households.

The Department for Work and Pensions explained that more than seven million of the households have now been paid.

However pensioners are being reminded that it is not too late to receive this extra cash boost.

Due to back payments, pensioners can claim Pension Credit and still get the cost of living payment on top of it, however Ms Hardial stressed the importance for applicants to ask about this.

She warned: “I must stress, experts warn that when you claim pension credit you must ask for back dating as it won’t be done automatically.

“Also, the rules make it clear that even if you just get one penny a week in Pension Credit, you will get the full £650 cost of living payment.”

Paul Lewis, presenter of Money Box, added: “That’s a bargain!”

Those interested can call 0800 991234, if they have a low income and they and their partner are at least 66.

The first instalment began being paid from July 14 until the end of July. The second payment is to come in the Autumn, but a date has yet to be revealed.

The DWP says currently over 1.4 million pensioners in Britain receive Pension Credit, however many are still not claiming this extra financial help.

The Government department launched its Pension Credit Day of Action in June which aimed to make more people aware of the pension credit scheme.

Over 10,000 Pension Credit claims were made during the week of June 13 2022 which was almost double the usual claims.

This was an increase of 275 percent compared to that same week in 2021.

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