UK benefits you can claim in retirement

Retired people in the UK are collectively missing out on around £2.4 billion of unclaimed benefits every year, according to research by Age UK. Some of that is because people don't know the benefits exist. Some is because the forms look daunting. And some, frankly, is because there's a deep cultural reluctance among older generations to claim anything that feels like charity.

It isn't charity. These are entitlements, built up through decades of National Insurance contributions and taxes. This guide covers the main benefits available to people in retirement: what they pay, who qualifies, and how to actually get them.

What is Pension Credit, and who qualifies?

Pension Credit is a means-tested top-up for people over State Pension age who are on a low income. It has two parts: Guarantee Credit, which tops your weekly income up to a minimum floor (£218.15 for a single person, £332.95 for couples, as of 2024/25); and Savings Credit, a smaller addition available to those who reached State Pension age before 6 April 2016 and saved some money for retirement.

The DWP's own figures show that around 880,000 households entitled to Pension Credit aren't claiming it. I spent years in Greater Manchester watching this happen. People with a small works pension assumed they'd earn too much. Some were embarrassed to apply. Others simply didn't know it existed.

You can still qualify for Pension Credit even if you have savings or a modest private pension. The calculation is more nuanced than the headline thresholds suggest. A single person with £10,000 in savings won't automatically be disqualified. The DWP applies a "tariff income" calculation to savings above £10,000, which adds a small notional income, but it rarely pushes people over the limit by as much as they fear.

Claiming is worth doing even if the weekly top-up is small, because Pension Credit acts as a gateway to other support: Housing Benefit, Council Tax Reduction, Cold Weather Payments, and (from winter 2024/25) the Winter Fuel Payment.

Claim via GOV.UK or by calling the Pension Credit claim line on 0800 99 1234. You'll need your National Insurance number, bank account details and information about any income and savings.

How much is the State Pension, and is it enough?

The full new State Pension is £221.20 per week in 2024/25 (GOV.UK), which works out at just over £11,500 a year. That's the figure for those who reached State Pension age on or after 6 April 2016 and have 35 qualifying years of National Insurance contributions.

Many people receive less. Gaps in your NI record from periods of self-employment, career breaks or time abroad can reduce your entitlement. You can check your State Pension forecast at gov.uk/check-state-pension, and it's worth doing this well before you retire. Voluntary NI contributions can sometimes plug gaps cheaply.

The basic State Pension, for those who reached pension age before April 2016, is £169.50 per week for those with a full record. Some people in this group also receive additional State Pension (sometimes called SERPS or State Second Pension) built up during their working years.

Neither figure is sufficient for most people to live on alone. That's precisely why the benefits below matter.

What is Attendance Allowance and who can apply?

Attendance Allowance is a non-means-tested, non-taxable benefit for people over State Pension age who need help with personal care or supervision because of illness or disability. You don't have to have someone actually caring for you to claim. The question is whether you need help, not whether you're receiving it.

There are two rates. The lower rate (£72.65 per week in 2024/25) is for those who need help or supervision during the day or at night. The higher rate (£108.55 per week) is for those who need it both day and night, or who are terminally ill.

The conditions that qualify are wide-ranging. Arthritis, heart disease, Parkinson's, dementia, visual impairment, severe anxiety, COPD: all of these can form the basis of a successful claim. The key is describing your worst days, not your best. I used to sit with people in Salford going through their forms line by line, and the single most common mistake was understatement. Someone would write "I manage" when the reality was they were taking forty-five minutes to dress themselves and had fallen twice in the previous month.

The claim form (AA1) is available from gov.uk or by calling 0800 731 0122. Age UK produces an excellent guide to filling it in, and I'd strongly suggest using it.

Attendance Allowance doesn't affect your State Pension, and it won't reduce any other means-tested benefits you receive. It can, however, increase the amount of Pension Credit you're entitled to, because the DWP adds a "disability addition" to the Pension Credit calculation for claimants receiving Attendance Allowance.

Can I get help with my Council Tax?

Council Tax Reduction (sometimes still called Council Tax Support) is administered by local councils, not the DWP, which is why the rules vary more than for most benefits. Every council sets its own scheme for working-age people, but for pensioners, the scheme is protected by central government: you can't be asked to pay more than 91.5% of your bill based on income alone (and most councils go further than that for those on Pension Credit).

If you're on Guarantee Credit, you'll typically get your entire Council Tax bill reduced to zero. If your income is slightly above that, you'll still receive a reduction calculated on a sliding scale.

Apply directly to your council. Most have an online form, but you can also apply by post or phone. If you're also claiming Housing Benefit (for renters), that's usually handled by the same team.

A single occupant also receives a 25% discount automatically. That applies regardless of income and is separate from the Council Tax Reduction scheme entirely. If you live alone and aren't getting it, contact your council immediately.

Some councils also offer a discretionary fund for people facing exceptional hardship, on top of the standard reduction. It's not widely advertised, but worth asking about.

What is the Winter Fuel Payment, and have the rules changed?

The Winter Fuel Payment is an annual payment to help with heating costs. Until recently, it was paid automatically to almost everyone over State Pension age. That changed in winter 2024/25.

The payment is now means-tested. To receive it, you must be receiving Pension Credit or one of a handful of other qualifying benefits (including Income Support, income-based Jobseeker's Allowance, income-related Employment and Support Allowance, or Universal Credit). The amounts remain £200 for those under 80 and £300 for those aged 80 and over.

This change affects a significant number of people. The government's own impact assessment (published by the DWP) estimated that around 10 million pensioners who previously received the payment automatically will no longer be entitled. The group most likely to be affected are those who have modest incomes just above the Pension Credit threshold.

If you were receiving the payment in previous years and want to confirm your status, the best starting point is the GOV.UK eligibility checker. If you're not currently on Pension Credit but think you might be entitled, this is the most urgent reason to check.

Is there help with housing costs in retirement?

Housing Benefit is available to renters (but not owner-occupiers) on a low income. Pensioners claim through their local council rather than through Universal Credit, which is an important distinction: the DWP has confirmed that pension-age claimants are exempt from the Universal Credit migration for Housing Benefit.

The amount you can receive depends on your income, savings, household size and the Local Housing Allowance for your area. Those on Guarantee Credit are automatically treated as having no income for the purposes of the calculation, which often means full coverage of an eligible rent.

If you're a homeowner, Housing Benefit won't help. But if you're struggling to pay your mortgage in retirement (a situation I've seen more often since interest rates rose), the Support for Mortgage Interest scheme provides a government loan to cover interest payments on certain loans. It's repaid, with interest, when the property is sold, so it isn't free money. The DWP administers it and you can find details at GOV.UK.

Shared ownership residents fall somewhere between the two and should take welfare rights advice on their specific situation.

What help exists for carers?

If someone is caring for you for at least 35 hours a week, they may be entitled to Carer's Allowance of £81.90 per week (2024/25 rate). This is claimed by the carer, not you, but it affects your financial picture in two ways: their income may reduce, and they may become eligible for Carer's Premium on top of any means-tested benefits they receive.

If you are the carer, not the person being cared for, the same applies: caring for an older parent or partner for 35 hours or more could entitle you to Carer's Allowance, provided your earnings don't exceed £151 per week net.

One frustrating quirk: if the person you care for receives Pension Credit, your Carer's Allowance can interact oddly with their calculation. The DWP adds a carer addition to Pension Credit, but some of that can be offset if they're already receiving other additions. A welfare rights adviser at Carers UK or your local council can work through the numbers.

Are there other benefits worth knowing about?

A few more entitlements don't fit neatly into the categories above but are worth checking:

Free prescriptions. Everyone in England aged 60 or over receives free NHS prescriptions automatically. You don't need to apply.

Cold Weather Payments. These are £25 payments triggered automatically when the temperature in your area falls below zero degrees Celsius for seven consecutive days. They're paid to people on Pension Credit and certain other benefits. Scotland has a separate Discretionary Housing Payment scheme and its own cold spell support.

NHS dental and optical help. If you're on Pension Credit, you're entitled to free NHS dental treatment and a voucher towards glasses or contact lenses through the NHS Low Income Scheme (HC1 form). Many people on Pension Credit don't realise this extends to their dental care.

Warm Home Discount. This is a £150 rebate on your electricity bill, delivered automatically for those on Pension Credit (the "core group") and sometimes extended to others on low incomes. It's a scheme run by energy suppliers under Ofgem rules, and eligibility is confirmed by the DWP matching data with energy companies. You don't typically need to apply if you're on Pension Credit; it should happen automatically.

Blue Badge. Not a financial benefit, but practically important. A Blue Badge allows you to park closer to destinations and is available to anyone with a severe mobility problem or who is registered severely sight impaired. Apply through your council. The assessment process has tightened in recent years, and some people who previously qualified don't automatically continue. If you've been refused, an appeal is genuinely worth pursuing with the help of a welfare rights adviser.

How do I find out what I'm entitled to?

The honest answer is that no single form or phone call will tell you everything. The system is patchwork. Different benefits are administered by the DWP, your council, NHS England and energy suppliers, and they don't talk to each other as well as they should.

The most reliable approach is a benefits check with a trained adviser. Age UK's free benefits calculator at ageuk.org.uk is a reasonable starting point for a self-check. For a face-to-face or telephone appointment, your local Age UK branch, Citizens Advice bureau or council's welfare rights team will do a full check and help with the paperwork. It's free, it takes about an hour, and in my experience it almost always turns up something.

What if I think I've been wrongly refused?

Benefit decisions can and do get overturned. The DWP made over a million incorrect benefit decisions in 2022/23, according to its own error statistics. If you've been refused, you have the right to request a Mandatory Reconsideration within one month of the decision letter. If that fails, you can appeal to an independent tribunal.

The tribunal success rate for Attendance Allowance appeals is higher than many people expect. In 2022/23, around 68% of social security and child support appeals were decided in the claimant's favour (according to the Tribunals Service statistics published by the Ministry of Justice).

Get advice before giving up. The free advice services mentioned above can help you decide whether your case is worth pursuing and assist with the paperwork. Giving up after the first refusal is understandable, but it's often a mistake.