People Over State Pension Age Set to Receive Nearly £370 in One-Time Payments by Year’s End

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By Lydia Amazouz Published on 4 June 2024 11:20
People Over State Pension Age on Disability Entitled to Extra £326 Monthly

More than one million individuals over State Pension are set to get a series of one-off payments worth nearly £370 before the end of this year by the Scottish Government and the Department for Work and Pensions (DWP).

It is worth noting that none of these payments are due before November at the earliest, but it is crucial to know the amount to expect and when you receive it.

State Pension Reform: PAWHP Takes Over Winter Fuel Payments

The greatest change this year for the older generation in Scotland is the new lump sum replacing the annual Winter Fuel Payment, which is currently managed by the DWP. It is set to be substituted with the Pension Age Winter Heating Payment (PAWHP) and will be provided by Social Security Scotland.

Winter Fuel Payments are in most cases made automatically to eligible families during November, December and January, to assist State Pensioners pay for the costs of higher winter bills. PAWHP will follow the same payment schedule as DWP and deliver payments of up to £300 per qualifying household.

Qualification criteria for Winter Fuel Payments are linked to the State Pension age of people living in each household — over 60, or over 80 — and their circumstances — single, couple, both of same age, or mixed ages — during the September qualifying week — this is also expected to remain unchanged.

The instructions provided by GOV.ScOT clarify that payment rates will be £100, £150, £200 or £300 for individuals, which makes a typical household of two generally receive a total of £200 or £300.

Household Qualification Criteria for Payment Rates

Household CircumstancesAged 66-79Aged 80+
You qualify and live alone (or live with someone who does not qualify for PAWHP)£200£300
You qualify and live with a person under 80 who also qualifies£100£200
You qualify and live with a person 80 or over who also qualifies£100£150
You qualify, live in residential care, and you do not receive certain benefits (e.g., Pension Credit)£100£150
You qualify, live in residential care, and you do receive certain benefits (e.g., Pension Credit)00

People Living in Nursing Homes

The eligibility for people who live in nursing homes will follow the same rules as the Winter Fuel Payment. The guidance clarifies: “People who are living in residential care during the qualifying week, and the period of 12 weeks immediately before the qualifying week, do not qualify for the ‘full’ rate of Winter Fuel Payment.”

People in nursing homes who do not receive the specific benefits listed in the table are qualified for a Winter Fuel Payment of either £100 if they are aged between 66 and 79 or £150 if they are aged 80 or over — this will be the same rate for Pension Age Winter Heating Payment.

The guidance clarifies that this is due to the fact that they share the accommodation with other individuals who are also qualified to the payment and are responsible for a share of the heating payments.

It continues: “Those who are living in residential care and receiving one of the specific benefits receive no payment.”

It explains: “This is because historically people living in a care home and in receipt of an income-related benefit have received public funding for their care and accommodation costs including heating through funding from the local authority.

“As this is still the case for the vast majority of people receiving Pension Credit, the WFP is not payable.”

Winter Heating Payment — £58.75 One-off Payment

This delegated benefit is only accessible in Scotland and replaced the £25 Cold Weather Payment provided by the DWP in winter 2022. In contrast to the DWP benefit, it does not depend on a sustained period of cold weather in a particular location but is a yearly, one-off payment made regardless of the weather.

The payment increases each year along with inflation and will be worth £58.75 this winter. Most payments were delivered in December last year, so the payments could be expected on the same period this year.

It is made to assist low-income individuals or benefits who might have additional heating needs during the winter period — this includes those on Pension Credit, Universal Credit and Income Support.

The qualifying period is usually a specific week in November, which hasn’t been confirmed yet. You can find more information about the Winter Heating Payment on mygov.scot here.

DWP's Christmas Bonus — £10

This payout is a one-off, tax-free £10 payment granted to people who receive State Pension or those who claim some other benefits during the qualifying week, which typically falls on the first full week of December.

No application is needed for the extra £10 as it automatically goes into the account where your State Pension or benefit payments are typically delivered. It is issued as a separate payment, independent of your regular State Pension or benefit payment, so you can expect it to arrive on a different day.

Eligible benefits

  • Adult Disability Payment.
  • Armed Forces Independence Payment.
  • Attendance Allowance.
  • Carer’s Allowance.
  • Carer Support Payment.
  • Child Disability Payment.
  • Constant Attendance Allowance (paid under Industrial Injuries or War Pensions schemes).
  • Contribution-based Employment and Support Allowance (once the main phase of the benefit is entered after the first 13 weeks of claim).
  • Disability Living Allowance.
  • Incapacity Benefit at the long-term rate.
  • Industrial Death Benefit (for widows or widowers).
  • Mobility Supplement.
  • Pension Credit — the guarantee element.
  • Personal Independence Payment (PIP).
  • State Pension (including Graduated Retirement Benefit).
  • Severe Disablement Allowance (transitionally protected).
  • Unemployability Supplement or Allowance (paid under Industrial Injuries or War Pensions schemes).
  • War Disablement Pension at State Pension age.
  • War Widow’s Pension.
  • Widowed Mother’s Allowance.
  • Widowed Parent’s Allowance.
  • Widow’s Pension.
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