Millions of UK retirees depend on the State Pension, but a separate benefit could provide eligible low-income pensioners with an additional £483.60 a year from April 2027. The confirmed increase to Pension Credit will raise weekly payments alongside the annual State Pension adjustment.
Pension Credit Payments Will Rise by £9.30 a Week
According to Express.co.uk, the increase follows a government announcement confirming that Pension Credit payments will rise in line with 3.9% wage growth.
Unlike the State Pension, which is protected by the triple lock, Pension Credit does not automatically follow whichever is highest among wage growth, inflation and 2.5%.
Under the announced changes, the weekly increase for a single eligible pensioner will reach £9.30, equivalent to £483.60 over 52 weeks.
Couples will see their combined weekly entitlement increase by £14.15, bringing the reported payment level to £377.40 per week.
These figures represent increases in benefit entitlements rather than a universal cash payment. Pensioners must meet the qualifying conditions to receive the additional support.
Why Some Retirees Can Claim More Than Their State Pension
Pension Credit is a means-tested benefit designed to supplement the income of people who have reached State Pension age.
Not everyone receives the maximum State Pension. Payments depend partly on an individual’s National Insurance contribution record, and people with gaps in that record may receive substantially less.
The full new State Pension is expected to increase from £241.30 to approximately £250 per week under the figures cited in the report.
Older retirees receiving the basic State Pension may also qualify for additional support, depending on their financial circumstances.
Eligibility for Pension Credit depends on household income and other financial factors, including certain savings. Owning savings does not automatically disqualify someone, although larger amounts can affect the calculation.
The benefit can help bridge the gap between a pensioner’s existing income and the minimum income level recognized under the scheme.
Many Eligible Pensioners Are Still Missing Payments
One concern surrounding Pension Credit is that some eligible households never submit an application.
According to savings firm Raisin, the benefit remains underclaimed, meaning pensioners who could qualify may be missing financial assistance.
The firm explains:
“Pension Credit is a tax-free financial benefit for pensioners who are on a low income. However, many people don’t realise they’re eligible to claim it.”
Raisin also cites figures attributed to the Department for Work and Pensions:
“According to the Department for Work and Pensions, in 2025, approximately 1.7% of eligible people failed to claim Pension Credit, worth a total of £100m.”
Those particular figures have not been independently verified here. They highlight the need to distinguish reported estimates from confirmed government statistics when assessing the scale of unclaimed support.
Pension Credit Can Unlock Other Financial Support
The financial impact of Pension Credit can extend beyond its weekly payments.
Eligible recipients may gain access to other forms of assistance, depending on their circumstances and the rules of individual schemes.
These include Council Tax reductions, Housing Benefit, the Warm Home Discount, and help with certain NHS healthcare costs.
People aged 75 or older who receive Pension Credit may also qualify for a free TV Licence.
Pensioners can check their potential entitlement through the government’s official Pension Credit service.
The announced April 2027 adjustment will increase the reported weekly Pension Credit entitlement for couples to £377.40, while eligible single pensioners will see a £9.30 weekly increase.
