Millions of older people in the UK may be entitled to thousands of pounds in additional financial support each year. Yet a significant number are unaware that two widely available benefits can substantially increase their income.
Attendance Allowance and Pension Credit, which are administered through the Department for Work and Pensions, provide financial assistance to pensioners living with health conditions or limited incomes. When combined with the State Pension, these payments can raise annual income to nearly £18,000 for some claimants.
Many retirees rely solely on their State Pension and may not realise that further support exists. According to government estimates, hundreds of thousands of eligible pensioners are currently missing out on these payments.
Attendance Allowance Offers Extra Support for Health Conditions
Attendance Allowance is designed to help older people manage the extra daily costs that arise from illness, disability, or long-term health conditions. The benefit is available to people who have reached State Pension age and require assistance or supervision with everyday activities. The payment is not means-tested, meaning eligibility is not affected by income or savings. It is also tax-free and does not count as income when other benefits are assessed.
Recipients can receive one of two weekly rates depending on the level of support required. The lower rate is £73.90 per week, while the higher rate is £110.40 per week. Over a full year, this equates to approximately £3,842 or £5,740 respectively.
Eligibility is determined by the level of care or supervision a person needs during the day or night. This can include assistance with personal care tasks such as dressing, eating, bathing, or getting in and out of bed. Individuals may also qualify if they need supervision to remain safe or if daily tasks take significantly longer due to pain or mobility problems.
The benefit is not limited to physical disabilities. People with mental health conditions, learning difficulties, or sensory impairments such as hearing or vision loss may also be eligible. According to government guidance, applicants do not need to have a carer in order to claim.
In Scotland, the equivalent support is known as Pension Age Disability Payment. The benefit has replaced new claims for Attendance Allowance and is administered by Social Security Scotland, though eligibility rules and payment levels follow the same structure.
Pension Credit Tops up Income for Lower-Earning Pensioners
Pension Credit is a separate benefit intended to ensure pensioners have a minimum level of weekly income. According to the Department for Work and Pensions, the scheme currently supports around 1.4 million people across Great Britain.
The benefit guarantees a minimum income of £227.10 per week for a single pensioner and £346.60 per week for couples. On average, recipients receive around £4,300 a year in additional support. Despite its importance, the Department for Work and Pensions estimates that more than 700,000 eligible pensioners are not claiming Pension Credit. This means many older households may be missing out on significant financial assistance.
Even a small award can unlock access to further support. According to government guidance, receiving as little as £1 per week of Pension Credit can make pensioners eligible for additional benefits such as Council Tax reductions, housing support and help with heating bills through the Warm Home Discount Scheme. Other potential assistance includes support with NHS dental treatment, help with the cost of glasses and hospital transport, and a free television licence for people aged 75 or over.
Taken together, these benefits can significantly increase financial security in retirement. According to figures cited by the Daily Record, combining the full New State Pension with the higher rate of Attendance Allowance could bring total annual income to around £17,700, highlighting the scale of support available to those who qualify.
