271,761 Pensioners Refused Pension Credit

One of the biggest problems I had when I was a benefti advisor was working with people sitting in dilapidated draughty houses, with up to £50,000 in the bank. It was their rainy day fund and they wouldn't touch it. I would explain that if they spent some of the money - replacing their windows with double glazing, or getting the outside of the house decorated. This would be considered acceptable expenditure. they would still have a rainy day fund, and they would then qualify for Pension Credit and everything that went with it.

Would they consider reducing that fund, no of course they wouldn't and I used to despair leaving these people in cold drafty houses sitting huddled over a gas fire, yet having enough money to spend their last few years in comfort, if only they would spend it.

"There was a 116% increase in the number of people claiming pension credit in 2022/23 compared to the year earlier. This was due to a sustained marketing campaign from the government to increase the number of applicants so that more low-income pensioners could benefit from cost-of-living payments and a higher income". Source Qulter

One person asked for help from foodbank. He was unable to buy food, as he was on the SP only, he explained. He met with a local authority worker who went through how to apply for other benefits, but he told her that he had applied for Pension Credit, but the "robbing b##" wouldn't give him more as he had a little in the bank ( £22000 apparently )
It was explained that this rendered him not eligible for food parcels, as he could fund food from his savings.
He was incensed- " you can't tell me what to do with my money, I've got plans for that".

Usedtobeblonde. For Pension Credit, every £500 savings over £10,000 counts as £1 a week extra income. For someone with savings of £20,000 that would count as £20 a week. For someone with £100,000 in savings, (quite possible after downsizing), that would count as £180 a week - which would put most people over the limit unless their pension income is under £40 per week. There are people with tiny State Pensions because they didn’t work, were perhaps supported by someone else for years but didn’t inherit any pension from a late partner as in that case.

Elegran. Not sure there are earlier analyses as the notes to the latest claim numbers say: Figures presented in this release are from DWP’sPension Creditsystem which has previously been collected for internal departmental operations use only.

As for additional staff, it must depend on whether they are completely new recruits in which case they will need training, or whether experienced staff are being redeployed in which case they may need some refresher training. We can see from the DWP stats that the processing numbers are picking up.

Or why so many applications have been processed yet, even with 500 extra people processing. There is a lot to consider!

Tis link is quite interesting, if anyone is a bit vague about what is in the application form. assets.publishing.service.gov.uk/media/66f561aee84ae1fd8592e979/pc10s-a-detailed-guide-to-pension-credit-for-advisers-and-others-sept-2024.pdf

I had found that , FlitterMouse What I wanted was a chart of the figures for applications made, granted, not granted, and not yet processed, for several years going back from 2024(total) to about 6 or 7 years previously. I saw this briefly while I was searching, but have been unable to find it again. Infuriating. I begin to think I was hallucinating.

I think sometimes people confuse having a very low income but having capital to rely on.
I have a friend with a low income, she says it is below old state pension.
She lived with a man for over 20 years and they were very happy but never married.
When he died his pesions died with him but he left her a house and savings.
She downsized considerably and probably has a large amount of savings by what she can do. Lots of work in the house and garden and able to change her car when necessary.
She was persuaded by family and friends to apply and was refused.
This is probably the right decision as she would just leave her money to her family who would have been subsidised by the taxpayers.
It is not always what is seen on the surface as to income.

To use the word refused is disingenuous and inflammatory. These will be claims which did not meet the criteria. Inviting people to make a claim is hardly mental cruelty.

The whizzing letters:

Pensions minister Torsten Bell, in a parliamentary response, stated: Over the coming weeks, as part of the annual state pension uprating exercise, around 11 million pensioners will receive a leaflet promoting Pension Credit along with their state pension uprating letter.

Promoting and exhorting to claim are not the same things.

OP should look at recent DWP stats for Pension Credit application processing where she will see that, before the announcement on 29 July 2024, restricting WFP to recipients of Pension Credit, the number of claims not awarded was always high. Between 1,300 and 2,500 claims per week were not awarded compared to 1,900 to 2,500 per week which were awarded.

www.gov.uk/government/statistics/pension-credit-applications-and-awards-november-2024/pension-credit-applications-and-awards-november-2024--2#:~:text=Comparing%20the%2016%2Dweek%20periods,(from%2027%2C100%20to%2053%2C100).

The number quoted by OP covers five years and three months - which averages a non-award rate of 1,200 per week. In that period:

The data shows that since the 2019/20 tax year up to 31st July 2024 the DWP received a total of 848,973 pension credit claims of which 572,565 were awarded. Therefore, around two-thirds (67%) of claims were successful over the period. Do the sums and you will see that is the average non-award rate was around 1,200 per week.

www.financialreporter.co.uk/over-270000-pensioners-denied-pension-credit.html

Since the end of July there has been a significant increase in claims and a significant increase in the number not awarded. That makes sense. It's far more likely that people on very low incomes will have already been claiming PC before the WFP announcement. Claims now are likely to be coming from people who are recently retired or whose incomes are on the margins of award or non award.

You’re right there keepingquiet. Fortunately most of us look for some proper information.

Barleyfields

I don’t understand the point of this thread. In the absence of an administrative error an applicant will only fail to be granted pension credit if they don’t meet the qualifying criteria. Use of the word ‘refused’ is misleading and inflammatory. I could apply for PC today and would be ‘refused’ because I know I don’t qualify.

It is good that information about the availability of PC is being widely disseminated but providing that information by no means implies that the recipient of the information qualifies. How the OP can imagine sending a leaflet about PC to someone who isn’t eligible for it amounts to ‘mental cruelty’ I can’t begin to understand.

I do.

It's just someone else trying to diss the government thinking we'll be horrified at some figures they've produced.

Sorry that is so long. I added the quote for those who don't like links.

The statistics I am looking for are proving elusive. The comparisons to be answered must be somewhere, but I haven't yet found them yet.

However, I have found out that trial letters inviting pensioners to apply for pension credit were sent out in July 2023. I assume the letters being sent out currently will be based on the 2023 trial and will improve both the numbers of people applying and their likelihood of success, if the success rate of those wh received the trial ones is continued. However, applicants still have to match the requirements - failing to qualify seems mostly due to this.
www.gov.uk/government/publications/pension-credit-invitation-to-claim-trial/423b0c09-59f4-48be-87cc-0bf70cae6a72#qualitative-results

"This research was conducted with the aims of:

1. Identifying whether DWP could use administrative HB data to accurately identify PC ENRs;

2. To investigate the effectiveness of sending an invitation to claim letter to a sample of those identified from HB data as being entitled to PC, but not receiving the benefit.

Research design

HB administrative data was used to identify approximately 144,500 pensioner households who were potentially entitled to PC but not receiving it. A treatment group of 2,409 pensioner households within 10 Local Authority (LA) areas were sent a letter in July 2023, advising them of their potential eligibility and inviting them to make a claim. They also received a reminder letter in September 2023. The remaining approximately 142,000 pensioner households outside of the 10 LA areas, did not receive a letter and were treated as a control group for comparative purposes.

Administrative data was used to track PC claims made subsequently to the invitation to claim letter. Early claims data provided essential learning and allowed us to improve the criteria used to identify ENRs with HB data. Follow up interviews were conducted with a number of pensioner households from the treatment group.

Interviews covered the participant’s claims history; reactions and understanding of the letter, and reasons to claim or not to claim."

The details and analysis of this trial are discussed at the URL www.gov.uk/government/publications/pension-credit-invitation-to-claim-trial/423b0c09-59f4-48be-87cc-0bf70cae6a72#qualitative-results

Barleyfields

I don’t understand the point of this thread. In the absence of an administrative error an applicant will only fail to be granted pension credit if they don’t meet the qualifying criteria. Use of the word ‘refused’ is misleading and inflammatory. I could apply for PC today and would be ‘refused’ because I know I don’t qualify.

It is good that information about the availability of PC is being widely disseminated but providing that information by no means implies that the recipient of the information qualifies. How the OP can imagine sending a leaflet about PC to someone who isn’t eligible for it amounts to ‘mental cruelty’ I can’t begin to understand.

This

I don’t understand the point of this thread. In the absence of an administrative error an applicant will only fail to be granted pension credit if they don’t meet the qualifying criteria. Use of the word ‘refused’ is misleading and inflammatory. I could apply for PC today and would be ‘refused’ because I know I don’t qualify.

It is good that information about the availability of PC is being widely disseminated but providing that information by no means implies that the recipient of the information qualifies. How the OP can imagine sending a leaflet about PC to someone who isn’t eligible for it amounts to ‘mental cruelty’ I can’t begin to understand.

The number quoted as refused is only one of the figures needed to judge this. There are still questions to be asked before we can judge the "mental cruelty" level of this government's actions compared with previous Governments, and indeed with the current image pushed so hard by some sections of the press.

How many people applied? and how does this compare with the numbers applying over past years?

How many were accepted? How many refused? How do these figures compare with past years?

How many have not yet been processed (in spite of the 500 extra people employed in processing them), and when will we learn how the total numbers of 2024 applications accepted or refused in 2024 compare with past years (and with the apparent numbers so widely published for 2024?)

I shall try to find out these statistics and post them (once I have done some more urgent jobs. Some other poster may find them before me.)

People had until Saturday 21 December 2024 to claim Pension Credit and still qualify for this year's Winter Fuel Payment. It is possible that quite a lot of pensioners thought it worthwhile to apply before then even though they were unlikely to qualify, so as to have a chance to get the WFP too, on the "if you don't ask you won't get" principle.

"mental cruelty"? mae13 does have analarmist style when posting. Never fails to make me laugh. Recommend a large pinch of salt.

Mental cruelty?
🙄

Luckygirl3

1. Some people will get turned down for the very sound reason that they do not qualify.
2. There is nothing wrong with applying to see if you qualify, which many people do.
3. The government is right to have a campaign to try and make sure that those who do qualify actually apply.
4. Where does this rubbish about "mental cruelty" come from?

Very clearly put.

1. Some people will get turned down for the very sound reason that they do not qualify.
2. There is nothing wrong with applying to see if you qualify, which many people do.
3. The government is right to have a campaign to try and make sure that those who do qualify actually apply.
4. Where does this rubbish about "mental cruelty" come from?

If those figures are for 5 years that is 54,000 a year and when I worked for Age Concern(as was) we always told people that it is better to apply and be turned down than not to apply and then find out years later you would have qualified. You cannot claim arrears

An application for anything is not a promise of getting it. You do not consider it mental cruelty if you are encouraged to apply for a job and do not get it.

One of my main mantras in life is 'always apply for anything, the worst that can happen is that they will say no.' I have been turned own times without number in life, but I have on occasion got things I never thought I would get and were much to my advantage.

mae13

As of 10 September 2024 these are the figures for rejected claims. The reason I looked it up is that the DWP is preparing to whizz 11 million leaflets off to pensioners exhorting them to apply for Pension Credit.

Are the Government trying to ease their collective consciences because the axing of the Winter Fuel Allowance is one cruel step too far?

And doesn't urging people to apply for Pension Credit (giving the impression they have a fair chance of qualifying for it) amount to mental cruelty when they have a fair chance of being rejected?

The figure 271,761 is the TOTAL from 2019-2024
The link below shows the figures for each year.
media.quilter.com/search/2024/over-270000-pensioners-denied-pension-credit-amid-new-winter-fuel-payment-rules/

No, it gives those eligible (who might not know about it) the chance to apply and receive it. And to encourage people who reluctant to apply for it for whatever reason.

It’s not difficult to use a benefit calculator or the publicly available information to check for oneself whether there’s a chance of being eligible.

If the government hadn’t done a widespread information campaign they’d no doubt be criticised for that too.