Pension credit warning as people face massive delays

Pension credit is intended to give extra money to people over the state pension age and on a low income

More than nine million pensioners are paying income tax

Pensioners are encountering “massive delays” as they try to claim welfare payments to help with their living costs, MPs have heard.

Ministers were warned some people are waiting several months to receive thousands of pounds of support that they are entitled to under the pension credit system.

Work and pensions minister Paul Maynard downplayed the concerns, insisting the Government has an “excellent” delivery record and “extremely low levels” of complaints.

Pension credit is intended to give extra money to people over the state pension age and on a low income.

Speaking during work and pensions questions, Labour MP Steve McCabe (Birmingham Selly Oak) said more than nine million pensioners are paying income tax and almost one million are not receiving the pension credit to which they are entitled to.

Steve McCabe ( )

He told the Commons: “Does the minister think it might be time to improve the uptake of pension credit?”

Mr Maynard replied: “I’m pleased to be able to say that applications to receive pension credit are currently increasing quarter on quarter.”

He highlighted nationwide campaigns, including one featuring former football manager Harry Redknapp, and “experimental” campaigns – including writing to pensioners in receipt of housing benefit.

But SNP MP Alison Thewliss (Glasgow Central) said: “It’s all very well people applying for pension credit but what The Well advice centre in my constituency has been identifying is massive delays in people getting the pension credit to which are they eligible.

“One person who was in touch with me applied for pension credit in August 2023. When they got in contact with me in February of this year they were still waiting for that to be resolved, resulting in a backdating of over £8,000.

“Would that not be much better in the pockets of pensioners who need it now rather than waiting indefinitely for the DWP (Department for Work and Pensions) to get back to them?”

Mr Maynard said he was “disappointed” to hear of the experience of Ms Thewliss’s constituent, adding: “But that’s not really one that I hear very often about pension credit, we have a very excellent delivery record and extremely low levels of complaints.”

Labour MP Barry Sheerman questioned when the “miserable” Government will “wake up” to a shortage of labour in the country, adding: “At the same time we have an army of pensioners that we could retain in the workforce if they were given the right incentives to carry on work – and there’s a good relationship between that and keeping them healthy.

“Will he act?”

Mr Maynard replied to the 83-year-old Huddersfield MP: “I’m not sure whether he’s volunteering himself for a post-Commons career, I don’t know.”

He added: “There are many job opportunities out there for pensioners across the country.”