Boost for Pensioners

Wednesday, 25, Nov 2009 12:00

The capital disregard when calculating Pension Credit entitlement has this month been increased from £6,000 to £10,000.

Pension Credit is an entitlement that was introduced to help support pensioners who have worked hard all their lives but are finding it difficult in retirement. Pension Credit guarantees everyone aged 60 and over an income of at least £130 a week if you are single and £198.45 a week if you have a partner.

If someone has a higher level of savings than the capital disregard their entitlement is decreased at a rate of £1 per £500 over the threshold. The new £10,000 threshold will mean over 500,000 pensioners on modest incomes gaining, on average, £4 per week and by up to £8 in some cases.

Michael Foster MP said:

“This change will be a help to hundreds of pensioners across Hastings and Rye. This year I have written to thousands of local people trying to encourage greater uptake of Pension Credit. At the time I said the threshold was £6,000 but the Government have now substantially increased that, a change I strongly support. I hope people will now look again at the leaflets and recheck if they might now be entitled to some support.”