Pension Credit UK: Eligibility, Guarantee Credit, Savings Credit and Linked Benefits

Pension Credit Rates 2027/28 — Guarantee Credit, Savings Credit and Eligibility

Pension Credit rates for 2027/28 — the Guarantee Credit and Savings Credit amounts, who is eligible, and why Pension Credit unlocks a wide range of additional benefits.

Benefits information is based on current DWP and HMRC rules. Entitlements depend on your personal circumstances. For free personalised help, contact Citizens Advice or call the Universal Credit helpline on 0800 328 5644.

Pension Credit rates for 2027/28 will be confirmed in autumn 2026. If you think you may be eligible, it is worth claiming even a small amount.

Last reviewed: May 2026. 2027/28 Pension Credit rates will be confirmed in autumn 2026. This page will be updated when the figures are announced.

Pension Credit Rates — Reference 2025/26

Weekly rate (2025/26) Annual
Guarantee Credit — single £227.10 £11,809
Guarantee Credit — couple £346.60 £18,023
Savings Credit — single (max) £17.29 £899
Savings Credit — couple (max) £19.36 £1,007

2027/28 rates to be confirmed autumn 2026.

Additional Amounts (Guarantee Credit)

Extra amounts added to the Guarantee Credit for specific circumstances:

Additional element Weekly amount (2025/26)
Severe disability (single) £81.50
Severe disability (couple, one qualifying) £81.50
Severe disability (couple, both qualifying) £163.00
Carer addition £45.60

What Benefits Pension Credit Unlocks

Benefit Condition
Free TV Licence Must be 75+ and on Pension Credit
Housing Benefit If renting — up to full Local Housing Allowance
Council Tax Reduction Up to 100% reduction
NHS dental treatment Free
NHS glasses Voucher towards cost
Hospital travel costs Refunded
Winter Fuel Payment £200–£300 (for those losing it due to means-test — restored if on PC)
Cold Weather Payment £25/week during cold spells
Free school meals For grandchildren in your care

This makes Pension Credit one of the highest-value benefits to claim — even if you only qualify for £1/week.

How Savings Affect Pension Credit

Savings Impact on Pension Credit
Under £10,000 No impact
£10,001–£10,500 Assumed to generate £1/week income
£20,000 Assumed £20/week additional income
£50,000 Assumed £80/week additional income

(Every £500 above £10,000 = £1/week assumed income)

How to Claim Pension Credit

  • Phone: 0800 99 1234 (Monday–Friday, 8am–6pm)
  • Online: gov.uk/pension-credit/how-to-claim
  • By post: Pension Credit claim form (obtainable by calling)
  • Can be backdated up to 3 months if eligible

Why Pension Credit Is Under-Claimed

An estimated 800,000+ eligible households do not claim Pension Credit — often because they do not know they qualify or assume the benefit is only for those with no income at all. In reality, Pension Credit tops up income to the Guarantee Credit level, meaning anyone with a weekly income below £227.10 (single) or £346.60 (couple) may qualify.

Key reasons people miss out:

  • Assuming a small private pension or savings disqualifies them
  • Believing the application is complex
  • Not knowing about Pension Credit’s role in triggering other benefits

Even £1 per week of Pension Credit can unlock a free TV Licence, Winter Fuel Payment, and Council Tax Reduction — potentially worth thousands of pounds per year.

What Income Counts (and What Does Not)

Counts as income Does NOT count
State Pension Attendance Allowance
Private/workplace pension Personal Independence Payment (PIP)
Savings income above £10,000 (tariff) Disability Living Allowance (DLA)
Rental income Council Tax Reduction
Employment income Housing Benefit
Most benefits (e.g. Carer’s Allowance) War Disablement Pension (partially)

Capital (savings and investments) under £10,000 is completely ignored. Savings above £10,000 reduce your Pension Credit by a tariff of £1/week per £500 over the threshold.

Backdating and Claiming Urgently

Pension Credit can be backdated by up to 3 months. This means if you are eligible today, claiming now can result in a lump sum covering the past quarter. The Pension Credit helpline (0800 99 1234) can process claims quickly — advisers will help gather the information needed.

Sources

  1. GOV.UK — Pension Credit
  2. DWP — Benefit and pension rates