Almost one million of Britain’s poorest older households are missing out on pension credit, new figures show. Just 65% of those entitled to the benefit received it in 2023/24, down from 62% the year before, according to the Department for Work and Pensions.

It means 910,000 households lost out on the benefit, with up to £2.5 billion unclaimed which is an average of £2,600 a year per family. Independent Age described the figures as “concerning” and warned that “far too many older people on low incomes are still missing out on this vital financial support”.

The charity’s director of policy and influencing, Morgan Vine, said: “It’s unacceptable that such vital support is failing to reach older people who need it most.

“Pension credit can be truly transformative. It boosts income by over £4,000 a year and unlocks access to a wide range of additional entitlements, including free NHS dental care, the Warm Home Discount, and Housing Benefit to help with rent.”

The Government has launched a fresh push to boost take-up with letters sent to 2,000 pensioners identified as being most likely to be eligible for the benefit but not claiming it.

Ms Vine added: “While we welcome some of the new strategic approaches the UK Government is trialling, these statistics show action is needed more urgently than ever.

“We are calling on the UK Government to implement an all-entitlement take-up strategy that targets older people on low incomes and ensures they can access all the financial support they are entitled to.

“Crucially, any effective strategy must simplify the application process. Our research shows that the current system is too complex, acting as a major barrier to access.

“Older people facing financial hardship shouldn’t be forced to navigate a confusing and time-consuming process just to receive money that has been set aside for them.”

The figures cover the period before the Government launched a major drive to increase uptake as part of controversial winter fuel payment cuts, which it later U-turned on.

Pensions minister Torsten Bell said: “We’re committed to supporting harder-up pensioners however we can.

“Pension credit is a simple way to give those who need it the most some extra support with bills or a free TV licence.

“I’d urge anyone who thinks they, or anyone they know, might be able to claim pension credit, to take a few minutes out of their day to check and apply. This country’s pensioners deserve every penny they are entitled to.”