Older state pensioners can apply to get up to £566 extra from next April on top of their weekly pension payments.
Older state pensioners will be able to access another £566 of benefits following the Budget announcements this week, starting from April. Chancellor Rachel Reeves confirmed that the Triple Lock will be kept in place and, as a result, state pension payments will increase by 4.8% from April 2026, which is based on wage growth for September.
It means new, post-2016 state pensioners will be given another £575 per year if they have a full National Insurance record. But older state pensioners only get a £439 boost, as their weekly payments are lower.
However, there is another DWP benefit which will also increase from April which allows older state pensioners on a low income to top up their weekly payments to almost the same level as a new state pensioner – Pension Credit.
The DWP has now confirmed in its benefits rates for 2026-2027 how much extra Pension Credit will be increased by.
State pensioners will be able to get a £566 boost (Image: Getty)
In a DWP document on benefits uprating released in 2024, it says: “The standard minimum guarantee provides a guaranteed minimum income for pensioners. Incomes below this level can be topped up to the minimum through Pension Guarantee Credit.
“The Pensions Act 2007 requires the Government to increase the standard minimum guarantee anually, at least by the increase in average earnings.”
This year, it is average earnings, at 4.8%, which is the element being used to increase pension payments, as it is the highest of the three triple lock elements, the other two being inflation (3.6%) or a minimum 2.5% rise.
Because average wage growth is the legally mandated figure that Pension Credit must increase by, this is the figure which will be used for the increase next April, and this has now been confirmed by the government.
Pension Credit is currenly paying £227.10 per week. A 4.8% increase will add another £10.90 to payments, making them £238 per week, the DWP has confirmed, which is a £566.80 annual boost.
Under the triple lock, older state pensioners currently receive £176.45 per week in their basic state pension payments, and this will be increased by 4.8% to approximately £184.90, while new state pensioners will see theirs rise from the current £230.25 to approximately £241.30 per week.
To be eligible for Pension Credit, your weekly income must be lower than the payments. For example, this year, if your weekly income is less than £227.10 you can apply for Pension Credit to top up your weekly pension benefit to £227.10, which is just a few pounds lower than a new state pensioner with a full National Insurance record will receive.
The rules state:
Your income includes:
- State Pension
- other pensions
- earnings from employment and self-employment
- most social security benefits, for example Carer’s Allowance
But, if you have savings over £10,000, your Pension Credit payment is then reduced by £1 for every £500 you have over £10,000.
The rules from the DWP add: “If you have £10,000 or less in savings and investments this will not affect your Pension Credit.
“If you have more than £10,000, every £500 over £10,000 counts as £1 income a week. For example, if you have £11,000 in savings, this counts as £2 income a week.”
But Pension Credit also qualifies you for a host of other benefits, including Council Tax reduction, Housing Benefit, Support For Mortgage Interest and, if you’re over 75, a free TV licence.
