DWP benefit applications soar after Labour's decision to slash the Winter Fuel Payment

Roughly 880,000 older Brits who are getting their pension are missing out on a simple cash boost that could be worth up to £3900 annually. This benefit, known as Pension Credit, has been historically under-claimed from the Department for Work and Pensions (DWP), but recent weeks have seen a surge in claimants.

The number of individuals applying for this benefit, which can supplement your monthly income to a minimum level, has soared following Chancellor Rachel Reeves' decision to scrap the universal Winter Fuel Payment. The £300 seasonal cash payment will now only be given to those receiving Pension Credit, as the new Labour government attempts to rectify an inherited £22 billion "hole in the public finances."

This move has triggered a significant increase in claimants for the benefit, which the DWP has long struggled to encourage low-income pensioners to utilise. In the five weeks following Reeves' announcement, the number of poorer pensioners applying for the benefit has more than doubled, with 38,500 new applications.

This signifies a 115 per cent rise in potential claimants, many of whom will receive weekly pension payments below £218.15 if they are single, or £332.95 for couples. This marks a significant shift for the benefit that Martin Lewis frequently refers to as "chronically under-claimed."

The personal finance expert has strongly encouraged those on low incomes and pensioners to contact the Pension Credit helpline for eligibility assessment, adding that: "You will not be told off for asking if you are due Pension Credit. If you're not due Pension Credit, they'll just tell you."

After the Chancellor's announcement on July 29 that only older Britons receiving Pension Credit would be granted the Winter Fuel Payment, there was a surge in claims for the benefit rocketing weekly applications from 3,500 to a staggering 7,900.

Acknowledging fiscal pressures, a government spokesperson said: "Given the dire state of the public finances we have inherited, it's right that we target support to those who need it most."

They added, "Over a million pensioners will continue to receive the winter fuel payment, while many others will also benefit from the £150 warm home discount from October to help with their energy bills over winter.

"We are seeing increased demand in pension credit claims and continue to urge pensioners to check their eligibility to make sure as many people in need can access this support."

The DWP has also released the data for the five weeks before and after the Winter Fuel Payment cut, showing that uptake of the historically under-claimed benefit has remained high after the announcement. The figures were rounded by the department.

You can find out more information about claiming Pension Credit on the government website.