Pension credit application deadline for final cost of living payment

The Department for Work and Pensions says nearly 880,000 homes in the UK could get £299 more if they apply for pension credit by Tuesday 5 March¹. The payment is the last of three cost of living instalments worth a total of £900, sent to people claiming means-tested benefits between 6 and 22 February 2024¹.

Around eight million vulnerable households received the £299 payment in that window, sent by the DWP to people on means-tested benefits¹. Eligible households should already have received the first two instalments of £300 and £301 in the spring and autumn¹. To qualify, a household must already be receiving one or more of Universal Credit, income-based jobseekers allowance, income-related employment and support allowance, income support, pension credit, or working tax credit and child tax credit¹. The payment is automatic and arrives separately from benefits or tax credits¹.

Pension credit is a means-tested benefit awarded on earnings, and around 1.4 million UK low-income pensioners already receive it¹. It has two parts. Guarantee credit tops up weekly income to £201.05 for single people and £306.85 for couples in 2023-24¹. Savings credit is only available to people who reached state pension age before April 2016¹.

Separately, an extra £300 was paid to eight million pensioners as an increase to the Winter Fuel Payment for 2023 to 2024, sent automatically by the DWP from 1 November¹. The Winter Fuel Payment is usually between £100 and £300, meaning some eligible pensioners could have received a total of £400 to £600 in government support¹. A one-off £150 payment was made between 20 June and 4 July to more than six million people with disabilities; anyone in receipt of certain disability benefits on 1 April 2023 was entitled¹.

The DWP has warned about scam messages. In January 2023 it said on social media:

Anyone who met the eligibility criteria but has not received support after the payment period has passed should first check their bank statement for a payment referencing "DWP COL" or "HMRC COLSD" alongside their National Insurance number, then use the government's online form¹. Suspicious texts or emails can be forwarded free to 7726 or sent to report@phishing.gov.uk¹.

Why it matters for households

The 5 March deadline is the last chance for pensioner households not already on pension credit to become entitled to the £299 payment, because entitlement depends on receiving a qualifying benefit¹. For a single pensioner, guarantee credit tops up weekly income to £201.05 in 2023-24; for couples, £306.85¹. Savings credit is closed to anyone who reached state pension age from April 2016 onwards¹. The £299 is the final instalment of the £900 package, so no further cost of living payments under this scheme are reported¹. The £300 Winter Fuel Payment top-up and the £150 disability payment have already been paid¹.

What happens next

The pension credit application deadline for the £299 payment is Tuesday 5 March 2024¹. Households that believe they were eligible but have not been paid can check their bank statement and then submit the government's online form¹.