Nearly seven in 10 pensioner homeowners eligible for State Benefits are missing out

12 Jan, 2022

Just Group’s twelfth annual State Benefits insight report finds that pensioner homeowners are missing out on thousands of pounds of extra income by failing to claim their full entitlement to means-tested State Benefits.

The annual research is based on in-depth fact-finding interviews with clients seeking advice on equity release during 2021 and, in its key findings, uncovers that among eligible pensioner homeowners:

  • Nearly half (49%) were failing to claim with each household missing out on an average of £1,197 a year extra income
  • Two in 10 (21%) who were claiming were receiving too little, on average missing out on £1,220 a year extra income
  • The highest amount of extra income lost was £9,090 a year to a couple in Kent who were missing out on claiming Guarantee Pension Credit, Savings Pension Credit and Council Tax Reduction.
  • Guarantee Pension Credit – the main benefit targeted at helping low-income pensioners – has the highest take up rate of all the four key benefits with 72% who are eligible claiming, but those failing to claim are missing out on an average £2,265 extra income per year, the most of all the benefits

“Every year we find meaningful income that would make a real difference to people’s lives is not being claimed,” said Stephen Lowe, group communications director at retirement specialist Just Group.

“It reinforces the message that benefits information is integral to retirement guidance and that those struggling for income should check if they are missing out which many fail to do.”