Older Britons are being urged to apply for Pension Credit as the gulf between the poorest retirees and those on average incomes continues to widen, according to the Institute of Fiscal Studies (IFS).
Experts are reminding pensioners about the Department for Work and Pensions (DWP) benefit after the think tank found poverty remains an issue for older households across the country.
The IFS stated incomes among the poorest 10 per cent of pensioners went up by five per cent from 2011 to 2022, based on research conducted by the Joseph Rowntree Foundation (JRF).
This means that the financial difference between poorer pensioners and those on average incomes continues to grow.
Pensioners in poverty have seen their incomes fall behind because they have not benefited from the increases in private pension incomes, the IFS claims.
The think tank cited that older people have not been able to benefit from growth in employment incomes that have helped middle-income retirees and working-age Britons.
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Pension Credit is a benefit reserved for lower income pensioners
GETTYOne of the ways pensioners in lower income can top up their finances is by applying for Pension.
This is a benefit reserved for those of at least the state pension age who are in need of financial assistance.
Under the DWP benefit, claimants receive a weekly top-up to £218.25 if they are single or £332.95 if they have a partner.
When someone has a severe disability and gets DWP support for it, claimants will get an extra £81.50 a week.
Carers are line to claim an additional £45.60 if they receive payments such as Carer's Allowance.
Housing support is also available through Pension Credit for those who make the eligibility criteria.
Anna Henry, a research economist at the IFS, called on the new Labour Government to take action as soon as possible.
She explained: “Reductions in pensioner poverty seen before 2011 have gradually gone into reverse.
“The new Government will need focus on current and future challenges for pensioner incomes, especially those of low income pensioners, and not assume that everything will always be getting better.”
Peter Matejic, JRF chief analyst, said: “Ministers should note that this report highlights more needs to be done to address the low take-up of pension credit which acts as a brake on its power to reduce pensioner poverty.
LATEST DEVELOPMENTS:
Poorer pensions are seeing their incomes fall in real terms
GETTY“This is a problem across the benefits system, with many people not claiming support they are entitled to. There is no good reason more can’t be done to educate and inform people about their entitlement, as well as to simplify the application process.”
A DWP spokesperson: "Ensuring a better deal for the pensioners of today and tomorrow is a priority for this government.
"We have committed to the Triple Lock and are promoting Pension Credit and its benefits such as help with heating costs to protect pensioners on the lowest incomes."
Those looking to apply for Pension Credit can start their claim by visiting the DWP's website.
