Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what recent estimate she has made of the number of pensioners not in receipt of Pension Credit living in (a) relative and (b) absolute poverty; and what estimate she has made of the number of additional pensioners who will be living in (i) relative and (ii) absolute poverty as a result of no longer receiving the Winter Fuel Payment.
For the latest year 2022/23, 1.9 million pensioners were in relative poverty after housing costs (AHC). Of these, 1.6 million pensioners were not in receipt of Pension Credit.
For the latest year 2022/23, 1.4 million pensioners were in absolute poverty AHC. Of these, 1.2 million pensioners were not in receipt of Pension Credit.
A household is in relative poverty if its income is less than 60 per cent of the median household income in a given financial year. A household is in absolute poverty if its income is less than 60% of median household income in 2010/11, uprated by inflation.
‘Households Below Average Income’ provides estimates on the number of and percentage of people living in low-income households based on their household disposable income. As an income measure, it does not include other available resources that might impact on a household’s poverty levels such as savings.
These numbers have been rounded to the nearest 100,000.
This data is available on Stat-Xplore at https://stat-xplore.dwp.gov.uk in the ‘Households Below Average Income’ dataset.
More Information on the data included in the ‘Households Below Average Income’ dataset can be found here: https://www.gov.uk/government/statistics/households-below-average-income-for-financial-years-ending-1995-to-2023/households-below-average-income-series-quality-and-methodology-information-report-fye-2023#income-definition.
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Recognising the wide-ranging causes of pensioner poverty, we will explore how we can use all the available levers we have across government, external partners and local authorities. This includes boosting the uptake of Pension Credit to ensure that the poorest pensioners get the support they need.
We know there are low-income pensioners who aren’t claiming Pension Credit, and we urge those people to apply. This will passport them to receive Winter Fuel Payment alongside a range of other benefits – depending on circumstances, these could be worth hundreds of pounds that could really help them.