Why £24bn goes unclaimed
This is one of the most striking facts in UK public policy. Over £24 billion in benefits goes unclaimed every year. The figure is rising. Universal Credit alone accounts for £11.1 billion of unclaimed support per Policy in Practice's 2025 research. Council Tax Support adds another £3.3 billion. Carer's Allowance: £2.4 billion. Pension Credit: £2.2 billion.
The reasons are well documented. Admin complexity makes the system hard to navigate. Lack of awareness means millions simply do not know what they qualify for. Stigma around claiming pushes people to disengage. The fragmented nature of UK support, with different benefits run by different bodies, creates a postcode lottery of available help.
None of these are reasons not to claim. UK benefits are not charity. They are a legal entitlement that you have paid into through tax and National Insurance, or that exist specifically because of your circumstances.
Run a free benefits check before reading further
The single most useful thing you can do right now is run a free benefits calculator. Use entitledto.co.uk or Turn2us. Both are free and anonymous. You do not need to give your name. Enter your income, savings, housing costs and household details and the calculator shows every benefit you are likely to qualify for, with estimated amounts. Takes about ten minutes.
Universal Credit
Universal Credit (UC) is the main working-age benefit in the UK, replacing six older benefits including Income Support, JSA, ESA, Housing Benefit, Child Tax Credit and Working Tax Credit. It is run by the DWP and paid monthly.
Additional elements available for children, housing costs, disability, caring and childcare (up to 85% of costs). Source: GOV.UK Benefit Rates 2026/27
Who can claim Universal Credit
UC is available if you are 18 or over (some 16-17 year olds qualify in specific circumstances), under State Pension age, have less than £16,000 in savings and live in the UK. Crucially (this is widely misunderstood): you do not have to be unemployed. UC is specifically designed to support people in low-paid or part-time work. Your payment reduces gradually as earnings rise, at 55p for every £1 earned above your work allowance, so working always leaves you better off.
If you are in a couple, you make a joint claim. If either of you is over State Pension age, different rules apply, contact the Pension Credit helpline instead.
What counts as savings, what does not
Savings between £6,000 and £16,000 reduce your UC payment by £4.35 per month for each £250 (or part thereof) above £6,000. Savings above £16,000 disqualify you entirely. Savings below £6,000 are ignored. Recent lump sums (redundancy pay, inheritance) count, so check how this affects your claim before applying.
What extra elements you can get on top
The standard allowance is just the starting point. You may qualify for additional elements:
- Child element, £292.81/month for the first eligible child; additional children may qualify depending on when they were born
- Housing element, covers eligible rent up to Local Housing Allowance limits for your area
- Childcare element, up to 85% of eligible childcare costs (capped at £1,031.88 for one child; £1,768.94 for two or more)
- LCWRA element, £217.26/month for new claimants from April 2026 if you have a health condition that severely limits work (existing claimants who already received this before April 2026 keep the higher rate)
- Carer element, £201.68/month if you provide 35+ hours of care per week for someone on a qualifying disability benefit
LCWRA element reduced for new claimants
From 6 April 2026, the Universal Credit Act 2025 cut the LCWRA (limited capability for work-related activity) element from £432.27 to £217.26 per month for most claimants newly entitled to it. Existing claimants who already received this element before April 2026 keep the higher rate. If you have a health condition or disability and might qualify, claiming sooner rather than later matters.
Pension Credit (the most-missed)
Pension Credit is consistently the most underclaimed benefit in the UK. Official DWP take-up statistics show just 62% of eligible pensioners claim it. An estimated 760,000+ households who would qualify are missing out, around £2.2 billion collectively, per House of Commons Library.
Guarantee Credit tops your weekly income up to these minimums. Additional amounts available for carers, severe disability and housing costs.
Pension Credit comes in two parts. Guarantee Credit tops up your weekly income to the minimum threshold above. Savings Credit is an extra payment for people who saved towards retirement, but new claims are limited to those who reached State Pension age before 6 April 2016.
Why claiming Pension Credit matters more than the credit itself
Beyond the credit itself, receiving Pension Credit Guarantee Credit unlocks a stack of other valuable entitlements:
- Full Council Tax Reduction, your council tax may be paid in full
- Housing Benefit, if you rent privately or from a council
- Free NHS dental treatment and sight tests
- Free TV licence if you are 75+ and receiving Pension Credit
- Cold Weather Payment, £25 for each 7-day cold spell
- Warm Home Discount, £150 off your electricity bill
- Winter Fuel Payment, up to £300 subject to current rules
How to claim Pension Credit
Call the Pension Credit claim line on 0800 99 1234 (free, Mon-Fri 8am-6pm) or apply online at GOV.UK Pension Credit. Claims can be backdated up to three months. If your parents or grandparents are over State Pension age, encouraging them to check is one of the most financially significant things you can do for them.
Council Tax Reduction
Council Tax Reduction (CTR), also called Council Tax Support, is a discount on your council tax bill for people on low incomes. It is one of the most underclaimed UK benefits: 2.7 million households are missing £3.3 billion of support every year.
You may be eligible if you are on a low income, whether working, unemployed or unable to work. Pensioners receiving the Guarantee Credit part of Pension Credit typically get their entire council tax paid. Working-age applicants are assessed under their council's own scheme, which varies between areas but generally considers income, savings (up to the £16,000 threshold), household composition and whether anyone receives disability benefits.
Other council tax reductions worth checking
In addition to CTR, check whether other discounts apply. These are separate schemes that often go unclaimed:
- 25% single-person discount, if you are the only adult who counts for council tax purposes (full-time students, people with severe mental impairment, apprentices and residents in care homes are all disregarded)
- 50% second-adult discount, in some circumstances if the second adult is on a low income
- Severe Mental Impairment exemption, full exemption from council tax if everyone in the property is medically certified as severely mentally impaired
- Disabled Band Reduction, one band lower if your home has been adapted for a disabled occupant
How to claim Council Tax Reduction
Apply directly to your local council. Find yours at GOV.UK Council Tax Reduction. Most applications can be done online and take around 20 minutes. Have your latest payslips, bank statements and benefit award letters to hand.
PIP and Attendance Allowance
If a long-term physical or mental health condition affects your daily life or mobility, you may qualify for either Personal Independence Payment (under State Pension age) or Attendance Allowance (over State Pension age). Neither is means-tested. Your income and savings do not affect eligibility.
Personal Independence Payment (PIP)
PIP is for people aged 16 to State Pension age with a long-term condition that affects daily living or mobility. Two components, assessed separately:
Maximum combined: £184.30/week (£9,584/year). PIP is assessed on how your condition affects you, not what condition you have.
Apply by calling the PIP claim line on 0800 917 2222 or via GOV.UK PIP. The assessment process takes time (often months), but successful claims are typically backdated to the application date.
Attendance Allowance
Attendance Allowance is the equivalent for people over State Pension age. Like PIP, it is not means-tested. Take-up is poor: an estimated 1.1 million pensioners with qualifying conditions are not claiming, missing around £5.2 billion collectively.
Lower rate if you need help during the day OR night; higher rate if you need help during the day AND night, or are terminally ill.
PIP and Attendance Allowance unlock other entitlements
Receiving either benefit often leads to higher rates on other benefits: a higher UC disability element, higher Housing Benefit, Blue Badge entitlement, Motability scheme access and vehicle tax exemption. These secondary entitlements can be worth significantly more than the daily rate itself.
Carer's Allowance
Carer's Allowance is a weekly benefit for people who spend at least 35 hours per week caring for someone with a disability. It is one of the top three most underclaimed benefits in the UK: £2.4 billion goes unclaimed every year.
Equivalent to roughly £361 per month or £4,331 per year. You also get National Insurance credits for each week you receive Carer's Allowance, protecting your future State Pension.
Who qualifies for Carer's Allowance
- You are 16 or over (no upper age limit)
- You spend at least 35 hours per week caring for someone
- You earn no more than £196 per week after allowable deductions (tax, NI, 50% of pension contributions, some childcare costs)
- The person you care for receives a qualifying disability benefit: PIP daily living component, DLA care component (middle or higher rate), Attendance Allowance, Armed Forces Independence Payment or Adult Disability Payment
- You are not in full-time education (21+ hours per week)
- You and the person you care for both live in Great Britain
You do not have to live with the person you care for. You can care for a partner, relative, friend or neighbour. The 35 hours do not have to be consecutive, care given at any time of day or night counts. Apply at GOV.UK Carer's Allowance.
The technical thing that catches a lot of carers out
If you receive a State Pension or certain other benefits that prevent Carer's Allowance from being paid, you may still have an underlying entitlement. This matters because it can qualify you for a carer premium on means-tested benefits like Pension Credit (£46.40/week extra) or Housing Benefit. Always check whether an underlying entitlement applies, even if you cannot receive the allowance itself.
Healthy Start, Warm Home Discount, social tariffs
A handful of smaller benefits are commonly missed because they are not always well advertised and often need to be applied for separately from your main income benefit.
Healthy Start (food vouchers for under 4s and pregnancy)
Healthy Start is a prepaid card worth up to £8.50 per week per child for children under 4 and pregnant women on Universal Credit, Income Support or other qualifying benefits. The card can be used in most UK supermarkets to buy fruit, vegetables, milk and formula. Apply at healthystart.nhs.uk.
Warm Home Discount
The Warm Home Discount is a £150 one-off reduction applied to your electricity bill between October and March. It is not a cash payment, it comes off your bill automatically.
Qualification is automatic if you receive Pension Credit Guarantee Credit. Other low-income households on certain means-tested benefits may qualify through their energy supplier's broader scheme. Not all energy suppliers participate, so check your supplier's eligibility. GOV.UK Warm Home Discount.
Broadband and mobile social tariffs
If you receive Universal Credit, Pension Credit Guarantee Credit, ESA, JSA or Income Support, most major UK broadband and mobile providers offer social tariffs at much lower prices:
- BT Home Essentials, £15/month for broadband (vs £30+ standard)
- Sky Broadband Basics, £20/month
- Virgin Media Essential Broadband, £12.50/month
- Vodafone Essentials Broadband, £12/month
- VOXI For Now, £10/month for unlimited mobile data
Switching saves most households £180-£300 per year. Apply directly through each provider's website using your benefit reference number.
Help to Save (50% bonus on savings)
Help to Save is a government savings scheme for people on Universal Credit or Working Tax Credit. Save between £1 and £50 per month and the government pays a 50% bonus on the highest amount saved over each two-year period. Maximum bonus over four years: £1,200. Apply via GOV.UK Help to Save using your Government Gateway login.
How to check what you qualify for
The most reliable way to find out everything you may be entitled to is a free benefits calculator. These tools cross-reference your circumstances against the full range of UK benefits at once, which is practically impossible to do manually.
One of the most comprehensive UK benefits calculators. Free and completely anonymous, no name or contact details required. Covers UC, CTR, Tax Credits, Housing Benefit and more. Visit entitledto.co.uk
Free calculator alongside a charitable grants search. Useful for finding grants as well as statutory benefits. Turn2us is a national welfare charity with a dedicated helpline if you need help. Visit turn2us.org.uk
Particularly good for modelling how changes (a pay rise, change in hours, a move) would affect your overall benefit entitlement. Helps you see the interaction between income and benefits. Visit betteroffcalculator.co.uk
Free, confidential, impartial advice in person, by phone and online. Advisers can not just identify your entitlements but actually help you make claims. Particularly valuable if your situation is complex. Visit citizensadvice.org.uk
Run two calculators, not one
Different calculators sometimes flag different entitlements depending on how they handle edge cases. Running both entitledto.co.uk and Turn2us takes 20 minutes total and often surfaces something one of them missed. If you spot a discrepancy between the two, that is exactly when Citizens Advice can help you work out which one is right.
Quick reference: all the main benefits
If you only have a few minutes, here is the at-a-glance picture:
| Benefit | Amount | Who qualifies |
|---|---|---|
| Universal Credit | £316.98 to £628.10/month standard and elements | Working-age, low income or out of work, savings under £16k |
| Pension Credit | Tops up to £227.10/week (single) or £346.60 (couple) | Over State Pension age, low income |
| Council Tax Reduction | Up to 100% of your bill | Low income, any employment status |
| PIP (daily living) | £72.65 to £108.55/week | Aged 16 to State Pension age, long-term health condition |
| PIP (mobility) | £28.70 to £75.75/week | As above, assessed separately |
| Attendance Allowance | £72.65 to £108.55/week | Over State Pension age, long-term health condition |
| Carer's Allowance | £83.30/week (£4,331/year) | 35+ hrs/week caring, earnings under £196/week |
| Healthy Start | Up to £8.50/week per child | Pregnant women, children under 4 in qualifying households |
| Warm Home Discount | £150 off electricity bill | Pension Credit recipients; some low-income households |
| Help to Save | Up to £1,200 bonus over 4 years | On Universal Credit or Working Tax Credit |
Applying without losing other benefits
One reason people hesitate to claim is fear that a new benefit will reduce something they already get. Mostly this fear is unfounded, but it pays to understand the interactions before applying.
Means-tested vs non-means-tested
UK benefits split into two categories. Non-means-tested benefits (PIP, Attendance Allowance, Carer's Allowance, Child Benefit) are based on circumstances, not income. Claiming these does not reduce any other benefit and often increases them via passporting. Means-tested benefits (Universal Credit, Pension Credit, Housing Benefit, Council Tax Reduction) depend on your income and savings. Adding a non-means-tested benefit can sometimes affect a means-tested one, but the net effect is almost always positive.
The "better off" check
Before applying for anything, run a free calculator that includes the new benefit alongside your existing ones. Both entitledto.co.uk and the Better Off Calculator do this. The output shows your net position before and after the new claim. In the rare case where applying would reduce overall income, the calculator flags it.
Universal Credit migration deadline
If you are still on legacy benefits (Tax Credits, Income Support, ESA, JSA, Housing Benefit), DWP is requiring you to move to Universal Credit. You will receive a Migration Notice giving you 3 months to apply. Missing the deadline ends your existing benefits without a UC payment. If you have received a Migration Notice or are unsure of your status, call the Universal Credit migration helpline on 0800 169 0328 or get free advice from Citizens Advice.
If you do nothing else, run the calculator
Most UK households reading this will find at least one benefit they are entitled to but not claiming. The free check at entitledto.co.uk takes 15-20 minutes and costs nothing. If the check reveals entitlements, get help claiming from Citizens Advice, Age UK or Turn2us. Most applications take 30-60 minutes but can deliver thousands of pounds per year of support. If you are only going to do one thing, run the calculator.