Attendance Allowance is available at two rates, potentially offering an extra £3,988.40 or £5,959.20 annually, and crucially, it is not means-tested
Martin Lewis is telling pensioners to find out whether they are eligible for a benefit worth thousands of pounds annually that continues to be “underclaimed” by millions of people.
Attendance Allowance, intended for those aged 66 and above living with disabilities or serious health conditions who need regular support, is administered by the Department for Work and Pensions (DWP). The benefit is offered at two rates, potentially providing an additional £3,988.40 or £5,959.20 per year.
The payment is not means-tested, which means that anyone who meets the eligibility requirements will receive it irrespective of their income or savings, reports the Manchester Evening News. For money-saving tips, sign up to our Money newsletter here
In a Money Saving Expert newsletter, Mr Lewis stated: “For many older people who are ill or start to face mental or physical disability, life doesn’t just get tougher, it gets costlier too. Add to that the fact people’s conditions can make it more difficult to spend the time and energy needed to research possible help.
“That’s why 18 months ago we launched our Attendance Allowance (AA) guide and awareness campaign, and successes have flooded in since. Yet it still remains massively underclaimed, with potentially a million eligible pensioners missing out.
“So whether it’s you or someone close to you who may qualify, take 2mins to read what the team and I have put below, starting with some inspiration on the domino effect Attendance Allowance can have (in this case for lower-income pensioners).”
He went on to stress that approximately 1.1 million eligible pensioners are failing to claim the support, according to figures from Policy in Practice, highlighting a clear need for greater public awareness.
Mr Lewis advises that it is well worth submitting a claim even if you anticipate receiving only the lower rate, as this still amounts to £3,777.80 per year. While the DWP states that the benefit is designed to help with care costs, recipients are free to spend it as they see fit.
During his podcast, the personal finance expert said: “If you think you’re entitled to attendance allowance, you should push through. This is for disabled or ill state pensioner. It could be you, or it could be someone you know.”
A broad range of common health conditions may make people eligible for Attendance Allowance including arthritis, visual impairments, heart conditions, Parkinson’s disease, and respiratory problems such as asthma.
There are two payment rates available, determined by the level of care needed, with the higher rate worth £110.40 per week and the lower rate standing at £73.90. The Department for Work and Pensions (DWP) has confirmed that while the benefit is intended to help with care-related expenses, recipients have full autonomy over how they wish to use the funds.
To be eligible for Attendance Allowance, you must have reached pension age, which currently stands at 66-years-old. The benefit can be claimed irrespective of your state pension income, any savings you may hold, or whether you remain in paid work.
MSE reader Dawn shared her remarkable success story: “Dear Martin, after watching numerous shows I have successfully claimed Attendance Allowance for both of my parents worth £10,598/yr and Pension Credit worth £1,233/yr.
“This opened doorways to Housing Benefit worth £9,207/yr, Council Tax reduction of £1,534/yr, a free TV licence saving £169/yr and swapping their phone to BT saving £420/yr. They also received rebates of £3,449 for Housing Benefit and £604 for Council Tax.
“All in all, they are better off by more than £20,000/yr thanks to you and obviously me for completing the necessary applications! Thank you for everything you do.”
How to apply for Attendance Allowance
To be considered for Attendance Allowance, applicants must have reached state pension age, presently set at 66. Claims can be made regardless of whether individuals are in receipt of a state pension, have savings, or are still in employment.
While the application documentation is complicated, assistance is accessible through organisations such as Citizens Advice and Age UK, which provide support throughout the process and with online submissions.
To be eligible, claimants must have a physical condition, mental health issue, or illness sufficiently severe to necessitate help for their own welfare or that of others, with this care requirement having existed for at least six months. The lower payment level is aimed at those who need regular supervision or care during daytime or evening hours, while the higher level is intended for individuals requiring continuous support or those approaching the end of their lives.
Applicants must be residing in Great Britain and have been present in the country for at least two of the previous three years. Decisions are usually made by DWP staff based upon the information supplied in the application form, making it essential to include all pertinent details, such as your national insurance number, NHS number, and any prescription or hospital documentation.
Most applicants will not be required to attend a face-to-face assessment, though this remains a possibility.
The Department for Work and Pensions (DWP) confirms that if there’s uncertainty regarding how your disability or health condition affects you, a healthcare professional will carry out an examination. It’s vital to understand that you cannot claim Attendance Allowance if you’re already receiving Personal Independence Payment (PIP) or Disability Living Allowance (DLA).
