People missing out on average £3,000 a year in unclaimed benefits

Millions could be missing out on an average of £3,000 a year in unclaimed DWP benefits — here’s how to check what you may be entitled to

Thousands of pounds in DWP support is at risk of going unclaimed by those who are entitled to it. Benefits specialists have outlined how eligible individuals can access the funds they are owed.

The team at financial support organisation Money Wellness has urged people to check which benefits they may be missing out on. The group estimates that people forgo an average of £3,000 a year in support, equivalent to £250 a month.

Rebecca Lamb, external relations manager at Money Wellness, said people frequently fail to apply for what they are entitled to, even when they are aware the support exists. She said: “It’s not just awareness. There are other barriers too.

“Stigma is still a big one. A lot of people feel uncomfortable about claiming benefits, especially if they’ve worked all their lives.”

For instance, those of state pension age on a low income may be eligible to claim Pension Credit. Even if you have always been financially self-sufficient throughout your working life and plan to remain so in retirement, this benefit could make a considerable difference. The average claim is worth over £4,000 a year in support, boosting your weekly income while also unlocking access to additional assistance, reports the Express.

The benefit tops up your income to £238 a week for single claimants and up to £363.25 a week for couples. Additional amounts may be available depending on your personal circumstances, such as having a severe disability or caring for another adult.

Time-consuming process

Ms Lamb cautioned that another risk is people being deterred by the lengthy application procedure. She said: “The process can also put people off. It can feel complicated, it’s definitely time-consuming, and it can be quite overwhelming if you’re already struggling.

“There’s also fear of being rejected, which stops people even trying. And sometimes it’s just life. People are busy, they’re dealing with bills, work, family pressures, and applying for support gets pushed to the bottom of the list.”

A real opportunity

She urged greater efforts to boost awareness. The advocate said: “There’s a real opportunity for more organisations to be more proactive. At the moment, too much relies on people knowing when to check, and in reality, most people don’t.

“If the DWP or local authorities could prompt people when something changes – even just a simple message saying ‘you may want to check what you’re now entitled to’ – that could make a real difference.”

She suggested that service providers including banks and utility companies could also contribute, by directing people towards support if they are defaulting on payments or dipping into their overdraft.

Ms Lamb said: “They’re often in a position to see the early signs first, with things like overdrafts creeping up or missed payments. That’s usually the point where a bit of signposting to benefits checks or debt advice could really help people before things get worse.”

To determine what benefits you may be eligible for, a number of online tools are available, including the Better Off Calculator.