UK households on eight DWP benefits can increase state pension by £342

Boosting State Pension Through DWP Benefits

People who have taken time off work to care for family members might be missing out on additional retirement income. Households receiving any of eight specific Department for Work and Pensions (DWP) benefits can increase their state pension by as much as £342 annually.

Eligible Benefits

The DWP has confirmed that people on the following benefits may qualify for National Insurance (NI) credits, which count toward their state pension:

These NI credits help fill gaps in employment history, ensuring people who spend time caregiving or temporarily out of work still build up pension entitlement.

How the Pension Boost Works

Missing NI contributions can reduce the weekly state pension payment. Each qualifying year adds to the total, and with the full new state pension set at £221.20 per week from April, ensuring complete NI records can increase annual payments by roughly £342 or more.

The government encourages checking NI records through the official “Check your National Insurance record” service on Gov.uk. This allows individuals to identify and fill missing contribution years, either through credits or voluntary contributions.

Expert Advice and Guidance

Personal finance experts emphasize the importance of verifying one’s NI history early, because corrections or backdated claims can be time-sensitive. They also recommend reviewing benefit entitlements regularly to ensure NI credits are automatically applied.

“Thousands of people may unintentionally miss out on hundreds of pounds each year simply because they’re unaware of National Insurance credits,” noted a spokesperson for MoneySavingExpert.

Author summary: Eligible DWP benefit recipients can improve their state pension by claiming National Insurance credits worth up to £342 annually, helping to secure higher future payments.

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Birmingham Live on MSN Birmingham Live on MSN — 2025-11-30

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