Official Statistics

Income-related benefits: estimates of take-up: financial year ending 2022

Updated 26 January 2024

Applies to England, Scotland and Wales

The income-related benefits: estimates of take-up report provides estimates of take-up for income-related benefits within the entitled pensioner population.

The pension age benefits covered are:

• Pension Credit (PC)
• Housing Benefit (HB) (for pensioners)

Take-up refers to the receipt of benefits someone is entitled to, and we estimate take-up in 2 ways:

• by numbers of people who claim these benefits (‘caseload’)
• by the amount these people claim (‘expenditure’)

The effect of Get Your State Pension (GYSP) on these statistics

The source for State Pension administrative data used in these modelled estimates has encountered issues with obtaining GYSP data. For a small group of younger pensioners, we do not have linked admin-based data to use and are relying on self-reported survey data. This has increased the uncertainty in our modelling for younger entitled non-recipients (ENRs) for financial year ending (FYE) 2022.

Reinstatement of the financial year ending (FYE) 2022 estimates

The income-related benefits: estimates of take-up Official Statistics have been re-instated for FYE 2022. This is due to the improved quality of data collected by the Family Resources Survey (FRS) for FYE 2022.

Suspension of the financial year ending (FYE) 2021 estimates

The income-related benefits: estimates of take-up Official Statistics were suspended for FYE 2021. Estimates were not published due to data issues following the coronavirus (COVID-19) pandemic.

Effects of the coronavirus (COVID-19) pandemic on these statistics

As with FYE 2021, collection of the FYE 2022 FRS data was affected by the coronavirus (COVID-19) pandemic. Although government restrictions introduced in response to the pandemic were significantly eased over the course of FYE 2022, the change in survey mode from established face-to-face interviews to telephone interviews in response to the pandemic persisted for the duration of FYE 2022. This affected both the size and composition of the achieved sample.

For more information on the effects of the coronavirus (COVID-19) pandemic and the suspension of the FYE 2021 estimates, please see the ‘What you need to know’ section. You can also read the FRS background information and methodology.

1. Estimates of take-up by caseload and expenditure

Pension Credit

The estimates show that:

• caseload: 6 out of 10 of those entitled to PC claimed the benefit
• expenditure: 73% of the total amount of PC that could have been claimed was claimed

Overall PC caseload and expenditure figures for FYE 2022

Housing Benefit (for pensioners)

The estimates show that:

• caseload: 8 out of 10 of pensioners entitled to HB claimed the benefit
• expenditure: 84% of the total amount of HB (for pensioners) that could have been claimed was claimed

Overall HB (for pensioners) caseload and expenditure figures for FYE 2022

2. Estimates of non-take-up for families and expenditure

Pension Credit

The estimates show that:

• caseload: up to 880 thousand families who were entitled to receive PC did not claim the benefit
• expenditure: up to £2.1 billion of available PC went unclaimed
• on average, this amounted to around £2,200 per year for each family entitled to receive PC who did not claim the benefit

Housing Benefit (for Pensioners)

The estimates show that:

• caseload: up to 360 thousand pensioner families who were entitled to receive HB did not claim the benefit
• expenditure: up to £1.3 billion of available HB (for pensioners) went unclaimed
• on average, this amounted to around £3,400 per year for each family entitled to receive HB (for pensioners) who did not claim the benefit

3. What you need to know

Introduction

This report provides estimates of the take-up of benefits in Great Britain (GB) for FYE 2022, within the entitled pensioner population for the following income-related benefits:

• Pension Credit (PC)
• Housing Benefit (for pensioners) (HB)

Take-up refers to the receipt of benefits someone is entitled to. There are some people who are entitled to benefits but have not claimed them. An income-related benefit is a benefit where a claimant’s income and capital are considered when deciding whether they are entitled to the benefit. Income can include earnings or other benefits and capital can include savings.

Take-up of benefits can be affected by multiple factors. Trying to explain the reasons for non-take-up is difficult and we do not have data in our modelling to do this. Take-up may be affected by broad factors such as the attractiveness of the benefit, lack of awareness of the benefit or application procedure, lack of awareness of entitlement, or the perceived stigma of receiving a benefit (Eurofound 2015).

Take-up statistics are not available at a lower level of geography than GB. This is because the survey sample sizes for entitled non-recipients (ENRs) are too small to calculate take-up rates in smaller geographical areas. Similarly, HB take-up statistics are only available as totals. This is also because the survey sample sizes for ENRs are too small to be able to calculate take-up rates for sub-groups.

Methodological refinements were applied to the data from FYE 2017. Therefore, comparisons to previous years should be treated with caution. This is indicated in the data tables and charts using a dashed grey line.

From FYE 2020 onwards we have been able to link to Universal Credit (UC), Disability Living Allowance (mobility component), Personal Independence Payment, Tax Credits, Carer’s Allowance, and Child Benefit, as well as benefits that we have been linking to in previous years. This continues to improve the quality of the estimates as the modelling of estimates are based on more accurate data. As of FYE 2022, we were able to link 97% of FRS cases used in the take-up estimates.

From May 2019 both partners in a couple were required to have reached State Pension age (SPa) to make a successful claim for income-related pension age benefits. The SPa for FYE 2022 is 66 for both males and females.

With the abolition of Savings Credit (SC) for new pensioners from April 2016, and the reducing number of SC only cases in the eligible population, we are no longer able to estimate SC breakdowns with a sufficient level of confidence. Therefore, from FYE 2022 onwards, SC breakdowns are no longer included in the data tables. Historic SC breakdowns can be found in previous releases.

See the revisions to the statistics section in the background information and methodology for more details.

Content of the report

Take-up is estimated in two ways:

1. Caseload: Over a one-year period, the average number of benefit recipients who received each benefit compared to the number if everyone entitled to the benefit had claimed it.
2. Expenditure: Over a one-year period, the average amount of a benefit claimed multiplied by the total number of people claiming it, compared to the total amount if everyone entitled to the benefit had claimed it.

Note that the caseload figures are rounded to the nearest 10,000 and percentages are rounded to the nearest percentage point. Also note that for expenditure figures, the amounts claimed and unclaimed are rounded to the nearest £10 million and percentages are rounded to the nearest percentage point.

The average numbers of ENRs, and the average amounts unclaimed are estimated, along with 95% confidence intervals to reflect uncertainty. These estimates are combined with the receipt estimates to produce the lower bound, central, and upper bound take-up estimates. The lower bound and upper bound estimates are presented as a range around the central estimate on all charts.

Throughout this report a ‘family’ refers to either a single adult or a married or cohabiting couple, and any dependent children.

In reporting average annual amounts unclaimed we have used mean weekly amounts to be consistent with the estimated total amount unclaimed. Information on median weekly amounts unclaimed is available in the data tables.

Percentage point differences stated in this publication have been calculated on rounded percentages. Statistically significant differences in this publication are clearly stated. For more information on statistical significance see Section 7. This report contains data from FYE 2013 to FYE 2022. Data for FYE 2010 can be found in the data tables.

Effects of the coronavirus (COVID-19) pandemic and the FYE 2021 suspension

Previous published statistics up to and including FYE 2020 were not affected by the coronavirus (COVID-19) pandemic. However, fieldwork operations for the FYE 2021 FRS were changed in response to the coronavirus (COVID-19) pandemic and the introduction of national lockdown restrictions. The established face-to-face interviewing approach employed on the FRS was suspended and replaced with telephone interviewing from April 2020 for the whole of FYE 2021. This change affected both the size and composition of the achieved sample. Where a usual year typically saw a sample size of around 20,000 households, the sample size for FYE 2021 was around 10,000. Due to data issues following the coronavirus (COVID-19) pandemic affecting the methodology to produce these statistics the Income-related benefits: estimates of take-up Official Statistics were not produced for FYE 2021.

Fieldwork operations for the FRS continued to take account of government guidance relating to the coronavirus (COVID-19) pandemic and the restrictions placed on visiting others’ homes for FYE 2022. The telephone interview approach continued throughout FYE 2022. The fieldwork approach was more stable in FYE 2022 than in FYE 2021, but conditions remained challenging. This affected both the size and composition of the achieved sample, with around 16,000 households for FYE 2022. The smaller sample size for FYE 2022 leads to greater uncertainty in our estimates than in previous years.

The grossing regime in FYE 2022 was adapted to control for the differential level of response seen through the year. We accounted for this change by introducing a biannual grossing control for GB so there were equal numbers of private households from each half of the survey year in the weighted sample. However there remained some unobservable residual bias that cannot be corrected by grossing.

Read further information in the FRS background information and methodology.

Further information

A set of data tables which breaks down the headline results presented in this publication, along with a quick guide on how to use them, are available: Data Tables and Guide. Data from the tables are referenced throughout this report.

4. Pension Credit

63% of those entitled to Pension Credit received the benefit

Take-up range (caseload) of PC, FYE 2013 to FYE 2022, GB

In FYE 2022 an estimated 63% of families who were entitled to PC received it. There was a slight increase in FYE 2020 where the take-up rate increased from 63% to 66%. However, the take-up rate in FYE 2022 was 3 percentage points lower than in FYE 2020, returning to FYE 2019 levels.

See Table PC1 for full data.

Caseload take-up of Guarantee Credit was higher than Savings Credit only

Take-up range (caseload) of GC and SC only, FYE 2013 to FYE 2022, GB

In FYE 2022, take-up of Guarantee Credit (GC) (70%) continued to be higher than take-up of Savings Credit (SC) only (39%). This difference is statistically significant.

The estimated average (mean) weekly amount unclaimed for GC (£63) was higher than SC only (£7) as expected given the difference in the available payments for GC and SC only.

In FYE 2022, take-up of GC was 70%, a reduction from FYE 2020 when it was 73%.

In FYE 2022, take-up of SC only was 39%, a reduction from FYE 2020 when it was 43%, because of the reduction in the eligible population for SC only.

The lower SC only take-up rate explains why overall PC take-up is lower than GC take-up on its own.

See Table PC1 and PC2 for full data.

Caseload take-up of Pension Credit was highest for single males

Take-up range (caseload) of PC by family type, FYE 2013 to FYE 2022, GB

For FYE 2022, the caseload take-up of PC was higher for single males (68%) than for single females (65%) and couples (52%). Both the difference between single males and couples, and the difference between single females and couples is statistically significant.

The take-up of PC for couples has decreased from FYE 2020 (69%) to FYE 2022 (52%) and is more in line with previous years. This decrease is statistically significant.

The high take-up rate for couples in FYE 2020 reflects the effect of the introduction of the mixed age couple policy in May 2019, where mixed aged couples are no longer eligible for PC until both partners reach SPa. This reduced the estimated size of the eligible population for FYE 2020 and increased caseload take-up.

See Table PC3 for full data.

Caseload take-up of Pension Credit by those aged 75 or over was higher than those aged under 75

Take-up range (caseload) of PC, by age, FYE 2013 to FYE 2022, GB

For the first time since FYE 2013, take-up of PC by those aged 75 or over (65%) was higher than those aged under 75 (60%) for FYE 2022.

The source for State Pension administrative data used in these modelled estimates has encountered issues with obtaining GYSP data. For a small group of younger pensioners, we do not have linked admin-based data to use and are relying on self-reported survey data. This has increased the uncertainty in our modelling for younger entitled non-recipients (ENRs) for FYE 2022.

See Table PC7 for full data.

73% of the total amount of Pension Credit that could have been claimed was claimed

Take-up range (expenditure) of PC, FYE 2013 to FYE 2022, GB

In FYE 2022 an estimated 73% of the total amount of PC that could have been claimed was claimed. This was 4 percentage points lower than for FYE 2020 (77%).

See table PC2 for full data.

Expenditure take-up of Guarantee Credit was higher than Savings Credit only

Take-up range (expenditure) of GC and SC only, FYE 2013 to FYE 2022, GB

Expenditure take-up of GC (74%) continued to be higher than expenditure take-up of SC only (43%). This difference is statistically significant.

In FYE 2022 an estimated 74% of the total amount of GC that could have been claimed was claimed. In FYE 2020 it was 77%.

In FYE 2022 an estimated 43% of the total amount of SC only that could have been claimed was claimed. In FYE 2020 it was 48%.

See Table PC2 for full data.

Expenditure take-up of Pension Credit was highest for single females

Take-up range (expenditure) of PC by family type, FYE 2013 to FYE 2022, GB

For FYE 2022, expenditure take-up of PC by single females (77%) was higher than that of single males (74%) and couples (63%). Both the difference between single females and couples, and between single males and couples is statistically significant.

There were broadly consistent trends in the expenditure take-up of PC between couples, single males, and single females between FYE 2013 and FYE 2019, until FYE 2020 when the take-up rate for couples saw a statistically significant increase. However, for FYE 2022, expenditure take-up of PC by couples decreased from 86% in FYE 2020, to 63% in FYE 2022, and is more in line with previous years. This decrease is statistically significant.

The high expenditure take-up rate for couples in FYE 2020 reflects the effect of the introduction of the mixed age couple policy in May 2019, where mixed aged couples are no longer eligible for PC until both partners reach SPa. As noted above this reduced the estimated size of the eligible population for FYE 2020 and increased caseload take-up, which then influences the expenditure take-up rate. In addition, in FYE 2022 we see an increase in the mean unclaimed amount for couples which influences the lower expenditure take-up rate seen.

See Table PC4 for full data.

Expenditure take-up of Pension Credit by those aged 75 or over was higher than those aged under 75

Take-up range (expenditure) of PC, by age, FYE 2013 to FYE 2022, GB

Expenditure take-up of PC by those aged 75 or over (77%) was higher than that of those aged under 75 (67%). This difference is statistically significant.

Those aged under 75 in the sample for FYE 2022 had larger unclaimed amounts of PC than in FYE 2020, which contributed to the lower expenditure take-up rate.

The source for State Pension administrative data used in these modelled estimates has encountered issues with obtaining GYSP data. For a small group of younger pensioners, we do not have linked admin-based data to use and are relying on self-reported survey data. This has increased the uncertainty in our modelling for younger entitled non-recipients (ENRs) for FYE 2022.

See Table PC8 for full data.

5. Housing Benefit (for pensioners)

79% of those entitled to Housing Benefit (for pensioners) received the benefit

Take-up range (caseload) of HB (for pensioners), FYE 2013 to FYE 2022, GB

In FYE 2022 an estimated 79% of pensioners who were entitled to HB received it. The take-up rate in FYE 2022 was 5 percentage points lower than in FYE 2020 (84%) reflecting an increase in estimated entitled non-recipients (ENRs) since 2018, due to the rollout of UC, new claims for HB can only be made in certain circumstances. Further information on these changes can be found in the background information and methodology.

See table HB1 for full data.

84% of the total amount of Housing Benefit (for pensioners) that could have been claimed was claimed

Take-up range (expenditure) of HB (for pensioners), FYE 2013 to FYE 2022, GB

In FYE 2022 an estimated 84% of the total amount of HB (for pensioners) that could have been claimed was claimed. The take-up rate in FYE 2022 is 2 percentage points lower than in FYE 2020 (86%) which reflects the increase in estimated entitled non-recipients (ENRs) above.

See table HB2 for full data.

6. Overview of methodology

The methodology for deriving the estimates of take-up is complex. Figures in this report are based on DWP administrative data, local authority administrative data, and data from the Family Resources Survey (FRS). The survey data from the FRS is modelled using a static microsimulation model known as the Policy Simulation Model (PSM). The PSM is a model of the tax and benefit system of the UK. The source data for the model comes primarily from the FRS with benefit and tax credits entitlement and tax or National Insurance liability calculated for each FRS family.

To produce the take-up estimates, information can be taken from DWP administrative data sources to look at the average number of those in receipt of the benefit along with the average amount claimed. However, because administrative benefit entitlement data sets do not exist, survey-based estimates of the population and unclaimed amounts for those who are entitled non-recipients (ENRs) are needed. An adjusted data set from the PSM, which includes survey data linked to administrative data, is used to produce these ENR and unclaimed amount estimates.

The data linking approach has continued to develop resulting in increasing match rates and making more use of administrative data over time.

The estimates for the ENRs are calculated with confidence intervals which provide a lower and upper bound for the average number of ENRs and the average amount claimed. These estimates, along with the central estimates, are incorporated into the take-up formulae. Caseload and expenditure take-up rates are estimated. A point estimate is calculated. The lower and upper bound estimates of those not in receipt are used to estimate lower and upper take-up bounds. Statistical tests are performed on the point estimates to identify significant differences between the take-up rates between years and between groups.

There are limitations to this methodology, but it aims to produce the best take-up estimates based on the evidence available.

Take-up of benefits can be affected by several factors. Trying to explain the reasons for non-take-up is difficult and we do not have the data in our modelling to do this. For more information on the factors which can affect take-up see the links in section 7.

See the background information and methodology for more information, available here: background information and methodology.

Flow chart of how take-up estimates are calculated

7. About these statistics

Official statistics

These statistics are official statistics. They comply with the standards of trustworthiness, quality, and value in the Code of Practice for Statistics .

Our statistical practice is regulated by the Office for Statistics Regulation (OSR). OSR sets the standards of trustworthiness, quality, and value in the Code of Practice for Statistics that all producers of official statistics should adhere to.

You are welcome to contact us directly with any comments about how we meet these standards.

Alternatively, you can contact OSR by emailing regulation@statistics.gov.uk or via the OSR website.

Key applications, in this release and previous releases, include:

• improved background information and methodology
• new release strategy
• move to HTML and a more accessible release
• improved chart presentation
• recognition of the effect on our estimates, caused by changes to source data
• suspension of and re-instatement of the publication

Where to find out more

Further outputs and reference tables from take-up analysis, alongside our background information and methodology, which provides additional detail on how we estimate the measures reported here, are available on the Income-related benefits collections page.

The background information and methodology also includes information on issues relating to the take-up of benefits which were reviewed in a paper by Eurofound.

Read more information from Eurofound:

• access to social benefits reducing non take up
• access to benefits in times of crisis

DWP statistics on benefit receipt and expenditure:

• Stat-Xplore
• Benefit Expenditure Tables

Information on entitlement and how to claim a benefit.

A guide to income and earning statistics, with information on alternative sources of data.

Other useful information on income and earnings:

• Explaining income and earning statistics.
• GSS income and earnings statistics interactive database (civilservice.gov.uk).
• Income and earnings coherence workplan for 2022 – Government Analysis Function (civilservice.gov.uk).
• Admin-based income statistics, England and Wales - Office for National Statistics (ons.gov.uk).

Other National and Official statistics

Read a schedule of DWP’s statistical releases over the next 12 months and a list of the most recent releases.

In accordance with the Code of Practice for Statistics, DWP statistics are also announced in the GOV.UK statistics release calendar.

Using the take-up estimates for analysis

Survey data

This publication is based on modelled survey data – it is therefore subject to sampling variation and other forms of error associated with a sample survey. Relative to administrative records the FRS under-reports benefit receipt. See the FRS background information and methodology for more details. Therefore, to improve the accuracy of identifying the number of ENRs, data linking allows recorded benefit amounts in DWP administrative data to replace reported FRS amounts. The FRS survey data used in the production of take-up statistics is not designed specifically to measure entitlement criteria to the same extent as an application for a specific benefit. It is a multi-purpose household survey.

Sample

Due to the restrictions in modelling and available data, certain populations are excluded from our analysis. The figures presented in this publication and accompanying reference tables only include those living in private households in GB. As a result of the exclusions noted, recipient totals and expenditure estimates in this report may differ from those in other published sources.

Estimates are based on the FRS, which in FYE 2022 continued with the telephone interview approach that was adopted during FYE 2021. This affected both the size and composition of the achieved sample, with around 16,000 households for FYE 2022. In FYE 2021, the pensioner sample was more affluent compared to previous time periods – they were more likely to be older, owner-occupiers and better educated. The FYE 2022 pensioner composition saw a return to a population that is more closely aligned with the pre-pandemic period, particularly when looking at occupational or personal pensions. However there remains some unobservable residual bias that cannot be corrected by grossing. See the Households Below Average Income (HBAI) technical report which explains the effects of the coronavirus (COVID-19) pandemic in more detail. This should be considered alongside the interpretation of these statistics.

The FRS is conducted across the full financial year, so the data in this report is broken down into financial years. The use of survey data means that the results in this report are subject to sampling variation. This affects how changes should be interpreted, especially over short time periods.

Sampling Error

Results from surveys are estimates and not precise figures - in general terms the smaller the sample size, the larger the uncertainty.

Policy Simulation Model

As a model, the PSM is subject to a range of assumptions, beyond that of a typical survey. Of particular importance to take-up statistics are the methodologies for estimating entitlement and specific assumptions for making population estimates from the sample (known as grossing). These are described in more depth in the background information and methodology.

Statistical significance

This is a technical concept that says whether a reported change is likely to have arisen only by chance due to variations in the sampling. We calculate 95% confidence intervals around estimates in take-up which sets a standard that, where any change is reported as statistically significant, there is less than a 1 in 20 chance that the reported difference is due to sampling variation and there is no real underlying change.

Statistically significant differences in this publication are clearly stated.

Interpretation

Care should be taken when interpreting take-up statistics. For instance, if the upper limit of a caseload take-up range is 90%, this does not mean that at least 10% of the entitled population never take up their entitlement. This is because some of the shortfall in take-up may represent a delay in claiming or processing benefit that is eventually received. The confidence intervals are therefore used to represent the range in which we estimate the overall true rate of take-up, averaged over the whole year, lies.

Enquiries and feedback

DWP would like to hear your views on our statistical publications. If you use any of our statistics publications, we would be interested in hearing what you use them for and how well they meet your requirements. Please send your comments by email to: irb.takeup@dwp.gov.uk

Feedback on the content, relevance, accessibility and timeliness of these statistics and any non-media enquiries should be directed by email to: irb.takeup@dwp.gov.uk

For media enquiries on these statistics, please contact the DWP press office

Lead Statistician: Joanne Burrage

Producers of this release: Aliyah Simjee, Sophie Rae, John Bilverstone, Violet Salway and Owusu Appiah

ISBN: 978-1-78659-533-1

Next edition: Between September and October 2024

Note, our statistical practice is regulated by the Office for Statistics Regulation (OSR).