State pension: DWP on why more than 500,000 people miss out on increase to amount | Personal Finance | Finance

It is estimated more than 500,000 UK state pensioners have found themselves unable to receive an annual increase to their state pension payments each year. This is due to where they live, as the state pension can be impacted for those who live overseas. “Your pension will go up to the current rate if you return to live in the UK.” The issue – which has become known as frozen pensions – was addressed in the House of Commons yesterday, during Live Work and Pensions Questions. Labour MP for Streatham,…

ISA savers losing over £100bn in cash accounts as MPs call for a break up of UK banks | Personal Finance | Finance

These results come at an unfortunate time for banks and other lenders as both public and political sentiment have turned against some of the biggest high-street names. Today, news emerged of a cross party group of MPs forming to call for a break up of Britain’s main banks, on the grounds they’re exploiting vulnerable customers. Some of the accusations levelled at the big banks by the all-party parliamentary group (APPG) include widespread practices of predatory pricing models and “loyalty penalties”, whereby customers are lured in with an attractive deal, only…

State Pension contracted out: What does it mean to be contracted out of the State Pension? | Personal Finance | Finance

The State Pension comes in two forms, the Basic State Pension and the New State Pension. The Basic State Pension is the old kind and comes at £134.25 for the full amount. In contrast, the New State Pension comes at £175.20 per week at its maximum, and the amount you will get depends entirely on how many qualifying National Insurance years you have when you reach the right age. What does it mean to be contracted out of the State Pension? The rules of being contracted out only apply to…

Pension: Secure your savings ahead of the ‘cleverest stealth tax of all time’ – RPI change | Personal Finance | Finance

Pension assets, particularly those in defined benefit schemes, can be invested in index-linked gilts which are still measured by RPI. From 2030, this is set to change new CPI themed measures will be used instead, which are typically lower in nature. Ian Mills, a Partner at Barnett Waddingham, explained how this will affect pensioners in practice: “Pensioners will be the big losers, but most won’t feel it for many years. “Starting from 2030 this will result in a slow, steady erosion of their incomes, compared to what they might have…

Universal Credit UK: Millions of Britons qualify for free NHS prescriptions – check now | Personal Finance | Finance

Universal Credit claims have surged in recent months, as Britons have felt the impacts of the ongoing COVID-19 crisis. The payment, which is overseen by the Department for Work and Pensions (DWP), is intended to help with households’ living costs. Those in receipt of Universal Credit can expect to receive a sum of money once a month, which is likely to be particularly valuable. However, for those out of work or on a low income, there is also the opportunity to unlock additional benefits. One such benefit is free NHS prescriptions,…

PIP: Claimants may be able to receive benefit ‘top-up’ from the DWP | Personal Finance | Finance

PIP is currently overseen by the Department for Work and Pensions (DWP), which is responsible for ensuring claimants receive the amount to which they are entitled. The sum of money is likely to help these individuals with day-to-day living costs, or potentially larger expenses associated with their condition. PIP will vary from person to person, depending on how their condition affects them, rather than the condition itself. Employment and Support Allowance premiums are available to those who receive the daily living component of PIP. And the same can be said…

Marcus slashes interest rate for second time in blow for savers | Personal Finance | Finance

It is not likely to be happy news for the millions of people who are trying to save right across the country. Indeed, with a lack of incentive to save, many people are thought to be turning to keeping cash at home. However, this is generally advised against, as many providers offer protection on sums of money through the Financial Services Compensation Scheme (FSCS). The FSCS offers protection up to £85,000 for savers should the worst happen, and so secure saving is often seen as the most sensible option.  Source…

SEISS: The vital checklist Britons will need to consider as third grant opens next week | Personal Finance | Finance

SEISS has come in the form of grants intended to support self-employed people who have had their income affected by COVID-19. After the help provided by the first two initial grants, the government announced the scheme was to be extended with an additional two grants. These grants will cover November 2020 to April 2021 in an effort to continue to support those who have found it challenging amid the ongoing crisis. The third SEISS grant will open next week for applications, but for many Britons it will be important to…

State Pension UK: Britons could be missing out due to National Insurance errors | Personal Finance | Finance

State Pension payments provide retirees with important financial support once they reach an eligible age to receive the sum. The payment is overseen by the Department for Work and Pensions (DWP), and for many Britons is the primary source for their retirement income. With the state pension hinging on the amount of National Insurance contributions a person makes throughout their lifetime, many will be planning ahead to ensure they receive the full amount from the government. Work is not the only way for Britons to be able to claim National Insurance…

Universal Credit: Sunak hints at extending £20 increase past 2021 as 700,000 face poverty | Personal Finance | Finance

Rishi Sunak has said he will keep considerations of making the Universal Credit coronavirus boost permanent “under review”. The Chancellor was questioned on Sky News over the Government’s £20-a-week increase of the scheme payments, which is due to end in April 2021. According to the Joseph Rowntree Foundation, that could push 700,000 people, including 300,000 children, into poverty. Mr Sunak said: “That was one of the steps we took at the beginning of this crisis. “It was one of a number of things we did to provide support to people…