Attendance Allowance payments to rise next year for pensioners

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As part of his Autumn Statement, Chancellor Jeremy Hunt confirmed that the majority of benefits administered by the Department for Work and Pensions (DWP) would receive a payment rate hike. Among the affected payments is Attendance Allowance, which is a benefit that those of state pension age who have a long-term health condition or illness may be eligible to claim. The payment goes towards the additional costs that arise from having said condition with the amount claimants get to increase in April 2023.

How much is Attendance Allowance now?

What someone gets from the benefit payment is dependent on the “severity” of their condition, according to the DWP.

Someone is eligible for Attendance Allowance if they “have a physical disability, a mental disability (including learning difficulties), or both”.

However, claimants must have needed financial help due to their condition for at least six months before applying for the benefit payment.

Attendance Allowance is paid to claimants at two different rates, one higher and the other lower, which are delivered to claimants upon assessment from the DWP.

Pensioners will be able to get £92.40 a week if they are eligible for the higher amount or £61.85 if they are entitled to the lower rate.

As a result, a claimant who is dealing with a severe health condition or illness would get £369.60 from Attendance Allowance.

Claimants will get paid directly into the bank or building society account in which they receive their state pension payments.

It should be noted that Attendance Allowance claimants could also be entitled to additional support through Pension Credit or a Council Tax Reduction.

How much will Attendance Allowance rise by?

As per the Government’s proposed legislation, the benefit payment for state pensioners will rise by 10.1 percent in April 2023.

This is in line with the Consumer Price Index (CPI) rate of inflation for September 2022 which is also often the metric used to determine the triple lock hike for state pensions.

Among the other benefit payments which will receive a rate boost are the Personal Independence Payment (PIP) and Universal Credit.

Following this decision by the Government, claimants of Attendance Allowance will see their payments increase to £247.40 for the lower weekly rate and £406.92 for the higher rate.

In his Autumn Statement, Mr Hunt outlined the millions who will benefit from this latest wave of benefit payment increases.

He explained: “There have also been some representations to keep the uplift to working age and disability benefits below the level of inflation given the financial constraints we face.

“But that would not be consistent with our commitment to protect the most vulnerable so today I also commit to uprate such benefits by inflation with an increase of 10.1 percent.

“That is an expensive commitment costing £11billion but it means 10 million working age families will see a much-needed increase next year.”

Currently, 1.8 million people across the country are claiming Attendance Allowance from the DWP.

However, an estimated 3.4 million more who are eligible for the benefit payment have yet to claim this support.

Pensioners with a disability will also be entitled to further cost of living support next year which will also boost their income.

A £300 cost of living payment is reserved for those of state pension age and another £150 is being handed out to those with a disability.

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