If you’re considering moving into a residential park home or already living in one, you might be wondering whether park home living affects your entitlement to pension credit. This is a perfectly reasonable question, and we’re here to give you clear, straightforward answers.
The short answer is yes—you can absolutely claim pension credit while living in a park home. Your housing choice doesn’t affect your eligibility for this important benefit. Many people assume that because park homes work differently from traditional properties, the rules around pension credit might be different too. But that’s not the case.
In this article, we’ll explain what pension credit is, confirm your eligibility as a park home resident, show you how your park home costs are assessed, and guide you through the application process. Whether you’re already settled in a residential park or exploring this lifestyle option, understanding your park home pension entitlements helps you make informed decisions about your retirement finances.
Key takeaways
- Park home residents can claim pension credit just like any other homeowner—your housing type doesn’t disqualify you
- Pension credit comes in two types: Guarantee Credit and Savings Credit, designed to top up your income if you’re over state pension age
- Your pitch fees and certain site charges are assessed as housing costs in your pension credit calculation
- The application process is straightforward, though you’ll need specific documentation about your park home costs
- Thousands of park home residents successfully claim this benefit across the country
What is pension credit and who qualifies?
Pension credit is a benefit designed to top up your income if you’re over state pension age and on a low income. It’s there to help with your daily living costs and can make a real difference to your quality of life in retirement.
There are two types of pension credit. Guarantee Credit tops up your weekly income to a guaranteed minimum level—currently £201.05 if you’re single or £306.85 for couples. Savings Credit is an extra payment for people who reached state pension age before 6 April 2016 and have some savings or income.
You qualify for pension credit if you’ve reached state pension age and live in England, Scotland, or Wales. Your income needs to be below a certain threshold, which includes your state pension, other pensions, most social security benefits, savings, and investments.
What matters most is your income level, not where you live. Whether you own a conventional house, rent a flat, or live in a residential park home, the eligibility criteria remain the same. This benefit exists to support you regardless of your housing type, giving you peace of mind about your retirement finances.
Can you claim pension credit while living in a park home?
Yes, you absolutely can claim pension credit while living in a park home. Living in a residential park home doesn’t disqualify you from pension credit eligibility in any way.
The Department for Work and Pensions treats residential park homes similarly to other residential properties for benefits purposes. You have the same rights to claim pension credit as someone living in a traditional house or flat. The law recognises park homes as legitimate permanent residences, protected under the Mobile Homes Act, and this extends to your entitlement to all standard benefits.
Thousands of park home residents across the country successfully claim pension credit. At communities like Leedons Residential Park and Broadway Park, many residents receive this benefit to help with their living costs. Your housing choice shouldn’t—and doesn’t—limit your access to financial support.
This is particularly relevant if you’re considering park home living as part of your retirement plans. You don’t need to worry about losing your pension credit entitlement by moving into a residential park home. Your park home pension entitlements remain fully protected, allowing you to enjoy the community lifestyle and tranquil surroundings that residential parks offer without financial concerns.
How park home costs are assessed for pension credit
Understanding how your park home costs factor into your pension credit calculation helps you complete your application accurately and claim everything you’re entitled to.
Your pitch fee—the amount you pay to rent the land your park home sits on—is assessed as a housing cost in your pension credit calculation. This is similar to how rent or mortgage interest is considered for people in other types of housing. The Department for Work and Pensions recognises that pitch fees are your ongoing housing expense.
Certain site charges for residential park homes can also be included in your claim. If your pitch fee includes services like water rates, sewerage, or communal area maintenance, these are generally considered eligible housing costs. However, charges for utilities you use individually—such as gas, electricity, and council tax—are treated separately and aren’t included in the housing costs element of pension credit.
What doesn’t count toward housing costs? Personal services like gardening, individual alarm systems, or optional amenities aren’t included. The assessment focuses on your basic housing expenses—the costs you must pay to maintain your home on the park.
Here’s a practical example: if you pay a monthly pitch fee of £246.58 (like at Leedons Residential Park) and this covers your plot rental and communal services, this amount would be considered in your pension credit assessment. Your council tax (typically Band A for most park homes) and personal utility bills would be assessed separately when calculating your overall income and expenditure.
How to apply for pension credit as a park home resident
Applying for pension credit as a park home resident follows the same straightforward process as any other housing type, though you’ll need specific documentation about your park home costs.
You can apply by calling the Pension Credit helpline on 0800 99 1234 (textphone 0800 169 0133) or by completing an application online through the GOV.UK website. The phone line is open Monday to Friday, 8am to 6pm. Many people find it helpful to call, as the advisers can guide you through the questions and explain anything you’re unsure about.
Before you apply, gather these documents:
- Your Written Statement under the Mobile Homes Act 1983—this is your pitch agreement showing your pitch fee amount
- Recent pitch fee payment records or bank statements showing these payments
- Details of what your pitch fee covers (site charges, services included)
- Your council tax band and amount
- Information about any other income, pensions, or savings
- Your National Insurance number
When reporting your park home living costs, be clear and specific. Explain that you live in a residential park home and pay a pitch fee rather than rent or a mortgage. State the exact amount you pay and how often. If your pitch fee includes specific services, list these.
The assessment process typically takes four to six weeks. You’ll receive a letter explaining the decision and, if successful, how much you’ll receive and when payments will start. If you’re awarded pension credit, you’ll also become eligible for other benefits like help with heating costs through the Warm Home Discount Scheme and free NHS dental treatment.
Don’t worry if the process seems complicated. The advisers on the helpline understand different housing arrangements, including residential park homes, and they’re there to help you complete your application correctly.
Making the most of your retirement finances
Understanding your benefit entitlements is just one part of planning your retirement finances. Living in a residential park home offers you a comfortable, community-focused lifestyle, and knowing you can claim pension credit removes one potential worry from your decision-making process.
Here are your key takeaways:
- You have the same right to claim pension credit in a park home as in any other housing type
- Your pitch fees are assessed as legitimate housing costs in your claim
- The application process is straightforward when you have the right documentation prepared
- Claiming pension credit can unlock additional benefits that improve your quality of life
If you’re exploring residential park home living, don’t let concerns about benefits hold you back. Your pension credit entitlements remain fully protected, and many residents in communities across the country successfully claim this support while enjoying the tranquil, sociable lifestyle that residential parks offer.
We’re always happy to discuss any questions you have about residential park home living. While we can’t provide benefits advice directly, we can help you understand how park home living works and connect you with the right resources for financial guidance. Get in touch if you’d like to learn more about life in our residential communities.
Frequently asked questions
Does living in a park home affect my state pension?
No, your state pension is completely unaffected by where you live. Your state pension is based on your National Insurance contributions throughout your working life, not your housing situation. Living in a residential park home has no impact on the amount you receive or your eligibility.
Can I claim housing benefit for my pitch fees?
If you’re under state pension age and on a low income, you may be able to claim Universal Credit, which includes a housing costs element that can help with pitch fees. If you’re over state pension age, pension credit is the benefit that helps with housing costs. The system you claim through depends on your age and circumstances.
Will my pension credit be less if I own my park home outright?
Owning your park home outright doesn’t automatically reduce your pension credit. However, if you have significant savings or capital (including the value of your home in some circumstances), this might affect your eligibility. The current capital limit is £10,000—if you have more than this, it affects how much pension credit you receive. Park homes are generally treated as your main residence, which can affect how they’re valued for benefits purposes.
What happens to my pension credit if I move to a different park?
If you move to a different residential park, you need to notify the Pension Credit office about your change of address and new housing costs. Your entitlement will be reassessed based on your new pitch fee and circumstances. The process is straightforward—just contact them as soon as you know you’re moving so there’s no interruption to your payments.
Are there other benefits available to park home residents besides pension credit?
Yes, park home residents have access to the same range of benefits as anyone else. Besides pension credit, you might be eligible for Attendance Allowance if you need help with personal care, Council Tax Reduction from your local authority, Cold Weather Payments and Winter Fuel Payments to help with heating costs, and free NHS prescriptions, dental treatment, and eye tests if you receive pension credit. Your housing type doesn’t limit your access to any standard benefits available to people in your circumstances.
