More pensioners will now be eligible for winter fuel payments
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More pensioners could be eligible for the winter fuel payment after a U-turn on the cuts.
Sir Keir Starmer announced that more people could get the winter fuel money months after the government cut the number.
Speaking at the Prime Minister’s Questions, he said he understood the financial pressures on pensioners after he was quizzed on the controversial move.
He said: ‘I recognise that people are still feeling the pressure of the cost-of-living crisis including pensioners.
‘As the economy improves, we want to make sure people feel those improvements in their days as their lives go forward.
‘That is why we want to ensure that as we go forward more pensioners are eligible for winter fuel payments.
‘As you would expect Mr Speaker, we will only make decisions we can afford, that is why we will look at that as part of a fiscal event.’
Labour MP Sarah Owen said: ‘Whilst the economy is showing signs of improving, many pensioners are still impacted by the cost-of-living crisis. People in Luton who have worked hard all their lives seeing their precious savings slip away, so can the Prime Minister tell us what measures he will take to help struggling pensions in towns like mine?’
Lib Dem leader Sir Ed Davey asked whether the PM will ‘commit now to reversing his cuts to the winter fuel payment in full.’
When will the winter fuel U-turn happen?
The date for the change has not been revealed yet after the initial announcement today.
The Prime Minister’s official spokesman said Sir Keir wants to introduce the changes ‘as quickly as possible.’
The changes will be brought in at a ‘fiscal event,’ which means the next budget in October.
This suggests the changes might not kick in before the winter.
The spokesman said: ‘We obviously want to deliver this as quickly as possible, but the Prime Minister was very clear in the House that this has to be done in an affordable way, in a funded way, and that’s why those decisions will be taken at a future fiscal event.’
How much is the winter fuel payment?
The winter fuel payment is £200 for those under 80, and £300 for people over 80.
Meanwhile, Kemi Badenoch, the Conservative leader, labelled the U-turn ‘pathetic.’
She said: ‘I wonder how the public feel about a man can’t give a straight answer to a simple question, and you look at all of them behind him, all of them cheering: when this inevitable U-turn on winter fuel comes – and it will, from a desperate Prime Minister – what will he say to the 348 MPs who went over the top and voted for the winter fuel cut last September?’
She accused Labour and its policies of ‘shafting the country.’
The government came under fire after MPs voted in favour of cutting the payments and making it means-tested rather than universal.
Campaigners welcomed the announcement cautiously.
Age UK said the ‘devil is always in the detail.’
How many people were affected by the cuts?
Up to 2.5 million pensioners living on low incomes may have lost their winter fuel payments last year, analysis from the Centre for Ageing Better suggests.
The charity said its research showed that these pensioners who lost the payments were already scraping by on an income below the standard required to live a dignified life.
Its analysis showed that one in four (25%) of people aged 65 and over were deemed too wealthy for help with their energy bills, but also too poor to lead a dignified life according to the Minimum Income Standard.
Among people aged 74 and over, the figure increases to 29%.
Caroline Abrahams, the charity’s director, said they will judge the move’s success ‘by the extent to which they help vulnerable older people and those on low and modest incomes to be able to heat their homes adequately next winter.’
Lucy Bannister, the head of policy at Turn2us charity supporting people facing financial hardship, said they welcome the plans to widen the eligibility for the payment.
She said: ‘We hear from people every year about the difference this support makes.
‘But we remain concerned that hundreds of thousands of eligible pensioners still miss out each year due to a complex application process, lack of awareness, and stigma.
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‘Many feel shame for needing support, a direct result of how benefits are too often talked about by politicians and the media.
‘The government must urgently ensure its narrative around its wider social security reforms reduces this stigma, simplify the system, and proactively reach those being left behind.’
The Prime Minister faced questions from MPs today, a day after he fended off criticism of the landmark UK-EU ‘reset’ deal, which has brought Brexit tensions back to the surface after a row over fisheries and youth movement.
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