New research from Age UK indicates four in every five pensioners living below or just above the poverty line will miss out on this year’s Winter Fuel Payment under the planned benefit cut. The charity said its analysis suggested 10.7 million pensioners will lose the benefit, of whom almost one in four (23%) live in poverty, or just above the poverty line.
The charity found 80 per cent, some 800,0000 of pensioners aged 80 and over living in poverty or just above the poverty line will no longer receive the payment, as well as 78 per cent (1.1m) of pensioners with a disability living in the same circumstances. The study also suggests 76 per cent (1m) who live alone will no longer receive the payment of up to £300.
Age UK has published its own Equality Impact Assessment of the UK Government’s cut to eligibility for the Winter Fuel Payment and is urging Labour to take action in the Budget “to avert a potential disaster for many pensioners this winter”.
It is calling for the UK Government to issue the payments to all pensioners this winter, pending the Spending Review in the Spring.
Age Uk said the Government must at the “very least” urgently bring in measures to expand the numbers of those who will still receive it by automatically giving it to those receiving Housing Benefit, Council Tax Support, Personal Independence Payment (PIP), Attendance Allowance and Carers Allowance.
According to the Labour Government’s own equality analysis, an estimated 780,000 pensioners still eligible to receive the Winter Fuel Payment will lose it under the eligibility rule change.
In a document last month, the Department for Work and Pensions (DWP) also said more than two thirds – around 71 per cent of those with a disability and 83 per cent of those aged 80 or over would miss out.
The Government said a full impact assessment of the change, coming into effect this year, has not been carried out. The figures, published in response to a Freedom of Information (FOI) request, are based on “equality analyses” which “are not impact assessments and not routinely published alongside secondary legislation”, the DWP said.
Age UK said with the Government “either not carrying out an Equality Impact Assessment or choosing not to publish it, Age UK has done the work instead”, using the most up-to-date official statistics in the public domain.
The charity’s research into the change looks at its impact by age, sex, living circumstances, disability and geographical location. It suggests there is no region or country in the UK in which fewer than 74 per cent of pensioners living in poverty or just above the poverty line will lose the payment.
Age UK charity director Caroline Abrahams said: “Because the Government either did not carry out an Equality Impact Assessment or has chosen not to publish it, we thought it important to do the work ourselves.
“Some people have asserted that the Government’s cut to eligibility for winter fuel payment means there is no cause for concern because poor pensioners will still be protected, but Age UK’s Equality Impact Assessment drives a coach and horses through that claim.
“Unfortunately, the research supports our worst fears – that unless ministers change tack, and quickly, millions of older people on low and modest incomes could be facing potential disaster as the weather chills.”
Age UK is urging any older person living on a low income or struggling with their bills to contact its free advice line on 0800 678 1602 to check they are receiving all the financial support available. Full details are available on the charity website here.
In Scotland, MSPs have backed a call from Scottish First Minister John Swinney to demand the UK Government reverses its “damaging” decision to introduce means-testing for the winter fuel payment.
The Scottish Parliament voted by 99 to 14 in favour of a motion from the First Minister, insisting the Labour Government at Westminster changes course.
Mr Swinney said introducing means-testing alongside the rise in the energy price cap represents a “double whammy” that will hit older Scots and vulnerable households.
He said the Scottish Government is “working urgently to mitigate the impact of the UK Government’s damaging decision”, telling MSPs he has written to councils seeking their “urgent assistance” in encouraging more older people to claim Pension Credit – which would provide passported access to Winter Fuel Payments.
Mr Swinney said: “Reversing this decision on the winter fuel payment will be a vital step in ensuring our citizens can afford to live in warm homes.”
He went on to warn the UK Government its failure to reverse the policy, and ignoring calls to reform the energy market, could see “more and more people” ask “why it is that a country as energy-rich as Scotland should tolerate such decisions being imposed upon us by Westminster governments”.
While he accepted the “budgetary challenges” Prime Minister Sir Keir Starmer and Chancellor Rachel Reeves are facing are “severe”, Mr Swinney said: “It is a mistake to think benefits, action to tackle poverty and other support for our most vulnerable are costs to be curtailed.
“Rather, these measures are investments in our people, our communities and our nation’s future.”
A Government spokesman said: “We are committed to supporting pensioners – with millions set to see their state pension rise by up to £1,700 this parliament through our commitment to the Triple Lock.
“Over a million pensioners will still receive the Winter Fuel Payment, and our drive to boost Pension Credit take up has already seen a 152 per cent increase in claims. Many others will also benefit from the £150 Warm Home Discount to help with energy bills over winter while our extension of the Household Support Fund will help with the cost of food, heating and bills.”