The Government has given an update on a key response over the potential impact of the axing of the winter fuel payment for around 10 million pensioners. A legal challenge is currently taking place against the ‘cruel’ cut which has seen the cash, which is worth £2-300, removed from anyone who doesn’t claim Pensions Credit.
If the case, which involves two Scottish pensioners who are seeking to reverse the decision announced by Chancellor Rachel Reeves earlier this year to remove the universality of the payment. succeeds, it could lead to the policy being rethought, or potentially delayed a year.
The Commons Social Security Advisory Committee letter, published on 17 October 2024, on the means-testing of winter fuel payments, has not yet been replied to.
Shadow Secretary of State for Work and Pensions Helen Whately told the Commons: “It will see 750,000 of the poorest pensioners miss out on much-needed help with the cost of heating, and according to the Labour party’s own research, it could lead to 4,000 additional deaths this winter. The Government know that. That is why they have not done an impact assessment. Perhaps it is why, after seven weeks, they still have not responded to the concerns of their own advisory committee.
“The committee wrote the Secretary of State a letter containing its concerns about how the policy will affect the poorest people. It said that 70% of disabled pensioners will miss out on their payment this winter, and it suggested expanding the eligibility for winter fuel payments beyond pension credit because the committee knows that the Government’s savings are based on a third of the poorest pensioners missing out. In direct contrast to the Government, the committee said that ‘a more detailed assessment is urgently required.’”
Ms Whateley said seven weeks later the Secretary of State is yet to respond to the advisory committee. She added: “In fact, she is not even here to answer this urgent question. I ask the Minister: will the Government now, after seven weeks, respond to their own advisory committee? Will they now, after seven weeks, publish a full impact assessment for everyone to see? Does she accept that her Government have got this wrong?”
Parliamentary Under-Secretary of State for Work and Pensions Emma Reynolds apologised for the delay and promised a response ‘by the end of the week’. She added: “Regarding the public sector equality duty, we have done everything in line with the duty, which is to provide an equality analysis of the decision that we have taken. As hon Members will know, that analysis was published in September.
“However—I say this gently—after the election we found ourselves in a situation of having a £22 billion black hole, with Treasury reserves spent three times over. The OBR has said that its assessment of the previous Government’s Budget would have been materially different had it known the pressures on spending and the real situation in the Treasury. I note that the hon. Lady does not come with an apology.”