The government has launched a new campaign to raise awareness about pension credit, aimed at softening the blow of the recent changes to winter fuel payments.
The decision to introduce a means test for this benefit, once available to all pensioners, has sparked widespread concern.
Last month, Chancellor Rachel Reeves announced that only those on pension credit would now qualify for winter fuel payments, citing the need for “difficult decisions” due to the “dire state of public finances” inherited from the previous Conservative government.
Despite these changes, Reeves emphasized that the government’s commitment to supporting pensioners remains steadfast, pointing to the preservation of the triple lock on pensions as proof.
However, the decision to restrict winter fuel payments has been met with criticism and calls for the policy to be reversed. Critics warn that the move could leave millions of pensioners facing the harsh choice between heating their homes and having a hot meal this winter.
Over 370,000 people have signed a petition by Age UK, urging the government to reinstate the universal winter fuel payment. The charity argues that the payment was cut “with virtually no notice and no compensatory measures to protect poor and vulnerable pensioners,” leaving many at risk as the colder months approach.
The consequences of Reeves’s decision are significant. According to government estimates, around 1.3 million households in England and Wales will continue to receive winter fuel payments.
However, analysis suggests that approximately 130,000 people in the UK will miss out because their income is just over the threshold for receiving pension credit, disqualifying them from the support.
Analysts have raised concerns that some of these individuals might end up worse off than those who qualify for the payment, exacerbating financial hardships.
In addition to these challenges, campaigners have warned that the pension triple lock will not be sufficient to offset the loss of the winter fuel payment for many pensioners.
While the triple lock is expected to boost state pensions for over 12 million pensioners in the coming years, the immediate need for heating assistance remains a pressing issue for many vulnerable individuals.
Pensioners Urged to Claim Unclaimed Benefits
A significant number of pensioners are eligible for pension credit but are not claiming it. Estimates suggest that around 850,000 pensioners in the UK could be missing out on this crucial benefit, though government figures indicate the number may be closer to 880,000.
To address this, Deputy Prime Minister Angela Rayner and Work and Pensions Secretary Liz Kendall are taking action. They will collaborate with local authorities, charities for older people, and other groups this September during the annual Pension Credit Week of Action.
The government’s awareness campaign aims to identify those who are eligible for pension credit but have not yet applied. Pensioners are encouraged to apply by December 21, the final date this year for making a backdated claim in order to receive the winter fuel payment.
Officials also hope the campaign will dispel common misconceptions that deter people from applying, such as the belief that having savings, a pension, or owning a home automatically disqualifies them from receiving pension credit.
In addition to these efforts, the government is committed to investing in insulation and low-carbon heating through its Warm Homes plan, which aims to upgrade millions of homes over the next five years. This initiative is expected to provide further support to pensioners, ensuring their homes are energy-efficient and warm during the winter months.
Liz Kendall, the Work and Pensions Secretary, highlighted the difficult financial decisions facing the government, stating: “The £22bn black hole in the public finances we have inherited has required us to take difficult decisions, but I am determined to ensure low-income pensioners are supported.”
She urged pensioners and their loved ones to check their eligibility for pension credit, reaffirming the government’s commitment to protecting the income of over 12 million pensioners through the triple lock.
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