Tag: support for pensioners

Scottish Government announces energy cost support for pensioners

Universal payments to be reinstated from next year

The Scottish Government will provide universal support through the introduction of Pension Age Winter Heating Payments next year ensuring a payment for every pensioner household in winter 2025-26.

Social Justice Secretary Shirley-Anne Somerville has confirmed that on the roll-out of the new benefit next winter, pensioners in receipt of a relevant qualifying benefit, such as Pension Credit will be receiving Pension Age Winter Heating Payments of £300 or £200, depending on their age. Meanwhile all other pensioner households will receive £100 from next winter, providing them with support not available anywhere else in the UK.

 Ms Somerville also announced a £41 million package of support for people struggling with energy costs this winter.  These measures include an additional £20 million which will be provided for the Scottish Welfare Fund, to enable councils to provide more vital support to people in crisis this winter.

An additional £20 million will be invested into the Warmer Homes Scotland Scheme, the national fuel poverty scheme which helps people install energy efficiency measures and more efficient heating systems, saving on average around £300 per year in household energy bills.

Meanwhile grant-funding of £1 million will be made available to registered social landlords and third sector partners to fund work to help sustain tenancies and prevent homelessness. This is in response to calls from a coalition of housing and anti-poverty organisations for a shift in spending from crisis intervention to prevention.

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Ms Somerville said: “The measures I have announced today will go some way to allay the fears of pensioners in Scotland ahead of next winter, but the Scottish Government recognises that more must be done.

“Ahead of next winter I will bring forward regulations to introduce universal Pension Age Winter Heating Payments in winter 2025-26 for Scottish pensioners.

“This universal benefit – providing much needed support not available anywhere else in the UK – will deliver support for all pensioner households as we had always intended to do before the UK Government decision to means-test Winter Fuel Payments cut the funding available to support our new benefit in Scotland this winter by £147 million.

“We will not abandon older people this winter or any winter. We will do our best to make sure no-one has to make a decision between heating and eating, and we will continue to protect pensioners”.

Reacting to yesterday’s announcement by the Scottish Government, Debbie Horne, Scotland Policy and Public Affairs Manager at Independent Age said: “The reintroduction of winter heating support for all pensioners in Scotland from next winter is welcome and will offer some comfort to the 900,000 pensioners who were set to completely lose the previous Winter Fuel Payment. 

“Since the decision to restrict the Winter Fuel Payment to only older people on Pension Credit, we’ve seen a surge in the number of older people getting in touch with Independent Age who are worried about heating their homes, and making ends meet, through the winter. Many have told us they are heating only one room, staying in bed all day with a blanket, and cutting back on food to avoid the energy costs associated with cooking.  

“With energy prices set to rise again in January, and a staggering 330,000 older households living in fuel poverty in Scotland, it is clear that changing the eligibility of the payment in this way was the wrong decision. It is positive that this has been recognised in Scotland, with the Scottish Government making a payment available to all older people next year, and we hope the UK Government will also reconsider their decision.  

“In a compassionate and socially just society, no one should face fuel poverty. We are pleased the Scottish Government has listened to older people, and taken this action today. However, we remain concerned about older people who face this winter without this much needed financial support.

“Going forward, the Scottish Government should continue to monitor the situation and be open to taking further action in future.” 

A spokesperson for AGE SCOTLAND said: “Bringing back an energy support payment for all pensioners is very good news and will be a huge relief. It shows the power of this campaign and the relentless efforts from all quarters.

“The decision to remove the universal winter fuel payment by the UK Government, and its impact on pensioners this winter is nothing short of disastrous.

“Over the last few months we have been urging the Scottish Government to bring this back and we are delighted that they have listened to the strong arguments and have taken action.

“It also demonstrates the power of devolution and what Scotland can do when we put our minds to it.”

Up to £600 winter support for pensioners arriving in bank accounts

Payments of up to £600 are landing directly in the bank accounts of around 11.5 million UK pensioners for the second year running

  • Comes as part of extensive Government package helping people of all ages, including recent £300 Cost of Living payments to more than seven million eligible households.
  • After meeting our pledge to halve inflation, the UK Government this week also confirmed an 8.5 percent increase to the State Pension next year.

Pensioners across the country have started to receive up to £600 to help with energy bills this winter.

Winter Fuel Payments – boosted again this year by an additional £300 per household Pensioner Cost of Living payment – will land in bank accounts over the next two months, the vast majority automatically.

Work and Pensions Secretary Mel Stride said: “We have delivered on our promise to halve inflation and will continue to support people right across the country, including pensioners who may be facing particular challenges over the colder months.

“As well as up to £600 to help our pensioners stay warm this winter, we’re boosting pensions through the Triple Lock – increasing the full rate of the New State Pension by over £900 next year.”

The money will appear in bank statements with the payment reference starting with the customer’s National Insurance number followed by ‘DWP WFP’ for people in Great Britain, or ‘DFC WFP’ for people in Northern Ireland.

The overwhelming majority of Winter Fuel Payments are paid automatically but some people need to make a claim, such as those who qualify but do not receive benefits or the State Pension and have never previously received a Winter Fuel Payment. The payments deliver additional support to pensioners, the majority of whom are on fixed incomes and also are unable to raise their incomes through fixed employment.

The start of the Winter Fuel Payments season comes hot on the heels of the recent £300 Cost of Living payments made by the DWP to more than seven million eligible households across the UK.

This latest payment is the second of up to three Cost of Living Payments being made this financial year. These payments – which are all tax-free and will not have any impact on existing benefit awards – demonstrate the Government’s commitment to supporting low-income families with financial pressures.

Pensioners getting Pension Credit also qualify for this extra support. The average Pension Credit award is now worth £3,900 per year and there is still time for those who are eligible to apply and receive the £300 Cost of Living payment. 

This is because an eligible claim for Pension Credit can be backdated by three months provided the entitlement conditions are met throughout that time.

Including measures announced in the Autumn Statement this week, our total commitment to ease cost of living pressures has risen to £104 billion. That includes paying around half the cost of the average energy bill since last October and amounts to an average of £3,700 per household.