Tag: Winter Fuel Payment

UK Government decision ends universal fuel payments for Scots

Scottish Government left with “no choice” following funding cut

Plans to means-test Winter Fuel Payment in England and Wales will see the Scottish Government’s funding cut by up to £160 million.

Social Justice Secretary Shirley-Anne Somerville has confirmed the Scottish Government therefore has ‘no alternative’ but to replicate the decision in Scotland and restrict payments to pensioners who receive eligible benefits.

Social Justice Secretary Shirley-Anne Somerville said: “Despite all efforts to review our financial position we have been left with no choice but to follow the UK Government and restrict payments to older people who receive relevant eligible benefits.

“This is a necessary decision when faced with such a deep cut to our funding and in the most challenging financial circumstances since devolution. The reduction we are facing amounts to as much as 90% of the cost of Scotland’s replacement benefit, the Pension Age Winter Heating Payment.

“Given the UK Government’s decision to restrict payments to those in receipt of means-tested benefits, such as Pension Credit, and the implications for the Scottish Government detailed above, I have urged the Secretary of State for Work and Pensions to undertake a benefits take-up campaign for Pension Credit and to move forward with plans for a social energy tariff.

“Both of these measures will provide some further protection to energy customers in greatest need.”

Deputy First Minister Kate Forbes commented:

Scottish Parliament: Written answer

Age Scotland: Winter Fuel Payment decision ‘brutal’ for Scottish pensioners

Age Scotland is continuing to urge the UK government to reconsider plans to scrap the winter fuel payment for pensioners who do not receive pension credit.

The charity has responded to news that, following the UK Government’s plans to means-test the Winter Fuel Payment, the Scottish Government will have no alternative but to replicate the decision in Scotland.

Age Scotland’s Policy Director, Adam Stachura, said: “It’s infuriating that huge numbers of older people will miss out on the vital Winter Fuel Payment when it is devolved to Scotland.

“We recognise the financial challenge the Scottish Government would face to make up the shortfall to keep the payment universal, but we desperately hoped there could be a more effective delivery of this payment and that it could have looked more generous than the UK Government’s new, and meagre, approach.

“At minimum, a quarter of a million pensioners in Scotland on the lowest incomes or living in fuel poverty will no longer receive this vital financial support over the winter months, while hundreds of thousands more on modest incomes are going to struggle with their energy bills even more than normal as a result.

“This brutal decision by the UK Government was made too fast, cuts too deep and its impact will be severe. It’s important that they rethink this move, as it has a huge impact on the devolution of social security and the needs of Scottish pensioners who live in some of the coldest homes in the UK.”

Visit www.age.scot/SaveWFP to sign Age Scotland’s petition to save the Winter Fuel Payment. 

‘Don’t leave older people on a low income out in the cold’

  • 22 organisations sign letter to Rachel Reeves calling on the UK Government to halt Winter Fuel Payment change
  • Independent Age says that “sudden change puts lives at risk”
  • Call is backed by campaigners who have emailed their local MP for support

22 charities have sent an open letter to the Chancellor, Rachel Reeves, calling on her to urgently review the change to the Winter Fuel Payment for older people.

The change announced by Ms Reeves, the Chancellor of the Exchequer, on Monday mean that people aged 66 and over who don’t receive Pension Credit or a small number of other means-tested benefits, will no longer receive automatic annual payments of between £100 and £300 to help with energy costs through the winter.

Right now, Pension Credit has a low take-up of just 63%, meaning up to 1.2 million older people who are eligible will now miss out on this additional support. Many more are just above the level of eligibility for Pension Credit but still can’t afford to pay their bills.

Independent Age, one of the charities leading the call, has launched an open letter today calling on the Chancellor of the Exchequer to not make these changes now while Pension Credit is not received by everyone it should be.

The charity also says the UK Government needs to make sure that everyone receives an adequate income in later life so that those who aren’t eligible for Pension Credit but still face financial hardship have enough to live on.

In the letter, the organisations say: ‘Linking the qualification of the Winter Fuel Payment to whether an older person receives Pension Credit could mean up to 1.2 million older people on low incomes miss out on even more vital financial support. 

“As a result, many of them will inevitably be pushed further into poverty.

“Restricting the Winter Fuel Payment this autumn does not give the UK Government time to significantly boost Pension Credit take-up to a level that would reduce some of the side-effects of this measure. It will leave many older people on low incomes facing a cold and dangerous winter.”

Morgan Vine, Head of Policy and Influencing at Independent Age added: “It is not an overstatement to warn that, in its current form, this sudden change puts lives as risk. Too many people on a low income now face an uncertain winter where their budgets are even more stretched and will be forced to make dangerous and stressful decisions.

“While we understand that the UK Government must make difficult decisions, this is too much, too soon. We urge the Chancellor to not make this change now, and instead ensure every older person has an adequate income to avoid financial hardship before removing the Winter Fuel Payment. Any less risks serious consequences for older people in poverty.”

Members of the public are being invited by Independent Age to email their MP to ask for a halt to the changes. They can do this by visiting this webpage.

Pension Credit is a form of financial support which ‘tops-up’ the income of people over State Pension age who fall below an income threshold of £218.15 for a single person and £332.95 for a couple.

Many of those eligible could also unlock additional benefits worth thousands a year such as the Warm Home Discount, a free TV licence, Council Tax Reduction and free NHS dental treatment.

To apply, visit the gov.uk website on Pension Credit, or you can visit the Independent Age website at https://www.independentage.org/get-advice/money/benefits/pension-credit or call the free Independent Age helpline on 0800 319 6789 during working hours for help with understanding whether you could be eligible.

Open letter with list of signatories here: 

https://www.independentage.org/winter-fuel-payment-open-letter