Analysis Shows 82% of Pensioners Below or Just Above Poverty Line to be Impacted by Winter Fuel Allowance Cuts.

October 9, 2024 TruthUSA

Campaigners have raised concerns that the decision to cut the winter fuel allowance will disproportionately affect the most vulnerable members of the public this winter.

New figures suggest that four out of five pensioners living below or just above the poverty line will lose their winter fuel allowance due to the government’s cut.

An analysis by Age UK found these figures alarming, warning of potential hardship for many pensioners this winter.

Age UK reported that 82% or 2.5 million pensioners, including those over 80, disabled, and living alone, will miss out on the winter fuel allowance.

Starting this year, older people in England and Wales not receiving pension credit or certain other means-tested benefits will no longer receive winter fuel payments.

Chancellor Rachel Reeves announced the decision in July, citing unavoidable spending cuts.

This policy faced criticism from politicians and charities concerned about its impact on the most vulnerable individuals.

Age UK stated that 10.7 million UK pensioners will lose their winter fuel payment as a result of the government’s plan, with nearly one in four living in or just above the poverty line.

These restrictions will impact 1.1 million disabled pensioners and 1 million elderly individuals living alone and near the poverty line.

Age UK Director Caroline Abrahams expressed concern over the government’s decision, emphasizing the risk faced by millions of pensioners living on low incomes this winter.

Impact

The government conducted an equality analysis of the policy’s impact, estimating that 780,000 eligible pensioners will lose the benefit due to the planned cuts.

The Department for Work and Pensions (DWP) noted that 83% of those over 80 and around 71% of those with disabilities will lose entitlement, disproportionately affecting older and disabled pensioners financially.

The DWP stated that it did not prepare a full impact assessment for the regulations, as they were not expected to significantly impact businesses, charities, or voluntary organizations.

Despite this, Age UK’s own equality impact assessment highlighted stark conclusions regarding the potential consequences for older people on low incomes.

Age UK urged ministers to retain winter fuel payments as a universal entitlement this winter, emphasizing the need for protections in the upcoming October budget.

They also suggested expanding eligibility to include pensioners on other benefits, such as council tax support and housing benefit, to ensure broader assistance.

Furthermore, Age UK advocated for additional help for older individuals receiving only a portion of the full State Pension, for whom winter fuel payments are crucial.

A government spokesperson stated that pensioners would see their state pension increase by up to £1,700 during this parliament due to the government’s triple lock commitment.

Pensioners could also benefit from the £150 Warm Home Discount for energy bills and the extension of the Household Support Fund for food and heating costs.

PA Media contributed to this report.

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