Summary
The government is considering changes to the winter fuel payment, aiming to direct funds to those who need it most, rather than wealthy pensioners. Over 10 million pensioners lost this payment last year due to policy changes that restricted eligibility, but the government is now reviewing the criteria, following public pressure and criticism.
Key Facts
- The winter fuel payment is a yearly payment to help pensioners with energy bills, worth up to £300.
- The payment was previously available to all pensioners, but changes limited it to those on pension credit and other income-related benefits.
- More than 10 million pensioners were affected by the change last year, which aimed to save £1.4 billion.
- Government officials, including Minister Darren Jones, say the payment should go to those who need it most, not to wealthy individuals.
- There is no current detail on how many pensioners will regain access to the payment or the cost to the government.
- The income threshold for pension credit, which determines eligibility for the payment, is £11,800 for individuals and £18,023 for couples.
- The Institute for Fiscal Studies has suggested that a new means-test could make it difficult for pensioners to claim, adding administrative costs.
- Some political parties and groups are calling for the payment to be fully restored to all pensioners.
