The recent changes to the Winter Fuel Payment, which you now need to be on a means-tested benefit to qualify for, has left many wondering if the state pension could also soon become means-tested.
At present, you get a set amount depending on your National Insurance contributions, with the full new state pension currently paying £221.20 a week. You typically need 35 years of contributions to get this amount, but this can vary.
A former DWP employee has asked the department about whether the policy could be changed. Sandra Wrench, from Bedford, penned a letter submitted through her MP, Mohammed Yasin, about the potential change.
She warned there would be “great difficulty” in means-testing the benefit, which you currently have to be 66 years old to claim.
Now Labour pensions minister, Emma Reynolds, has responded to state the Government has “no plans” to bring in such a policy change.
Ms Reynolds said in her response: “I am sorry that speculation and rumour has caused Mrs Wrench undue concern. Ensuring a better deal for current and future pensioners is a priority for this Government.
“I can confirm that the state pension is not subject to a means-test, and we have no plans to change this.”
In the Autumn Budget last week, Chancellor Rachel Reeves re-affirmed the triple lock would be retained for next April’s increase to state pension payments.
This will mean a 4.1 percent boost to payments, with the full new state pension increasing from £221.20 a week to £230.30 a week, an increase of £473.60 a year.
The full basic state pension will be moving up from the current £169.50 a week to £176.45 a week, delivering a £361.40 a year increase.
The changes to the Winter Fuel Payment mean millions of pensioners will no longer be eligible for the support, worth £200 or £300.
The payment was previously a universal cash boost for those of state pension age but now you have to claim a means-tested benefit as well, such as Pension Credit.
However, it’s well worth checking if you can claim Pension Credit, as hundreds of thousands of people are missing out on the support.
The benefit supports those on a low income, providing an income top-up up to £218.15 a week if you’re single or up to £332.95 if you have a partner.
You may still be eligible if your income is above these levels as there are additional payments depending on your situation, such as if you care for another adult.
