The Government has released an update on the Winter Fuel Payment, with Chancellor Rachel Reeves deciding to slash the benefit that previously provided up to £300 to over 11 million pensioners. This decision has sparked widespread outrage as numerous individuals are set to lose out on this financial aid.
However, new documents reveal that elderly couples will be hit hardest by this change. A judicial review has been initiated by Govan Law Centre in the Court of Sessions, Scotland’s highest court.
The Centre contends that the Government failed to conduct a thorough equality impact assessment.
This law mandates public bodies to consider how their decisions and actions will impact people with various ‘protected characteristics’, including age and disability. If successful, the payment could still be made this year.
In a parliamentary question, Labour’s Rachael Maskell queried Secretary of State for Health and Social Care Wes Streeting if he had requested the Chief Medical Officer to perform an impact assessment of introducing means-testing for the Winter Fuel Payment. Andrew Gwynne, the Parliamentary Under-Secretary for the Department of Health and Social Care, has now responded, reports Birmingham Live.
In a stark revelation, an equality analysis released last month has highlighted the limited reach of financial aid available, exposing the minimal increase in expected claimants for Pensions Credit – a key benefit that grants eligibility for the Winter Fuel Payment.
Responding to Ms Maskell, Mr Gwynne said: “We will continue to stand behind vulnerable households this winter. Support includes delivering the £150 Warm Home Discount for low-income households from October 2024, extending the Household Support Fund with £421 million, to ensure local authorities can support vulnerable people and families, and ensuring around 1.3 million households in England and Wales will continue to receive up to £300 in Winter Fuel Payments.
“Through our commitment to protect the triple lock, over 12 million pensioners will benefit, with many expected to see their State Pension increase by more than £1,000 over the next five years. The fuel poverty strategy for England, Sustainable warmth: protecting vulnerable households in England, was published in February 2021.
“The 2021 strategy is currently under review. The Department of Health and Social Care works closely with the Department for Energy and Net Zero to ensure that fuel poor and health vulnerable households are supported.”
It’s estimated that a staggering 880,000 pensioners eligible for Pensions Credit are not claiming it.
The equality analysis forewarns that though officials estimate an additional uptake of Pension Credit this year by approximately 100,000 individuals, still a staggering 780,000 eligible pensioners may fail to benefit. It reads: “This policy will reduce the numbers entitled from around 12m to 1.7m in the 1st year, dropping to 1.2m by the end of the scorecard period.”
With respect to those bearing the brunt of the changes, the analysis continued: “This policy will have the highest proportional impact on couples and a marginally greater impact on men than women. Older pensioners are less likely to be affected, but those which are affected will lose larger amounts.”
Further emphasising the demography most at risk, the report adds: “Those most affected by the policy are disproportionately likely to be in couples rather than single, and marginally disproportionately likely to be male. This is because these groups are less likely to be on the lowest incomes.”
Accentuating the widespread implications, it continued: “However, across all assessed characteristics, those affected by this policy greatly outnumber those unaffected.”